ETHICS RESUME UAS
Chapter 8
Production and Marketing Ethics
Urgency of Discussion
Ethics in production and marketing is crucial to discuss, because in reality, there are still many
individuals who violate consumer rights, especially in terms of production and marketing. The
most common example is in advertising, where producers often advertise goods that are not in
accordance with the original (better) condition. Another example is like consumers who are
poisoned after consuming certain products. In this topic, we will learn if an error or defect occurs
in the product, production process, marketing process who is to blame? Is it a consumer? Factory?
Manager? Or marketing?
Theory of 3 Views
The transaction between us and the company is like a contract. In that contract, we as buyers buy
goods at a certain price with the belief that the goods we buy have a value according to the amount
of money we pay. And when both parties agree, then a contract occurs. This theory is called The
Contract View or also known as Caveat Emptor. So if something happens to the buyer after the
transaction, the seller is not responsible. For example, if the buyer dies or is poisoned after
consuming the product, then it is the buyer's own fault. However, this view has several conditions
that lead to controversy, including:
Both parties to the contract must have full knowledge of the agreement in the contract. That is, the
buyer must know the condition of the product. In reality, the majority of sellers try to hide the
defects or shortcomings of the products they sell.
There should be no mistakes or mistakes in understanding the contract
Both parties must agree voluntarily, there should be no coercion from any party.
An example of the application of this contract view theory is what happened to vaccines. The
government has provided vaccines for its people by previously informing them of the risks such
as the possibility of death, weakness, fever, etc. According to this theory, the people as vaccine
recipients should not blame the government for the risks after the vaccine. Because the government
has provided the information beforehand and frees the people for vaccines or not. When you have
done the vaccine, it means that the people have agreed to whatever risks they will receive later. So
it will be the people's own fault if they die. In the contract view, there are 4 tasks that must be
carried out by the factory to carry out its business ethics, namely:
1) The factory has standards to meet, such as consistently maintaining product quality, etc. One of
the standards for assessing factory consistency is ISO, which is like an accreditation to ensure
factory quality.
2) The manufacturer must disclose any deficiencies or defects that occur in the product. So that
consumers have the right to cancel their product orders when there are defects or deficiencies that
were not previously notified (either cheated by the manufacturer or manipulated). In Islam, this is
related to a term called khiyar, namely the right to cancel.
3) The manufacturer is obliged to display the product as it is, it must not be exaggerated or faked,
including in terms of advertising. Because the case that often happens is in advertising, the product
is exaggerated and even uses properties that seem to fake the quality of the product so that it differs
greatly from the actual condition of the product.
4) The factory must not force the consumer. Forcing can occur in two cases, namely
psychologically, and physically. An example of psychological coercion is what usually happens
in the practice of offering insurance where the insurance company scares consumers with death,
etc.
In terms of the contract, there are several problems, including:
1) It is often misinterpreted that the agreement between the manufacturer and the consumer must
be carried out directly. For example, we as buyers must agree directly with the factory that owns
a certain brand before finally making a transaction. Thing
it is certainly wrong because what is meant is an agreement that the buyer accepts any risk that
occurs after the transaction process and this can be done with the store clerk where the buyer
bought the product.
2) Consumers can freely buy products with certain qualities, and vice versa, they also have the
right to buy products without these qualities. For example, a consumer who wants to buy Aqua
brand mineral water has the right to buy only the water so that the price is cheaper, without
packaging, labeling, etc. Because when we buy Aqua with a certain price that has been determined,
it means we have bought it in a package with packaging and labeling. That means it will be cheaper
if we only buy the water. This is of course troublesome.
Due Care View
If the previous view was called Caveat Emptor, this view is called Caveat Vendor. This view can
be said to be the opposite of the previous view. Here the one who is responsible or blamed if
something bad happens to the product is the manufacturer or the manufacturer. Because the
assumption is that if the buyer buys it, the producer will take care of it. This view arises based on
the reason that producers and consumers have different levels of understanding of the product. Of
course, the factory knows more about the product because they are the ones who produce it. So if
something bad happens to the product then it is the responsibility of the producer, not the
consumer. According to this view, it is an obligation for the manufacturer to take full responsibility
for the bad things caused by the products they make. To avoid bad cases occurring due to the
negligence of the manufacturer on their products, this view has 3 standards that must be met
by the manufacturer, namely
1) The factory is responsible for the design of the product. Manufacturers need to ensure that their
products are designed safely and do not endanger the buyer. Like Aqua, which uses plastic
packaging.
2) Controlling the quality of the production process. The production process must be carried out
consistently following existing standards, such as complying with ISO, etc. One Aqua with other
Aqua must have the same taste, quality, and packaging safety or standard. Consequently, if Aqua
had followed this standard, and there was one case the consumer's death after drinking Aqua, then
it's not Aqua's fault. Because Aqua already follows existing standards and controls the quality of
their products. Moreover, the case occurred only 1 in 1,000,000. In this case, according to this
view the ones who should be blamed are the shopkeepers where the buyer bought the Aqua.
3) The manufacturer is obliged to provide information such as labels, warnings and instructions.
For example in the case of mineral water, there is usually a warning "don't drink when the product
is not sealed." But the buyer still consumes it and then dies or is poisoned, so Aqua is not
responsible and cannot be blamed. But this is the consumer's own fault.
Just like the previous view, this due care view also has drawbacks, including:
1) The absence of a clear method to determine when due care or caution from the company has
been achieved. Even though there are ISO and other standards, the word care is still too subjective
to define.
2) The assumption that the manufacturer can detect or find risks before consumers buy and use
their products looks a bit impossible. Because even though companies have more knowledge about
their own products, it is not a guarantee that they also know the risks. It two different things.
Because it could be that during the delivery process from the factory to the hands of consumers,
there are things out of control that could happen. For example, when someone sells martabak, he
may not know that there is a bad person who put poison in a container that will mix with the dough.
3) This view is considered too paternalistic. Paternalistic is the view that a child must follow 100%
of what their parents say, and have no authority or room to make their own decisions. In the view
of due care, we as buyers are asked to trust 100% in the company or the factory that they have
done a good job to maintain the quality of the products they produce and provide information about
these products correctly and 100% honestly. Even though sometimes companies do marketing
gimmick.
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Social Cost View
The social cost view or The Social Cost View has the same basic assumptions as the previous
view, due care. The difference, in this third view, is more stringent. If in the view of due care the
fault is indeed assigned to the factory, but if the factory has been proven to have implemented the
3 standards, which consist of design, production, and information, then the factory can absolve
itself of all the mistakes that are accused of it. Meanwhile, from a social cost perspective, all
responsibilities are delegated to the factory without any reason. Even though the factory has
complied with the above 3 standards, complied with ISO standards, still if a consumer is poisoned
or dies, it is the responsibility of the company.
Just like the two previous views, the social cost view also has drawbacks, including:
1) It is considered unfair because it violates compensatory justice. A person should be obliged to
compensate only if they can predict and prevent something bad from happening. But here of course
the company can not predict how the state of their products when it arrives in the hands of
consumers. They can only prevent bad things from happening during the production process such
as doing quality control. So it's unfair to blame the company for what they don't know can or will
happen.
2) By applying the view of social costs as it is, this makes consumers tend to be careless, because
they feel it is okay if they get something bad, the company will compensate or pay compensation.
And with increasing consumer carelessness, this also has the potential to increase consumer
accident rates.
3) Because the company is required to cover every accident that occurs to consumers, this has the
potential to make the insurance industry go bankrupt.
