Regulations of Tour Operators

Chapter One

Definitions

Article 1

The following terms and expressions, used herein, shall have the meanings assigned thereto, unless the context requires otherwise:

Law: The Tourism Law.

Regulations: The Regulations of Tour Operators issued in implementation of the provisions of the Law and all decisions issued in connection therewith.

SCTH: The Saudi Commission for Tourism and National Heritage.

Board of Directors: Board of Directors of SCTH (Ministry of Tourism).

Chairman: The Chairman of the Board of Directors.

President: The President of SCTH (Ministry of Tourism).

Competent Department: The General Licensing Department; any other relative department in SCTH (Ministry of Tourism) or any of its branches across the Kingdom; and SCTH (Ministry of Tourism) representative in the municipality, sub-municipality, or SAGIA (if authorized), in accordance with the Procedure Manuals.

Licensing: The process that includes the phases during which the applicant satisfies the requirements set forth in the Regulations for obtaining the License.

License: A document issued by SCTH (Ministry of Tourism) to the Tour Operator, for a specified term, to practice tour operation services in accordance with the provisions of the Law and the Regulations.

Licensee: Any natural person holding a valid License and Classification Certificate issued by SCTH (Ministry of Tourism) to practice tour operation services in accordance with the Regulations.

Classification: A process that includes identifying, describing, and assessing the level of services provided by the Tour Operator, and which is divided into specific categories in accordance with the Regulations.

Classification Certificate: A document issued by SCTH (Ministry of Tourism) to the Tour Operator, for a specified term, indicating the Classification.

Classification Criteria: The conditions and requirements a Tour Operator must satisfy to obtain the Classification in accordance with the Regulations.

Tour Operator: Any Licensee who organizes, markets, or sells tourist trips and programs within the Kingdom or abroad to the public for a fee, provided that he provides two or more of the services specified in the Law and the Regulations.

Tour Guide: Any natural person licensed to practice Tour Guide services and accompany tourists to tourist attractions in the Kingdom, and provide tourists with information relating to such attractions, for a fee.

Head Office: The headquarters of the office and its Official Address for exchanging with relevant agencies communications, correspondence, and notifications related to tour operation.

Branch: Any place that is administratively and organizationally affiliated with the Head Office, including those located in the buildings of other entities, for the purpose of operating tours in accordance with the Law and the Regulations.

Marketing Outlet: Any place that is administratively and organizationally affiliated with the Head Office, including those located in the buildings of other entities, for the purpose of promoting the services of Tour Operators in accordance with the Law and the Regulations.

Tour Operator Officials: Any person legally contracted by the Licensee to work at the Head Office, Branch, or Marketing Outlet in an occupation related to the practice of Tour Operation.

Practitioners of Tour Operations: Licensed and unlicensed persons.

Price List: A list of the fees for the services rendered by the Head Office, Branch, or Marketing Outlet.

Fees: Approved charges collected by SCTH (Ministry of Tourism) for the services it provides in accordance with the Law and the Regulations.

Procedure Manuals: Documents, instructions, and criteria related to the requirements for practicing tour operation services in accordance with the provisions of the Law, the Regulations, and instructions and circulars issued by SCTH (Ministry of Tourism).

Violation: Any act that violates the provisions of the Law or the Regulations and is detected by the competent officer.

Violations List: A statement identifying the acts that, if not observed, constitute a Violation according to the Law and the Regulations.

Technical Means: The electronic devices specified by the Procedure Manuals that are considered a form of the Detection Record.

Competent Committee: The committee entrusted with investigating the violations of the Law and the Regulations and imposing the penalties set forth in the Law.

Official Addresses: The contact information, including national address, provided by the License and Classification applicants and the Licensees in accordance with the Procedure Manuals, which is necessary for receiving the correspondence and decisions issued by SCTH (Ministry of Tourism) and the Competent Committee.

Professional Criteria: A document prepared by SCTH (Ministry of Tourism) stating the skills, knowledge, and behaviors Tour Operator Officials should possess in order to perform their tasks and responsibilities in a professional and measurable manner.

Control: Works and procedures that are specified in the Procedure Manuals and implemented by SCTH (Ministry of Tourism) to ensure the compliance of Practitioners of Tour Operations with the Law and the Regulations.

Inspector: Any person authorized pursuant to a decision issued by the President, or his designee, to perform examination, Control, and Inspection with regard to the work of Practitioners of Tour Operations.

Inspection: Examinations and visits carried out by the inspector to places where the tour operator works to ensure compliance with the provisions of the Law and the Regulations.

