Strategic Restructuring and Insolvency Legal Services for Bahrain’s Real Estate  

Whether your business is facing cash flow shortages, creditor pressure, stalled projects, or regulatory risks, our firm offers expert legal guidance through every stage of bankruptcy protection, debt restructuring, and corporate recovery.

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At Manal Dhahi Legal Consultants, we provide specialized legal solutions for companies in financial distress across Bahrain’s most exposed and capital-intensive industries construction, contracting, and real estate. Whether your business is facing cash flow shortages, creditor pressure, stalled projects, or regulatory risks, our firm offers expert legal guidance through every stage of bankruptcy protection, debt restructuring, and corporate recovery.

Led by Mrs. Manal Dhahi, one of Bahrain’s leading legal authorities in construction and commercial law, we help clients navigate insolvency with precision protecting assets, stabilizing operations, and negotiating with creditors to achieve viable outcomes. Our services include court-supervised restructuring under Bahrain’s Reorganization and Bankruptcy Law (Law No. 22 of 2018), out-of-court workouts, project-based insolvency management, and full legal representation in creditor disputes and liquidation proceedings.

We understand the unique financial and regulatory challenges these sectors face from unpaid subcontractors to stalled RERA projects, delayed government payments, and high labor liabilities. Our goal is to help you avoid collapse, preserve licenses, and emerge with a stronger, legally protected structure.

Our Core Capabilities Include:

  • Filing for Court-Supervised Restructuring: We prepare and submit restructuring applications, negotiate with creditors, and represent companies under judicial oversight to secure temporary legal protections while rebuilding cash flow and operations.
  • Debt Restructuring & Creditor Negotiations: Our lawyers lead the restructuring of secured and unsecured debt, renegotiate terms with banks and vendors, and help preserve working capital during recovery.
  • Project-Based Insolvency Management: We isolate distressed projects, protect viable ones, and structure carve-outs, asset sales, or project-specific workouts without compromising the company’s overall survival.
  • Labor & Employee Liabilities: We legally manage workforce reductions, employment contract terminations, GOSI contributions, and end-of-service settlements, in compliance with Bahraini labor law.
  • Preservation of Licenses & Classifications: We help prevent the suspension of contractor licenses, project registrations, and regulatory approvals, ensuring your company remains operational through restructuring.
  • Asset Protection & Liquidation Guidance: From equipment and machinery to real estate holdings and escrow accounts, we advise on asset sales, creditor claims, and court-supervised liquidation where necessary.
  • Defense Against Hostile Creditor Actions: We defend our clients from lawsuits, enforcement claims, repossessions, or bankruptcy petitions filed by third parties protecting both company and board members.
  • Regulatory & Compliance Advisory: We maintain open communication with RERA, the Ministry of Works, Tender Boards, and other regulatory entities to ensure compliance throughout the restructuring process.

  • We provide strategic legal support to construction firms and developers, preventing collapse through debt restructuring and court-supervised reorganization. 
  • We expertly guide companies through every aspect of Bahrain's Law No. 22 of 2018, ensuring full compliance and access to legal protections.
  • We safeguard critical project licenses and classifications, including CR validity and RERA registrations, by communicating effectively with regulatory bodies. 
  • Our strategy involves isolating troubled assets and liabilities while restructuring contracts to protect viable projects and maintain financial stability.  
  • Our services review critical contract terms and implement dispute resolution strategies to manage subcontractors and maintain supply chain viability.
  • Mitigate labor litigation risk by expertly managing staff reductions, benefit settlements, and mandatory end-of-service and GOSI obligations.
  • Protect your core assets and secure favorable claim prioritization through expert analysis of liquidation rules and creditor rights.
  • We manage high-stakes legal conflicts—including hostile claims, repossession threats, and lien disputes—by expertly representing your company before all parties.   

Key Highlights of Our Track Record:

  • Court-Supervised Restructuring Success: We’ve successfully represented contractors and developers before Bahraini bankruptcy courts, securing judicial protection, creditor standstills, and court-approved reorganization plans under Law No. 22 of 2018.
  • License and Project Preservation: Our team has prevented the suspension of vital licenses, including contractor classifications, real estate project registrations (RERA), and tender board eligibility ensuring clients remained operational throughout recovery.
  • Multimillion-Dinar Debt Workouts: We’ve negotiated complex settlements and payment plans with banks, vendors, and landlords avoiding liquidation while preserving trust and business relationships.
  • Post-Insolvency Recovery Planning: From restructured CRs to staff redeployment, our clients emerge stronger. We’ve managed post-insolvency legal alignment for real estate developers, contractors, and joint ventures including employment compliance and asset reallocation.
  • Strategic Representation in Disputes: Whether defending against hostile creditor claims or initiating action against non-performing partners, we’ve helped our clients protect their rights, reputation, and assets through strategic litigation or mediation.

Contact Us for Legal Support in Bankruptcy, Insolvency & Restructuring

 If your construction, contracting, or real estate company is facing financial distress in Bahrain, don’t wait until it’s too late. 

Contact us

Our legal approach 

1
Technical Collaboration

We partner with engineers and sector specialists to align legal terms with operational requirements and deliverables.

2
Risk Forecasting

Our contract strategies proactively identify and mitigate legal and financial risks before they arise.

3
Rapid Legal Response

From cease & desist letters to urgent court filings, we act quickly to defend our clients’ interests.

4
Transparent Client Experience

We maintain open, honest, and direct communication throughout every phase — from consultation to resolution.

Bahrain’s Reorganization and Bankruptcy Law (No. 22 of 2018) allows companies to file for restructuring, offering court protection and time to reorganize debts under judicial supervision.

Yes. Out-of-court workouts and informal creditor arrangements are possible and often more discreet. We assess the best strategy based on your risk, timing, and legal exposure.

If not handled properly, insolvency can lead to license suspension. We engage with regulators to preserve your classification and maintain eligibility to operate.

Once accepted, your company is shielded from lawsuits, asset seizures, and creditor enforcement actions while the court reviews your restructuring plan.

No. Creditors can also initiate bankruptcy proceedings. We help you proactively file before creditor action escalates.

Potentially. We work to preserve RERA registrations, communicate with regulators, and keep projects active during restructuring.

We identify which assets are secured, exempt, or must be listed for court approval, ensuring your operational tools are protected whenever possible.

We review labor contracts, manage lawful terminations, and calculate GOSI dues, ensuring minimal risk of legal claims.

Yes. Carve-out sales and project-specific asset transfers are permitted. We ensure they’re done legally and protect your company’s core structure.

Generally, yes the company remains under management (debtor-in-possession) unless fraud or mismanagement is proven.

Not if they fulfill their legal duties. We guide leadership on avoiding personal exposure and accusations of negligence or fraud.

We assess claims, review contracts, and either settle or restructure payment obligations under a formal plan.

Yes. The law allows renegotiation or court-approved contract modifications in cases of financial hardship.

The court oversees restructuring plans, creditor objections, and plan confirmations. We represent your company through each phase.

Absolutely. With the right legal plan, many businesses recover, restructure, and return stronger than before.

Disclosure may be required to regulators and partners. We advise on managing reputation and legal obligations discreetly.

Financial statements, debt listings, project obligations, labor records, and all licenses must be organized for review.