Islamic Finance Law and Practice

This book is the most comprehensive and authoritative practical guide to financial transactions under Islamic law. Global interest in Shari'a-compliant financial practices continues to increase, but Islamic financial products can often be hard to understand, not least because they often cut across rather than strictly align with more conventional financial products. This book provides the necessary explanation by explaining the theoretical underpinnings of Islamic finance as a whole before going on to examine the major individual transaction structures in detail.

The first part of the book informs the reader about the general background to Islamic Finance and the relevant aspects (and sources) of Islamic law. It also considers the role of Shari'a supervisory boards, Islamic financial institutions and accounting approaches.

The second part of the book concentrates on Islamic financial law in practice by focusing on individual concepts and techniques. This section explains the basic requirements for Islamic finance contracts both in terms of the underlying asset types and also both the applicability and acceptability of the underlying asset. Arrangements discussed include Mudaraba (trustee finance), Musharaka (partnership or joint venture), Murabaha (sale of goods), and Sukuk (participation securities: coupons etc). Takaful (insurance) is also examined in detail. A new chapter has also been added to this second part of the book detailing the principles of Islamic investment funds and commonly applied structures.

Craig Nethercott, Partner, Latham & Watkins LLP, and David Eisenberg, Former Partner, Formerly White & Case LLP.

Craig Nethercott is a Partner in the Finance group and is Co-chair of the global Islamic Finance Practice at Latham & Watkins LLP.

The late David Eisenberg was Partner at White & Case LLP.

Part I - Introduction
1. Status of the Global Islamic Finance Industry, Ibrahim Warde
2. Sources and Principles of Islamic Law in Relation to Finance, David Eisenberg
3. Islamic Financial Institutions, Andrew Henderson & Ben Moylan
4. Accounting and Taxation Approaches, Ken Eglinton
5. Dispute Resolution, Andrew White
6. Corporate Governance for Institutions Offering Islamic Financial Services, Barry Rider
Part II - Islamic Law and Contracts In Practice
7. Mudaraba and Musharaka, Julian Johansen and Atif Hanif
8. Murabaha and Tawaruq, Craig Nethercott
9. Derivatives in Islamic Finance, David Eisenberg
10. Istisna and Ijara, Craig Nethercott
11. Sukuk, Julian Johansen, Atif Hanif, and Edana Richardson
12. Takaful, Peter Hodgins
13. Islamic Investment Funds, Zeeshan Ahmedani and Safdar Alam
14. Appendix: Guide to Further Reading, Craig Nethercott and David Eisenberg