
- Category: contract law, Contracts
Is Software Development a Work Contract in Czech Law? Sometimes Yes, Sometimes No
You order a custom app or a new website. It feels like a work contract. But in Czech law, not every software deal is covered by a work contract.
Why does it matter? Because:
each contract type implies different legal obligations,
including who owns the code,
who is liable for defects,
and how payment and VAT work.
⚖️ When Is It a Work Contract?
Under the Czech Civil Code (§ 2586), a work contract applies if:
the output is custom-made,
based on the client’s specifications,
and results in a deliverable product.
Typical examples:
custom software solutions,
web development from scratch,
tailored mobile apps.
The contract covers results, not just effort.
📜 When Is It Not a Work Contract?
When:
the client only rents access to an app (SaaS),
it’s based on templates with minimal changes,
the deal is ongoing support or hosting,
or the focus is on continuous cooperation (e.g. Agile or T&M teams).
Then it may be a:
license agreement,
service contract,
or a hybrid.
🧱 Real Case: Custom Portal vs. Ongoing Support
Company A hired a developer for a unique portal.
→ Work contract – specific output.
Company B hired a freelancer to maintain their existing e-shop.
→ Service contract – ongoing care.
Result: different rights, liabilities, and legal frameworks.
📌 What to Watch For?
Always define the contract type clearly.
If the client wants usage rights, include licensing clauses.
For Agile or time-based work, clarify deliverables and milestones.
Be specific about what constitutes completion.
✅ Not sure how to structure your software contract?
📩 Short legal consultation from CZK 1,500 excl. VAT.
Let me help you define legal boundaries, IP rights and responsibility.
Contact a legal professional – I specialize in contract law.
Learn more here.
- Publikováno:
- Naposledy aktualizováno: 19/06/2025