Mgr. ANNA VEJMELKOVÁ, advokát

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When the Job Is Cancelled but You’ve Already Invested: What Can You Do?

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It happens more often than you’d think. You prepare for a project, invest in materials, schedule workers, free up your calendar – and then the client cancels the contract. Just like that. But you’ve already spent time, energy, and money.

From the client’s point of view, it might be a change of plan. But from your perspective, it’s a loss. A frustrated investment. Are you entitled to compensation?

⚖️ Legal Basis under Czech Law

Under § 2000 of the Czech Civil Code, a contractor has the right to claim reimbursement of costs reasonably incurred, even if the work was not completed – provided the cancellation was not their fault.

If the cancellation was caused by the client – for example, due to non-payment, lack of cooperation, or unjustified withdrawal – the contractor may claim:

  • Costs already incurred,

  • Lost profit,

  • Or even liquidated damages, if the contract provides for them.

It’s essential to prove that the expenses were purposeful and related directly to the intended work.

🔐 How to Protect Yourself?

You can prevent most disputes by drafting a contract that includes:

  • A clause on reimbursement of preparatory costs,

  • Advance payments (the more, the safer),

  • Cancellation fees or penalties,

  • And clear documentation of all arrangements.

If there’s no contract, be sure to save all communication – it might save you later.

✅ Did your client cancel the job after you already invested?

📩 Short legal consultation from CZK 1,500 excl. VAT.
Let’s review your options and prepare a solid legal claim.

Contact a legal professional – I specialize in contract law.
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