TASARRUF FUDULI AS A MECHANISM FOR RATIFICATION OF CONTRACT

The theory of contracts in Islamic law has been thoroughly deliberated by the Muslim jurists in fiqh literature. An important aspect of the discussion is the status of a contract which may vary, including among others a valid contract, an invalid contract, a void contract or an incomplete contract. Each of this status has different legal implications on the respective contracts. With reference to deliberation of the jurists, the discussion on tasarruf fuduli has been identified to focus on the status of a contract that is entered into through an unauthorised disposition, whereby the contracting party does not have the ownership or authority on the subject matter of the contract to conclude and execute the contract. There is however another perspective that tasarruf fuduli deals with the condition (shart) related to the subject matter (ma`qud `alaih) of a sale contract, where the contracting party must have the ownership on the subject matter.

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