Article 9 of the Saudi Civil Transactions Law
المادة 9 من نظام المعاملات المدنية · الفرع الأول: الشخص ذو الصفة الطبيعية
The article makes the place where a person carries on a trade or profession his domicile in relation to the management of the business of that trade or profession.
Official text (Arabic)
This article has not been amended since the law was issued.
يعدُّ المكان الذي يباشر فيه الشخص تجارةً أو مهنةً موطنًا له فيما يتعلق بإدارة أعمال هذه التجارة أو المهنة.
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 9 explained in plain English
This article sets what is known as the business domicile, a special domicile tied to a person's commercial or professional activity.
The content of the rule: The place where a person carries on a trade or profession is considered his domicile, but this is limited to what relates to the management of the business of that trade or profession.
The scope of this domicile:
- It covers matters connected with managing the commercial or professional activity itself.
- By virtue of this article it does not extend to the person's other affairs that have no connection with his trade or profession, for which the general domicile remains the domicile.
Its relation to the general domicile: Article 8 defines the general domicile as the place where a person habitually resides, and allows a person to have more than one domicile at the same time. A merchant or professional therefore has a general domicile, which is his place of habitual residence, and a business domicile, which is the place where he carries on his activity, in matters concerning that activity.
Article 10 deals with the domicile of a person lacking capacity, a person with limited capacity, a missing person and an absent person, and allows a person with limited capacity a special domicile in relation to the acts he is qualified to carry out.
To know which domicile counts in a dispute relating to a commercial or professional activity, it is advisable to consult a lawyer who specializes in commercial or civil cases.
Practical example
Faisal lives in Khobar and runs a car repair workshop in Dammam. In relation to managing the workshop's business, such as dealing with suppliers over spare parts, the workshop's location in Dammam is considered his domicile. As for his personal affairs unrelated to the workshop, his domicile in them remains his place of habitual residence in Khobar.
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 9 of the Saudi Civil Transactions Law
Is a place of business the merchant's domicile?
Yes. The place where a person carries on a trade or profession is his domicile in relation to the management of the business of that trade or profession.
Does the business domicile cover all of a person's affairs?
No. The article limits it to what relates to the management of the business of the trade or profession.
More articles on Capacity and General Provisions
- Article 1
The Article sets the order of what applies to civil matters: the Law's provisions, then the general rules in the final provisions, then the most suitable rulings of Sharia, without prejudice to special statutory provisions.
1- تُطبق نصوص هذا النظام على جميع المسائل التي تناولتها في لفظها أو في فحواها، فإن لم يوجد نص يمكن تطبيقه طُبقت القواعد الكلية الواردة في الأحكام الختامية، فإن
- Article 2
The Article provides that all periods and time limits in the Civil Transactions Law are calculated by the Hijri calendar.
تحسب المدد والمواعيد الواردة في هذا النظام بالتقويم الهجري.
- Article 3
The Article provides that a person's legal personality begins with complete live birth and ends with death, and that the rights of an unborn child in the womb are determined by statutory provisions.
1- تبدأ شخصية الإنسان بتمام ولادته حيًّا وتنتهي بموته. 2- حقوق الحمل المستكن تحددها النصوص النظامية.
- Article 4
The Article refers the rules on the missing person, the absent person and the person of unknown parentage to the statutory provisions specific to them rather than regulating them in the Civil Transactions Law.
تسري على المفقود والغائب ومجهول النسب النصوص النظامية الخاصة بهم.
- Article 5
The Article refers the rules on persons' names, titles, families, kinship and nationalities to the statutory provisions specific to them.
تسري على أسماء الأشخاص وألقابهم وأسرهم وقراباتهم وجنسياتهم النصوص النظامية الخاصة بها.
- Article 6
The article defines direct kinship as the link between ascendants and descendants, and indirect kinship as the bond between persons who share a common ancestor without one being a descendant of the other.
1- القرابة المباشرة هي الصلة بين الأصول والفروع. 2- القرابة غير المباشرة هي الرابطة بين أشخاصٍ يجمعهم أصلٌ مشتركٌ دون أن يكون أحدهم فرعًا للآخر.
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.