Avoidance action

In Swiss insolvency law, avoidance actions protect creditors against transactions that improperly depleted the debtor’s assets before seizure, bankruptcy or composition proceedings. Depending on the circumstances, they may target gifts, transactions made while over-indebted, or acts intended to disadvantage creditors. If successful, the value or asset is returned to the enforcement estate or made available for distribution. The action does not punish the counterparty as such; it restores equal treatment by reversing effects that harmed the creditor body.