 It is probably derived from the nickname "*Xotava", in turn from a Slavic personal name such as "*Xotimirъ", and probably refers to an early inhabitant of the place.In the past the German name was "Hotaule".In the 17th century, ore was transported across the hills to Hotavlje and foundries operated along Volaščica Creek, which continued to supply material to Železniki in the 19th century.