Overview

• The Swiss Federal Administrative Court ruled that the Finance Ministry's 2023 order to cancel or reduce Credit Suisse executive bonuses was illegal.
• The court determined the cuts lacked a sufficient legal basis and violated contractually guaranteed property rights under Swiss law.
• The pilot decision affects CHF 62 million in unpaid bonuses for 12 former executives and could set a precedent for up to 1,000 additional claims.
• Judges found no evidence that the affected executives caused excessive risks to Credit Suisse’s financial stability, undermining the justification for the cuts.
• The ruling is not final and may be appealed to the Federal Supreme Court, with four related cases currently on hold pending further developments.