Hassan Al -Sitry
The Parliamentary Financial and Economic Affairs Committee approved a draft law amending some provisions of the Trade Law, with the aim of limiting the negatives revealed by the practical reality of dealing with the check.
The draft law requires amendments and the creation of new texts to the third chapter related to the check contained in the fourth chapter of the Trade Law issued by Decree Law No. (7) of 1987.
According to the project, it is replaced by the texts of Articles 283 item 4, 410 paragraph 1, 451 paragraphs 2, 3 and 4, and 474 paragraph 2, 480 paragraph 1, 482, and 491 of the Trade Law issued by Decree Law No. 7 of 1987, the following texts:
Article 283 item 4:4 – Upon the death of one of the owners of the joint account or the loss of legal eligibility, the rest of the bank must notify the bank of their desire or not in the continuation of the account within a period not exceeding 10 days from the date of death or the loss of eligibility, and the bank must stop the withdrawal from the joint account within the limits of the deceased partner’s share or lose legal eligibility on the day of death or the loss of eligibility until the back is appointed by law.
Article 410 Paragraph 1:1- For the bill holder, when not fulfilling its value on the date of the entitlement, refer to the appearances, the drawer, and other obligations.
Article 451 Paragraphs 2, 3 and 4:2- It is permissible for the drawee to indicate the check by its adoption completely or in part, and this accreditation is useful for the existence of a compensation or partial fulfillment – as the case – when the drawee is on the date of the indication of it, and the signing of the drawee on the face of the check is considered dependent on it.
3- It is not permissible for the drawee to refuse to adopt the check if the drawer or the pregnant woman asks him to do so and he has in exchange for a fulfillment sufficient to pay the value of the whole check or part of it.
4- The total or partial fulfillment of the accredited check remains frozen with the drawee and under his responsibility in the interest of the pregnant woman to the end of the dates of submitting the check to fulfill.
Article 474 Paragraph 2:2- If the drawee receives the opposition, he must refrain from fulfilling the value of the check in whole or in part for his holder and setting in exchange for the fulfillment of the check completely or the amount available in the account from the value of the check until it is separated in his matter.
Article 480 Paragraph 1:1- The check holder may return to the drawer, the appearances and other those who are committed to it if he submitted it on the legal date and its value has not been paid completely and has proven to refrain from total or partial payment in protest, and it is permissible instead of protesting the proof of abstaining from payment or partial payment of any of the following:
A) A statement issued by the drawee with the mention of the day of the check.
B) A statement issued by a clearing room in which it is mentioned that the check was submitted on the legal date and its value has not been paid completely, and the statement must be historian and written on the check itself and a sign of the signing of those issued from it.
Article 482:Refrain from payment or partial payment must be proven in the way stipulated in Paragraph 1 of Article 480 before the expiry of the application time.
Article 491:1- It is prohibited to issue checks on white for use as credit tools or guarantee.
2- The Ministry of Consumer Protection Affairs shall take the provisions of Law No. (35) of 2012 regarding the protection of the consumer, the necessary measures to implement the aforementioned ruling in paragraph 1 of this article, and the Central Bank of Bahrain takes the necessary measures to ensure the commitment of the licensees under the Central Bank of Bahrain and financial institutions issued by Law No. 64 of 2006 to implement the aforementioned ruling.
The project also decides to add new materials with numbers of 465 bis and 465 bis 1 and 491 bis to the Trade Law issued by Decree Law No. 7 of 1987, the following texts:
Article 465 bis:1- If the balance available in the account is less than the value of the check, then the withdrawn must partially fulfill the extent available in the account of the value of the check unless the holder of the partial fulfillment refuses.
2- The check holder may re-submit the check that was partially fulfilled.
3- The drawee must indicate the check in a way that is partial fulfillment of each partial fulfillment, and he must return to the check holder the origin of the check and hand him a certificate of partial fulfillment.
The Central Bank of Bahrain may issue a decision to determine another mechanism to prove the partial fulfillment of the disagreement of the check.
4- The Central Bank of Bahrain issues a decision to regulate the conditions, controls and procedures related to the application of the provisions of the partial fulfillment of the check, whether the fulfillment is cash or the settlement of the value of the check through written restrictions such as registration in account, banking, clearing, or other means determined by the Central Bank of Bahrain.
5- It is indicated by the credit registry of the drawer in the event that the check will be returned due to the absence of a fulfillment of his fulfillment or if it is partially fulfilled, and the Central Bank of Bahrain issues a decision to determine the cases and procedures of this indication and its duration and cases and procedures for raising it.
Article 465 bis 1:The check indicated by the drawee is considered that there is no in exchange for a fulfillment of it or that was partially fulfilled, an executive support that may be implemented in accordance with the provisions of the implementation law in civil and commercial articles issued by Decree Law No. 22 of 2021.
The Minister on Justice Affairs, after the approval of the Supreme Judicial Council, may issue a decision to organize the rules and procedures for the implementation of the check indicated by the drawee that there is no comparison of fulfillment or which was partially fulfilled.
Article 491 bis:Anyone who violates the provisions of Paragraph 1 of Article 491 of this law shall be punished with a fine of no less than two hundred dinars and not exceeding two thousand dinars.
Each check holder shall be punished for a white that fills the check data and submitted it to fulfillment, with a fine of no less than 10% of the value that has been recorded in the check and does not exceed twice that value, provided that the value of the fine is not less than five hundred dinars and does not exceed ten thousand dinars in all cases.
The project acknowledges that it was determined by a decision of the Central Bank of Bahrain after coordination with the relevant authorities, the stages of implementing the partial loyalty to the value of the check stipulated in Paragraph 1 of Article 465 bis, of Article Two of this law, after verifying the availability of technical arrangements and technical preparations for the drawee and necessary to ensure the partial fulfillment of the checks effectively.
