Background

A bank filed a case against a defendant before the Commission of Commercial Papers claiming that the defendant had issued a cheque which bounced.

The commission ruled that the defendant should pay the bank the value of the cheque in addition to the fine of 2500 Riyals.

The defendant made a plea against the ruling before the Legal Commission of Trade Ministry (SLCTM).

Decision

The SLCTM stated the defendant had requested the dismissal of the case or alternatively the deduction of the value of the cheque from his frozen account based on the argument that he had reached an agreement with the bank. The SLCTM stated the defendant claimed that the bank had cancelled the agreement and kept the cheques and order papers in a way that created a duplication of the debt.