Bank transfers in the Saudi judiciary

Bank transfers in the Saudi judiciary

Disclaimer: This is a legal article that provides information that does not replace consulting a competent lawyer to help you and for more accurate information.

Bank transfers are one of the most widely used payment methods in financial and commercial transactions, and in many cases have become an important element when proving rights before the Saudi judiciary. 

With the increasing reliance on electronic transfers, the question arises about the validity of bank transfers, and when they can be relied upon as evidence to prove obligations or claim rights according to Saudi regulations.

What are bank transfers in the Saudi judiciary?

A bank transfer is the process of transferring a sum of money from one bank account to another electronically for commercial purposes such as purchasing land, repaying a debt or advance, or for personal purposes such as transfers between family members.

What is the validity of bank transfers?

Transfers are considered in the evidence system as regular documents or digital evidence, as the system does not explicitly stipulate that bank transfers are considered a means of evidence.

The validity of electronic bank transfers is required by Article 29 of the Evidence Law, which stipulates that informal digital evidence shall be evidence against the parties to the transaction in the following cases:

• If it is issued in accordance with the Electronic Transactions Law or the E-Commerce Law.
• If he benefits from a digital means stipulated in the contract in dispute.
• If it is used by a digital medium that is documented or public.

The Saudi judiciary also settled that if the plaintiff has no evidence other than the bank transfer, and the department writes to the Monetary Agency (currently the Central Bank) and a statement is received stating the validity of the transfer from the plaintiff’s account to the defendant’s account, then the department requests the plaintiff’s oath and rules in his favor, in application of the legal rule of proof “saying what money should be given in his right hand”.

Is a bank transfer considered an executive bond?

Is a bank transfer considered an executive bond?

Article 9 of the Enforcement Law specifies the executive bonds that may be forcibly executed. The law does not stipulate that bank transfers or ordinary documents are considered among these bonds.

Is writing down the purpose of the transfer considered evidence of a bank transfer?

Writing down the purpose of the transfer is a brief description explaining the reason for the transaction such as paying off financial debts, purchasing a car, or a gift.

 It cannot be considered evidence of a bank transfer, but rather a means that contributes to clarifying the nature of the transaction between the two parties when invoked before the court.

Can I get my money back from a bank transfer by mistake?

Anyone who accidentally transfers money to another person must contact the recipient of the transfer to recover it and immediately inform the bank to take the necessary measures.

If the recipient refuses to refund the amount or the bank does not take any action, the bank transfer holder has the right to file a lawsuit against the transfer recipient before the General Court to recover his right.

Lawyer licensed by the office of Lawyer Abdul Majeed Al Rashid 

Bank transfers constitute an important element in proving financial rights and obligations, but their legal value before the Saudi judiciary is not measured by their existence alone, but rather by the facts and evidence surrounding them in accordance with the provisions of the relevant judicial systems and principles.

Therefore, knowing how the judiciary deals with bank transfers contributes to protecting rights and taking legal action on the right basis. 

“Do you have a dispute related to a bank transfer or do you need to prove a financial right? Contact a specialized lawyer through the office of Lawyer Abdul Majeed Al Rashid to obtain legal advice that will help you understand your legal position and take appropriate action with confidence”