{"id":2599,"date":"2026-02-23T11:13:37","date_gmt":"2026-02-23T11:13:37","guid":{"rendered":"https:\/\/alrashidi.law\/?p=2599"},"modified":"2026-05-03T07:40:18","modified_gmt":"2026-05-03T07:40:18","slug":"e-commerce-law","status":"publish","type":"post","link":"https:\/\/alrashidi.law\/en\/e-commerce-law\/","title":{"rendered":"E-Commerce Law"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">The Saudi E-Commerce Law issued by Royal Decree No. (M\/126) dated 7\/11\/1440H constitutes an integrated legislative framework governing the conduct of electronic commercial activities in the Kingdom. It lays down firm foundations to ensure the reliability and transparency of electronic transactions and defines the rights and obligations of all parties, making it an effective instrument for strengthening confidence in the digital economy through provisions regulating data disclosure, the protection of personal data, the authentication of electronic stores, and clarifying the mechanism for rescission of contracts. This contributes to establishing a safe and stable e-commerce environment that supports the achievement of the Kingdom\u2019s Vision 2030 objectives of building a digital and sustainable economy and enhancing the contribution of the e-commerce sector to GDP. The value of transactions in the e-commerce sector conducted through the Kingdom\u2019s national payment network (Mada) in 2022 reached one hundred and eleven (111) billion Saudi riyals, reflecting the scale and importance of this sector. (1)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Among the most prominent questions raised about the Law are how it protects personal data while ensuring the transparency of electronic transactions, and what the mechanisms are for rescission of e-commerce contracts. This is addressed below:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>First: Scope of Application of the Law.<\/b><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The provisions of the Law apply to the consumer and the trader or practitioner within the Kingdom, as well as to the practitioner outside the Kingdom who offers products or services within the Kingdom by presenting them in a manner that enables the consumer to access them. A trader\u2019s or practitioner\u2019s use of a domain name or an email address associated with a particular state does not create a presumption that its place of business is located in that state.<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Second: Protection of Personal Data.<\/b><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The Law provides that the trader or practitioner may not retain the consumer\u2019s personal data or electronic communications except for the period required by the nature of the e-commerce transaction. The necessary means must be taken to protect such data and preserve its privacy throughout the period of retention. The service provider is responsible for protecting the consumer\u2019s personal data or electronic communications that are in its possession or under the control of the entities with which it deals or their agents. They may not use the consumer\u2019s personal data or electronic communications for unauthorized or impermissible purposes, nor disclose them to another entity, for consideration or without consideration, except with the consent of the consumer to whom the personal data relates or where the laws so require. (3)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The protection of data and information used in e-commerce constitutes one of the most important interests that the Saudi legislator sought to protect under the E-Commerce Law, alongside the protection of public confidence in e-commerce. (4)<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Third: Transparency of Electronic Transactions.<\/b><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">To ensure transparency of transactions conducted via the internet, the Law sets out the following safeguards:<\/span><\/p>\n<p><span style=\"font-weight: 400;\">1- Obligating the trader or practitioner to disclose in its electronic store the following data:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Its name, or any distinguishing identifier, and its address, unless it is registered with one of the entities responsible for authentication of electronic stores.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Means of contacting it.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The name of the register in which it is recorded and its number, if it is recorded in the commercial register or another register available to the public. (5)<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">2- Requiring the trader or practitioner to provide the consumer with a statement explaining the provisions and terms of the contract intended to be concluded, provided that the statement includes the following:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The procedures required to conclude the contract.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Data relating to the service provider.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The essential characteristics of the products or services that are the subject matter of the contract.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The total price inclusive of all fees, taxes, or additional amounts relating to delivery, if any.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Arrangements for payment, delivery, and performance.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Warranty information, if any. (6)<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">3- The necessity of providing the consumer with an invoice after conclusion of the contract, stating the cost of purchasing each product or providing the service, the total price inclusive of all fees, taxes, or additional amounts relating to delivery, if any, and the date and place of delivery. (7)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">4- A trader or practitioner who practices a profession subject to specific regulation and requiring a licence or permit to practice must disclose the following:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The entity with which it is registered, and the details of the licence or permit issued by it.