Expropriation as a Limitation of Property Rights - a Comparison of the German and Hungarian Regulatory Concept

Abstract

“The expropriation of property may be carried out only exceptionally and in the public interest, in the cases and in the manner provided by law, with full, unconditional and immediate compensation.” Nowadays, the legal institution of expropriation has acquired the character of ultima ratio in modern States. Property is inviolable and constitutionally protected. Restrictions on the right to property may only be imposed if the strict legal requirements for this are met. Recently, however, Germany has opened new dimensions of expropriation, notably by allowing the expropriation of shares, business interests, and assets of legal persons and the placing of the management of legal persons under State control, which can be considered as special forms of expropriation. The study focuses on the rules of the German expropriation regime and presents the recently introduced expropriation legislation and attempts to form an opinion on whether expropriation can be justified in the cases mentioned by the German legislation, and to what extent the institution of expropriation is suitable for achieving the objectives pursued.