Enforcement of Foreign Arbitral Awards in Saudi Arabia

Your Saudi company signed a supply contract with a factory in Europe, and the clause sends disputes to arbitration in Dubai. The award is in your favour, and the factory has money in Saudi Arabia. Can you enforce the award here, and on what conditions?

The short answer: yes. An arbitral award issued abroad can be enforced against your opponent's assets in the Kingdom through a request to the Enforcement Court. The award must be final in the country where it was issued, your opponent must have been notified and given the chance to defend itself, the award must not conflict with a Saudi judgment on the same matter, and it must not violate public order in the Kingdom. The international treaties to which the Kingdom is a party are also taken into account.

The new Enforcement Law, published on 14/11/1447H (1 May 2026), comes into force 180 days after publication (around 28 October 2026) and replaces the Enforcement Law of 1433H. Its Article 9 restates the conditions for enforcing foreign judgments and foreign arbitral awards.

When is arbitration international under Saudi law?

Arbitration is international if the dispute relates to international trade in any of these cases (Article 3 of the Arbitration Law):

• Each party's main place of business was in a different country when the arbitration agreement was made.
• Both parties' main places of business are in the same country, but the place of arbitration, the place where a substantial part of the obligations is performed, or the place most connected with the dispute is outside it.
• The parties agree to use an arbitration organisation or centre based outside the Kingdom.
• The subject of the dispute is connected with more than one country.

In international commercial arbitration, whether it takes place in the Kingdom or abroad, the Court of Appeal in Riyadh hears the annulment case and the other matters the law refers to the court, unless the parties agree on another Court of Appeal in the Kingdom (Article 8).

When does the Saudi Arbitration Law apply?

The Arbitration Law applies to every arbitration conducted in the Kingdom, and to international commercial arbitration conducted abroad if the parties agree to apply this law, without prejudice to Sharia and the international agreements to which the Kingdom is a party. It does not apply to personal status disputes or matters that cannot be settled by compromise (Article 2). The parties may agree on a place of arbitration inside or outside the Kingdom (Article 28) and on its language. The default language is Arabic unless they agree otherwise (Article 29).

The tribunal applies to the merits the rules the parties agreed on. If they chose the law of a specific country, its substantive rules apply, not its conflict-of-laws rules. If they did not agree, the tribunal applies the law of the country most connected with the dispute, without violating Sharia and public order in the Kingdom (Article 38).

How is a foreign award enforced until the new law comes into force?

Under the current Enforcement Law, a foreign judgment is enforced only on the basis of reciprocity and subject to treaties, after checking conditions including: the parties were summoned and given the chance to defend themselves, the judgment is final, it does not conflict with a judgment issued in the Kingdom, and it does not violate public order (Article 11). These rules apply to arbitral awards issued in a foreign country (Article 12).

The most important of these treaties is the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards. Saudi Arabia acceded to it on 19 April 1994, effective 18 July 1994, with a reciprocity reservation: it applies the Convention only to awards made in the territory of another contracting State. If your award was made in a contracting State, such as the UAE or the United Kingdom, the court considers your request within the framework of the Convention together with the Enforcement Law conditions.

What changes under the new Enforcement Law?

Article 9 of the new law provides that arbitral awards and settlement agreements issued in a foreign country are enforced in line with the Kingdom's obligations under international treaties and agreements, after checking the conditions for enforcing foreign judgments, including:

• The dispute is not one that a Saudi judicial body has exclusive jurisdiction to hear.
• There is no similar case pending in the Kingdom that was filed before the case in which the judgment was issued.
• The parties were summoned, properly represented and given the chance to defend themselves.
• The judgment has become final according to the body that issued it.
• It does not conflict with an earlier judgment or order on the same matter from a competent Saudi judicial body.
• It does not violate public order in the Kingdom.

After the request is registered, if five working days pass after the debtor is notified of the enforcement order without payment, compulsory enforcement against his assets begins, including attachment of future income. A fine of up to SAR 5,000 per day may also be imposed (Article 18). An enforcement request is not accepted on an instrument more than ten years past its due date (Article 11).

A Saudi company obtains an arbitral award in London for USD 1.2 million against a European supplier that is owed money by a client in Jeddah.

Before filing, it prepares: the award and its certified translation, proof that the supplier was notified of the arbitration and took part in the hearings, and proof that the award is final in the country where it was issued.

It also checks that the supplier did not file a case in the Kingdom on the same matter before the arbitration, because such a case could block enforcement.

This is general information based on the official Arabic texts of Saudi laws, which prevail over any translation. It is not legal advice for your specific case.

Practical solutions when drafting, enforcing or resisting an award

If you are drafting an international contract:

• State clearly the place of arbitration, the governing law, the language and the institution.
• Choose a place of arbitration in a New York Convention State, because the Kingdom applies the Convention only to awards made in a contracting State.
• Avoid anything that violates Sharia or public order in the Kingdom if you expect to enforce here.
• State in the clause the means of notice by email and the addresses, because proof of notice is a condition for enforcement later.

If you have a foreign arbitral award:

• Make sure the award is final in the country where it was issued.
• Keep proof that the other party was notified and given the chance to defend itself.
• Get a certified translation of the award and file the enforcement request with the Enforcement Court.
• Check that there is no conflicting Saudi judgment or earlier case in the Kingdom on the same matter.
• Do not delay the request for years. The new law does not accept an instrument more than ten years past its due date.

If you are the party against whom enforcement is requested:

• Check whether you were actually notified of the arbitration and given the chance to defend yourself; this is one of the strongest grounds of objection.
• Check whether there is an earlier Saudi judgment or a pending case on the same matter.
• Provide proof of any payment or settlement made after the award.

International arbitration should be drafted with enforcement in mind. Send us the contract or the foreign award, and where your opponent's assets are, on WhatsApp, and we will assess with you whether it can be enforced in the Kingdom.