Renovation contract (smlouva o dílo): what to put in it so you don't lose money
Fixed price, budget or estimate, deadlines, advance payments, handover and defects: what the Czech Civil Code says about a contract for work and what to watch out for when renovating a flat.
The tradesperson promised “a month and a hundred thousand”; two months later they want a third more and the bathroom still isn't finished. Such disputes usually arise because nothing was written down. A contract for work (smlouva o dílo) is simple — it just needs a few things in it.
1. A renovation is always a “work” (dílo)
Under a contract for work, the contractor (zhotovitel) undertakes to carry out the work at their own cost and risk, and the client (objednatel) undertakes to accept it and pay the price (Section 2586(1) of the Civil Code, Act No. 89/2012 Coll.). Building, maintaining, repairing or altering a building or part of it is always a “work” (Section 2587 OZ) — so is renovating a flat, bathroom or kitchen. The law does not require written form (Section 559 OZ), but without a written contract it is hard to prove what was agreed.
2. Who the contractor is
- Name or company name, ID number (IČO) and registered address — check them free of charge in the ARES register and the trade register (rzp.cz).
- For electrical and gas work, also ask about professional qualification (Government Regulation No. 194/2022 Coll., Act No. 250/2021 Coll.).
- Phone and e-mail to which you will send objections and complaints.
3. What exactly will be done, and with which materials
Describe the work as precisely as possible: rooms, areas in m², types of work, who buys the materials and which ones (brand, type, colour). If you supply the materials or insist on a particular method, the contractor must warn you without undue delay if it is unsuitable. If you still insist after the warning, you have no rights for defects caused by it (Section 2594 OZ).
4. Price: fixed, by budget, or estimated
- Fixed price: neither you nor the contractor can ask for a change just because the work took more effort or cost more (Section 2620 OZ).
- Price by budget: the contractor cannot ask for an increase even if the scope of work exceeds the budget (Section 2621 OZ). If the budget is “without guarantee of completeness” or “non-binding”, they must announce an increase at once; if they ask for more than 10 % extra, you can withdraw from the contract (Section 2622 OZ).
- Estimated price: if the contractor finds it will have to be exceeded substantially, they must tell you without undue delay, with reasons — otherwise they have no right to the difference. You may then withdraw; if you do not withdraw without undue delay, you are deemed to agree to the increase (Section 2612 OZ).
5. Deadlines, advance payments and paying in stages
Write specific start and completion dates. If no deadline is agreed, the contractor carries out the work within a period reasonable for its nature (Section 2590 OZ) — and “reasonable” is hard to argue about later. By law, the price can only be claimed once the work is done (Section 2610 OZ); if the work is done in parts or involves considerable costs and no advance was agreed, the contractor may ask for a reasonable part of the price along the way (Section 2611 OZ). It is safe to pay in stages — always for a finished and accepted part.
6. Inspection days and hidden obstacles
Agree on inspections at certain stages — for example, before the pipes and cables in the wall are covered. The contractor must then invite you in time (Section 2626 OZ). If they hit a hidden obstacle (say, corroded pipes in the wall), they must tell you without undue delay and propose a change; if you do not agree within a reasonable time, either party may withdraw (Section 2627 OZ).
7. Handover: never “without reservations” if you see a defect
The work is performed when it is completed and handed over (Section 2604 OZ). You accept it with or without reservations (Section 2605(1) OZ). Beware: if you accept the work without reservations, a court will not grant you a right for an obvious defect if the contractor objects that you did not raise it in time (Section 2605(2) OZ). So draw up a handover record and list every visible defect in it. You may not refuse to accept building work just because of isolated minor defects that do not prevent its use (Section 2628 OZ).
8. Defects after handover: time limits
- Notify the contractor of a defect without undue delay after you found it or should have found it — at the latest within two years of handover (Section 2618 OZ).
- For building work, hidden defects can be raised within five years of acceptance (Section 2629(1) OZ). If you are a consumer and the defect appears within two years of acceptance, it is presumed to have existed at acceptance (Section 2629(3) OZ).
- If the contractor gave a quality guarantee, the guarantee period runs from handover (Section 2619 OZ) — write it into the contract.
- Report defects in writing (by e-mail or letter) and keep a copy and photos.
9. A contract signed at your home
If you are a consumer and conclude the contract with a business outside its premises — typically in your flat — the business must give you the information required by law in advance and a copy of the contract (Sections 1820 and 1828 OZ). You can withdraw from such a contract within 14 days (Section 1829 OZ). Exceptions: an urgent repair you expressly requested on site (Section 1837(f) OZ), and a service fully provided, if it began with your prior express consent and the business told you in advance that you would then lose the right to withdraw (Section 1837(a) OZ).
10. Renting? Get the landlord's consent first
A tenant may alter, rebuild or otherwise change the flat only with the landlord's consent; when the lease ends, the tenant removes the change unless the landlord does not want it restored (Section 2263 OZ). Get the consent in writing — a simple bilingual form is enough.
