The present study examines the educational philosophy o f t h e Landerzeihungsheime school system developed by Hermann Lietz, and analyses how the system worked in practice. As the founder of the Landerzeihungsheime school system, Lietz was a key figure in educational reform in Germany in the late 19^(th) and early 20^(th) centuries. The study discusses two internal contradictions in Lietz's thought: Firstly, there are paradoxically anti-modern ideas in his modern, reformist mode of thinking, and secondly, there is a strong national ideology embedded in his thinking, along with his emphasis on students' individuality.