Saudi’s Ministry of Commerce Fines Car Agencies for Law Violations

  • Date: 05-Aug-2023
  • Source: Gulf Insider
  • Sector:Retail
  • Country:Saudi Arabia
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Saudi’s Ministry of Commerce Fines Car Agencies for Law Violations

Saudi Arabia has launched a drive against erring automobile agencies in the country, with its Ministry of Commerce imposing fines on 13 car agencies in various regions of the country for various violations.

The violations related to the commercial agency’s system and its implementing regulations, provisions for providing maintenance and spare parts, quality of manufacture, and failure to provide a commitment to after-sales services to consumers. British, Italian, American, Korean, and Chinese car agencies are among the agencies which have been fined.

The ministry said the agencies are fined for not providing an alternative car or financial compensation to consumers for the period of not using the vehicle throughout the maintenance period, and also for not providing spare parts with special technical specifications on the specified date agreed upon between the agency and the consumer.

The violations also included delay in delivering the new car to the consumer and failure to specify the agency’s obligations towards the consumer, besides non-compliance with the provisions for providing maintenance and warranty conditions.

The Saudi Commercial Agencies Law and its regulations stipulate the need for agents to be committed to providing consumer spare parts on a permanent basis, and to provide rare parts within a period not exceeding