Czech Republic

Franchise regulation

No franchise-specific regulation.

Pre-contractual disclosure requirements

The Czech Civil Code imposes a general disclosure obligation in contractual negotiations – the parties should inform each other of all factual and legal circumstances to allow the other party to determine the possibility of concluding a valid agreement.

Registration

No

Other issues

The Czech Civil Code forbids any non-compete clauses with an indefinite term or for a term exceeding 5 years (those non-compete clauses agreed for more than 5 years are considered by law to be valid only for 5 years).

Difficulty Rating/Comments

Contact Vojtech Chloupek - Vojtech.Chloupek@twobirds.com