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Saudi Arabia recently issued its new e-commerce law. The E-Commerce Law, which will be administered by the Ministry of Commerce & Investment, comes into effect in late October 2019, 90 days following its publication in the Official Gazette on 24 July 2019. The associated Regulations are expected to follow shortly thereafter.
The Law focuses primarily on customer-protection related considerations, both in a B2C context and in a B2B context. It applies not only to e-commerce service providers who are merchants/traders registered in the Saudi Commercial Register, but also to other e-commerce practitioners – both in the Kingdom and elsewhere – who are not registered in the local Commercial Register. Specifically, e-commerce practitioners who are located outside the Kingdom, but who offer goods and services to customers based in the Kingdom, are subject to the Law.
The Law provides clarity for e-commerce service providers, although further clarity should follow when the Regulations are issued. In the meantime, e-commerce operators making goods and services available to customers in the Kingdom should prepare to review their customer terms and conditions and policies to ensure that they fit within the expectations set out in the Law.
Our Technology, Media & Telecommunications (“TMT”) team provides local and international clients with world-class, specialist legal support across the full spectrum of technology, media and telecommunications matters.
Our diverse team of internationally qualified lawyers combines local law experience with international best practice, having also had experience of working in-house. Working alongside the firm’s Arabic-speaking lawyers and locally-qualified advocates, and with access to specialist lawyers from other practice areas, our TMT team provides clients with high quality, specialist legal services.