LIECHTENSTEIN Trends and Developments Contributed by: Christoph Bruckschweiger, Benedikt König, Philipp Benda and Magdalena Marxer-Friedrich, paragraph 7
parties are generally unwilling to concede ground easily, resulting in sustained and rigorous legal battles. Another hallmark of this type of litigation is the involve- ment of multiple law firms, often across jurisdictions. Due to the international nature of the underlying wealth structures, disputes frequently have cross- border dimensions. Assets may be located in several countries, and parties may reside in different legal systems. Consequently, litigation in Liechtenstein is often accompanied by parallel proceedings or adviso- ry work in other jurisdictions. Leading law firms, both local and international, are typically engaged to handle various aspects of the case, contributing to the overall complexity and scale of the proceedings. The financial magnitude of UHNWI litigation cannot be overstated. The assets at stake are often substantial, sometimes reaching into the hundreds of millions or even billions. Legal costs, expert fees, and administra- tive expenses can be correspondingly high. Moreo- ver, the economic implications of court decisions can extend far beyond the immediate parties, potentially affecting entire family enterprises, investment portfoli- os, and long-term succession plans. As a result, these cases attract significant attention within the legal and financial communities. From an institutional perspective, the rise in UHNWI litigation presents both challenges and opportunities for Liechtenstein. On the one hand, the courts must manage increasingly complex and resource-intensive cases, ensuring that proceedings remain efficient, fair, and consistent with the rule of law. This requires a high level of expertise, as well as effective procedural mechanisms to handle large volumes of documenta- tion and sophisticated legal arguments. On the other hand, the ability of Liechtenstein’s legal system to handle such disputes effectively reinforces its position as a trusted jurisdiction for wealth structur- ing. The predictability, professionalism, and integrity of its courts are critical factors in maintaining confi- dence among international clients. In this sense, the rise in litigation can be seen as a by-product of the principality’s success in attracting and hosting signifi- cant global wealth.
It is also worth noting that not all disputes reach the courtroom. In many instances, parties seek to resolve their differences through negotiation, mediation, or arbitration. Nevertheless, the increasing visibility of litigation suggests that consensual solutions are not always achievable, particularly where relationships have deteriorated or where fundamental disagree- ments exist over control and governance. Looking ahead, it is likely that the trend of increased UHNWI litigation in Liechtenstein will continue. As global wealth becomes more concentrated and more complex, and as generational transitions accelerate, the potential for disputes is unlikely to diminish. At the same time, evolving regulatory standards, trans- parency requirements, and societal expectations may introduce new dimensions to these conflicts. Conclusion In conclusion, the growing incidence of UHNWI litiga- tion in Liechtenstein reflects the principality’s central role in the architecture of international wealth manage- ment. The prevalence of foundations and trusts as top-level controlling entities creates fertile ground for disputes, particularly in the context of family dynamics and succession planning. These cases, often reminis- cent of the dramatic power struggles depicted in Suc- cession, are characterised by their intensity, complex- ity, and financial scale. While they pose challenges for the legal system, they also underscore the importance and resilience of Liechtenstein as a jurisdiction capa- ble of managing some of the most sophisticated and high-stakes disputes in the global wealth landscape. Asset Recovery in Connection With Distressed Private Placement Bonds Introduction Private Placement Bonds (“Bonds”) became quite popular in Liechtenstein in the last years. Bonds offer investors an attractive opportunity to invest capital with the promise of interest returns, often at rates higher than those publicly offered. Demand for Bonds increased notably during the COV- ID-19 crisis, particularly due to limited access to bank financing. As Bonds continue to gain in popularity, the number of disputes arising in connection with them is also on the rise – especially now, as many Bonds
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