Article 35 of the Saudi Commercial Court Law
المادة 35 من النظام التجاري نظام المحكمة التجارية · الفصل الخامس: في الصيارف
The article defines the money changer (sarraf) as a person who practices the profession of exchanging currency, coins and banknotes.
Official text (Arabic)
This article has not been amended since the law was issued.
الصراف : هو من يتعاطى مهنة تبديل العملة نقودا وأوراقا نقدية .
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 35 explained in plain English
This article defines the money changer (sarraf) briefly: he is one who practices the profession of exchanging currency, whether metal coins or banknotes.
Two elements are understood from the definition:
- The nature of the work: Exchanging currency, that is, replacing one currency with another.
- Professional practice: The text says "practices the profession", meaning one who makes this his regular work.
Regulatory provisions follow from the status of money changer in the next articles, the most important being Article 36, which prevents any person from opening a shop or place for money changing unless he obtains a license from the Commercial Court.
The definition covers exchanging metal coins and banknotes together, and is not limited to one of them. The description "profession" also distinguishes the money changer from a person who exchanges currency for his own need once or on separate occasions.
Note that these are provisions of an old law, and money changing today may have other regulatory controls that do not appear in the text before us. So if you intend to carry on money changing, consult a lawyer who specializes in banking and finance to learn the requirements in force.
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 35 of the Saudi Commercial Court Law
Who is a money changer under the commercial law?
One who practices the profession of exchanging currency, coins and banknotes.
Does a money changer need a license?
Article 36 prevents opening a shop or place for money changing without obtaining a license.
More articles on Brokers and Money Changers
- Article 30
The article defines the broker (dallal) as a person who mediates between seller and buyer to complete the sale for a fee.
الدلال : هو من يتوسط بين البائع والمشتري لإتمام البيع بأجرة.
- Article 31
The article refers the broker's rights, duties and fee to established custom and usage.
يتبع فيما للدلال من الحقوق وفيما عليه من الواجبات وفيما يستحقه من الأجرة العرف المطرد والعادة.
- Article 32
The article requires a broker dealing in commercial goods between merchants to keep a daybook in which he records his work daily with specified details and with no blanks or erasures.
يجب على كل دلال يتعاطى الدلالة في البضائع التجارية بين التجار أن يتخذ له دفتر يومية يقيد فيه أعماله بعد إتمامه يوما فيوما بصورة واضحة مع بيان اسم البائع والمشتر
- Article 33
The article requires brokers to present their books with the necessary explanations if the Commercial Court requests them, with no right to refuse.
يجب على الدلالين أن يقدموا دفاترهم مع ما يلزم من الإيضاحات إذا طلبت منهم المحكمة التجارية وليس لهم حق الامتناع بوجه من الوجوه.
- Article 34
The article requires a broker, where goods are sold through him by sample, to keep the sample until the day of delivery, marked so as to prevent confusion.
إذا بيعت بضاعة بواسطة دلال على أنموذج - أي عينة معلومة - وجب عليه حفظها إلى يوم تسليم البضاعة مع التأشير عليها بما يلزم لمعرفتها بدون اشتباه.
- Article 36
The article prevents any person from opening a shop or place for money changing unless he obtains a license from the Commercial Court.
لا يجوز لأي شخص أن يفتح دكانا أو محلا للصرافة ما لم يستحصل على رخصة من المحكمة التجارية .
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.