Article 182 of the Saudi Civil Transactions Law
المادة 182 من نظام المعاملات المدنية · الفرع الأول: استعمال الدائن حقوق مدينه (الدعوى غير المباشرة
The article allows every creditor to exercise the debtor's neglected rights if neglecting them leads to an increase of his debts over his assets, except rights personal to him or not subject to attachment.
Official text (Arabic)
This article has not been amended since the law was issued.
1- لكل دائنٍ ولو لم يكن حقه مستحق الأداء أن يستعمل حقوق مدينه إلا ما كان منها متصلًا بشخصه خاصةً أو غير قابلٍ للحجز، وذلك إذا لم يستعمل المدين هذه الحقوق وكان من شأن ذلك أن يؤدي إلى زيادة ديونه على أمواله.
2- لا يلزم لاستعمال الدائن حقوق مدينه إعذار هذا المدين، ولكن إذا رفعت دعوى باسم المدين وجب إدخاله فيها.
3- يعد الدائن نائبًا عن مدينه في استعمال حقوقه، وكل نفعٍ يعود من استعمال هذه الحقوق يكون من أموال المدين وضمانًا لجميع دائنيه.
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 182 explained in plain English
This article deals with what is known as the indirect action: a debtor has rights against others but leaves them and does not claim them, and his creditors suffer. The article allows the creditor to exercise these rights in place of the debtor.
Conditions for the creditor to exercise his debtor's rights:
- That the debtor does not exercise these rights himself.
- That failing to exercise them would lead to an increase of the debtor's debts over his assets.
- That the right is not specifically personal to the debtor or not subject to attachment; these rights are excepted.
- The creditor's right need not be due for performance, so this is permitted even if his debt is deferred.
Procedural rules: The creditor need not give the debtor formal notice before exercising his rights, but if a claim is filed in the debtor's name, he must be joined in it.
Effect: The creditor is treated as a representative of his debtor, so any benefit resulting from exercising these rights goes into the debtor's assets and is a guarantee for all his creditors, not for the creditor who took the step alone. This applies the principle of Article 181, which makes all of the debtor's assets a guarantee for his debts and treats creditors equally.
To assess whether these conditions are met in a particular case, it is advisable to consult a lawyer specializing in civil cases.
Practical example
Khalid is owed a sum of money by Saad, and Saad has receivables from a company in Riyadh that he does not claim, and his debts exceed his assets if those receivables remain unclaimed. Khalid may claim Saad's receivables from the company on his behalf, with Saad joined in the claim, and what is collected goes into Saad's assets and is a guarantee for all his creditors.
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 182 of Civil Transactions Law?
Describe what happened and specialist lawyers answer. You can write in English.
- Completely free
- Lawyers from the directory answer
- Your name stays hidden
Civil Litigation & Compensation lawyers: ask a specialist about your case
Describe your situation briefly and we'll suggest a lawyer who specialises in this law
Civil Litigation & Compensation 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 182 of the Saudi Civil Transactions Law
Can a creditor claim from a person who owes a debt to his debtor?
Yes. The creditor may exercise his debtor's rights if the debtor does not exercise them and that would lead to an increase of his debts over his assets, except rights personal to him or not subject to attachment.
Must the debtor be warned before his rights are exercised?
Formal notice to the debtor is not required, but if a claim is filed in his name, he must be joined in it.
Whose money is it that the creditor collects?
It is part of the debtor's assets and a guarantee for all his creditors, because the creditor is treated as his debtor's representative.
Must the creditor's debt be due?
No. The article allows this for every creditor even if his right is not due for performance.
More articles on Performance of Obligations and Agreed Compensation
- Article 107
The article lets a party to a bilateral contract, after warning the defaulting party, demand performance or termination, with compensation if warranted, in either case.
في العقود الملزمة للجانبين، إذا لم يوف أحد المتعاقدين بالتزامه، فللمتعاقد الآخر بعد إعذاره المتعاقد المخل أن يطلب تنفيذ العقد أو فسخه، مع التعويض في الحالتين إن
- Article 161
The article requires the debtor to perform his obligation when it falls due and allows it to be enforced against him by compulsion if he refuses, once the conditions for compulsory enforcement under the law are met.
يجب على المدين تنفيذ التزامه عند استحقاقه، فإذا امتنع نفذ عليه جبرًا متى استوفى التنفيذ الجبري شروطه النظامية.
- Article 162
The article provides that an obligation that does not meet the conditions for compulsory enforcement remains owed on a moral basis (diyanah); if the debtor performs it voluntarily, the performance is valid and is neither a gift nor an undue payment.
إذا لم يستوف الالتزام الشروط النظامية لتنفيذه جبرًا يبقى قائمًا في ذمة المدين ديانةً، فإذا وفاه مختارًا كان وفاؤه صحيحًا ولا يُعدُّ تبرعًا ولا دفعًا لغير المستح
- Article 163
The article provides that an obligation owed on a moral basis (diyanah) is a valid foundation on which the debtor may build a legal obligation.
الالتزام القائم ديانةً يُعدُّ أساسًا صالحًا لأن يبني عليه المدين التزامًا نظاميًّا.
- Article 164
The article compels the debtor, after formal notice, to perform in kind where possible, and lets the court, at his request, limit the creditor to compensation if performance is burdensome and causes the creditor no serious harm.
1- يُجبَر المدين بعد إعذاره على تنفيذ التزامه تنفيذًا عينيًّا متى كان ذلك ممكنًا. 2- إذا كان في التنفيذ العيني إرهاقٌ للمدين جاز للمحكمة بناءً على طلبه أن تقصر
- Article 165
The article provides that a right to a thing specified by kind attaches to a particular item only once it is set apart, and lets the creditor, on non-performance, obtain a like item at the debtor's expense.
1- إذا تعلق الحق بشيء معين بالنوع لا بالذات، فإنه لا يختص بشيء بذاته من ذلك النوع إلا بإفرازه. 2- إذا لم يقم المدين بتنفيذ التزامه جاز للدائن أن يحصل على شيء من
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.