Article 10 of the Saudi Arbitration Law
المادة 10 من نظام التحكيم · الباب الثاني: اتفاق التحكيم
The article requires capacity to dispose for a valid arbitration agreement, and allows government bodies to agree to arbitration only with the Prime Minister's approval unless a special statutory provision permits it.
Official text after amendments (Arabic)
Compiled from the original text and every officially published amendment; the amendments are shown in full below for comparison.
1- لا يصح الاتفاق على التحكيم إلا ممن يكون أهلاً للتصرف سواء أكان شخصاً ذا صفة طبيعية أم شخصاً ذا صفة اعتبارية
2 - لا يجوز للجهات الحكومية الاتفاق على التحكيم إلا بعد موافقة رئيس مجلس الوزراء، ما لم يرد نص نظامي خاص يجيز ذلك.
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 10 explained in plain English
This article identifies who may agree to arbitration.
Paragraph (1) - capacity to dispose: an agreement to arbitrate is valid only from a person who has capacity to dispose, whether a natural person (an individual) or a legal person (such as a company or institution). If the agreement comes from someone without capacity to dispose, it is not valid.
Paragraph (2) - government bodies: government bodies may not agree to arbitration except after the approval of the Prime Minister, unless a special statutory provision permits it. Anyone contracting with a government body who wants an arbitration clause should therefore note this restriction.
Amendment: paragraph (1) was amended by Royal Decree No. (M/21) dated 26/1/1447 AH, and the text explained here is the text in force after the amendment.
This article complements Article 9, which requires the arbitration agreement to be in writing and allows it to precede or follow the dispute; it is not enough for the agreement to be written, it must also come from someone with capacity to dispose. Article 11 follows to show the effect of an arbitration agreement if the dispute is brought to court.
If you are contracting with a government body or want to verify the authority of the person who signed the arbitration agreement, it is advisable to consult a lawyer specialized in arbitration and commercial cases.
Practical example
A contracting company in Dammam is negotiating a contract with a government body and asked for an arbitration clause to be included. Under paragraph (2), a government body may not agree to arbitration except after the approval of the Prime Minister, unless a special statutory provision permits it.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
How we write and review contentA question about Article 10 of Arbitration Law?
Describe what happened and specialist lawyers answer. You can write in English.
- Completely free
- Lawyers from the directory answer
- Your name stays hidden
Administrative Law lawyers: ask a specialist about your case
Describe your situation briefly and we'll suggest a lawyer who specialises in this law
Administrative Law (Board of Grievances) lawyers
Lawyers who handle this kind of case
Dr. Ali Al-Rubaie Law Office and Ittihad Al-Asr Legal Company
Active contributor
Unwan Law Firm
Frequently asked questions about Article 10 of the Saudi Arbitration Law
May government bodies resort to arbitration?
Yes, after the approval of the Prime Minister, unless a special statutory provision permits it.
Who may conclude an arbitration agreement?
A person who has capacity to dispose, whether a natural person or a legal person.
Has this article been amended?
Yes. Paragraph (1) was amended by Royal Decree No. (M/21) dated 26/1/1447 AH.
Amendment history
Royal Decree No. M/21 — 26/1/1447 AH
Official amendment text (Arabic)
- عُدلت الفقرة (1) من هذه المادة وذلك بموجب المرسوم الملكي رقم (م/21) وتاريخ 1447/1/26هـ، لتكون بالنص الآتي:
"1- لا يصح الاتفاق على التحكيم إلا ممن يكون أهلاً للتصرف سواء أكان شخصاً ذا صفة طبيعية أم شخصاً ذا صفة اعتبارية".
Original text before the amendments (Arabic)
1- لا يصح الاتفاق على التحكيم إلا ممن يملك التصرف في حقوقه سواء أكان شخصاً طبيعيًّا ـ أو من يمثله ـ أم شخصاً اعتباريًّا.
2 - لا يجوز للجهات الحكومية الاتفاق على التحكيم إلا بعد موافقة رئيس مجلس الوزراء، ما لم يرد نص نظامي خاص يجيز ذلك.
More articles on Arbitration Agreement
- Article 1
The article defines three key terms in the Arbitration Law: the arbitration agreement, the arbitral tribunal and the competent court.
تدل العبارات الآتية الواردة في هذا النظام على المعاني الموضحة أمامها، ما لم يقتض السياق خلاف ذلك : 1 - اتفاق التحكيم : هو اتفاق بين طرفين أو أكثر على أن يحيلا إ
- Article 5
The article requires applying the provisions of any document, such as a model contract or international agreement, to which the parties agree to subject their relationship, so long as it does not contravene Islamic Sharia.
إذا اتفق طرفا التحكيم على إخضاع العلاقة بينهما لأحكام أي وثيقة (عقد نموذجي، أو اتفاقية دولية أو غيرهما)، وجب العمل بأحكام هذه الوثيقة بما تشمله من أحكام خاصة با
- Article 9
The article allows an arbitration agreement to precede or follow a dispute, requires it to be in writing or it is void, and sets out the accepted forms of writing.
1- يجوز أن يكون اتفاق التحكيم سابقاً على قيام النزاع سواء أكان مستقلاً بذاته، أم ورد في عقد معين. كما يجوز أن يكون اتفاق التحكيم لاحقاً لقيام النزاع، وإن كانت ق
- Article 11
The article requires a court seized of a dispute covered by an arbitration agreement to rule the action inadmissible if the defendant raises this before any request or defense, and provides that the action does not stop the arbitration.
1- يجب على المحكمة التي يرفع إليها نزاع يوجد في شأنه اتفاق تحكيم أن تحكم بعدم جواز نظر الدعوى إذا دفع المدعى عليه بذلك قبل أي طلب أو دفاع في الدعوى. 2 - لا يحول
- Article 12
The article requires the competent court to refer the dispute to arbitration if the parties agree to arbitrate while it is being heard, subject to paragraph (1) of Article 9.
مع مراعاة ما ورد في الفقرة (1) من المادة (التاسعة) من هذا النظام؛ إذا تم الاتفاق على التحكيم أثناء نظر النزاع أمام المحكمة المختصة، وجب عليها أن تقرر إحالة النز
- Article 20
The article makes the arbitral tribunal decide pleas of its own lack of jurisdiction, sets the time for raising them, and limits appeal of a refusal to an action to annul the award that ends the whole dispute.
1- تفصل هيئة التحكيم في الدفوع المتعلقة بعدم اختصاصها بما في ذلك الدفوع المبنيّة على عدم وجود اتفاق تحكيم، أو سقوطه، أو بطلانه، أو عدم شموله لموضوع النزاع. 2- ي
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.