Journal of Islamic Studies > Volume 28, No. 2, 2016

Jurisprudential Rulings on Pricing in Contracting Agreements / Abdullah Saleh Al-Saif

 This paper is concerned with contemporary financial transactions involving people's needs. Currently, contracting agreements are so varied that they need to be investigated. Such investigation is particularly needed by law-courts for handling disputes over pricing in contracting agreements. The paper follows a comparative analytical approach. It seeks to identify the difference between the issues with similarities, and to establish the appropriate ruling for each case. Among the paper's main conclusions are: Shar'iy adaptation to contracting agreements varies in relation to forms; the form could be ijaarah, salam, or istissnaa', and it could be in the category of firms, or a loan incurring interest, especially as specified in little details. The paper makes these recommendations: due attention should be given to research in transactions, especially new contracting forms; and professional colleges, especially architecture and engineering colleges, should introduce related Shari'ah courses into their syllabi.

Keywords: contracting – contract – transaction – rent – pricing – rate – ijaarah – salam – istissnaa'.