Business · Companies · 12 hrs ago
Saudi rules set fines for undated cheques and deadlines for reporting defects
Saudi Arabia’s commercial transactions rules allow fines of up to 10,000 riyals for certain undated cheques.
The fine can apply to someone who issues such a cheque, pays it or accepts it for clearing; it also covers cheques made payable by someone other than a bank.
For sales between traders for business purposes, buyers must tell the seller about defects within 15 days of delivery.
After giving notice, the buyer has 90 days from delivery to bring a claim, while defects that ordinary checks would not reveal can be raised within a year.
These deadlines can be changed by agreement, and the rules do not set general deadlines for all consumer purchases.
If a trader delivers late, the buyer can give the seller a reasonable extra period and then seek delivery, a comparable replacement with court permission, a price difference or compensation, subject to legal conditions.
The buyer may also end the contract after giving notice, and the rules specify the conditions for doing so.
Saudi Arabia’s commercial transactions system sets a fine of up to 10,000 riyals for issuing a cheque without its date or making it payable to a non-bank.
The fine also applies to anyone who pays a cheque with no date or accepts it for clearing.
In sales between businesses, buyers must report defects or shortages within 15 days of receiving goods.
The system sets other deadlines for defect claims and allows buyers remedies when sellers delay delivery.
These rules apply to sales between businesses for commercial purposes, not to all consumer purchases.
- Who
- Businesses issuing, paying or clearing undated cheques, and buyers and sellers in commercial transactions.
- What
- The system sets a fine of up to 10,000 riyals for specified undated-cheque conduct and requires buyers to report goods defects within 15 days.
- When
- The article was published on 14 November 2026. Buyers must report defects within 15 days of delivery.
- Where
- Saudi Arabia.
- Why
- Not stated
This story does not have two clearly opposing sides.
This story does not have a timeline yet.
- Cheque fine
- Up to 10,000 riyals
- Defect reporting deadline
- 15 days from delivery
- Claim deadline
- 90 days from delivery after notifying the seller
- Hard-to-detect defects
- One year
- Scope
- Sales between traders for their commercial activities
What people are saying
15 days to report defects