Document background
The Payment Terms Agreement is a fundamental document used to establish clear and legally enforceable payment conditions between parties conducting business in or under Swiss jurisdiction. This agreement becomes necessary when parties engage in ongoing business relationships requiring regular payments, or in situations where specific payment terms need to be formally documented. The document addresses key aspects such as payment schedules, methods, currencies, late payment consequences, and dispute resolution procedures, all aligned with Swiss legal requirements, particularly the Swiss Code of Obligations. The agreement is especially relevant given Switzerland's position as a major financial center and its strict regulatory environment, requiring careful consideration of banking laws, debt enforcement procedures, and international payment regulations.
