The Swiss legal system is highly stable. As an example, both The Civil Code and the Code of Obligations came into effect in 1912 and have remained unchanged since then. A modernization is generally known years in advance, and amendments are not retroactive.

Statues in Switzerland are intentionally written in plain language, unlike those in some other countries. Aside from European law, there are fewer special laws, so it is less likely to get lost in a maze of parallel statutory rules. Lastly, the courts in each part of the country are unbiased and professional, ensuring equal treatment and application of the law. Furthermore, a consistent application of statutes throughout the country is ensured by the Federal Supreme Court.

Swiss law is also known for its flexibility. As a result, there are relatively few statutory provisions – for example, in employment law or lease law – that are compulsory. As a result of this reality and the solid general principles of Swiss private law, Swiss law has been able to remain up-to-date and respond flexibly and predictably to changes in the economy and in international trade.

In addition, there is little danger of contractual gaps leading to the invalidity of entire contracts under Swiss law. Any gaps that may exist in a contract can and will be filled by reference to general principles and non-compulsory statutory law, as long as both parties agree on all the essential elements of the contract (in essence, performance, and counter-performance). This has several benefits, including the fact that even complex and high-volume contracts can be reduced to a handful of pages in principle, which dramatically reduces the time and cost of contractual negotiations.

Swiss law should not be applied randomly in contractual negotiations despite all these advantages. Involving Swiss counsel early on in the contract negotiation process is essential to ensuring predictability of choice of law and forum clauses. Having a single source of legal advice also streamlines things when they may get contentious.

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