How to start litigation in the Czech Republic as a Taiwanese business: legal procedures explained

A Taiwanese business facing a contract dispute or unpaid invoice from a Czech partner needs to understand that the Czech legal system operates fundamentally differently from Taiwan's approach to civil litigation. While Czech courts can deliver effective resolutions, the path to enforcement requires precise procedural execution, proper document preparation in Czech, and strategic planning that often surprises foreign entrepreneurs. This guide explains the critical steps, hidden pitfalls, and practical requirements that will determine whether your legal action becomes a successful recovery or an expensive distraction.

Understanding the Czech court system: a foundation for Taiwanese businesses

The Czech Republic operates within a civil law system rooted in continental European legal traditions, which differs significantly from the common law systems some Taiwanese companies may be familiar with through their international dealings. The Czech court hierarchy comprises district courts (okresní soudy), regional courts (krajské soudy), high courts (vrchní soudy), and the Supreme Court (Nejvyšší soud), with specialized administrative courts handling regulatory matters.

For commercial disputes involving claims of any substantial value, understanding which court has jurisdiction is the critical first decision, as filing in the wrong court can waste months and delay your recovery. The Czech judicial system emphasizes the written word over oral testimony, meaning your initial statement of claim must be comprehensive, well-documented, and strategically structured.

Unlike adversarial systems where broad discovery mechanisms allow parties to request documents from their opponents, Czech courts generally place the burden of proof directly on you. This procedural reality means you cannot rely on obtaining evidence after you initiate proceedings; instead, you must gather all supporting documentation—contracts, invoices, correspondence, payment records—before you ever submit your claim to the court.

For a Taiwanese business operating across borders, this requirement becomes particularly demanding, as your evidence must be collected from multiple jurisdictions and translated into Czech. The legal framework governing international jurisdiction is primarily determined by Regulation (EU) No 1215/2012 (Brussels I bis) if the defendant is domiciled in the Czech Republic, and subsidiarily by Act No. 91/2012 Coll., on Private International Law.

As a Taiwanese business suing a Czech entity, the Brussels I bis Regulation generally dictates that the Czech courts have jurisdiction because the defendant is domiciled there.

Determining jurisdiction: where can a Taiwanese company sue in Czech Republic?

Before you file a single document, you must answer a deceptively simple question: which Czech court has the authority to hear your case? In practice, this question involves layers of analysis that experienced litigators must work through carefully, because filing in the wrong court creates procedural defects that may result in the transfer of the case to another court, causing significant delay.

The general rule under Czech law (and EU regulations) is straightforward: the defendant is sued in the court located where the defendant has its registered office or place of business. If your Czech debtor operates from an office in Brno, you generally file in the Municipal Court in Brno or the relevant Regional Court depending on the subject matter.

However, this "general jurisdiction" rule contains several important exceptions that create alternative venues. For contract disputes, Czech law allows you to sue in the court of the place where the contractual obligation was meant to be performed. If your contract specified that the Czech company would deliver goods or services in Prague, you can sue in Prague courts, even if the defendant's registered office is elsewhere.

This flexibility can be tactically important. For disputes arising from tort, unfair competition, or intellectual property infringement, you may sue in the court where the harmful event occurred or where the damage was suffered. This provision becomes relevant if your dispute involves alleged breach of business confidentiality, misappropriation of trade secrets, or other quasi-delict claims that accompany your primary contractual dispute.

Additionally, if the defendant has property located in the Czech Republic, jurisdiction can sometimes be established based on the location of assets, though this rule is subsidiary to EU regulations. A practical consideration that Taiwanese companies often overlook involves contractual choice-of-court clauses (prorogation).

If your contract with the Czech party explicitly designates specific Czech courts as the forum for disputes, that agreement is binding and narrows your jurisdictional options to the courts specified. Conversely, if your contract specifies a different venue—such as arbitration in Singapore or litigation in Taiwan—Czech courts will honor that agreement and typically dismiss a complaint filed in violation of it. The interaction between jurisdictional rules and contractual stipulations requires careful analysis.

microFAQ – Legal tips on jurisdiction and choosing the right Czech court

1. Can I sue in any Czech district court, or does it have to be the defendant's home court?
Czech law establishes specific jurisdictional rules based on the defendant's registered office, the place of performance of the contract, or where damage occurred. Filing in the wrong court will result in the court declaring lack of competence and transferring the case, causing months of delay. The lawyers at ARROWS Law Firm regularly advise Taiwanese businesses on jurisdictional questions and can identify the strategically optimal court for your specific situation—write to office@arws.cz for a consultation.

