Federal Act
on the Amendment of the Swiss Civil Code
(Part Five: The Code of Obligations)

¹ At any time up to three years be­fore be­com­ing en­titled to draw re­tire­ment be­ne­fits, the em­ploy­ee may pledge his en­ti­tle­ment to oc­cu­pa­tion­al be­ne­fits or an amount up to the lim­it of his trans­fer­able be­ne­fits for the pur­pose of ac­quir­ing a prop­erty for his own per­son­al use.

² The pledge is also per­mit­ted for the pur­pose of ac­quir­ing shares in a hous­ing co­oper­at­ive or sim­il­ar par­ti­cip­at­ory ven­ture provided a res­id­en­tial unit jointly fin­anced in this man­ner is for the em­ploy­ee’s own per­son­al use.

³ The pledge is val­id only if no­ti­fied in writ­ing to the be­ne­fits scheme.

⁴ The amount pledged by em­ploy­ees aged 50 or older must not ex­ceed the trans­fer­able be­ne­fit en­ti­tle­ment they would have had at 50 or one-half of their trans­fer­able be­ne­fit en­ti­tle­ment at the time the pledge is giv­en.

⁵ Mar­ried em­ploy­ees may pledge be­ne­fits only with the writ­ten con­sent of their spouse. Where the em­ploy­ee can­not ob­tain such con­sent or if it is with­held, the em­ploy­ee may ap­ply to the civil courts.¹⁵⁷ The same ap­plies to re­gistered part­ner­ships.¹⁵⁸

⁶ Where the pledge is real­ised be­fore the be­ne­fits fall due or the cash pay­ment is made, Art­icles 30d, 30e, 30g and Art­icle 83a of the Fed­er­al Act of 25 June 1982¹⁵⁹ on Oc­cu­pa­tion­al Old Age, Sur­viv­ors' and In­valid­ity Pen­sion Pro­vi­sion are ap­plic­able.¹⁶⁰

⁷ The Fed­er­al Coun­cil de­term­ines:

a.

the pur­poses for which the pledge is per­miss­ible and the defin­i­tion of ‘own per­son­al use’;

b.

the con­di­tions to be ful­filled for the pledging of en­ti­tle­ments to ac­quire shares in a hous­ing co­oper­at­ive or sim­il­ar par­ti­cip­at­ory ven­ture.