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Islamic Contract Law – Sanctity of Contract in the Qurʾān (Expanded Notes)


1. Core Qurʾānic Principle
  • Central verse:
    • “O you who have believed! Fulfil your undertakings (ʿuqūd)”
👉 Establishes:
  • Sanctity and binding nature of all contracts


2. Meaning of ʿUqūd (Contracts/Undertakings)
  • ʿUqūd (plural of ʿaqd) can include:
    • Commercial contracts
    • Treaties and agreements
    • Covenants
👉 Broad concept:
  • Not limited to business transactions


3. Interpretation by Early Scholars
A. Companions’ Interpretation
  • Scholars such as:
    • Ibn Abbas
    • Mujahid ibn Jabr
  • Interpreted:
    • ʿUqūd = treaties and agreements between parties


B. Scholarly Consensus
  • Ibn Jarir al-Tabari
    • Reported:
      • Consensus among Companions on this meaning


4. Application in the Time of the Prophet
  • Treaties were:
    • Clearly written
    • Included:
      • Specific terms and clauses


Examples of Practice
  • Peace treaties:
    • Negotiated and documented
  • Parties were expected to:
    • Strictly fulfil agreed terms


👉 Shows:
  • Early Islamic practice recognised:
    • Formal contractual obligations


5. Alternative Interpretation (Broader Meaning)
  • Some scholars interpret:
    • ʿUqūd as covenants with God


Meaning
  • Includes:
    • Religious obligations
  • Example:
    • Obeying divine commands


👉 Expands concept:
  • From:
    • Legal contracts
  • To:
    • Spiritual commitments


6. Key Insight
  • The verse establishes:
    • A general rule of obligation
👉 Covers:
  • Human-to-human contracts
  • Human-to-God covenants


7. Importance in Contract Law
  • Reinforces:
    • Binding nature of agreements
  • Forms basis for:
    • Principle:
      • Contracts must be honoured


Final Summary
  • Qurʾān establishes:
    • Sanctity of contracts (ʿuqūd)
  • Interpreted as:
    • Treaties and agreements (majority view)
    • Covenants with God (broader view)
  • Practical implication:
    • All valid commitments must be:
      • Respected and fulfilled


One-Line Understanding
  • In Islamic law:
    👉 “Every valid undertaking—legal or moral—must be fulfilled.”




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