2. Does my contract's choice-of-law clause affect which Czech court has jurisdiction?
No. A choice-of-law clause determines which country's legal rules apply to your contract's interpretation (e.g., Czech law vs. Taiwanese law), while jurisdiction determines where disputes are resolved. These are separate concepts. However, if your contract includes a choice-of-court or arbitration clause, that provision controls where you can litigate, and ignoring it may invalidate your claim—contact office@arws.cz if you need clarification on your contract's provisions.

3. What if I'm unsure whether the Czech court has international jurisdiction over my Taiwanese business dispute?
Act No. 91/2012 on Private International Law and EU Regulation 1215/2012 establish detailed rules for determining whether Czech courts may hear disputes involving foreign parties. The lawyers at ARROWS Law Firm, based in Prague, European Union, handle cross-border cases daily and understand the interaction between Czech procedural rules and international private law principles—contact office@arws.cz to verify your jurisdictional position.

Preparing your claim: the critical front-loading of evidence

One of the most significant procedural differences between Czech litigation and the litigation processes familiar to many Taiwanese companies involves the concept of "front-loading" evidence. In Czech civil proceedings, there is no pre-trial discovery phase where you can broadly demand documents from your opponent.

Instead, the burden falls on you: you must present all material evidence and identify all essential facts in your initial statement of claim (called a žaloba). While you can submit evidence during the proceedings up until the "concentration of proceedings" (usually at the end of the first hearing), failing to have evidence ready at the start is strategically dangerous.

This procedural reality fundamentally changes how you prepare your case. Before you file anything with the court, you must organize your evidence comprehensively: original contracts, email correspondence, invoices, payment records, banking statements, shipping documents, quality inspection reports, and any other materials that support your claim.

Every document must be available in Czech or accompanied by a translation. A contract in English, no matter how clearly drafted, may be challenged by the opposing party; if they do so, the court will require a certified Czech translation. This translation requirement adds cost and time, but it is often necessary; the court conducts proceedings exclusively in the Czech language.

The statement of claim itself must be structured according to the Civil Procedure Code (Act No. 99/1963 Coll.), which requires you to present not merely a narrative of your dispute, but a legally organized submission. It must identify the specific legal basis for your claim, the facts supporting it, the evidence you are relying upon, and the remedy you are seeking.

The statement of claim must be sufficiently detailed that the court understands your entire position from the outset. Vague or incomplete claims can result in orders requiring you to amend your submission (výzva k odstranění vad), causing delays, or in some cases, rejection if you cannot remedy deficiencies.

For Taiwanese businesses operating internationally, the front-loading requirement creates particular challenges. Your evidence may be scattered across multiple jurisdictions. Gathering this material, organizing it, ensuring it is properly authenticated, and obtaining certified translations requires time and coordination.

Many Taiwanese companies underestimate this preparation phase. The burden of proof in Czech law is explicit: each party must prove the facts it alleges. For a claim for damages or breach of contract, you must establish: (1) a breach of the defendant's legal obligation, (2) the occurrence of damage or loss, (3) a causal link between the breach and the damage, and (4) the defendant's fault or liability (strict liability often applies in commercial relations).

microFAQ – Legal tips on evidence preparation and document requirements

1. My contract is in English, and it clearly shows the Czech company owes me money. Can I use it directly as evidence in Czech court?
While you can submit it, if the opposing party objects or the judge requires it, you must provide a certified Czech translation. The official language of the court is Czech. Relying solely on English documents without translation preparation is risky. The lawyers at ARROWS Law Firm arrange certified translations and ensure all documents meet Czech evidentiary standards—write to office@arws.cz to discuss your documentation.

2. Can I collect more evidence after I file my claim, or do I need everything prepared before filing?
Czech civil procedure imposes a "concentration of proceedings" (typically at the end of the first hearing). You must present all essential facts and evidence by that point. While you don't need literally everything at the moment of filing, waiting is risky. Gathering evidence before filing is essential—the experts at ARROWS Law Firm help Taiwanese businesses organize evidence and identify what you may be missing before filing claims.

3. What if I don't have certain documents because my Czech business partner has them?
You may request that the court order the defendant to produce specific documents (ediční povinnost), but this is not a general "discovery" right. You must prove the document exists and is relevant. This request must be specific, and the court has discretion to grant it. The lawyers at ARROWS Law Firm understand how to frame document production requests strategically—contact office@arws.cz for guidance on your evidence situation.

Filing your claim: electronic submission and procedural requirements

Czech law heavily utilizes electronic filing for civil claims. Your statement of claim is most commonly filed via a Data Box (datová schránka—a secure state-guaranteed electronic communication system). If you are represented by a Czech attorney (which is highly recommended), the attorney is legally required to use their Data Box for filings.

The court fee is due when you file your claim. Under the Act on Court Fees (Act No. 549/1991 Coll.), as of 2026, for general civil claims involving a monetary amount exceeding CZK 20,000, the fee is 5% of the claimed amount. The minimum fee for standard civil proceedings is CZK 2,000.

