Glossary

Legal & Regulatory

39 terms in this category

Affidavit

Sworn written statement used in legal evidence, presented in real estate cases, accepted as evidence before judiciary.

Appeal

Right to challenge ruling before higher court, must be filed within legally specified period, may overturn, modify, or uphold ruling.

Arbitration

Resolving dispute through private arbitrator issuing binding decision, faster than general courts, usually agreed upon in contract clauses.

Compensation

Monetary amount the breaching party is obligated to pay to compensate damage to other party, determined judicially or by agreement.

Compliance Officer

Employee responsible for ensuring real estate office compliance with regulations, monitoring procedures and reporting to regulators.

Contract Clause

Specific text in contract regulating particular aspect of relationship, binding on both parties unless violating law or public order.

Contract Disclosure

Disclosure by one party to other of material information about property, hiding may void contract, like substantial defects or legal disputes.

Contract Interpretation

Determining intent of contract clauses when ambiguous, interpreted in favor of obligation bearer, considering parties' common intent.

Contract Novation

Replacing one contract party with new one by all parties' consent, voiding old contract and creating new, common in lease transfers.

Contract Validity

Availability of legal conditions for contract validity: consent, capacity, subject, cause, if any missing the contract is void.

Court Judgment

Official decision from judiciary settling disputes between parties, binding for execution, with appeal mechanisms within specified periods.

Damages

Damage to property caused by tenant, materially visible, accounted for from deposit or added to rent.

Dispute Resolution

Mechanisms for resolving disputes between contract parties, including direct negotiation, mediation, arbitration, litigation, chosen by dispute nature.

Entire Agreement Clause

Clause stating written contract is entire agreement, disregarding prior conversations and verbal undertakings, protecting from external claims.

Eviction Procedure

Legal steps landlord follows to evict tenant, including notice and litigation through Ejar, forceful eviction without ruling not allowed.

Evidence

What is presented in dispute to prove facts, including contract, receipts, photos, witnesses, electronic correspondence, basis of ruling.

Execution Court

Specialized court for executing judgments and executive titles, resorted to by landlord to collect arrears or evict property.

Good Faith Clause

Clause obligating parties to deal in good faith during contract execution, fundamental principle assumed even if not expressly stated.

Governing Law

Specifying applicable law to contract upon dispute, usually law of property location country, Saudi Arabia for properties in Kingdom.

Indemnification

Undertaking by one party to bear losses of other in specific cases, common clause in commercial contracts, protecting from potential liability.

Jurisdiction

Court's authority to hear dispute, usually court of property location, specified in contract to avoid jurisdictional disputes.

Landlord Obligations

Landlord's legal duties like delivering habitable property, maintaining structural parts, respecting tenant privacy, not breaching contract.

Legal Notice

Official notice sent through Notary Public to inform other party of claim or warning, preliminary step before litigation.

Legal Opinion

Licensed attorney's evaluation of legal matter, used in major transactions to reduce risks, carrying weight in disputes.

Legal Representation

Hiring licensed attorney to represent party in real estate disputes, optional in Ejar but useful in complex cases.

Liability

Legal obligation for damages or losses, may be contractual from contract or tortious from negligence, requiring compensation.

Mediation

Resolving dispute with help of neutral third party proposing non-binding solutions, faster and cheaper than litigation, optional in Ejar.

Normal Wear and Tear

Normal property wear from regular use, not tenant's responsibility, not deducted from deposit.

Power of Attorney

Official authorization empowering one person to act on behalf of another, used in property management, sales, and rentals, authenticated by Notary.

Public Order

Legal principle making certain matters non-derogable, contract clauses violating public order are nullified.

Real Estate Due Diligence

Comprehensive legal and financial property examination before purchase or rental, revealing potential risks and issues, protecting investor.

Settlement

Amicable agreement between parties to end dispute with mutual concessions, documented in writing, having force of judicial ruling after authentication.

Severability Clause

Clause ensuring that nullifying part of contract doesn't affect remaining clauses, preserving full contract validity when one term invalid.

Statute of Limitations

Legal period during which rights can be claimed, varying by type, typically 5 years for rental claims.

Tenant Rights

Tenant's legal rights including peaceful enjoyment, privacy, no arbitrary eviction, deposit refund, and property maintenance.

Void Contract

Contract producing no legal effect due to violating law or public order, considered as if it never existed, impossible to correct.

Voidable Contract

Originally valid contract that can be invalidated upon request by one party for some defect, like incapacity, duress, or fraud.

Waiver

One party giving up right in contract, must be explicit and clear, may be for compensation or without, documented in writing.

Witness

Person who witnessed the disputed event and provides testimony before judicial body, testimony considered legally valid evidence.