Judicial principles and studies
Article 231(b) of the Customs Law — Requirement of 25% Security in Actions Against the Treasury
The article requires a cash deposit or bank guarantee equal to 25% of the claimed amount to be filed with the pleading; an automatically renewing bank guarantee that meets the percentage is acceptable.
Updated: 10 September 2026
Prepared and reviewed by: Ashraf Al-Khawaja
Subject
Article 231(b) of the Customs Law requires that actions brought against the Treasury before the customs courts be accompanied by a cash security or a bank guarantee equal to 25% of the claimed amount, submitted with the pleading. The legislature did not prescribe a specific form for the guarantee.
Summary
Providing a cash deposit or a bank guarantee of at least 25% with the claim is a condition for admissibility; failure to provide it results in non-hearing. A bank guarantee that automatically renews, equals the required percentage, and is filed with the claim is acceptable even if its text does not expressly refer to a Director General decision.
Practical significance
Claimants must attach the required 25% security when filing suits against the Treasury in customs courts; automatically renewable bank guarantees that meet the percentage and are filed with the pleading can satisfy the statutory requirement. This summary is for general educational purposes only and is not judicial text or legal advice.
Sources and references
Verify the official text and latest amendments before relying on this material professionally.