Article 54 of the Saudi Arbitration Law
المادة 54 من نظام التحكيم · الباب السابع: حجية أحكام المحكمين وتنفيذها
The article provides that bringing an action for nullity does not suspend enforcement of the arbitral award, lets the competent court suspend it under conditions, and sets periods for deciding the request and the action.
Official text (Arabic)
This article has not been amended since the law was issued.
لا يترتب على رفع دعوى البطلان وقف تنفيذ حكم التحكيم. ومع ذلك يجوز للمحكمة المختصة أن تأمر بوقف التنفيذ إذا طلب مدعي البطلان ذلك في صحيفة الدعوى، وكان الطلب مبنياً على أسباب جدية. وعلى المحكمة المختصة الفصل في طلب وقف التنفيذ خلال خمسة عشر يوماً من تاريخ تقديم الطلب. وإذا أمرت بوقف التنفيذ جاز لها أن تأمر بتقديم كفالة أو ضمان مالي، وعليها إذا أمرت بوقف التنفيذ الفصل في دعوى البطلان خلال مائة وثمانين يوماً من تاريخ صدور هذا الأمر.
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 54 explained in plain English
This article deals with a practical question: if I bring an action for nullity, does enforcement of the award stop?
The rule: Bringing an action for nullity does not suspend enforcement of the arbitral award.
The exception: The competent court may order suspension of enforcement if two conditions are met:
- The party claiming nullity requests the suspension in the statement of claim.
- The request is based on serious grounds.
Periods and guarantees:
- The court decides the request for suspension within 15 days of the date it was submitted.
- If it orders the suspension, it may order the provision of a surety or financial guarantee.
- If it orders the suspension, it must decide the action for nullity within 180 days of the date the suspension order was issued.
Note that the text requires the suspension request to be submitted in the statement of claim, so a party who wants suspension should include it there. The article is linked to Article 53, which sets out who issues the order to enforce the arbitrators' award and the documents attached to the request, and to Article 55, which provides that a request to enforce an arbitral award is not accepted unless the period for bringing the action for nullity has expired.
To assess whether the grounds are serious enough to request suspension, it is advisable to consult a lawyer who specializes in arbitration and commercial cases.
Practical example
A company in Riyadh brought an action for nullity against an arbitral award obliging it to pay a large amount, and requested in the statement of claim that enforcement be suspended on grounds it considered serious. The competent court decides the suspension request within 15 days; if it orders the suspension, it may require the company to provide a surety or financial guarantee, and it must then decide the action for nullity within 180 days of the suspension order.
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 54 of the Saudi Arbitration Law
Does an action to annul an arbitral award suspend enforcement?
No. The default is that bringing it does not suspend enforcement, and the competent court may order suspension if it is requested in the statement of claim and based on serious grounds.
How long does the court take to decide a request to suspend enforcement?
It decides it within 15 days of the date the request was submitted.
Is a financial guarantee required to suspend enforcement of an arbitral award?
If the court orders suspension of enforcement, it may order the provision of a surety or financial guarantee.
More articles on Enforcing an Arbitral Award
- Article 44
The article requires the tribunal to deposit the original award or a signed copy with the competent court within 15 days of its issuance, with a certified Arabic translation if it was issued in a foreign language.
تودع هيئة التحكيم أصل الحكم، أو صورة موقعة منه باللغة التي صدر بها لدى المحكمة المختصة وذلك خلال المدة المنصوص عليها في الفقرة (1) من المادة (الثالثة والأربعين)
- Article 51
The article sets the period for an action to annul an arbitral award at 60 days from notification of the award, and the effect and challengeability of the court's judgment, whether upholding or annulling the award.
1- ترفع دعوى بطلان حكم التحكيم من أي من طرفيه خلال الستين يوماً التالية لتاريخ إبلاغ ذلك الطرف بالحكم. ولا يحول تنازل مدعي البطلان عن حقه في رفعها قبل صدور حكم
- Article 52
The article provides that an arbitral award issued under the Law has the force of res judicata and is enforceable, subject to the provisions of the Law.
مع مراعاة الأحكام المنصوص عليها في هذا النظام، يحوز حكم التحكيم الصادر طبقاً لهذا النظام حجية الأمر المقضي به، ويكون واجب النفاذ.
- Article 53
The article gives the competent court or its delegate the power to issue an order enforcing the arbitrators' award, and lists the four documents that must be attached to the enforcement request.
تصدر المحكمة المختصة أو من تندبه، أمراً بتنفيذ حكم المحكمين. ويقدم طلب تنفيذ الحكم مرافقاً له الآتي: 1 - أصل الحكم أو صورة مصدقة منه. 2 - صورة طبق الأصل من اتفا
- Article 55
The article sets when a request to enforce an arbitral award is accepted, what the competent body verifies before ordering enforcement, and the rules on objecting to the enforcement order or its refusal.
1- لا يقبل طلب تنفيذ حكم التحكيم إلا إذا انقضى ميعاد رفع دعوى بطلان الحكم. 2 - لا يجوز الأمر بتنفيذ حكم التحكيم وفقاً لهذا النظام إلا بعد التحقق من الآتي: أ - أ
- Article 56
The article assigns to the Council of Ministers the issuance of the Implementing Regulations of the Arbitration Law.
يصدر مجلس الوزراء اللائحة التنفيذية لهذا 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.