Article 27 of the Saudi Commercial Court Law
المادة 27 من النظام التجاري نظام المحكمة التجارية · الفصل الثالث: في الوكيل بالعمولة المعبر عنه بالقومسيون والأمناء المأمورين بنقل الأشياء برا وبحرا
The article treats receiving the items and paying the carrier his fee as an acknowledgment that they are sound, and sets the period for a claim before that at three months in the Hejaz Kingdom or a lunar year outside it.
Official text (Arabic)
This article has not been amended since the law was issued.
استلام الأشياء المرسلة مع المكارى ثم إعطاؤه الأجرة تماما أو باقيها يعد بعد ذلك اعترافا باستلام الأشياء تامة سليمة فلا تسمع دعواه على المكارى بما يناقض ذلك أما قبل تحقق هذا الاعتراف فيحق له إقامة الدعوى ثلاثة أشهر إن كان التلف أو الضياع في المملكة الحجازية أو داخل سنة قمرية إن كان التلف أو الضياع في خارجها وبعد مضي المهلتين لا تسمع الدعوى.
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 27 explained in plain English
This article deals with the effect of receiving the goods and paying the fee on the right to sue the carrier (the haulier), and sets time limits for bringing the claim:
- Receiving, then paying the fee in full or the balance of it is considered an acknowledgment of receiving the items complete and sound, so after that the receiver's claim against the carrier that contradicts this acknowledgment is not heard.
- Before this acknowledgment is made, a claim may be brought within:
- Three months if the damage or loss occurred in the Hejaz Kingdom, as the text puts it.
- A lunar year if the damage or loss occurred outside it.
- After the two periods pass, the claim is not heard.
Article 28 shows that the two periods begin from the date of receiving the items or the last installment of them, and that the claim may be brought at any time if it appears that the damage or loss was through a trick or breach of trust by the carrier himself. Because the time limits here may extinguish the right, consult a lawyer who specializes in commercial cases early.
Practical example
A merchant in Mecca received a shipment of glassware and paid the carrier the balance of the fee immediately, then discovered breakage in some of it. Under this article his receipt and payment are considered an acknowledgment that it was sound, so his claim contradicting that is not heard. Had he examined it and not paid, he could have brought the claim within the set period.
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 27 of the Saudi Commercial Court Law
Does paying the carriage fee after receipt waive my right to claim?
Receiving, then paying the fee in full or the balance of it, is considered an acknowledgment of receiving the items complete and sound, so a claim that contradicts that is not heard.
How long is the period to sue the carrier before this acknowledgment?
Three months if the damage or loss was in the Hejaz Kingdom, as the text puts it, and a lunar year if it was outside it.
When does this period begin?
Under Article 28, from the date of receiving the items or the last installment of them.
More articles on Commission Agent and Carriage of Goods
- Article 18
The article defines the commission agent as a person who carries on trade on behalf of another, conducting his transactions in his own name or in the name of a company for the account of his principal.
الوكيل بالعمولة هو الذي يتعاطى التجارة بالوصاية والنيابة ويجري معاملاته باسمه أو بعنوان شركة ما لحساب موكله.
- Article 19
The article gives the commission agent the right to be paid first, out of the value of goods sent to him for sale, what he spent on them, subject to conditions regarding their whereabouts.
كل وكيل بعمولة له الحق أن يتقدم في استيفاء جميع ما صرفه على أمتعة مرسلة له من محل آخر برسم البيع لحساب موكله من نفس قيمتها إذا كانت موجودة لديه أو مودعة في مخزن
- Article 20
The article makes the agent liable for any damage if he transfers the carriage of goods to another without the original merchant's permission, and he is not liable if the transfer is by the merchant or with his permission.
إذا حول الوكيل أمر نقل البضاعة والأشياء المسلمة أو المرسلة له إلى غيره بغير إذن التاجر الأصلي يضمن كل ضرر يحصل بسبب ذلك. أما إذا كان التحويل إلى الوكيل الآخر من
- Article 21
The article requires every agent and trustee to record in the daybook the kind, quantity and prices of the goods ordered to be carried by land or sea.
يجب على كل وكيل وأمين أن يقيد بدفتر اليومية جنس ومقدار وأثمان البضائع المأمور بنقلها بحرا أو برا.
- Article 22
The article requires the agent and trustee to attach a consignment note to the goods when sending them, that is, a statement that meets the specified requirements.
يجب على الوكيل والأمين حين إرسال البضاعة أن يرفق بها قائمة الإرسالية ؛ أي كشفا مستوفيا للشرائط الآتية
- Article 23
The article sets the details that must appear in the consignment note, from the description of goods and the delivery time limit and the parties' names to the fee, compensation and signature.
يوضح في قائمة الإرسالية مقدار وجنس البضائع المنقولة ونوع الطرود ومهلة إيصالها مع بيان اسم وشهرة الوكيل والأمين المتعهد بنقلها والمكارى ، واسم وشهرة من تسلم إليه
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.