Content of a Notice of Termination of Employment

Act No. 262/2006 Coll., Labour Code, explicitly specifies under which circumstances and in which way is an employer allowed to terminate an employment law relationship.

An employment law relationship may be terminated inter alia by giving a notice. The Supreme Court of the Czech Republic has recently (decision as of 02.02.2015, Reference Number 21 Cdo 1161/2013) dealt with a question of the content of a notice of termination of employment.

Entry of Academic Degrees into the Commercial Register

The Supreme Court in Prague has recently dealt with a question whether the holder of an academic degree has a right to ask for the entry of the degree into the public registries, for example into the Commercial Register (judgment of the Supreme Court in Prague as of 28.05.2013, Reference Number 7 Cmo 346/2013).

Criteria for Assessing the Adequacy of a Contractual Fine

Contractual parties can stipulate that a party shall pay a contractual fine in case of a breach of a contractual obligation.

Non-competition Clause pursuant to Labour Code

Provision of Section 310 Subsection 1 of the Labour Code enables the employer and the employee to negotiate a non-competition clause. The Supreme Court has recently issued a judgement (Reference Number 21 Cdo 506/2013) in which it expressed its opinion on concluding an agreement on a non-competition clause and its content.

Expression of Number of Managing Directors in the Memorandum of Association of the Limited Liability Company

According to Act No. 90/2012 Coll., on Business Corporations, the Memorandum of Association of the Limited Liability Company (s.r.o.) must also contain the explicit number of its Managing Directors. The Limited Liability Companies therefore had to adjust their Memorandum of Association to the Act on Business Corporations. The number of Managing Directors must also be obligatorily published in the Commercial Registry.

Expelling of a Member of a Cooperative for Breaching of Membership Obligations

According to the Commercial Code and also according to the new Civil Code, which replaced the Commercial Code with effect as of 1^st January 2014, a member of the cooperative may be expelled by the board of directors if he/she repeatedly breaches membership obligations (for example the obligation to pay the rent and associated costs). The member must be informed about the decision of the board of directors by a written notice.

Claim to premiums and benefits in labour-law relationships

Employers often motivate their employees by different kinds of premiums, benefits and other variable wage components that depend on work performance of the employee or on the economic outcome of the employer.

Content of Decision of the Employer about Organizational Changes

Act. No. 262/2006 Coll., Labour Code, determines when an employer is entitled to give notice to the employee. Among other situations an employer is entitled to give notice to the employee because of the redundancy of the employee on the grounds of a decision of the employer about organizational changes.

Termination of Lease Contracts Concluded for a Definite Period of Time

The Supreme Court of the Czech Republic has stated in its decision as of 28^th March 2007, Reference Number 28 Cdo 2747/2004, that if a lease contract for land plots was concluded for a definite period of time which exceeds the usual life length (for example if the lease contract was concluded for 100 years), such contract should be considered as a contract that was concluded for an indefinite period of time. Contracts that are concluded for an indefinite period of time can be terminated by a notice in a three months notice period.

Sending the foreigners on business trips

For many years there have been discussions if it is possible to send a foreigner who works on the grounds of a work permit, EU Blue card or Employee Card on a business trip. A foreigner who is sent on a business trip performs his work outside the place of performance of the work that is set in the work permit. This brought us to a question if sending a foreigner on a business trip means performance of work without permission.