Ernst August of Hanover latest legal trouble – will BAT teach him a lesson?

Ernst August's latest legal predicament started with an ad campaign, which makes a nice change from his previous track record.

You see, Prince Ernst August of Hanover is a German royal known for his volatile temper which gave him the nickname “der Pruegelprinz” (punchy or beat-up prince).

In 1998 he attacked a TV cameraman breaking his nose by hitting him with an umbrella. The court fined the umbrella-wielding prince the equivalent of $50,800.

In 2000 he repeatedly hit 55-year-old hotel owner Josef Brunlehner, a German national, with a metal object (a knuckle duster) after becoming angry at the noise and laser show from the hotel disco. This incident took place on Lamu Island in Kenya, Africa. A judge in the town of Hildesheim, Germany, fined the prince the equivalent of 40 days of his salary, which the court put at 5,000 euros daily. HRH appealed and won.

British American Tobacco (BATS:LN) used these incidents for their ad campaign promoting Lucky Strike (yes, really). The text is great an example of great copy writing: “War das Ernst (was that serious) Oder August? (Or August)?

HRH was not amused and promptly sued BAT for 100,000 Euro based on "unauthorized use of his name". In the end, he was awarded 60,000 Euro. But BAT appealed and the Federal Court of Justice overturned the verdict and dismissed Ernst August’s claim.

But instead of paying back the money that was awarded to him, the German royal decided to ignore the final verdict. BAT has legal grounds to demand payment. At this moment, HRH is convicted to pay 120,000 Euro. This sum includes interest and court costs. He is therefore looking at foreclosure. Mr. Ad Schenk, CEO of BAT Germany remarked to the German magazine Bild: “Or Ernst or August, we don’t care – someone will pay!”

Will this German royal ever learn?