SCA 308/2019

This case involved an investment agreement. The parties had agreed on arbitration in the event of a dispute. As the defendant agreed to appoint an arbitrator the case was settled.

Background

A claimant filed a case against a defendant before the court. They requested the court to order the defendant to appoint an arbitrator. They said that they had paid 1000000 Riyals in order to invest it in a business but he had failed to commit to his obligations. They said that the two parties had agreed on arbitration in case of dispute.

Decision

The court said that the case documents revealed that after negotiations between the two parties, the defendant had agreed to appoint an arbitrator in order to consider the dispute.

The Court of Appeal – Jeddah said that the case was settled as the two parties had agreed on the appointment of an arbitrator.