SBG 715/2016
This case involved an unpaid equipment rental contract. A key question was the impact of the company not having stamped the document when they had admitted they owed an amount.
Background
A company filed a case against another company before the court. They requested the court to order the other company to pay them 954569 Riyals. They said that the other company had rented equipment from them and failed to commit to its obligations.
The other company claimed that the documents provided by the company had not been stamped by them
Decision
The court considered the documents of the case. The court found that the other company had admitted that it owed 476074.33 Riyals. The court said that the company had the right to receive this amount according to Article 500 oftSaudi Arabia Royal Decree No. M32/1350 and Article 139 of the Law of Advocacy.
The court ruled that the other company should pay the company 476074.33 Riyals.
The other company appealed the ruling before the court of appeal.
The court dismissed the appeal and upheld the appealed ruling.