Knowledgebase

Litigation, Debt Collection & Insolvency

Swiss debt enforcement and collection, the composition moratorium, liquidation and insolvency, and how cross-border commercial disputes are handled.

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Articles on litigation, debt collection & insolvency

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Forming and buying Swiss companies: GmbH, AG, holding structures and ready-made shelf entities, share capital and the commercial register process.

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Tax & Accounting

Swiss corporate tax, VAT registration and rulings, bookkeeping and audit thresholds, and the cantonal rate differences that decide where to base a company.

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FAQ

Frequently asked questions.

01

How does Swiss debt enforcement start?

With a payment order requested from the debt-enforcement office, which serves it on the debtor. The debtor can stop the procedure by filing an objection, and the creditor must then have that objection lifted before enforcement continues. The whole procedure runs on short deadlines, and a missed one usually costs more than the merits.
02

What is a composition moratorium?

Court-ordered protection from enforcement while a restructuring or a composition agreement with creditors is prepared, supervised by an appointed administrator. It buys time for a plan that already exists; granted without a realistic plan behind it, it only moves the bankruptcy a few months.
03

When must a Swiss board file for bankruptcy?

When the company is over-indebted within the meaning of Art. 725b CO and no adequate cure, such as a subordination or fresh capital, is available. The board must prepare interim accounts and act without delay: directors are judged on the date they filed rather than on the size of the loss.

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