Company deemed "not Swiss enough" to use "Swiss" in name

A court has banned a foreign business from using the term “Swiss” in its name for the first time. The company was found to have limited connections to Switzerland.

Company found to be not “Swiss enough”

The Bern Commercial Court has ruled that BDSwiss AG, a financial services provider primarily based in Cyprus, is not “Swiss enough”. The international company is banned from using the term “Swiss” in its name and can no longer use the well-known red Swiss flag in its logo, reports SRF.

While BDSwiss AG had an office registered in Zug, it failed to prove a connection to Switzerland other than a PO box. David Stärkle from the Swiss Federal Institute of Intellectual Property (IPI) explained that companies operating in Switzerland usually pay for things like rent and internet. In the case of BDSwiss AG, “the company was unable to provide any such documentation”.

Businesses can benefit from using Swiss brand

The case was put forward by the IPI and was “the first time we have filed a lawsuit concerning Swissness,” continued Stärkle. "The ruling sends an important signal to foreign companies: We can take action against abuses – and we do. Even if the companies primarily operate abroad."

The IPI estimates that it intervenes in around 370 cases a year where the term “Swiss” or the Swiss flag are misused. Most cases, however, do not end up in court. 

Stefan Vogler, brand expert at the Zurich University of Applied Sciences, believes that the Swiss brand is “very valuable”. Swiss-made products are often known for their quality and reliability, and consumers are willing to pay around 20 percent more for products or services associated with the country. 

In 2023, the chocolate brand Toblerone had to stop using the Matterhorn as its logo after increasing manufacturing abroad. According to the 2017 “Swissness Act”,  in order to use the Swiss flag,  crosses, mountains and other landmarks in its logo or branding, 80 percent of a product must be made with Swiss-sourced materials and the "essential work" to build a product must be done in Switzerland.