KSA “Judicial Costs Law” Coming into Force on 13 March 2022

The Kingdom of Saudi Arabia has recently issued a Judicial Costs Law (the “Law”), which will come into effect on 10 Shaaban 1443 AH corresponding to 13 March 2022 AD. Judicial costs refer to the initial fees that the plaintiff is obliged to pay to the relevant department accompanying the filing of the lawsuit with the courts.

Given that time and cost are essential factors in all litigation issues, we believe that it is necessary for our clients to participate in the new decisions in the Kingdom of Saudi Arabia, especially with regard to fees and costs of litigation before the competent Saudi Arabian courts, as it is an essential element in making future decisions and planning for the long and short term when filing any lawsuit before the courts in Saudi Arabia or when you submit other requests before the courts.

From this point of view, we want to raise awareness and are here to assist and advise businesses in making any decision regarding the timing of filing potential lawsuits. Any such lawsuits should be submitted before the specified date in order to avoid any future expenses that may apply after the date of the Law coming into effect.

After the Law is implemented, judicial costs will be imposed on lawsuits and requests to the amount not exceeding 5% of the value of the claim and with a maximum amount of 1,000,000 SAR.

The provisions of the Law shall also apply to all cases and requests submitted to the courts, except for the following:

1. General criminal cases, disciplinary cases, and requests related thereto.
2. Cases and requests that are within the jurisdiction of the Personal Status Courts, with the exception of the cassation request and petition for reconsideration.
3. Lawsuits and requests that fall within the jurisdiction of the Board of Grievances.
4. Lawsuits and requests related to the division of estates, with the exception of the cassation request and petition for reconsideration.
5. Cases and requests arising from the application of the provisions of the Bankruptcy Law.
6. Deeds and related requests.

Judicial costs are also imposed on requests, which refers to all that is submitted by litigants and others before the courts, given it is not included in the lawsuit, as the costs vary according to the type of request.

For more information, please contact our team, who are ready to answer all your inquiries.

For the Arabic version, read here