Based on Amendment No. 183/2016 Coll. to the Act on Criminal Liability of Legal Entities (the “Amendment”), from 1 December 2016 companies can be exonerated from criminal liability if they prove that they have “made every effort that may be reasonably required to prevent the commission of a criminal offence”.
Almost immediately after the Amendment, the Municipal Court in Prague heard a criminal case in which it reflected this defence. As was widely reported by the media, the Court ruled that:
- the company committed the crime, but
- referred to the amendment and concluded that the company had
made every effort to prevent the crime, and decided to drop the criminal case against the company.
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