Khiyar
Khiyar is a right owned by the parties involved in the transaction process, namely between
continuing the transaction or canceling it based on agreed reasons according to the teachings
Islam. An example is when a buyer purchases an item that turns out to have a defect or is damaged,
the buyer has the right to return the product to the manufacturer or seller. For example, Person A
buys Aqua at a roadside shop, then Person A realizes that the bottle seal has been opened before
he opened it, then based on the contract view, Person A cannot return it to the seller because Person
A has agreed beforehand. But in the view of Islam, A may return it and ask the seller for a
replacement. Here we can see how fair the rules in Islam are. As the hadith of the Prophet
sallallaahu 'alaihi wasallam.
“A sale and purchase transaction with khiyar can be carried out as long as both parties have not
died at the majlis (place) or until both of them leave the majlis. If both are equally honest and
explain about the shortcomings of their products, then the transaction is blessed. And if they try to
hide their product defects and lies, then the transaction is cancelled.”
There are several types of khiyar, which means we can cancel the transaction if one of these
types of khiyar occurs, namely:
1) Khiyal Al Majlis (ie as long as the buyer has not left the place of transaction, then he has the
right to continue or cancel the transaction)
2) Khiyar Ash-Syarat
3) Khiyar Al-‘Aib
4) Khiyar At Tadlis
5) Khiyar Al Ghabn
6) Khiyar Fil Ba’I bon Takhyirits Tsaman
7) Khiyar li Ikhtilafil Mutabayi’an
Chapter 9
Ethics of Job Discrimination
Definition of Discrimination
Before learning more about the ethics of job discrimination, we need to first know the meaning
of discrimination. In language, discrimination is defined as a way to distinguish one object from
another. My sentence discriminates against you means I discriminate against you. However, in
order to learn something as a whole, it is not enough just to be linguistically deficient in order to
avoid misunderstanding. An example is the word bid’ah which literally means something new,
but not every new thing is forbidden or called bid’ah. Likewise with discrimination, not every
time we differentiate something will be counted as discrimination. This is where the important
role of operational definition is, that is, we need to understand something not only in terms of
language, but also in terms of its context. The definition of discrimination in terms is the wrong
act in discriminating between people not based on individual performance, but based on personal
conjecture or suspicion. An example is the allegation that Papuans like to get drunk. This
includes discrimination because evidence is needed and judging someone not because of their
individual performance. Not all Papuans like to get drunk, of course. The opposite of
discrimination is objective, which is when we judge or discriminate someone based on their
performance. An example is opening a new employee that requires someone to have special
skills and a GPA above certain standards. Makah al does not include acts of discrimination.
Three Basic Elements Causes of Discrimination
In Velazques’ book, there are 3 basic elements that become factors that cause
discrimination, namely:
1. Decisions are made not based on performance, but based on individual preferences, like
or dislike. An example is a lecturer who gives good marks to beautiful students. This
includes discrimination because they do not judge based on existing performance.
2) Decisions are made based on preconceived notions of ethnicity, race, gender. An example
is a real case that happened when a boarding house mother refused to allow Papuan students
to board at her place, with the assumption that Papuans like to get drunk. Even if the reality is
true like this, it cannot be generalized that all Papuans like to get drunk.
3) Decisions taken to prevent disruption of personal interests. As is often the case among
politicians. An example of this is an individual who appointed a manager from his party,
because he felt the need to repay his party for being his successful team.
Discrimination in View of the 3 Basic Principles of Ethics
As has been studied in the previous chapter that there are three basic principles of ethics,
namely:
1) The Utilitarianism Argument, which views that what is ethical is when the benefits obtained
are greater than the costs incurred.
2) Rights argument, which says that every individual has 2 rights, namely positive (that a person
has the right to be fulfilled what is his right), and negative rights (that is, a person has the right
not to be hurt)
3) Justice Argument, which has several classifications including retributive justice, and
compensatory justice.
It turns out that in terms of the 3 basic principles above, this act of discrimination violates all
three. On the principle of utilitarianism, in the case of companies, companies that discriminate
mean that they have wasted the opportunity to get the best brains to join them, because they do
not judge based on performance. Another disadvantage is that it could be the best person we turn
down because of the earlier race employed by our competitors. In principle, rights also violate
the positive rights of someone who is the object of discrimination. An example is the case of the
Papuans where they also have the right to get boarding houses like people from Java, Sunda, etc.
Discriminatory acts also violate ethical principles when. That is the distribution of benefits and
burdens that are not evenly distributed. Even though everyone has the same right to get benefits
and burdens based on their own abilities respectively. It doesn’t matter the people of Papua,
Sunda, Kalimantan, Java, etc.
Discriminatory Practices
There are several discriminatory practices that commonly occur around us, including:
2) Promotion Practice
Discriminatory practices in promotions occur quite a lot in companies, especially companies that
still have ancient principles such as seniority. They are reluctant to raise the position of new
employees and choose to prioritize senior employees first (seniority). In fact, it could be that the
competence of the new employee is better than the older employee.
2) Working Conditions
That is when employees who have the same job but get different salaries.
3) Firing someone because of their taste or gender
4) Recruitment Practice
Such as recruitment of referrals from certain people, and recruitment of “only men/women”
5) Screening Practice
That is discrimination that occurs during interviews or psychological tests for new employee
acceptance. Usually based on likes or dislikes.
Policies to Prevent Discriminatory Practices
There are 2 strategies that can be implemented to prevent discriminatory practices,
namely:
2) Negative Policy
That is, decisions are made without knowing or blind to gender, race, ethnicity, and other things
that can make decisions biased.
2) Positive Policy
This policy is also known as affirmative action, which provides equal treatment or prioritizes
those who are minorities or who often receive previous acts of discrimination. This policy
resulted in some criticism because it was considered unfair as well. The following are some of
the criticisms against positive policies:
That positive policies are not a solution to discrimination. But discrimination of a new model or
style, which is called reverse discrimination or the opposite of discrimination. How is it different
from discrimination if there are groups that are prioritized and not prioritized? However, there
are also those who defend this policy with the following arguments:
- This is not reverse discrimination, but an instrument to achieve social goals, namely a
heterogeneous and plural society
- This is not discrimination, but a form of compensation justice. Because in the past, those who
were in the minority and experienced discrimination would also feel hurt and other losses as a
result of being discriminated against, this policy is a compensation for the losses they used to
feel. That way, their rank will be raised and their hurt will be healed.
- This is not discrimination against white people or the majority, but preferential treatment of
minorities. Those are two different things.
That special treatment violates the principle of equality itself because it includes irrelevant
factors (race and gender) in making job decisions
Whereas special treatment actually makes them the minorities look inferior because they need
special treatment to be able to compete with white people.
Discrimination in Islam
The point is that those secularists feel confused in determining good and bad ethics, standards of
right and wrong. What guidelines should they adhere to? What are the laws? It could be that
lawmakers also have personal interests behind the creation of these laws. So that we as Muslims
must be grateful for what Allah ta’ala has
set as a guideline for our lives, namely the Qur’an and Hadith.
Now the question is, how does the Qur’an and Hadith view discrimination? The answer is if it is
necessary then it is permissible. For example in the case of choosing a leader, Allah ta’ala
commands us to choose a religious leader Islam. Even though this violates SARA (Tribe,
Religion, Race, Intergroup), as a Muslim we are obliged to prioritize Allah ta’ala’s
commandments. Because the meaning of a Muslim himself is a person who surrenders to his
God, that is, follows his orders and stays away from his prohibitions. As in the case of marriage,
it7orbid7ory to find a partner of the same religion. In QS. Ar Rum: 22, Allah ta’ala says
“And among the signs of His power is the creation of the heavens and the earth and the diversity
of your languages and the colors of your skin. Indeed, in that there are signs for people who
know.”
