25 May 2022
24 Shawwaal 1443
عربي
Article 17 - (Amended By Law 21 /1995) Starting Date : 09/07/1995 The value of the rent agreed on in the lease agreement shall be binding upon the parties for the duration of the lease term. Where there is no agreement between the parties on the rent or on the method of evaluating it, or where it is not possible to prove the rent’s value, the rent charged for similar leased properties shall apply. In evaluating the rent of similar properties, all factors shall be taken into consideration, such as the condition of the leased property, its location, the rents prevailing in the leased property’s area, and all public and special specifications that affect the extent of taking advantage thereof.
Article 17 - (Amended By Law 21 /1995) Starting Date : 09/07/1995
Last Article Text Starting Date : 11/02/1975 Expiry Date: 09/07/1995
(As amended pursuant to Law No. 5 of 1976) The rent agreed on shall be binding upon the contractors. The Lessor shall not increase the renton the lessee only once every two years andin the circumstances and following percentages and conditions: Firstly: for the property whichits rent is less than 500 Riyals per month, it may be increased by 50% of the rent. Secondly:for the property which its rent is 500 Riyals per month or more and less than 1,000 Riyals per month, it may be increased by 40% of the rentor 250 Riyals per month, whichever is greater. Thirdly:for the property which its rent is 1,000 Riyals per month and less than 2000 Riyals per month, it may be increased by 30% of the rent or 400 Riyals per month, whichever is greater. Fourthly:for the property which its rent is 2,000 Riyals per month and less than 10,000 Riyals per month, it may be increased by 20% of the rent or 600 Riyals per month, whichever is greater. Fifthly: for the property which its rent is 1,000 Riyals per month or more, it may be increased by 5% or 2,000 Riyals per month, whichever is greater. The aforesaid period of two years shall commence from the date of the lease agreement, or from the date of the lastincrease before this Law come into force, whichever is earlier. In case of the value of such increase is less than thevalue allowed to imposed on the lessee in accordance with the preceding paragraph, the difference shall be collected as of the date of this Law come into force. Any differences from the past period may not be refunded. If the lease agreement or the last increase is dated more than two years before this Law come into force, the extra period shall not be calculated and the provision of this Article shall be apply to the last two years.