Terms & Conditions

These terms govern the commercial B2B relationships between Riyadh Scrap and our business partners, including both Scrap Sellers and Raw Material Buyers.

Last Updated: May 2026

By engaging with Riyadh Scrap—whether selling industrial waste, scheduling a site clearance, or purchasing raw materials for your foundry—you agree to be bound by the following Terms and Conditions. These rules are established to ensure absolute transparency, safety, and compliance with the laws of the Kingdom of Saudi Arabia.

Section 1: Conditions for Scrap Sellers (Suppliers to Us)

This section applies to contractors, companies, and entities selling scrap metals, machinery, or e-waste to Riyadh Scrap.

1.1 Quotations and Market Pricing

LME Volatility: Official price quotes (per Ton or Kg) for non-ferrous metals (Copper, Aluminum) are based on the London Metal Exchange (LME) index and are generally valid only for the business day they are issued, unless a fixed-term contract is signed.
Visual Estimations: Initial quotes provided via WhatsApp based on photographs are estimates. Final pricing is strictly determined after physical inspection and formal weighing.

1.2 Weighing and Impurity Deductions

Weighbridge Authority: For bulk industrial scrap, the net weight printed by a government-certified public weighbridge (Tare & Gross) is final and binding for both parties.
Impurity Clause: If the scrap contains non-metallic attachments (e.g., concrete attached to rebars, plastic on aluminum frames, unstripped insulation), Riyadh Scrap reserves the right to apply a mutually agreed-upon “Impurity Deduction Percentage” to compensate for the unsmeltable weight.

1.3 Material Ownership and Legality

Title Transfer: The seller guarantees that they are the legal owner of the scrap or have the explicit authority to sell it. Riyadh Scrap strictly prohibits the purchase of stolen goods, public infrastructure materials (e.g., manhole covers, telecom cables), or government property without an official auction release letter.

1.4 Hazardous Materials Declaration

Disclosure Requirement: Sellers must explicitly declare if the scrap contains hazardous materials (e.g., chemical solvents, lead-acid batteries, radioactive components, or CFC refrigerants).
Penalties: Hidden hazardous waste that causes damage to our shredding equipment or results in environmental fines will hold the seller legally and financially liable.

1.5 Payment Terms

Payments are processed immediately upon the issuance of the final weight ticket. Corporate transactions are settled via official bank transfers to the company’s verified IBAN to maintain proper accounting records.

Section 2: Conditions for Raw Material Buyers (Our Customers)

This section applies to smelters, factories, and international exporters purchasing processed scrap and raw materials from Riyadh Scrap.

2.1 Orders and Full Corporate Offers (FCO)

Order Validity: Upon receiving a Letter of Intent (LOI) from the buyer, Riyadh Scrap will issue a Full Corporate Offer (FCO). Due to market volatility, the FCO must be signed and returned within the specified timeframe (usually 48-72 hours) to lock in the agreed price.

2.2 Weighing and Third-Party Inspection

Inspection Rights: Buyers have the right to appoint, at their own expense, an independent, internationally recognized inspection agency (e.g., SGS) to verify the quality, quantity, and ISRI grade classification of the materials at our yard before loading.
Final Weight: The net weight recorded at our certified weighbridge or the public weighbridge (in the presence of the buyer’s representative or inspector) at the time of dispatch is final.

2.3 Delivery and Logistics (Incoterms)

EXW (Ex Works): If the agreement is EXW, the buyer is responsible for all transportation, loading delays, and risks once the material leaves our yard.
FOB/CFR: For export containers, Riyadh Scrap handles the baling/packing and inland transport to the Riyadh Dry Port or Dammam Port, as stipulated in the specific contract. The buyer is responsible for all maritime shipping and destination customs clearances.

2.4 Payment Terms

Local Buyers: Payment must be cleared via bank transfer before the dispatch of the trucks from our facility.
International Buyers: Transactions are typically executed via Telegraphic Transfer (TT) with an upfront deposit against the FCO, or via an irrevocable, non-transferable Letter of Credit (LC) at sight, as negotiated.

Section 3: General Provisions

3.1 Force Majeure

Neither party shall be held liable for any failure to perform its obligations under a contract if such failure results from events beyond their reasonable control, including but not limited to natural disasters, government restrictions, strikes, or severe market disruptions halting LME trading.

3.2 Governing Law and Dispute Resolution

These Terms & Conditions, and any contracts formed under them, shall be governed by and construed in accordance with the laws of the Kingdom of Saudi Arabia. Any commercial disputes that cannot be resolved amicably shall be subject to the exclusive jurisdiction of the commercial courts in Riyadh.

3.3 Amendments

Riyadh Scrap reserves the right to modify or update these Terms & Conditions at any time. Changes will be posted on this page with an updated revision date. Continued business engagement constitutes acceptance of the revised terms.