On September 18, 2024, the Constitutional Court of the Czech Republic ruled that the automatic valuation of a spouse's contribution to marital property should not be conditioned by prior agreement between spouses. This ruling came after a challenge to a previous Supreme Court decision, which had required such an agreement, contrary to the intention of the law and its clear wording. The Constitutional Court emphasized that the law does not mandate any such agreement and that the valuation should occur automatically.
The case involved a man who had sold a house he owned prior to marriage and used the proceeds to purchase a property jointly with his wife. After their divorce, civil courts awarded him only the original amount he had contributed, without considering the appreciation in value of the property. The Constitutional Court overturned this decision, stating that the original contribution should be adjusted to reflect the change in value over time, regardless of any agreement between the spouses.
This ruling highlights the importance of adhering to the clear language of the law, ensuring that contributions to marital property are fairly valued based on their current worth, and not just their original amount. Courts are now expected to follow this interpretation, ensuring proper application of the law in future cases.
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