Article 63 of the Saudi Civil Aviation Law
المادة 63 من نظام الطيران المدني · الفصل الثاني: الحقوق على الطائرات
A forced sale of an aircraft follows the procedures of the laws in force and the Implementing Regulations; a sale breaching them can be annulled within six months, and the buyer takes ownership free of all rights.
Official text (Arabic)
This article has not been amended since the law was issued.
1 - إذا تقرر بيع الطائرة جبريًّا في المملكة لتسديد الديون المستحقة عليها؛ فإن إجراءات البيع الجبري تتم وفقا للإجراءات التي تحددها الأحكام والأنظمة المطبقة في المملكة، ووفقا لما تحدده اللائحة في هذا الشأن.
2 - مع عدم الإخلال بما ورد في الأنظمة المطبقة في المملكة؛ يترتب على عدم مراعاة أحكام الفقرة (1) من هذه المادة أن يكون البيع الذي تم قابلا للبطلان بناء على طلب يقدمه كل من أصابه ضرر من جراء هذه المخالفة وذلك خلال الأشهر الستة اللاحقة للبيع.
3 - لا يجوز أن يتم إجراء أي بيع جبري للطائرة ما لم تكن الحقوق ذات الأفضلية على حقوق الدائن الحاجز طبقا لأحكام هذا الفصل قد سددت من ثمن البيع أو قد تكفل بها المشتري.
4 - تدفع المصاريف التي أنفقت للصالح المشترك للدائنين على إجراءات التنفيذ المؤدية إلى البيع والمستحقة الأداء قانونًا وفقًا للأحكام والأنظمة المطبقة في المملكة وذلك من ثمن بيع الطائرة قبل جميع الديون ولو كانت ممتازة طبقا للمادة (الحادية والستين) من هذا النظام.
5 - وفقًا لأحكام هذه المادة؛ ينقل البيع الجبري للطائرة ملكيتها خالصة من جميع الحقوق ولو لم تدخل في تقدير المشتري.
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 63 explained in plain English
This article deals with what happens when it is decided to sell an aircraft by force in the Kingdom to settle the debts due on it, that is, to sell it without its owner's consent through enforcement procedures.
- Procedures: the sale takes place under the procedures set by the provisions and laws applicable in the Kingdom, and as the Implementing Regulations of this law set out on the matter.
- Consequence of breach: if these procedures are not observed, the sale is liable to be annulled, at the request of anyone harmed by the breach, within the six months following the sale, without prejudice to what the applicable laws provide.
- Rights with priority: a forced sale may not be carried out unless the rights that rank ahead of the attaching creditor's right under the provisions of this chapter have been paid from the sale price or assumed by the buyer.
- Enforcement expenses: the expenses incurred for the common benefit of the creditors on the enforcement procedures leading to the sale, and legally due, are paid from the price before all debts, even the privileged debts referred to in Article 61.
- Effect of the sale: a forced sale transfers ownership of the aircraft to the buyer free of all rights, even if they were not taken into account by the buyer.
Article 62 prevents recognition of the creation or transfer of any of the rights in paragraph 1 of Article 56 if the debtor did so after sale or enforcement proceedings were taken against him and with his knowledge, intending to harm the attaching creditor, the party carrying out enforcement or the buyer. Article 64 extends a right registered on the aircraft to spare parts. A creditor or owner of an aircraft offered for forced sale would do well to consult a lawyer specializing in enforcement and civil aviation cases.
Practical example
A decision was made to sell by force an aircraft owned by a company in Jeddah to settle its debts, and the sale was carried out without following the prescribed procedures. A harmed creditor may request annulment of the sale within the six months following it, and if the sale was valid, the shared enforcement expenses are paid from the price first.
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 63 of the Saudi Civil Aviation Law
How long is there to request annulment of a forced sale of an aircraft?
Anyone harmed by failure to observe the sale procedures may request its annulment within the six months following the sale.
Does the buyer buy the aircraft with its debts?
No. A forced sale under this article transfers ownership free of all rights, even if they were not taken into account by the buyer.
What is paid first from the sale price of the aircraft?
First the expenses of the enforcement procedures incurred for the common benefit of the creditors and legally due, before all debts, even privileged ones.
Articles this article refers to
More articles on Registering Aircraft and Rights Over Them
- Article 49
No civil aircraft may fly in the Kingdom's territory without its nationality and registration marks; the Authority may permit an unregistered aircraft to fly or land for technical testing or other purposes.
لا يجوز لأي طائرة مدنية أن تطير في إقليم المملكة ما لم تكن تحمل علامة جنسيتها وتسجيلها طبقا لنظام دولة التسجيل ، أو سلطة تسجيل العلامة العامة ، ومع ذلك يجوز لله
- Article 50
The Authority determines the nationality and registration marks of national aircraft and how they are placed on the aircraft, in accordance with the applicable international rules and laws.
تحدد الهيئة علامات جنسية وتسجيل الطائرات الوطنية ، كما تحدد طريقة وضعها على الطائرة وفقا للقواعد والأنظمة الدولية المطبقة في هذا الشأن.
- Article 51
The Authority maintains the Saudi National Register for Aircraft Registration, whose contents and registration conditions are set by the Implementing Regulations; a registered aircraft has the Kingdom's nationality.
1- تعد الهيئة سجلا لتسجيل الطائرات المدنية الوطنية يسمى ( السجل السعودي الوطني لتسجيل الطائرات )، وتحدد اللائحة البيانات التي يجب أن يتضمنها السجل والشروط الواج
- Article 52
The Authority issues aircraft registration certificates after completing the necessary procedures, each containing the data set by the Implementing Regulations.
تصدر الهيئة شهادات تسجيل الطائرات بعد إتمام الإجراءات اللازمة لذلك على أن تتضمن كل شهادة البيانات التي تحددها اللائحة.
- Article 53
An aircraft is deregistered if its owner or lessee loses Saudi nationality, ownership passes to a foreigner, it is lost or permanently withdrawn, the owner requests it or a registration condition ceases; the owner must notify the Authority and return the certificate.
1- تشطب الطائرة من السجل في الحالات الآتية: أ - إذا فقد مالكها أو مستأجرها جنسيته السعودية. ب - إذا انتقلت ملكيتها إلى شخص أجنبي. ج - إذا فقدت الطائرة أو سحبت
- Article 54
The provisions on rights over aircraft apply to all civil aircraft in the Kingdom's territory whatever their nationality and to Saudi civil aircraft wherever they are, but not to state aircraft.
تطبق أحكام هذا الفصل على جميع الطائرات المدنية أيًّا كانت جنسيتها حال وجودها في إقليم المملكة وكذلك على الطائرات المدنية السعودية في أي مكان كانت، ولا تسري أحكا
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.