CLASSIFICATION OF CONTRACT

ACCORDING TO LEGAL

CONSEQUENCE

CLASSIFICATION OF CONTRACT ACCORDING

TO LEGAL CONSEQUENCE

VALID (SAHIH

)INVALI

D (FASID)

VOID (BATIL

)

WITHHELD

(mauquf)

BINDING

( LAZIM)

Revocable

ENFORCABLE (NAFIDH)

VALID (SAHIH)

• All Islamic contract are perfectly valid. if a contract has all of the required elements, it is valid and enforceable in a court of law.

• Example: the people that paid the zakat will be valid after ijab and qabul. A homeowner (who is over the age of 18 and of sound mind) signed a contract with the appliance store to buy a refrigerator. The homeowner pays for the refrigerator and the appliance store presents the refrigerator for the home owner to take home.

INVALID (FASID)

• Contract void for any reason there is not base on Islamic Syariah.

• An agreement which is lawful in its substance but inlawful in its description

• Example: the crazy people or not mumayyiz invalid

VOID (BATIL)• Contract that can be enforce by any party. a void

contract is not a contract and has no effect in a court of law and cannot be enforced in a court of law. Most commonly, a void contract will be missing one or all of the essential elements needed for a valid contract. Neither party needs to take action to terminate it, since it was never a contract to begin with.Scholars decide on matters that can be violate the law would be invalid

• Example: sell the drug and alcohol (only certain party can approved the contract)

BINDING ( LAZIM)• Contract that attached with legal binding.

• Is a sound contract without any detect either in substance or description. It classified into two

• -irrecoverable contract

• Those where the parties shall not have any right to revoke at any stage of the contact such as contract is concluded by mutual consent of contacting parties.

• Example: contract of marriage

Revocable• The right to rescind can be exercise by either party

without the consent of the other party. There are two reasons due to which a contract becomes non-binding;

• 1)The nature of the contract allows independence to both parties like agency (wakalah), partnership (sharikah)

• 2) With an option that was stipulated in the contract that prevent it from becoming binding.

• Example: house rental

ENFORCABLE (NAFIDH)• Contract (Nafidh) Nafidh is an agreement, which does not involve any right of the

third party.

• This contract should not admit delay and must give rise to its effect immediately.

• It is of two types: lazim (binding) and ghair lazim (non-binding).

• The lazim is a contract of sale that has no options (to rescind) for any of the parties.

• The ghair lazim is a contract of sale that may have at least one option for any of the parties.Contract that made by the person who has the authority and qualifications to do

• EXample: insurance or mobile phone warranty

WITHHELD(mauquf)• Withheld Contract (mawquf) A mawquf contract is an agreement in which

the substance and the description are lawful, but is concluded with the consent of a party who does not own the subject matter of the contract.

• The mawquf contract as a sale is dependent on the right of another like the contract of fuduli. Fuduli means the catalyst or someone who make the disposition of property without the consent of its owner or without the sanction of shariah.

• Thus the legal consequences of a mawquf contract is pending until it is

ratified by the owner on behalf of whom the fuduli concludes the contractA contract to be valid if all conditions are meet and the seller filled

• Example: to buy a car must have a driving license