The association's auditor

What the source says

Article 27 of the regulation provides that an association appoints a licensed auditor when the property has 100 or more units, or when its assets exceed SAR 1,000,000. The two tests are alternatives, so meeting either is enough.

The auditor may not combine the audit with membership of the general assembly or any of its roles, and may not be a partner, employee or relative up to the fourth degree of any member. As the page summarises it, the auditor may inspect the records, prepares an annual report, keeps confidentiality and answers for any default, and approvals given without sight of the auditor's report are void. Article 22/1 of the law also refers to the audit.

The 100-unit figure here should not be confused with the 100-unit condition for appointing the manager. That is a different test in article 22 of the regulation, concerning a building owner's right to appoint the manager alone; here the figure concerns the duty to appoint an auditor.

When it matters to you

If your association is approaching either threshold, plan for the cost of the audit and for choosing an auditor with no ties to its members. If you are an auditor or an audit firm, check the independence conditions before accepting the engagement. The association is registered and followed up on Mullak; Thibrh is not a body that enforces this rule.

What this article does not cover

The wording on approvals being void without the auditor's report was read as a page summary and needs a word-for-word check before being quoted. This is general information from a published source, not legal advice; official decisions and procedures take place on the authority's platform.