For electronic payment orders, the fee is reduced to 4% for claims up to CZK 1 million, with a minimum fee of CZK 1,000. If you fail to pay the court fee by the date specified by the court, your proceedings will be stopped. Payment is typically made via bank transfer to the court's designated account.

Many Taiwanese companies fail to account for court fees when calculating the total cost of litigation. A CZK 5 million (approximately €200,000) claim generates a court fee of CZK 250,000 (approximately €10,000). If your claim is ultimately unsuccessful, you may also be ordered to pay the defendant's legal costs.

Strategic options: payment orders and expedited procedures

Before pursuing full litigation through ordinary court proceedings, Czech law offers expedited procedures that can accelerate recovery if your claim meets specific criteria. The most common expedited option is the payment order procedure (platební rozkaz).

This applies to monetary claims where the right to payment follows clearly from the submitted facts. You file an application (lawsuit), submitting your contract, invoices, and evidence. If the court finds the claim well-founded based on the documents alone, it issues a payment order instructing the defendant to pay within 15 days or file an objection (odpor).

If the defendant does not file an objection within 15 days of delivery, the payment order becomes final and enforceable—equivalent to a final judgment. If the defendant files an objection, the payment order is cancelled in its entirety, and the case automatically converts into standard civil litigation.

For monetary claims up to CZK 1,000,000 (approximately €40,000), the electronic payment order procedure is efficient. You must use a specific electronic form published by the Ministry of Justice and sign it with a recognized electronic signature or send it via Data Box. The court fee is lower (4%, min. CZK 1,000).

However, a critical limitation exists: the Electronic Payment Order cannot be served to a defendant abroad, and it cannot be served by "substituted service" (leaving it in a mailbox). If the defendant does not pick up the mail, the order is cancelled.

The European Payment Order is designed for cross-border cases within the EU. While Taiwan is not an EU member, if a Taiwanese company sues a Czech company, the "cross-border" element (Taiwan-Czechia) exists from the perspective of the Czech court.

However, practical application is often complex for non-EU claimants regarding service of documents. Consulting an attorney is crucial to see if this specific instrument is applicable or advantageous over the national electronic payment order.

The full litigation process: from preliminary hearing to judgment

If your claim is disputed or the payment order is objected to, your case proceeds to ordinary civil litigation. The process often begins with a preliminary hearing (přípravné jednání), where the judge organizes the case, attempts to mediate a settlement, and determines what evidence will be performed.

The judge may also issue a "qualified call" (kvalifikovaná výzva) requiring the defendant to respond to your claim in detail, under penalty of a fiction of admission if they fail to do so. This is a powerful procedural tool.

After the preliminary stage, the court schedules the oral hearing (jednání), where evidence is presented. For straightforward debt collection cases, the process from filing to judgment typically requires 9 months to 2 years. Complex commercial disputes can take longer.

The judge in Czech civil proceedings plays an active role, directing the proceedings and questioning witnesses. The principle of "concentration" applies: parties must present all facts and evidence by the end of the first hearing (or a deadline set by the judge). Evidence submitted later is generally disregarded, with few exceptions.

Evidence rules and expert witnesses

Czech civil procedure categorizes evidence broadly: documents, witness testimony, expert opinions, and party interviews. For witness testimony, you must propose witnesses. The court summons them. Expert testimony is crucial for technical disputes (e.g., defective goods).

You can submit a private expert opinion, but it is treated as documentary evidence. Often, the court appoints an independent expert to resolve technical questions. The party proposing the expert evidence typically must pay a substantial advance on the expert's costs.

Costs and fee structures: understanding financial exposure

The cost of civil litigation in the Czech Republic consists of court fees, legal representation costs, expert witness fees, and translation costs. Court fees are discussed above (generally 5%). Legal representation is usually billed based on hourly rates or a fixed fee.

However, for the purpose of "reimbursement of costs" (where the loser pays the winner), the court calculates legal fees based on a statutory "attorney tariff" (Regulation No. 177/1996 Coll.), not the actual hourly rate you paid. This means even if you win, the reimbursement might not cover 100% of your actual legal expenses.

Translation costs for documents and proceedings add significant expense. A certified interpreter is required for any witness who does not speak Czech. These costs are initially borne by the party proposing the evidence but can be claimed as part of litigation costs if successful.

Appeals and extraordinary appeals: continuing your fight after judgment

If you receive an unfavorable judgment, an appeal (odvolání) may be filed within 15 days of delivery of the written judgment. The appeal is heard by the regional court (if the first instance was a district court) or the high court (if the first instance was a regional court).

An extraordinary appeal (dovolání) to the Supreme Court is available only for questions of law that have not been resolved by the Supreme Court or where lower courts deviated from established case law. Representation by an attorney is mandatory for submitting an extraordinary appeal.

