Article 17 of the Saudi Real Estate Brokerage Law
المادة 17 من نظام الوساطة العقارية
The Article gives the Authority the tasks of oversight, inspection and enforcement, lets it use public or private bodies, and requires those practicing the activity to let inspectors enter their premises and give them documents.
Official text (Arabic)
This article has not been amended since the law was issued.
1- تباشر الهيئة مهمات الرقابة والتفتيش والضبط لتنفيذ أحكام النظام، ويجوز لها أن تستعين بمن تراه من الجهات العامة أو الخاصة لتأدية هذه المهمات، وتحدد اللائحة الإجراءات اللازمة لذلك.
2- يتولى المكلف بالرقابة والتفتيش والضبط ضبط ما يقع من مخالفات لأحكام النظام، وفقاً لإجراءات الضبط التي تحددها اللائحة.
3- يلتزم كل من يمارس نشاط الوساطة العقارية أو الخدمات العقارية بتمكين المكلف بالرقابة والتفتيش والضبط من أداء أعماله وتسهيل مهماته، ويشمل ذلك دخول مقر عمله، وتزويده بما يطلب من مستندات أو معلومات متصلة بأحكام النظام.
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 17 explained in plain English
This Article regulates oversight and inspection of real estate brokerage and real estate services, in three paragraphs:
1. The oversight body: the Authority carries out the tasks of oversight, inspection and enforcement to implement the Law, and it may use whichever public or private bodies it sees fit. The Regulations set the necessary procedures for this.
2. Catching violations: the person assigned to oversight, inspection and enforcement catches violations of the Law that occur, under the enforcement procedures set by the Regulations.
3. Duty to cooperate: everyone who practices real estate brokerage or real estate services must enable the person assigned to oversight to do his work and facilitate his tasks, including:
- entering his workplace.
- giving him the documents or information he requests that relate to the provisions of the Law.
Note that the documents and information requested are limited to those relating to the provisions of the Law.
This Article is linked to Article 18, which lists violations: practicing the activity without a license, providing incorrect information to obtain a license, and providing misleading information or concealing material information about the property. Inspectors are the ones who catch such violations. It is also linked to Article 16, which restricts the broker's handling of amounts he receives from the parties.
A person subject to an oversight measure who needs an opinion on their position can consult a lawyer specialized in real estate cases.
Practical example
An oversight officer from the Authority visited a real estate office in Abha and asked to see the brokerage contracts the office had concluded. The office must enable him to enter the premises, give him the documents and information relating to the provisions of the Law, and facilitate his task.
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 17 of the Saudi Real Estate Brokerage Law
Who supervises real estate brokerage offices?
The Authority carries out the tasks of oversight, inspection and enforcement, and it may use whichever public or private bodies it sees fit.
Does an Authority inspector have the right to enter the real estate office?
Yes, those who practice the activity must enable the person assigned to oversight to do his work, including entering his workplace.
What documents may the inspector request?
The documents or information he requests that relate to the provisions of the Law.
More articles on Real Estate Brokerage Violations
- Article 5
The Article sets the Real Estate General Authority's competences under the Law, including preparing contract forms, practice standards, and procedures for catching violations and receiving reports and complaints.
تتولى الهيئة ما يلي: 1- إعداد نماذج العقود الإلزامية والاسترشادية الواردة في النظام. 2- إعداد برامج وآليات للتحفيز على ممارسة الوساطة العقارية والخدمات العقارية
- Article 18
The Article lists violations of the Law: practicing brokerage and real estate services without a license, giving incorrect information to obtain a license, and giving misleading information or concealing material information about the property.
يُعد من مخالفات أحكام النظام ارتكاب أي من الأفعال الآتية: 1- ممارسة نشاط الوساطة العقارية والخدمات العقارية دون ترخيص. 2- تقديم معلومات غير صحيحة للحصول على ترخ
- Article 19
The Article sets the penalties for violating the Law: a warning, suspension of the license for up to a year, cancellation, or a fine of up to SAR 200,000, which may be doubled for repeat violations within three years.
1- يعاقب كل من يخالف أي حكم من أحكام النظام، بعقوبة أو أكثر من العقوبات الآتية: أ- الإنذار. ب- تعليق الترخيص لمدة لا تتجاوز (سنة). ج- إلغاء الترخيص. د- غرامة لا
- Article 20
The Article creates a committee to hear violations and impose the Article 19 penalties, and allows the person penalized to challenge before the competent judicial authority within 30 days.
1- تكوَّن بقرار من رئيس المجلس لجنة (أو أكثر) من ثلاثة أعضاء -على الأقل- يكون أحدهم من المختصين في الشريعة أو الأنظمة؛ تتولى النظر في مخالفات أحكام النظام، وإيق
- Article 21
The Article provides that if a violation of the Law also constitutes another violation punishable under another law, the more severe penalty applies.
إذا شكل ارتكاب أي مخالفة لأحكام النظام مخالفةً أخرى يعاقب عليها نظام آخر؛ فتطبق العقوبة الأشد.
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.