Article 469 of the Saudi Civil Transactions Law
المادة 469 من نظام المعاملات المدنية · الفرع الثالث: التزامات صاحب العمل
The article requires the client to pay the fee on taking delivery of the work unless otherwise agreed, and to pay in proportion to what is completed if the work is in parts or the fee is by unit, subject to conditions.
Official text (Arabic)
This article has not been amended since the law was issued.
1- يلتزم صاحب العمل بالوفاء بالأجر عند تسلم العمل المتفق عليه، ما لم يتفق على خلاف ذلك.
2- إذا كان العمل مكوَّنًا من عدة أجزاء، أو كان الأجر محدَّدًا على أساس الوحدة؛ التزم صاحب العمل بأن يفي للمقاول من الأجر بقدر ما أنجز من العمل بعد معاينته وقبوله، على أن يكون ما تم إنجازه متميزًا أو ذا أهمية بالنسبة إلى العمل في جملته.
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 469 explained in plain English
This article sets when the client pays the contractor's fee.
The rule (paragraph 1): the client must pay the fee on taking delivery of the agreed work, unless the parties agree otherwise, for example on advance payments or payment by stages.
Payment by progress (paragraph 2): in two cases:
- If the work is made up of several parts.
- Or the fee is set on a unit basis, such as a price per meter or per unit.
the client must pay the contractor the fee in proportion to the work completed, but on conditions:
- This must be after inspecting what has been completed and accepting it.
- What has been completed must be distinct or of significance in relation to the work as a whole.
Completing a small, undistinguished part is therefore not enough to claim part of the fee under paragraph 2. This article is linked to Article 468, which requires the client to promptly take delivery of the work once completed, and to Article 470, which regulates exceeding the estimate in contracts made on a unit basis. To set out the payments clearly, they should be stated in the contract, and in a dispute it is possible to consult a lawyer specializing in civil matters or in contracting and real estate cases.
Practical example
A company in Riyadh contracted with a contractor to pave its parking area at a set price per square meter. After the contractor finished paving half of the area in a distinct part that could be inspected, the contractor asked for part of the fee. Under the article, the company must pay in proportion to what was completed after inspecting and accepting it, as long as the completed part is distinct or significant in relation to the work as a whole.
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 469 of the Saudi Civil Transactions Law
When is the contractor entitled to the fee?
The rule is that the client pays the fee on taking delivery of the agreed work, unless otherwise agreed.
Can the contractor claim part of the fee before the work is finished?
If the work is made up of parts or the fee is set per unit, the contractor is entitled to payment in proportion to what was completed after inspection and acceptance, provided what was completed is distinct or significant in relation to the whole work.
Can advance payments to the contractor be agreed?
Yes. The rule of payment on delivery applies unless the parties agree otherwise.
More articles on Contracting (Construction) Contract
- Article 167
The article regulates performance of an obligation to perform work: the creditor's right to refuse performance by anyone but the debtor, performance at the debtor's expense with or without court permission when urgent, and a judgment standing in for the work.
إذا كان الالتزام بعمل فتسري على تنفيذه الأحكام الآتية: أ- إذا نص الاتفاق أو اقتضت طبيعة العمل أن ينفذ المدين الالتزام بنفسه جاز للدائن أن يرفض الوفاء من غير الم
- Article 461
The article defines the contracting (muqawala) contract as one in which the contractor undertakes to make a thing or perform work for a fee, without being subordinate to or an agent of the client.
المقاولة عقدٌ يلتزم بمقتضاه المقاول بصنع شيءٍ أو أداء عملٍ مقابل أجر دون أن يكون تابعًا لصاحب العمل ولا نائبًا عنه.
- Article 462
The article allows the contractor to carry out the work with materials supplied by the contractor or with materials supplied by the client.
يصح أن يكون التزام المقاول بتنفيذ العمل بمواد من عنده أو من صاحب العمل.
- Article 463
The article sets the contractor's obligations on materials: if the contractor supplies them, they must meet the specifications or be fit for the purpose by custom; if the client supplies them, the contractor must safeguard them, observe technical rules and return what is left.
1- إذا اشترط صاحب العمل أن يقدم المقاول المواد كلها أو بعضها؛ كان المقاول مسؤولًا عن توفر الشروط والمواصفات المتفق عليها إن وجدت، وإلا التزم بأن تكون وافيةً بال
- Article 464
The article puts the expenses of the machines and tools needed to complete the work on the contractor, unless the parties agree otherwise.
يتحمَّل المقاول نفقات ما يستلزمه إنجاز العمل من آلات وأدوات، ما لم يتفق على خلاف ذلك.
- Article 465
The article requires the contractor to complete the work according to the contract terms and within the agreed period, failing which according to the recognized standards and within the reasonable time the nature of the work requires.
يلتزم المقاول بإنجاز العمل وفقًا لشروط العقد وفي المدة المتفق عليها، فإن لم تكن هناك شروطٌ أو لم يُتفق على مدةٍ التزم بإنجازه وفقًا للأصول المتعارف عليها وفي ال
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.