Alternatives to Litigation in Switzerland
Alternative dispute resolution: mediation, arbitration, conciliation and negotiation. Advantages and legal framework under the CPC and PILA.
Last updated : 2026-04-21
Conciliation (art. 197 et seq. CPC)
Mandatory before most civil proceedings. Free for tenancy and employment (art. 113 para. 2 CPC). About one-third of conciliation attempts succeed.
Mediation (art. 213-218 CPC)
Voluntary, confidential, neutral mediator facilitates (does not decide). May be proposed by the conciliation authority (art. 213 para. 1 CPC) or agreed at any time (art. 214 CPC). Confidential (art. 216 CPC). Agreement, if court-approved, has binding force (art. 217 para. 2 CPC). Preserves relationships, faster and cheaper.
Arbitration (art. 353 et seq. CPC; PILA art. 176 et seq.)
Private dispute resolution with binding award. Written arbitration agreement required (art. 358 CPC). Award final and enforceable with limited FSC recourse (art. 389 et seq. CPC). Domestic (CPC) and international (PILA). Switzerland/Geneva: internationally recognised arbitration centre. Confidential and fast but generally more costly.
Direct Negotiation
Simplest, most frequent. No specific statutory framework; based on freedom of contract (art. 1 et seq. CO). Agreements may be formalised as transactions (art. 208 CPC).
Sector Ombudsmen
Swiss Banking Ombudsman, Private Insurance Ombudsman, Telecoms Ombudsman (ombudscom). Generally free for consumers.
Frequently Asked Questions
Is mediation mandatory in Switzerland?
No. Mediation is always voluntary. Only conciliation is mandatory before ordinary civil proceedings (art. 197 CPC).
Can an arbitral award be challenged?
Yes, but grounds are very limited (art. 389 et seq. CPC). The appeal concerns procedural defects, not the merits.
Which is the least costly dispute resolution method?
Direct negotiation and conciliation (free for tenancy/employment) are least costly. Mediation is moderately costly. Arbitration may be more expensive than litigation.
Editorial note
This article is provided for general information on Swiss law. It does not constitute legal advice and is no substitute for consulting a professional.
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