Bahrain has introduced sweeping new rules governing the seizure and auction of debtor-owned properties, in a move aimed at tightening transparency, speeding up court procedures and strengthening protections for buyers participating in judicial property sales.
The changes were announced through Resolution No 49 of 2026, issued by Ministry of Justice, Islamic Affairs and Endowments and signed by Justice Minister Nawaf Al Maawda.
Published in the latest edition of Bahrain’s Official Gazette, the resolution introduces amendments to existing regulations governing how properties belonging to debtors are seized, auctioned and sold through court-supervised proceedings.
Under the new framework, officials say all property auctions must now be conducted with complete transparency and public accessibility, ensuring every stage of the process remains open and clearly regulated.
The updated rules require that public auctions be handled exclusively by an authorised individual legally designated to conduct the sale.
Potential buyers wishing to participate must formally register and deposit an initial financial guarantee before entering the bidding process.
One of the key changes gives the Execution Court Bahrain judge direct authority over determining the base auction price, with bidding officially starting from that minimum figure.
Following the close of each auction, the authorised seller will be required to prepare a formal report detailing all procedures carried out, the highest bids received from participants and total court expenses incurred.
The report must then be submitted to the Execution Court judge within three days of the auction closing.
Under the revised rules, the highest bidder will automatically be recognised as the successful buyer.
However, judges have now been granted expanded powers to order a complete re-auction in certain situations, including if no bidders come forward, if errors are discovered in advertising or auction procedures, or if the winning bidder becomes unable to legally transfer ownership due to circumstances beyond their control.
The new resolution also changes payment deadlines for successful buyers.
Winning bidders must now deposit the remaining balance of the property price into the court treasury within two weeks, calculated either from the expiry of the legal appeal period or after a final court ruling if appeals are submitted.
Once payment is completed, buyers will receive official court documents allowing them to proceed with ownership transfer procedures through the Survey and Land Registration Bureau.
In another major change, authorities have abolished Article 13 of Resolution No 23 of 2022, while also fully repealing Resolution No 123 of 2019, which previously governed procedures for selling mortgaged properties through public auction.
The decision was issued following a proposal by the Undersecretary for Courts, Family Reconciliation and Alimony and after receiving approval from Bahrain’s Supreme Judicial Council.
The resolution officially comes into force one day after publication in the Official Gazette, marking one of the most significant recent updates to Bahrain’s civil and commercial execution procedures.
The overhaul is expected to modernise judicial property sales while giving buyers greater confidence in court-supervised transactions.
Meanwhile, Bahrain has also introduced fresh legal reforms aimed at modernising court and documentation procedures, including allowing a wider range of official documents to be notarised in English while simultaneously removing a number of registered mediators from the national dispute resolution register.
The changes were announced through Resolution No 47 and Resolution No 48 of 2026, by Mr Al Maawda.
Under Resolution No 47, individuals and businesses will now be allowed to notarise documents, authenticate signatures and establish official dates on customary legal documents entirely in English whenever all concerned parties choose to proceed in that language.
The decision applies to documents covered under Bahrain’s long-standing Notarisation Law of 1971, unless specific legislation explicitly requires documents to remain in Arabic.
The move effectively broadens access for Bahrain’s international business community, foreign investors and expatriates who regularly deal with commercial agreements and legal documentation.
As part of the update, authorities have repealed Resolution No 78 of 2017, which previously regulated documents that could be notarised in foreign languages, replacing it with a more flexible framework.
Legal observers say the reform reflects Bahrain’s continued efforts to position itself as a business-friendly regional hub by simplifying legal procedures for international transactions.
In a separate development, Resolution No 48 of 2026 orders the removal of several registered mediators from Bahrain’s official mediation registry covering civil, commercial, and criminal and Sharia dispute resolution matters.
The action was taken under provisions contained in Decree-Law No 22 of 2019 concerning Mediation for Dispute Resolution and follows recommendations submitted by the Undersecretary for Courts, Family Reconciliation and Alimony.
Under the resolution, mediators listed in an attached official schedule have had their names deleted from the register responsible for handling alternative dispute resolution cases across multiple legal sectors.
mohammed@gdnmedia.bh
&uuid=(email))