In brief
Governs pledges of movable property securing debts: the pledge contract and the secured debt, the pledge's effect, preserving the pledged property, enforcement and sale, and extinction of the pledge.
Summary of the law
Key points
- Movable property includes present and future property and future rights (Article 1); the pledge contract identifies the property, the secured debt and its due date.
- The definition of «secured debt» was widened to all present and future obligations by Royal Decree M/19 of 1441H, and other articles were amended by M/94 of 1441H.
Practical tip
- The Bureau of Experts page shows the original text with each article's amendments beneath it; read those notes and check how this law relates to the newer Movable Property Security Law.
A plain-language summary prepared by Al-Bayan Al-Wadih Law Firm, focused on the violations and problems that come up most in daily life. It is not a substitute for the official text or for legal advice.
What it covers
- Pledge contract and secured debt
- Effect of the pledge
- Enforcement and sale
- Extinction of the pledge
Timeline
- Issued: Council of Ministers Resolution 426 · 8/8/1439H
- Amendments: Royal Decree M/19 · 9/2/1441H. Amendment to some articles (shown on the law's page at the Bureau of Experts)
- Amendments: Royal Decree M/94 · 15/8/1441H. Amendment to some articles (shown on the law's page at the Bureau of Experts)
Full record of amendments and regulations at the official source
Official text at the Bureau of Experts
The authoritative text is in Arabic; the Bureau of Experts publishes English translations for some laws.
Full official text
The full official text is in Arabic and is reproduced on the Arabic version of this page, as published by the Bureau of Experts at the Council of Ministers. Read the full Arabic text
Library content is simplified general information for awareness only. It is not legal advice and does not replace the official text. Laws change: always check the official source and consult a lawyer before acting. Library data last reviewed: .