Buying Property with a Tenant in Place: Key Lease Risks Under Czech Law

JUDr. Jakub Dohnal, Ph.D., LL.M.
JUDr. Jakub Dohnal, Ph.D., LL.M.
16.4.2026 | ARROWS law firm

Buying a property with an existing tenant may seem straightforward: the apartment is already rented out and rental income starts flowing from day one. In practice, however, it is significantly more complex. One of the most common mistakes investors make is failing to properly review the lease agreement, which can subsequently lead to losing control over the property, disputes with the tenant, or even financial loss. This article will guide you through the risks to watch out for, what information to request from the seller, and how to protect yourself both legally and financially under Czech law.

The photo shows a specialist addressing issues related to the purchase of a property with a tenant in place.

Quick summary

  • Buying a property with an existing tenant automatically means taking over all rights and obligations under the lease agreement. The agreement continues unchanged – a change of ownership in itself is not a reason to terminate the lease. It is therefore essential to thoroughly review the lease agreement before signing the purchase agreement.
  • The key to a successful investment is assessing the rent amount, the existence of an inflation clause, the term of the agreement, and the transfer of the security deposit to the new owner. The obligation to return the security deposit transfers to the buyer – if you do not agree this in the purchase agreement with the seller, you may have to pay it from your own funds.
  • Investing in rental housing brings stable income, but it also hides a number of legal pitfalls. Without reviewing the agreement and professional assistance, an apparently advantageous purchase can turn into a dispute with the tenant, lengthy court proceedings in the Czech Republic, or a financial loss.

Basic legal reality: what happens to the existing lease agreement after you buy the property

When you buy a property that is already rented out, it is not simply acquiring an empty apartment. The lease agreement continues, fully automatically, without the need to renew it or sign a new document. Under the Czech Civil Code, if the owner of the item changes, the rights and obligations arising from the lease transfer to the new owner. This means you become the new landlord with all the rights and obligations that the previous owner had.

This rule protects the tenant, but it can be a significant limitation for a new investor. The tenant may keep the original lease agreement, and you as the new owner have only those rights and obligations towards them that are set out in it. A change of ownership in itself is not a reason to terminate the lease. When buying a rented property, it is therefore worth having the linkage between the purchase agreement and the lease relationship reviewed as part of real estate law under Czech legislation.

If the lease was not recorded in the Cadastral Register and the new owner did not know about it at the time of acquisition, they may terminate the lease within three months after learning of it, with a three-month notice period. Otherwise, they are bound by the existing lease agreement (Section 2222 of the Czech Civil Code). If you want to change the rent terms, you must negotiate with the tenant by way of an agreement, while their position is protected by law.

This is precisely why you must review the lease agreement before the purchase, not only after you become the owner. Once concluded, the agreement may bind you for years. We also summarise the practical impacts of contractual mechanisms (including indexation and price changes) in the article inflation clauses in contracts for work: CZSO indices vs. ÚRS and proving the real increase in material prices.

Reviewing the lease agreement: what you need to request from the seller

The first step, before any further negotiations, is to obtain the full text of the valid lease agreement including all amendments. In addition to the agreement itself, also request evidence of the paid security deposit (deposit), in what amount, and whether it was actually paid by the tenant.

Find out whether this obligation is left to their discretion or whether it has already been fulfilled. Likewise, verify whether any contractual penalties were agreed in the lease agreement, and in what amount. The law provides that the aggregate amount of the security deposit and agreed contractual penalties must not exceed three times the monthly rent (Section 2254 of the Czech Civil Code).

Also find out whether the tenant is making any investments or alterations in the apartment with the landlord’s consent. Examples include a bathroom renovation or replacing the kitchen unit. If the parties did not agree in advance on the method of settlement, the tenant has the right, after the lease ends, to claim compensation for the increase in value of the apartment, which may leave you as the new owner with a bill for tens or hundreds of thousands of Czech crowns (Section 2223 of the Czech Civil Code).

In long-term lease relationships, this increase in value is gradually consumed – a kitchen unit after ten years will no longer have the same value – but it is still important to be aware of these obligations.

Rent amount and due date: the economic core of the investment

The central focus of every investor is the rent amount and its due date. It is not enough to know how much the tenant pays; you must assess whether the rent amount corresponds to current market rents in the given location. If the rent is too low, the return from the apartment will not meet your expectations. In such a situation, it makes sense to prepare supporting documents and a draft agreement with the tenant as part of contracts and negotiations. In that case, it is important to verify whether the agreement contains a clause allowing an increase in rent, for example an inflation clause.

