In 1873 Shatz assumed ownership of the Musikalienhandlung Ludwig Trutschel Nachfolger, a music store in Rostock, Germany.
His collection came from all around Europe including many German, French, and Italian libretti ranging from the 17th to the 18th century.
In 1908 he sold his extensive collection to his friend Oscar Sonneck, the music division chief of the Library of Congress.
Richard Macnutt, writing in The New Grove Dictionary of Music and Musicians (2001), described the Albert Schatz Collection as "the most internationally representative" libretto collection in the world.
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