Detection Record: The tool used by SCTH (Ministry of Tourism) during Control and Inspection for the detection of Violations, according to the mechanism determined by the Competent Department.

Guarantee Letter: A final and unconditional undertaking issued by a bank licensed by the Saudi Arabian Monetary Authority upon the request of the Licensee or the License or Classification applicant. The guarantee amount shall be payable to SCTH (Ministry of Tourism) upon request.

Consumer: Any natural or legal person who receives paid or unpaid commodities or services that fulfill his needs or the needs of others.

Article 2

1. The Regulations shall apply to the Practitioner who provides through the Head Office, Branch, or Marketing Outlet one or more of the following services provided by Tour Operators, or any services related thereto, in accordance with the Classification Class and the Regulations:

a. Arranging transportation and car rental services for tourism purposes.

b. Arranging tourist accommodation and lodging.

c. Arranging tourist catering. d. Arranging recreational services. e. Arranging tour guide services. f. Arranging travel insurance with licensed insurance companies

upon obtaining the approval of relevant authorities. 2. The President shall, based on a proposal submitted thereto by the

Competent Department, issue a decision for including additional works or services under tour operation services in accordance with the Law and the Regulations.

Chapter Two

Licensing

Article 3

Tour operation services, and any other services stipulated in Article 2 of the Regulations, may not be practiced or offered without obtaining both the License and the Classification Certificate in accordance with the provisions of the Law and the Regulations. This shall apply to services offered electronically or via the Internet.

Article 4

License and Classification Certificate applications for practicing tour operation services, whether for the Head Office, Branch, or Marketing Outlet, shall be submitted to the Competent Department in accordance with the following requirements and conditions:

First: Requirements for License application:

1. A License applicant shall fill out the License and Classification Certificate application form designated for practicing tour operation services, which is available on SCTH (Ministry of Tourism) website. It shall be filled out in accordance with the mechanism and the form specified in the Procedure Manuals.

2. The License applicant shall satisfy the following conditions and shall provide proof thereof as specified in the Procedure Manuals:

a. The License applicant shall be a Saudi national, whether a natural or legal person, male or female, or a foreign investor who obtained a License in accordance with applicable laws and regulations.

b. The natural person shall be legally competent; otherwise, the person acting on his behalf shall obtain permission from the relevant agency.

c. The License applicant shall not have been convicted of any crime impinging on honor or integrity, unless rehabilitated.

d. A License-revocation decision or ruling shall not have been issued against the applicant for violating the Law or the Regulations, unless, at the time of application, (5) five years have elapsed since the issuance of the decision of ruling.

3. The License applicant shall submit the following documents to the Competent Department:

a. A proof of payment of SCTH (Ministry of Tourism) Fees for processing the application.

b. A letter from the Commercial Registry confirming the reservation of a trade name suitable to the nature of the business of the sole proprietorship or company to which the License will be issued, upon satisfaction of the conditions and requirements specified in the Regulations.

4. If the License applicant fulfills the requirements stipulated in paragraph (First /1, 2, 3) of this Article and the Licensee pays all fines issued against him, if any, the Competent Department shall review the application and supporting documents and shall decide thereon within (10) ten working days from the date of submission.

5. If all requirements and conditions are satisfied, the Competent Department shall deliver to the License applicant, on his Official Addresses, the initial approval in accordance with the form specified in the Procedure Manuals. The applicant shall be granted (30) thirty days to complete all other Licensing requirements and obtain the necessary approvals from the relevant agencies, such as municipalities, Commercial Registry, and Civil Defense, in accordance with the form specified in the Procedure Manuals.

6. The Competent Department may, upon the applicant's request and after verifying the justifications provided therefor, renew the initial approval for one or more times in accordance with the requirements set forth in the Procedure Manuals.

7. The License applicant must not practice tour operation services at the initial approval stage and prior to the issuance of the License and Classification Certificate in accordance with the provisions of the Law and Regulations.

8. If the Competent Department rejects the application, the rejection shall be reasoned, and the License applicant shall be notified of the decision on his Official Addresses in accordance with the requirements of the Procedure Manuals. The applicant may appeal such decision before the President within (60) sixty days from the date of knowledge thereof, taking into consideration the following:

a. The President shall review the grievance, and the License applicant shall be notified of the decision on his Official Addresses, in accordance with the Procedure Manuals.

b. In case of rejection or no-response, the applicant may appeal before the Board of Grievances in accordance with its Law.

