Enforcement of Judgments 2025

BAHRAIN Trends and Developments Contributed by: Mohamed Ali Shaban and Sayed Mohsin Alalawi, Hassan Radhi & Associates

• the modernisation of asset auctions through Mazad. Rise of licensed private enforcement officers One of the most striking outcomes of the 2022 reform is the emergence of licensed private enforcement officers as a cornerstone of the execution process. These officers – officially termed Private Execution Officers (PEOs) – are individuals and firms from the private sector authorised by the Ministry of Justice to carry out enforcement activities on behalf of judgment creditors. Instead of relying on a few court employ - ees, Bahrain now has an entire industry of trained professionals handling enforcement duties. As of mid- 2025, 68 private enforcement firms employing over 200 officers are active in Bahrain, compared to only a handful of court staff previously performing these duties. This increase in manpower and resources has significantly impacted the scale and efficiency of judg - ment enforcement. Structure and licensing PEOs must operate within a registered company (com - mercial registration) and meet strict licensing require - ments set by the Ministry of Justice. Each licensed enforcement firm is required to appoint at least three qualified individuals to carry out the on-the-ground duties. These officers undergo training through the Judicial and Legal Studies Institute and take an oath before the Minister of Justice upon licensing. They are officers of the court in practice; the law grants them the status of public officials when performing their duties, ensuring that they operate with integrity and accountability similar to government officials. The Ministry of Justice and the courts retain supervisory authority through regular administrative inspections of private enforcers’ work. Duties and responsibilities PEOs now handle almost all front-line execution tasks that were once the domain of court staff and judges. A judgment creditor who has an unpaid court judgment will engage a PEO to take the necessary actions to collect the assets on that judgment. Key responsibili - ties of PEOs include the following. • Locating and seizing assets – identifying the debtor’s assets and imposing attachments (liens

or freezes) on them under court orders (ie, issuing attachments on real estate, vehicles and movable property). • Administering sales and auctions – taking charge of selling seized assets in co-ordination with Mazad in order to list and auction these items (discussed further below), replacing the old practice of court- run auctions. • Notification and paperwork – serving official notification of enforcement to debtors, which is a required first step (the debtor must be formally notified before coercive measures). They deliver court notices for the relevant authorities. • Follow-up and compliance – monitoring the pro - gress of enforcement actions and ensuring that court orders are fully carried out. PEOs follow up on asset seizures. Effectively, PEOs keep the exe - cution process moving forward efficiently until the judgment is satisfied or all avenues are exhausted. By outsourcing these functions to specialised private actors, the execution process has become far more efficient and scalable. Creditors benefit from timely processes since they can approach a private enforce - ment firm that will immediately take up the file and pur - sue the debtor’s assets promptly (within the bounds of the law). The increase from five court personnel to over 200 PEOs means that cases get individual atten - tion and proactive follow-up. Moreover, competition among the 68 licensed firms helps encourage high- quality service, innovation and responsiveness – if one firm is not effective, a creditor can hire another, which creates an incentive for these enforcement businesses to perform well. Turnaround times for routine enforce - ment actions (eg, repossessing a car) have dropped dramatically in the past two years, as the workforce available for enforcement has expanded and modern tools are being used. It is worth noting that PEOs act under judicial supervi - sion despite being independent parties. The execution judge still oversees the process and must approve critical steps (eg, authorising an auction or ordering an attachment). In practice, this means that Bahrain has adopted a collaborative model: the court sets the direction and legal authority, while PEOs execute operational tasks. This model combines the authority of the judiciary with the agility of the private sector,

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