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Diplomats use immunity to avoid paying invoices from Swiss companies

Diplomats use immunity to avoid paying invoices from Swiss companies

A caterer from Bern who supplied food and drinks worth CHF 5,000 for an embassy celebration never received payment despite satisfactory performance.

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IMAGO/Depositphotos

In Switzerland, international diplomats are owed over 1.3 million francs, while local companies often have no way of collecting these amounts. A case from Bern illustrates the problem.

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  • Diplomats in Switzerland use their immunity to avoid paying bills.
  • This poses major challenges for local companies, as they often have no legal means of collecting the outstanding amounts.
  • In total, international diplomats owe Swiss companies CHF 1.35 million.

International diplomats in Switzerland have cheated local companies out of CHF 1.35 million. The debtors are mostly from the circles of foreign representations in Bern, as reported by “Blick”. This sum only includes the debts officially reported to the Federal Department of Foreign Affairs (FDFA). The actual sum could be even higher, as many debts are not reported.

Diplomats use their immunity to avoid paying bills. This poses major challenges for local companies, as they often have no legal means to collect the outstanding amounts.

Invoices for services such as catering, repairs or floral decorations often remain unpaid when diplomats are the clients. They enjoy a special legal position due to international agreements, which some of them exploit.

Authorities are often powerless

Private creditors face an insoluble problem when diplomats refuse to pay their bills. Even the authorities are often powerless, as diplomatic immunity protects diplomats from legal consequences.

One example is a caterer from Bern who supplied food and drinks worth CHF 5,000 for an embassy celebration. Despite satisfactory performance, he never received payment, according to the report. Reminders went unanswered and his trustee advised him to let the matter rest, as debt collection was not an option.

A similar case came to light in 2020, when the Congolese delegation failed to pay bills at two hotels during the World Economic Forum in Arosa.

Immunity protects against legal action

The immunity of diplomats protects them from legal action such as payment orders or seizures. The FDFA usually calls on foreign representations to settle debts, but the options are limited. A diplomatic conflict over unpaid bills is avoided. The figures show that the debts of diplomats have only been reduced slightly over the last four years.

This article was created with the help of artificial intelligence (AI). All content created by AI is verified by the editorial team