Saudi Arabia

Saudi: Ejar Landlord Can Approach Court Seeking Fine if Tenant Violates Terms of Contract

The Ejar platform revealed that the landlord is entitled to approach court seeking fine for each day of delay if the tenant refuses to vacate the property after the expiry of the duration of the contract. This measure can be taken only if there was a condition in the contract that a fine would be imposed on the tenant in the event of his delay in vacating the property after the expiry of the period of the rental contract.

The Ejar said this in a statement posted on its X account, in response to an inquiry by a person about the mechanism through which the tenant can be asked for rent if he is late in vacating the property after the end of the contract period. “When there is an option of imposing a fine on a daily basis in the contract, a claim can be made for each day of delay through the execution court if the contract is an executive document. The landlord can approach the judiciary if the contract is a non-executive document,” it said.

The Real Estate General Authority announced recently that it has begun restricting the financial transactions related to rent payment operations through digital channels of Ejar platform, starting from Jan. 15. The digital payment channels, approved by Ejar, are Mada or SADAD through using the biller number 153. Ejar clarified that adopting the payment mechanism through digital channels on the platform comes in implementation of the decision of the Council of Ministers.

The authority clarified that payment of rent through Ejar includes all new residential rental contracts. “After Jan. 15, any proof of rent payment operations outside the framework of digital channels of Mada and SADAD on Ejar, using the number 153, will not be counted. As of now, this directive does not include commercial rent contracts,” it said.

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