The law on secondary residences (Lex Weber) arose out of a popular initiative called "Putting an end to invading constructions of secondary residences", spearheaded by Franz Weber, a Swiss environmentalist who aims to limit the proportion of secondary residences in Swiss municipalities. The initiative was a proposal to modify the Swiss constitution and was submitted to the Swiss population.

This article states the purposes of the initiative and the current state of implementation, provides an overview of who is affected, and details the position and considerations of current owners in areas affected by the laws.

The initiative's purposes are to (www.residences-secondaires.ch/Linitiative.html):

The initiators allege that one square metre of land is constructed every second in Switzerland (www.residences-secondaires.ch/Linitiative.html). Building residences that are mainly empty during most of the year in natural areas such as the Alps, constitute unacceptable damage to the environment.

Indeed, Swiss people and tourists particularly appreciate Switzerland for its nature and intact mountains. Therefore, the initiators' aim is to preserve the landscape for future generations and tourists, and to put an end to the "disfigurement of the landscape" created by the intense proliferation of new constructions.

Finally, the construction of new residences without any restrictions also substantially affects cultivable land.

The Swiss population voted by referendum and accepted the initiative on 11 March 2012. The initiative entered into force on 1 January 2013. The initiative required that an Implementation Act be enacted within the next two years following its approval by the Swiss population. Therefore, following the referendum, the Swiss Federal Council (the executive body) spent several months analysing how to implement the initiative.

The Swiss Federal Council enacted the Ordinance of 22 August 2012 on secondary residences (Ordinance) to implement parameters and answer the urgent practical questions that arose out of Lex Weber. The Swiss Parliament is currently consulting on a proposed federal law.

20% limit on secondary residences. The Ordinance and the proposed federal law provide that the proportion of secondary residences in each municipality must not exceed 20% of the total housing stock. Each municipality will have to establish every year an inventory of its housing stock. On that basis, the Swiss confederation will determine the proportion of secondary residences in each municipality.

A secondary residence is a residence that is not occupied year round either (Article 2, Ordinance):

Article 2 of the proposed federal law lists a number of accommodations that are considered as primary residences, notably:

Hotels. The legislation takes into account hoteliers' interests. Secondary residences will be allowed in municipalities that have reached the 20% limit if the owner does all of the following:

Further, hoteliers in municipalities that have reached the 20% limit will be able, under strict conditions (notably that their business is not profitable), to create dwellings for secondary residence purposes, provided that they do not exceed 33% of the total surface area of the rooms/dwellings.

The Ordinance and the proposed federal law provide for the possibility to transform hotels into secondary residences that are not built as tourist accommodation. For a hotel to benefit from such a transformation:

" Monuments". For municipalities that have already reached the 20% limit, new secondary residences can still be permitted in certain constructions that are protected as "monuments" (such as a traditional Swiss chalet). This is provided that all of the following apply:

Status of building permits. The initiative entered into force on 1 January 2013. Any building permit for secondary residences purposes granted after that date is null and void. This resulted in a "race to building permits" for secondary residences purposes between 11 March 2012 (the date on which the initiative was accepted) and 1 January 2013 (the date of its entry into force).

However, the Supreme Court ruled on this matter (Supreme Court case 139 II 243) and announced that any building permit granted between those dates is voidable. This means that building permits granted during this period can be voided on appeal. However, if they are not subject to an appeal, they may stand. The Federal Office for Spatial Development stated in a notice that these situations should be treated on a case by case basis.

Neither the Ordinance nor the proposed federal law include any environment-specific provisions.

However, the Swiss Federal Energy Act 1998 includes provisions on the efficient use of energy. The cantons are responsible for implementing the law in the building sector.

In the canton of Vaud, the Energy Law 2006 provides that new constructions must cover at least 30% of their domestic hot water needs using renewable energy (Article 28a, Vaud Energy Law).

New constructions must also cover 20% of their electricity needs using renewable energy (for example, solar photovoltaic) (Article 28b, Vaud Energy Law).

In relation to real estate transactions, it is usually recognised that the seller must disclose environmental information to the buyer, unless they are both professional. From a buyer's perspective, it is important to require representations and warranties together with an indemnification from the seller.

For further information, see Environmental law and practice in Switzerland: overview, which provides an overview of the applicable regulations on environment protection in Switzerland.

Current owners of primary residences built after the initiative was accepted in areas affected by Lex Weber must keep in mind that any change in their residence use will trigger difficulties. These owners may want to secure legal advice for estate planning purposes. However, the final version of the federal law is currently in consultation in parliament. As many tourist regions protested against a strict application of the initiative, the parliament may provide a wider range of solutions for prospective owners and real estate providers. For example, it may provide these owners with an exit in the case of relocation: if they are not able to find, within one or two years (the duration is being discussed), a new acquirer who will use the dwelling as his primary residence, the residence could be transformed into a secondary residence.