In its literal meaning, fudhuli refers to a person who interferes in matters that is of no concern of his/her. Technically, fudhuli is one who disposes of someone’s rights and obligations without prior legal permission or authorization. In this sense, a fudhuli could not be a guardian (wali), principal (muwakkel), or agent (wakeel) in a contract, as all these people must have an established right or a prior authorization for disposal. The behaviour of a fudhuli is subject to various juristic rulings, depending on the transaction itself (i.e., sale, lease, etc). Hence, it refers to an unauthorised act performed by an agent (unauthorised agent). Shari’ah does not allow anyone to deal with the property of another person without prior permission. The Hanafites and Malikites hold that the acts of unauthorized agent depend on the ratification and approval of the owner of the property. The Shafites, Hanbalites and Zahirites hold that the contract is not valid. How is this similar to the legal position in Malaysian law or English law? Section 135 of Contract Act 1950, which inherit the spirit of English law, define an agent as a person employed to do any act for another or to represent another in dealings with third persons, while a principal is the person for whom such act is done or is so represented. Apart from any authority given by the principal expressed by his words or in writing, expression that denotes authority may also exist in the following situations:
(i)Â Â All such powers or acts as are necessary or proper to execute the express authority;
(ii)Â the circumstances of the case;
(iii) the custom or usage of trade; and
(iv) the situation and conduct of the parties.