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The professional title in use, and the state that granted it. (8)<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">5- The Law deems an electronic advertisement to be a supplementary contractual document forming part of the contract and binding on the parties. (9)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">6- The Law requires the trader to register its electronic store in the commercial register in accordance with the Commercial Register Law. (10)<\/span><\/p>\n<ul>\n<li aria-level=\"1\"><b>Fourth: Mechanisms for Rescission of E-Commerce Contracts.<\/b><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The E-Commerce Law has made available to the consumer several mechanisms for rescission of a contract relating to an electronic transaction, as follows:<\/span><\/p>\n<p><span style=\"font-weight: 400;\">1- Rescission of the contract within the seven days following the date on which the consumer receives the product, or the date of contracting for the provision of the service, provided that the consumer has not used the service provider\u2019s product, has not benefited from its service, and has not obtained a benefit from either of them. In this case, the consumer bears the costs arising from rescission of the contract unless the parties agree otherwise, except in the following cases:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">If the subject matter of the contract is products manufactured at the consumer\u2019s request or in accordance with specifications determined by the consumer, excluding products that are defective or not conforming to the agreed specifications.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">If the subject matter of the contract is video tapes, discs, compact discs, or software that has been used.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">If the contract relates to the purchase of newspapers, magazines, publications, or books.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">If a defect appears in the product due to the consumer\u2019s improper possession.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">If the contract relates to the provision of accommodation, transport, or catering services.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">If the contract relates to the purchase of products involving downloading software over the internet, excluding software that has a defect preventing completion of the download or that is not in conformity with what was agreed. (11)<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">2- The consumer has the right to rescind the contract if the service provider delays delivery or performance for a period exceeding fifteen days from the date of conclusion of the contract or beyond the agreed date. The consumer is entitled to recover what the consumer paid under the contract in consideration for the product or service, and any other costs arising from this delay, unless the delay is due to force majeure. (12)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These two mechanisms constitute protection for the consumer in e-commerce contracts against fraud and deceit when dealing electronically, given that the consumer is the weaker party in the contractual relationship. (13)<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><strong>What are the consumer rights for returning products under this law?<\/strong><\/h2>\n<p>\n    Under the Saudi E-Commerce Law, consumers have specific rights regarding the rescission of contracts and the return of products. These rights are categorized into two main mechanisms:\n<\/p>\n<h3><strong>1. Rescission within Seven Days<\/strong><\/h3>\n<p>\n    A consumer has the right to rescind a contract and return a product within seven days of receiving it (or from the date of contracting for a service). However, this right is subject to specific conditions:\n<\/p>\n<ul>\n<li><strong>Condition of Use:<\/strong> The consumer must not have used the product, benefited from the service, or obtained any benefit from either.<\/li>\n<li><strong>Costs:<\/strong> Generally, the consumer bears the costs arising from the rescission of the contract unless there is an agreement with the service provider stating otherwise.<\/li>\n<\/ul>\n<h4><strong>Exclusions from the 7-Day Return Right<\/strong><\/h4>\n<p>\n    The right to rescind within seven days does not apply in the following instances:\n<\/p>\n<ul>\n<li><strong>Custom Products:<\/strong> Items manufactured specifically at the consumer\u2019s request or to their specifications unless they are defective or do not conform to the agreed specifications.<\/li>\n<li><strong>Used Media:<\/strong> Video tapes, discs, compact discs, or software that have already been used.<\/li>\n<li><strong>Specific Publications:<\/strong> Newspapers, magazines, publications, or books.<\/li>\n<li><strong>Consumer Damage:<\/strong> If a defect appears in the product because of the consumer&#8217;s improper possession.<\/li>\n<li><strong>Specific Services:<\/strong> Contracts relating to accommodation, transport, or catering services.<\/li>\n<li><strong>Digital Downloads:<\/strong> Products involving the downloading of software, unless there is a defect preventing the download or it does not conform to what was agreed.<\/li>\n<\/ul>\n<h3><strong>2. Rescission Due to Delay in Delivery<\/strong><\/h3>\n<p>\n    Consumers are also protected if there is a significant delay in receiving their purchase.\n<\/p>\n<ul>\n<li><strong>Timeline:<\/strong> A consumer can rescind the contract if the service provider delays delivery or performance for more than fifteen days from the date the contract was concluded or beyond the agreed-upon date.<\/li>\n<li><strong>Refunds:<\/strong> In the event of such a delay, the consumer is entitled to a full refund of the amount paid for the product or service, as well as any other costs resulting from the delay.<\/li>\n<li><strong>Exception:<\/strong> This right does not apply if the delay is caused by force majeure.<\/li>\n<\/ul>\n<p>\n    These mechanisms are designed to provide a &#8220;firm foundation&#8221; for digital trust, protecting consumers as the typically weaker party in electronic transactions against potential fraud or deceit.\n<\/p>\n<h2><strong>How does the law ensure transparency between traders and consumers?<\/strong><\/h2>\n<p>\n    The Saudi E-Commerce Law ensures transparency between traders and consumers through several mandatory disclosure requirements and safeguards designed to establish digital trust. The law enforces transparency through the following key mechanisms:\n<\/p>\n<h3><strong>1. Mandatory Store Disclosures<\/strong><\/h3>\n<p>\n    Every trader or practitioner must disclose specific identification data in their electronic store including:\n<\/p>\n<ul>\n<li><strong>Identification:<\/strong> Their name or a distinguishing identifier.