Mediation Law
Bahrain passed Legislative Decree No. (22) of 2019 regarding the Mediation for the Resolution of Disputes (“Bahrain Mediation Law”). This was enacted on 13 October 2019.
Procedure for Enforcing International Mediated Settlement
On the enforcement of an International Mediation Settlement Agreement (“IMSA”), the Bahrain Mediation Law required that a lawsuit was to be filed in order to execute the IMSA. However this has been described as a procedural formality where the court will ensure that the IMSA sought to be enforced meets all requirements of the Bahrain Mediation Law and does not go into the subject matter of the agreement itself.
Mediation Rules issued by the Bahrain Chamber for Dispute Resolution (“BCDR-AAA”)
The Bahrain Chamber for Dispute Resolution (“BCDR-AAA”) was established by Legislative Decree No.30 of 2009 and is an autonomous and independent alternative dispute resolution institution. The BCDR-AAA launched updated mediation rules on 1 July 2019 to coincide with the first signing of the Singapore Convention by the international community. It also brings Bahrain’s mediation landscape in line with the Singapore Convention.
The most notable changes that were taken to bring BCDR-AAA mediation rules in line with the Singapore Convention was the update to provisions on: (A) independence and impartiality, and (B) the option for parties to commence or continue parallel arbitration or judicial proceedings. Though not a statutory law of the country, it reflects similarities to the Singapore Convention as well as the UNCITRAL Model Law on International Commercial Mediation and International Settlement Agreements Resulting from Mediation, 2018 (the “Model Law”). It remains consistent with the Bahrain Mediation Law.
The updated BCDR-AAA Mediation Rules have been revised to align with international mediation standards, incorporating key elements from the UNCITRAL Model Law on International Commercial Mediation (Model Law), the Singapore Convention, and Bahrain’s Mediation Law. These changes enhance clarity, flexibility, and impartiality in mediation proceedings while ensuring consistency with both global and local frameworks.
To strengthen neutrality in mediation, Article 4 introduces stricter requirements for mediator independence and impartiality. Mediators must disclose any potential conflicts of interest both before and during the mediation process. This provision is consistent with Article 6(5) of the Model Law, Article 5(1)(f) of the Singapore Convention, and Article 4(1) of Bahrain’s Mediation Law, all of which emphasize the importance of neutrality in mediation.
In addition to procedural and ethical enhancements, the revised Article 6 allows for greater flexibility in mediation proceedings, particularly in how communication between the mediator and the parties is conducted. This change aligns with Article 7 of the Model Law and Article 10 of Bahrain’s Mediation Law, reinforcing mediation as a facilitative process.
Another significant amendment is found in Article 11, which now permits parties to initiate or continue arbitration or judicial proceedings in parallel with mediation, unless they agree otherwise. Unlike the Model Law’s approach in Article 14, which frames this issue more restrictively, the BCDR-AAA rules take a more open stance, ensuring that parties retain multiple dispute resolution options. This aligns with Articles 13 and 14 of the Model Law while allowing for more procedural flexibility.
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