LLC directors in Saudi Arabia - do they have fiduciary duties? *
2 June 2014
While the KSA Companies Law is generally silent and provides no detailed provisions on issues relating to the management of LLCs, this does not mean that the KSA courts will conclude that directors of LLCs have no duties to the company or its shareholders. The courts will supplement the existing law by drawing upon specific laws applying to other types of companies by analogy and Shari'a to plug the gaps. In our view, as a result, directors of LLCs in KSA have broadly the same fiduciary duties as those codified in the UK.