9. SCTH (Ministry of Tourism) may demand the necessary financial guarantees at any time.

Second: Requirements for License issuance:

1. The License applicant shall submit the following documents to the Competent Department:

a) A copy of the License issued by the municipality to be included in the application file, along with the original for verification.

b) The title deed for the building (site) of the Head Office, Branch, or Marketing Outlet, or a lease contract stating the lessor’s consent for using it to carry out tour operation services, in accordance with the Procedure Manuals.

c) A sketch of the site (building/land) where the activity is to be practiced showing the place and area.

d) A proof of payment of the License and Classification Certificate Fees in accordance with the Law and the Regulations.

e) A statement from the Civil Defense affirming the building's compliance with safety requirements.

f) The Commercial Register of the sole proprietorship or company, stating the trade name according to which the License and Classification Certificate will be issued, as well as the articles of association (for companies).

g) Trade mark (logo), if any, in accordance with the specifications stipulated in the Procedure Manuals.

h) The particulars of the persons who will be working at the Head Office, Branch or Marketing Outlet upon obtaining the License in accordance with the Regulations, as well as their nationalities and positions, supported by certificates, experiences, and qualifications. He should not have been convicted of any crime impinging on honor or integrity, unless rehabilitated (3) three months before the date of issuance of the License.

i) Photos of the building (site), from the inside and outside. The outside sign at the front side of the Head Office or Branch project must indicate the trade name of the sole proprietorship or company, in both Arabic and English, as stated in the Commercial Register and License application. The working hours and holidays shall be displayed next to the entrance of the office.

j) Readiness of the building (site) with regards to furnishing and availability of modern technology communication equipment, such as phone, fax, email, computer, and printer, which are required for practicing tour operations.

2. If the License applicant submits the documents indicated in paragraph (Second/1) of this Article within the specified period, the Competent Department shall direct the Inspectors to Inspect the building where the tour operation activity will be carried out, to verify the authenticity of the documents and information provided by the License applicant relating to the License and Classification Certificate. A report to this effect shall be drafted in accordance with the form specified in the Procedure Manuals. The Competent Department may, in accordance with the provisions of the Regulations, seek the assistance of a technical or specialized entity to carry out the inspection and control works.

3. If all the requirements and conditions set forth in this Article are satisfied, the Competent Department shall notify the License applicant on his Official Addresses to provide, in accordance with the form identified in the Procedure Manuals and within a period of one month from the application date, the following documents and undertakings:

A signed letter of undertaking stating the authenticity of the documents and data he submitted for obtaining the License.

Compliance with the provisions of the Law and the Regulations during the practice of tour operation services.

Not to change the Official Addresses and notify the Competent Department if such change is made.

Not to enable others, in any way, to provide tour operation services using the License and Classification Certificate issued to him.

The name of the tour operation office shall not be in conflict with the general rules and customs of the Kingdom and shall be approved by the Ministry of Commerce and Industry or any of its branches.

4. The License applicant shall, if not previously attended, join a qualifying program offered by SCTH (Ministry of Tourism) in accordance with the Procedure Manuals.

Article 5

1. The Competent Department shall review and decide on the License application within (7) seven working days from the date of satisfaction of all requirements and conditions in accordance with the provisions of the Law and the Regulations.

2. The License applicant shall be notified on his Official Addresses of the decision relating to his application. In case of rejection, it shall be reasoned.

3. A License applicant whose application is rejected may appeal before the President in accordance with paragraph (First/8) of Article 4 of the Regulations. SCTH (Ministry of Tourism) shall return the License and

Classification Certificate fees to the applicant whose application is rejected.

Article 6

Upon satisfaction of the requirements set forth in Article 4 and subject to the provisions of Articles 14, 15, and 16 of the Regulations, the Competent Department shall issue the License and Classification Certificate in accordance with the following conditions:

1. The License and Classification Certificate shall be valid for (three years) for the Head Office or the Branch, and (one year) for the Marketing Outlet, and shall be renewable.

2. Stating the Licensee's data (company or sole proprietorship), trade name, date of issuance and expiration, logo, and displaying instructions.

Article 7

When issuing the License and Classification Certificate and during the practice of tour operation services, the Competent Department shall enter the following data in a register, the specifications of which shall be determined by the Procedure Manuals:

1. License and Classification Certificate data, in accordance with the provisions of the Regulations.

2. Location and Official Addresses of the Head Office, Branches, and Marketing Outlet.

3. Name and particulars of the person in charge and other employees at the Head Office, Branches, and Marketing Outlet.

4. Violations and penalties imposed on the Licensee.

Article 8

The Competent Department may, according to the License and Classification Certificate, permit the opening of other Branches and Marketing Outlets for the Licensee all over the provinces and cities of the Kingdom upon filing an application and satisfying the conditions and requirements stated in the Regulations.

