Lauchstädt was a popular watering-place in the 18th century, the dukes of Saxe-Merseburg often making it their summer residence.

From 1789 to 1811 the Weimar court theatrical company gave performances here of the plays of Friedrich Schiller and Johann Wolfgang von Goethe, an attraction which greatly contributed to the well-being of the town.

[3] During the 19th century, its industries included malting, vinegar-making and brewing.

[3] In January 2008, Bad Lauchstädt incorporated the former municipalities Schafstädt, Delitz am Berge and Klobikau.

[4] On 1 January 2010 Milzau was also incorporated,[5] disbanding the Verwaltungsgemeinschaft Bad Lauchstädt.