Article 62 of the Saudi Civil Transactions Law
المادة 62 من نظام المعاملات المدنية · الفرع الأول: أركان العقد أولًا: الرضى
The article gives a person who was a victim of misrepresentation the right to seek annulment of the contract, provided the misrepresentation concerned a material matter without which he would not have agreed to the contract.
Official text (Arabic)
This article has not been amended since the law was issued.
للمغرر به طلب إبطال العقد إذا كان التغرير في أمر جوهري لولاه لم يرض بالعقد.
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 62 explained in plain English
This article sets out the effect of misrepresentation on the contract, and gives the deceived party, that is, the party who was deceived, the right to seek annulment of the contract.
But this right is not absolute, as the article requires that the misrepresentation be:
- in a material matter, not in a minor detail that does not affect the decision to contract.
- such that he would not have agreed to the contract without it, that is, the deception was what motivated him to accept the contract.
This rule is linked to the definition of misrepresentation in Article 61, which treats it as deception by fraudulent means or deliberate silence to conceal a material matter. If misrepresentation in that sense is established and concerns a material matter, the deceived party may seek annulment.
It is important to note that the article speaks of a right to seek annulment: the contract is not annulled automatically, but the deceived party has the power to request it. Article 63 also restricts this right where the misrepresentation came from a person other than the contracting parties, in which case annulment may not be sought unless it is proven that the other contracting party knew of the misrepresentation or was presumed to know of it.
Whether a matter is material varies with each contract and its circumstances, so a person who believes he was subjected to misrepresentation should consult a lawyer who specializes in civil cases and contracts before taking any step.
Practical example
A company in Jeddah leased a warehouse after the lessor confirmed with forged documents that the warehouse was licensed to store food, which was the main purpose of leasing it. The company then discovered this was untrue. The misrepresentation here concerns a material matter without which the company would not have agreed to the contract, so it may seek its annulment.
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 62 of the Saudi Civil Transactions Law
Can I annul a contract if I was deceived?
Yes. The deceived party may seek annulment of the contract if the misrepresentation concerns a material matter without which he would not have agreed to the contract.
Is the contract annulled automatically if there is misrepresentation?
No. The article gives the deceived party the right to seek annulment; it is left to him.
What if the misrepresentation concerned a minor matter?
The article requires that the misrepresentation concern a material matter without which the deceived party would not have agreed to the contract, so not any misrepresentation is enough.
More articles on Elements of the Contract
- Article 11
The article allows a chosen domicile to be adopted for a particular act, serving as the domicile for everything relating to it unless expressly limited, and requires writing to prove it.
1- يجوز اتخاذ موطنٍ مختارٍ لعملٍ معيَّن، ويكون هو الموطن لكل ما يتعلق بهذا العمل؛ ما لم يُشترط صراحةً قصر هذا الموطن على أعمالٍ دون أخرى. 2- لا يجوز إثبات وجود
- Article 30
The article provides that the rules of the contract chapter apply to named and unnamed contracts, without prejudice to the legal provisions that regulate contracts of a special nature.
تطبق الأحكام الواردة في هذا الفصل على العقود المسماة وغير المسماة، وذلك دون إخلال بالأحكام الواردة في النصوص النظامية التي تنظم عقودًا ذات طبيعة خاصة.
- Article 31
A contract arises when one party's offer is joined to the other's acceptance to produce a legal effect, subject to the particular forms the legal provisions set for the formation of certain contracts.
ينشأ العقد بارتباط الإيجاب بالقبول لإحداث أثر نظامي، مع مراعاة ما تقرره النصوص النظامية من أوضاعٍ معيّنةٍ لانعقاد العقد.
- Article 32
Consent in a contract is achieved when the wills of two or more contracting parties who have capacity to contract coincide and the will is expressed by what indicates it.
يتحقق الرضى إذا توافقت إرادتا متعاقدين (أو أكثر) لديهما أهلية التعاقد وعُبِّر عن الإرادة بما يدل عليها.
- Article 33
Offer and acceptance may be by anything that indicates the will: words, writing, an understood gesture or mutual exchange, explicit or implicit, unless the legal provisions, the agreement or the nature of the transaction require otherwise.
1- يكون الإيجاب والقبول بكل ما يدل على الإرادة. 2- يجوز أن يكون التعبير عن الإرادة باللفظ أو بالكتابة أو بالإشارة المفهومة أو بالمعاطاة، وأن يكون صريحًا أو ضمني
- Article 34
Displaying goods and services with their price stated is an offer, and an advertisement with the prevailing prices is not an offer, unless there are indications to the contrary in either case.
1- يعد عرض البضائع والخدمات مع بيان ثمنها إيجابًا، إلا إذا قامت دلائل تفيد خلاف ذلك. 2- لا يعدُّ الإعلان مع بيان الأسعار المتعامل بها إيجابًا، إلا إذا قامت دلائ
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.