Rental Disputes
Synonyms: Lease Disputes، Landlord Tenant Disputes
Last updated: 2026-08-03
Short Definition
Disagreements between lessor and lessee following three tracks in Saudi Arabia: the enforcement court for a documented contract as an enforcement instrument, the general court for substantive disputes, and the Saudi Real Estate Arbitration Center for arbitration and settlement.
Overview
Legal Basis
The lease relationship is governed by the Civil Transactions Law issued by Royal Decree M/191, alongside the Ejar system operated by the Real Estate General Authority. The Minister of Justice and Chairman of the Supreme Judicial Council directed enforcement courts to formally begin receiving execution requests for the unified residential lease as an enforcement instrument following electronic integration with the Ministry of Housing, and the Ministry noted execution within short periods estimated at five days. Claims requiring substantive examination fall to the general court. The Saudi Real Estate Arbitration Center under the Authority provides an alternative track offering arbitration, conciliation and settlement, hearing cases arising from the Ejar and owners associations programs and from brokerage.
Practical Example
An owner in Jeddah leased an apartment for SAR 36,000 a year in four instalments of SAR 9,000 each, under a contract documented in Ejar with a SAR 3,000 deposit. The tenant fell 45 days behind on the fourth instalment. The owner first attempted amicable settlement without success, then filed an execution request through the Najiz portal relying on the contract being an enforcement instrument, with no lawsuit and no hearings. Had the dispute concerned damages to the property with a contested value, a different track would apply, namely the general court, since it requires substantive examination rather than enforcing a clear obligation.
Common Mistakes
- ✗Believing a judicial committee sits within the Ejar platform to adjudicate disputes, when the Saudi framework relies on the enforcement court for documented contracts, the general court for substantive disputes, and the Saudi Real Estate Arbitration Center for arbitration and settlement.
- ✗Approaching the enforcement court with an undocumented paper contract, which is not an enforcement instrument and first requires a substantive lawsuit before the general court.
- ✗Filing a substantive lawsuit over a simple matter that could be enforced directly, losing months that the enforcement track could have reduced to days.
- ✗Skipping an attempt at amicable settlement before escalating, which is the cheapest and fastest option especially in long-standing lease relationships.
- ✗Failing to record payments with receipts, making it hard to prove payment or default when a dispute arises.
International Differences
In the UAE, the Rental Disputes Centre in Dubai, the judicial arm of the Land Department, hears disputes across two instances, with the eviction application fee calculated at 1% of the annual lease value capped at AED 5,000. In Turkey, disputes are resolved through civil courts with enforcement handled by execution offices, and no automatic enforcement instrument status attaches to the contract. In Egypt, disputes go before courts of first instance under multiple laws depending on contract date. The Saudi model differs in turning the documented contract itself into an enforcement instrument, shortening the path from lawsuit to electronic request.