From this verse we know that differences in race and skin color are natural. And every believer is
a brother. The Companions of the Apostle used to come from various groups such as Bilal Ibn
Rabah radhiyallahu ta’ala ‘anhu who was black. Even the Prophet sallallaahu’alaihi wasallam
heard Bilal pumping in Heaven. Whereas in terms of gender, in Islam men and women have
different duties and nature. As QS. Al Hujurat: 13
“O people! Indeed, We have created you from a male and a female, then We made you nations
and tribes so that you may know one another. Indeed, the most honorable among you in the sight
of Allah ta’ala is the one who is the most pious.”
Also His word in QS. AnNisa: 34
“Men are leaders for women, because Allah Ta’ala has preferred some of them (men) over the
others (women), and because they (men) have spent part of their wealth. Therefore, pious women
are those who obey Allah ta’ala and take care of themselves when their husbands are not around,
because Allah ta’ala has taken care of (them). The women you are worried about nusyuznya,
then advise them and separate them in their beds, and beat them. Then if they obey you, then
don’t look for ways to trouble them. Indeed, Allah ta’ala is Most High, Most Great.”
Chapter 11
Riba and Ghoror
Riba definition
Riba comes from the word Ar Roba which means ziyadah or “addition” in language. However, we
cannot understand one terminology only in terms of language, so that our understanding is more
complete, we need an operational definition. The addition referred to in the riba category is the
addition that occurs in buying and selling transactions and debt transactions. The additions here
still need to be specified again so that not every addition in buying and selling and debt is
considered usury. Like the price of meatballs which is more expensive at place A than at place B.
It doesn't mean that meatball seller A is doing usury.
There are many cases of misunderstanding in understanding something because it only interprets
it linguistically. The most common example is the error in understanding the meaning of bid’ah
which linguistically means innovation or something new but in terms is something new in religion
that is not taught. Those who misunderstand think that laptops, planes, cellphones, and other
innovations that did not exist at the time of the Prophet sallallaahu’alaihi wasallam are bid’ah
which are8orbiden. Even though the bid'ah in question is an addition in r’ligious matters such as
the 5 cycles of midday prayer, and so on. This is where it is important to understand the definition
of something not only in terms of language but also in terms of context or terms.
Riba distribution
Riba can occur in two transactions, in which there will be a division of each, namely:
1) Accounts Payable Transactions (Riba Dayn/Duyun)
Dayn riba is usury that occurs in accounts payable transactions and is further divided into two,
namely:
∙ Lending and Borrowing (Riba Qardh)
Debt-based riba is borrowing and borrowing. There should be no additions in this
transaction. Every time there is an addition in the debt contract
receivables, it is included in usury. An example is when we owe 1 million and are required
to return 1,500,000, then this is usury.
∙ Benefits of delayed payments (Riba Jahiliyah)
Named jahiliyah usury because this was common in the previous jahiliyah era. Namely the
occurrence of additions in accounts payable transactions when someone who is in debt
pays late. For example, when someone is 1 million and is required to return it within 1
month. If more than 1 month, you will be fined 100,000 per day. This is usury, although if
you pay on time there is no extra, but at the beginning we agreed on a late fee. Ironically,
this is still happening today, namely in credit card transactions. Like 0% credit installments,
this is still considered usury because 0% applies if it's not late. Riba jahiliyah that occurs
in more sophisticated media nowadays is like paylater. Because their principle is that there
is an additional fee if the payment is made beyond the due date.
Unlike the case when the debtor pays the debt in excess of what it should be, without an
agreement at the outset or without being asked by the creditor, this does not include usury.
Because it is purely the willingness of the debtor, it could be because of his gratitude to the
creditor. So it can be concluded that the keyword usury payables is that there is a condition
at the beginning of the contract that you have to return the debt in an amount that is more
than it should be, both late and timely payments.
2) Sale and Purchase Transactions (Riba Buyu')
This sale and purchase transaction is divided into 2, namely:
∙ Riba Excess (Fadhl)
Fadhl usury is usury related to ribawi items which number 6, namely: gold, silver, bur (fine
wheat), sya'ir (lower quality wheat), dates, and salt.
These ribawi items cannot be seen externally, only those 6, but need to be seen visually or
based on their function. 4 Priests
madhhab does not see ribawi items as limited to just those 6 items. For example, gold,
according to the Hanafi and Hambali schools, the function of gold at the time of the Prophet
sallallaahu'alaihi wasallam was as a measuring instrument. Meanwhile, according to the
Shafi'i and Maliki schools of thought, gold at the time of the Prophet sallallaahu'alaihi
wasallam was a tool for swap. So if there are goods other than gold that function as a tool
or exchange rate, then those goods are included as ribawi goods. Today, goods that function
as a medium of exchange are rupiah currency. So, rupiah money is included as usury goods.
Similar to wheat, the function of wheat in ancient times was as a staple food, so if there
were goods that also function as staples, those items were included as ribawi goods. So it
depends on the context of each place/region, and the context of the era.
When transacting with these 6 items, we need to pay attention to a number of rules so as
not to fall into usury fadhl. There are 4 rules that need to be considered - When the goods
are of the same type and function, they must be exchanged for the same value or size and
must be paid in cash or on the spot (no online and no delay). Like gold with gold, and
rupiah currency with rupiah currency.
- If the item is of a different type but has the same function, it must be paid in cash and
does not need to be of the same value. An example is gold with rupiah, and rupiah with
dollars.
- When the goods are of different types and have different purposes (functions), then there
is no need for these two conditions (worth and place). An example is like money with rice
and money with dates. Ilat dates are fruits that can be stored for a long time

When ribawi goods are exchanged for non-ribawi goods, there is no need for these two
conditions (worth and place). An example is gold with clothes, or gold with motorbikes.
Gold is ribawi goods, while clothes and motorbikes are not.
As a hadith follows
“If gold is exchanged for gold, silver is exchanged for silver, bur (wheat) is exchanged for bur,
sya'ir (barley, a type of wheat) is exchanged for sya'ir, dates are exchanged for dates, and salt is
exchanged for salt, then the amount (measures or scales) must be the same and paid in cash (cash).
Whoever adds or asks for additional, then he has done usury. The one who takes the extra and the
one who gives it are both in sin." (HR. Muslim no. 1584)
∙ Riba 2 Agreement (Yad)
Yad is an Arabic word which means hand. This transaction is called usury because hands do not
meet each other (no cash/no cash/no cash/credit). However, payments by credit are not necessarily
subject to usury. Credit payments that are not punished with usury are when the total payment has
been agreed upon in advance. An example of a case is when person A buys a motorbike from
person B, if paid in cash then the price is 50 million, but if paid on credit or in installments over 1
year, it becomes 60 million. This is not necessarily usury, it needs to be specified again. If when
repaying for 1 year there is no fine even though the payment is late, then this does not include
usury. However, if there is a fine when payment is late, then this is considered usury. It could
include riba yad, it could also be classified as riba jahiliyah.
The Proofs of Riba
As already known and discussed that Islam forbids usury. Here are some arguments about the
prohibition of usury.
"Allah Ta'ala destroys usury and enriches alms." (QS. Al-Baqoroh: 276)
From Jabir radhiyallahu ta'ala 'anhu, he said, "The Prophet sallallaahu'alaihi wasallam curse the
usurer, the usurer feeder, the writer and the two witnesses", and he said, "They are the same." (HR.