Article 9

The Branch or Marketing Outlet may be located inside public or private sector buildings, such as shopping malls, hospitals, companies and their branches, government agencies, airports, hotels, and residential compounds, provided that the Licensee satisfies the following conditions:

1. Submitting a request to the Competent Department and enclosing therewith a copy of the contract concluded with the administrative

entity (beneficiary), stating its duration as well as the location of the Branch or Marketing Outlet.

2. Specifying the name of the Branch or Marketing Outlet responsible for providing tour operation services inside the administrative entity (beneficiary), provided it is within the same area of the administrative entity.

3. Satisfying the conditions and requirements for issuing the License and Classification Certificate in accordance with the Regulations, except the following:

a. Presenting an independent Commercial Register. b. The requirements for obtaining a municipal permit. c. Space.

Article 10

1. The Licensee shall apply to the Competent Department for renewal of the License and Classification Certificate (30) thirty days prior to the expiration date and shall satisfy the requirements stipulated in the Procedure Manuals and Article 4 of the Regulations.

2. If the application for renewal of the License and Classification Certificate is submitted after the expiration of the period specified in paragraph (1) of this Article, the Competent Department shall undertake the following:

a. Ensuring that the Licensee is not practicing tour operation services after the expiry of the License and Classification Certificate. A detection report shall be drafted in accordance with the provisions of the Regulations.

b. Referring the Detection Record, copies of the expired License and Classification Certificate, and the renewal application to the Competent Committee, in accordance with the form specified in the Procedure Manuals.

c. Subject to paragraphs (1) and (2) of this Article and upon the applicant's payment of the fines issued against him and satisfaction of the renewal requirements, the Competent Department shall renew the License and Classification Certificate in accordance with the provisions of the Regulations.

Article 11

The Licensee may not conduct any of the following works without obtaining a written consent from the Competent Department within (30) thirty days from the commencement date:

1. Assigning the License to another person or permitting him to use or exploit it. The assignee shall meet the License requirements and

conditions, in accordance with the provisions of the Law, the Regulations, and the Procedure Manuals.

2. Changing the name or location of the building approved for practicing tour operation services, whether the Head Office, Branches or Marketing Outlet.

3. Closing the Head Office or Branches temporarily or permanently. Announcement of the closure shall be made in a local newspaper at the expense of the Licensee.

Article 12

1. In case of the Licensee's death or loss of legal competence, the Competent Department shall grant his heirs, or the legal guardian, a period not exceeding (6) six months from the date of death or loss of legal competence to complete the procedures of amending the owner of the tour operation business to be under the ownership of one of his heirs, or others, and to complete the requirements for issuing the License, in accordance with the provisions of the Regulations. SCTH (Ministry of Tourism) may, based on the justifications submitted thereto, extend the period for a maximum of (6) six months.

2. In case of expiry of the legal personality of the Licensee, the Competent Department shall grant a period not exceeding (6) six months from the expiry date to amend the legal capacity of the Licensee and to satisfy other requirements and conditions for issuing the License in accordance with the provisions of the Regulations. SCTH (Ministry of Tourism) may, based on the justifications submitted thereto, extend the period for a maximum of (6) six months.

3. In case of expiry of the period specified in paragraphs (1) and (2) of this Article without making the necessary amendments, in accordance with the provisions of the Law and the Regulations, the Competent Department shall refer the matter in accordance with the form specified in the Procedure Manuals to the Competent Committee if it is established that a Violation has been committed.

Article 13

If the License or the Classification Certificate is damaged or lost, the Licensee may, within (7) seven working days from the date of loss or damage, submit an application to the Competent Department for the issuance of a replacement.The Competent Department shall, within (5) five working days from the application date and upon satisfaction of the requirements and payment of the required fees, issue the replacement License or Classification Certificate.

Chapter Three

Classification

Article 14

1. SCTH (Ministry of Tourism) shall determine Classification types, criteria, requirements and categories in the Procedure Manuals.

2. SCTH (Ministry of Tourism) shall review the Classification and its categories for the purpose of development upon changes in the market and the practice of tour operation services, and whenever deemed necessary. The Classification shall be issued pursuant to a decision issued by the President indicating the effective date and shall be published in the Official Gazette and on the official website of SCTH (Ministry of Tourism).

Article 15

SCTH (Ministry of Tourism) shall classify tour operation services upon fulfilling Licensing requirements in accordance with the provisions of the Law and its regulations, according to the nature of the activity practiced and the categories specified in the Procedure Manuals.

