A brief comparative analysis on bankruptcy between Islamic, Malaysia and English law

Abstract

This study discusses the general theory of bankruptcy under Islamic law with a comparison of other laws especially Malaysian and English laws. Bankruptcy is considered as one of the important aspects of law that protects the creditors` rights. First of all, the study will discuss the meaning of bankruptcy and followed by the procedural aspects of bankruptcy law. Secondly, the effefcts of bankruptcy order such as effects on property, debtor`s dispositions and other related issues are discussed. After that the research will analyse the realisation and distriibution of bankkrupt`s estate and the dissolution of bankruptcy order. The study on the Islamic law of bankruptcy will be concerned with the prescriptions of the Qur`an and the Sunnah and their interpretations and explanations in the classical manuals of Islamic law. Additionally, certain secondary sources offering specific treatment of bankruptcy will be studied. This research will also rely on the Ottoman Majallat al-Ahkam al-`Adliyyah and its commentaries. As regard to the Malaysian and English laws on bankruptcy, the reference will be made to the statutory provisions for instance the Bankruptcy Act 1967 (Malaysia) and the Insolvency Act 1986 (U.K.), judicial decisions, textbooks, periodicals, etc.