The Effectiveness of Sharia Economic Dispute Resolution Between Religious Court and National Sharia Arbitration Board

Abstract

Sharia economic dispute is a conflict of interest or loss for either party to the business or activities carried out by individuals, groups of people, or business entities that are legal or not legal entities to meet the needs of a commercial and non-commercial nature according to sharia principles. Furthermore, it can be resolved through litigation or judicial and non-litigation, or out-of-court lines. Resolution disputes through religious courts always takes a long time and complicated administration, but until now is it still in high demand by justice seekers. There is dispute resolution outside the judiciary, one of which is arbitration through National Sharia Arbitration Board (BASYARNAS) which can be the solution. This paper is a qualitative research study with a case was taken from Religious Court Class 1A Sleman and BASYARNAS Representative In Yogyakarta. The findings of this study provide the results dispute resolution in religious courts is more desirable because it has more executive powers than BASYARNAS, and also religious courts hold the absolute authority of sharia economic dispute resolution and religious courts spread throughout districts in Indonesia, so religious courts are very easy to find, in contrast to BASYARNAS whose existence is still in every capital of several provinces in Indonesia. Religious courts are superior because of the quality of judges, their presence in every district in Indonesia, and the culture of the people.

Sharia Fintech Dispute Resolution Formulation in the Religious Courts

“…28 The meaning of sharia economics here is actions or business activities carried out according to sharia principles which include: sharia banks, sharia microfinance institutions, sharia insurance, sharia reinsurance, sharia mutual funds, sharia bonds and medium-term sharia securities, sharia securities, sharia financing, Islamic pawnshops, Islamic financial institution pension funds, and Islamic business. 29 The authority of the Religious Courts in resolving sharia business disputes is the most extensive. The definition of sharia business itself is a series of business activities in its various forms, which are not limited by the quantity of ownership of assets (goods/services), including profit, but are limited by the way the acquisition and utilization of assets are following sharia.…”

Penerapan Asas Sederhana, Cepat, Biaya Ringan Dalam Penyelesaian Sengketa Pegadaian Syariah Melalui Basyarnas (Badan Arbitrase Syariah Nasional)

“…Mekanisme penyelesaian sengketa dengan jalur non litigasi atau diluar pengadilan, yaitu melalui Arbitrase atau ketika secara syariah melalui Badan Arbitrase Syariah Nasional (BASYARNAS), berikut mekanisme penyelesaian sengketa melalui BASYARNAS: a. Dengan mengajukan permohonan b. Memeriksa permohonan c. Menunjuk arbiter yang dilakukan oleh para pihak yang bersengketa d. Pemeriksaan sengketa e. Putusan sengketa 9 .…”

Legal Disruption and Sharia Arbitration: Navigating Change, Measuring Impact, and Fostering Innovation

“…One of its contributions is in providing a faster and more efficient alternative to conventional litigation. Research by Aziz (2023) shows that Sharia arbitration through BASYARNAS has been effective in providing more efficient solutions [6]. In the context of Islamic banking, the need for an effective dispute resolution mechanism is increasingly urgent, especially with the development of a dual Islamic banking system in Indonesia, as explained by [7].…”