Restitution of an Asset Managed in Trust

Facts

In January 1937, Mrs. Schneidt, as the agent of Thorwart, handed over to Mrs. X, a Swiss resident then living in France, the sum of 57'364.42 Swiss francs for her to deposit in an account in her name with the Banque de Crédit Suisse in Zurich and to manage it in trust on behalf of Thorwart, in order to protect it from the German Nazi authorities. Mrs. X did indeed make this deposit and acquire securities. Subsequently, she improperly used a portion of these funds. After Thorwart's death, his wife brought an action for the restitution of the amount of 57'364.42 Swiss francs against Mrs. X.

Considerations

The Federal Tribunal ruled that Swiss law was applicable to this contractual relationship, that Mrs. X was Thorwart's direct agent and not a sub-agent of Fortlage, and that the transfer of ownership to Mrs. X was of a fiduciary nature. The Tribunal then considered that the limitation period for the principal's claim for restitution does not run from the time the assets are handed over to the agent, but only…