Facts

L. AG is the owner of the property "Unterhorn", which is located in the agricultural zone. On July 15, 1997, L. AG applied for approval to parcel out the residential and economic buildings of the property and to exclude them from the scope of the Federal Act on Rural Land Law (BGBB).

The President of the cantonal Land Rights Commission refused the approval, and the Cantonal Court of Appenzell I.Rh. dismissed the appeal filed against it.

Considerations

The Federal Court upheld the administrative appeal of L. AG, set aside the contested judgment, and remanded the case to the Cantonal Court for a new assessment.

The Cantonal Court had refused the approval under Art. 60 para. 1 lit. a BGBB because, from an objective point of view, there were no long-term clear conditions and no secured long-term utilization forecasts. The Federal Court considers this reasoning insufficient.

The Federal Court states that in assessing whether there is a suitable need for agricultural buildings no longer used for agricultural purposes, the criteria of indispensability and economic viability must be…