26 June 2025
From 1 January 2026, a mandatory notice period of at least 60 days will apply to defects in real estate and immovable works.
In accordance with the new provisions of the Swiss Code of Obligations (CO), from 1 January 2026 onwards, all property purchase contracts must stipulate a notification period for defects of at least 60 days. In accordance with the new provisions of the Swiss Code of Obligations (CO), for all property purchase agreements concluded on or after 1 January 2026, a minimum notice period of 60 days must be agreed. This period begins when the defect is accepted or discovered, and applies to both obvious and hidden defects. This period cannot be shortened by contract and replaces the previous obligation to report defects immediately. Under the new law, it will also no longer be possible to reduce the five-year limitation period for asserting warranty rights.
Buyers of turnkey buildings are now granted the right to free rectification from the seller. This right is subject to the law on contracts for work and services and cannot be excluded or restricted in advance. This applies to both properties with buildings to be erected in the future and those with new buildings constructed less than two years before purchase. If a defect is discovered by the buyer within five years of purchase and notified to the seller within 60 days, the seller must rectify the defect free of charge. Therefore, a waiver of all warranty rights or the mere assignment of warranty claims by the seller to the buyer is no longer permitted, which significantly strengthens the buyer's rights.
In the context of contracts for work and services relating to immovable structures, there is no longer an immediate obligation to report defects; instead, a notice period of at least 60 days applies from either acceptance of the work or discovery of a hidden defect. The same applies to defects in movable works incorporated into an immovable work as intended, as well as to architects' or engineers' planning services if the defect renders the immovable structure defective. Additionally, the purchaser's right to rectification cannot be excluded or restricted in advance if the defect affects a building. The previous five-year limitation period for warranty rights relating to immovable and installed movable works remains in place, but it cannot be shortened by contract.
Finally, important changes have also been made to contracts under SIA Standard 118. According to this standard, defects can be reported at any time within two years of acceptance. After this period, there is an obligation to report defects immediately. However, the new OR regulation overrides this in one crucial respect: from the third year onwards, a mandatory 60-day complaint period applies to SIA contracts as well, starting from the discovery of the defect. Therefore, the previous regulation on immediate notification of defects loses its validity for contracts concluded after 1 January 2026.
