Lindemann Law

Lindemann Law

What are the rights of customers under Swiss law?

Duties and Civil Liability
✓ Provisions governing mandate contracts (art. 394 ff. of the Swiss Code of Obligations; “CO”).
✓ Duties towards the client.
✓ Liable for any damage he causes to the principal, whether intentionally or through negligence.
✓ Conditions:

1. a breach of his obligations under the contract, in particular a breach of his duties of care and loyalty (Art. 398 para. 2 CO),
2. a damage,
3. a causal relationship (natural and appropriate) between the breach of contract and the damage,
4.  and fault.

✓ General Terms and Conditions of the banks.

Ruling Swiss Federal Supreme Court (6 August 2022, Nr. 4A_659/2020)
✓ US – Nexus : involved a US sanctioned person and a transaction in USD.
✓ Contractual right of refusal: avert existing threats.
✓ No claim to performance under contract law.

✓ Supervisory law.

FINMA Circular 2023/1 Operational risks and resilience – banks 

Criminal Liability

Criminal complaint for Coercion (Art. 181 of the Swiss Criminal Code) and/or for “Unlawful activities on behalf of a foreign state” (Art. 271 of the Swiss Criminal Code)?

“Coercion” could be “justified” if :

1. Requirement of foreign sanctions regulations

2. General terms and conditions of the banks

But: Many banks go way beyond foreign sanctions law / internal guidelinesand policies are not justified by foreign law.

 

 

Possibility to Submit the Case to the Swiss Banking Ombudsman and to go to Court — https://bankingombudsman.ch/en/ 

News and insights

U.S. Primary and Secondary Sanctions: Ramifications for Europe & Switzerland?

Switzerland Integrates Sanctions Compliance into Anti-Money Laundering Law

Impacts of the EU’s 14th Sanctions Package on the Oil and Gas Sector

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