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    რეზიუმე - Journal Law and World

    Volume 8, Issue 4


    A scrutiny of the demand deposit (current account) through the lenses of law and Islamic jurisprudence

    Authors: Mejd Aures Benlala

    Mejd Aures Benlala

    Assistant Professor (Ph.D), Department of Economics, University of Batna 1, Algeria

    Email: majdaures.benlala@univ-batna.dz



    Affiliation: Assistant Professor (Ph.D), Department of Economics, University of Batna 1, Algeria

    Abstract: Demand deposits (current accounts) are crucial to banks activity, particularly with regards to granting loans. For commercial banks, the primary source of funds is bank deposits. This article attempts to analyze and discuss the legal nature of the demand deposit contract, with a particular focus on the widely agreed upon characterization of this contract as a loan contract in all today’s legal systems (Common law, Civil law, Islamic law and hybrid legal systems). After discussing the arguments and building blocks of the loan theory and examining the essence of both contracts through the lenses of economics, law and Islamic jurisprudence, this paper concludes that the demand deposit contract cannot be considered a loan contract, with supporting arguments from economic, legal and Islamic jurisprudential perspectives.

    Keywords: Demand deposit contract, Loan contract, Civil Law, Common law, Islamic law and jurisprudence


    Language: EN

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    სქოლიო:

    1. J. Huerta de Soto, Money, Bank Credit, and Economic Cycles. Ludwig Von Mises Institute, Auburn, AL., 2006.
    2. P. Bagus & D. Howden, ‘The Legitimacy of Loan Maturity Mismatching: A Risky, but not Fraudulent, Undertaking’. Journal of Business Ethics, vol. 90 no. 3, 2009, pp. 399- 406, http://dx.doi.org/10.1007/s10551-009-0050-z
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    38. Steven v. Fidelity Casualty Co. (1962) 58 Cal.2d 862, 27 Cal.Rptr. 172, 377 P.2d 284.
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    48. Ibid, p. 55.
    49. F. Meawad, Daour Al-qadhi fi taadil Al-aqd, Dar Al-jamia Al-jadida, Egypt, 2004, p. 275.
    50. Al-Maoussoua Al-Fiqheya, p. 46.
    51. Ibid., p. 23.
    52. A. Ibn Hajar, Fath Al-Bari bi shareh sahih Al-Bukhari, vol. 6, Al-maktaba Al-salafiya, Cairo, Egypt, 1960, pp. 230,234- 235, https://waqfeya.net/book.php?bid=10573 [Last seen: 30 June 2022].
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