Saudi Arabia introduces first comprehensive consumer protection law

The spokesperson for the Ministry of Commerce has announced the issuance of Saudi Arabia's first comprehensive consumer protection law, introducing a range of new regulations and provisions to strengthen consumer rights and govern relations between consumers and businesses.

The law was approved by the Council of Ministers during its session on Tuesday, chaired by Crown Prince and Prime Minister Mohammed bin Salman bin Abdulaziz Al Saud.

Key features of the new law include a ban on publishing false reviews and comments, protection for consumers against excessive price increases during crises and pandemics, and the allowance of comparative advertising between businesses, provided it does not mislead or disparage competitors.

The law also enables consumer protection associations to file class action lawsuits to seek compensation for affected consumers, and, for the first time, introduces warranties for services and used products.

Additionally, the law prohibits requiring purchases to participate in commercial competitions, invalidates unfair contract terms with consumers, and allows authorities to block non-compliant websites and withdraw advertisements that violate its provisions.

The Consumer Protection Law will replace the existing laws on commercial fraud, e-commerce, and commercial data, and will come into force 180 days after its publication in the official gazette.