An inflation clause is a contractual provision that allows rent to be increased in line with the inflation rate. In practice, once the prices of goods and services increase by a certain percentage, the rent increases in the same way.

A good inflation clause should contain three main elements: a specified date for the rent increase (typically once a year), a specific inflation indicator (for example, the consumer price index published by the Czech Statistical Office), and precisely defined conditions under which the increase occurs. If you deal with indexation in practice for apartment buildings, you may also find useful an overview of new obligations for owners and homeowners’ associations (SVJ) in the article homeowners’ associations (SVJ): new SVJ obligations in relation to apartment buildings from January 2027.

If the inflation clause is missing from the lease agreement, as the landlord you have the option to propose an increase in rent to the level of the usual rent in the given location. However, this increase must not, together with previous increases over the last three years, exceed 20% (Section 2248 of the Czech Civil Code).

Such an increase will occur only if the tenant agrees to it or if it is determined by a court. The process is lengthy and cumbersome – the landlord must first propose the increase in writing, the tenant has two months to decide, and if they do not reach an agreement, the landlord may ask the court to determine the amount of rent. This represents an administrative burden as well as a time and financial cost.

The rent due date affects your cash flow. Find out whether the rent is always due at the beginning of the month or at the end. If you have a mortgage that you repay, for example, on the 15th of the month, and the rent comes in only on the 25th, you may end up in a situation where you do have income, but not at the time you need it.

Term of the lease: how long you are bound

A lease agreement may be concluded either for a fixed term or for an indefinite term. This distinction has a fundamental impact on your flexibility as a landlord.

If the agreement is concluded for a fixed term, it ends automatically upon expiry of the agreed term without the need for notice of termination. However, there is a legal trap here: if the tenant remains in the apartment after the agreed term has expired and you do not call on them in writing to vacate within three months, the lease is deemed to have been concluded for an indefinite term.

This means that the tenant acquires the right to terminate the lease with three months’ notice, while you will no longer be able to get rid of them without a serious reason (Section 2285 of the Czech Civil Code).

This is precisely why it is advisable for landlords to conclude lease agreements for a fixed term, at least initially. It gives you control over when the tenant must move out. If you want to continue with the existing tenant, you can extend the agreement or enter into a new one.

Most common questions about the term and conditions of the lease

1. Can a new owner automatically terminate the lease just because they became the owner?
No. A change of ownership in itself is not a reason to terminate the lease. The lease continues under the same terms. An exception exists only if the lease was not registered in the Cadastral Register and the new owner did not know about it at the time of acquisition. In such a case, the new owner may terminate the lease within three months after learning of it, with three months’ notice (Section 2222 of the Czech Civil Code).

2. What happens if a fixed-term lease expires and the tenant does not leave?
If the tenant remains in the apartment even after the fixed term expires and you do not call on them in writing to vacate within three months, the agreement automatically changes into a lease for an indefinite term. The tenant then acquires the rights of an indefinite-term tenant and you will not be able to get rid of them without a serious reason (Section 2285 of the Czech Civil Code). Therefore, it is absolutely essential to send a written notice to vacate if you want the lease to end.

3. Is it better to buy an apartment with a long-term lease or a short-term one?
That depends on your strategy. A long-term lease (1–3 years) gives you certainty of income. However, if you want to use the apartment yourself later or convert it into short-term rentals (Airbnb), a long-term agreement is disadvantageous. Clarify your vision before purchasing.

Security deposit, guarantee and the possibility of its return

One of the most frequently overlooked aspects is the management of the security deposit (guarantee) paid by the tenant. The security deposit is not the landlord’s income; it is security against non-payment of rent and potential damage. Under Czech law, the aggregate amount of the security deposit and agreed contractual penalties must not exceed three times the monthly rent (Section 2254 of the Czech Civil Code).

There is a practical risk here: The obligation to return the security deposit to the tenant transfers to the new owner – meaning to you (Section 2221 of the Czech Civil Code). If the seller, for example, used the deposit to cover damage or unpaid rent, you as the new owner are obliged to return it even if you did not receive it from the previous owner.

If you have not clarified this with the seller in the purchase agreement, only the obligation to return the deposit will transfer to you, not the right to automatically demand it from the seller.

In practice, this is most often handled by deducting the amount of the security deposit directly from the purchase price of the property or by setting out a clear agreement that the seller will transfer it to you. If you do not address this in advance, you may end up having to return the deposit to the tenant out of your own funds.

