President Petr Pavel’s Unusual Gesture Raises Questions in Liechtenstein Dispute

In a surprising move, President Petr Pavel has extended warm gestures towards Liechtenstein, expressing a desire for a peaceful resolution to long-standing disputes between Liechtenstein and the Czech Republic. The princely family of Liechtenstein is currently prosecuting the Czech Republic for billion-dollar assets and seeking compensation of 35 billion, leading to legal proceedings at the European Court of Human Rights in Strasbourg.

President Pavel’s unexpected conciliatory approach involves Liechtenstein offering to withdraw lawsuits and renounce claims to ownership and compensation. However, the condition is that the disputed assets be placed in a Czech-Liechtenstein fund, with joint oversight from both parties. The Prince of Liechtenstein Foundation, responsible for managing all assets of the Alpine principality, would specifically address the assets within the fund.

While some members of the government and opposition are caught off guard by President Pavel’s warm gestures, legal experts argue that there is no legal or moral basis for such a conciliatory attitude. They caution that this approach weakens the Czech Republic’s otherwise strong position in the ongoing legal proceedings. Liechtenstein has sued the Czech Republic at the European Court of Human Rights over the confiscated assets.

The Czech government’s response to Liechtenstein’s peace offer appears lukewarm and uncertain. The Ministry of Justice urges waiting for the court’s decision, emphasizing that the question of possible compensation will only be addressed after the court delivers its verdict.

Veronika Bílková, Head of the Department of International Law at Charles University, warns that accepting Liechtenstein’s offer could call into question the decisions of Czech courts that have consistently rejected the principality’s claims. Such a move could potentially breach the inviolability of Beneš’s decrees, which formed the legal basis for the confiscation of Liechtenstein’s property after World War II.

President Pavel’s active involvement in the dispute raises questions about the motivations behind the conciliatory approach. The uncertainty surrounding the Czech government’s response suggests that the complex issue may only find resolution through legal proceedings.

Article by Prague Forum

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