LIECHTENSTEIN Law and Practice Contributed by: Christoph Bruckschweiger, Benedikt König, Philipp Benda and Magdalena Marxer-Friedrich, paragraph 7
Conversely, state court litigation features multiple instances of appeal. While this inherently prolongs the process, it guarantees a comprehensive judicial review. Parties often value this classic aspect of legal protection, especially when the stakes are high. 1.3 Key Dispute Resolution Trends A key trend in Liechtenstein dispute resolution is the increasing complexity and scale of civil proceedings.
the injured party is aware of both the damage and the liable party. Directors’ and Officers’ Liability Specific statutory rules govern liability claims against the corporate organs of Liechtenstein legal entities. These claims generally become time-barred three years after the legal entity becomes aware of the dam- age and the responsible party, with an absolute bar ten years after the damaging act occurred. However, if the liability stems from intentional misconduct, the limitation period is extended to ten years starting from Liechtenstein features a clear, three-tiered judicial sys- tem for civil and commercial disputes, with all courts situated in the capital, Vaduz. The jurisdiction com- prises a single judicial district that encompasses the entire country. The ordinary judicial structure consists of three levels/instances, as detailed in 2.4 Stages of Court Proceedings . Specialist Courts and Jury Trials the date of knowledge. 2.2 Court Structure Structure of the Ordinary Courts There are no specialist courts within the Liechtenstein judicial system. All civil, commercial, and criminal matters are handled by the ordinary courts described above. Furthermore, jury trials are not known in the jurisdiction. 2.3 Pre-Action Conduct There is no applicable information in this jurisdiction. Liechtenstein features a three-tiered judicial system for civil and commercial disputes, with all ordinary courts located in Vaduz: • First Instance: The Princely District Court ( Fürstli- ches Landgericht ) hears initial cases, through a single judge. • Second Instance: The Princely Court of Appeal ( Fürstliches Obergericht ) reviews first-instance decisions on points of fact and law via three-judge panels. 2.4 Stages of Court Proceedings Stages of Ordinary Court Proceedings
2. Litigation 2.1 Limitation Periods
While the duration of proceedings is a critical proce- dural factor when resolving a dispute, time also plays a fundamental role in Liechtenstein substantive law, as provided for in the respective limitation periods. Recent legislative reforms have significantly updat- ed these rules, making a detailed legal assessment essential before filing a lawsuit. General Limitation Periods Effective from April of this year, the general long (or “absolute”) limitation period for civil claims was reduced from 30 years to ten years. However, the 30-year period still applies to damages arising from crimes or punishable offences (in cases where the party was unaware of the damage/identity of the liable party). Specific and Shorter Time Limits Alongside the general limitation period, Liechtenstein law prescribes various shorter limitation periods for specific civil and commercial claims: • Financial Services: The absolute limitation period for compensation and restitution claims against financial service providers is capped at ten years (previously 30 years). • Warranties: Claims must be brought within two years for movable property and three years for immovable property. • Recurring Payments: Claims for annual obligations, such as interest payments, expire after three years. • General Damages: Standard compensation claims become time-barred three years from the moment
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