Latest updates
New attempt to tighten rules on foreign real property investments fails in Parliament
Pestalozzi Attorneys at Law- Real Estate
- Switzerland
- 26 March 2021
In February 2021 the Economic Affairs and Taxation Committee of the National Council surprisingly decided to include the initiative to temporarily prohibit the acquisition of business premises by persons abroad in the revised urgent COVID-19 Act instead of amending the Lex Koller through the ordinary legislative process. However, the Council of States and the National Council recently rejected the proposal. Despite this pleasing result, the topic remains on the agenda.
Latest environmental legislation in effect and in the pipeline – 2021 overview
Pestalozzi Attorneys at Law- Environment & Climate Change
- Switzerland
- 22 March 2021
This article summarises key amendments to Swiss environmental laws which either came into effect recently or will come into effect in the foreseeable future. These include efforts to reduce CO2 emissions, the decision to revert to the original scale system for energy labels, the modification of Annex 1 of the Prior Informed Consent Ordinance and the introduction of new regulations for the export of certain hazardous plant protection products which may endanger human health or the environment.
New attempt to tighten rules on foreign real property investments
Pestalozzi Attorneys at Law- Real Estate
- Switzerland
- 05 March 2021
The Legal Affairs Committee of the National Council recently submitted an initiative that would temporarily prohibit the acquisition of business premises by persons abroad. The proposal claims that it will mitigate the negative impact of the COVID-19 crisis by preventing foreign investors from acquiring financially distressed Swiss companies at low prices. However, as foreign investors improve the sales conditions for such companies by fostering demand, the amendment would actually be counterproductive.
Federal act on rent reductions during COVID-19 lockdown fails in Parliament
Pestalozzi Attorneys at Law- Real Estate
- Switzerland
- 11 December 2020
The proposed COVID-19 Business Rental Act has failed in Parliament and is thus off the table on a national level. The main arguments for the dismissal included the retroactive intervention in private law contracts and the legal uncertainty with regard to the question of whether the proposed act had a sufficient constitutional basis. However, the topic of COVID-19 rent reductions will likely lead to court decisions in the future.
Voters reject popular initiative to tighten responsibilities of Swiss-based companies
Pestalozzi Attorneys at Law- Environment & Climate Change
- Switzerland
- 07 December 2020
Swiss voters recently rejected a popular initiative that aimed to tighten the responsibilities of Swiss-based companies with respect to their global activities. One key element of the initiative was the introduction of a legal obligation on Swiss-based multinationals to respect international environmental standards. Both the federal government and Parliament considered the initiative to be too far reaching. Therefore, Parliament has presented a counter-proposal that will enter into force if no referendum is held.
Foreign liquidators' powers to collect assets located in Switzerland – first experiences under new legislation
Pestalozzi Attorneys at Law- Insolvency & Restructuring
- Switzerland
- 04 December 2020
In 2019 the Private International Law Act was revised with the aim of improving and facilitating the recognition and enforcement of foreign bankruptcy rulings. Foreign liquidators can now forgo the previously mandatory ancillary bankruptcy proceedings by filing a petition with the Swiss courts. Recent experiences have shown that the Swiss courts will normally grant such leave if they are satisfied that no privileged or secured creditors in Switzerland exist.
Recent emissions trading developments
Pestalozzi Attorneys at Law- Environment & Climate Change
- Switzerland
- 02 November 2020
The Swiss emissions trading system (ETS) is an important market-based instrument for climate protection. It serves to reduce the volume of greenhouse gases produced by Swiss companies with particularly high emissions. Since 21 September 2020, Switzerland and the European Union have enabled emissions allowance transactions between the Swiss ETS and the EU ETS.
Opening bankruptcy proceedings during COVID-19 pandemic
Pestalozzi Attorneys at Law- Insolvency & Restructuring
- Switzerland
- 11 September 2020
Company boards of directors have a duty to continuously monitor the company's financial situation and take certain measures if it gets into financial difficulties. Given the extraordinary circumstances caused by the COVID-19 pandemic, the government has temporarily suspended their duty to notify the bankruptcy court in the event of imminent overindebtedness where there is a possibility that this situation can be remedied after the crisis.
Proposed federal act on rent payments during COVID-19 lockdown
Pestalozzi Attorneys at Law- Real Estate
- Switzerland
- 24 July 2020
The Federal Council recently submitted to Parliament a preliminary draft federal act on rent payments during the COVID-19 lockdown and opened the consultation procedure with the cantons, political parties and interested organisations. The act is a political decision and its constitutional basis is questionable. Further, a number of the suggested provisions leave room for improvement.
