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The Shariah Advisory Council of Bank Negara Malaysia (the SAC) 145th Meeting

The Shariah Advisory Council of Bank Negara Malaysia (SAC) held its 145thmeeting on 25 March 2014. The meeting discussed issues arising from Shariah Standard on Ijarah and Shariah Standard on Wadi`ah.
 
On the Shariah Standard of Ijarah, the issue discussed was on the status ofijarah contract in the event of the demise of any contracting party during the tenure of the contract. The preliminary view of the SAC concluded that in the event of the demise of one of the contracting parties in ijarah, the contract shall remain in force and will not render the contract into dissolution.
 
For the Shariah Standard on Wadi`ah, one of the issues discussed was on the additional payment above the qard amount. The preliminary view of the SAC is that such additional payment is not allowed, except for voluntary additional payment that is not pre-determined, agreed or promised at the time of entering into the contract or during the contract period.

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