Obrana proti platebnímu rozkazu

What is a payment order and why is it dangerous for your business?

This legal instrument poses a significant risk to entrepreneurs. If you do not file a statement of opposition to the payment order within 15 days of its delivery, it will take effect as a final and binding judgment. This means that no further appeal is possible, and the creditor can immediately initiate enforcement proceedings. For your company, this can mean frozen accounts, loss of trust from business partners, and, in extreme cases, existential problems.

Why is the fifteen-day deadline crucial?

The law stipulates that you can file a statement of opposition to a payment order within 15 days of its delivery. You do not have to provide any justification for the opposition. If you file it on time, the payment order is automatically cancelled in its entirety, and the proceedings continue in the standard manner.

The problem arises when you miss this deadline. There can be many reasons – improper delivery, the absence of a key person in the company, an administrative error, illness. Regardless of the cause, however, a payment order against which no timely opposition has been filed has the same effects as a final and binding judgment. The creditor can then immediately apply for enforcement proceedings.

No, a statement of opposition to a payment order does not need to contain any justification. It is sufficient to state that you disagree with the payment order. 

Even if you have missed the fifteen-day deadline for filing an opposition to a payment order, it does not mean all is lost. The Czech legal system offers several extraordinary procedural tools that can still turn the situation around. However, their correct use requires precise legal knowledge and a swift reaction.

1. Motion to waive the missed deadline under Section 58 of the Code of Civil Procedure

The first tool is a motion to waive the missed deadline. The court may waive a missed deadline if a party to the proceedings missed it for an excusable reason and was therefore precluded from performing an act to which they are entitled.

You must file the motion within 15 days of the obstacle ceasing to exist, and you must combine it with the missed act – i.e., the statement of opposition to the payment order. The key is to prove that the reason for missing the deadline was excusable.

What reasons do courts consider excusable?

Case law distinguishes between objective and subjective reasons. Excusable reasons may include, for example:

• A sudden illness or injury that objectively prevented you from filing the opposition on time

• Shock caused by the death of a close person

• Objective circumstances beyond your control (e.g., transport delays, technical communication failures)

Conversely, courts do not consider the following to be excusable:

• Negligence in handling documents

• A permanently poor health condition that did not change during the deadline period

• Technical problems that could have been resolved in another way

• Insufficient cooperation with a legal representative

It is important to emphasize that the assessment of the excusability of the reason is always at the specific discretion of the court. We know from practice that even seemingly clear cases can be assessed differently by courts. Moreover, the Constitutional Court notes that the nature of order proceedings requires increased protection of the defendant's rights, which may work in your favour.

The lawyers at ARROWS have extensive experience in preparing motions to waive missed deadlines and are familiar with the case law and argumentation strategies that increase the chances of success. If you are dealing with a missed deadline, do not hesitate to contact our Prague-based firm.

2. Action for a retrial under Section 228 of the Code of Civil Procedure

The second extraordinary remedy is an action for a retrial. This allows you to challenge a final and binding payment order if there are new facts or evidence that, through no fault of your own, could not be used in the original proceedings and which may lead to a more favourable decision for you.

You must file the action for a retrial within 3 months from the time you learned of the grounds for the retrial. A payment order can be challenged by a retrial if the grounds for the retrial relate to the prerequisites under which it was issued.

When is a retrial relevant?

Typical situations where it is appropriate to consider an action for a retrial:

• New evidence has emerged proving that the payment order was issued unlawfully (e.g., proof of debt payment that you could not present earlier)

• Fraudulent conduct by the plaintiff has been discovered (e.g., forged documents on which the payment order was based)

• The payment order was issued without meeting the legal conditions, and you only learned of this after it became legally effective

It should be emphasized that in retrial proceedings, the court does not review the legality of the original decision, but only assesses whether the new facts or evidence, in conjunction with the evidence already presented, can lead to a different, more favourable decision.

In practice, preparing an action for a retrial is very demanding. You must precisely define what the new facts or evidence are, why you could not use them earlier through no fault of your own, and how they would have affected the outcome of the original proceedings. Incorrect formulations or insufficient argumentation lead to the dismissal of the action.

