A Tenants in Common Agreement is essential when two or more parties wish to establish shared ownership of property in Switzerland. This document is particularly important as it provides a clear framework for co-ownership under Swiss law, specifically addressing requirements set forth in the Swiss Civil Code (ZGB) and Code of Obligations (OR). The agreement is commonly used for both residential and commercial properties, investment properties, and family property arrangements. It details crucial aspects such as ownership percentages, management responsibilities, cost allocation, decision-making processes, and procedures for ownership transfer. The document helps prevent future disputes by clearly defining each owner's rights and obligations, while ensuring compliance with both federal and cantonal property laws.
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1. Parties: Identification of all co-owners with their full legal names, addresses, and ownership shares
2. Background: Context of the co-ownership arrangement, including property details and purpose of the agreement
3. Definitions: Key terms used throughout the agreement
4. Property Description: Detailed description of the property including address, land registry details, and physical characteristics
5. Ownership Shares: Specification of each owner's percentage share and initial contributions
6. Rights and Obligations: Core rights and responsibilities of co-owners, including use, maintenance, and decision-making processes
7. Property Management: Procedures for day-to-day management, maintenance, and improvements
8. Financial Obligations: Cost sharing, expense allocation, and payment procedures
9. Decision Making: Voting rights and procedures for important decisions
10. Transfer of Interests: Rules regarding sale, transfer, or encumbrance of ownership shares
11. Dispute Resolution: Procedures for resolving conflicts between co-owners
12. Termination: Conditions and procedures for terminating the co-ownership arrangement
13. Governing Law: Confirmation of Swiss law application and jurisdiction
14. General Provisions: Standard legal clauses including notices, amendments, and severability
1. Property Usage Schedule: Used when co-owners need specific scheduling for property usage, particularly relevant for vacation homes or commercial properties
2. Property Manager Appointment: Include when a professional property manager will be appointed to handle day-to-day operations
3. Right of First Refusal: Optional provisions giving co-owners first right to purchase when another owner wishes to sell
4. Mortgage Provisions: Include when the property is subject to a mortgage or when co-owners plan to obtain financing
5. Insurance Requirements: Detailed insurance provisions when specific coverage requirements need to be specified
6. Death or Incapacity: Special provisions for handling ownership transfer in case of death or incapacity of a co-owner
7. Rental Provisions: Include when co-owners agree to rent out the property to third parties
1. Schedule A - Property Details: Detailed property description, including plans, boundaries, and land registry excerpts
2. Schedule B - Initial Contributions: Detailed breakdown of each owner's initial financial or other contributions
3. Schedule C - Maintenance Schedule: Regular maintenance requirements and responsibilities
4. Schedule D - Cost Allocation: Detailed breakdown of how different types of costs are to be shared
5. Appendix 1 - Property Rules: Specific rules for property use and maintenance
6. Appendix 2 - Contact Information: Complete contact details for all co-owners and key service providers
7. Appendix 3 - Property Insurance: Insurance certificates and coverage details
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