For companies engaged in international contracts, the ability to enforce court judgments across borders can make or break a deal. Bahrain’s accession to the 2005 Hague Convention on Choice of Court Agreements (the “Convention”) is the latest step in the Kingdom’s steady expansion of its cross-border legal capabilities.
Effective from 1 July 2025, this development strengthens the enforceability of Bahraini court judgments abroad and provides greater legal certainty for businesses that select Bahrain as their exclusive forum for resolving disputes.
The Convention, developed by the Hague Conference on Private International Law (HCCH), promotes predictability and legal certainty in international commercial contracts. It gives real effect to exclusive jurisdiction clauses by requiring courts in contracting states to:
- Hear cases where they have been designated in an exclusive jurisdiction clause.
- Dismiss cases where they are not the chosen forum.
- Recognize and enforce judgments issued by the chosen court, without reviewing the merits of the case, except in limited circumstances such as fraud or public policy violations.
The Convention applies to civil and commercial matters with an international element and excludes areas such as consumer and employment contracts, insolvency, and arbitration.
Several subject matters fall outside the Convention’s scope, including:
- Consumer and employment contracts
- Family law matters
- Insolvency proceedings
- Competition and antitrust cases
- Carriage of goods
- Certain intellectual property disputes
- Torts that do not arise from contractual relationships
The Convention also expressly excludes arbitration agreements and arbitral awards, which remain governed by separate international frameworks.
Bahrain’s accession enhances the global enforceability of judgments issued by Bahraini courts and aligns the Kingdom with key jurisdictions that have already adopted the Convention. It is a significant addition to Bahrain’s broader legal and judicial reforms, reinforcing its position as a trusted venue for cross-border dispute resolution and international business.
With the Convention entering into force on 1 July 2025, businesses involved in cross-border transactions should take this opportunity to review their existing and standard-form contracts. It is essential to ensure that exclusive jurisdiction clauses are properly drafted to comply with the Convention and to secure both jurisdiction and enforceability in other contracting states. This added certainty can reduce the risk, cost, and complexity of international dispute resolution.
ASAR works with clients to strengthen their cross-border dispute strategies. We review and refine jurisdiction clauses, assess enforceability across jurisdictions, and help design litigation approaches that minimise risk and maximise protection.
For advice tailored to your contracts or dispute planning, please contact Amal Lari at: asarbh@asarlegal.com
