Mgr. ANNA VEJMELKOVÁ, advokát

business, signature, contract, document, deal, paperwork, hand, ready, to write, ok, contract, contract, contract, contract, contract, paperwork-962358.jpg

Termination of a Czech Work Contract: When and How an Obligation Ends

Print

In most cases, a work contract ends with the client receiving the work and paying the agreed price. But what if something goes wrong? What if the client changes their mind or the work becomes impossible to complete?

There are several legal ways a contract can terminate – and each comes with different consequences.

⚖️ How Can a Work Contract End?

Under Czech Civil Code (especially §§ 2001, 2586, and 2631), a contract may end:

1. By Fulfillment

The standard case – contractor completes the work, client accepts it and pays.

2. By Agreement

Both parties can agree to terminate the contract at any time – for any reason.
Best practice: document the agreement in writing.

3. By Withdrawal

Allowed in situations such as:

  • serious breach of contract,

  • non-remedied defects,

  • loss of trust,

  • or if agreed in advance.

Legal effect: the contract is void from the beginning, and both parties must return what they have received.

4. Due to Impossibility

For example, the site burns down, technical execution becomes infeasible, or force majeure prevents fulfillment.
In these cases, the contract automatically terminates due to objective impossibility.


🧱 Real Example: Withdrawal Due to Inaction

A contractor was to carry out complete electrical work. The client failed to provide access for over 3 months. After a formal written request with no response, the contractor withdrew from the contract.
Because everything was documented properly, he could recover his costs.


📌 What to Watch Out For?

  • Always document termination in writing.

  • You need a valid reason to withdraw – mere inconvenience is not enough.

  • If the work becomes impossible, keep records proving it.

  • Even after termination, you may be entitled to cost reimbursement or damages.

✅ Thinking about ending a contract?

📩 Short legal consultation from CZK 1,500 excl. VAT.
Let me help assess the grounds, draft the termination or agreement, and avoid legal pitfalls

Contact a legal professional – I specialize in contract law.
Learn more here.

Scroll to Top