Aspects Necessary for Making Valid Checks
A check is deemed a significant negotiable instrument. The Saudi Legislature regulates the conditions and particulars for issuing a legally effective check. Article (91) of the Saudi Negotiable Instruments Law states that a check shall contain the following basic elements: the word check written in the text of the instrument in the same language in which the check is written; an unconditional order to pay a specific sum of money; the name of the drawee; place of payment; date and place of making the check; and the signature of the drawer.
Article (92) of the Saudi Negotiable Instruments Law states that an instrument which does not contain any one of the above particulars shall not be considered to be a valid check except in the following two cases:
First: When the place of payment is not stated, the check shall be deemed due for payment at the place shown next to the drawee’s name; and when multiple places are shown next to the drawee’s name, the check shall be deemed to be payable at the place first stated; when these or any other particulars are not stated in the check, it shall be payable at the place where the drawee’s head office is located; and
Second: When the place of drawing is not stated, the check shall be deemed the place shown next to the drawer’s name.