Dispute Boards > Sharia’a, Civil Law & DBs

Dispute boards assist the parties in determining the correct interpretation of contracts and consequently, help them to fulfill their obligations.

Sharia’a believes in the binding character of any agreements. The Holy Qur’an says: Oh, you who believe abide by your contractual commitments’ and ‘Oh, you who believe fulfill your contracts’ (al-Ma’ida 5:1).

 

Islamic Contract Law

The principles of Islamic contract law are:

  • The freedom to contract
  • The binding effect of the contract
  • The doctrine of permissibility
  • The duty on the contracting parties to act in good faith
  • The principle of honesty and fair trade
  • The prohibition of misrepresentations

Again, a dispute board will assist each party to abide by these principles while interpreting the contract in a fair and judicious manner.

 

Amicable Settlement and the Avoidance of Disputes

Sharia’a also encourages amicable settlement and the avoidance of conflict and disputes. Therefore, when assisting the parties to resolve disputes in a professional manner, dispute boards are Sharia’a compliant because they positively prevent disputes occurring, they help to resolve them and they avoid their escalation.