Majid Al-Qasabi,Minister of Commerce
Minister of Commerce Majid Al-Qasabi said the issuance of the new Commercial Transactions Law aims to regulate commercial contracts, including commercial sales, supply sales, brokerage and commercial agency agreements. 
In a post on X platform, Al-Qasabi explained that the law allows Saudi youths aged 15 and above to engage in commercial activities subject to specific conditions. It also complements the Civil Transactions Law to foster a more supportive business and investment environment.
The following table outlines the key changes introduced by the Commercial Transactions Law:
Key Changes in the Commercial Transactions Law
Previous Status
New Status
Commercial transactions were governed by three separate laws: the Commercial Court Law, the Negotiable Instruments Law and the Commercial Books Law.
A single law covers commercial activities, merchants and their obligations, commercial establishments, commercial contracts and negotiable instruments.
Commercial sales, supply sales, commercial agency and brokerage contracts were not specifically regulated.
For the first time, the law brings the rules governing commercial sales, supply sales, commercial agency and brokerage together in a single legal instrument.
Individuals under the age of 18 were not permitted to engage in commercial activities.
Minors aged 15 and above are permitted to engage in trade with the authorization of their guardian, custodian or the court.
Accounting records had to be kept on paper and in Arabic only.
Accounting records may be maintained electronically or on paper in Arabic. Merchants may also keep records in another language in addition to Arabic.
The absence of a comprehensive framework covering commercial transactions made it difficult to predict legal outcomes.
The law aims to improve predictability, reduce disputes and facilitate the timely delivery of justice.
The Saudi Cabinet, chaired by Crown Prince and Prime Minister Mohammed bin Salman, approved today, Oct. 27, the Commercial Transactions Law at a meeting in Riyadh, as per Argaam‘s data.
Majid Al-Qasabi,Minister of Commerce
Minister of Commerce Majid Al-Qasabi said the issuance of the new Commercial Transactions Law aims to regulate commercial contracts, including commercial sales, supply sales, brokerage and commercial agency agreements.
In a post on X platform, Al-Qasabi explained that the law allows Saudi youths aged 15 and above to engage in commercial activities subject to specific conditions. It also complements the Civil Transactions Law to foster a more supportive business and investment environment.
The following table outlines the key changes introduced by the Commercial Transactions Law:
Key Changes in the Commercial Transactions Law
Previous Status
New Status
Commercial transactions were governed by three separate laws: the Commercial Court Law, the Negotiable Instruments Law and the Commercial Books Law.
A single law covers commercial activities, merchants and their obligations, commercial establishments, commercial contracts and negotiable instruments.
Commercial sales, supply sales, commercial agency and brokerage contracts were not specifically regulated.
For the first time, the law brings the rules governing commercial sales, supply sales, commercial agency and brokerage together in a single legal instrument.
Individuals under the age of 18 were not permitted to engage in commercial activities.
Minors aged 15 and above are permitted to engage in trade with the authorization of their guardian, custodian or the court.
Accounting records had to be kept on paper and in Arabic only.
Accounting records may be maintained electronically or on paper in Arabic. Merchants may also keep records in another language in addition to Arabic.
The absence of a comprehensive framework covering commercial transactions made it difficult to predict legal outcomes.
The law aims to improve predictability, reduce disputes and facilitate the timely delivery of justice.
The Saudi Cabinet, chaired by Crown Prince and Prime Minister Mohammed bin Salman, approved today, Oct. 27, the Commercial Transactions Law at a meeting in Riyadh, as per Argaam‘s data.
