Debt enforcement and bankruptcy law
We advise businesses on Swiss debt enforcement and bankruptcy law concerning recovery of outstanding claims and handling of enforcement proceedings. For liquidity problems and insolvency issues, we examine options, deadlines and duties of the responsible corporate officers.
Securing and enforcing claims
The Federal Act on Debt Enforcement and Bankruptcy (SchKG) provides the basis for compulsory enforcement. Before a business initiates enforcement, the basis of the claim, due date, evidence and correct debtor identification should be clarified. An invoice alone does not always prove the underlying claim.
If the debtor lodges an objection, enforcement is initially suspended. The objection must be removed before proceedings can continue. Whether definitive or provisional removal of the objection or ordinary proceedings on the merits are appropriate depends particularly on available documents.
Responding to enforcement as a business
A payment summons is not judicial confirmation that the claim exists. Businesses should nevertheless respond immediately: record service and deadlines, review the claim and, if appropriate, lodge an objection. For justified claims, payment or a documented agreement may limit further costs.
Whether enforcement proceeds by attachment or bankruptcy follows statutory rules and exceptions. Bankruptcy enforcement is relevant to many businesses registered in the commercial register. Since 2025, certain public-law claims may also lead to bankruptcy for debtors subject to bankruptcy enforcement; businesses should therefore not underestimate tax and social-insurance arrears.
Liquidity crisis, bankruptcy and restructuring
Where insolvency threatens, liquidity planning and early action by the responsible officers are essential. Companies limited by shares have special duties concerning threatened insolvency, capital loss and over-indebtedness. Restructuring does not automatically replace statutory action and notification duties.
In bankruptcy, filing a claim must be distinguished from its recognition and ranking. The schedule of claims and challengeable decisions require timely review. Composition proceedings may allow orderly restructuring or winding up under certain conditions; they do not generally guarantee that operations can continue.
Frequently asked questions
Can our business directly enforce an unpaid invoice?
Enforcement may generally be initiated for a due monetary claim. First review entitlement, debtor identity and jurisdiction. If the counterparty disputes the claim, an appropriate procedure and evidence are needed for further enforcement.
How do we respond to an unfounded payment summons?
An objection may generally be lodged within ten days of service. Record service and clarify whether the claim is disputed wholly or partly. Internal forwarding of the summons does not extend the deadline.
Is an invoice sufficient for provisional removal of an objection?
A unilaterally issued invoice generally does not suffice as an acknowledgement of debt. The decisive question is whether an appropriate signed or equivalent document evidences the claim. The contract, confirmation and other documents must be reviewed together.
Can tax debts trigger corporate bankruptcy?
Since 2025, certain public-law claims may also be enforced through bankruptcy against debtors subject to bankruptcy enforcement. The applicable rule depends on the debtor's status and claim. Early clarification is particularly important for such arrears.
What should we do if a customer becomes bankrupt?
Check the official publication and file the claim with evidence within the deadline. Security, retention of title and possible rights to separate assets from the estate must be examined separately. Filing guarantees neither recognition nor a particular bankruptcy dividend.
May we preferentially pay individual creditors during a crisis?
Not every payment is unlawful, but certain asset transfers or preferences may be challengeable and create further liability risks. During an acute crisis, payments, restructuring measures and officer duties should be reviewed in a coordinated way.
Complex questions from practice
What distinguishes provisional removal of an objection from a subsequent action to disallow the claim?
Provisional removal of an objection relies on a suitable document and does not finally determine whether the claim substantively exists. The debtor may contest the claim through an action to disallow it under the prescribed procedure. The deadline is generally 20 days.
Service and the type of decision must therefore be clarified immediately. Review the enforcement document, defences and evidence together. Negotiating alone does not automatically preserve the filing deadline and risks continuation of enforcement.
Under what conditions can payments received from a customer who later becomes bankrupt be reclaimed?
Certain transactions may be reversed under statutory avoidance rules. Depending on the grounds, timing, consideration, knowledge of the crisis or intent to prefer a creditor are decisive. An ordinary payment is neither always protected nor automatically avoidable.
Keep invoices, performance records and payment correspondence. They help explain what was supplied and what was known about the financial situation. Assess a repayment demand against the specific grounds asserted, rather than solely the later bankruptcy date.
How can our business challenge an incorrect claim ranking in the schedule of claims?
Compare the existence and rank of claims in the schedule with the evidence submitted. Short statutory deadlines apply to an action challenging the schedule. An informal complaint to the bankruptcy office does not reliably preserve rights. The correct defendant also depends on the disputed issue.
Record publication and when you learned of it, and have claim documents and security available. Clarify whether your own claim was treated incorrectly or someone else's claim wrongly admitted. This distinction substantially determines the next steps.
When may a counterclaim be set off against a claim in bankruptcy?
Special bankruptcy rules apply alongside general set-off requirements. Reciprocity, when the claim was acquired and statutory exclusions are essential. A counterclaim acquired afterwards may be treated differently from one existing before the crisis.
Compare both claims with their origins, due dates and evidence. Whether a claim is disputed does not alone determine set-off eligibility. Review the declaration and its effect carefully before unilateral deductions so that filing the claim and other rights remain consistent.