SCA 1127/2019

This case involved non-payment for purchased goods. A key point was there had been a failure to supply the agreed goods.

Background

A company filed a case against another company before the court. The company requested the court to order the other company to pay them 1386500 Riyals. They said that they had sold the other company some goods but the latter had refused to receive them and dismissed the signed contract.

The other company said that the company had failed to commit to their obligations because they had supplied them with goods that did not comply with the agreed standards.

The court said that the case documents revealed that the claim made by the other company was valid.

The court ruled that they should pay 829087 Riyals.

The other company made a plea for reconsidering the case before the court of appeal.

Decision

The court of appeal said that the case documents revealed that the company failed to supply the agreed goods to the other company.

The court of appeal repealed the ruling and ruled that the company should pay the other company 2796656.25 Riyals.