In some cases the Supreme Court allows new probationary period in connection with transfer

In her article, Natasa Randlova summarizes judgement of the Supreme Court of the Czech Republic, regarding transfer of undertakings. In this judgement it is stated that the judgement of an undertaking occurs when a contract with a franchisee is terminate and the franchisor immediately starts running the same business on the same premises. Furthermore, it is stated that when the franchisee agrees to the termination of employment of its employees, the franchisor may, in this case validly agree new employment contracts under new terms even though the employees actually perform their work without interruption. Moreover the new terms may, under some circumstances, also contain a new probation period.


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