Facts

The insured, born in 1940, has suffered from congenital cerebral palsy and severe bilateral sensorineural hearing loss since birth. She is confined to a wheelchair. The insured is a member of the "Association of Mouth and Foot Painting Artists Worldwide", a club constituted under Liechtenstein law with its headquarters in Vaduz. She receives a fixed monthly fee of CHF 2,500 from this association and in return, she assigns the copyrights to all works created by her to the association for commercial exploitation.

The Compensation Fund of the Canton of Obwalden rejected the payment of a pension, as the degree of disability was less than one third. The insured filed a complaint against this decision, which was dismissed by the Cantonal Appeal Commission for Social Insurance of Obwalden. The insured then filed an administrative court appeal, requesting the granting of a disability pension.

Considerations

The Federal Supreme Court concluded that the income earned by the insured from the "Association of Mouth and Foot Painting Artists Worldwide" is to be classified as earned income within the meaning of Art. 28 para. 2 IVG. The reasonableness of the activity as a foot embroiderer was also affirmed, as this occupation represents a high value for the insured not only in material but also in personal terms and is positively recognized by the general public.

Furthermore, the Federal Supreme Court stated that the "Association of Mouth…