Contracts and obligations · Legal glossary
SuretyshipIn Arabic: الكفالة
Definition
Suretyship, in this sense, is a contract by which a guarantor undertakes to the creditor to perform the debtor’s obligation if the debtor does not.
The same Arabic word is also used for sponsorship of a worker and for the transfer of that sponsorship. This entry is the personal guarantee in civil dealings, not the rules on recruiting a worker.
How it varies across the GCC
Article 578 of the Saudi Civil Transactions Law defines it. Bahrain’s Civil Code does so in article 742. Article 736 of the Omani Civil Transactions Law describes it as joining the guarantor’s liability to the debtor’s.
The rules that apply to a specific matter depend on the state, any free zone involved and the current text of the law, so check the official source before relying on them.
Sources
Official texts for the points on this page. General information, not legal advice. An article number is cited only where it was verified.
- Saudi Civil Transactions Law, art. 578https://laws.boe.gov.sa/BoeLaws/Laws/LawDetails/655fdb42-8c96-422b-b8c4-b04f0095c94c/1
- Bahrain Civil Code, Decree-Law No. 19 of 2001, art. 742https://www.lloc.gov.bh/Legislation/HTM/L1901
- Oman Civil Transactions Law, Royal Decree 29/2013 (text on qanoon.om), art. 736https://qanoon.om/p/2013/rd2013029/