Islamic Finance, Consumer Protection and Public Policy

Abstract

In a complaint filed against me years ago with the Law Society of Upper Canada (LSUC) (now renamed the Law Society of Ontario), the professional governing body of lawyers in Ontario, a client stated: "What this lawyer had me engage in is akin to me committing incest with my mother." 1 The complaint arose from an "Islamic mortgage," the closing and registration of which had been facilitated by my office. Essentially an Islamic finance company, UM Financial ("UM"), had advanced the funds 1 "There are seventy-two types of riba, the least of which is like a man committing incest with his mother." Narrated by al-Tabaraani in al-Awsat, classified as saheeh by al-Albaani in Saheeh al-Jaami', no. 3537; See also Farooq, Mohammad Omar. December 27, 2009. "Riba, Interest and Six Hadiths: Do We Have a Definition or a Conundrum?" Review of Islamic Economics 13(1), 105-141; Farooq argues that this hadith used to expand the term riba to include all forms of interest does not hold up.