The Impact of Dissolution of a Civil Partnership on the Contracting Parties According to the Saudi Civil Transactions Law

Abstract

This research addresses an important topic in civil law concerning the effects of the dissolution of civil partnerships on the contracting parties according to the Saudi Civil Transactions Law. A civil partnership is a contract in which two or more partners contribute a share of money, work, or both in a project to share the resulting profit or loss. This contract is established to achieve various goals that the parties aim to accomplish. However, the partnership may be dissolved, either because the goal for which it was created has been achieved, or due to the death of one of the partners, their legal incapacity, insolvency, initiation of liquidation procedures, withdrawal, or other causes that lead to the dissolution of the civil partnership. This study aims to examine the legal and financial consequences of the dissolution of a civil partnership on the contracting parties under Saudi law. It begins with an introductory chapter discussing the concept of a civil partnership and its distinction from a commercial partnership. The first chapter then addresses the reasons for the dissolution of a civil partnership, differentiating between general causes that lead to the dissolution of all types of partnerships and special causes that are unique to civil partnerships. The second chapter examines the effects of this dissolution on the contracting parties, particularly regarding financial obligations and the distribution of assets and debts between the partners following the dissolution of the civil partnership, as outlined in the Saudi Civil Transactions Law. Finally, some recommendations are provided concerning the protection of the parties' rights to ensure justice and transparency in the liquidation and settlement processes. This study adopts a descriptive and analytical methodology to present the legal rules and provisions related to civil partnerships in Saudi law as stated in the Civil Transactions Law.