Religion and international contracts. Sharia, Dharma

Contracts and religions: cultural, ethical, legal and economic aspects

Religions and Global Business - Religious diversity

The relationship between religion and international contracts is a complex issue encompassing cultural, ethical, legal, and economic aspects. Religion can influence international contracts in various ways, especially in a globalized world where the parties involved come from diverse cultural and Religious backgrounds.

Religions shape the values and attitudes of individuals and organizations toward trade, negotiation, and contract enforcement.

Foreign Trade

1. International Contracts
2. UN Commission on International Trade Law (UNCITRAL)
3. Foreign Trade Risk
4. Religion and export prices

Christianity

Christianity promotes honesty, justice, and charity, which can be translated into contracts that prioritize social responsibility and ethical compliance

1. Christian Ethics
2. Sermon on the Mount

Islam

In Islam, the prohibition of interest (riba) affects the financial structures of contracts, leading to the use of instruments such as Islamic financing (murabaha, sukuk). Some Muslims may not accept the validity of a contract, arguing that it would violate the Islamic view by placing a contract above divine will or contradicting Sharia law.

1. Five pillars of Islam
2. Fiqh (Islamic Jurisprudence)
3. Islamic Economics
4. Islamic Banking

Hinduism and Buddhism

Hinduism and Buddhism emphasize balance and Ahimsa (Non-Violence), which can influence respectful negotiations and prudent decisions. In Hinduism, the concept of dharma can influence ethical decisions that affect contract writing.

1. Bhagavad-Gita
2. Sri Ramakrishna
3. Buddhist ethics

Sikhism and Zoroastrianism are notable for their emphasis on philanthropy and honesty, influencing corporate social responsibility (CSR) practices

Religious practices, such as holidays (Fridays in Islam, Sundays in Christianity) or dietary restrictions, can influence contract logistics and deadlines. For example, in Islamic countries, Friday is a holy day, which can affect the scheduling of business meetings.

Religion can reinforce the importance of fulfilling contracts as a moral duty, which fosters trust between parties. For example, in Christianity, Islam, and Hinduism, fulfilling obligations is a key ethical principle.

Principles of a model of global ethics:

1. Harmony of Religions
2. Why do we need a global ethics?

In some countries, religious arbitration panels (such as Sharia councils or Jewish Beth Din courts) are permitted to resolve contractual disputes, especially in family or inheritance matters. However, their validity depends on local laws and can create tensions in contexts where secularism is predominant.

International business professionals must be culturally competent and sensitive to religious differences to successfully negotiate contracts. Ignoring these differences can lead to misunderstandings or failed agreements.

Global Marketing

1. Cross-Cultural Management
2. Cultural influence of religion in global business

Academic Programs

(c) EENI Global Business School (1995-2025)
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