Affidavit Of Debt Template for Saudi Arabia

An Affidavit of Debt is a sworn legal statement that formally documents outstanding debt obligations in Saudi Arabia. This critical document serves as evidence in legal proceedings, debt collection actions, and enforcement procedures, providing courts and authorities with verified information about the debt's existence, amount, and circumstances.

When do you need this document?

You'll need an Affidavit of Debt when initiating formal debt collection proceedings against a debtor who has failed to meet their payment obligations. This document is essential when filing claims in Saudi commercial courts, seeking enforcement orders, or working with debt collection agencies. It's also required when transferring debt ownership, documenting debt assignments, or providing evidence for bankruptcy proceedings. Banks and financial institutions regularly use this document when pursuing overdue loans, credit facilities, or commercial financing agreements.

Key legal considerations

Your affidavit must strictly comply with Islamic Sharia principles, particularly prohibitions against riba (usury) and requirements for legitimate debt structures. All charges, fees, and penalties must align with Islamic finance principles and cannot constitute interest-based arrangements. The document requires detailed identification of both creditor and debtor, comprehensive debt origin documentation, and clear payment history records. You must include specific information about the original agreement, any modifications, partial payments received, and the current outstanding balance. The affiant must swear to the truthfulness of all statements, understanding that false declarations carry serious legal consequences under Saudi law.

Legal requirements in Saudi Arabia

Under Saudi Enforcement Law (Royal Decree No. M/53) and Commercial Court Law, your Affidavit of Debt must meet specific authentication requirements through authorized Saudi notaries or court officials. The document must be prepared in Arabic or include certified translations, with all foreign documents requiring proper attestation through Saudi consular services. Evidence Law provisions require that the affidavit include sufficient detail to establish the debt's validity, including original contracts, invoices, correspondence, and payment records. The Law of Public Notarization mandates proper witnessing and authentication procedures, while Sharia Law principles require that all debt-related claims comply with Islamic commercial transaction rules. Banking institutions and commercial creditors must ensure their affidavits include appropriate corporate authorization and comply with Saudi Arabian Monetary Authority regulations where applicable.