Article 19 of the Saudi Real Estate Brokerage Law
المادة 19 من نظام الوساطة العقارية
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.
Official text (Arabic)
This article has not been amended since the law was issued.
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 تتجاوز (200,000) مائتي ألف ريال.
2- تجوز مضاعفة الغرامة المحكوم بها في حال تكرار المخالفة خلال (ثلاث) سنوات من ارتكابها.
3- تحدد اللائحة تصنيف المخالفات والعقوبات المقررة لها بناءً على الفقرة (1) من هذه المادة.
4- يحق لمن أُلغي ترخيصه التقدم بطلب ترخيص جديد وفق الإجراءات النظامية بعد مضي (ثلاث) سنوات من تاريخ الإلغاء.
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 19 explained in plain English
This Article sets out the penalties for violating any provision of the Law, in four paragraphs:
1. Types of penalties: the violator is punished with one or more of:
- A warning.
- Suspension of the license for a period not exceeding one year.
- Cancellation of the license.
- A fine not exceeding SAR 200,000.
2. Repetition: the fine imposed may be doubled if the violation is repeated within three years of its commission. The text says "may", so doubling is permitted, not mandatory.
3. Classification: the Regulations set the classification of violations and the penalties set for each within the limits of paragraph 1. The exact penalty for each violation is therefore found in the Regulations.
4. A new license after cancellation: a person whose license was cancelled may apply for a new license under the legal procedures after three years from the date of cancellation.
This Article is linked to Article 18, which lists violations: practicing without a license, providing incorrect information to obtain a license, and providing misleading information or concealing material information about the property. It is also linked to Article 20, under which a committee formed by decision of the Board chair hears violations and imposes these penalties, and a person against whom a penalty decision is issued may challenge it before the competent judicial authority within 30 days of being notified.
A person on whom a penalty has been imposed and who wants to assess their position can consult a lawyer specialized in real estate cases.
Practical example
A real estate office in Riyadh was fined for violating the Law, and the same violation was repeated two years later. Because the repetition occurred within three years, the fine imposed may be doubled. And if the office's license were cancelled, it could not apply for a new license until three years after the date of cancellation.
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 contentA question about Article 19 of Real Estate Brokerage Law?
Describe what happened and specialist lawyers answer. You can write in English.
- Completely free
- Lawyers from the directory answer
- Your name stays hidden
Administrative Law lawyers: ask a specialist about your case
Describe your situation briefly and we'll suggest a lawyer who specialises in this law
Administrative Law (Board of Grievances) lawyers
Lawyers who handle this kind of case
Dr. Ali Al-Rubaie Law Office and Ittihad Al-Asr Legal Company
Active contributor
Unwan Law Firm
Frequently asked questions about Article 19 of the Saudi Real Estate Brokerage Law
What is the maximum fine in the Real Estate Brokerage Law?
A fine not exceeding SAR 200,000, which may be doubled if the violation is repeated within three years of its commission.
How long can a real estate broker's license be suspended?
The suspension period may not exceed one year.
When can a new license be requested after a license is cancelled?
After three years from the date of cancellation, under the legal procedures.
Can more than one penalty be combined?
Yes, the Article allows the violator to be punished with one or more of the penalties it lists.
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 17
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.
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 الإ
- 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 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.