Article 366 of the Saudi Civil Transactions Law
المادة 366 من نظام المعاملات المدنية · الفرع الأول: إنشاء عقد الهبة
The article defines a gift as a contract by which the donor, during his lifetime, transfers ownership of property to the donee without consideration.
Official text (Arabic)
This article has not been amended since the law was issued.
الهبة عقد يُملِّكُ بمقتضاه الواهبُ حال حياته الموهوب له مالًا دون عوض.
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 366 explained in plain English
This article sets out the definition of the gift contract, which is the foundation for the rest of its provisions in the Law.
The definition contains the following elements:
- Contract: a gift is an agreement between two parties, the donor and the donee; it is not an act by one party alone.
- Transfers ownership: ownership of the property passes to the donee.
- During the donor's lifetime: a gift takes effect while the donor is alive, which distinguishes it from dispositions that are made to take effect after death.
- Property: its subject is property, whether real estate, movable property or otherwise.
- Without consideration: the donee pays nothing in return for what he receives, which distinguishes a gift from a sale or an exchange.
However, Article 367 allows the donor to impose a specific obligation on the donee, and provides that if he requires consideration from the donee, the contract becomes a contract for value to which the rules on such contracts apply according to the nature of the consideration. The description "without consideration" is what makes the contract a true gift.
Because gifts often take place between relatives and involve real estate and other assets, anyone who wishes to make a gift, or who has a dispute about one, should consult a lawyer who specializes in civil cases or in personal status matters, depending on the nature of the issue.
Practical example
Sulaiman decided to give his brother his car during his lifetime without taking anything in return, and the brother accepted. This contract is a gift, because Sulaiman transferred ownership of property to his brother during his lifetime without consideration.
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 366 of the Saudi Civil Transactions Law
What is a gift under the Civil Transactions Law?
It is a contract by which the donor, during his lifetime, transfers ownership of property to the donee without consideration.
Can a gift take effect after death?
No. The definition states that the transfer of ownership takes place during the donor's lifetime.
What is the difference between a gift and a sale?
A gift transfers ownership without consideration. If the donor requires consideration, the contract becomes a contract for value under Article 367.
More articles on Gift
- Article 293
The article subjects release to the substantive provisions on gifts and does not require a particular form for it.
تسري على الإبراء الأحكام الموضوعية للتبرعات، ولا يُشترط فيه شكل خاص.
- Article 367
The article allows the donor to impose a specific obligation on the donee, and makes the contract one for value if the donor requires consideration.
1- يصح أن يشترط الواهب التزامًا معيَّنًا على الموهوب له. 2- إذا اشترط الواهب عوضًا على الموهوب له فيكون العقد معاوضة تطبق عليه أحكام المعاوضات بحسب طبيعة العوض.
- Article 368
The article requires that a gift of real estate be documented in accordance with the legal provisions to be formed, and accepts documentation or delivery for a gift of movable property, even without documentation.
1- إذا كان الموهوب عقارًا فلا تنعقد هبته إلا بتوثيقها وفق النصوص النظامية. 2- إذا كان الموهوب منقولًا فلا تنعقد هبته إلا بتوثيقها وفق النصوص النظامية أو بالقبض
- Article 369
The article provides that a gift of property the donor does not own does not take effect, unless the owner approves it.
لا ينفذ عقد الهبة إذا كان الموهوب غير مملوك للواهب إلا إذا أجازه المالك.
- Article 370
The article allows a creditor to give the debt to the debtor himself, and treats such a gift as a release of the debtor from the debt.
تصح هبة الدين للمدين، وتعد إبراء.
- Article 371
The article allows a partner to give his share in jointly owned property to his partner or to someone else, whether the property is real estate or movable, even if it is divisible.
تصح هبة الشريك حصته في المال الشائع لشريكه أو لغيره عقارًا كان أو منقولًا، ولو كان الموهوب قابلًا للقسمة.
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.