The present article deals with two issues that have always been a great concern for scholars in the field of Islamic economics in interest-free banking: receiving damages and delayed payment fines. This article is an attempt to study the principle of late payment damages, the condition of damages, and that of delayed payment fines. The important point is to reach the jurisprudential rule of these two cases and distinguish between them, since jurisprudents’ views and statutory laws concerning them are confusing and vague. This issue is so closely linked with bank contracts that it is not possible to study them regardless of this point. Banks impose a provision on their applicants for facilities that every overdue payment of installments would require them to pay 1.48 percent of the amount of the installment, regardless of any loss suffered by the bank. Receiving damages does not prevent obliging the client to pay the delayed installments simultaneously. Most of the studies done in this field have tackled the issue of late payment damages in view of inflation. However, this article is an attempt to study damages and delayed payment fines irrespective of the issue of inflation and economic crises. It also studies the issue of receiving damages due to prior damages (compound damages). We hope this article will provide an opportunity for further study and the solution of banking problems.
Mesbahi Moghaddam, G. and Jalali, H. (2009). A Study of the Jurisprudential Rule of Penalty and Threat Clauses in Delayed Payment Fine in Interest free Banking. Journal of Islamic Law Research, 9(2), 5-55. doi: 10.30497/law.2012.1262
MLA
Mesbahi Moghaddam, G. , and Jalali, H. . "A Study of the Jurisprudential Rule of Penalty and Threat Clauses in Delayed Payment Fine in Interest free Banking", Journal of Islamic Law Research, 9, 2, 2009, 5-55. doi: 10.30497/law.2012.1262
HARVARD
Mesbahi Moghaddam, G., Jalali, H. (2009). 'A Study of the Jurisprudential Rule of Penalty and Threat Clauses in Delayed Payment Fine in Interest free Banking', Journal of Islamic Law Research, 9(2), pp. 5-55. doi: 10.30497/law.2012.1262
CHICAGO
G. Mesbahi Moghaddam and H. Jalali, "A Study of the Jurisprudential Rule of Penalty and Threat Clauses in Delayed Payment Fine in Interest free Banking," Journal of Islamic Law Research, 9 2 (2009): 5-55, doi: 10.30497/law.2012.1262
VANCOUVER
Mesbahi Moghaddam, G., Jalali, H. A Study of the Jurisprudential Rule of Penalty and Threat Clauses in Delayed Payment Fine in Interest free Banking. Journal of Islamic Law Research, 2009; 9(2): 5-55. doi: 10.30497/law.2012.1262
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