In the past, real estate investors, developers and lenders have had difficulties obtaining information from the local building offices and other governmental departments. Of course information about zoning, permitted uses, construction and violations are crucial for any investor or lender. Real estate investors and lenders should therefore be happy to know that in May 1999, the Czech parliament enacted the Act on Freedom of Access to Information, which will enter into force on 1 January 2000. Under the Charter of Fundamental Rights and Freedoms, everyone has the right to freely search out and disseminate information, and the Act is intended to ensure that the public can access the information available to state and local government authorities and other entities which may make decisions on the rights and obligations of citizens and legal entities. The Act also contains 29 amendments to other laws relating to confidentiality requirements for various agency employees. These amendments generally provide that the release of information under the Act is not a breach of any duty of confidentiality.
Various state and local government authorities are required to provide information under the Act. These authorities include not only ministries and other administrative bodies, but also the Parliament, the courts and the Supreme Auditor's Office. The Act also obligates certain non-state entities, such as the Czech National Bank.
The right of access to information applies to all persons, regardless of their reasons for requesting the information sought. The responding agency must reply to this request either by providing the information directly to the applicant or by publishing it.
Information on request procedures, the format of request responses, payment information, and information on agencies covered by the Act will be available on the Internet or at the registered offices of agencies covered by the Act. Under the law, applicants must be able to obtain copies of the requested information.
In cases where an applicant requests information which has already been published, instead of providing the information directly, the responding agency must inform the applicant as to how to locate and obtain the published information within seven days. If an applicant insists that the published information be provided to him, the responding agency must provide it to the applicant directly.
If the requested information is designated as confidential information under the law, however, the responding agency will not provide it. Confidential information includes information describing the character and private life of an individual, such individual's race, nationality, political views, membership in political parties and so forth. An agency will provide this information only if a special law so requires, or with the prior written consent of the individual involved, provided that such individual is still alive. Confidential information also includes information designated as commercial secrets by the Commercial Code, as well as information relating to the investigation of criminal acts and intelligence service activities.
A request for information may be submitted orally (including by telephone) or in writing. The Act specifies the procedure to be followed during the submission and processing of written requests for information. The responding agency must provide the information requested in writing, if it has such information available, within 15 days after it receives the request or, if applicable, within 15 days after the clarification of the request. The responding agency must also allow the applicant to inspect the applicable file and to copy the information onto storage media. The time limit for the provision of information may be extended for no longer than an additional 10 days, and only on serious grounds specified in the Act. Where a time extension is granted, the responding agency must inform the applicant of the extension before the original time limit expires.
If an agency does not accommodate a request for information, or if it accommodates the request only to a partial extent, the agency must issue a decision about this matter before the time for processing the request expires, and this decision must be delivered to the applicant by hand delivery. If an agency fails to provide the requested information and does not issue a decision before the deadline, the agency is then deemed to have issued a decision to refuse to provide the requested information.
A decision of an agency, or a failure to issue a decision, may be appealed within 15 days after the delivery of the decision or, as the case may be, 15 days after the time-limit for providing information expires with no results. The appellate body must decide on the appeal within 15 days after submission of the appeal. If the appellate body fails to issue its decision on the appeal within the stipulated time limit, the appellate body shall be deemed to have upheld the decision. A decision of the appellate body on the appeal cannot be further appealed.
Access to information is to be provided free of charge. However, agencies have the right to demand payment, so long as the payment does not exceed the actual costs incurred in locating the information, providing copies and data-storage media, and sending the information to the applicant. Upon request, the agency must provide an estimate of the anticipated payment to the applicant.
The Act will facilitate investment and, particularly, due diligence, making the Czech Republic an easier place to make real estate investments and loans than before.