In our recent article our lawyer and partner Jan Vych and trainee David Schneider responded to the fundamental judgment of the Supreme Court of 25 June 8, file no. stamp 2025 Cdo 27/1368, which changed the view of the obligations set out in Act No. 37/2021 Coll., on the registration of beneficial owners (ZESM), which, according to the Supreme Court, are not in accordance with EU law and the decision-making practice of the Court of Justice of the EU, and therefore, until the corresponding change in the law is made, the obligation to enter data into the register cannot be enforced against the registering persons.

In the article itself, our colleagues discussed the impact of this decision on public procurement especially in relation to exclusion of a potential supplier,which would not have a beneficial owner registered in the register of beneficial ownersThe fundamental consideration was to approach the verification of beneficial owners as carefully as possible and not to use the absence of an entry in the register of beneficial owners as a reason for excluding a supplier.

The correctness of these considerations has now been confirmed by recent decision of the Supreme Administrative Court of 18 September 2025, file no. 1 Afs 193/2024–34, who came to the same conclusion that In the current situation, the exclusion of a supplier cannot be justified by the mere absence of an entry in the register of beneficial owners.

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