No Assumption of GDR Liability

CK - Washington.   The Federal Republic of Germany did not assume all liabilities of the now-extinct German Democratic Republic, aka East Germany, GDR, Mitteldeutschland, DDR and Ostdeutschland, the supreme court in Karlsruhe, Bundesgerichtshof, decided on November 30, 2005 in the matter IV ZR 4/04. The Lichtenrader Notizen blog has an analysis of the decision which clarifies that West Germany is not a universal successor to East Germany. The Federal Republic is responsible, however, for those liabilities which it assumed by way of the unification treaty. Specifically, assumed liabilities are those that relate to assets transferred to the unified nation. The appeal to the supreme court followed a decision by the Brandenburg court of appeals, Brandenburgisches Oberlandesgericht, dated December 17, 2003 in a matter involving a certificate of inheritance, Erbschein, issued to the East German government and declared void after reunification. The decision takes into consideration the decision of March 2, 2005 of the European Court of Human Rights and concludes that the unified Germany is not liable to an heir for the funds which East Germany grabbed on the basis of the voided certificate of inheritance. German American Law Journal :: Washington USA