Reimbursement of Services and Damages after Withdrawal from the Contract

Facts

This case involved the sale of thin metal sheets by company A. to businessman X. in Tehran. Due to delays and political developments in Iran, X. withdrew from the contracts in 1981. He later assigned his claims to an Iranian manufacturer, who in turn transferred them to company B. in Lucerne in 1984.

In 1985, company B. sued company A. for reimbursement of the buyer's services as well as for damages. The defendant company A. argued that the claims were time-barred.

Considerations

The Federal Supreme Court dismissed the appeal of company A. and confirmed the judgment of the lower court. It stated that both the claim for reimbursement of the services rendered and the claim for damages are subject to the general limitation period of 10 years under Art. 127 CO.

The Federal Supreme Court reasoned that the claims are of a contractual nature, as the withdrawal from the contract did not lead to a retroactive cancellation of the contract, but merely to a substantive restructuring into a liquidation relationship. Thus, both claims are indirectly attributable to the breach of contract by the debtor…