Article 16

1. The License applicant shall, when applying for the Classification to practice tour operation services, carry out the following:

a. Review the Classification requirements and categories specified in the Regulations and SCTH’s (Ministry of Tourism’s) official website.

b. Subject to paragraph (a) of this Article, the License applicant shall fulfill the Classification data and categories specified in the Classification application form indicated in paragraph (First/1) of Article 4 of the Regulations.

2. Upon satisfying the License and Classification requirements specified in Articles 4 and 5 of the Regulations, the Competent Department shall issue the Classification Certificate in accordance with Article 6 of the Regulations.

Article 17

1. The Licensee shall apply for renewal of the Classification Certificate (30) thirty days prior to its expiration and shall satisfy the requirements and conditions specified in the Regulations.

2. The Competent Department shall observe the provisions of Article 10 of the Regulations when reviewing Classification renewal applications.

3. The Competent Department may change the Classification issued for the Head Office, Branch, or Marketing Outlet upon the Licensee's request and upon satisfaction of the requirements and conditions set forth in the Regulations.

Chapter Four

Objections and Grievances

Article 18

1. An applicant may file with the President an objection against the Classification granted to him. The applicant shall be notified of the decision taken regarding such objection within (30) thirty days from the date of filing. If the objection is accepted, the Competent Department shall, within (15) fifteen days from the notification date, assign another Inspector to redo the Classification process in accordance with the Classification Criteria.

2. The President, or his designee, shall notify the Classification applicant of the decision taken regarding the grievance.

3. If the grievance is rejected and the rejection decision is reasoned, the Classification applicant may appeal such decision before the Board of Grievances.

4. Any communication with the Classification applicant regarding the objections and grievances filed thereby shall be made to the Official Addresses provided by him.

Chapter Five

Price Lists

Article 19

1. The Licensee shall display and publish the types, categories, and prices of the services he provides in the reception area of the tour operation office and on its official website or any other medium approved by the Competent Department. The publication shall be made in Arabic and English and shall be clearly visible.

2. SCTH (Ministry of Tourism) shall determine the mechanism for monitoring prices in accordance with the Procedure Manuals.

Article 20

1. The Licensee shall provide the Competent Department with the Price List of the tour operation services he provides.

2. The Licensee shall adhere to the Price List for a period of (one year). If he wishes to make changes to the List, he shall notify SCTH (Ministry of Tourism) at least three months in advance.

3. The Licensee must not charge additional fees for the services he provides, such as menus (food and beverage) and unit services.

4. SCTH (Ministry of Tourism) shall post on its website the prices of tour operation services.

5. Any communication with the Classification holder regarding the objections and grievances filed thereby shall be made to the Official Addresses provided by him.

Chapter Six

Licensee Obligations

Article 21

The Licensee shall satisfy the following requirements, as stipulated in the Procedure Manuals, when practicing tour operation services:

1. Complying with the Licensing conditions, Classification Criteria, and the provisions of the Law and the Regulations.

2. Changing the name if found to be misleading or to be mistaken for another Practitioner of Tour Operation Services.

3. Registering the clients’ data and the services to be provided and marketed, in accordance with the instructions of SCTH (Ministry of Tourism) and relevant agencies.

4. Providing the requirements specified by SCTH (Ministry of Tourism) for disabled persons.

5. Treating clients with respect and fulfilling all contractual obligations, as specified in the Procedure Manuals.

6. Contracting only with entities licensed by SCTH (Ministry of Tourism) for marketing tourist programs.

7. Using road stations licensed by the relevant agencies. 8. Providing the Competent Department with all the data it requests,

which are related to tour operation services, such as statistical data, executed programs, price rate, in accordance with the mechanism specified in the Procedure Manuals.

9. Complying with the State’s laws and the instructions of relevant agencies regarding safety and security measures as well as responding to emergency and evacuation cases.

10. Keeping records of the clients, including their names as well as the information and data specified in the Procedure Manuals.

11. Using the Arabic language and the Hijri calendar in all transactions, correspondence, and personnel IDs. The Arabic language shall be used in answering phone calls. If the customer does not speak Arabic, English or any other language may be used.

12. Presenting the basic information needed by the clients in both Arabic and English, in accordance with the Procedure Manuals.

13. Providing SCTH (Ministry of Tourism) with information about the number of tourist trips and programs, price rate, services provided and any other information, in accordance with the Procedure Manuals.

14. Stating the License number in any advertisement or marketing material.

15. Refraining from displaying SCTH (Ministry of Tourism) logo and name in any advertisement or marketing material without obtaining its consent.

16. Marketing employees shall not practice marketing outside the premises of the licensed Head Office, Branch, or Marketing Outlet.