We therefore recommend that the purchase agreement with the seller expressly regulates the security deposit: its amount, whether the seller has transferred (or handed over) it to you, and how it will be handled after the change of ownership. Some authors address this by having the buyer ensure that the deposit remains held in an attorney’s or notary’s escrow account, which will ensure its handover in accordance with the agreement.

Tenant rights and obligations: what you need to know before you buy

The lease agreement should clearly define what the tenant may and may not do in the rented apartment. However, this is where the strong protection of tenants under Czech law becomes apparent. Under the Czech Civil Code, no account is taken of arrangements that curtail the tenant’s rights (Section 2235 of the Czech Civil Code). If the agreement therefore contains, for example, a ban on keeping pets or a ban on smoking without an objective and justifiable reason (e.g., a safety or health reason), such arrangements are invalid.

The tenant has the right to use the apartment properly and in accordance with the lease agreement. In practice, this means that they use the apartment for housing and do not damage it intentionally or through negligent neglect. If the tenant breaches the house rules, causes noise, or otherwise disturbs others, this may be grounds for termination (Sections 2288 and 2291 of the Czech Civil Code).

However, there are graduated sanctions: a gross breach of the tenant’s obligations may lead to termination with three months’ notice, while a particularly serious breach (e.g., long-term non-payment of rent, serious damage to the apartment) may lead to immediate termination without a notice period.

As the new owner, you are obliged to maintain the apartment in a condition fit for use (Section 2205 of the Czech Civil Code). This means you must ensure functional water, gas, electricity and heating systems and other basic equipment. Routine maintenance and minor repairs up to a certain cost threshold are paid by the tenant.

As of 1 January 2026, the limit for a single minor repair increased to CZK 1,500 (previously CZK 1,000) and the annual cap increased to CZK 150 per square metre of floor area (previously CZK 100) under Government Regulation No. 308/2015 Coll., defining the terms routine maintenance and minor repair related to the use of an apartment. This means that for an 80-square-metre apartment, the tenant is obliged to pay up to CZK 12,000 per year for minor repairs.

If the tenant breaches their obligations in the apartment (e.g., fails to prevent mould, does not fix a cracked socket that they themselves left broken), they are liable for the resulting damage. You as the landlord may then claim compensation.

Potential issues

How ARROWS helps (office@arws.cz)

The new owner does not know the market rent and buys a loss-making apartment.

ARROWS attorneys will carry out a market rent analysis and help determine a realistic property value with regard to the existing lease relationship under Czech law.

The seller does not clarify what will happen to the security deposit and the tenant later demands its return from the new owner.

ARROWS will ensure that the security deposit is clearly addressed in the purchase agreement and that you are protected against unexpected financial claims under Czech legislation.

The contract lacks clear terms for termination of the lease or for dealing with a change of owner.

ARROWS attorneys will review the contract and point out legal risks you might otherwise overlook in the Czech legal system.

After the purchase, the tenant demands performance of atypical obligations (garden maintenance, payment of utilities) that are not clearly defined in the contract or that the new owner did not know about.

ARROWS attorneys will help clarify the tenant’s rights and obligations and defend your position under Czech law.

The new owner discovers that the existing lease agreement contains terms that are disadvantageous to them or that the tenant is breaching the agreement, which was not identified before the purchase.

ARROWS can assist you with mediation or representation in court disputes relating to the lease relationship in the Czech Republic.

Changes in tenancy law from 2026

In January 2026, an amendment came into effect that increased the limits for minor repairs. As already mentioned, the limit for one minor repair was increased to CZK 1,500 and the annual cap was increased to CZK 150 per square metre under Government Regulation No. 308/2015 Coll. This change shifted the threshold of what falls under the minor-repair regime and at the same time reflects rising labour and material costs.

At the same time, from 1 January 2026 the annual limit also begins to be systematically increased by the inflation rate determined by the Czech Statistical Office. This means that in the coming years the limit will also rise dynamically.

For you as an investor, this means you should regularly review which repairs and maintenance fall under the minor-repair regime and which are the landlord’s responsibility under Czech legislation. The contract should be sufficiently flexible to adapt to these changes.

The landlord’s obligations and their transfer to the new owner

When the owner of a property changes, the landlord’s rights and obligations generally transfer to the new owner. However, there is an important exception: the new owner is not bound by those arrangements regarding the landlord’s obligations that are not stipulated by law and that the new owner did not know about at the time of acquisition (Section 2221(2) of the Civil Code).

