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Default/Breach Of Contract Characteristics Of Mudharabah Financing In Sharia Banking, Trisadini Prasastinah Usanti, Fiska Silvia Raden Roro

Journal of Islamic Law Studies

One of financings channeled by Sharia Bank is mudharabah. The contract of mudharabah is a mutual agreement between the first party (malik, shahibul maal, or Sharia Bank) which supports the whole capitals and the second party (‘amil, mudharib, or Customer) which acts upon fund endowment by sharing the profit in accordance with the agreement stated in the contract, while the loss is fully covered by Sharia Bank unless the customer (mudharib) makes an intentional mistake, in negligence or violates the agreement. Mudharib in the contract of mudharabah acts upon amin (the trusted one). The capital given is a mandate being …