A claimant filed a case against a defendant before the court. He requested the court to order the defendant to pay him 50000 Riyals. He said that he had sold the defendant a shop for 60000 Riyals and that the defendant paid him 10000 Riyals and failed to pay the remaining amount.

The defendant admitted the existence of the contract but he said that the licence for the shop had been invalid. The defendant requested the court to dismiss the contract.

The court said that the case documents revealed that the defendant could not benefit from the shop because he could not register the shop's licence under his name.

The court ruled that the signed contract should be dismissed and that the claimant should pay the defendant the amount he had received from him.

The Court of Appeal – Al Bahahhas upheld the ruling based on the same grounds.