If, therefore, the previous owner agreed something atypical with the tenant – for example, that the landlord will deliver the tenant’s groceries once a week – this obligation does not transfer to you if you did not know about it and it is not required by law. If the new owner knew about such an arrangement at the time of purchase, they are then bound by it in view of good faith.

From a practical perspective, this means you should also examine the lease agreement for atypical obligations that the owner agreed with the tenant. If it includes any special services or obligations (e.g., maintenance of certain equipment, payment of certain services by the landlord, etc.), you must be aware that overlooking them may lead to disputes with the tenant, who will expect these obligations to be fulfilled.

Most common questions on rights and obligations

1. Can I prohibit the tenant from getting a pet?
If the previous owner clearly agreed this in the lease agreement, you can rely on it. However, it must be sufficiently justified (e.g., an allergy sufferer in the building, risk of damage to the apartment, an excessive number of animals). A completely absolute ban without objective justification could be interpreted by some courts as invalid, as it would curtail the tenant’s rights (Section 2235 of the Civil Code).

2. What if the tenant does not pay the rent or does not pay on time?
You are entitled to charge statutory default interest, consisting of the CNB repo rate plus 8 percentage points (under Government Regulation No. 351/2013 Coll.). Long-term non-payment of rent and/or advance payments for services for at least three months constitutes a particularly serious breach of the tenant’s obligations, allowing you to give the tenant an immediate notice of termination without a notice period. If you want to avoid this extreme solution, you can try to agree on instalments or contact an attorney.

3. Who pays for repairing a broken window if the tenant broke it?
If the tenant broke it intentionally or through negligence, the tenant must pay for the repair. If the window broke on its own due to age or a defect, the landlord bears the cost (under Sections 2205 and 2207 of the Civil Code). Ideally, you should agree and resolve it by way of a rent reduction or from the security deposit.

Preparing for the purchase: what you need to clarify with the seller

Ideally, all of these topics should be resolved before you sit down to sign the purchase agreement. The purchase agreement should clearly reflect what happens to the lease agreement, the security deposit, and the tenant after the change of ownership.

In the purchase agreement, you should expressly state: (1) that the buyer acquires the property with an existing tenant, (2) what security deposit has been paid and how it will be handled (including its transfer), (3) that the lease agreement continues unchanged unless the buyer and the tenant agree otherwise, and (4) how any disputes between the seller and the tenant regarding non-payment of rent or damages will be resolved.

It is equally important to ensure that the purchase price is deposited in escrow with an attorney, notary, or bank—rather than being handed directly to the seller. This protects both the buyer and the seller: the buyer is sure to receive the property, and the seller is sure to receive the money.

Handover protocol: often overlooked, but very important

When you become the new owner, you should draw up a handover protocol with the original owner and the tenant (ideally) or at least with the original owner. This document should state: the condition of the apartment at the time of handover, a list of furnishings and equipment, the number of keys and their handover, any visible defects, and photo documentation.

The handover protocol serves as evidence in case disputes later arise about the condition in which the apartment was taken over. If the tenant later claims that their security deposit should have been used to repair the poor condition of the apartment, which they allegedly took over “destroyed”, you will have a protocol in hand to refute that.

It is advisable to take photographs at the same time: shots of each room, details of walls, floors, windows. A modern smartphone is sufficient. If possible, also arrange a short video walkthrough of the apartment. These records may later prove invaluable.

Due diligence in practice: what you need to find out about the tenant

You should approach the purchase of a property with a tenant as the purchase of a “package of risks” that comes with it. Check the tenant’s payment discipline, if possible. If there is public information that the tenant is in insolvency proceedings or enforcement proceedings are pending against them (execuce), this is a warning sign. Although it does not automatically mean the tenant is not paying, it is a useful data point.

Also make sure you obtain information on whether the tenant has permanent residence registered in the apartment, or whether they only live there. This is important for any future resolution of tenancy-related issues. Also verify how many people permanently live in the apartment and whether it is not a business entity that would be carrying out some activity there.

If appropriate, you can also try to find out whether the tenant causes problems in the building or behaves considerately towards neighbours. The owners’ association (SVJ) or the property manager can provide valuable information.

Most common questions on tenant screening and due diligence

1. Am I allowed to ask the tenant whether they are in debt or in insolvency?
Formally, no – you are not entitled to ask about the tenant’s personal financial situation. However, you can check public registers (the Central Register of Enforcement Proceedings and the Insolvency Register), where such data are publicly available.

