Article 27 of the Saudi Chambers of Commerce Law
المادة 27 من نظام الغرف التجارية · الفصل الثاني: الأجهزة الإدارية للغرفة
Article 27 governs the appointment of the chamber's full-time Secretary General, attendance at board meetings without a vote, closed meetings, and the limits on the length and renewal of the contract.
Official text (Arabic)
This article has not been amended since the law was issued.
1- يُعين مجلس إدارة الغرفة أمينًا عامًّا للغرفة من ذوي الخبرة والكفاية والتأهيل العلمي، يكون متفرغًا ومسؤولاً عن سير أعمالها الإدارية والمالية، وله حق حضور اجتماعات مجلس الإدارة -عدا الاجتماعات المغلقة- دون أن يكون له حق التصويت. وتحدد اللائحة معايير الخبرة والكفاية والتأهيل العلمي المطلوب توافرها في الأمين العام للغرفة.
2- لمجلس إدارة الغرفة عقد اجتماعات مغلقة؛ لمناقشة أداء الأمين العام للغرفة.
3- في جميع الأحوال، ودون إخلال بما تقضي به أحكام نظام العمل؛ يجب ألا تتجاوز مدة عقد الأمين العام للغرفة -عند تعيينه- مدة دورة المجلس التي عُين خلالها بأكثر من سنة واحدة، ويجوز للمجلس الذي يليه تجديد عقده بما لا يتجاوز سنة واحدة من مدة دورة المجلس الجديد.
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 27 explained in plain English
This article sets out the Secretary General's position in the chamber and the limits of his or her contract.
Paragraph 1: appointment and role
- The Secretary General is appointed by the chamber's board of directors.
- He or she is chosen from persons with experience, competence and academic qualifications, and the Implementing Regulations set the criteria for this.
- He or she works full-time and is responsible for the running of the chamber's administrative and financial affairs.
- He or she has the right to attend board meetings other than closed meetings, without the right to vote.
Paragraph 2: closed meetings
- The board may hold closed meetings to discuss the Secretary General's performance, which the Secretary General does not attend, under the exception in paragraph 1.
Paragraph 3: length of the contract
- When first appointed, the Secretary General's contract may not exceed the term of the board that appointed him or her by more than one year.
- The following board may renew the contract, for a period not exceeding one year of the new board's term.
- All of this is without prejudice to the provisions of the Labor Law, meaning these limits do not override what the Labor Law provides.
The purpose of the term limit is that a new board is not bound by a long contract concluded by a previous board, while allowing a transition period of no more than one year.
The article is linked to Article 28, which lists the Secretary General's duties, including supervising executive work, implementing the board's decisions, preparing the draft budget, annual report and final accounts, and hiring the chamber's staff. For any question about the Secretary General's contract, consult a lawyer specializing in commercial and corporate matters.
Practical example
The board of a chamber appoints a Secretary General in the middle of its term. The contract may not extend more than one year beyond the end of this board's term. When the new board is formed, it may renew the contract for a period not exceeding one year of its own term.
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 27 of the Saudi Chambers of Commerce Law
Who appoints the Secretary General of a chamber of commerce?
The chamber's board of directors appoints him or her from among people with experience, competence and academic qualifications, and the Implementing Regulations set the criteria.
Does the Secretary General have a vote on the chamber's board?
No. He or she attends board meetings, except closed meetings, without the right to vote.
What is the maximum length of the Secretary General's contract?
On appointment, the contract may not exceed the term of the board that appointed him or her by more than one year, and the following board may renew it for a period not exceeding one year of its own term.
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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.

