Procurement of legal services: Basic principles

11.3.2026 | ARROWS law firm

Procuring legal services through public tenders is among the most demanding areas of public procurement in the Czech Republic. While price is decisive for goods, in legal services quality and experience play a key role. This article provides a practical overview of how to select high-quality attorneys, comply with statutory obligations under Czech public procurement rules, and avoid high-risk mistakes during the tender procedure.

The photograph shows a lawyer advising on the procurement of legal services under public procurement rules.

Article contents

When legal services are not procured through a public procurement procedure
Specifics of qualification requirements for legal entities and individuals
Defence against an abnormally low tender price
Legal services in disputes and representation
Practical steps when preparing tender documentation
Common mistakes and how to avoid them

The concept of a public contract for legal services under Czech law

Legal services are not defined by a single statutory definition; instead, their scope follows from Czech legislation on the legal profession and the CPV classification. A public contract for legal services covers the provision, for consideration, of legal advice, legal analyses, contract drafting, representation, and other activities.

The procedure follows the rules set out in the ZZVZ, with significant exemptions for certain categories of legal services. Act No. 134/2016 Coll., on Public Procurement (hereinafter the “ZZVZ”) governs the procedure of a public contracting authority in the Czech Republic that decides to purchase legal services. Legal services fall within the category of services and are classified under CPV codes, most commonly 79100000-5.

From the perspective of financial thresholds, in 2026 public contracts are divided into small-scale public contracts, below-threshold contracts, and above-threshold contracts. The basic threshold for small-scale public contracts for services is CZK 2,000,000 excluding VAT. If the estimated value of the contract exceeds this amount, the contracting authority must proceed under one of the types of procurement procedures, unless a statutory exemption applies.

When legal services are not procured through a public procurement procedure

One of the most important aspects is that not all legal services are procured through a formalised procurement procedure. Section 29( k) of the ZZVZ contains an exemption that specifically applies to selected legal services. The contracting authority is not required to award the contract through a procedure if it concerns representing a client in court, arbitration, or administrative proceedings, or preparation for such proceedings.

The exemption also applies to legal services relating to defence in criminal proceedings. This category is crucial in practice, because many institutions need to hire an attorney for representation before the Office for the Protection of Competition (ÚOHS) or Czech courts. Exactly when the exemption can be applied and when it is merely general legal advice is a matter of detailed legal interpretation under Czech public procurement rules.

Financial thresholds and their role in categorising a public contract

Financial thresholds play a key role in the public procurement system in the Czech Republic. For legal services, the following basic rules apply in 2026 to determine the applicable regime (amounts are stated excluding VAT):

Up to CZK 2,000,000 – Small-scale public contract (VZMR). The contracting authority is not required to follow a procurement procedure under the ZZVZ, but it must comply with .
Above CZK 2,000,000 – This is a below-threshold or above-threshold public contract, where it is necessary to proceed in accordance with the Act.

A specific feature of legal services is that they fall within so-called social and other specific services (Annex No. 4 to the ZZVZ). For these services, a higher financial threshold applies in the above-threshold regime than for standard services. This threshold is based on EU rules and amounts to EUR 750,000, which corresponds to approximately CZK 18–19 million depending on the current exchange rate set by a notice of the Ministry for Regional Development.

If the value of legal services exceeds CZK 2 million but does not reach the EUR 750,000 threshold, a specific below-threshold regime applies. In this regime, the contracting authority has some flexibility, but must proceed more formally than for small-scale contracts. If the value exceeds EUR 750,000, the simplified regime for above-threshold contracts applies.

Be careful with aggregation rules: estimated values must be aggregated if the services are related in subject matter, location, and time and form a single functional whole. If, during the year, a contracting authority engages one firm for comprehensive legal advice through partial orders, the values are aggregated and the threshold may be exceeded. Our attorneys in Prague at ARROWS can provide an analysis of the estimated value of your contract.

Qualification requirements and how to set them correctly

Qualification requirements are conditions that a supplier must meet in order to participate in a procurement procedure. Setting them correctly is key to ensuring you obtain a competent partner while not discriminating against capable bidders. Qualification includes:

Basic eligibility (clean criminal record, no outstanding arrears).
Professional eligibility (registration in the Commercial Register).
Technical qualification (experience, team).

