The new Enforcement draft law has specified some articles, which are related to the executory instruments that is contained in section (3) of the draft law, which is given the name ‘executory instrument’, in which the law explained the types of such executory instruments and defined them.

The draft law referred to eight (8) types of enforceable and irrevocable documents in proving rights, and a forced execution cannot be made unless one of the following documents is secured:

1- Final judgements or those covered under expedited enforcement, resolutions and orders issued by courts of law in the Kingdom of Saudi Arabia.

2- Awards handed down by arbitrators in accordance with the pertinent laws.

3- Reconciliation reports issued or certified by the entities legally authorized to do so.

4- Bills of exchange and promissory notes registered in the e-platforms, which are approved by the ministry.

5- Cheques that fulfill the requirement prescribed by the law.

6-Contracts and declarations notarized in accordance with the notarization law.

7- Court judgements and orders, arbitrators’ awards, reconciliation agreements, attested documents issued in a foreign country.

8- Contracts and documents that fall under executory instruments as per the law, subject that these contracts and documents comply with the forms certified by the ministry.

Later on, the implementing regulations governing this law shall come into force after approval of the procedures and rules.

Meanwhile, the draft law permitted the defendant to challenge and appeal within fifteen days before a competent court on the results of the report, which is issued by the expert bodies specified by the Ministry of Justice with respect to verifying that the right is due. The procedures of the appeal are yet to be defined in the implementing regulations of the law.

This appeal will not affect the process of the enforcement procedures if the court hears the appeal.

The bill did not ignore the enforcement of foreign court rulings in the Kingdom, but it failed to lay down new requirements to this matter, rather it has been confirmed that no foreign court ruling shall be enforced in the Kingdom, but it would be done on the basis of reciprocity as in the current law.

The draft law contained a new article relating to the execution instrument, under which a debtor may submit a petition to the court for settlement of the fixed right by virtue of a certain executory instrument that is due. So, the court has to order the creditor to settle its right. If the creditor fails to claim its right, the court may record this as a proof.

The court shall also take the procedures that would guarantee that the debtor/defendant fulfills the fixed right that it owes. Later, the law shall determine the procedures to enforce the provisions of this article.

In the concluding section of this law in relation to the time limitation of executory instruments, it stipulates that any enforcement application by virtue of an executory instrument, whose due date expires by elapse of more than five years, will not be accepted.

Eventually, the above overview is an analysis of the executory instruments set forth in the draft of a proposed enforcement law, and this shall not be considered as a legal advice.

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