Switzerland

Abstract

Swiss law does not recognize the concept of trusts (although it does recognize trusts created under foreign law). Hence a trust cannot be governed by Swiss law. Yet, Switzerland is seen by many foreigners as an attractive place to live and trusts are often imported by settlors relocating to Switzerland. Switzerland’s popularity as a hub for trust administration and related services has risen during the last years and so has the number of litigation matters involving trust structures. Trustees have become increasingly involved in Swiss proceedings and are frequently parties to complex cross-border disputes; the trustees become a target for aggrieved beneficiaries and family members or ex-spouses.