17. Refraining from receiving money from the client during marketing as a way of compelling him to attend the marketing offer.

18. Refraining from promising the client of any benefits or privileges in order to convince him to sign the contract.

19. Complying with the Council of Ministers Resolution No. (103) dated 19/03/1435H that requires organizations with high-risk activities and overcrowded sites to apply for cooperative insurance.

20. Tour operators shall provide tourists with an insurance policy that is valid for the duration of the License and for one month after its expiry date, against all risks and damage that may result from the trip.

21. Complying with the laws and instructions applied by the relevant agencies regarding land, air, and sea transportation during the execution of tourist programs and trips.

22. Providing the client, upon his written consent, with alternative services equivalent to any change in the elements of the tourist trip; returning to the client the amount equivalent to any change or reduction in the elements of the tourist trip; and returning the paid amount to the client if he does not approve the changes to the elements of the tourist trip.

23. Executing all elements of the tourist trip as advertised or as stated in the booking form.

24. Obtaining the tourist information necessary to facilitate communication with tourists from accredited tourism information centers.

25. Refraining from contracting any Tour Guide not licensed to practice tour guide services in the class identified by his License.

26. The Tour Operator shall provide the Competent Department with the information of expatriates or foreign residents joining his tourist programs, in accordance with the Procedure Manuals.

27. Implementing SCTH (Ministry of Tourism) criteria for different tourism patterns when developing related tourist programs, services, and products.

28. Implementing SCTH (Ministry of Tourism) criteria when introducing a product that aims at promoting tourism.

29. Refraining from organizing visits to military or customs sites or border areas, without obtaining the relevant agencies' prior consent, including instructions relating to taking photographs.

30. Complying with the mechanism for Tourism After Umrah, as specified in the Procedure Manuals.

31. Refraining from refusing to provide the licensed services, unless the refusal is legally acceptable.

Article 22

When concluding contracts with clients and providers of tourist services, the Licensee shall satisfy the following requirements:

1. Providing the Competent Department, upon request, with copies of the contracts concluded with the providers of tourist services in accordance with the Procedure Manuals, such as authorizations for signing contracts and collecting fees.

2. Notifying the contracted party of the rules governing after-sale services and of related fees.

3. Submitting sealed receipts of services provided to the contracted party, stating time, duration and place. The duration of the contract or reservation period shall not exceed (one) year for a single or multiple periods.

4. The contract and its annexes shall be in Arabic, and may be translated into other languages, with the Arabic version being the legally binding version.

5. The contract shall include all the information relating to the services agreed upon, rights, and obligations of both parties, and fees and due dates, in accordance with the Procedure Manuals.

6. When contracting with a Tour Guide, the contract shall clearly indicate the Tour Guide's rights and obligations, in a manner not conflicting with applicable laws and regulations.

Article 23

A proper size of the following documents shall be displayed in a clearly visible place in the Head Office, Branches, and Marketing Outlet for guests and representatives of relevant agencies, in accordance with the Procedure Manuals:

1. The valid original copies of the License and Classification Certificate. 2. Service Price List.

Chapter Seven

Tour Operator Officials

Article 24

1. Subject to Article 25, the manager of the Head Office or Branch shall be a full-time Saudi national with the necessary powers for management and operation. The manager may, at the same time, combine with his post the post of a manager of the Branch in the city where the Head

Office is located. The manager shall satisfy the following requirements and conditions:

a. Holding a degree not less than the secondary school certificate with a minimum experience of (3) three years as an executive manager in the travel and tourism field; or an academic qualification not less than a diploma in tourism with a minimum experience of one year as an executive manager in the same field; or a technical or vocational certificate in the field of tourism, such as IATA, AOFTA, tourism institute, or equivalent, with a minimum experience of two years in the same field.

b. He shall not have been convicted of any crime impinging on honor or integrity, unless rehabilitated.

c. Working fulltime. d. He shall have good command of the Arabic and English

languages. 2. An application may be submitted to the Competent Department for

waiving one or more of the conditions specified in paragraph (1) of this Article. A decision thereon shall be issued by the President.

3. The Licensee may carry out himself the tasks of management and operation if he satisfies the conditions stipulated in paragraph (1) of this Article. In such case, the provisions of paragraph (2) above shall apply.

Article 25

If the manager of the Head Office or Branch is non-Saudi, the Licensee shall appoint a qualified Saudi as an assistant manager who shall satisfy the conditions specified in Article 24 herein, except for the experience condition, and shall appoint a Saudi manager within a period not exceeding two years from the date of issuance of the License and the Classification Certificate, in a manner not conflicting with applicable laws and regulations.

