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Islamic Finance


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What Is Ta’addi?


An act of transgression- i.e., going against the limits or rules set by shari’a. An example of ta’addi (تعدي) is when the mudarib in a mudaraba contract usurps some of the funds (ras al-mal) placed at his disposal by the capital provider (rabb al-mal).

In general, ta’addi includes all kinds of injustice (zhulm), aggression, and transgression that makes the doer liable for punishment or payment of compensation to the party inflicted because of his act of ta’addi.


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