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

The surety may re­quire that the prin­cip­al debt­or fur­nish se­cur­ity and de­mand his re­lease from li­ab­il­ity once the prin­cip­al ob­lig­a­tion falls due:

1.

where the prin­cip­al debt­or breaches the agree­ments made with the surety, and in par­tic­u­lar his prom­ise to re­lease the surety by a cer­tain date;

2.

where the prin­cip­al debt­or is in de­fault or has re­lo­cated his dom­i­cile abroad and leg­al ac­tion against him in for­eign courts has been sub­stan­tially im­peded as a res­ult;

3.

where the surety faces sub­stan­tially great­er risks than when he agreed to of­fer the surety be­cause of a de­teri­or­a­tion in the prin­cip­al debt­or’s fin­an­cial situ­ation, a de­crease in the value of the se­cur­ity fur­nished or the fault of the prin­cip­al debt­or.