To choose the best policy of the water resources allocation, considering both the quantitative and qualitative factors based on the possible uncertainties, there has always been a significant problem in the dry lands from perspectives of the decision makers. In this paper, using Game Theory concept, a novel hybrid approach of the Game Theory based fuzzy logic is proposed to reconcile conflicts among stakeholders of dam reservoirs who have their own different strategies and utilities to choose the best policy in order to gain the highest profit regarding the situations they deal with. In the proposed method, after the fuzzification of decision makers’ strategies, a matrix called a “priority matrix” is formed in which a combination of their strategies and priorities is presented as the matrix elements. Based on the concept of Nash equilibrium, an optimized scenario is elected from among the bargaining scenarios constructed via the integrated strategies. This method has the privilege of providing a game space in which a large variety of strategies and priorities of many decision makers can be modeled in a fuzzy space of variables to reach a point of agreement. In this study, the 15-Khordad Dam of Iran is selected as a case study area which faces problems such as salinity, low quality water, and conflicts among stakeholders. The results of the study indicated that the proposed method could be led to an optimized strategy for the water resources allocation.