Al-Qasabi: Commercial Transactions Law allows those aged 15 to engage in trade
RIYADH — The Commercial Transactions Law, approved by the Cabinet on Tuesday, permits those aged 15 years to engage in trade, provided they obtain authorization from their guardian or custodian, or from the court. Minister of Commerce Dr. Majid Al-Qasabi said that this is under a new regulatory framework governing commercial activities in Saudi Arabia. The new law will come into force 180 days…
Riyadh — Saudi Arabia's new Commercial Transactions Law, passed by the Cabinet, allows individuals as young as 15 to participate in trade with guardian or custodian authorization, or court approval. Minister of Commerce Dr. Majid Al-Qasabi announced this under a revised regulatory system for commercial activities in Saudi Arabia.
The law will become effective 180 days post-publication in the official gazette. It covers commercial contracts like sales, supply sales, brokerage, and agency, aligning with the Civil Transactions Law to promote commerce and investment. The comprehensive 271-article law supersedes three previous statutes: Commercial Law, Commercial Papers Law, and Commercial Books Law.
It redefines the merchant definition, outlining activities that qualify as commercial with a single transaction or require professional expertise. The legislation also addresses fair competition, prohibits harmful practices against competitors, and allows court injunctions and compensation for affected parties. Certain merchant categories are exempt from accounting record obligations, with options for electronic or Arabic-paper records, including other languages.
Notably, the law unifies provisions on commercial sales, supply sales, agency, and brokerage into one legal document, aiming to protect all parties, support SME growth, and streamline commercial contracts and agency arrangements.
Written by urgent.news from Saudi Gazette's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
