Article 15 of the Saudi Contractors Classification Law

This article contains the penalties provided in the law, and is divided into two paragraphs.

Paragraph 1: anyone who violates the provisions of the law or the Regulations is punished with one or more of the following penalties:

1. Lowering the classification grade.
2. Suspending the classification and barring its renewal for a period not exceeding 5 years.
3. Canceling the classification.

The text begins with the phrase "without prejudice to any more severe penalty provided for in any other law", meaning these penalties do not prevent applying a more severe penalty if another law provides one for the same act. More than one penalty may also be combined.

Paragraph 2: the Minister issues, by decision of his, a schedule classifying violations and setting the penalties for each, within the limit set in the law. The schedule takes into account:

• the nature and gravity of each violation;
• the aggravating and mitigating circumstances.

The law does not tie each violation to a specific penalty; it leaves that to the schedule, subject to the maximum, which is 5 years for suspension. The inspectors detect violations under Article 14, and the committee provided for in Article 16 considers them and approves the penalties, and its decision may be challenged before the Administrative Court. Anyone against whom a penalty is issued should consult a lawyer specialized in administrative matters.