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This chapter explores why Swiss law is very frequently chosen as the law applicable to international commercial contracts. This chapter reviews the statistics of the ICC and the Swiss Arbitration Centre as well as surveys carried out of international commercial actors confirming that Swiss law is one of the most popular laws chosen to govern the parties’ contract. This chapter then goes on to analyse the reasons cited for the popularity of Swiss law as the law governing the parties’ contract, namely the parties’ freedom to agree on the rights and obligations in their contractual relationship, the perceived neutrality of Swiss contract law, the suitability of Swiss law to cross-cultural relationships, its commonalities with laws of several Civil law jurisdictions, namely French and German law, the fact that the Swiss Code of Obligations is concise and easily accessible and the attractiveness of Switzerland as a seat of arbitration.
This book provides a systematic presentation of the most important commercial contracts under Swiss law, i.e., the contract of sale, the contract for work and services, the simple mandate contract, and the commercial agency contract, as well as the licence agreement, the exclusive distribution agreement, and the settlement agreement. The book also contains an in-depth introduction of the Swiss law of obligations, covering topics such as the fundamental principles of contract law, the obligation (as the effect of the contract), the formation of contracts, contract interpretation, validity of contracts, agency, general terms and conditions, and breach of contract. After English law, Swiss law is deemed to be the most attractive law applicable to the parties' contract in an international context. At the same time, English is usually chosen as the language of the arbitration proceedings. This book will therefore be an indispensable resource for all English-speaking lawyers interested in international commercial arbitration.
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