Published by Global Banking and Finance Review
Posted on October 1, 2025
1 min readLast updated: January 21, 2026
A New York court dismissed a $370 million lawsuit against Switzerland by Credit Suisse AT1 bondholders, citing sovereign immunity. The decision can be appealed within 30 days.
ZURICH (Reuters) -A New York court has dismissed a civil lawsuit brought by holders of Credit Suisse Additional Tier 1 (AT1) debt who were seeking damages of $370 million from Switzerland, the Swiss Finance Ministry said on Wednesday.
The lawsuit was filed in June last year in connection with the writedown of Credit Suisse's AT1 bonds after the bank collapsed in 2023, the ministry said in a statement.
The New York court followed the Swiss government's argument and ruled that, due to sovereign immunity, Switzerland is not subject to U.S. jurisdiction on the matter, the ministry added. The decision can be appealed within 30 days, it said.
(Writing by Dave Graham; editing by Matthias Williams)
Additional Tier 1 (AT1) debt refers to a type of bond issued by banks that can be converted into equity or written down in times of financial distress, helping to absorb losses and maintain capital levels.
An appeal is a legal process in which a higher court reviews the decision of a lower court to determine if there were errors in the application of law or procedure.
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