Comparative Guides
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Results: 4 Answers
International Arbitration
8.
The tribunal
8.1
How is the tribunal appointed?
 
Bahrain
The parties are free to agree on the procedure for appointing the tribunal. In the absence of an agreement between the parties, the following default procedure will apply:

  • In the case of a three-arbitrator tribunal, the parties will each appoint one arbitrator and those arbitrators will appoint the third arbitrator. If a party fails to appoint an arbitrator within 30 days of receipt of a request to do so from the other party, or if the two arbitrators fail to agree on the third arbitrator within 30 days of their appointment, the appointment shall be made by the Bahraini Civil High Court on the request of a party.
  • In the case of a sole arbitrator, any party may apply to the Bahraini Civil High Court for it to appoint the arbitrator.

In the case of a failure to comply with the appointment procedure agreed upon by the parties, any party may apply to the court for it to appoint the arbitrator, unless the agreement on the appointment procedure provides other means for securing the appointment.

For more information about this answer please contact: Patrick Gearon from Charles Russell Speechlys
8.2
Are there any requirements as to the number or qualification of arbitrators in your jurisdiction?
 
Bahrain
In the absence of agreement between the parties as to the number of arbitrators, the tribunal will comprise three arbitrators. There are no requirements as to the qualifications of arbitrators; but in practice, an arbitrator should be suitably qualified to rule on the dispute.

For more information about this answer please contact: Patrick Gearon from Charles Russell Speechlys
8.3
Can an arbitrator be challenged in your jurisdiction? If so, on what basis? Are there any restrictions on the challenge of an arbitrator?
 
Bahrain
An arbitrator may be challenged in Bahrain only if circumstances exist that give rise to justifiable doubts as to his or her impartiality or independence, or if he or she does not possess the qualifications agreed as necessary for the arbitrator by the parties. A party may challenge an arbitrator that it appointed itself only for reasons it becomes aware of after the appointment has been made.

The parties may agree on a procedure for challenging an arbitrator’s appointment. In the absence of such agreement, the challenging party must, within 15 days of the information relating to the challenge coming to light, send a written statement of the reasons for the challenge to the tribunal. Unless the challenged arbitrator withdraws from office or the other party agrees to the challenge, the tribunal will decide on the challenge. If a challenge is unsuccessful, the challenging party has 30 days from receiving notice of the decision to request that the Bahraini Civil High Court decide on the challenge.

If an arbitrator is or becomes unable to perform his or her functions, or for other reasons fails to act without undue delay, his or her mandate will terminate when he or she withdraws from the post or by agreement between the parties.

For more information about this answer please contact: Patrick Gearon from Charles Russell Speechlys
8.4
If a challenge is successful, how is the arbitrator replaced?
 
Bahrain
A substitute arbitrator will be appointed according to the rules applicable to the appointment of the arbitrator who is being replaced.

For more information about this answer please contact: Patrick Gearon from Charles Russell Speechlys
8.5
What duties are imposed on arbitrators? Are these all imposed by legislation?
 
Bahrain
An arbitrator is obliged under Bahraini law to treat parties equally and give each party a full opportunity to present its case, and is also obliged to disclose any circumstances likely to give rise to justifiable doubts as to his or her impartiality or independence.

For more information about this answer please contact: Patrick Gearon from Charles Russell Speechlys
8.6
What powers does an arbitrator have in relation to: (a) procedure, including evidence; (b) interim relief; (c) parties which do not comply with its orders; (d) issuing partial final awards; (e) the remedies it can grant in a final award and (f) interest?
 
Bahrain
(a) procedure, including evidence?

Subject to any prior agreement on the arbitrators’ powers or arbitration procedures, the tribunal may conduct the arbitration in whatever manner it considers appropriate. The power conferred on the tribunal includes the power to determine the admissibility, relevance, materiality and weight of any evidence. The tribunal may appoint one or more experts to report on specific issues to be determined by the tribunal, and may require a party to give the expert any information or documents that it considers relevant to the issues surrounding the arbitration.

(b) interim relief?

An arbitrator has the power to order interim relief, including in relation to the preservation of assets and evidence and in order to prevent any prejudice to the arbitration proceedings. An arbitrator may require the party requesting an interim measure to provide appropriate security and may modify, suspend or terminate an interim measure either on application by one of the parties or, in exceptional circumstances, on its own initiative.

(c) parties which do not comply with its orders?

An arbitrator has limited powers in relation to a party’s non-compliance with its orders. Subject to the powers agreed between the parties, an arbitrator may take steps such as awarding adverse costs, drawing adverse inferences or refusing to admit evidence.

If any party fails to appear at a hearing or to produce documentary evidence, the tribunal may continue the proceedings and make an award on the evidence before it.

An arbitrator may also request the Bahraini Civil High Court to assist in taking evidence.

(d) issuing partial final awards?

In general, subject to the powers agreed between the parties, an arbitrator is not precluded from making a partial final award.

(e) the remedies it can grant in a final award?

While the most common remedy is that of damages, subject to the powers agreed between the parties, an arbitrator is not precluded from granting other remedies. In practice, the non-damages remedies available will depend on the governing law of the contract and the law of the jurisdiction in which enforcement of any award will be sought. Any remedy considered unenforceable under Bahraini law or contrary to the public policy or ethics of Bahrain will be excluded from enforcement.

(f) interest?

Although Sharia law prohibits the recovery of interest, Bahrain’s commercial laws recognise interest as an international business concept and, subject to what has been agreed between the parties, an arbitrator will therefore have the power to award interest. Consideration should, however, be given when claiming interest to the law of the jurisdiction in which enforcement of any award will be sought.

For more information about this answer please contact: Patrick Gearon from Charles Russell Speechlys
8.7
How may a tribunal seated in your jurisdiction proceed if a party does not participate in the arbitration?
 
Bahrain
Subject to the procedural rules agreed between the parties, where:

  • a claimant fails to communicate a statement of claim, the tribunal may terminate the proceedings;
  • a respondent fails to communicate a statement of defence, the tribunal may continue the proceedings without treating the failure in itself as an admission; and
  • a party fails to appear at a hearing or to produce documentary evidence, the tribunal may continue the proceedings and make the award on the evidence before it.
For more information about this answer please contact: Patrick Gearon from Charles Russell Speechlys
8.8
Are arbitrators immune from liability?
 
Bahrain
In general, arbitrators are immune from liability for any action or non-action in the course of undertaking their duty, unless it was undertaken in ill will or resulted from gross negligence. An arbitrator will not benefit from immunity in the event that he or she withdraws from office without good reason.

For more information about this answer please contact: Patrick Gearon from Charles Russell Speechlys