#1 - Funniest question of the week for Jurilo - and the serious answer :-)
Question:
How can a Swiss stamp retailer sell a CHF 1.00 stamp to his customers for 95 centimes? How does the business model work?
Jurilo:
A Swiss stamp dealer who sells a CHF 1.00 stamp for CHF 0.95 can in principle do so legally, provided that he does not violate any legal requirements. From a legal perspective, the following aspects in particular must be considered:
1. Freedom of contract and pricing
Swiss private law provides freedom of contract, in particular freedom of price. This means that retailers are generally free to set the price for their goods themselves as long as there are no special legal pricing regulations. It is therefore legally permissible to sell a stamp below the nominal value, e.g. for CHF 0.95 instead of CHF 1.00.
2. Possible business models
Such a business model can be based on various legally admissible bases:
- Purchase of remaining stock or collections below nominal value: For example, the dealer buys unused stamps from estates, collections or business transactions at a discounted price. He can then resell these at a small premium, which is still below the face value.
- Promotional or lure offers: Selling below face value can serve as a marketing tool to attract customers. The retailer may not make a profit on the individual sale, but will benefit from subsequent transactions.
- Sale of brands that are no longer valid for franking: In rare cases, brands could be sold that are no longer approved for franking (e.g. old series). However, in this case, the dealer must clearly state that they are for collection purposes only. Selling as a franking-valid brand would otherwise be misleading.
3. Misleading and unfair competition law
According to the Federal Act against Unfair Competition (UWG), a retailer may not provide misleading information. If a stamp is no longer valid for franking, it may not be sold as such. Deception about the validity or value of the trademark could constitute an unfair business practice.
4. VAT-related aspects
Stamps that can be used for franking are exempt from VAT in Switzerland. However, the trader must ensure that he applies the tax rules correctly, particularly if he also offers other goods or services.
5. consumer protection
If the offer is aimed at consumers, consumer protection regulations must also be observed, in particular when selling at a distance (e.g. online trade). The price information must be transparent and complete.
Conclusion:
The sale of a CHF 1.00 stamp for CHF 0.95 is legally permitted, provided that the stamp is valid for franking and is not misleading. The business model is usually based on the cheap purchase of brands below face value. It is crucial that the retailer acts transparently and does not violate any legal regulations.
Sources:
- Article 1 OR
- Article 2 OR
- Art. 3 UWG
- Article 197 OR
- Art. 8 UWG