Muslim, no. 4177)
"Those who eat (take) usury, cannot stand but are like the standing of a person possessed by a devil
due to (pressure) madness." (QS. Al-Baqarah: 275)
From Abu Hurairah radhiyallahu ta'ala 'anhu from the Prophet ShallAllah ta'alau 'alaihi wa sallam,
he said, "Avoid the seven (sins) that destroy!" They (the companions) asked, "O Messenger of
Allah shallallahu'alaihi wasallam! What's that?" He replied: Shirk towards Allah, Witchcraft,
Killing a soul that Allah has forbidden except by right, Eating usury, Eating the property of
orphans, Turning away from the raging war, Accusing adultery of free women who guard honor,
who believe, and who are clean from adultery." (HR. al-Bukhari, no. 3456; Muslim, no. 2669)
Ghoror
According to Ibnul Qayyim Al Jauziyyah, ghoror is something whose final outcome, essence, and
size are unknown. An example is insurance. When we buy insurance premiums, what are we
actually buying? How to measure the guarantee? This is what is called unclear or unknown. If the
ambiguity occurs at the end, then this is called petty gharar and there is nothing wrong because it
cannot be separated from the nature of the transaction. Such as paying tuition fees where the end
result is not clear whether the student who pays will be successful or not. However, if the ambiguity
occurs at the beginning, like the insurance earlier, it is not clear what was purchased, then this is
gross ghoror and is prohibited. Like gambling or betting. Bets are ghoror or unclear from the start
because they buy opportunities, where these opportunities cannot be measured. So insurance is
also called gambling. Ghoror can also occur in Islamic stocks, but this is still being debated, there
are ustadz who allow it and not. It is our right to choose which opinion but it must also be based
on clear reasons and knowledge. Don't just be a fanatic and go along with it.
Chapter 12
The Ethics of Setting and Increasing Prices
Pricing (Ta'sir)
Ta'sir is price fixing by the government. The government intervenes in market prices so that they do not
follow market prices. In economics, market prices should follow the interaction of supply and demand. If
supply and demand meet then an equilibrium price is created. That is what is called the market price,
namely the price that follows the interaction of supply and demand. Cheap or high prices depend on the
interaction between supply and demand. However, in the context of this discussion, prices in the market
do not follow the interaction of supply and demand, but prices have been set by the government. In
other words, ta'sir occurs when the government or government representatives order sellers to sell
their products at a certain price, and are prohibited from increasing or decreasing it. In this chapter we
will discuss whether this is permissible?
In this regard, there are two different opinions from the scholars who argue with the same argument,
namely QS. AnNisa: 29
"O you who believe, do not eat each other's wealth in a vanity way, except by way of trade that applies
with mutual consent between you."
Scholars who argue that it is not permissible to carry out a ta'sir have the opinion that having an
interpretation will make a person eat other people's property in a vanity way. An example is the current
onion price of IDR 5,000, then the next day there is a shortage of supply which causes demand to rise
and prices to rise. Then the government sets a certain price for onions so that it is not sold for less or
more than that price. According to scholars who do not allow the practice of ta'sir, this act is considered
tyrannical. Because the government has taken the seller's property in a vanity way. Because if there is
no practice of interpretation, the seller has the right to increase the price. Vice versa when prices are
cheap, and the government sets a certain price. So in this case the government tyrannizes buyers
because buyers can buy at a lower price than what has been set by government. Scholars who forbid
interpretation also argue with the following hadiths whose meaning is generalized in all aspects or
generally accepted
"O Messenger of Allah, set a price for us!" He replied, "Allah ta'ala is truly a price maker, retainer, and
giver of sustenance. I hope to meet my Lord where one of you does not sue me because of tyranny in
terms of blood and property ". Narrated by the six main hadith priests except An-Nasa'i. (Hadith Hasan
Sahih)
The scholars who allowed it reasoned that in the context of muamalah, the law would be more flexible
than in the context of worship. Islam is a religion that makes things easy. In the rules it is also stated that
the law of muamalah origin is halal or permissible until there is an argument against it. Making policies
such as ta'sir is included in the practice of muamalah because of hablumminannas (interaction between
people). Besides that, if the practice of ta'sir is banned, there could be opportunists who hoard goods
and then monopolize the market. If the government does not do the ta'sir then this will benefit the
hoarders. So that ta'sir is permissible, namely to realize one of the maqashid sharia, namely protecting
property. Scholars are of the opinion that interpretation does not violate any Islamic law and even in an
increasingly complex period like now, government intervention is considered very important. Because it
could be that there are elements that monopolize the market, such as the price of Gojek, which at first
was too cheap, and Shopee, which is dominated by Chinese traders. The scholars who allow it say that
ta'sir can become haram if the government's policy is indeed tyrannical to the people. But if the goal is
to perform a controlling function, then that's okay. Scholars with the opinion that it is permissible for
interpretation to provide conditions when interpretation is permissible, namely when in the following
circumstances
1) When people need goods. That is when the goods are necessities and the sellers are looking for
loopholes to get excess profits (bad sellers). 2) When there is ihtikar or hoarding. If something like this
happens, the government must make an interpretation that is detrimental to the hoarder. Whereas the
hadith about the Prophet sallallaahu'alaihi wasallam refusing to carry out the above interpretation
occurred when prices rose when goods were scarce, not because of hoarding. And can so it's different if
the goods at that time were expensive because they were hoarded, not because they were scarce.
3) When there is a monopoly
4) When there is an oligopoly, or cartel, namely collusion between sellers to raise prices.
Price increases
Is it permissible for sellers to raise prices or sell goods above the market price? To answer this question,
we need to return to the muamalah principle of origin, namely that everything is permissible until there
is evidence that prohibits it. So the answer is that it is permissible in general, unless there are certain
conditions that make it unlawful, including:
1) When there is usury (already explained in the previous discussion)
2) When there is ghoror (already explained in the previous discussion) 3) Ba'i Najasy
In language, ba'i means buying and selling, and najasy is an attempt by hunters to seduce animals so
that these animals come out of hiding and then are shot. In terms, namely the practice of buying and
selling pretending (not intending to buy) offering high prices so that other people are influenced to
increase their offers as well. Usually people who pretend
The temple is a friend of the seller. Likewise in online matters such as endorsements that pretend or
don't review honestly. As the following hadith ".. and don't buy and sell najasy..." (HR. Bukhari and
Muslim) "The Prophet shallallah ta'alau 'alaihi wa sallam prohibits buying and selling najasy." (Narrated
by Bukhari and Muslim). There are 4 types of ba'i najasy
- Pretend to bid a high price as described earlier. This practice often occurs in auctions. Where the first
bidder is usually a person who pretends to bid at a high price (but does not intend to buy) so that the
next bidder follows.
- Pretend to praise the quality of the goods being sold that are not like the reality so that buyers are
interested in increasing their bids.
- Pretend that many people want or like these items when in fact they are not, such as in the case of
apartment sales on television which say "buy now, only 1 unit left!", even though there are still many
units left.
- When displaying visual advertisements that do not match the facts.
4) Ba'i Talaqqi Rukban
Namely buying up the merchandise of the villagers before they get to the city. Then sold in the city at a
high price. This can be detrimental to village sellers because the price of their goods is reduced without
knowing the actual price in the market. This happened at the time of the Prophet sallallaahu'alaihi
wasallam, as the following hadith.
