Document background
The Promissory Contract is a fundamental legal instrument in Swiss commercial and civil transactions, governed by the Swiss Code of Obligations. This document type is commonly used when one party needs to formalize a commitment to pay another party a specific sum of money, whether in a single payment or multiple installments. It's particularly useful in business transactions, loan agreements, or settlement arrangements where a clear, enforceable payment obligation is required. The document includes essential elements such as party details, payment terms, interest provisions, and enforcement mechanisms, all structured to comply with Swiss legal requirements. The promissory contract's formal nature makes it a preferred choice for creditors seeking a strong legal position in case of default, as it provides a clear basis for debt enforcement under Swiss law.
