Article 12 of the Saudi Accounting and Auditing Profession Law
المادة 12 من نظام مهنة المحاسبة والمراجعة
The article provides that the competent judicial body hears compensation claims and private-right claims brought by or against the certified accountant arising from the application of the Law.
Official text (Arabic)
This article has not been amended since the law was issued.
تنظر الجهة القضائية المختصة في دعاوى التعويض والحق الخاص التي تقام من المحاسب القانوني أو عليه، الناشئة عن تطبيق أحكام النظام.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 12 explained in plain English
This article deals with the civil or private side of disputes connected with the profession, and provides that the competent judicial body hears:
- Compensation claims.
- Private-right claims.
whether brought by the certified accountant or against him, provided they arise from the application of the provisions of the Law.
The article does not name a particular court, but uses the phrase "the competent judicial body", so identifying the court depends on the nature of the claim and the rules of jurisdiction in force. Nor does it set out the conditions for entitlement to compensation or its amount.
This article distinguishes two tracks: the criminal track handled by the Public Prosecution, which investigates and considers bringing the criminal case for the crimes in Article 10, under Article 11; and the private-rights track governed by this article. Article 13 confirms that applying the penalty provided in the Law does not prejudice the right to claim compensation from whoever caused the damage as a result of the violation.
Anyone harmed by the work of a certified accountant, or an accountant who wants to claim a right of his, is advised to consult a lawyer specializing in commercial and corporate cases.
Practical example
A company in Riyadh relied on an audit report prepared by a certified accountant and then found that it was harmed by an error in it. It can file a compensation claim against him before the competent judicial body, if the claim arises from the application of the provisions of the Law.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 12 of the Saudi Accounting and Auditing Profession Law
Where do I file a compensation claim against a certified accountant?
The competent judicial body hears compensation claims and private-right claims arising from the application of the provisions of the Law, and the article does not name a particular court.
Can a certified accountant file a claim to demand his rights?
Yes. The article covers claims brought by the certified accountant or against him.
Does punishing the accountant prevent claiming compensation?
No. Article 13 provides that applying the penalty does not prejudice the right to claim compensation from whoever caused the damage as a result of the violation.
More articles on Accounting Profession Offenses and Penalties
- Article 10
The article punishes with imprisonment of up to 5 years and a fine of up to two million riyals, or either, eight crimes, including falsifying license information, misleading the public, and certifying reports contrary to the truth.
1- دون إخلال بأي عقوبة ينص عليها في نظام آخر، يعاقب بالسجن مدة لا تزيد على (خمس) سنوات وبغرامة لا تزيد على مليوني ريال، أو بإحدى هاتين العقوبتين كل من ارتكب واح
- Article 11
The article assigns to the Public Prosecution the investigation of the crimes provided for in Article 10 of the Law, and the consideration of bringing the criminal case before the competent court.
تتولى النيابة العامة التحقيق في الجرائم المنصوص عليها في المادة (العاشرة) من النظام، والنظر في إقامة الدعوى الجزائية أمام المحكمة المختصة.
- Article 18
The article allows the Committee to summon the violator to hear his statements, and requires it, if the violation is accompanied by one of the crimes in Article 10, to take what is necessary to refer it to the Public Prosecution.
للجنة استدعاء المخالف لسماع أقواله، فإذا اقترنت المخالفة بأي من الجرائم المنصوص عليها في المادة (العاشرة) من النظام، فعلى اللجنة اتخاذ ما يلزم لإحالتها إلى الني
- Article 20Amended by M/169
The article assigns to Authority employees named by the Board the detection of the crimes in Article 10 and of violations of the provisions of the Law, its Regulations and its decisions, without prejudice to the competences of the relevant bodies.
دون إخلال باختصاصات الجهات المعنية، يتولى موظفون من الهيئة -يصدر بتسميتهم قرار من المجلس- ضبط ما يُرتكب من الجرائم المنصوص عليها في المادة (العاشرة) من النظام،
The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.