Consumer Rights Act 2015(United Kingdom):Is it a good model in practising banking consumers from unfair terms in Islamic banking consumer contracts in Malaysia? = Consumer Rights Act 2015 (United Kingdom): Adakah ia model yang baik perlindungan konsumer perbankan daripada terma tidak adil dalam kontrak konsumer perbankan Islam di Malaysia?

Abu Bakar, Noor Mahinar and Mohd Yasin, Norhashimah and Razali, Siti Salwani (2018) Consumer Rights Act 2015(United Kingdom):Is it a good model in practising banking consumers from unfair terms in Islamic banking consumer contracts in Malaysia? = Consumer Rights Act 2015 (United Kingdom): Adakah ia model yang baik perlindungan konsumer perbankan daripada terma tidak adil dalam kontrak konsumer perbankan Islam di Malaysia? Jurnal Undang-undang dan Masyarakat, 22. pp. 21-31. ISSN 1394-7729

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Abstract

As the Islamic banking industry becomes more advanced and complex, it is crucial that transactions in acquiring goods and services are reduced in writing of whatever terms and conditions agreed upon. These terms and conditions could potentially be deemed as unfair when relied on, would cause detriment (whether financial or otherwise) to banking consumers and, can cause significant imbalance in the rights and obligations of contracting parties. The objective of this article is to discuss the current flaws and highlight the inadequacies of consumer protection laws on unfair terms in consumer contracts in Malaysia. Findings in this study reveals that the abuse of power by the Islamic banks is due to one-sided contract which is not negotiated between the contracting parties. Furthermore, it is offered on a ‘take it or leave it’ basis and can make it difficult for banking consumers to discern risks in the contracts. Using content analysis and doctrinal legal method, this article analyses the potential of unfair terms in Islamic banking consumer contracts and to consider whether the wider scope of fairness and transparency assessment under the Consumer Rights Act 2015 (CRA) of the United Kingdom could provide a potential practical solution. Therefore, this article recommends that a statutory controlling mechanism such like the CRA of the United Kingdom, should be adopted to protect banking consumers from unfair contract terms in Malaysia. This article intends to contribute to policy priorities for the Malaysian government towards a better protection for banking consumers from unfair contract terms. *********************************************************************** Memandangkan perbankan Islam menjadi semakin maju dan kompleks, maka adalah menjadi suatu keperluan untuk semua transaksi bagi pembiayaan membeli barangan dan perkhidmatan dimeterai secara perjanjian bertulis. Terma dan syarat yang terkandung dalam perjanjian bertulis itu mempunyai kebarangkalian yang tinggi untuk menjadi berat sebelah dan menyebabkan kerugian (sama ada daripada segi kewangan atau yang berkaitan) kepada pengguna. Objektif artikel ini adalah untuk membincangkan kekurangan dan kelemahan akta dalam melindungi hak pengguna di Malaysia. Hasil kajian ini menunjukkan kebanyakan perjanjian adalah berat sebelah dan menyebelahi institusi perbankan Islam. Pengguna tidak mempunyai pilihan lain sama ada menerima tawaran ataupun tidak dan ini boleh menyulitkan mereka untuk mengenal pasti kemungkinan risiko yang bakal ditanggung. Berdasarkan beberapa penemuan akta dan kes-kes berkaitan, artikel ini telah membuktikan keberkesanan ‘fairness and transparency test’ di dalam Consumer Rights Act (UK) 2015 (CRA) yang mempunyai asas yang kukuh untuk dijadikan penyelesaian yang praktikal. Oleh itu, adalah disarankan agar kerajaan dapat meluluskan suatu akta yang diadaptasi daripada CRA ini bagi tujuan melindungi pihak pengguna dan menjadikannya prioriti di dalam menentukan polisi bagi melindungi pihak pengguna daripada kontrak yang berat sebelah.

Item Type:	Article (Journal)
Additional Information:	580/74917
Uncontrolled Keywords:	Banking consumers; Consumer Rights Act (UK) 2015; Islamic banking standard form consumer contracts; unfair; terms, Malaysia konsumer perbankan; Consumer Rights Act (UK) 2015; kontrak tetap konsumer perbankan Islam; terma kontrak tidak adil; Malaysia
Subjects:	H Social Sciences > HG Finance > HG1501 Banking K Law > K Law (General)
Kulliyyahs/Centres/Divisions/Institutes (Can select more than one option. Press CONTROL button):	Ahmad Ibrahim Kulliyyah of Laws Kulliyyah of Economics and Management Sciences Kulliyyah of Economics and Management Sciences > Department of Business Administration
Depositing User:	Dr Siti Salwani Razali
Date Deposited:	24 Oct 2019 09:04
Last Modified:	24 Oct 2019 09:04
URI:	http://irep.iium.edu.my/id/eprint/74917

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