SBG 4581/2016

This case involved whether a company which breached a contract should also pay a fine.

Background

A company filed a case against a company before the court. It requested the court to order the other company to pay 128967660 Riyals in addition to the value of fine of 2%. It said that the other company had failed to commit to its obligations as stipulated in the signed contract.

Decision

The court dismissed the case.

The company appealed the ruling before the court of appeal.

The court dismissed the appeal and upheld the appealed ruling.