The ARROWS law firm specializes in preparing actions for a retrial, and we have successfully represented clients in many similar cases in the past. Our lawyers thoroughly analyze all circumstances, gather relevant evidence, and prepare a procedurally and substantively flawless action. For an immediate solution to your situation, write to us at consultation@arws.cz.

3. Action for nullity under Section 229 of the Code of Civil Procedure

The third extraordinary remedy is an action for nullity. This targets procedural defects in the proceedings that led to the issuance of the payment order. Unlike an action for a retrial, which focuses on factual deficiencies, an action for nullity addresses procedural errors by the court or the parties.

An action for nullity can be filed within 3 months of the delivery of the challenged decision (the general deadline), with special deadlines applying to certain grounds for nullity.

When can an action for nullity be filed?

You can file an action for nullity if:

• A decision was made in a matter that does not fall within the jurisdiction of the courts

• A party participated in the proceedings who lacked the capacity to be a party or lacked procedural capacity, or was not properly represented

• No motion to initiate proceedings was filed as required by law

• The decision was made by a disqualified judge or lay judge

• The decision was issued as a result of a criminal act by a judge or lay judge

• A party was deprived of the opportunity to act before the court due to an incorrect procedure by the court

For entrepreneurs, the situation where they were deprived of the opportunity to act before the court due to an incorrect procedure by the court is particularly relevant. This can occur, for example, when the court issued a payment order without the legal conditions being met, or when there was an error in service of process.

It is crucial to emphasize that an action for nullity is not a tool for reviewing the substantive correctness of a decision, but exclusively for rectifying procedural defects. If you disagree with the amount of the claim or its validity, an action for nullity is not the right solution.

Preparing an action for nullity requires a deep knowledge of procedural law and case law. The lawyers at ARROWS have extensive experience with extraordinary remedies and can identify procedural defects that may be grounds for nullity. Connect with us at consultation@arws.cz and get a tailor-made legal solution.

The success rate depends on the specific circumstances of the case. From our practice, we know that precise legal preparation and thorough argumentation significantly increase the chances of success.

Why is every hour after missing the deadline important?

Time plays a key role in the process of defending against a payment order. Every day of delay means a higher risk that the creditor will file a motion to initiate enforcement proceedings. Once enforcement is ordered, your accounts can be frozen, assets seized, and business reputation severely damaged.

Moreover, some procedural deadlines are preclusive – their expiration extinguishes the right you could have exercised. For example, you must file a motion to waive a missed deadline within 15 days of the obstacle ceasing to exist, and an action for a retrial within 3 months of learning of the grounds for the retrial.

In practice, this means that if you miss the deadline for filing an opposition and only address the defence after several weeks, it may be too late for any solution. Therefore, it is essential to act immediately.

Why entrust your defence to the ARROWS law firm?

Defending against a payment order after missing the deadline is a very complex matter, both procedurally and substantively. Seemingly simple steps have hidden pitfalls, procedural details, and connections to other regulations in the real world that a layperson often does not see.

The ARROWS law firm deals with commercial disputes and payment orders on a daily basis. This allows us to significantly reduce time and minimize the risk of errors for our clients. Our firm is insured for damages up to CZK 500,000,000, which means maximum security for the client. We regularly partner with corporate lawyers to resolve special matters.

Comprehensive legal services from ARROWS in the field of commercial disputes

Our legal services in the area of defence against payment orders include in particular:

• Immediate analysis of the procedural situation and recommendation of the most suitable defence strategy

• Preparation and filing of motions to waive the missed deadline, including the statement of opposition to the payment order

• Drafting actions for a retrial and for nullity with thorough legal argumentation

• Representation in court proceedings before courts of all levels

• Representation in enforcement proceedings and motions for a stay or termination of enforcement

• Review of contracts and business terms and conditions that minimize the risk of future disputes

• Expert legal opinions on complex procedural issues

• Legal training for employees and management on procedural rights and obligations

Thanks to the ARROWS International network, built over decades, we are able to provide legal services abroad, which is key for entrepreneurs with an international element. We handle cases with an international element almost daily and know how to coordinate proceedings in multiple jurisdictions simultaneously.

Our portfolio includes more than 150 joint-stock companies, 250 limited liability companies (s.r.o.), and 50 municipalities and regions. We pride ourselves on speed and high quality. If you are dealing with a problem involving a payment order or another commercial dispute, do not hesitate to contact our Prague-based firm.

