Anti-Suit Injunction Availability In Bahrain
1. Legal Framework in Bahrain
(a) Arbitration Law
- Legislative Decree No. 9 of 2015
- Based on the UNCITRAL Model Law on International Commercial Arbitration
(b) Civil and Commercial Procedure Law
- Governs:
- Court jurisdiction
- Interim measures
2. What is an Anti-Suit Injunction?
Definition:
An anti-suit injunction is an order issued by a court (or tribunal) to:
Restrain a party from initiating or continuing proceedings in another court or jurisdiction.
3. Types of Anti-Suit Injunctions
(A) Court-Issued Anti-Suit Injunctions
- Issued by national courts
(B) Arbitral Anti-Suit Injunctions
- Issued by arbitral tribunals
4. Position in Bahrain
(A) No Express Statutory Provision
- Bahraini law does not explicitly provide for anti-suit injunctions
(B) Possible Recognition Through General Powers
Courts may rely on:
- General jurisdiction
- Interim relief powers
However:
Bahraini courts are cautious due to concerns of international comity
5. Arbitration Context in Bahrain
(A) Enforcement of Arbitration Agreements
Instead of anti-suit injunctions, Bahraini courts typically:
- Stay proceedings
- Refer parties to arbitration
👉 This achieves a similar effect without directly restraining foreign courts
(B) Tribunal Powers
Arbitral tribunals seated in Bahrain may:
- Issue procedural orders
- Potentially grant anti-suit relief
But:
- Enforceability depends on court recognition
6. Judicial Attitude
Bahraini courts generally:
- Favor non-interference
- Respect foreign jurisdictions
- Avoid aggressive remedies like anti-suit injunctions
7. Key Case Laws (International & Persuasive)
Because Bahrain lacks extensive published rulings on this issue, courts rely on global jurisprudence.
1. Aggeliki Charis Compania Maritima SA v Pagnan SpA (The Angelic Grace)
Principle:
- Anti-suit injunctions granted to enforce arbitration agreements
- Prevent “vexatious or oppressive” foreign proceedings
Relevance:
- Influences pro-arbitration jurisdictions like Bahrain
2. Airbus Industrie GIE v Patel
Principle:
- Courts must exercise caution
- Respect international comity
Relevance:
- Aligns with Bahrain’s restrained approach
3. Donohue v Armco Inc
Principle:
- Anti-suit injunction justified where:
- Clear breach of arbitration agreement
Relevance:
- Supports enforcement of party autonomy
4. Turner v Grovit
Principle:
- Anti-suit injunctions incompatible with EU jurisdictional regime
Relevance:
- Highlights limits based on legal systems and comity
5. Gazprom OAO v Republic of Lithuania
Principle:
- Arbitral tribunals may issue anti-suit injunctions
- Courts may recognize them
Relevance:
- Supports tribunal-based approach relevant to Bahrain
6. Essar Shipping Ltd v Bank of China Ltd
Principle:
- Anti-suit injunction granted to uphold arbitration clause
Relevance:
- Reinforces strong enforcement of arbitration agreements
8. Practical Position in Bahrain
(1) Court-Issued Anti-Suit Injunctions
- Rare
- Not clearly established
- Likely granted only in exceptional cases
(2) Functional Equivalent
Bahraini courts prefer:
- Stay of proceedings
- Referral to arbitration
(3) Tribunal Relief
- More likely source of anti-suit orders
- Especially in international arbitration
9. Key Considerations for Bahraini Courts
Courts may consider:
- Existence of valid arbitration agreement
- Whether foreign proceedings are:
- Oppressive
- Vexatious
- Principles of:
- Good faith
- Comity
10. Risks & Challenges
(A) Enforcement Issues
- Anti-suit injunctions may not be recognized abroad
(B) Conflict with Sovereignty
- May interfere with foreign court jurisdiction
11. Drafting Recommendations
To reduce need for anti-suit injunctions:
(1) Strong Arbitration Clause
- Clear and mandatory language
(2) Exclusive Jurisdiction Language
- Avoid parallel litigation
(3) Seat Selection
- Choose arbitration-friendly jurisdiction (e.g., Bahrain)
12. Conclusion
In Bahrain:
- Anti-suit injunctions are not expressly regulated
- Courts adopt a cautious and restrained approach
- Preference is given to:
- Staying proceedings
- Enforcing arbitration agreements indirectly
Bahrain balances pro-arbitration policy with respect for international comity, making anti-suit injunctions possible but rare.
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