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Islamic Contract Law – Correct Basic Elements (Clarified Notes)
1. Offer (Ijāb)
2. Acceptance (Qabūl)
3. Consent (Riḍā)
4. Legal Capacity (Ahliyyah)
5. Subject Matter (Maʿqūd ʿAlayh)
6. Legality of Purpose
Clarification of Commonly Confused Elements
❌ Consideration
⚠️ Intention to Create Legal Relations
⚠️ Certainty
Clean Exam Structure
Essential elements of Islamic contract law:
Final Key Difference
One-Line Summary
1. Offer (Ijāb)
- Proposal made by one party
2. Acceptance (Qabūl)
- Agreement by the other party
- Form the ṣīghah (form of the contract)
3. Consent (Riḍā)
- Must be:
- Free and genuine
- Must not involve:
- Coercion
- Fraud
- Deception
4. Legal Capacity (Ahliyyah)
- Parties must:
- Be legally competent
- Understand the nature of the transaction
5. Subject Matter (Maʿqūd ʿAlayh)
- Must be:
- Lawful (halal)
- Certain (free from excessive uncertainty/gharar)
- Capable of delivery
6. Legality of Purpose
- Contract must not involve:
- Ribā (interest)
- Gharar (excessive uncertainty)
- Prohibited activities
Clarification of Commonly Confused Elements
❌ Consideration
- Not a strict requirement in Islamic law
- The principle:
- “No consideration = no contract” does not apply
- Lawful exchange and fairness
⚠️ Intention to Create Legal Relations
- Not treated as a separate formal element
- Reflected within:
- Consent and agreement
⚠️ Certainty
- Recognised but not separate
- Incorporated within:
- Requirement of valid subject matter (avoidance of gharar)
Clean Exam Structure
Essential elements of Islamic contract law:
- Offer (ijāb)
- Acceptance (qabūl)
- Consent (riḍā)
- Legal capacity (ahliyyah)
- Lawful and certain subject matter
Final Key Difference
- Islamic Contract Law
- Focus:
- Valid agreement + lawful substance
- Focus:
- English & Malaysian Law
- Focus:
- Consideration + intention + formal legal structure
- Focus:
One-Line Summary
- Islamic contract law =
“Offer and acceptance with consent, capacity, and lawful subject matter.”
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