Hans, you need to read Library Data again, it is not hereditary:
and precedence is ex officio, not by title:Nobility is acquired through letters patent (patents of nobility) issued by the Emperor.
Precedence is accorded strictly on the basis of government position...
And you need to consider the entire text and other relevant texts instead of cherry-picking a couple of lines and ignoring the rest:
"Nobility is usually hereditary. Once granted, a title continues to be passed down to succeeding generations." [LDNZ:34]
"Individual worlds, and even entire systems, are free to govern themselves as they desire, provided ultimate power is always accorded the Imperium. Interstellar government begins at the subsector level -- on one world designated the subsector capital. The ruling figure at the subsector capital is a high-ranking noble selected by higher levels of government. This duke has a free hand in government, and is subject only to broad guidelines from his superiors." [LDAM:7]
"Precedence is accorded strictly on the basis of government position, with seniority by date of patent following." [LDNZ:35]
I'm not sure exactly what that last quote means; it sounds like being a noble is considered a government position, though this would seem to contradict the rule that all Imperial nobles with the same title (whether they have a government function or not) have the same social standing.
But I do know that in the examples of subsector dukes (and other high nobles) that we have, they inherit their positions. The Emperor doesn't have to confirm the direct heir; he can even alienate the title entirely from a family. But if the heir is capable of doing the job, the Emperor usually sticks with that.
Hans
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