Foreign currency receivables – What is at issue?
If a receivable is denominated not in Swiss francs, but in a foreign currency, caution should be exercised when asserting it. While, under the Swiss Code of Obligations, a debtor basically has the option of discharging his debt in either the foreign currency or Swiss francs, the situation is more difficult for the creditor: In civil proceedings, he must claim, according to the case law of the Swiss Federal Supreme Court, foreign currency receivables in the foreign currency. If the foreign currency receivable is nevertheless converted into Swiss francs and then claimed, the claim will be dismissed.
However, in the case of debt enforcement proceedings, the reverse is true: The creditor must convert the foreign currency receivables into Swiss francs before claiming.
Author: Thomas Weibel