For legal services, technical qualification is most commonly demonstrated by a list of significant services provided in the last 3 years. The contracting authority should require references that are proportionate to the subject matter of the contract.

Mistake: Requiring references for an absolutely identical, highly specific issue (e.g., “representation of a municipality with exactly 5,000 inhabitants”).
Correct approach: Requiring references for legal services in the relevant area of law (e.g., “legal services in administrative litigation”).

Specifics of qualification requirements for legal entities and individuals

In a procurement procedure, bids may be submitted both by law firms (legal entities) and by individual attorneys (natural persons). The contracting authority cannot exclude natural persons without justification if they meet the qualification requirements.

However, the contracting authority may legitimately require proof of professional liability insurance up to a certain amount if justified by the risk profile of the contract. While attorneys’ fee regulations and professional rules set minimum limits, for significant mandates the contracting authority may require higher insurance coverage. This naturally and legitimately filters for suppliers with sufficient capacity and background.

Tender evaluation: Price, quality and economic advantage

One of the most pressing topics is how to balance price and quality. For legal services under Czech legislation, it is doubly true that the lowest hourly rate does not guarantee the lowest total costs or success in the matter. A lawyer with a low rate may spend multiple times more hours on the case or choose an incorrect strategy.

The Office for the Protection of Competition (ÚOHS – the Czech competition authority) and the professional community recommend that for intellectual services, which include legal services, you do not evaluate solely on the basis of the lowest tender price.

The Czech Public Procurement Act (ZZVZ) allows evaluation based on economic advantage, which may include:

Tender price (total or hourly rate).
Quality (experience of the specific individuals who will participate in performance).
Organisation, qualifications and experience of staff.

The recommended approach for legal services is to set the weight of price at, for example, 40–50% and devote the remainder to qualitative criteria. An alternative is the procedure under Section 119(1) ZZVZ, where the contracting authority sets a fixed price and the competition is only about who offers the highest quality.

Protection against an abnormally low tender price

The contracting authority is obliged to assess whether the tender price is not abnormally low (Section 113 ZZVZ). If a price appears in a bid that significantly deviates from the others or from the contracting authority’s estimate, the contracting authority must invite the participant to provide clarification.

Risks and sanctions	How ARROWS helps (office@arws.cz)
Selecting a low-quality lawyer due to the lowest price – The contract is not performed to a sufficient standard, the contracting authority must address the matter again or loses the dispute.	We will help you set up multi-criteria evaluation, where the team’s experience and quality play a key role.
Cancellation of the procedure due to discriminatory criteria – ÚOHS may cancel the tender if the criteria are tailored “to fit” a single supplier.	We will ensure the criteria are objective, proportionate and defensible under Czech public procurement rules.
Inappropriate pricing model – Hourly rate vs. flat fee vs. success fee. A poor choice can make the service more expensive.	We will advise whether an hourly rate (with a cap), a flat fee, or a combination is more suitable for your matter in the Czech Republic.
Underestimating an abnormally low price – Accepting a dumped price that will not allow proper performance.	We will help you draft a request to justify the price and assess the bidder’s response.

Specific approaches for different types of legal services

As stated above, representation in proceedings before courts and administrative authorities and preparation for them falls under the exemption in Section 29(k) ZZVZ. In such cases, the contracting authority does not have to launch a procurement procedure and may directly approach a selected law firm in Prague. However, it is recommended to observe the principle of economy here as well and to have the selection properly substantiated.

Legal advice and prevention (non-contentious matters)

As regards general advice (analyses, internal policies, contract agenda) that is not related to a specific dispute, the exemption does not apply.

If the value is up to CZK 2,000,000 excluding VAT, it is a small-scale contract (VZMR).
If the value is higher, a procurement procedure must be conducted (e.g., a simplified below-threshold procedure or an open procedure).

The claim that advisory services are “definitely not procured in competition” is incorrect. If they do not fall under an exemption and exceed the VZMR threshold, they must be tendered.

Preparation of legal documents and contracts

Here too, it applies that if it concerns the preparation of template documentation or legislative drafts, it is a standard public contract in the Czech Republic. The key is a precise specification of the subject matter, because vague specifications lead to non-comparable bids.

