It was established in March 1994, when the majority of the then existing Democratic Party (Slovene: Demokratska stranka) led by Dimitrij Rupel joined the ruling Liberal Democracy of Slovenia.
The Democrats retained three ministers in the government, Igor Bavčar (Interior), Dimitrij Rupel (Exterior) and Jelko Kacin (Information).
In the second free elections in Slovenia, celebrated in autumn of 1992, the party gained 5.01% of the vote and 6 MPs.
In 1994, the majority of the party membership and 3 of its 6 MPs decided to join the Liberal Democracy of Slovenia.
In the election of 1996, the Democratic Party received 3.3% of the vote and remained without parliamentary representation.