The most important legal news in local newspapers
We in Ben Arafa Law Group Consulting & Legal Legitimacy L.L.C likes to provide you of the most important legal news in the local newspapers for this week, which related to your business and commercial, labor and procedural activities, and accordingly we provide you with the most important news as follows:
Ministry of Environment and Agriculture Issues the New Executive Regulations
for Environmental Violations
Ministry of Environment, Water and Agriculture issues the new executive regulations for the environmental violations according to the ministerial decree number 915101619), for reinforcing the environmental governance and to ensure undertaking with the environmental sustainability standards in the KSA.
The regulations include the mechanism for violations control, including documenting them by the inspectors in cooperation with the security authority when required and defining the sanctions which include financial fines up to 100,000 Saudi riyals, while the harder violations are raised to the concerned committee, in addition to the possibility of terminating the license in a case of repeating the violations.
Also, the regulations oblige the violators with the environmental requalification and paying the damages. They define the mechanisms for seizure items disposal. The regulations grant the violators the right of appealing the decrees of sanction taken against them according to the legal judgments.
Ministry of Municipality, Rural and Housing Affairs Approves the Technical Guidelines for Processing Delayed and Obstructed Sale and Lease Projects
Ministry of Municipality, Rural and Housing Affairs approves the new technical guidelines for processing the delayed and obstructed property projects according to “The Roadmap for sale and lease projects”.
The guidelines define the delayed project as an incomplete project according to the schedule and the performance indicators, and it is categorized as obstructed when there are technical or financial reasons that affect the completion progress.
The guidelines include mechanisms for treating obstruction, as the developers should take the corrective actions, and replace the identities or the individuals who cause the obstruction. Also, the guidelines allow replacing the main developer by another one in a case of inability to complete the project because of bankruptcy or financial inefficiency.
Legal Information
Regulations for Amending Prices of Contracts at the Governmental Tenders and Procurements System
According to article number sixty eight of the governmental tenders and procurements new system, amendment in the prices of contracts and framework agreements shall be made only in exceptional cases, to ensure justice between the contracted parties, and to prevent unjustified amendments. Those cases include:
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Changing prices of basic materials or services: in a case of change in the basic prices that influence the contract articles, according to the regulations.
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Changing customs or taxes: at amending the charges or the taxes that require amending the contract prices.
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Non-expected insolvency: in a case of non-expected difficulties through the performance when it is impossible to expect them at signing the contract.
This article aims at balancing the contracting undertakings and protecting all parties from sudden changes which may affect the cost of completion, while undertaking with defined conditions and procedures that ensure stability and transparency of contracts.
The most important legal news in local newspapers
We in Ben Arafa Law Group Consulting & Legal Legitimacy L.L.C likes to provide you of the most important legal news in the local newspapers for this week, which related to your business and commercial, labor and procedural activities, and accordingly we provide you with the most important news as follows:
Zakat, Taxes and Customs Authority Updates the Regulations for Customs
Zakat, Taxes and Customs Authority approves the amendment of some regulations of customs, upon its authorities granted by the unified customs law of the GCC. The new amendments include the following:
Documents: The documents defined by the unified guidelines for customs should be considered, while in a case of failure to provide any of the required documents, the customs clearance shall be made opposite cash or bank guaranties, in a condition that the period for providing the documents shall not exceed 90 days from the date of customs statement registration.
Cargo information: transporters of goods shall file the cargo information one hour before the goods reach the customs zone. That includes information about the means of transport, the source and the receiver.
Inspection Procedures: supplied goods should be inspected for each sender, and they should be prepared in a way that facilitates inspection.
Dues payment: all financial dues related to customs information, and fines (if found) should be paid before the completion of customs clearance.
Importing goods: Regulations for importing goods and the information related to passenger customs statement, was amended, as the defined pathways should applied and when the value of materials exceed 3000 Saudi riyals or equal, they should be recorded.
Temporary procedures: New rules were established for temporary entrance of goods, including the necessity of applying the applicable international procedures.
Those amendments aim at reinforcing the transparency and the effectiveness of custom procedures that contributes in improving the work environment and ensures undertaking with the applicable regulations. Those amendments will be applied from the date of publishing at the official Gazette.
Ministry of Commerce Invites Companies to Amend the Articles of Association Before the Completion of the Defined Term for that System
Ministry of commerce announces that 80 days period is left for companies to amend the articles of association according to the regulations of the new firms’ law, as the allocated period ends on 18th January, 2025.
The ministry states that the amendment is made upon the royal bylaw number (132-M) issued on 1-12-1443H, that obliges all present companies at the enforceability of the firms system on 19th January, 2023, to amend their positions according to its regulations.
The ministry invites the firms to amend their articles of association through the Business Platform of the Saudi Economical Business Center (business.sa), where the companies can surf the service of “amending articles of association”, and fill in the form, then file an electronic application, while being benefited from the current free publishing.
The electronic application should be filed by the authorized partner or manager, while there should be a decree from the unordinary general assembly of joint stock companies or a decree of shareholders at simple stock companies. Applications should be filed for only main records of companies.
Five Basic Differences between the New and the Previous Commercial
Register Systems to reinforce Practicing Business
Ministry of commerce launches a new commercial register system that aims at facilitating the procedures for practicing business and ensures accuracy of information and updating them regularly. The system has a number of critical differences than the previous system that reflects the ministry undertaking with improving the business environment in the KSA. The following are the most important differences between the two systems:
Termination of Sub-records: The new system permits the presence of one record that covers all activities, instead of using sub-records as was applicable in the preceding system.
Unifying the record at the KSA level: The new system no longer requires defining the city of the commercial record, as it makes a unified commercial record enough for all the kingdom locations, compared with the preceding system which requires issuing records according to the administrative locations.
Termination of the record validation date: The new system does without defining the commercial record validation date, but it makes it is enough to ensure data yearly, compared with the preceding system which requires a defined validation date.
Substitute Procedures for Sanctions: The new system provides substitute options, including warning, correcting the violation, in addition to the traditional sanctions, while financial fine was the sole option in the preceding system.
Commercial record deletion: The article for commercial record deletion is amended to be one year from the date of suspension, instead of 30 days according to the preceding system.
Those updates indicate to the efforts of the ministry of commerce to reinforce the commercial procedures effectiveness and creating a more regulated and flexible work environment in the KSA.
