Tech & Rights

Czech Court Eases Law on Invalidating Contracts for Mentally Disabled

The Constitutional Court of the Czech Republic has issued a decision that will make it easier to invalidate contracts if it can be shown that the signee suffers from a mental disability.

by The League of Human Rights

The Czech Constitutional Court has issued a groundbreaking decision that will make it easier to invalidate contracts if it can be shown that the signee suffers from a mental disability. The ruling will help protect mentally disabled people against the consequences of bad decisions that were made because a mental disability prevented clear and rational decision-making.

According to the Constitutional Court, it is sufficient for a person with mental disorder to prove, with a high degree of probability, that he or she was suffering from the disorder at the time of entering into a contract, and that their opinion was influenced by their disorder or were unable to control their decision making. This situation happens for various reasons, typically to people with intellectual disabilities, psychiatric illnesses or elderly people suffering from dementia or Alzheimer's disease. They can easily become victims of various fraudsters and manipulators, they can conclude a contract for command, or they don't remember signing it at all.

Until now, it was very difficult to invalidate the contract because the person had to prove that the contract was signed while being affected by a mental disorder that would have precluded the signee from legal responsibility. It was often almost impossible to prove that these circumstances existed with certainty, and families, as well as state authorities, rather preventively limited their legal capacity.

The complainant in the case welcomes the decision of the Constitutional Court, because it "gives hope that one decision, which I, for my illness, do not remember at all, will not destroy my life."

Radka Korbelová Dohnalová, a lawyer representing the case before the Constitutional Court, added: "Of course you must always bear in mind the good faith of the other party that concludes the contract with a person with disability. It was also emphasized by the Constitutional Court. But the courts simply cannot require the proof of the impact of mental disorders in decision-making from people with disabilities, it is simply unreasonable."

According to Maroš Matiaško, cooperating attorney with the League of Human Rights, it is an important decision for the practice of restricting legal capacity: "The Constitutional Court gave people with disabilities and their families a chance to protect themselves against bad decisions, without having to be treated by reducing their legal capacity."

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