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Vanderbilt Journal of Transnational Law

First Page

661

Abstract

This Note analyzes the enormous burden that the Czech Republic faces in its transition from a command to a market economy. Part of the burden is the privatization of real property. Toward privatization, the government of the Czech Republic has thus far focused its resources on allocating real property to private parties through the process of restitution. Technically, title to real property in the Czech Republic has always been held by private parties, but such ownership was meaningless because the state had virtually limitless power to use the property. The author recognizes that unless the Czech government develops substantive real property law, it will remain unclear whether privatization is really being accomplished or whether restitution merely achieves the transfer of the same hollow ownership rights. The author concludes that the Czech government should allocate resources to the development of a relatively well-defined system of real property law to ensure genuine privatization of real property and to encourage foreign investment in the Czech Republic.

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