Document background
The Structured Settlement Agreement is a specialized legal instrument used in Saudi Arabia when parties wish to resolve claims or disputes through periodic payments rather than lump sum settlements. This document type is particularly relevant in cases involving long-term compensation, personal injury settlements, or complex commercial disputes where staged payments are preferred or necessary. The agreement must strictly comply with Saudi Arabian law and Sharia principles, requiring careful consideration of Islamic financial rules and local legal requirements. It provides a framework for managing payment obligations, includes necessary safeguards for both parties, and typically requires specific approvals from relevant authorities. The document is commonly used in insurance settlements, corporate dispute resolutions, and cases where long-term financial planning is essential.
