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Islamic Finance




Ikrah


The use of coercion to force someone to do something without his/ her consent (ridha). Coercion or duress or compulsion is typically applied by threatened injury or restraint which prevents a person from exercising his/her free will (iradah). This involves the use of mental or physical force (it envisages a serious threat- tahdid) and extends to all cases where a person is deprived of his/ her free will. Application of ikrah (إكراه) is prohibited by shari’a and therefore it would have no effect on the capacity for acquisition or the capacity for execution in the context of mu’amalat. Anything (item of wealth) acquired under ikrah is considered by shari’a utterly illegal and any type of agreement/ contract used for such wealth transfer would be voidable.



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