The new Law of Commercial Register contributes to facilitating business by regulating the procedures for registration in the Commercial Registry, ensuring the accuracy of the recorded data, updating it periodically, and making it available and easily searched and accessed.
The following are the most important differences between the previous and new laws:
1. The new Law of Commercial Register cancelled the subsidiary registers, and one commercial register will be sufficient for conducting all activities, unlike the previous law, which required the existence of subsidiary registers for the main register.
2. The law canceled the requirement of specifying the city of the register as defined in the previous law, and one commercial registration is sufficient at the level of the Kingdom. The previous law required the issuance of the commercial register based on the administrative region.
3. The expiration date of the commercial register is cancelled, and the annual confirmation of the data is sufficient, while the expiration date of the register was required in the previous law.
4. The law provides alternative procedures to penalties, such as warnings and correction of violations, along with or instead of the prescribed penalty, while financial fines were prescribed in the previous law.
5. The commercial register shall be cancelled after 1 (one) year of its suspension period. In contrast, it was written off in the previous law 30 (thirty) days after notifying the merchant who had stopped conducting the activity.