The following terms, wherever they occur in these Regulations, shall have the meanings assigned to each of them, unless the context requires otherwise:

•  Kingdom: The Kingdom of Saudi Arabia. Law: The Competition Law.

•  Regulations: The Implementing Regulations of the Law. GAC: The General 

• Authority for Competition Statute: GAC's Statute.

•  Board: GAC's Board of Directors Chairman:The Chairman of the Board. 

• Governor: GAC's Governor.

•  Committee: The Committee for Adjudication of Competition Law Violations.

•  Commodity: Any product or service or a combination thereof. Firm: Any natural or corporate person engaged in an economic activity.         

•  Economic Activity: An activity involving production, distribution, purchase, or sale of Commodities. It includes any commercial, agricultural, industrial, service, or professional activity.                                                                    

• Entity: A corporate person; whether it consists of one firm or a number of firms that report to one management or have one owner.                                   

•   Market: A place or means wherein a group of current and prospective buyers and sellers meet within a specified period of time.      

•  Relevant Market: A market that comprises the following two elements:

• A. Relevant commodities that are interchangeable – for a particular purpose – with respect to the consumer;

• B. A Geographic area where the conditions of competition are the same.

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• Dominant position: A situation where a firm - or a group of firms - controls a certain percentage of the relevant market in which it operates or on which it has influence, or both.

• Practice: Any behavior by a firm(s), which entails imposing one or more of the penalties and measures prescribed in Articles 19, 20, & 21 of the Law. 

• Exemption: The power of the Board not to apply any of the provisions of Articles 5, 6, & 7 of the Law to a firm, in accordance with the Regulations and the procedures approved by the Board.

• Economic Concentration: Any action that results in a total or partial transfer of ownership of assets, rights, equity, stocks, shares, or liabilities of a firm to another by way of merger, acquisition, takeover, or the joining of two or more managements in a joint management, or any other form that leads to the control of a firm(s) including influencing its decision, the organization of its administrative structure, or its voting system.

• Economic Concentration Parties: Firms engaged - or seeking to engage - in an economic concentration transaction, whether or not they have applied for approval to complete the economic concentration.

• Parties Related to an Economic Concentration: Parties affected by economic concentration, including competitors, customers, suppliers, distributors, and stakeholders.

• Law Enforcement Officers: Employees with law enforcement capacity who may, jointly or severally, take the necessary procedures of inquiry, collection of evidence, recording of violations, and all related procedures to uncover anti-competitive practices, in accordance with the provisions of the Law and the Regulations.

• Leniency: An application whereby - If accepted by the Board - criminal proceedings shall not be initiated before the Committee, in a specified case, against the violating firm in the event that the firm hand over evidence that reveals, or could reveal, its partners in committing the violation, as prescribed by the Regulations and approved by the Board.

• Settlement: An application whereby - if accepted by the Board -criminal proceedings shall not be initiated before the Committee, in a specified case, against the violating firm in return for an amount to be paid by such firm, along with implementing any required measures, conditions, or pledges or paying any compensations to affected persons, as prescribed by the Regulations and approved by the Board.

The Regulations aim to improve the efficiency of the markets and create a competitive business environment within a framework of justice and transparency through:

• 1. protecting and encouraging fair competition.

• 2. combating and preventing monopolistic practices affecting lawful competition and consumers’ interests.

• 3. promoting the availability of commodities with high quality and varied prices.

• 4. stimulating innovation and investment to support economic growth.

The provisions of the Law and the Regulations shall apply to:

• 1. all firms within the Kingdom, which include:

  • a. establishments and companies engaged in economic activities, whatever their legal forms, nationalities, and ownership; whether their license to practice the activity is still valid or otherwise; and whether they practice the licensed activity or a different one

  • b. an individual engaged in economic activity whether or not he is licensed to practice his activity

  • c. all forms of entities and groupings when engaged in economic activities

  • d. electronic platforms and application, whether or not they are licensed to practice its activity.

  • 2. behaviors and practices occurring outside the Kingdom when they have impact on domestic competition. In such cases, GAC may:

  •  a. assess the impact on competition within the Kingdom, whether the impact is existent or potential.

  •  b. take necessary measures and procedures or request the competent authorities to implement the same in order to stop or mitigate the impact of behaviors and practices occurring outside the Kingdom that have an adverse effect on competition within the Kingdom

1. A wholly owned State establishment or company shall be exempted from the Law and the Regulations if it is solely authorized by the Government to provide a commodity in a particular field. Such exception shall be effective only by a royal order or decree, a Council of Ministers' resolution, or a high order exclusively authorizing such establishment or company thereto. The provisions of the Law and the Regulations shall apply in fields other than the one in which it is solely authorized to provide the commodity.

2. The exclusion indicated in paragraph (1) of this Article shall not preclude the enforcement of the provisions of the Law and the Regulations against an unexempted firm in cases where it participates with an exempted firm in violating the provisions of Article 5 of the Law.

3. The provisions for reporting an economic concentration contained in the Law and the Regulations shall not apply to the parties intending to engage therein in cases where the acquiring party – or the like – is excluded under paragraph 1 of this Article.

1. Government agencies’ supervision of any sector shall not prejudice GAC's power to enforce the provisions of the Law and the Regulations against firms operating in such sector.

2. Any conflict or overlap of jurisdiction with other governmental bodies arising from the implementation of the provisions of the Law shall not prejudice existing or future provisions of other laws. In such cases, GAC shall have the primary jurisdiction. Subject to confidentiality, GAC may, if interest so requires, refer documents and investigative minutes of cases under its review to competent agencies to complete the procedures according to their statutory tasks.