Article 26

Managers of the divisions, units, and departments of the Head Office shall be Saudis. Such positions may be occupied by non-Saudis for a period not exceeding (one year) from the date of issuance of the License and Classification Certificate, in a manner not conflicting with applicable laws and regulations.

Article 27

The Licensee shall register the data of the Tour Operator Officials in the SCTH (Ministry of Tourism) records designated for Practitioners of Tour Operations. In case of a new appointment or change to the status of an employee, the data shall be updated within a period not exceeding one month from the date of appointment or change.

Article 28

Subject to Articles 24, 25, and 26 hereof, employees of a tour operation office shall satisfy the following requirements:

1. Education level shall not be less than (secondary school certificate or diploma).

2. Minimum level of experience in his field of specialty from an accredited entity according to the requirements of Tour Operators and related services, in accordance with the Procedure Manuals.

3. Treating clients with courtesy and respectfulness. 4. Wearing attire suitable to practicing tour operations. 5. Any other requirements specified by applicable laws and regulations or

the Procedure Manuals.

Article 29

The Licensee shall develop training programs for Tour Operator Officials in accordance with the Procedure Manuals.

Chapter Eight

Control, Inspection, and Complaints

Article 30

1. The Competent Department may, in the following cases and upon the President’s approval, seek the assistance of any technical or specialized entity to carry out Control processes:

a. Provision of services by Tour Operators according to the License and Classification.

b. Announcement and application of Price Lists. c. Complaints and related procedures.

2. The Competent Department may determine any other Control works, in accordance with the Procedure Manuals and in a manner not conflicting with applicable laws and regulations.

3. SCTH (Ministry of Tourism) may, upon the President’s approval, offer a reward, to be deducted from the imposed fine, to any person, other than the Inspectors, who assists in discovering Violations of the Law and the Regulations, which lead to the arrest and conviction of the Violators.

Article 31

1. The Competent Department may coordinate, in accordance with the mechanism identified in the Procedure Manuals, with tourism associations, universities, institutes, centers, and other private training and educational sectors regarding the implementation of the following works:

a. Monitoring the implementation of vocational standards when organizing programs, training courses, conferences, workshops,

and other training or qualifying activities related to tour operation services.

b. Providing SCTH (Ministry of Tourism) with periodic reports on all matters related to the works referred to in paragraph (a) of this Article for review and evaluation.

2. The Competent Department shall present the outcomes of the works referred to in paragraph (1) of this Article to the President to take necessary action, in a manner not conflicting with applicable laws and regulations.

Article 32

1. Inspectors shall be selected in accordance with the criteria and requirements specified in the Procedure Manuals. They shall be appointed pursuant to a decision issued by the President and shall receive the specified allowances in accordance with the rules implemented at SCTH (Ministry of Tourism).

2. Inspectors shall carry out Control and Inspection to ensure implementation of the Law and the Regulations and to detect relevant Violations.

3. The Inspector shall hold an official identification card showing the main information, in accordance with the Procedure Manuals.

Article 33

1. The Competent Department shall prepare the Detection Record forms. The Procedure Manuals shall indicate how to use and maintain such forms.

2. In the absence of a Detection Record during Inspection and Control, the Inspector may use any other means not in conflict with applicable laws and regulations, to record the Violation, if the delay in making such recording may result in the disappearance, concealment, or complete or partial change of the evidence. The Inspector shall state the justifications for such procedure.

Article 34

1. The Inspector shall carry out Inspection and Control processes during the hours determined by the Competent Department in the Procedure Manuals.

2. The Control and Inspection processes shall be carried out by the Inspector pursuant to weekly or monthly schedules approved by the Competent Department. These schedules shall contain the data of Practitioners of Tour Operations and the Inspector’s scope of work. Control and Inspection processes may, however, be carried at other

times upon the approval of the Competent Department in the cases specified in the Procedure Manuals.

3. The Inspector shall, before carrying out Control and Inspection processes, notify the Competent Department, in writing, of any relation he may have, whether kinship (up to the forth degree) or interest (trade or investment), with the Practitioners of Tour Operations. The Competent Department shall take the necessary action to ensure that the Control and Inspection processes are carried out properly and in a fair manner.

Article 35

The Inspector shall have the following powers when carrying out the Control and Inspection processes:

1. Entering places and offices where the practice of tour operation services is permissible, upon presenting his credentials to the Practitioners of Tour Operations.

2. Checking the License, Classification Certificate, and policies, including the documents, files, and original identification cards of tour operation officials, and all other documents relating to the practice of tour operations in accordance with the Law and the Regulations.

