Article 19 of the Saudi Off-Plan Real Estate Sales and Leasing Law

This article governs discovering violations and dealing with them in three paragraphs:

(1) The duty to report: The certified accountant and the consulting office, each within its own scope, must report to the competent authority any violation of the provisions of the Law or the Regulations that they come across by virtue of their work. This is an obligation, not a choice.

(2) Period for correction: If it is established to the competent authority that the developer, the certified accountant or the consulting office has committed a violation of the Law or the Regulations:

• It must notify the violator in writing and set a deadline for it to correct the violation.
• This is without prejudice to applying the penalties provided in the Law, so granting a deadline does not mean exemption from the penalty.
• The violator must notify the competent authority in writing that the violation has been corrected within that deadline.

The article does not set the length of the deadline, but leaves it to the competent authority in each case.

(3) Bank violations: If it is established to the competent authority that the bank has committed a violation of the Law or the Regulations, it must notify the Saudi Central Bank in writing.

This article follows Article 18, which allows the competent authority to request information and project progress reports from the certified accountant and the consulting office. It is followed by Article 20, which allows the competent authority, in case of violation, to take the necessary measures including suspending the project until the violation is removed.