Project-Based Contract Template for Switzerland

A Project-Based Contract specifies the terms, scope, and deliverables for a specific project in Swiss business relationships. Unlike open-ended agreements, these contracts set clear start and end dates, outline concrete milestones, and define exact project outcomes���making them particularly useful for construction, IT development, and consulting work.

Under Swiss Code of Obligations (Article 363), these contracts qualify as "Werkvertrag" agreements, where the contractor commits to delivering specific results rather than just providing services. They typically include project phases, quality standards, payment schedules tied to deliverables, and detailed specifications for the final product or outcome. This structure helps protect both parties and ensures clear accountability throughout the project lifecycle.

Project-Based Contracts work best when you need to manage complex, time-bound deliverables with clear outcomes. They're especially valuable for Swiss businesses undertaking software development, construction projects, or specialized consulting work where precise specifications and milestone-based payments matter.

Use this contract type when your project has defined phases, specific technical requirements, or requires detailed quality standards. It's particularly important for projects over CHF 100,000 or those involving multiple stakeholders. Under Swiss law, these contracts provide stronger legal protection than general service agreements, making them ideal for high-value work where clear accountability and dispute prevention are essential.

• Fixed-Price Project Contracts: Set a predetermined total cost for the entire project scope, commonly used in construction and IT development in Switzerland
• Time and Materials Contracts: Bill based on actual hours worked plus material costs, ideal for projects with evolving requirements
• Milestone-Based Contracts: Structure payments around specific project achievements, popular in consulting and large-scale implementations
• Hybrid Project Contracts: Combine fixed-price and time-based elements, offering flexibility while maintaining budget control
• Performance-Based Project Contracts: Link payment to specific quality metrics or outcomes, common in technical installations and systems integration

• Project Managers: Oversee the creation and execution of Project-Based Contracts, ensuring deliverables align with specifications and timelines
• Legal Counsel: Review and adapt contract terms to comply with Swiss law, particularly the Code of Obligations
• Corporate Clients: Commission specific projects and define requirements as the contract principal
• Service Providers: Execute project deliverables as contractors, including IT firms, construction companies, and consulting agencies
• Technical Experts: Contribute specifications and quality standards that become binding contract terms
• Finance Teams: Handle payment schedules, milestone-based disbursements, and budget tracking

• Project Scope: Define exact deliverables, technical specifications, and quality standards expected at completion
• Timeline Details: Map out start date, completion deadline, and key milestones with specific dates
• Budget Framework: Outline total costs, payment schedule, and any performance-based bonuses or penalties
• Party Information: Gather full legal names, addresses, and authorized signatories of all involved parties
• Risk Assessment: Identify potential project risks and corresponding mitigation strategies
• Performance Metrics: Establish clear, measurable criteria for evaluating project success
• Document Generation: Use our platform to create a legally-compliant Swiss contract that includes all required elements

• Party Details: Full legal names, addresses, and authorized representatives of all contracting parties
• Project Definition: Detailed scope, specifications, and measurable deliverables as required by Swiss Code of Obligations
• Timeline Structure: Project phases, milestones, and completion dates with clear acceptance criteria
• Payment Terms: Price, payment schedule, currency, and any performance-related adjustments
• Quality Standards: Specific requirements and acceptance criteria for deliverables
• Liability Clauses: Risk allocation, warranty terms, and limitation of liability provisions
• Termination Rights: Conditions and procedures for contract termination or modification
• Dispute Resolution: Swiss jurisdiction, applicable law, and conflict resolution procedures

A Project-Based Contract differs significantly from a Service Contract in several key aspects under Swiss law. While both regulate business relationships, their core focus and structure serve different purposes.

• Deliverable Focus: Project-Based Contracts specify concrete, measurable outcomes with defined end products, while Service Contracts typically cover ongoing services without specific deliverables
• Time Framework: Project contracts have clear start and end dates with milestone deadlines, whereas Service Contracts often run continuously with regular renewal options
• Payment Structure: Project payments usually link to completion milestones or deliverables, while Service Contracts typically involve regular periodic payments
• Legal Classification: Under Swiss Code of Obligations, Project-Based Contracts fall under "Werkvertrag" (contract for work), while Service Contracts are "Auftragsvertrag" (mandate contract)
• Risk Allocation: Project contracts place more responsibility on the contractor for achieving specific results, versus service agreements' focus on reasonable effort