3. Obtaining any copies or printouts of the documents stated in paragraph (2) of this Article to ensure compliance with the provisions of the Law and the Regulations.

4. Questioning Practitioners of Tour Operations about matters relating to the implementation or Violation of the provisions of the Law and the Regulations. This shall be recorded in the Detection Record.

5. Surveying Consumers about the quality of services provided, and attending to complaints and recording them in accordance with the Regulations and the Procedure Manuals.

Article 36

1. The manager of the tour operation office, or his designee from among the office employees, or the Practitioners of Tour Operations shall accompany the Inspector during the Control and Inspection processes and provide him with all necessary assistance. In the case of absence, the Inspector may seek the assistance of one of the Tour Operation Officials or any person contracted by the office to accompany him during the performance of his work and shall record the incident in the Detection Record.

2. If the manager of the tour operation office, or any of its employees, or any of the Practitioners of Tour Operations acts in a way that prevents the Inspector from performing his duties, the Inspector shall record the incident in the Detection Record.

Article 37

1. The Inspector shall record in the Detection Record all Violations detected during the Control and Inspection processes.

2. The Inspector shall prepare two copies of the Detection Record to be signed by the Inspector and the office manager, or his designee. If the latter refuses to sign or is absent, the Inspector shall state the same in the Detection Record.

3. The Inspector shall hand a copy of the Detection Record to the office manager, or his designee, or send it to his Official Addresses if Technical Means are used.

4. A Practitioner of Tour Operations may provide the Competent Department with his statement regarding the Violation within (5) five working days from the date of producing the Detection Record.

Article 38

If the Inspector, during the Control and Inspection processes, detects acts that may constitute Violations or offenses pursuant to other laws or instructions, he shall record the same in the Detection Record and the Competent Department shall refer such Violations or offenses to the relevant agency for legal action.

Article 39

1. The Inspector shall submit the Detection Record and related documents to the Competent Department within (5) five working days from the date of producing the Detection Record.

2. The Competent Department shall review the requirements of the Control and Inspection processes performed according to the Procedure Manuals. In case of shortage or deficiency, this shall be recorded in a report signed by the officer of the Competent Department.

3. Subject to the provisions of Article 40 of the Regulations, the Competent Department shall refer the Detection Record and the related documents specified in the Regulations, in accordance with the Procedure Manuals.

Article 40

1. Complaints made by Consumers or practitioners of tourist services and professions against Practitioners of Tour Operations shall be submitted to SCTH (Ministry of Tourism) through any of the following:

a. Consumers’ comments, which are recorded in the Detection Record during the Control and Inspection processes or placed in the complaints and suggestions box available at the tour operation office.

b. Electronic channels determined by SCTH (Ministry of Tourism). c. By hand to any of SCTH (Ministry of Tourism) branches in the

provinces.

d. Any other method approved by SCTH (Ministry of Tourism), in accordance with the Procedure Manuals, for receiving complaints.

2. Upon receiving the complaint, the Competent Department shall provide the Practitioner of Tour Operations, subject of the complaint, with a copy of the complaint and related documents, if any, on his Official Addresses. The Practitioner shall respond within (10) ten working days from the notification date.

3. If the response is received within the period specified in paragraph (2) of this Article and the Competent Department establishes that the Violation has occurred, it shall carry out the following:

a. Instruct the Inspectors, when necessary, to Inspect the person subject of the complaint to ensure application of the Law and the Regulations, inquire about the complaint, and record the same in the Detection Record in accordance with the provisions of the Regulations.

b. Refer the complaint and the Detection Record to the Competent Committee.

Article 41

1. SCTH (Ministry of Tourism) shall prepare the Violations List and publish it on its website.

2. The Violations List may be updated following the requirements referred to in paragraph (1) of this Article, if deemed necessary.

Chapter Eighth

General Provisions

Article 42

1. The Procedure Manuals shall be prepared by SCTH (Ministry of Tourism), issued pursuant to the President’s decision, and published on SCTH’s (Ministry of Tourism’s) official website.

2. The Procedure Manuals may be updated following the requirements referred to in paragraph (1) of this Article, if deemed necessary.

Article 43

1. The Regulations shall be issued pursuant to a decision by the Chairman of the Board of Directors and shall be published in the Official Gazette. They shall enter into force on the date of publication.

2. Current Licensees shall, within one year from the date of the Law's entry into force, make all necessary amendments to comply with the provisions of the Law and the Regulations.

Article 44

1. For matters not provided for in these Regulations, the President shall issue a decision thereon based on a recommendation by the Competent Department.

2. The Board of Directors shall have the right to interpret and amend these Regulations.