پژوهشنامه حقوق اسلامی (Jun 2024)
Feasibility of Adjusting Rent in Epidemic Conditions; with Emphasis on Covid-19
Abstract
∴ Introduction ∴ In the wake of the Coronavirus pandemic, the global legal framework has been put to the test, revealing the vulnerabilities of ongoing contracts, such as leases, to sudden and unforeseeable emergencies. These emergencies can disrupt the economic equilibrium of contracts, making the fulfillment of contractual obligations challenging, if not impossible, without necessarily leading to their annulment or dissolution. This paper outlines the potential for adjusting lease agreements under extraordinary circumstances induced by global health crises. ∴ Research Question ∴ The core research question addresses whether the economic balance of lease contracts, which has been disrupted by the outbreak of pandemics like Covid-19, can be readjusted. It seeks to explore the legal avenues available for such adjustment, particularly in the context of Islamic jurisprudence. This question is pertinent in understanding the extent to which legal frameworks can provide flexibility and fairness in the execution of contracts amidst unforeseen global health emergencies. ∴ Research Hypothesis ∴ The hypothesis posits that, contrary to traditional enforcement mechanisms like contract dissolution or termination due to force majeure or other changing circumstances, the legal and jurisprudential foundations of Islamic law, including no harm principle [La-Za'rar], hardship [Osr va Haraj], implied condition, and unjust enrichment, support the adjustment of lease contracts. This approach aims at maintaining the contract while preventing harm to any party involved, thus offering a balanced solution that prioritizes the contract's survival over its termination. The novel concept of "Segmentation of Benefits" introduced in this research underscores the divisibility and interconnection of benefits derived from leased property, providing a foundational basis for adjusting lease contracts in the face of pandemics. ∴ Methodology & Framework, if Applicable ∴ The research employs a doctrinal methodology combined with a descriptive-analytical approach to explore the feasibility of adjusting rent in epidemic conditions. By scrutinizing the works of Islamic jurists and analyzing existing legal precedents and theories, the study aims to uncover jurisprudential and legal bases for contract adjustment in the context of lease agreements affected by pandemics. This investigation is structured around a three-part framework: firstly, examining the change in circumstances of lease contracts during pandemics; secondly, exploring the Islamic jurisprudential bases for lease contract adjustment; and finally, clarifying the legal bases for such enforcement. This comprehensive framework allows for a detailed exploration of the subject matter, facilitating a nuanced understanding of the potential for contract adjustment in unprecedented times. ∴ Results & Discussion ∴ The study meticulously examined the impact of the coronavirus pandemic on the economic balance of lease contracts, recognizing the necessity of adapting legal practices to address unforeseen disruptions. The key findings highlight the importance of a dynamic approach to contract law, one that acknowledges the unpredictable nature of such global crises and their potential to render existing contractual agreements inequitable or unfeasible. The investigation revealed that the principles of "no harm," "hardship," "unjust enrichment and abuse of rights," "implied condition," and "segmenting the benefits of the lease contract" provide robust jurisprudential and legal bases for the adjustment of lease agreements in response to the pandemic. These principles collectively advocate for a balance between the contractual obligations and the unforeseen circumstances that may disadvantage one party disproportionately. Specifically, the study found that: No harm principle necessitates avoiding any contractual adjustments that would unfairly disadvantage one party, advocating for equitable solutions in the face of adversity. Hardship and implied condition principles support the notion that contracts can and should be adapted when fundamental assumptions underpinning the agreement change unexpectedly. Unjust enrichment and abuse of rights principles warn against leveraging the pandemic for disproportionate gain at the expense of the other party. Segmenting the benefits of the lease contract emerges as a novel approach, suggesting that the divisibility of the leased property's benefits can guide the proportional adjustment of rent, aligning with the actual utility received by the lessee during the pandemic. This study underscores the critical role of social solidarity in contract law, especially during crises that affect the fundamental conditions of lease contracts. It proposes a paradigm shift towards viewing contracts not merely as static agreements but as dynamic instruments that must adapt to ensure fairness and equity between the parties. The emphasis on adjusting rent according to new conditions reflects a commitment to preserving the contractual relationship and ensuring its sustainability over termination or dissolution. ∴ Conclusion ∴ The research conclusively demonstrates that the adjustment of lease contracts in response to pandemics like the coronavirus is not only feasible but necessary to uphold the principles of fairness, equity, and social solidarity in the face of unforeseen events. It argues against the outright termination of contracts due to the hardships imposed by the pandemic, advocating instead for a more nuanced approach that seeks to maintain the contractual bond through equitable adjustments. This study's conclusions contribute significantly to the field of contract law, offering a blueprint for navigating the legal challenges posed by pandemics and other similar crises. It lays the groundwork for future legislative and jurisprudential developments that could incorporate these principles into the legal fabric, ensuring that lease contracts remain viable and equitable under the most challenging conditions. Ultimately, this research highlights the importance of flexibility, fairness, and foresight in contract law, calling for a legal framework that is responsive to the needs of both parties and the broader community during times of crisis. The proposed model of rent adjustment, grounded in Islamic jurisprudence and supported by legal principles, provides a viable path forward that honors the spirit of contractual agreements while adapting to the realities of an ever-changing world. In sum, the findings and conclusions of this study not only address the immediate concerns posed by the pandemic but also offer a timeless consideration for contract law: the need for adaptability, empathy, and a deep commitment to justice and equity in the face of unforeseeable challenges.
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