SCA 4530461557/2024
The initial dispute involved a failure to pay instalments for purchased vehicles. Liabilities were complicated by the change of company status from a sole trader to a limited liability company. The key issue was the lack of formal legal representation at the appeal stage.
Background
This case involved a commercial dispute over the sale of 30 vehicles, specifically Kia Carnival 2008 models, under an instalment payment plan. The plaintiff, a single-owner commercial company, claimed that the defendant owed a remaining balance of 489,100 SAR for the vehicles sold. The dispute arose from the defendant’s failure to pay the remaining amount due under the sale agreement. The defendant’s position was complicated by the fact that the contractual rights and obligations had previously been transferred from a sole trader company to a limited liability company, with the defendant having assigned all shares and associated obligations to another partner.