Transparency and fundamental procurement principles

Contracting authorities must comply, for all public contracts, with the principles under Section 6 ZZVZ: transparency, proportionality, equal treatment and the prohibition of discrimination.

Transparency means that the contracting authority’s procedure must be clear, predictable and retrospectively verifiable. All conditions must be set in advance and must not be changed during the process in a way that would advantage someone.

If the contracting authority sets conditions to suit a pre-selected “favourite”, it exposes itself to the risk of sanctions by ÚOHS as well as by Czech law enforcement authorities. ARROWS, a Prague-based law firm, will help you set up the process so that it is safe and transparent - office@arws.cz

Practical steps when preparing tender documentation

If you are procuring legal services under the statutory regime (above CZK 2 million and outside the exemption), we recommend the following approach:

Needs specification: Define as precisely as possible what you require (e.g., the scope of contract agenda).
Estimate of the expected value: Set a realistic estimate of the price for the entire term of the contract.
Setting qualification: Determine what experience (references) and what team are necessary.
Award criteria: Choose economic advantage with an emphasis on quality (e.g., 50% price, 50% quality).
Publication: Initiate the procedure by publication in or on the contracting authority’s profile.
Evaluation and selection: Assess bids, verify references and select the supplier.
Contract: Conclude a contract that must correspond to the draft included in the tender documentation.

Common mistakes and how to avoid them

Evaluating solely on the lowest price: Leads to choosing the cheapest, not the best, solution.
Incorrect application of an exemption: The contracting authority applies the exemption for disputes to general legal advice as well.
Poor price estimate: The contracting authority underestimates the value and commits unlawful contract splitting.
Discrimination: Setting nonsensically strict reference requirements.
Insufficient specification: The contracting authority requests “hours of legal services” without context.
Conflict of interest: A member of the evaluation committee has ties to a tenderer.
Ignoring an abnormally low price: Accepting a price that does not cover costs.

Conclusion

Public procurement of legal services in the Czech Republic is a complex discipline that requires balancing strict statutory compliance with the need to secure a trustworthy legal representative. The key is the correct use of the legal options available and careful preparation of the tender documentation.

The attorneys at ARROWS advokátní kancelář have extensive experience both with administering public procurements on the contracting authority side and with participating in tenders. We maintain professional liability insurance in the hundreds of millions of Czech crowns and have the backing of an international network.

If you are not sure how to proceed—whether as a public contracting authority or as a tenderer—email us at office@arws.cz. We will be happy to help you set up the process so that it is safe and efficient under Czech law.

Most common legal questions on public procurement of legal services

1. Do I always have to hire a lawyer through public procurement, or are there exemptions?
There are significant exemptions. For representation in court, administrative, or arbitration proceedings and preparation for them, an exemption applies under Section 29( k) of the ZZVZ (the Czech Public Procurement Act), and a tender is not mandatory. For other legal services up to CZK 2,000,000 excluding VAT, this is a small-scale contract.

2. What financial threshold is decisive?
The basic threshold for the obligation to proceed in a procurement procedure is CZK 2,000,000 excluding VAT (the threshold for small-scale public contracts for services under Czech legislation).

3. Can I hire a lawyer solely based on a personal recommendation?
For small-scale contracts (up to CZK 2 million) and for services covered by an exemption (court disputes), yes. For other contracts of higher value, you must follow a transparent selection process required by Czech law.

4. What does “economic advantage of the tender” mean, and how should it be set?
It means assessing the price-to-quality ratio. We recommend setting the weight of price, for example, at 50%, and allocating the remaining 50% to the experience of the delivery team or the quality of the proposed solution.

5. What should I do if a suspiciously low price appears?
You must proceed under the mechanism for an abnormally low tender price (Section 113 ZZVZ). Invite the tenderer to provide a written justification, and if the price is not clarified, you must exclude them.

6. Can a sole practitioner attorney participate as well?
Yes, the ZZVZ does not distinguish between a natural person and a legal entity; both can be suppliers. However, the contracting authority may set conditions (e.g., insurance, capacity) that each participant must meet.

Notice: The information contained in this article is of a general informational nature only and is intended for basic orientation in the topic based on the legal status as of 2026. Although we take maximum 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 information from this article without prior individual legal consultation.