Lichtenstein offers the state an out-of-court settlement for the property dispute

Prague - The Prince of Liechtenstein Foundation is prepared to renounce ownership claims on property in the Czech Republic in exchange for the establishment of a joint fund to which ownership rights to the disputed property would be transferred. In such a case, the princely foundation would be entrusted with the duty to manage the property in the fund responsibly and sustainably. The proposal for an out-of-court settlement of disputes was presented today in a press release by the spokesperson of the Prince of Liechtenstein Foundation in the Czech Republic, Michal Růžička. The Liechtensteins are seeking the return of a vast amount of property in Czech courts, including the castles in Lednice and Valtice in the Břeclav region.

The Liechtensteins lost their property in what was then Czechoslovakia in 1945 based on the Beneš decrees. According to the Prince of Liechtenstein Foundation, however, the confiscation was illegal, and therefore, it has filed lawsuits in 26 Czech district courts. According to available information, the Liechtensteins have not yet succeeded in any of these lawsuits, even subsequently in the Constitutional Court.

Now, the Prince of Liechtenstein Foundation proposes an out-of-court settlement of the dispute. This would involve giving up ownership claims and claims for compensation in exchange for establishing a joint fund with the Czech Republic, to which all ownership rights to the disputed property would be transferred. The exercise of ownership rights would be ensured by a board of directors of the fund appointed by the princely foundation and the state, whereby the princely foundation would be entrusted with the obligation to manage the property transferred to the fund responsibly and sustainably.

"The proposed form of out-of-court settlement would resolve not only the so-called open questions but would also allow Liechtenstein entities, especially the Prince of Liechtenstein Foundation, to invest in the Czech Republic," stated the foundation's spokesperson in today's press release. He also noted that the court proceedings have been ongoing for nearly ten years, which is not advantageous for either party or for the cultural and natural heritage that requires continuous and uninterrupted care without decades-long blockages.

The House of Liechtenstein is seeking the return of extensive property in the Czech Republic, including the castles in Lednice and Valtice in the Břeclav region. Last week, the regional court in Brno confirmed the decision of the court in Břeclav, according to which the state and other institutions do not have to return these castles to the House of Liechtenstein. The legal representative of the foundation, Aleš Linhart, told reporters after the proceedings that he would file a complaint with the Supreme Court.

The foundation filed lawsuits in 26 Czech district courts at the end of 2018, one of which was in Břeclav. In the lawsuits, the foundation points out that the last holder of the family assets in Czech territory, Francis Joseph II, was not a citizen of Germany but of neutral Liechtenstein and, moreover, the head of a sovereign state. Therefore, according to the foundation, the confiscation of property was illegal. However, the Liechtenstein prince Francis Joseph II registered with the relevant administrative authority in the 1930s as of German nationality, and thus his property was confiscated after World War II based on the Beneš decrees.

District courts are deciding on the foundation's lawsuits at different speeds. According to available information, the Liechtensteins have not yet succeeded in any of these lawsuits. This is also true subsequently in the Constitutional Court, which in May of this year rejected the Liechtensteins' complaint in a real estate dispute in the Kolín region.

The foundation currently has eight constitutional complaints filed, and if the Supreme Court continues to rule against it, it plans to file more. "It has long been evident that it is essentially irrelevant how many Czech courts decide in favor of the Czech state. The dispute will be decided at the international level, as there have been and continue to be serious violations of fundamental rights in the proceedings on Czech territory," the foundation's spokesperson stated last week.