| Element List | Explanation |
|---|---|
| Introduction | Filing of a lawsuit by Northern Region Cement Company against Safwa Cement Company, seeking an order to halt the infringement and violation of its patent relating to white cement production. |
| Lawsuit Opponent | Safwa Cement Company ("the Defendant") |
| Name of the Plaintiff | Northern Region Cement Company ("the Company") |
| Type of the Lawsuit | Commercial lawsuit. |
| Name and Location of the Competent Judicial Authority | The Commercial Court in Jeddah, as the competent authority for violations arising from the application of intellectual property regulations. |
| Date of Submitting the Lawsuit | 2026-06-08 Corresponding to 1447-12-22 |
| Summery of the Lawsuit and its Reasons | Northern Region Cement Company, in its capacity as patent owner, has filed a lawsuit against Safwa Cement Company for infringing and violating the Company’s patent relating to the conversion of an ordinary black Portland cement production line to white Portland cement using an innovative step within the cooling zone. The Company has established that the Defendant installed and developed one of its cement production lines in a manner that wholly and substantially incorporates a replica of the essential and patented elements of the Company’s patent without obtaining its consent. This constitutes an explicit infringement, violation, and unlawful commercial exploitation of the intellectual property rights and patent owned by the Company. |
| Expected Financial Impact Including the Claimed Sums, Fees and any other Charges | The financial impact of the lawsuit cannot be determined at the current stage and is expected to be determined following a decision by the competent authority. Through this lawsuit, the Company seeks to halt the infringement and exploitation and to thereafter to claim the necessary compensation, including the financial profits derived from the sale of white cement products resulting from the exploitation of the patent for commercial purposes without the Company’s consent. The Company will announce any material developments relating to this lawsuit in due course in accordance with the relevant regulations and instructions. |
| Any Substantial Legal, Regulatory, or Operational Risks that may Result from the Lawsuit, including the Results of such Impact on the Company's Financial, Legal or Operational Standing | There are no legal consequences or risks to the Company arising from this lawsuit. Any developments relating to this lawsuit will be announced in due course. |
| Measures Taken by the Company, including the Estimation of the Potential Liability Resulting from the Lawsuit | Based on the supporting documents and technical reports, the Company has obtained legal advice confirming the strength of its legal position as patent owner and its regulatory right to file this lawsuit against the Defendant for infringing and commercially exploiting its patent without the Company’s consent within the Kingdom, in accordance with the regulations and rules governing the protection of intellectual property rights. The Company does not anticipate incurring any material liabilities as a result of filing this lawsuit. The Company has also engaged a specialist lawyer to follow up on the lawsuit proceedings and protect the Company’s interests. |
| Additional Information | Not Applicable (N/A). |