“Do not welcome outside merchants. Whoever welcomes him then buys goods from him and then the
outside trader enters the market (and knows he was deceived by offering a price that is too low), then
he has the right of khiyar (option to cancel the sale and purchase)” (HR. Muslim no. 1519)
5) Present li baad (broker buying and selling)
Similar to ba'i talaqqi rukban. The difference is, in ba'i talaqqi rukban, village sellers have not yet
reached the city. While li baad was present, the sellers had reached the city. Then the brokers visited
where the presence of these brokers was not wanted by the original traders. And sometimes the
broker's profit is far greater than the original seller. It's different when the presence of brokers or
intermediaries is desired by the original or official seller from the company, so this is permissible. In the
hadith it is stated that
"Don't welcome traders from outside (talaqqi rukban) and don't become brokers to sell villagers'
goods." Thowus' father then said to Ibn 'Abbas, "What does it mean by prohibiting buying and selling
present li baad?" HR. Bukhari
6) Ghabn
That is deceiving, deceiving, or reducing in terms of quality. In terms of fiqh, it is stated that the meaning
of ghabn is to sell or buy something at a price that is more or less than the equivalent. For example,
Oreo Supreme, which sells up to 1 million. This is called duping because there is no process or material
that distinguishes the quality of 1 million Oreos from 3,000 Oreos in general, only different packaging.
Different case when selling expensive goods but the quality is indeed good or the production process is
expensive and costly. So it's okay. There are two types of Ghabn, namely:
∙ Ghabn yasir or mild which means price fluctuations within a reasonable range, and this is permissible.
Scholars say that the reasonable range is 1/3.
"If goods are sold 1/3 more expensive than the normal price (market price), or 1/3 cheaper then there is
a ghabn." Asy-Syaikh bin Baaz Rahimahullah said the limits of Ghabn were returned to 'urf, namely local
wisdom (local norms).
∙ The second is ghabn fahisy or heavy, namely the fluctuation of prices outside a reasonable range, like
the Oreo Supreme earlier.
Coercion
Coercion in this case means every effort to force potential consumers to buy products, both physically
and psychologically, as has been alluded to in the previous discussion relating to insurance. There are 3
sins in insurance
1) The sin of usury fadl, namely exchanging rupiah for rupiah but with a different value, because we get
a claim that is greater than the premium we pay.
2) Ghoror Fahisy (severe), namely insurance cannot be measured. Pay a premium of 100,000 to buy
what?
3) Coercion, which is frightening with the future, as if we will die in an accident or seriously ill. This
shows the weakness of our hearts. As a believer we should put our trust in Allah ta'ala about the future.
Allah ta'ala said in QS. Al An'am: 116-117
“And if you obey most of the people on this earth, they will surely lead you astray from the path of
Allah. They are nothing but conjecture, and they are nothing but guesswork. Verily, your Lord, it is He
who knows more about those who have strayed from His path and He knows more about those who are
guided."
Chapter 13
Commendable Business Conduct
Good Manners (Ethics)
There are several important points in good manners:
1) Compassion, divided into 4 namely:
∙ Politeness
As business people, we shouldn't only think about profit, how to get a lot of money in a fast time.
Business people need to pay attention to their politeness in doing business too. An example of
this is as a buyer, when we see a seller who looks like he needs money, if you can give change or
increase the payment, don't even bid. As a seller, don't vilify or offend competitors when
advertising, because this is considered impolite, our consumers park in front of competitors'
shops, etc. As stated in the following hadith.
"May Allah Ta'ala have mercy on someone who is generous when selling, when buying and
when demanding." [Al-Bukhori]
"Verily, the best of you are those with the best morals" [Al-Bukhori]
∙ Easy Forgiving
Forgiveness is indeed difficult, especially when in business, we may suffer big losses. And that's
not just anyone's morals. An example of forgiveness is when we are deceived by people then we
forgive them. Indeed in our religion, when wronged by others we are given two choices, namely
to sue in the afterlife and to forgive. We may choose to demand, but when we choose to forgive,
then Allah ta'ala will forgive our mistakes too. Allah ta'ala said in his friman
“And not the same is good and evil. Reject (the crime) in a better way, then suddenly someone
between you and between him will be there enmity as if it had become a very loyal friend. And
those good qualities are not
bestowed except on those who are patient and it is not bestowed except on those who have great
advantage.” (QS. Fushshilat: 34-35).
There is a rule in forgiving, which is to forgive when we believe the person will change for the
better and there is a big benefit or benefit in it. And may not be forgiven when the person has
indeed been wrong many times and has no intention of changing. By not forgiving this we hope
that the person knows the feeling and can change.
∙ Compensation
Namely helping business partners, subordinates, superiors, or even competitors without
expecting compensation or rewards. As the word of Allah ta'ala "Then both of them walked; so
that when the two of them arrived at the people of a country, they asked the people of that
country to serve them, but the people of that country did not want to serve them, then both of
them found in that country a house wall that was about to collapse, so Khidhr erected the wall.
Musa said: "If you want, surely you will take a reward for it" [QS. Al-Kahf: 77]
∙ Relieving Other People's Troubles
This is a very commendable akhlaq because it is difficult to do. Especially nowadays, instead of
eliminating difficulties from other people, they are actually passionate and want other people to
be in trouble. An example of eliminating other people's troubles is not to overbid the price to the
seller, because we need to read the seller's condition as well. And don't collect debts rudely.
Before collecting debts, it's a good idea to first look at the debtor's condition so that we don't
make things difficult for him. Another case is don't force employees to work overtime without an
agreement. There is a hadith regarding this morality.
"Whoever relieves a believer's distress (sadness) in this world, Allah Ta'ala will relieve his
distress on the Day of Judgment. Whoever makes it easy for someone who is in a difficult
situation, Allah will make it easy for him in this world and the hereafter. Whoever covers
someone's disgrace, Allah ta'ala will also cover his disgrace in this world and the hereafter.
Allah ta'ala will always helps His servant, as long as the servant helps his brother." (HR.
Muslim).
Helping competitors is not something ordinary people do. If you want to be extraordinary, then
do something unusual too. By helping competitors, we will not be left behind at all. Because
fortune has been arranged by Allah ta'ala (certainly) and cannot be exchanged. Precisely what is
not certain is our reward, so by helping competitors, we collect uncertain rewards and it is
impossible for our fortune to be taken by competitors.
Commendable Forms of Business Cooperation
The following are forms of business cooperation that are permissible in Islam:
1) Syirkah Al 'Inaan
Namely the practice of business collaboration carried out by two or more people, where all
parties contribute money and effort, then they manage it together. Profits are shared based on the
agreement, and losses based on the percentage of capital. For example, person A and person B
work together to create a restaurant with 70% capital from person A and 30% from person B.
The profits between them are shared by agreement (both are pleased), it could be that person B,
who has less capital, gets more profit. many from person A, and vice versa. As for losses, person
A must get a greater level of loss. As the words of Ali bin Abi Talib radhiyallahu ta'ala 'anhu
"Losses are divided based on the size of the invested capital, while profits are based on the
agreement of the parties working together." (Kitab Al Jaami') 2) Syirkah Al Mudhorobah
That is a form of business cooperation in which one party is an investor (contributing 100% of
cash capital) and the other party is a mudhorib (contributing 100% of labor) or the recipient and
manager of the money. This form of collaboration is a solution for those who want to do business
but don't have the capital. Namely by offering business ideas to investors. Mushorobah itself is
divided into 2:
∙ Mudhoroba Mutlaqoh
That is when the money from investors absolutely becomes the authority of the mudhorib.
Mudhorib
free to do any business with that money, the important thing is that the capital can turn into
profit.
∙ Mudhoroba Muqoyyadah
That is the opposite of mutlaqoh, where the allocation of capital money was based on the will
and approval of investors.
