Prepared by: Meshaal Sulaiman Alrubaysh Law Firm & Legal Consultancy
Professional Profile: Meshaal Sulaiman Alrubaysh
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Illustrative photograph by Jakub Żerdzicki Unsplash
After winning, you may expect the opponent to pay everything you paid your lawyer. The fee arrangement with your lawyer differs from compensation potentially recoverable from the other party. Assessment starts with liability, proven harm and work related to the dispute, considering the procedure and type of claim.
Distinguish three financial relationships
The engagement agreement governs lawyer and client fees. A separate compensation request concerns litigation expenses attributable to the opponent. Statutory court costs operate under an independent law. Entitlement, authority and assessment differ. Present them separately: your obligation to pay your lawyer does not automatically make that amount the opponent’s debt when judgment is issued on the principal claim.
Explain the basis for compensation
Examine liability, harm and causation under the governing rules. Delay in paying an established right and the resulting need to litigate may be material. A disputed defence or losing the case does not alone establish all elements of compensation. Explain the work required and its connection to the opponent’s conduct, including the effect of partial success or refusal of some claims.
Provide documents and a reasonable calculation
Keep the engagement, invoices and evidence of payment or obligation as applicable, identifying the work and stages connected with the claim. Article 164 of the Implementing Regulations of the Commercial Courts Law addresses compensation requests, including litigation expenses, and assessment factors. Do not replace analysis with a fixed percentage of the debt. The court’s assessment may differ from the agreed lawyer fee.
Published reasoning illustrates assessment limits
In a published commercial judgment, the court upheld the principal claim but awarded litigation fees below the requested amount after examining compensation elements and the work involved. This illustrates reasoning and proportionality. It is fact-specific, not a uniform fee tariff or guarantee of recovery; current law and the case file still require review.
Manage the request early
Discuss the appropriate procedure and timing for a fee or compensation request. Identify whether it covers proceedings, appeal or enforcement and update evidence as the work changes. Express agreement on expenses can also assist when settling.
- The basis of compensation and conduct causing expenses.
- Fee documents and work connected with the proceedings.
- A clear request submitted through the proper procedure and at the right time.
Fictional example
In a fictional example, a supplier claims a debt supported by a balance confirmation and payment correspondence, and seeks litigation expenses caused by delay. The court may examine the debt and compensation separately and assess compensation from the evidence and circumstances rather than automatically matching the engagement fee.
Before litigating, clarify expected costs and the limits of recovering them from the opponent. Realistic financial planning supports the legal decision; recovery depends on proven compensation requirements and judicial assessment.
Official Sources
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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