<\/li>\n<li><strong>Contact Information:<\/strong> Their address (unless registered with an authentication entity) and means of contacting them.<\/li>\n<li><strong>Registration Details:<\/strong> The name and number of the register in which they are recorded, such as a commercial register.<\/li>\n<\/ul>\n<h3><strong>2. Pre-Contractual Statements<\/strong><\/h3>\n<p>\n    Before a contract is finalized, the service provider must provide the consumer with a statement detailing the terms and provisions of the agreement. This statement must include:\n<\/p>\n<ul>\n<li>The steps required to conclude the contract.<\/li>\n<li>The essential characteristics of the products or services.<\/li>\n<li>Comprehensive pricing, showing the total cost inclusive of all fees, taxes, and additional delivery charges.<\/li>\n<li>Arrangements for payment, delivery, and performance, along with any applicable warranty information.<\/li>\n<\/ul>\n<h3><strong>3. Post-Purchase Documentation<\/strong><\/h3>\n<p>\n    Upon concluding the contract, the provider is required to issue an invoice. This document must state the cost of each individual product or service, the total price (including all taxes and fees), and the specific date and place of delivery.\n<\/p>\n<h3><strong>4. Regulation of Licensed Professions<\/strong><\/h3>\n<p>\n    Traders practicing a profession that requires a specific license or permit face additional transparency requirements. They must disclose:\n<\/p>\n<ul>\n<li>The entity with which they are registered and the details of their license or permit.<\/li>\n<li>Their professional title and the state that granted it.<\/li>\n<\/ul>\n<h3><strong>5. Status of Electronic Advertisements<\/strong><\/h3>\n<p>\n    To prevent misleading information, the law deems electronic advertisements to be supplementary contractual documents. This means they are considered part of the contract and are legally binding on all parties involved.\n<\/p>\n<h3><strong>6. Commercial Registration<\/strong><\/h3>\n<p>\n    Traders are also required to register their electronic stores in the commercial register, providing a formal layer of accountability to the electronic marketplace.\n<\/p>\n<h2><strong>Overview of the Saudi E-Commerce Law<\/strong><\/h2>\n<p>\n    The Saudi E-Commerce Law establishes a comprehensive legal structure designed to bolster consumer protection and stimulate the Kingdom\u2019s digital economy. This legislation mandates strict data privacy standards, prohibiting businesses from retaining or sharing personal information without explicit consent or legal necessity. To ensure transactional transparency, the law requires digital storefronts to disclose specific contact details, licensing information, and detailed contract terms including pricing and warranties. Furthermore, the framework grants consumers clear rescission rights, allowing them to cancel orders within seven days or if delivery is delayed beyond fifteen days. By formalizing these obligations, the law creates a secure environment for electronic trade, aligning with the strategic goals of Vision 2030.\n<\/p>\n<hr \/>\n<p>&nbsp;<\/p>\n<p><b>Sources:<\/b><\/p>\n<p><span style=\"font-weight: 400;\">(1) The E-Commerce Report in the Kingdom of Saudi Arabia for 2023, issued by the General Authority for Foreign Trade and presented to the ministerial session of the COMCEC Committee of the Organisation of Islamic Cooperation dated 2\/5\/2023.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(2) Article (3) of the E-Commerce Law issued by Royal Decree No. (M\/126) dated 7\/11\/1440H corresponding to 10\/7\/2019G.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(3) Article (5) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(4) Hamad Muhammad Abdullah Al-Qurayshah, The Procedural and Substantive Rules of E-Commerce in Saudi Laws and Their Implementing Regulations, research published in the Journal of Jurisprudential and Legal Research issued by the Faculty of Sharia and Law in Damanhour, Al-Azhar University, Issue Forty-One, April 2023, p. 1816.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(5) Article (6) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(6) Article (7) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(7) Article (8) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(8) Article (9) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(9) Article (10) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(10) Article (15) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(11) Article (13) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(12) Article (14) of the E-Commerce Law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">(13) Hamad Muhammad Abdullah Al-Qurayshah, The Procedural and Substantive Rules of E-Commerce in Saudi Laws and Their Implementing Regulations, the aforementioned reference, pp. 1818 to 1819.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Saudi E-Commerce Law issued by Royal Decree No. (M\/126) dated 7\/11\/1440H constitutes an integrated legislative framework governing the conduct of electronic commercial activities in the Kingdom. It lays down firm foundations to ensure the reliability and transparency of electronic transactions and defines the rights and obligations of all parties, making it an effective instrument [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":601,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"disabled","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"default","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[31],"tags":[],"class_list":["post-2599","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-contracts-international-trade-and-transportation"],"acf":[],"_links":{"self":[{"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/posts\/2599","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/comments?post=2599"}],"version-history":[{"count":3,"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/posts\/2599\/revisions"}],"predecessor-version":[{"id":5548,"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/posts\/2599\/revisions\/5548"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/media\/601"}],"wp:attachment":[{"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/media?parent=2599"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/categories?post=2599"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/alrashidi.law\/en\/wp-json\/wp\/v2\/tags?post=2599"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}