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Islamic Finance


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Tafrit


An Arabic term (تفريط) that literally translates as failure to do the needful or what ought to be done. In shari’a parlance, it refers to negligence (ihmal), carelessness, or nonfeasance that leads to undesired consequences. Fuqaha connect negligence with liability for damage. A negligent person is liable for his negligence in partnership contracts (uqud al-sharakah) and trust-based contracts (uqud al-amanah).

Tafrit changes responsibility from yad amanah to yad dhaman. For example, al-mudarib, in a mudaraba contract, is not responsible for losses to mudaraba capital unless such losses have been resulted from his negligence and slackness (a case broadly known as taaddi). Also, a negligent person in agreements such as agency (wakalah), execution of a will (wesayah), or guardianship (welayah) is liable for any damages may that inflict the other party.

Tafrit is also spelled “tafreet“.


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