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ARTICLE · 29 NOVEMBER 2023

Plea Of Non-Performance

A legally binding contract has the force of law between the parties. When one of the parties fails to fulfil his/her obligations it is considered a breach of contract.

BahrainCorporate/Commercial Law

A legally binding contract has the force of law between the parties. When one of the parties fails to fulfil his/her obligations it is considered a breach of contract. The exception of non-performance implies the right of a contractual party to withdraw from performing his/her contractual obligations if the other party has failed to perform the same. In this article, we will recognize the conditions of the legal mechanism of non-performance and the provision that regulates it in the Kingdom of Bahrain.

The Conditions of Exercising the Plea of Non–Performance

Bahrain's legislation regulates exceptio non adimpleti contractus under Article 150 of the Civil Code (Decree Law 19/2001) (BCC) demonstrating the conditions in which a party may plea non-performance. Such article stipulates that "When, in the case of a bilateral contract, correlative obligations are due for performance, either of the contracting parties may abstain from the performance of his obligation, if

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