What needs to be remembered is that in an investment scheme, there must be a possibility of
profit and loss. So that the capital owner cannot say "I invest like this and in 1 month I don't want
to know, the main thing is that I have to return 5%". Investors who only want to profit and do not
want to bear losses like this can fall into the practice of usury because they are exchanging
rupiah for rupiah of a different value.
3) Syirkah Al Wujuuh
Namely a form of business collaboration based on the position, image, or expertise that is
already known from 2 or more people involved in the collaboration. Both parties contribute in
terms of actions while the funds or capital are obtained from third parties. 4) Syirkah Al Abdan /
Syirkah Amal
That is a form of business collaboration where all parties only contribute in the form of charity or
deeds, without money.
5) Syirkah Al Mufawadhoh
That is the amalgamation of all types of previous collaborations. An example of this is when
Person A and Person B are designing a business plan, they are doing a charity syirkah, then they
are looking for investors and this is called a mudhorobah syirkah. After having a lot of capital,
they then invite other partners to procure or buy goods (procurement, take the goods first and pay
later when they have returned the investment) and this is called syirkah al wujuuh. And when all
these practices are combined it is called syirkah al mufawadhoh
Chapter 14
Implementation of Islamic Business Ethics
The main goal of studying Islamic business ethics is to study it. As a Muslim, it is our duty to apply the
Islamic laws that Allah Ta'ala has established in the Qur'an and Hadith in our daily lives. As the word
of Allah ta'ala
"O you who believe, enter into Islam as a whole" [QS. Al Baqoroh: 208]
"And those who believe, men and women, some of them (are) to be helpers for others. They order
(do) what is ma'ruf, prevent what is evil, establish prayer, pay zakat and they obey Allah ta'ala and His
Messenger. They will be given mercy by Allah ta'ala; verily Allah ta'ala is Mighty, Most Wise." [QS. AtTauba: 71]
One of the reasons we have to implement is because implementation is a form of effort to become
human beings who are more ethical and have better welfare. Because it is impossible for us to achieve
prosperity if we don't do anything. As mentioned in the word of Allah ta'ala.
"Indeed, Allah Ta'ala does not change the condition of a people until they change what is in
themselves." [QS. Ar-Ra'd: 11]
The Shari'a that Allah ta'ala made is actually to make human life easier, because by implementing what
Allah ta'ala has ordered, and avoiding its prohibitions we will achieve 5 maqasid sharia that have been
discussed in previous meetings, namely:
1) Hifdz Ad-Din, to maintain religion
2) Hifdz An Nafs, to nourish the soul
3) Hifdz Al 'Aql, to maintain the mind
4) Hifdz An Nasb, to maintain offspring
5) Hifdz Al-Maal, to maintain property
Forms of Implementation of Islamic Business Ethics
If you want to see the best era to be a role model, we as Muslims should look in the mirror at the time
of the Prophet sallallaahu'alaihi wasallam During the time of the Prophet sallallaahu'alaihi wasallam,
there were 3 types of income:
1) From the Muslims
Namely in the form of zakat (fitrah and maal) for those who have reached the haul and nishab, ushr
(tax), waqf, and shodaqoh.
2) From Non-Muslims
Namely in the form of jizyah (tribute or compensation), kharaj (building tax), and ushr 3) General
Namely from ghanimah (spoiled spoils), Fay (whatever is taken from non-Muslims without war), and
gifts from other kingdoms or governments
Tax
Regarding taxes, there are differences of opinion among the scholars, namely those who allow and do
not allow it.
Allows
The scholars who allow it assume that the government may collect taxes when the state has no
income at all, with several strict requirements, including:
1) The state has committed to implement Islamic law
2) The state has an urgent need for income for public purposes 3) There is no income from zakat, jizya
and ushr
4) The decision has been agreed upon by the ulama and community leaders. 5) It is only permissible to
collect taxes from the rich, not to the poor. 6) The policy of collecting taxes is not set forever, but only
temporarily.
Which Do Not Allow
The scholars who argue that taxes are not permissible reason that people Muslims no longer need to be
taxed because they have fulfilled the obligation to pay zakat. With the following arguments
"O you who believe, do not eat each other's wealth in a vanity way…." (QS. An Nisa: 29)
“Do not do injustice (he said it three times). In fact, the property of a Muslim is not lawful except with
the consent of the owner." (Narrated by Ahmad)
PRICING (Ta’sir)
The concept of price fixing in Islam is in accordance with Maqashid al-Syariah, namely realizing
benefit and avoiding damage among humans. Benefits can be achieved if a balance is created
between supply and demand. In economics it is called the equilibrium price.
One that plays an important role in price setting is the government. Price fixing by the government
is also known as ta'sir. In this topic, the government has set prices for sellers at a certain price, so
sellers cannot increase or decrease prices.
Next we will discuss whether this is permissible in Islam?
There are two different opinions from the scholars, forbidden & permissible.
FORBIDDEN
The opinion of the scholars who prohibit price estimation may not be at an equilibrium price so
that it will cause a person to take other people's property in vanity.
Price fixing requests never happened at the time of the Prophet. Hadith from Anas bin Malik,
"Verily many people came to the Messenger of Allah and said, "Set a price for us, our prices."
Rasulullah SAW said, "O people! Indeed, the increase (expensive) of your prices and the
cheapness is in the hands of Allah Subhanahu Wata'ala, and I hope in Allah when I meet Allah
(later), and not one person against me, (I have) tyranny in wealth and not in blood." Narrated by
six main hadith imams except An-Nasa'i (Hadith Hasan Sahih)
Pricing based on this hadith is expressly prohibited because it comes with tyranny. Ibn Wahab
heard from Imam Malik, namely "Don't one of you set prices on others in your market, then that
is tyranny."
QS. AnNisa : 29
ْ ْ ُ َ ْ َ ْ ُ َ َ ْ َ ْٰٓ ُ ُ ْ َ َ ْ ُ َ ٰ َ ْ َّ َ ُّ َ ٰٓ
َ ْ َ ً َ َ َ ْ ُ َ ْ َ ٰٓ ‫ا‬
َ
َ
‫اط ِل ِال ان تكون ِتجارة عن تراض‬
ِ ‫يايها ال ِذ َين امنوا ل تأ كلوا اموالكم بينكم ِبالب‬
ُ َ َ َ ‫ِّ ْ ُ ْ َ َ ْ ُ ُ ْٰٓ َ ْ ُ َ ُ ْ ا ه‬
‫اّٰلل كان ِبك ْم َر ِح ْي ًما‬
‫منكم ۗ ول تقتلوا انفسكم ۗ ِان‬
"O you who believe, do not eat your neighbor's wealth in a vanity way, except by way of buying
and selling that applies by mutual agreement between you."
for example, when the government sets the price for 1 liter of cooking oil is 20,000, but there is a
scarcity of oil where there is more demand but very little supply, the price of oil should be
increased according to demand so that sellers do not lose out. in this case the government has
wronged the traders for setting prices that should not have been allowed to do so.
Islam recognizes the freedom of each individual to carry out economic activities without harming
others, where each individual is ordered to use his wealth to meet his needs and improve his life
in a way that does not conflict with the benefit of society.
PERMITABLE
The scholars who allowed it reasoned that in the context of muamalah, the law would be more
flexible than in the context of worship. The rules also state that the law of muamalah origin is halal
or permissible until there is evidence against it. Making policies such as ta'sir is included in the
practice of muamalah because of hablumminannas (interaction between people). In addition, if the
practice of interpretation is prohibited, opportunists may occur who hoard goods and then
monopolize the market. If the government doesn't do the ta'sir it will benefit the hoarders. So that
ta'sir is permissible, namely realizing one of the maqasid shariah, namely guarding property.
