Electronic Commercial Contracts in Saudi Arabia: Legal and Regulatory Challenges

This study explores the legal and regulatory challenges associated with electronic commercial contracts in Saudi Arabia. As e-commerce grows globally, the Kingdom has witnessed rapid changes in commercial practices, necessitating a robust legal framework to regulate electronic contracts. The paper examines the historical development of e-commerce in Saudi Arabia, the regulatory framework governing electronic contracts, and the challenges that arise from their enforcement. Key issues include the compatibility of electronic transactions with traditional legal principles, the recognition of electronic signatures, and cybersecurity concerns that impact the validity and enforceability of these contracts. Additionally, the paper compares Saudi Arabia’s legal framework with international standards, highlighting gaps that hinder the effective regulation of electronic commerce in the Kingdom. Recommendations for reform include harmonizing local laws with global best practices and enhancing cybersecurity measures to foster trust in electronic transactions. The study emphasizes the need for legal clarity to support the growth of e-commerce while protecting both businesses and consumers in the digital age.