Article 92 of the Saudi Commercial Courts Law

المادة 92 من نظام المحاكم التجارية · الفصل الرابع: النقض

The article states the consequences of quashing a commercial judgment: deciding jurisdiction, remanding to the court that issued the judgment to hear it again, or ruling on the merits if the case is ready for judgment.

Official text (Arabic)

This article has not been amended since the law was issued.

إذا نقضت الدائرة الحكم المعترض عليه؛ لمخالفة قواعد الاختصاص، فعليها الفصل في الاختصاص، وعند الاقتضاء تحيل الدعوى إلى المحكمة المختصة.

وإذا نقضت الحكم لغير ذلك، فتحيل القضية إلى المحكمة التي أصدرت الحكم المعترض عليه لتفصل فيها من جديد من غير من نظرها. وفي هذه الحالة يجب على المحكمة التي أحيلت إليها القضية أن تتبع حكم المحكمة العليا في المبدأ الذي فصلت فيه.

ومع ذلك، إذا قررت المحكمة نقض الحكم المعترض عليه، وكان الموضوع صالحاً للفصل فيه؛ وجب عليها أن تحكم فيه.

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 92 explained in plain English

This article sets out what happens after the circuit decides to quash the judgment objected to, and distinguishes three cases:

Quashing for violating the rules of jurisdiction: if the judgment is quashed because the court that issued it violated the rules of jurisdiction, the circuit itself must decide the question of jurisdiction, and where necessary refers the case to the competent court.
Quashing for another reason: the case is referred to the court that issued the judgment objected to so that it decides it again, provided that it is heard by judges other than those who heard it the first time. This court must follow the Supreme Court's ruling on the principle it decided.
The merits are ready for judgment: in addition to the above, if the court decides to quash the judgment and the subject matter of the case is ready for judgment, it must rule on it itself instead of remanding.

The aim of these provisions is to achieve two things: ensuring impartiality by assigning the rehearing to other judges, and unifying the application of the Law by requiring the court to which the case is referred to follow the principle the Supreme Court decided. Ruling directly on the merits when they are ready also shortens litigation time for the parties.

This article is connected to Article 91, which regulates oral pleading and supplementary memoranda while an objection before the Supreme Court is heard, and to Article 93, which provides that the Law of Sharia Procedure applies where there is no special provision in the Law, to the extent that this does not conflict with the nature of the commercial case.

To assess the effect of quashing on a particular case, it is advisable to consult a lawyer specialized in commercial cases.

Practical example

A commercial judgment was issued against an establishment in Riyadh, and it objected to it before the Supreme Court. The circuit quashed the judgment for a reason unrelated to jurisdiction, and did not consider the merits ready for judgment. The case is referred to the court that issued the judgment to be heard again by a circuit of judges other than those who heard it first, and it must follow the principle the Supreme Court decided.

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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