Scholars are of the opinion that interpretation does not violate any Islamic law and even in an
increasingly complex period like now, government intervention is considered very important.
Because there could be someone who monopolizes the market,
Example:
such as the price of Gojek which was initially too cheap, and Shopee which was controlled by
Chinese traders.
Scholars who allow it say that interpretation can become unlawful if the government's policies are
tyrannical to the people. But if the goal is to perform a control function, then that's okay.
Interpretation conditions
1. When humans need goods.
2. When there is ihtikar or hoarding.
3. The occurrence of monopoly.
4. Occurrence of oligopolies or cartels.
Hadith
Yahya Bin Umar began the discussion by citing one of the hadiths from Anas bin Malik, "Verily,
many people came to the Messenger of Allah and said, "Set a price for us, our prices." Rasulullah
SAW said, “O people! Indeed, the increase (expensive) of your prices and the cheapness is in the
hands of Allah SWT, and I hope to Allah When I meet Allah (later), and not one person against
me, (I have) tyranny in wealth and not in blood. ”
PRICE INCREASES
Is it permissible for sellers to increase the price or sell the goods above the market prices?
To answer this question, the muamalah said that everything is allowed until there are arguments (quran
and sunnah) that prohibit it. So it is allowed to increase the price or sell goods above the market price
except when there is something that makes it haram like for example:
1. If there are riba
2. If there are ghoror
3. Ba’i najasy
In language ba’i means buy and sell, and najasy is a hunter method to seduce animal so they come out
from their hiding to be shot. Bai' Najasy, namely market engineering in ''demand'' or demand that occurs
when a producer creates a false demand, so that it seems as if there are many requests for the price of a
product which causes the selling price of the product to rise.
The example of ba’i najasy is if there are buyer A trying to bid on some goods for 50 thousand rupiah, and
then come buyer B who is a fake buyer who bid 75 thousand rupiah. Then because buyer A is afraid he
will not get the goods, he increases the offer to 80 thousand, and in the end the seller sells it to buyer A
at the price of 80 thousand.
From Ibn 'Umar r.a.: That the Messenger of Allah prohibited trading with najasy way". And in another
lafazh it is stated: Do not you people trade in a najasy way. (Narrated by al-Bukhari)
There is 4 types of ba’i najasy
a. Pretend to bid a high price as previously described. Practice this often
happens at auction. Where the first bidder is usually the one who pretends to bid
at a high price (but have no intention of buying) for the next bidder to follow suit.
b. Pretending to praise the quality of the goods being sold is not the reality so that buyers are
interested to increase the bid.
c. Pretending lots of people want or like the item when they really don't,
like the case of apartment sales on television which says "buy now, only 1 unit left!"
although there are still many units left.
d. When displaying visual advertisements that do not correspond to facts.
4. Ba’i talaqqi rukban
Namely buying up the villagers' merchandise before arriving in the city. Then sold in the city
at a high price. This can be detrimental to village traders because the price of their goods decreases
without find out the real price in the market.
The example is a buyer informs a person who wants to sell his goods that the goods to be sold are not
selling well in that place, with the aim that he can manipulate the price (buy them at a lower price than
usual).
From 'Abdullah bin 'Umar, he said,
َ ْ َ َ َ ْ ُّ ‫ُ ا َ َ َ ّا‬
ْ َ
‫ُْ ُ ا َ َ َََ َ ا‬
ُّ ِ ‫الن‬
‫ب – صىل هللا عليه وسلم – أن‬
‫ فنهانا‬، ‫الرك َبان فنش ّ ِتى ِمنهم الطعام‬
‫كنا نتلق‬
َ
َ
ُ
َ
ُ َ
‫ا‬
‫يعه َح ّاب ُي ْبلغ ِب ِه ُسوق الط َعام‬
‫ِ ن ِب‬
“In the past, we welcomed merchants from outside, then we bought their food. The Prophet
sallallaahu 'alaihi wa sallam then forbade us to do such buying and selling and let them arrive at
the food market and sell there” (HR. Bukhari no. 2166).
5. Present lii baad (broker buying and selling)
This is similar to ba’i talaqqi rukban, but the difference is, in bai talaqqi rukban, village sellers have not yet
reached the city. While, li baad was present, the sellers has reached the city. Then the brokers come to
visit where traders initially did not expect the presence of these brokers. And sometimes the broker's
profit is much higher than the original seller's profit. It will be different in the presence of brokers or
Intermediaries are desired by the original seller or official seller from the company, so this is allowed. The
example is city people who become intermediaries for inland people or perhaps for fellow city people.
This broker said, “You don't have to sell your own goods. Just let me sell your goods, later you will get a
higher price.
From Ibn 'Abbas, Rasulullah shallallahu 'alaihi wa sallam said,
َ َ ْ ُّ ُ ‫َ َ َ ا‬
ُ ‫ال َف ُق ْل ُت ل ْبن َع اباس َما َق ْو ُل ُه َل َيب‬
ُ ‫ان َو َل َيب‬
َ ‫ َق‬. » ‫اض ل َباد‬
ٌ ِ ِ ‫يع َح‬
« ‫يع‬
‫ل تلقوا الركب‬
ِ
ٍ
ِ
ِ َُ ُ ُ َ
ِ
ِ
َ
َ
َ ‫اض ل َباد ق‬
‫ال ل َيكون له ِس ْم َس ًارا‬
ٍ ِ ٌ ِِ ‫ح‬
"Don't welcome traders from outside (talaqqi rukban) and don't become brokers to sell villagers'
goods." Thowus' father then said to Ibn 'Abbas, "What does it mean by the prohibition of buying
and selling present li baad?" He said, “That is, he cannot be a broker”. (HR. Bukhari zero. 2158).
In the hadith of Abu Hurairah, Rasulullah shallallahu 'alaihi wa sallam said,
ْ َ ُ َ َ ُّ ُ ُ ِّ َ َّ َ َ َ ُ ْ
َ َ َ َ ْ ُ ‫َ ََ ا‬
َ ْ َ ‫ََ ا‬
َ
‫ف َم ْن تلق ُاه فاش ّ َتى ِمنه ف ِإذا أت سيده السوق فهو ِبال ِخيار‬.‫ب‬
‫ِ ل تلقوا الجل‬
“Do not welcome outside merchants. Whoever welcomes him then buys goods from him and then
the outside trader enters the market (and knows he has been tricked into offering a price that is too
low), then he has the right of khiyar (option to cancel the sale and purchase)” (HR. Muslim no.
1519).
From 'Abdullah bin 'Umar, he said,
َ ْ َ َ َ ْ ُّ ‫ُ ا َ َ َ ّا‬
ْ َ
‫ُْ ُ ا َ َ َََ َ ا‬
ُّ ِ ‫الن‬
‫ب – صىل هللا عليه وسلم – أن‬
‫ فنهانا‬، ‫الرك َبان فنش ّ ِتى ِمنهم الطعام‬
‫كنا نتلق‬
َ
َ
ُ
َ
ُ
‫ا‬
ُ
‫ا‬
َ ‫نب‬
‫يعه َح ّب ي ْبلغ ِب ِه ُسوق الط َعام‬
ِ ِ
“In the past, we welcomed merchants from outside, then we bought their food. The Prophet
sallallaahu 'alaihi wa sallam then forbade us to do such buying and selling and let them arrive at
the food market and sell there” (HR. Bukhari no. 2166).
