Saudi Arabia: Foreign Lawyers to be Allowed to Plead in Courts

Gulf News (United Arab Emirates), 7 July 2021: According to local newspaper reports, Saudi Arabia’s Cabinet has approved a Decision to allow foreign lawyers to plead in courts.

They will have to be licensed in the Kingdom and be basic members of the Saudi Bar Association.

They must have a degree from a Sharia college or a Bachelor of Law from one of the Kingdom’s universities or an equivalent of any of these degrees obtained from abroad, or a post-graduate diploma of legal studies from the Institute of Public Administration. They must also have at least three years of practical legal experience. This period may be reduced to one year for an individual who holds a Master’s degree in Sharia or in law, or an equivalent, or a post-graduate diploma in law for Sharia college graduates. This requirement will not apply to a holder of a doctorate in these specialist fields. They must be of good conduct and not under interdiction and must not have been subjected to any hadd or Qur’anic prescribed punishment or any other sentence in connection with a crime which impugns integrity, except where a minimum of five years has passed since the sentence was issued. Finally, they must be residents of the Kingdom.

They will be able to represent third parties before courts of law, the Board of Grievances and other committees set up by laws, decrees and decisions to consider the cases falling within their respective jurisdictions.

They can also provide consultancy services based on Sharia principles and the rule of law.

The Cabinet Decision has amended a requirement in the Saudi Code of Law Practice for lawyers to be a Saudi to practice law in order to be able to plead before courts.

Previously, law firms could only outsource foreign lawyers as legal advisors.

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Saudi Arabia: Early Retirement Scheme Suspended

Al Madina, 22 June 2021: Government institutions have been instructed to suspend the early retirement scheme for employees with an employment period of less than 25 years.

The new instructions were issued in line with a Cabinet Decision to merge the retirement institution with the General Organisation for Social Insurance.

A Cabinet Decision to introduce a united retirement scheme will be issued soon. For full story click here.

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Saudi Arabia: Mining Licenses to be Issued Next Year

Arab News, 18 June 2021: Saudi Arabia’s Vice Minister for Saudi Mining Affairs has announced mining licenses are going to be auctioned next year.

They will auction two major mining licenses for commodities including gold, copper and zinc.

The Kingdom is aiming to triple the sector’s contribution to national GDP to 240 billion Riyals and double the number of jobs to 470,000 by 2030.

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Saudi Arabia: Proposal to Allow Foreigners to Own Property Submitted

Saudi Gazette, 10 June 2021: Saudi Arabia’s Shoura Council has submitted a proposal, which if approved, will allow foreigners to own property in the country.

However, they would only be able to do so in line with specific conditions.

They have submitted it to the Real Estate General Authority.

They have also urged the Authority to monitor the governance of entities it regulates including the Saudi Real Estate Institute, the Saudi Centre for Real Estate Arbitration and the Centre for Research and Studies.

In addition, they have asked the Authority to boost its supervisory role in all of its work and work with the relevant authorities to ensure stability in the real estate sector and reduce risks which may occur in the real estate market.

They should prepare its annual report in line with the Royal Decree regarding the rules for preparing annual reports for Ministries, Institutions and Government agencies as well.

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Saudi Arabia: Justice Ministry Launches Labour Calculator Service

Al Riyadh, 3 June 2021: Saudi Arabia’s Justice Ministry has announced it has launched a labour calculator service.

It is aimed at ensuring speedier settlement of disputes.

It is also aimed at boosting human rights awareness among labour groups, making the application of the labour system and its regulations easier in terms of rights and financial disputes and improving the accuracy of the results of calculations related to labour rights.

It will help judges, parties in a case and workers in case preparation.

For full story see https://www.alriyadh.com/1888920.

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Saudi Arabia: MMG Investors Win First Class Action

Arab News, 1 June 2021: MMG investors have been awarded 40.2 million Riyals and won the Kingdom’s first ever class action.

Executives at the construction company, Mohammad Al Mojil Group and an auditor have been ordered to pay.

It follows a ruling by the General Secretariat of Committees for Resolution of Securities Disputes in the case which involved the manipulation of financial statements to give a false impression of the company following its 2008 Initial Public Offering and the subsequent three years.

The Kingdom introduced a new class action regime in 2017 for claims by shareholders of listed companies in the country.

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Saudi Arabia: Cybersecurity Framework Implemented

Arab News, 30 May 2021: Saudi Arabia’s Communications and Information Technology Commission has announced it has started implementing a cybersecurity framework.

It contains a comprehensive set of cybersecurity requirements and controls which will contribute to regulating the communications, IT and postal service sectors.

A risk management methodology has to be adopted and all cybersecurity requirements have to be met by service providers to enable them to effectively deal with cyber threats.

It will apply to service providers in the communications, IT, and postal services sector and is aimed at increasing their security levels.

It aims to ensure adequate cybersecurity measures are adopted in line with best international practices.

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Saudi Arabia: Issuing of Tourist Visas to Resume Soon

Arab News, 27 May 2021: According to Saudi officials, the issuing of tourist visas is going to resume soon.

They were suspended last year because of Coronavirus.

The official added the Saudi Arabian authorities are also working with other Middle Eastern and European nations on a unified protocol to facilitate travel.

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Saudi Arabia: Maximum Overtime Limits Announced

Al Madina, 20 May 2021: Saudi Arabia’s Human Resources and Social Development Ministry has explained the maximum numbers of overtime hours an employee can work in a year is 720 hours.

Under paragraph 31 of the First Penalties Schedule, the employer will be fined 10,000 Riyals for each employee made to work over their working hours under Article 98.

The Ministry added the overtime hours can be increased to more than 720 hours if the employee agrees. For full story click here.

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Saudi Arabia: Jail Terms for Debtors Could be Scrapped

Gulf News (United Arab Emirates), 18 May 2021: According to local media reports, Saudi Arabia’s Justice Ministry is understood to have approved amended debt penalty rules.

Under the amendments, jail terms for debt defaulters will be scrapped.

The amendments also include ending suspension of Government services provided to and financial dealings with defaulters as well as giving defaulters a right to sufficient notice to repay debts before their assets are seized to recover the arrears. During this notice period, defaulters can make representations to the authorised officer and set out their objections to the repossession notice.

Under the new rules, State-owned funds, the house in which the defendant and their legal dependents live cannot be seized. However, the house can be seized if it is mortgaged to the creditor. They may also not seize the transport used by the defendant and their legal dependents unless it is mortgaged to the creditor.

In addition wages and salaries may not be seized unless it is half of the total wage or salary, for the alimony debt and one-third of the total wage, or salary for other debts.

Half of the total wage or salary is allocated to the alimony debt and one-third of the remaining 50% for other debts and in the event of multiple debts like this, one third of the half will be distributed among the creditors in line with the law.

They may also not seize anything which is required for the defendant to practice their profession or the personal requirements of the defendant and Government subsidies provided to the defendant.

A right to ensure fair value and realise balance proceeds will be guaranteed under the new rules. Resisting or suspending execution of attachment on properties will lead to a jail term of up to seven years and a fine of up to 300,000 Riyals.

Declarations of bankruptcy are historically very rare in Saudi Arabia. In most cases, a bankruptcy declaration will lead to a jail term of between five and seven years to ensure the bankruptcy claim was not fraudulent.

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