Reality is more complex than it seems: Why leave procedural defence to experts?

Defending against a payment order may at first glance seem like a simple procedural act – all you have to do is file an opposition. However, the reality is much more complex. Procedural rules have hidden exceptions, deadlines are strict, and an error in a single detail can mean a lost case.

For example:

• The excusability of the reason for missing a deadline is not clearly defined, and courts assess it individually according to the specific circumstances. What is excusable in one case may not be accepted in another.

• An action for a retrial requires proving that new facts or evidence could not have been used through no fault of your own. If the court concludes that you could have known about them earlier, it will dismiss the action.

• An action for nullity must be filed within a precise deadline, which varies depending on the grounds for nullity. A miscalculation of the deadline can lead to the rejection of the action.

All these procedural tools require a deep knowledge of the Code of Civil Procedure, relevant case law, and practical experience in litigation. For example, if you incorrectly formulate an action for a retrial or fail to include all the required elements, the court will reject or dismiss it – and you will have lost your last chance for a defence.

The lawyers at ARROWS have many years of experience with commercial disputes and extraordinary remedies. We can quickly analyze the situation, identify procedural options, and prepare legally flawless filings. For the client, this means peace of mind and the certainty that their defence is in professional hands. If you do not want to risk mistakes, damages, or fines, you can safely leave the entire matter to ARROWS.

Other services ARROWS offers in connection with commercial disputes

In addition to defending against payment orders, we provide comprehensive legal services in the field of commercial law, which include:

• Debt recovery, including out-of-court negotiations and representation in court proceedings

• Preparation of pre-action letters and negotiation of amicable dispute settlements

• Representation in arbitration proceedings in the Czech Republic and abroad

• Preparation and review of commercial contracts that minimize the risk of disputes and protect your interests

• Legal audits of business relationships and identification of risk areas

• Representation before regulators and supervisory authorities, including compliance with legal obligations

• Obtaining licenses and permits necessary for your business

If you are looking for financing or a business partner for a purchase or sale, we can connect you with other clients from our portfolio who have interesting investment or business opportunities. We are also happy to listen to your entrepreneurial or business ideas. If you are looking for financing or a business partner in a particular area, do not hesitate to contact us.

How to proceed step-by-step if you have missed the deadline?

If you have received a payment order and missed the fifteen-day deadline to file an opposition, we recommend the following procedure:

1. Contact the ARROWS law firm immediately

Time is of the essence. The sooner you turn to experts, the greater the chance of a successful defence. Write to us at consultation@arws.cz or contact us by phone.

2. Prepare all documents

Gather the payment order, documents proving the reason for missing the deadline (e.g., medical reports, travel documents), contracts and correspondence with the other party, proof of payment, or other relevant evidence.

3. Have a legal analysis prepared

Our Czech legal team will conduct a detailed analysis of the procedural situation, assess the excusability of the reason for missing the deadline, and recommend the most appropriate procedural strategy. You will get a clear idea of your options and prospects for success.

4. File a motion to waive the missed deadline or another action

Based on the legal analysis, we will prepare and file the appropriate extraordinary remedy. We will ensure that all procedural requirements are met and that the filing is made on time.

5. Have us represent you in further proceedings

After filing the motion or action, we will represent you throughout the entire course of the proceedings – from preparing documents for the court to attending hearings. You will have an overview of the dispute's progress at all times, and we will keep you informed of all important steps.

Don't want to solve this problem on your own? More than 2,000 clients trust the ARROWS law firm, and we have been awarded as Law Firm of the Year 2024.

Conclusion: Don't wait, act immediately

Missing the deadline to file an opposition to a payment order is not the end of the world, but it is a situation that requires an immediate and professional solution. Every day of delay means a higher risk of enforcement proceedings, frozen accounts, and damage to your business reputation.

The ARROWS law firm has many years of experience with commercial disputes and extraordinary remedies. Our Czech legal team can quickly analyze your situation, prepare procedurally flawless filings, and represent you throughout the entire proceedings. Thanks to our liability insurance of up to CZK 350,000,000, cooperation with us is as safe as possible for you.

Don't wait until it's too late. If you have missed the deadline for filing an opposition to a payment order or are facing another commercial dispute, contact us.