The power of attorney is a legally recognized document through which a party (donor or principal) appoints another one (an agent) to represent him/her/it in various matters. It is also possible to draft and grant a power of attorney in Switzerland for numerous purposes.
Below, our lawyers in Switzerland explain the most important aspects and uses of powers of attorney in this country. We also offer several legal services that require the use of such a document.
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Types of powers of attorney in Switzerland
The Swiss Code of Obligations allows individuals to appoint others in order to represent them in certain situations. Representation is done through a power of attorney in Switzerland. The Swiss powers of attorney can be divided into two categories, namely the general power of attorney and the specific power of attorney.
The Swiss general power of attorney is a document that allows the agent to represent the donor in more than one situation. It can often imply for the attorney-in-fact to also act on behalf of the principal even if he or she is incapacitated.
The specific power of attorney is used for representation in a single matter, and its effectiveness ends after the agent completes the task.
Local and foreign natural persons can request to be represented in a wide range of legal matters by our team of Swiss lawyers, who can offer their legal expertise in numerous civil or commercial aspects.
The parties in a Swiss power of attorney
One of the crucial aspects of issuing a power of attorney in Switzerland is determining the participants. Specifically, this type of document cannot be created without the:
- donor or principal;
- the agent or attorney-in-fact.
The donor can be:
- a natural person, foreign or Swiss citizen;
- a company, foreign or local.
With respect to the agent, in Switzerland is customarily to appoint:
- Swiss lawyers, especially for companies;
- family members.
In most cases, people rely on lawyers because in Switzerland, they can also act as notaries. This way, one can have the power of attorney drafted and obtain representation at the same time.
Another important matter to know is that to grant a power of attorney, the donor must be an adult (at least 18 years old) and have full mental capacity.
What are the rights and obligations deriving from the Swiss power of attorney?
As mentioned above, the Swiss Code of Obligations is the main rule of law that defines the contractual relations that are established between two parties when signing a power of attorney. More exactly, this relation is stipulated under Article 394 of the Code, and it refers to the relation that is created when signing the document between a lawyer and a given client.
It is necessary to know that the contractual relation established through the power of attorney can be terminated through a minute’s notice, which is stipulated under Article 404 of the same Code. Please note that when signing the document, the parties must respect their obligations deriving from this relation. In a situation in which the relationship is terminated outside the established terms, it is necessary to know that certain liabilities will appear.
In this sense, it is important to know that the party terminating the relation outside its scope will become liable to the other party. The legislation obligates the lawyer who will handle the legal matter through the power of attorney to represent the person with due diligence, which means that the attorney must act in the best interest of his or her client, regardless of the quality of the person.
What are the main situations for using the Swiss power of attorney?
While the general power of attorney can be used in a broader sense, the specific power of attorney can be used only in certain cases in Switzerland – this means that our team of Swiss lawyers can only have the right of providing legal representation for a given situation and their powers can’t be extended in other matters. The power of attorney can be used for different purposes, among which the most common are:
- for business purposes – our lawyers can represent investors through a power of attorney in obtaining specific documents for companies or through the process of opening a local business;
- for representation before the authorities or Swiss courts – the document can be granted for a wide range of legal matters that have to be solved through the local courts;
- for concluding contracts on behalf of someone – when signing a contract, it is highly advisable to receive legal assistance concerning its provisions, which must follow the stipulations of the local legislation, and one of the ways to solve this is by granting the power of attorney to specialized persons;
- for making payments – this situation can apply to both natural persons and legal entities interested in making various types of payments in Switzerland.
More details on the Swiss power of attorney are available in the video below:
Most of the time, powers of attorney are used for representation in inheritance matters in Switzerland. For details on the procedure of granting drafting powers of attorney, you can refer to our law firm in Switzerland, which has extensive experience in handling legal matters related to Family Law in this country, as specified above.
What must a Swiss power of attorney contain?
Drafting a power of attorney is not as simple as it must contain certain elements which will attest to its validity. Among these are the names of the individual granting the power of attorney and the representative. In Switzerland, powers of attorney must also be signed and dated, and the documents should also mention the place where they were concluded.
One of the most important elements of the power of attorney is the signatures of both the donor and the empowered person. Usually, powers of attorney are signed before a Swiss notary who will also certify the deed. You can also ask our Swiss lawyers for further advice.
Powers of attorney when doing business in Switzerland
One of the most frequent uses of powers of attorney in Switzerland is for business purposes. Foreign investors opening companies in Switzerland will usually appoint a trustworthy person to represent them in the incorporation procedure. However, powers of attorney can also be used when opening a corporate bank account, which is a compulsory requirement for companies. Powers of attorney can also be used when concluding a business contract with a Swiss company on behalf of a foreign investor.
The power of attorney in Swiss family legislation
As mentioned in this article, the power of attorney in Switzerland can be used for civil matters and this also takes into consideration legal aspects deriving from the legislation regulating the rights and obligations of persons forming a family in this country (inheritance, purchasing a property, selling a property, and others).
It is necessary to know that the power of attorney can also be granted from one spouse to the other for specific legal matters. However, the document is not necessary for certain basic situations, for example, in certain medical decisions or completing various financial transactions – in this case, one spouse can easily represent the other spouse with no further documentation, as these are basic rights provided under the Swiss legislation.
In the case in which a Swiss citizen wants to be represented by his or her spouse in legal matters, a power of attorney is necessary when making various types of investments or when the parties are interested in purchasing or selling real estate properties. It is necessary to know that the document is also compulsory in cases in which the two partners live in a civil partnership, and our team of Swiss lawyers can provide more information concerning this matter.
Persons interested in the legislation concerning the power of attorney in Switzerland should know that starting with 1st of January 2013, there are new regulations related to this document, which apply in the medical sector and refer to patients who have suffered a severe trauma that keeps them in a vegetative state. It is necessary to know that the canton of Zug has already ratified a similar legislation since 2009.
Representation for natural persons provided by our law firm in Switzerland
If you need legal representation, you can grant power of attorney to one of our lawyers who can act on your behalf in various matters. Among them, we mention the following:
- opening bank accounts in Switzerland, as the process can be initiated by our specialists;
- inheritance matters;
- buying or selling properties;
- divorce matters.
Our services address both Swiss and foreign citizens who, for a reason or another, cannot attend meeting with the authorities or other parties.
Swiss economic overview
Powers of attorney can be used in a wide variety of situations. This is why the following data may be of help, no matter if you want to open a company in Switzerland or make another type of investment:
- in 2025, the Swiss economy is expected to register a 1.4% growth, while in 2026, a 1.6% increase is projected;
- private consumption is also forecasted to grow by 1.6% in 2025 and 1.4% in 2026;
- exports are expected to grow by 2.9%, while imports will probably rise by 3.1% this year.
Our team of lawyers in Switzerland can offer in-depth assistance on matters in which they can represent locals or foreigners, and can also provide further information on the legal procedure related to the matter for which the power of attorney was granted. For complete information about all the uses of powers of attorney, you can contact our law firm in Switzerland.