05 February 2026

Commercial Court confirms Swissness Protection: IPI prevails against Foreign Company for the First Time

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The Commercial Court of Bern rules in favor of the IPI: BDSwiss AG is not «Swiss» enough to be allowed to use the suffix «Swiss» in its name and the Swiss cross in its company logo.

  • Luca Hitz

    Legal Partner

  • Laura Verrone

    Junior Legal Associate

The Swiss Federal Institute of Intellectual Property (IPI) wins against BDSwiss AG in the Bern Commercial Court. The Commercial Court prohibited the financial services provider from continuing to use the word «Swiss» in its name and the Swiss cross in its logo, as it does not fulfil the legal requirements to use the Swiss indication of source. 

A Letterbox in Zug is not enough

Although BDSwiss AG has its registered office in Zug, it is managed from Cyprus. Its fi-nancial services are primarily aimed at a foreign clientele, particularly in Germany. Accord-ing to the Commercial Court, this formal presence in Switzerland is not sufficient to meet the legal requirements for a Swiss indication of source. Since BDSwiss AG was unable to prove that its place of effective administration is in Switzerland, the Commercial Court classified its market presence as an impermissible use of Swissness. The judgment of 26 August 2025 is final. The foreign company now has three months to change its branding.

What is Swissness Legislation?

Swissness legislation is set out in both the Trade Mark Protection Act (TmPA) and the Coat of Arms Protection Act (CAPA). Swissness legislation strengthens the protection of the designation «Switzerland» and the Swiss cross. It creates clear guidelines for the use of Swiss indications of source in advertising. The aim is to prevent misuse of the Swiss brand. 

According to Art. 49 para. 1 TmPA, companies may only advertise their services as «Swiss» if their registered office is located in Switzerland and their place of effective ad-ministration is also situated in Switzerland. The second requirement is intended to ensure that a simple letterbox is not adequate to establish a sufficient connection to Switzerland, as was confirmed in the case of BDSwiss AG.

What Role does the IPI play in Cases of Swissness Abuse?

The IPI's role is to intervene in cases of suspected abuse where the interests of the Swiss Confederation are clearly affected. Suspected cases of abuse are reported in par-ticular by Swiss embassies abroad, the Directorate General of Customs, or private indi-viduals. While the IPI informs the offending person or company in Switzerland in writing about the unlawful behavior and the relevant legal provisions, interventions abroad are carried out in cooperation with Swiss embassies. In addition, the IPI and Swiss represen-tations abroad are responsible for monitoring trademark registrations in certain countries. 

In the present case, numerous complaints were received against BDSwiss AG. As a re-sult, the IPI intervened several times with the foreign company and finally filed a lawsuit in court. Since the Swissness reform, the IPI in Switzerland has been authorized to file civil actions for violations of Swissness regulations and can also report criminal offences on behalf of the federal government.

Implications for the Industry

Since the misuse of indications of source leads to a loss of image and value for the Swiss brand, the judgment of the Commercial Court is of particular importance, especially for the IPI. For the first time, the Swissness criteria for services have been confirmed by a court, and a company that was effectively managed from abroad has been prohibited from using the word «Swiss» in its name and the Swiss cross in its logo. In doing so, the Commercial Court interpreted the requirements of Art. 49 MSchG strictly and confirmed that a purely formal registered office in Switzerland is not sufficient; effective administration must also take place in Switzerland.

The judgment thus sends a clear signal to other countries: anyone who advertises with the country of origin «Switzerland» must not only claim a connection to Switzerland, but also actually live up to and prove this connection. For internationally active companies based in Switzerland that do not comply with the statutory rules of origin, the judgment is likely to have far-reaching consequences if they clearly affect the interests of the Swiss Confederation.

 

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