Administrative contract

Swiss law recognises that public authorities may act not only by unilateral decision but also by contract. An administrative contract is typically used where cooperation with a private party or another authority better serves a public task, such as service provision, subsidies, infrastructure or planning arrangements. Its validity still requires competence, a public interest, legality and respect for equality and proportionality. Depending on the subject, disputes may fall under public-law remedies rather than ordinary civil litigation.