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Illustrative photograph by Cytonn Photography Unsplash
The legal and commercial perspective
Article 95 of the Saudi Civil Transactions Law addresses performance in good faith. Its application depends on the facts and obligation.
Notify relevant obstacles, cooperate on approvals and explain reservations. Internal procedures should not become a device for concealing positions or obstructing agreed performance.
Good faith does not erase rights or replace required approvals. Document notices and alternatives before changing scope or price.
Fictional example for illustration
In a fictional supply deal, approval is delayed. The parties document the schedule impact and an agreed response rather than exchanging accusations.
Practical steps
- Explain the obstacle and impact.
- Cooperate while preserving rights.
- Record new agreements and approvals.
Key takeaway
Professional performance combines protection of rights with fair dealing.
Legal references
General educational content, not a substitute for advice on your facts and documents, and not a guarantee of any outcome.
Translations refer to Saudi law, consult the official legal text when applying it.
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