Consignment Form Template for Switzerland

A Consignment Form is a legally binding agreement that governs the relationship between a goods owner (consignor) and a seller or agent (consignee) under Swiss law. This document allows you to expand your distribution network while maintaining ownership of your goods until they are sold to end customers. The arrangement is particularly valuable for businesses testing new markets or seeking broader reach without the risks of traditional wholesale transactions.

When do you need this document?

You need a Consignment Form when placing goods with retailers, galleries, or agents for sale on your behalf. This is common in luxury retail where high-value items like watches or jewelry are placed in boutiques, art galleries displaying artwork for sale, or manufacturers testing products in new markets. The document is also essential when working with online marketplaces or auction houses that sell goods on commission. Additionally, you'll need this form when establishing ongoing relationships with sales agents who will represent your products to customers while you retain ownership until final sale.

Key legal considerations

Your Consignment Form must clearly define the commission structure, including rates and payment terms to avoid disputes. The document should specify who bears responsibility for insurance, storage, and handling of goods while in the consignee's possession. You need to establish clear reporting requirements, including sales records, inventory updates, and financial settlements. The agreement must address what happens to unsold goods, including return conditions and timeframes. Risk allocation is crucial - determine who is liable for damage, theft, or loss during the consignment period. Additionally, include termination clauses that protect both parties' interests and specify procedures for ending the relationship.

Legal requirements in Switzerland

Under Swiss law, consignment arrangements are governed primarily by the Swiss Code of Obligations (OR), specifically Articles 394-406 covering agency agreements and Articles 425-439 addressing commission contracts. Your agreement must comply with VAT regulations under the Federal Act on Value Added Tax, particularly regarding who handles VAT obligations for sales. If you're a registered business, ensure compliance with Swiss Commercial Registry requirements for commercial consignment arrangements. Consumer protection laws apply when end customers are involved, requiring transparent pricing and clear terms. The document must be in one of Switzerland's official languages and include proper identification of all parties. For international consignments, additional customs regulations apply, requiring coordination with Swiss customs authorities and appropriate documentation for cross-border transactions.