Contracts & Leasing

Renewal Notice

Synonyms: Renewal Notification، Lease Renewal Letter

Last updated: 2026-05-06

Short Definition

Official notice sent by either party before contract expiry to confirm desire for renewal or change, typically sent 60 days before.

Overview

Renewal notice under Saudi law is a formal notification sent by either lease party to the other before contract period expiry, either with intent to renew under new terms (positive renewal notice), or with intent not to renew (non-renewal notice). Considered among most important notices in rental relationship because ignoring it leads to automatic renewal under same terms. Positive renewal notice content: renewal intent, proposed terms (new rent, duration, any modifications), new terms effective date, and specified response period (usually 14-30 days). Non-renewal notice content: non-renewal intent, contract end date, agreed eviction terms, and deposit recovery mechanism. The Civil Transactions Law requires respecting agreed notice period (usually 60 days for annual). Late notice doesn't prevent automatic renewal. The notice must be: written (not verbal), via documented channel (Ejar, registered mail, documented email), specifying date precisely, and sent before agreed period with sufficient margin. The Ejar platform provides automatic notifications 60 days before contract end, alerting both parties to make decisions.

Legal Basis

Renewal notice is regulated by the Ejar Platform Regulation specifying 60 days as default for annual contracts. The Civil Transactions Law requires good faith in sending notice. Notice via Ejar is legally documented and doesn't need other confirmation methods.

Practical Example

An apartment lease in Dammam at SAR 30,000 annual rent ending Shawwal 1. Lessor decides 5% rent increase (= SAR 31,500). Procedure: 75 days before contract end (= Rajab 16), lessor enters Ejar, creates 'renewal notice with new terms'. Specifies: new year duration, SAR 31,500 rent, Shawwal 1 effective date, 30-day response period. Notice reaches lessee immediately via his app. Options: 1) accept renewal (digital signature, contract renewed). 2) reject renewal (non-renewal notice, vacate Shawwal 1). 3) negotiate other terms (proposes SAR 31,000 e.g., lessor accepts or rejects). 4) no response for 30 days = implicit acceptance (rare, explicit response preferred). All digitally documented.

Common Mistakes

  • Ignoring Ejar alerts before contract end — results in automatic renewal under same terms without benefiting from negotiation opportunity.
  • Sending renewal notice in last week — late, may not be recognized per notice clause.
  • Writing vague terms in notice ('we'll increase rent later') — need precise specification of amount and effectiveness.
  • Failing to follow up on other party's response — they may have refused without you knowing; surprised by vacating/staying.
  • Sending notice to other party only without Ejar documentation — loses legal force if denied.

International Differences

In UAE, renewal notice must be sent 90 days prior, regulated by Dubai Real Estate Authority. In Turkey, notice is 15 days for residential (but practical termination difficulty). In UK, 'Section 21 Notice' is a specific legal tool. The Saudi advantage: automatic notifications in Ejar 60 days prior make it nearly impossible to forget the notice, protecting both parties.

FAQs

When should renewal notice be sent?
Per contract notice clause, usually 60 days before contract end. For safety, send 75-90 days before.
Does renewal notice obligate me to renew?
Positive renewal notice obligates presenting the offer. If other party agrees, both parties are bound. If not, it's an unaccepted invitation, contract ends naturally.
What if I receive renewal notice with terms unsuitable for me?
1) negotiate better terms. 2) reject notice and send non-renewal notice. 3) don't respond, considered implicit refusal (but explicit response better).
Is renewal notice valid despite being late?
If late beyond agreed period (60 days e.g.), automatic renewal is activated. Other party may accept new terms or commit to old ones.
Can I send renewal notice with more flexible terms (shorter duration)?
Yes. Can propose 6-month renewal instead of year, or monthly renewable. Everything negotiable within system framework.

In Other Languages

Arabic
إشعار التجديد

إخطار رسمي يرسله أحد الطرفين قبل انتهاء العقد لتأكيد الرغبة في التجديد أو التغيير، يُرسل عادة قبل 60 يوماً.

English
Renewal Notice

Official notice sent by either party before contract expiry to confirm desire for renewal or change, typically sent 60 days before.

Turkish
Yenileme Bildirimi

Yenileme veya değişiklik isteğini doğrulamak için sözleşme bitmeden önce taraflardan biri tarafından gönderilen resmi bildirim; tipik olarak 60 gün önce gönderilir.

Related Terms

Amlaki

About Amlaki

Amlaki is an integrated Saudi real estate management system, supporting agencies and owners in managing rentals, maintenance, and reports with high efficiency, fully compliant with the Ejar platform and Kingdom regulations.

Learn More