Conflicts of interest? Reconciling international contract law and Islamic law’s prohibition of usury

Description

Opinion piece: A recent decision by Saudi Arabia to become a party to the United Nations Convention on Contracts for the International Sale of Goods (CISG) raises the question as to whether this 'gold standard' in global contract law could be compatible with Islamic law. Resolving this question will be an important step in enhancing global trade among cross-border traders to achieve greater unity between distinct legal and cultural frameworks and foster broader economic cooperation and harmony. If Saudi Arabia can demonstrate how the UN Convention on Contracts for the International Sale of Goods can interact compatibly with Islamic law, this could inspire greater participation from Muslim nations.

Subject

Islamic law, CISG, international contract law, Vienna Sales Convention, interest obligations, prohibition on riba, gharar, gharamah, ta'widh, sharia