It depends on where the error arose. If the records do not correspond to the instruction or document on the basis of which the entry was made, this is generally an incorrect entry and is dealt with by objection, after which the correction is made as at the day of the incorrect entry. If the records do correspond to the instruction but you are challenging the agreement or the authority of the person who gave the instruction, this is a dispute over ownership and the records will be corrected only on the basis of a final court decision.
The holder account statement shows fewer shares than it should, or the shares are suddenly recorded in someone else’s account. The first question in such a situation is not who is right, but where the error arose: in the records themselves, or in the legal act that led to the entry. The answer determines whether the matter is dealt with by objection to the central securities depository or before the court.
An incorrect entry: the records do not match the underlying document
The Securities Act provides a specific tool for errors in the records:
The central securities depository must carry out a correction or completion in its records on the basis of an objection by the holder of a holder account, a member, a stock exchange or an issuer which it recognises as justified, as well as on the basis of a final court decision.
— Section 108(1) of Act No. 566/2001 Coll. (unofficial English translation)
An objection is the right route where the records do not correspond to the basis on which they should have been kept. This may involve, for example, an entry of a different number of units from that stated in instructions to register a transfer with identical content, the crediting of shares to the wrong account, or a failure to record a transmission even though the heir submitted an instruction to register it together with the final inheritance decision (Section 18(4) and (5)). The correction is made as at the day on which the incorrect entry was made. If you hold an account with a bank or a securities dealer, the objection goes to them first, because a member corrects its own records itself (Section 108(2)); the details are set out in an error in a member’s records.
A dispute over ownership: the records match, the legal ground is contested
The position differs where the depository or the member entered exactly what it was instructed to enter. An obligation to transfer a book-entry security is discharged by registration of the transfer on the basis of an instruction (Section 22(1)), and if the instructions corresponded to the agreement, the records are not incorrect. What you are challenging is rather whether the agreement is valid, whether the signature is yours or whether the statutory body had authority to act. The depository does not decide with final effect on the validity of an agreement, and an objection will generally not suffice here. The matter is dealt with by the court, for example by an action to determine whether a right exists or not, where there is an urgent legal interest in doing so (Section 137(c) of the Civil Dispute Procedure Code), or by an action for performance. The depository or the member will then correct the records on the basis of a final court decision (Section 108(1) and (2)).
In a dispute, protection of an acquirer in good faith must be reckoned with:
[…] the buyer becomes the holder of the security even if the seller had no right to transfer that security, unless at the time of the transfer the buyer knew or must have known that the seller had no right to transfer the security.
— Section 19(3) of Act No. 566/2001 Coll. (unofficial English translation)
If the shares have reached a subsequent buyer who neither knew nor must have known of the defect, recovery of the shares may be ruled out and damages come to the fore. Liability for loss rests with whoever gave the instruction to register the transfer without authority, incorrectly, incompletely or late (Section 23(3)).
What to do straight away
First obtain a statement from the account and establish the document on the basis of which the contested entry was made; how to verify the position is described in how to verify a share entry at CDCP. If there is a risk that the shares will be transferred onward, an application for an interim measure may be considered in the dispute, by which the court may order a party not to deal with particular assets or rights (Section 325(2)(c) of the Civil Dispute Procedure Code). Suspension of the right of disposal on the instruction of the competent State authority is expressly permitted by the Act (Section 28(3)(g)); where it is correcting its own records, the depository or the member may also register it (Section 28(3)(f)). We write about this tool in more detail in suspension of the right of disposal.
If you are unsure whether this is an error in an entry or a dispute, begin by assessing the documents. Where there is an error in the records, we prepare and file an objection against an incorrect entry with all the required particulars; where there is a dispute over ownership, we propose the court route and measures to secure the shares until it concludes.
This answer provides general information on the law as at 12 September 2026. It does not constitute legal services or replace an assessment of an individual case. The details of your situation may differ. Book a consultation to discuss them.
