You might be wondering…

“Do I have to notify the defect immediately after taking over the goods, or only when it appears?” “What if the defect shows up later but was actually caused by the seller?” “How can I distinguish between defects for which the seller is liable and those that fall under my risk?”

My clients often ask…

A common question is: “I bought a machine that stopped working after installation. Can I claim a defect even though it worked at the time of delivery?” Similarly, consumers often ask whether they can make a claim if a defect appears months after purchase.

What the law says in a nutshell

According to § 2100 of the Czech Civil Code, rights from defective performance arise if the goods have a defect at the time the risk of damage passes to the buyer. This usually means the moment the buyer takes over the goods, or when risk otherwise passes according to law or contract. However, if the defect appears later but was caused by the seller’s breach of duty (for example, using inappropriate material), it also counts as a defect giving rise to the buyer’s rights. In other words: what matters is either the condition of the goods at the moment of risk transfer or whether the seller’s breach caused the defect.

Practical significance of the moment rights arise

For the buyer, it is essential to understand that if a defect appears later, they must prove that it already existed at the time of risk transfer, or that it was caused by the seller’s breach of duty. Otherwise, the claim may not be recognized. In B2B relationships, the law expects greater diligence, meaning the buyer must inspect the goods as soon as possible and report defects promptly. In consumer contracts, the law is more protective, often relying on presumptions that work in favor of the weaker party.

The most common mistakes in practice

One frequent mistake is assuming that any defect discovered after delivery automatically creates a right to claim. That is not true. If the defect arises later due to improper use, no rights from defects exist. Another common mistake is failing to inspect the goods promptly, especially in B2B transactions, where buyers later discover defects they could have identified upon delivery. Such omissions can weaken their legal position.

How to proceed correctly

If you are the buyer, you should always check the goods immediately upon delivery and notify the seller of any defects without undue delay. If the defect appears later, try to obtain proof that it existed at the time of delivery, such as an expert report. Sellers, on the other hand, should set up strict quality control and compliance processes, because failure to meet obligations can lead to liability for later defects.

Practical examples

A common case is the delivery of electronics that works upon handover but develops a manufacturing defect weeks later. Even though the buyer used it correctly, the seller had used a faulty component. Rights from defects arise here, because it was caused by the seller’s breach. Another example is building materials that seemed fine upon delivery, but later turned out to have a different composition than agreed. Again, rights from defects apply, since the seller failed to meet the agreed terms.

Why you should not rely on “common sense”

The line between defects that give rise to claims and those that do not is not always intuitive. In complex transactions, the boundary can be very unclear, and disputes often focus precisely on whether the defect existed before risk transfer or arose later. That is why the legal framework must be taken seriously, and not replaced by mere assumptions.

Lawyer’s recommendation

As a lawyer, I recommend that sellers carefully document the quality and condition of goods upon delivery, for example through handover protocols or photos. Buyers, in turn, should be cautious when taking delivery and should not hesitate to report defects as soon as they appear. Prompt action often determines whether rights from defects can be successfully enforced at all.

FAQ

When exactly do rights from defects arise?
Either at the moment the risk passes to the buyer, or if the defect was caused by the seller’s breach of duty.

What if a defect appears later?
If it existed at delivery or was caused by the seller’s breach, you can claim rights from defects.

Does the buyer always have to inspect the goods immediately?
Yes, especially in B2B contracts. If the buyer fails to inspect, they may lose the ability to claim defects.