A claimant filed a case against a company before the court. He requested the court to order the company to pay him 150000 Riyals. He also requested the court to order them to transfer the ownership of the car he had sold to her or to pay the value of the penalty clause. He said that he shad sold his company to the company and that the latter failed to commit to their obligations.

The court said that the case documents revealed that the claimant had provided the court with all documents that prove his claim. The court said that the existence of clause penalty in ithe nstalment contract was in violation of Islamic law.

The court ruled that the company should pay the claimant 150000 Riyals.

The court of appeal has upheld the ruling based on the same grounds.