The LHD was formed on 1 October 1933, with Otto Schaedler, Alois Vogt and Carl Freiherr von Vogelsang as leading members.

Although the party was initially formed on the basis of an authoritarian corporate state similar to that of Austria under Engelbert Dollfuss, it quickly moved towards that of Nazism.

[6] The party sought to gain contacts within Nazi Germany, particularly within the Verein für Deutsche Kulturbeziehungen im Ausland (VDA).

[9] Motivated by a desire to unite the opposition prior to the 1936 Liechtenstein general election, the VP and LHD merged on 1 January 1936 to form the Patriotic Union.

[11] In addition, the two parties' respective newspapers merged to form the Liechtensteiner Vaterland with Carl Freiherr von Vogelsang as its editor.