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


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Art. 408

B. Loan au­thor­isa­tion

I. Defin­i­tion and form

 

1 Where a per­son has re­ceived and ac­cep­ted a man­date to grant or re­new a loan to a third party in his own name and for his own ac­count but on the au­thor­isa­tion of the man­dat­or, the man­dat­or is li­able for the pay­ee’s ob­lig­a­tion in the same man­ner as a surety, provided that the man­datee has not ex­ceeded his au­thor­ity.

2 The man­dat­or in­curs such li­ab­il­ity only where the au­thor­isa­tion was giv­en in writ­ing.

 
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