Article 15 of the Saudi Cooperative Societies Law
المادة 15 من نظام الجمعيات التعاونية · الباب الثاني: إدارة الجمعيات التعاونية
The article requires the board, when a member's seat falls vacant for any reason, to add the reserve member who obtained the most votes in the general assembly's ballot, to complete the board's remaining term.
Official text (Arabic)
This article has not been amended since the law was issued.
إذا خلا مكان أحد أعضاء مجلِس الإدارة لأي سبَّب، فعلى المجلِس أنَّ يضُم العضو – من بين الأعضاء الاحتياطيين - الذي حاز على أكثر الأصوات في إقتراع الجمعية العمومية التي انتخبتهم ، ويكمل المدة المتبقية من دورة المجلس .
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 15 explained in plain English
This article deals with a vacant seat on the board of directors of a cooperative society.
When does it apply? If a board member's seat falls vacant for any reason. The text does not specify particular reasons, so it covers all cases of vacancy.
What is required? The board must add the member who:
- Is among the reserve members.
- And obtained the most votes in the ballot of the general assembly that elected them.
The new member's term: he completes the remaining term of the board's cycle, and a new cycle does not begin for him.
Note that the text is mandatory («the board must»), and that the selection criterion is fixed by the text itself, namely the ranking of votes, so the board cannot choose whichever reserve member it likes. This provision assumes that the general assembly elects reserve members alongside the regular members.
It is linked to Article 14, which sets the board's term at four years, renewable, and provides that the board continues in its duties until the new board is appointed. It is also linked to Article 16, which requires the board to elect from among its members a chairman, a vice-chairman, a board secretary and a treasurer at its first meeting.
Anyone facing a dispute over filling a vacant seat can consult a lawyer who specializes in commercial and corporate cases.
Practical example
A member of the board of directors of a cooperative society in Abha resigned two years into the board's cycle. Under this article, the board adds the reserve member who obtained the most votes in the general assembly's ballot, and that member completes only the remaining term of the cycle.
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 15 of the Saudi Cooperative Societies Law
Who replaces a cooperative society board member who resigns?
The reserve member who obtained the most votes in the ballot of the general assembly that elected them.
How long does the replacement board member serve?
He completes the remaining term of the board's cycle.
More articles on Cooperative Society Board of Directors
- Article 13
The article requires every society to have a board of directors of at least five members elected by the general assembly to manage it within its purposes and regulations, with the founders appointing the first board for three years.
يكون لكُل جمعية مجلِس إدارة، يقوم بكافة الأعمال اللازِمة لإدارتها في حدود أغراضِها ولائحتِها، ويتكون مِن خمسة أعضاء على الأقل، تنتخِبُهم الجمعية العمومية من بين
- Article 14
The article sets the board of directors' term at four years, renewable, bars pay for its members, and allows the general assembly to grant a bonus of up to 10% of annual profits after the statutory deductions.
مُدة عضوية مجلِس الإدارة أربع سنوات، ويجوز للجمعية العمومية التجديد للمجلس لفترة أخرى أو أكثر ، ويستمر المجلس في ممارسة مهامه وصلاحياته إلى أن يتم تعيين المجلس
- Article 16
The article requires the board of directors of a cooperative society to elect from among its members, at its first meeting, a chairman, a vice-chairman, a board secretary and a treasurer.
ينتخب مجلِس الإدارة من بين أعضائه رئيساً ، ونائباً للرئيس ، وأميناً للمجلس ، وأميناً للصندوق في أول اجتماع له .
- Article 17
The article requires a majority of the board's members to attend for its meeting to be valid, with decisions made by an absolute majority of those present and the side the chair of the meeting voted with prevailing in a tie.
لايكون انعقاد المجلس صحيحا إلا بحضور أغلبية أعضائه ، وتصدر قراراته بموافقة الأغلبية المطلقة لعدد الأعضاء الحاضرين ، فإذا تساوت الأصوات يرجح الجانب الذي صوت معه
- Article 18
The article gives the board continuous supervision of the society's work and oversight of those who manage it, and gives its chairman the right to sign for and represent the society before others and the courts, with the right to delegate and appoint agents.
1- يقوم مجلِس الإدارة بالإشراف على سير العمل بالجمعية بصِفة مُستمِرة، ومُراقبة من يقوم بالإدارة ، ومن يُمثِلون الجمعية والمُفوضين لأعمال مُعيِّنة . 2 - لرئيس مج
- Article 21
The article requires the board of directors to appoint an executive manager to conduct the society's affairs and to set his powers, duties and rights, and makes the board answerable for his work to the general assembly.
يعين مجلس الإدارة مديرًا تنفيذيًا يقوم بتصريف شؤون الجمعية، ويحدد المجلس اختصاصاته، وواجباته، وحقوقه، ويكون مجلس الإدارة مسؤولاً عن أعمال المدير في مواجهة الجمع
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.