Competition Newsletter – Czech Republic (Autumn 2025)

December 2025 – Our valued clients and industry contacts remained firmly in mind as the Czech Competition team put together this autumn 2025 edition of our Competition Newsletter. The aim here is to offer a clear and engaging look at what has been happening in Czech competition law in recent months. The Newsletter covers key legislative developments as well as the most noteworthy decisions from the Czech Office for the Protection of Competition (the "Authority") and the courts, offering readers a concise guide to the current Czech competition-related legal landscape.

1. Major legislative reforms on the horizon

The Authority has announced comprehensive amendments to the Czech Competition Act, with the requisite legislative process expected to begin in early 2026. The amendments will represent the most significant overhaul of Czech competition law in two decades and signal a fundamental shift toward more aggressive enforcement. Below we summarize the main elements:

• "New Competition Tool" (NCT): The NCT would enable the Authority to act even where no cartel, abuse of dominance, or other infringement has been proven. The purpose is to address "market failures" that hinder effective competition, such as tacit collusion, market tipping, or structural dominance. The NCT would allow the Authority to impose behavioural and, if necessary, structural remedies, including significant measures such as divestments. Structural interventions would be used only where behavioural remedies have proven insufficient. The NCT is also expected to apply to regulated sectors, including energy, telecommunications, and banking.
• Personal liability for executives: For the first time under Czech law, natural persons involved in hardcore cartels (such as price-fixing, market sharing, bid rigging) may face personal liability in administrative proceedings. Executives could thus face fines of up to CZK10 million (approx. EUR 120,000) and disqualification from management positions for up to five years, although leniency program participation (a legal framework for self-reporting illegal activities) will remain an option.
• Enhanced merger controls: A new "call-in" mechanism will allow the Authority to review transactions below standard notification thresholds (increasing from CZK 1.5 billion to CZK 2.5 billion) where competitive concerns exist. The mechanism targets acquisitions of innovative start-ups and complex deal structures, addressing "killer acquisitions" particularly in the digital and pharmaceutical sectors.

Some of the proposed changes are undoubtedly significant. What now remains to be seen is whether the new Czech government, along with the recently elected parliament, will continue down this road. Moreover, criticisms have already been voiced by certain competition law specialists that the existing proposals go too far.

2. Record enforcement: Railway cartel decision

The Authority, in a July 2025 decision, imposed fines totalling CZK 157.693 million (approx. EUR6.4million) on six companies for bid-rigging agreements in Czech railway infrastructure contracts. The case involved alleged coordination among competitors affecting 26 public contracts valued at over CZK850 million awarded between 2015–2021.

Key features of the case:

• Bilateral cover-bid arrangements were designed to prevent contract cancellation
• Settlement procedures resulted in 20% fine reductions for cooperating parties
• One company benefited from the leniency program with significantly reduced penalties
• Two undertakings have appealed the fines, and thus the case is not closed¹

This decision reflects the Authority's intensified focus on bid-rigging cartels in public procurement, a recognized enforcement priority spanning the construction, telecommunications, and defence sectors.

3. Important court decisions

• Export restrictions: The Regional Court in Brno, in a recently published June 2025 decision, upheld the Authority's enforcement actions concerning export bans embedded in supplier agreements, which held that such arrangements constituted per se violations of competition law regardless of de minimis doctrine application. The Court affirmed that passive sales restrictions violate Article 101, TFEU, with the resultant implications for vertical restraints enforcement.²
• Dawn raids: The Regional Court in Brno, as part of recently published May 2025 ruling, clarified the standards governing unannounced inspections (i.e. " dawn raids"). While such investigations may span extended periods in order to identify the respective infringement, dawn raids must, stated the court, demonstrate proportionality between the scope of the given suspicion, the investigative mandate, and actual inspectorate conduct. Accordingly, preliminary investigations found to be of excessive duration may render subsequent dawn raids unlawful, if sufficient evidence has already been found to initiate formal proceedings. In other words, it is impermissible to use a dawn raid to collect evidence against an inspected person during a preliminary inquiry, where formal administrative proceedings - during which the inspected person can exercise its rights of defence and procedural rights - ought to have been commenced..³

4. Recent authority enforcement

In November 2025, the Authority closed administrative proceedings against the Alma Career group (an operator of the job search websites jobs.cz and prace.cz as part of investigations for possible abuse of their dominant position. The company committed to removing barriers that had prevented its job-search websites and applicant-tracking software (ATS) from connecting to competing systems.

• Alma Career will introduce a two-way API enabling the automatic import and export of data to and from its ATS and job-search sites;
• Alma Career will not charge any special fees for such technical integrations; rather, the costs will be included as part of standard service pricing.

In its findings, the Authority noted that the commitments by Alma Career group will ensure a fairer and more open environment in the Czech online job-search market. Companies and candidates will now have more options, and competition will purportedly be strengthened through improved technical interoperability. The Authority also stated that it will continue to monitor compliance with the given commitments.⁴

5. Conclusion

The Authority has been particularly active as we close out 2025. Moreover, the aforestated proposed legislative changes may substantially expand the regulator's enforcement capacities, introduce novel remedial tools, and expose corporate executives to personal liability. Existing enforcement patterns, particularly aggressive cartel prosecutions, and emerging digital platform scrutiny will thus intensify across the Czech business landscape. In light of these potential changes in 2026, companies operating in the country are advised to consider prioritising proactive compliance reviews, board-level risk assessments, and strategic legal positioning. As always, we stand ready to assist.

Footnotes

1 Press release by the Authority, July 2025, https://uohs.gov.cz/cs/informacni-centrum/tiskove-zpravy/hospodarska-soutez/4256-urad-potrestal-ucastniky-rozsahleho-kartelu-v-oblasti-zeleznicniho-stavebnictvi-pokuty-presahuji-150-milionu-korun.html

2 Judgment of the Regional Court in Brno dated 30 June 2025, file No. 29 Af 3/2021-342.

3 Judgment of the Regional Court in Brno dated 13May2025,file No. 31 A 83/2024-152).

4 Press release by the Authority, 18 November 2025, https://uohs.gov.cz/cs/informacni-centrum/tiskove-zpravy/hospodarska-soutez/4398-uohs-se-dohodl-na-zavazcich-s-alma-career-system-pracovnich-portalu-se-vice-zpristupni-konkurenci.html.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.