Article 217 of the Saudi Commercial Maritime Law
المادة 217 من النظام البحري التجاري · الفصل الرابع: عقد النقل البحري : أولاً: أحكام عامة
In exceptional circumstances Article 215 may be departed from by agreement, provided the carrier is not exempted from liability for his own fault or that of his servants, no bill of lading is issued, and the agreement is recorded in a non-negotiable receipt.
Official text (Arabic)
This article has not been amended since the law was issued.
يجوز الاتفاق على ما يخالف أحكام المادة (الخامسة عشرة بعد المائتين) إذا كانت الظروف الاستثنائية التي يُنقل فيها تسوّغ إبرام هذا الاتفاق، بشرط ألاّ يكون من شأنه إعفاء الناقل من المسؤولية عن خطئه أو خطأ تابعيه, وبشرط ألاّ يصدر سند شحن، وأن يدون الاتفاق في إيصال غير قابل للتداول يبين فيه ما يفيد ذلك.
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 217 explained in plain English
This article sets an exception to Article 215, which voids agreements made before the incident whose subject is exempting the carrier from liability for loss of or damage to the goods, altering the burden of proof placed on him, or assigning to him the rights arising from cargo insurance.
Agreement contrary to that is permitted, but on conditions that must all be met:
- exceptional circumstances in which the goods are carried that justify making the agreement;
- the agreement must not exempt the carrier from liability for his own fault or that of his servants;
- no bill of lading is issued;
- the agreement is recorded in a non-negotiable receipt stating this.
The reason for requiring that no bill of lading be issued and a non-negotiable receipt be used is to protect third parties. A bill of lading circulates among persons who do not know of private agreements, whereas a non-negotiable receipt stays between the two parties, who know the circumstances of the carriage.
The article does not define "exceptional circumstances". Even in this case the carrier remains liable for his own fault and that of his servants.
It follows Article 216, which allows the carrier to increase his liability provided this is stated in the bill. It is followed by Article 218, which requires the receiver to notify the carrier in writing of loss or damage within specified deadlines. To assess whether particular circumstances justify such an agreement, it is advisable to consult a lawyer specializing in maritime and commercial law.
Practical example
A company needed to carry experimental equipment in exceptional maritime conditions. It agreed with the carrier to reduce his liability for some risks, without exempting him from his own fault or that of his crew, without issuing a bill of lading, and the agreement was recorded in a non-negotiable receipt.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
How we write and review contentCommercial & Corporate Law lawyers: ask a specialist about your case
Describe your situation briefly and we'll suggest a lawyer who specialises in this law
Commercial & Corporate Law lawyers
Lawyers who handle this kind of case
Ibrahim Al Salem Law Firm
Active contributor
Dr. Ali Al-Rubaie Law Office and Ittihad Al-Asr Legal Company
Frequently asked questions about Article 217 of the Saudi Commercial Maritime Law
May the carrier be exempted from some liability by agreement?
In exceptional circumstances that justify it, provided he is not exempted from his own fault or that of his servants, no bill of lading is issued, and the agreement is recorded in a non-negotiable receipt.
Why is it required that no bill of lading be issued?
Because the article requires this and also requires the agreement to be recorded in a non-negotiable receipt.
Articles this article refers to
More articles on Carriage of Goods by Sea and the Bill of Lading
- Article 115
If the master must repair the ship during the voyage, the shipper may wait or take out the goods while paying full freight, with no increase in freight; if repair is not possible, the master hires a substitute ship at his own expense.
1- إذا اضطر الربان إلى إصلاح السفينة أثناء السفر، كان للمستأجر أو الشاحن الخيار بين الانتظار حتى إتمام إصلاح السفينة أو إخراج بضائعه منها، وفي هذه الحالة الأخير
- Article 121
The shipping agent is liable to shippers or consignees for loss of or damage to goods when loaded or unloaded only for the agent's own fault or the fault of those working for the agent.
لا يسأل الوكيل الملاحي من قبل الشاحنين أو المرسل إليهم عن هلاك أو تلف البضائع التي يتسلمها لشحنها في السفينة أو التي يتولى تفريغها منها لتسليمها لأصحابها إلا عن
- Article 122
The cargo agent must preserve the rights of the goods' owners against the carrier; otherwise the agent is presumed to have received the goods in the condition and quantity stated in the bill of lading, unless the contrary is proved by an official record.
يجب على وكيل الشحنة اتخاذ الإجراءات والتدابير اللازمة للمحافظة على حقوق أصحاب الشأن في البضاعة قِبَل الناقل أو متعهد النقل، وإلا افترض أنّ الوكيل تسلم البضاعة ف
- Article 124
The provisions limiting the carrier's liability set out in the Law apply to the transport contractor.
تسري على متعهد النقل أحكام تحديد المسؤولية المتعلقة بالناقل المنصوص عليها في النظام.
- Article 155
The lessor of a fully equipped ship is liable for damage to the goods the lessee places on the ship, unless he proves he fully performed his obligations and the damage did not arise from his fault or that of his subordinates.
يسأل مؤجر السفينة المجهزة عن الضرر الذي يصيب البضائع التي يضعها المستأجر في السفينة, إلا إذا أثبت أنه قام بتنفيذ التزاماته كاملة, وأن الضرر لم ينشأ عن تقصيره أو
- Article 179
A contract of carriage by sea can be proved only in writing.
لا يثبت عقد النقل البحري إلا بالكتابة.
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.