LIECHTENSTEIN Law and Practice Contributed by: Matthias Niedermüller, Alexander Milionis and Fabian Rischka, Niedermüller Attorneys-at-Law
Criminal Code). Substitution values cover assets by which the profits or benefits of the offence are replaced (eg, return on sales). 1.6 Rules of Pre-Action Conduct Liechtenstein law does not have any specific procedural rules of pre-action conduct before asserting claims arising from fraud. If, however, a lawsuit is filed without any prior assertion out of court and the defendant accepts the claim entirely without any objection, the claimant must bear the costs and cannot obtain reimbursement of the procedural costs. 1.7 Prevention of Defendants Dissipating or Secreting Assets Importance of Interim Measures In comparison with other continental jurisdic - tions, the use of interim or injunctive measures to prevent further dissipation of assets and secure repayment from the debtor is of high relevance in Liechtenstein. This is mainly due to the effectiveness of such measures, which enable all possible assets of a debtor located in Liechtenstein – including all claims and rights that indirectly allow access to assets – to be effectively seized and frozen by civil law injunctions within a short period of time. They also enable a priority pledge on such Interim measures are covered by the provisions of the Enforcement Act – based on which, a creditor may ask the court to order measures both in rem or in personam prior to or after the entering into regular civil proceedings. The purpose of interim measures (injunctions) is to secure monetary claims via restraining orders ( Sicherungsbot ) (Section 274 of the Enforcement assets to be obtained. Procedural Aspects
Act) and secure other (non-monetary) claims by so-called official orders ( Amtsbefehl ) (Section 277 of the Enforcement Act). For monetary claims, relief can be obtained by seizing the debtor’s movables and putting them into the court’s safekeeping. Furthermore, the debtor can be prohibited from fulfilling an obli - gation or from surrendering any assets that are owed to the debtor. By these means, all claims and assets held by the debtor in bank accounts as well as all receivables of the debtor located in Liechtenstein can be seized and secured. Further, Liechtenstein law also allows the sei - zure of all rights and claims that only indirectly grant access to assets – for example, instruction rights, founders rights and principal rights – from custodians and trustees, etc. In Liechtenstein, unlike in other jurisdictions, the injunction also grants the creditor a statutory pledge with a pri - ority right. As regards other claims, the court can order the debtor’s assets at which the claim for restitution is aimed to be deposited at court. Furthermore, the court can order that the status quo be upheld and prohibit specific actions that would alter the status quo. If an injunction is issued against a party, there are orders made against the so-called third-party debtors ( Drittschuldner ) as well – ie, those per - sons or entities against whom the debtor has a claim (eg, banks, asset managers, and entities). These third-party debtors are prohibited by court orders from making any payments to the debtor and from taking any action that may jeopardise the effective enforcement of the seized claims of the debtor.
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