According to jumhur, this sale and purchase is illegal, but still legal because if this kind of
sale and purchase does not contain harm (danger) or there is no act of fraud or deception, then the
sale and purchase is legal. Because the law revolves around the presence or absence of 'illah (the
reason for the prohibition).
There are several conditions set by the scholars that cause this sale and purchase to be
prohibited, namely:
1. The goods he offers for sale are goods that are generally needed by many people, whether
in the form of food or something else.
2. If the item being sold is rarely needed, it is not included in the ban.The sale and purchase
in question is for the current price. Meanwhile, if the price is paid in installments, then
there is no problem.
3. Villagers do not know the price of goods sold when they arrive in town. If he knows, then
it doesn't matter. (Al Mawsu'ah Al Fiqhiyyah, 9: 83)
6. Ghabn
Ghabn is heavy damages suffered by a party to a contract as a result of embezzlement or
misrepresentation, or fraud perpetrated by the other party. In simple terms, it can be interpreted as
"Pricing beyond reasonable limits."In terms of fiqh, it is stated that the meaning
of ghabn is to sell or buy something at a price that is more or less than the equivalent. The example
is Merchants in the city welcome people who come from the village who want to sell their wares,
then the city people buy it at a price far below the market price, so the village people have the right
to choose the continuation of their contract because there is an element of fraud in it.
There are two types of Ghabn, namely:
1. Ghabn Yasir which means price fluctuations within a reasonable range, and this is
permissible. Scholars say that the reasonable range is 1/3.
“If goods are sold 1/3 more expensive than the normal price (market price), or 1/3 cheaper
then there is a ghabn.” Asy-Syaikh bin Baaz Rahimahullah said the limits of Ghabn were
returned to, namely local wisdom (local norms).
2. Ghabn Fahisy or heavy, namely the fluctuation of prices outside a reasonable range, like
the Oreo Supreme earlier.
COERCION
As was mentioned in the previous discussion regarding insurance, Coercion is a process
in which one person forces another person to do or not do an act in order for the coercer to
achieve certain purposes and goals. coercion in this context refers to any effort to physically or
mentally force potential customers to buy the products.
there are three sins in insurance:
1) The riba fadl , which involves exchanging rupiah for rupiah but at a different value because we
receive a claim that exceeds the price we paid. Riba fadhl happens when a person exchanges a
new Rp 100,000 rupiah for two pieces of money totaling Rp 120,000 rupiah (Rp 100,000 and Rp
20,000). The practice of riba fadhl is quite common as Eid al-Fitr ( idul fitri ) approaches, where
new fully exchanged money is used as a gift to be distributed to family and friends.
2) Ghoror Fahisy (severe).Fahisy refers to something that is unclear and does not seem to to be
predictable at all. Insurance that cannot measure What can you buy with a $100,000 ? The
insurance contract itself is (element of obscurity). It is unclear when costumer will receive
mutuality in the form of claims at first. Not every consumer is qualified for a claim. When he has
an accident or encounters a risk, he can file the claim. However the cause of accidents is unclear,
no one can know. when we have an accident or not.
3) Coercion, which makes us fear that we will suffer a serious disease or die in an accident. This
shows the weakness of our hearts. We should put our faith in Allah Ta'ala as believers when it
comes to the future.
ْ
‫اض ِم ْن ُكم‬
ِ َ‫يَا أَيُّ َها الَّذِينَ آ َمنُوا ََل تَأ ْ ُكلُوا أ َ ْم َوالَ ُك ْم بَ ْينَ ُك ْم بِ ْالب‬
ٍ ‫ع ْن ت َ َر‬
َ ً ‫ارة‬
َ ‫اط ِل ِإ ََّل أ َ ْن ت َ ُكونَ تِ َج‬
"O you who have believed, do not consume one another's wealth unfairly, except by way of trade,
which takes place by mutual consent between you.” (QS. An-Nisa': 29).
RIBA
Riba is the same as 'jiyada' means addition, but in technical terms riba means the additional
acquisition of false primary wealth (capital). riba's explanation is controversial. In general, riba is
an addition to debt. Any increase in debt, large or small, whether qualitative or quantitative, is riba
and haram.

The establishment of Riba is already in the Qur'an Surah Annisa (4) verse 29, which means:
"O you who believe, do not covet your neighbor's wealth. Wrong way in this case means that Syar'i
obtains additional capital without a justifiable alternative reward (compensation).

The meaning of Riba has been clarified in the following verses of Quran:
“O those who believe, fear Allah and give up what still remains of the Riba if you are believers.
But if you do not do so, then be warned of war from Allah and His Messenger. If you repent
even now, you have the right of the return of your capital; neither will you do wrong nor will you
be wronged.” Al Baqarah 2:278-9
Riba is a concept in Islamic banking that refers to charged interest. It has also been
referred to as usury, or the charging of unreasonably high-interest rates. There is also another
form of riba, according to most Islamic jurists, which refers to the simultaneous exchange of
goods of unequal quantities or qualities. Here, however, we will be referring to the practice of
charged interest. Riba is prohibited under Sharia law for a couple of reasons. It is meant to
ensure equity in exchange. It is meant to ensure that people can protect their wealth by making
unjust and unequal exchanges illegal.
Islam aims to promote charity and helping others through kindness. To remove
sentiments of selfishness and self-centeredness, which can create social antipathy, distrust, and
resentment. By making riba illegal, Sharia law creates opportunities and contexts in which people
are encouraged to act charitably—loaning money without interest.
Riba can be divided into two parts, Riba ad Duyun and Riba al-Buyun. Riba Ad Duyun has
again been classified as Riba an Nasi'ah/Al Jahiliyah and Riba Al Qardh, while Riba Al Buyu' has
been classified as Riba Al Fadhl and Riba An nasa'.

Riba An Nasiyah:
It is also called Riba Al Jahiliya, and it refers to the addition of the premium, which is paid to the
lender, in return for his waiting as a condition for the loan. It is technically the same as interest,
and this is the real and primary form.

Riba Al Fadl:
It is also called known as Riba Al Bai. It is defined as excess compensation, without any
consideration, resulting from a sale of goods.
GHARAR
Gharar is an Arabic word that is associated with uncertainty, deception, and risk. It has
been described as "the sale of what is not yet present," such as crops not yet harvested or fish not
yet netted. Gharar is uncertainty in the transaction resulting from the non-fulfillment of Sharia
provisions in the transaction. The impact of transactions containing gharar is the tyranny of one of
the parties to the transaction so that this is prohibited in Islam. Some categories of gharar elements,
among others, in terms of quantity is not appropriate scales or measure, then from the quality there
is uncertainty in the quality of goods, then from the price of two prices in one transaction, and the
last from the time that there is uncertainty at the time of delivery.
Identify uncertainties included in gharar Uncertainty that arises due to non-fulfillment of
Sharia provisions in a transaction, then the uncertainty is gharar prohibited by Sharia. As for the
uncertainty that still arises after all the provisions of sharia are fulfilled in a transaction, then the
uncertainty is sunnatullah that should not be eliminated, but can be managed.
Examples of Gharar:
In finance, gharar is observed within derivative transactions, such as forwards, futures and
options, as well as in short selling and other forms of speculation. In Islamic finance, most
derivative contracts are forbidden and considered invalid because of the uncertainty involved in
the future delivery of the underlying asset.
Scholars differentiate between minor and substantial gharar, and while most derivative
products are prohibited due to excessive uncertainty, other practices considered as gharar, such
as commercial insurance, are vital parts of economic life. It is also permissible for a seller to
short-sell fungible items, such as wheat and other commodities, to be delivered at a later date to
a buyer.