Enforcement: converting judgment into payment

Obtaining a judgment is the first step; enforcement is the second. Once a judgment is final and enforceable, you may initiate enforcement proceedings (exekuce). Enforcement is carried out by private bailiffs (soudní exekutoři), whom you select.

You file a motion for enforcement. The bailiff investigates assets (bank accounts, real estate, salaries) and seizes them. Bailiffs operate on a commission basis (paid by the debtor), but you may be asked to pay an initial deposit to cover their out-of-pocket expenses.

International recognition and enforcement of Czech judgments

For Taiwanese businesses, a key question is enforcing a Czech judgment if the debtor moves assets abroad. Within the EU, Czech judgments are automatically enforceable under Brussels I bis. Enforcement in Taiwan is more complex as there is no bilateral treaty between the Czech Republic and Taiwan regarding the recognition of judgments.

However, Taiwanese courts generally recognize foreign judgments based on reciprocity (comity), provided certain conditions (like proper service of process and public policy) are met. This requires a separate procedure in Taiwan.

Executive summary for management

Critical Procedural Requirements: Czech civil litigation requires front-loading evidence. Documents must be organized and translated before filing or immediately upon court request. "Discovery" as known in common law does not exist.

Cost and Timeline Exposure: Standard civil litigation typically requires 9 to 24 months. Total costs include court fees (5% of claim), legal fees, and translations. The losing party typically reimburses the winning party's costs based on statutory tariffs.

Mandatory Professional Representation: While not strictly mandatory for first-instance district courts, proceeding without counsel is highly risky due to formal procedural rules. Representation is mandatory for extraordinary appeals to the Supreme Court.

Strategic Option of Expedited Procedures: For undisputed debts up to CZK 1 million, the Electronic Payment Order (EPR) is the most efficient tool (4% fee, faster processing), but requires strict adherence to electronic forms and valid digital signatures/Data Boxes.

Conclusion of the article

Starting litigation in the Czech Republic as a Taiwanese business presents both opportunities and procedural challenges. Success depends on meticulous procedural execution, comprehensive evidence preparation, and strategic use of expedited procedures like the Electronic Payment Order.

The lawyers at ARROWS Law Firm specialize in guiding international businesses through Czech litigation. We arrange for certified translations, analyze jurisdiction, draft claims meeting Czech standards, and provide realistic cost estimates. Our team combines deep local knowledge with international experience.

If you are a Taiwanese business facing a commercial claim against a Czech party, contact the team at ARROWS Law Firm. We provide initial consultations to assess your claim's viability. We are insured for professional liability up to CZK 400,000,000. To arrange a consultation, write to office@arws.cz.

FAQ – Frequently asked legal questions

1. Can I start court proceedings in the Czech Republic if my company is registered in Taiwan?
Yes, foreign companies have legal standing in Czech courts. You may be required to provide a security deposit for court costs (actio iudicatum solvi) upon the defendant's request, though exceptions exist. ARROWS Law Firm can manage all procedural aspects—contact office@arws.cz.

2. How long does a typical commercial dispute take?
An undisputed Electronic Payment Order can be issued within weeks. If disputed, ordinary litigation typically takes 9 months to 2 years for a first-instance judgment. ARROWS Law Firm provides realistic timeline projections—write to office@arws.cz.

3. What must I prepare before filing?
You must prepare all evidence (contracts, invoices, proof of delivery) and ensure they are translatable. You must identify specific facts and the legal basis. ARROWS Law Firm reviews your documentation before filing—contact office@arws.cz.

4. If I lose my case, do I have to pay the defendant's legal costs?
Generally, yes. The "loser pays" principle applies. The amount is calculated according to the attorney tariff, not necessarily the actual fees paid. ARROWS Law Firm assesses this risk before you sue—write to office@arws.cz.

5. What is the difference between an electronic payment order and a regular payment order?
The Electronic Payment Order (EPR) is for claims up to CZK 1 million, has a lower fee (4%, min. CZK 1,000), and must be filed on a specific electronic form. The regular payment order applies to any amount (fee 5%, min. CZK 2,000). EPR is faster but has stricter service rules. ARROWS Law Firm advises on the best option—contact office@arws.cz.

Disclaimer: The information contained in this article is for general informational purposes only and serves as a basic guide to the issue. Although we strive for maximum accuracy in the content, legal regulations and their interpretation evolve over time. To verify the current wording of the regulations and their application to your specific situation, it is therefore necessary to contact ARROWS Law Firm directly (office@arws.cz). We accept no responsibility for any damage or complications arising from the independent use of the information in this article without our prior individual legal consultation and expert assessment. Each case requires a tailor-made solution, so please do not hesitate to contact us.