2. What if the tenant states that they do not have permanent residence registered in the apartment?
This is not, in itself, a legal problem, but you should make a note of it. If the tenant later simply disappears and stops paying, it will be harder for you to trace them. Conversely, permanent residence in the apartment means they have that address registered, which is better for service of documents and potential enforcement.

3. As the new owner, can I change the lease agreement with the tenant without asking them?
No. You must ask them, ideally formally, stating that you are interested in a new lease agreement with better terms (for example, an indexation clause). If the tenant does not agree, you cannot impose new terms on them unless the existing agreement allows it or it concerns a statutory rent increase. However, if you want to build in flexibility, you can negotiate a rewrite of the agreement with the tenant – in exchange for some benefit for them (e.g., a guarantee of long-term housing).

Steps after buying a property with a tenant: how to introduce yourself and set the relationship

One of the main mistakes investors make is the lack of communication with the tenant after the purchase. The tenant has no obligation to learn anything about the purchase if no one informs them. As the new owner, you should notify the tenant of the change of ownership as soon as possible and provide them with new contact details, including an email address or phone number for the person responsible for managing the property (under Section 2221 of the Czech Civil Code).

We recommend a written letter or email (ideally sent by registered mail) that explicitly informs the tenant: (1) that you are the new owner, (2) that the lease agreement remains valid unchanged, (3) how rent will be paid going forward, (4) how maintenance and repairs will be handled, and (5) when you would like to meet the tenant in person and discuss the details.

This communication increases trust and reduces the risk of misunderstandings. Many tenants worry that their position will change or that they will be forced to move out. Clear communication is the foundation of a good relationship.

Negotiating a new lease agreement: when it makes sense

If you aim to improve the lease terms (increase rent, add an indexation clause, shorten the term), you have several legal options. First, you can try to agree with the tenant on a new lease agreement that is more acceptable to both parties. Second, if the agreement is for an indefinite term, you can increase the rent gradually in the future in accordance with the law (up to a maximum of 20% over the last three years up to the level of usual rent under Section 2248 of the Czech Civil Code).

If the tenant is not pressing to sign a new agreement, you should try to provide some motivation. For example: “We will enter into a five-year agreement with an indexation clause, but I guarantee I will not increase the rent during the first two years.” Or: “We will invest in minor repairs to the apartment that concern you, but we ask you to agree to a five percent increase.”

A well-chosen strategy can be successful – especially if the new owner offers the tenant something in return, such as a guarantee of long-term housing or investment in the apartment.

Recording the lease agreement in the Cadastral Register: does it make sense?

Under the Czech Civil Code, it is possible to record a lease right in the Cadastral Register of Real Estate (Section 2204 of the Czech Civil Code and Section 11 of the Cadastral Act). Registration is not mandatory, but it has significant advantages: the tenant is protected in case the property is sold and the new owner “did not know” about the lease relationship. If the lease is recorded in the Cadastral Register, it is clear that it is a right in rem with public effect, to which the principle of public reliance on the Cadastral Register applies.

Moreover, if the lease is recorded, the new owner cannot argue that they did not know about the lease and therefore terminate it unilaterally under Section 2222 of the Czech Civil Code.

From your perspective as the buyer, this means you should always check whether the existing lease right is recorded in the Cadastral Register. If it is, you have even clearer legal certainty. If it is not recorded, all parties rely purely on the written agreement.

The recording of a lease right is carried out on the basis of a joint declaration of the landlord and the tenant. It is not mandatory, but it is recommended for long-term leases (for example, for corporate apartments or investment rentals). As the new owner, you can later discuss with the tenant whether to proceed with the recording.

Final summary

The purchase of a property with a tenant must not be underestimated. Although it may seem like an attractive option for immediate income, you are essentially buying a “package” of legal rights and obligations that you take over and will live with for years. Key points you must keep in mind:

A lease agreement is legally binding and does not terminate upon a change of ownership. You become the new landlord with all rights and obligations. Many of these obligations did not arise from your own will—you inherit them from the previous owner. That is why it is absolutely essential to carry out the most thorough possible review of the lease agreement before signing the purchase agreement.

You need to clarify: the amount and due date of the rent, the term of the agreement, the content of the security deposit, indexation clauses, the rights and obligations of both parties, and any atypical arrangements. Also find out what the tenant’s payment discipline is like and whether any extraordinary situations have arisen in the apartment (e.g., long-term non-payment, disputes with neighbours).

