Article 662 of the Saudi Civil Transactions Law
المادة 662 من نظام المعاملات المدنية · الفرع الثاني: أسباب كسب الملكية أولًا: إحراز المباحات
The article requires, for the right of preemption to be established, that the preemptor owned his share in the real estate at the time the buyer bought the seller's share.
Official text (Arabic)
This article has not been amended since the law was issued.
ليس للشفيع حق الشفعة إلا إذا كان مالكًا لنصيبه في العقار وقت شراء المشتري نصيب البائع.
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 662 explained in plain English
This article sets a basic condition on whoever claims preemption, and it relates to timing: the preemptor must have been the owner of his share in the real estate at the time the buyer bought the seller's share.
In practice, this means:
- What counts is the moment of purchase; if the person owned his share in the real estate when the sale took place, this condition is met.
- If he did not own his share at that time, for example because he acquired it after the sale was concluded, he has no right of preemption in that sale.
- The article speaks of "his share in the real estate" and "the seller's share", so it concerns the case where the preemptor and the seller each have a share in the same real estate.
This article is consistent with Article 661, which provides that preemption is established when the sale is completed and the reason giving rise to it exists; the preemptor's ownership of his share at the time of purchase is part of that reason. Also, once the right is established on this basis, it does not lapse on the death of the seller, the buyer or the preemptor under Article 663.
Proving the date on which the preemptor acquired his share, compared with the date of the sale, may be disputed, so it is useful to keep ownership documents and to consult a lawyer who specializes in real estate matters when needed.
Practical example
In the month of Muharram, Fahd bought the share of one of the heirs in a building in Dammam. In the month of Safar, Salman bought the share of another heir in the same building. When Fahd wanted to claim preemption over the Safar share, he owned his share at the time of that purchase, so the condition of this article is met. But had Fahd bought his share after Salman's transaction, he would have no preemption in it.
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 662 of the Saudi Civil Transactions Law
Do I have a right of preemption if I bought my share in the real estate after the sale?
No. The article requires that the preemptor owned his share in the real estate at the time the buyer bought the seller's share.
What is the relevant time for the preemptor's ownership?
The relevant time is when the buyer bought the seller's share.
Does the right of preemption lapse if the preemptor dies?
If preemption is established under Article 661, it does not lapse on the death of the seller, the buyer or the preemptor, as Article 663 provides.
More articles on Preemption, Possession and Easements
- Article 26
The article divides the real right into principal rights, such as ownership, usufruct, use, habitation, easement and waqf, and accessory rights, such as mortgage and privilege, together with what the legal provisions so consider.
1- يكون الحقُّ العينيُّ أصليًّا أو تبعيًّا. 2- الحقوق العينية الأصلية هي حق الملكية، وحق الانتفاع، وحق الاستعمال، وحق السكنى، وحق الارتفاق، وحق الوقف، وما يعد ك
- Article 658
The article defines preemption (shuf'a) as the right of a co-owner to acquire the sold real estate for the price at which it was sold plus its expenses.
الشفعة حق الشريك في أن يتملّك العقار المبيع بالثمن الذي بيع به وبنفقاته.
- Article 659
The article provides that where more than one preemptor comes together, each one's entitlement to preemption is in proportion to his share.
إذا اجتمع أكثر من شفيع كان استحقاق كل منهم من الشفعة على قدر نصيبه.
- Article 660
The article provides that if a buyer sells property subject to preemption to another before the preemptor is notified of his wish to take by preemption under Article 666, the preemptor takes it only at the price of the second sale plus its expenses.
إذا اشترى شخص ما تصح الشفعة فيه ثم باعه لآخر قبل إعلام الشفيع رغبته الأخذ بالشفعة وفقًا للفقرتين (ب) و(ج) من المادة (السادسة والستين بعد الستمائة) من هذا النظام
- Article 661
The article fixes when the right of preemption is established: when the sale is completed, provided that the reason giving rise to preemption exists.
تثبت الشفعة بتمام البيع مع قيام السبب الموجب لها.
- Article 663
The article provides that once preemption is established under Article 661, it does not lapse on the death of the seller, the buyer or the preemptor.
إذا ثبتت الشفعة وفقا للمادة (الحادية والستين بعد الستمائة) من هذا النظام؛ فلا تسقط بموت البائع أو المشتري أو الشفيع.
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.