Moratoria during COVID-19 pandemic – an overview
Pestalozzi Attorneys at Law- Insolvency & Restructuring
- Switzerland
- 19 June 2020
Originally, unlike in other jurisdictions, the purpose of a moratorium in Switzerland was not necessarily to continue doing business, but rather to find a better way to liquidate a company; however, this has changed as a result of the COVID-19 crisis. There is now another type of moratorium under Swiss law (although probably only until 20 October 2020), which is intended to promote restructuring.
Switzerland to extend certain climate protection measures until 2021
Pestalozzi Attorneys at Law- Environment & Climate Change
- Switzerland
- 01 June 2020
The Federal Department of the Environment, Transport, Energy and Communication recently launched the consultation process for a partial revision of the CO2 Ordinance. Amendments to the ordinance are necessary to extend certain climate protection measures until the end of 2021, as recently decided by Parliament.
Legal uncertainty over rent reductions due to COVID-19 remains
Pestalozzi Attorneys at Law- Real Estate
- Switzerland
- 29 May 2020
Numerous shops, restaurants and other facilities throughout Switzerland have had to close their businesses due to emergency regulations issued to combat COVID-19. This has led to the question of whether the tenants of such premises are still obliged to pay rent or whether they are entitled to a full or partial rent reduction. Despite many opinions having been expressed in the legal community and by politicians, this question remains as unanswered as it was at the beginning of the lockdown.
E-governance for building permits
Pestalozzi Attorneys at Law- Real Estate
- Switzerland
- 27 March 2020
In response to growing market needs, several cantons have introduced an electronic procedure for building permit requests. The improved applications and increased transparency with regard to the documentation and the status of building permit procedures enable planners to carry out projects more efficiently. This is a major advantage, especially for institutional investors and project developers.
Obtaining attachment on cryptocurrencies in Switzerland
Pestalozzi Attorneys at Law- Insolvency & Restructuring
- Switzerland
- 13 March 2020
The general view in Switzerland is that cryptocurrencies are intangible assets sui generis and as such can be subject to regular debt enforcement and insolvency proceedings in Switzerland (provided that these cryptocurrencies have a financial value). This article highlights the particularities to be considered when cryptocurrencies are the target of an attachment procedure (ie, a freezing order) in Switzerland.
Latest environmental legislation in effect and in the pipeline – 2020 overview
Pestalozzi Attorneys at Law- Environment & Climate Change
- Switzerland
- 10 February 2020
This article summarises key amendments to Swiss environmental laws which either came into effect in recent months or will come into effect in the foreseeable future. Recent developments in this area concern, among other things, CO2 emissions, waste and recycling, contaminated site and soil protection, genetic engineering and new statutory limitation periods.
Easier access to land register information
Pestalozzi Attorneys at Law- Real Estate
- Switzerland
- 20 December 2019
As of 1 July 2020, new provisions will apply to electronic access to land register data. Whereas current access to electronic land register data is highly restricted, the new legal provisions of the Federal Ordinance on the Land Register extend access to electronic land register data for specified parties. While the ordinance provides the basis for this extended access to land registers, it is up to the cantons to decide whether they wish to introduce it.
Environmental responsibility of Swiss-based companies and related popular initiative
Pestalozzi Attorneys at Law- Environment & Climate Change
- Switzerland
- 25 November 2019
In 2016 the so-called 'Responsible Business Initiative' was submitted to the Swiss Federal Chancellery. A key element of the initiative is the introduction of a legal obligation on Swiss-based multinationals to respect international environmental standards in all of their business activities worldwide. As the popular vote on the initiative is expected to take place in February 2020, Swiss-based companies should analyse whether they may be affected and, if so, determine appropriate implementation measures.
Legal qualification of cryptocurrencies under Swiss insolvency law
Pestalozzi Attorneys at Law- Insolvency & Restructuring
- Switzerland
- 01 November 2019
The recent insolvency of German-Swiss cryptocurrency mining venture Envion AG inevitably begs the question of how cryptocurrencies should be treated in debt enforcement and insolvency proceedings. Further, the fact that cryptocurrencies have a number of particularities which distinguish them from other asset categories raises numerous questions relating to (for example) the seizure, attachment and liquidation of cryptocurrencies from a Swiss insolvency law perspective.
Impact of lakefront public footpaths on landowners' rights
Pestalozzi Attorneys at Law- Real Estate
- Switzerland
- 02 August 2019
According to federal planning principles, the cantons and municipalities must guarantee free public access to lakesides and riverbanks. However, some cantons have not yet implemented the required legislation, not least because of objections from private landowners. This article outlines the applicable federal legal framework and highlights examples of its implementation by two cantons.
Latest environmental legislation in effect and in the pipeline
Pestalozzi Attorneys at Law- Environment & Climate Change
- Switzerland
- 17 June 2019
This article summarises key amendments to Swiss environmental laws which either came into effect in recent months or will come into effect in the foreseeable future. Recent developments in this area affect, among other things, plant and water protection, chemicals, non-ionising radiation, energy and CO2 reduction.