The security deposit is usually overlooked, but it is a crucial item. The obligation to return it transfers to you, and if you do not clearly settle it with the seller, you may have to return it out of your own pocket.

A handover protocol and photo documentation are not a legal obligation, but they are a practical safeguard against future disputes about the condition of the apartment and who is responsible for what damage.

With careful preparation and due diligence, investing in rental housing can become a solid source of income. Without proper protection, however, it can easily become a source of stress, disputes, and financial losses. If you want to minimise risks and ensure legal certainty under Czech law, it is advisable to have the lease agreement and the entire purchase process reviewed by a lawyer.

The attorneys at ARROWS, a Prague-based law firm, specialise in this area and can assist you not only with reviewing the existing agreement, but also with negotiations with the seller, with the tenant, and with drafting a new lease agreement. We have experience in resolving complex situations where an originally seemingly straightforward purchase turned into court litigation. Contact us at office@arws.cz so we can help you complete the purchase safely.

FAQ - Most common questions about investing in rental housing and reviewing agreements

1. What if the tenant and I cannot agree on a new lease agreement that I want to sign?
You have the right to try to reach an agreement with the tenant, but you cannot impose new terms on them if the existing agreement does not allow it or if it is not a statutory rent increase. If you wish, you can gradually increase the rent in the future in accordance with Czech legislation (by a maximum of 20% over the last three years up to the level of customary rent under Section 2248 of the Czech Civil Code), but this is a long-term process. If the lease agreement is for a fixed term and has expired, you have a chance to negotiate better terms as a condition for extension. We recommend that you contact a lawyer from ARROWS, a Prague-based law firm, who can assist with negotiations (office@arws.cz).

2. What are the main legal risks that investors most often fail to realise?
Most often, investors do not focus sufficiently on the term of the lease. If the agreement ends and the tenant remains in the apartment without your written notice, it automatically converts into a lease for an indefinite term. The second common risk is the security deposit—if you do not clearly establish how it is handled, you may have to return it out of your own pocket. The third risk is rent that is too low with no possibility of an increase. 

3. Do I have to buy a property with a tenant, or can I buy it without a lease?
You have a choice. If you buy a property that has an active lease agreement, you inherit it. If the seller says they want to evict the tenant and sell you only an “empty” apartment, then you will have to buy it without a lease. However, purchasing with a tenant is usually offered at a discount because it is less flexible for the new owner. 

4. What if the tenant behaves dangerously or harasses neighbours?
You have legal tools. If the tenant breaches the house rules or causes noise and nuisance, you can give them notice of termination. First, you should warn them and give them a chance to remedy the situation. If that does not help, you have the right to terminate the lease with a three-month notice period. In the case of a particularly serious breach (e.g., physical incidents or unauthorised use of the apartment for business purposes), you can terminate even without a notice period. ARROWS attorneys can help you prepare the notice of termination and enforce it in Czech courts if necessary (office@arws.cz).

5. How does buying property in the Czech Republic differ from buying abroad with a tenant?
In the Czech Republic, tenants are strongly protected by law, which means they have extensive rights and it is difficult to terminate them without a justified reason. In some countries (e.g., Germany) the tenant-protection regime is similar; in others (e.g., the USA) owners may have broader powers. If you are planning a purchase with a foreign element, ARROWS can help you, through the ARROWS International network, understand local rights and obligations.

6. What are the most common mistakes in lease agreements that you see in practice?
Most often, an indexation clause is missing. Next come ambiguities regarding the term and notice periods. We also often encounter poor definitions of the security deposit and the parties’ obligations. Sometimes the agreement contains absurd conditions that are invalid (e.g., an absolute ban on pets without reason, as it would curtail the tenant’s rights under Section 2235 of the Czech Civil Code). 

Notice: The information contained in this article is of a general informational nature only and is intended for basic orientation in the matter, reflecting the legal status as of 2026. Although we take the utmost care to ensure accuracy, legal regulations and their interpretation evolve over time. We are ARROWS advokátní kancelář, an entity registered with the Czech Bar Association (our supervisory authority), and for maximum client protection we are insured for professional liability with a limit of CZK 400,000,000. To verify the current wording of regulations and their application to your specific situation, it is necessary to contact ARROWS advokátní kancelář directly (office@arws.cz). We accept no liability for any damages arising from the independent use of the information in this article without prior individual legal consultation.

Read also: