Insights
Acquisition of Swiss Real Estate by Foreign Nationals
The acquisition of real estate by persons who are resident outside of Switzerland or by foreign-controlled companies is only possible to a very limited extent. By contrast, main homes for persons with a residence permit and commercially used properties can also be acquired by foreign nationals.
How Do You Give Notice to Terminate a Contract on Time?
Giving notice to terminate a contract should be carefully planned and carried out. In particular, any formal requirements must be complied with. Additionally, in case of a dispute, you should have proof that the notice of termination was received on time.
How Can Foreign Citizens Work as Self-employed in Switzerland?
It is relatively straight forward for EU/EFTA citizens to work as self-employed in Switzerland. However, there are strict requirements for those originating from third countries. It should also be noted that in some circumstances, an employee of a company limited by shares (AG), or a limited liability company (GmbH) may be treated as self-employed.
How Can Claims in Bitcoin or Other Cryptocurrencies Be Enforced?
The law stipulates particular requirements for the enforcement of money claims. Whether a claim must be made in Swiss francs or in a foreign currency must be checked for each individual case and process. The same applies to claims in Bitcoin or other cryptocurrencies.
Non-competition Clauses: Key Aspects in Company Law and Employment Law
In Switzerland, non-competition clauses play an important role in both company law and employment law. When drafting non-competition clauses the need to protect the business must be balanced with the economic freedoms of the individual. In particular, the legal restrictions imposed by employment law must also be considered.
Do Employers Have to Pay Wages During a Business Closure?
The basic principle is: no work, no pay. However, there are exceptions to this rule, in particular if employees are sick, or if the employer is responsible for the employee being unable to work. Things become complicated if work cannot be undertaken due to government measures.
Are Board Members and Company Executives Liable for Negligent Breaches of Duty?
If board members or executives breach their duties and this causes a loss, they can be held liable for the loss. Not every mistaken business decision will lead to liability. However, if there has been a breach of duty then an act of simple negligence will generally be sufficient.
How Does Crowdfunding Work in Switzerland?
There are no specific regulations for crowdfunding or crowdinvesting under Swiss law. However, operators of crowdinvesting platforms and companies wishing to use crowdfunding should know which activities require a license, who is subject to the Swiss Anti-Money Laundering Act and when the duty to publish a prospectus arises with a public offering.
When Does a Platform Operator Become an Employer?
The distinction between self-employment and employment under Swiss law is not always clear. Case law states that the circumstances of the specific situation will be determinative, which makes it important for service platform operators to consider the issue before building the platform.
How Can an Out-of-Court Settlement Be Made?
An out-of-court settlement enables an existing or threatened legal dispute to be resolved by mutual agreement. This requires concessions from both sides and a freshly drafted agreement.
Electronic Signatures in Switzerland: Which Signature for Which Contract?
Many companies find that concluding contracts digitally and using electronic signatures can bring significant efficiency gains. Whether a digital signature is sufficient and which type of e-signature should be used in any given case will depend upon the type of legal transaction and is partly regulated by law.
Do Companies Based in Switzerland have a Right to a Bank Account?
Anyone who wishes to establish a company normally needs a bank account in order to pay in the capital. Company foundations where the capital contribution is made using cryptocurrencies or other contributions in kind are excluded from this. However, these startups will also normally require a bank account in the local currency at the latest when they start business operations.
Bankruptcy from a Creditor’s Perspective
Bankruptcy has serious consequences not only for the owners and employees of the affected business, but also for its business partners. It is therefore important for creditors to understand how bankruptcy proceedings work and what rights they have.
NFTs and Trademarks - How to Deal with Legal Uncertainties
NFTs have frequently been in the spotlight due to copyright infringements. However, alongside copyright issues, creators of NFTs also need to be clear about trademark law implications.
Wrongful Termination - What Employers and Employees Need to Know
Under Swiss law, it is possible to terminate an employment contract for no specific reason. However, before ending an employment relationship with an employee, employers should ensure that the termination passes the wrongful termination test.
New Company Law: Important Changes to Capital Requirements
From 1 January 2023, amendments to Swiss company law mean that some changes will take effect. These are also of interest to startups and SMEs, as they enable a more flexible form of capital structure and simplify certain aspects of company foundation.
Wallet Provider Insolvency - This Is What Happens to Crypto Assets Held in Custody
Not your key, not your coin - this principle also applies in Swiss insolvency law. However, under certain conditions, crypto-based assets held by a third party can be separated from the insolvency estate of a wallet provider for the benefit of customers. Whether assets will be returned successfully depends upon the exact form of custody.
What Rights Do Substantial Minority Shareholders Have in a Swiss Company Limited by Shares?
Swiss company law is based on the majority principle. A simple majority is sufficient for most decisions. However, minority shareholders also have rights which cannot be taken away from them. Clarity about the type and scope of these rights should be sought prior to founding a company.
Overtime Compensation - Does it Apply to Senior Managers?
Whether employees are covered by labor law working time regulations depends upon factors such as what role they undertake and whether they make significant decisions for the company. This question may be particularly hard for smaller, growing companies to answer.
DAOs - a Legal Perspective
In contrast to traditional companies, Decentralized Autonomous Organizations (DAOs) have neither a management board nor a registered office. Therefore, under Swiss law they have no separate legal personality. This gives rise to a number of legal uncertainties.