Bahrain
The Court of Cassation in Bahrain overturned a BDà.5 million dispute over a guarantee, ruling that delays in payment had voided the guarantor's liability. The court found that the respondent company delayed payments, affecting the guarantee's standing. The dispute arose when the respondent firm filed a claim against the appellant, demanding BDà.5 million, BD10,000 in damages, and BDi,500 in expert fees. The appellant had vouched for the supplier's commitment and proper execution of a deal to provide four water filter production lines for $21 million. As the supplier failed to meet its obligations, the GCC Commercial Arbitration Centre ordered it to pay $11.6 million, which matched the amount being claimed in court. The appellant refused to settle the shortfall, arguing that the contract terms had not been met.
