According to the Islamic point of view, contract writing is an expression of the matching between a positive proposal made by one of the contractors and the approval of the other contractor in a way which has an effect on the subject of the contract.

Some contracts start as permission and then turn to be binding such as a contribution. The donation becomes obligatory only after delivery. Distinguishing obligate from facultative is compulsory. However, such categorizing is itself subject to legal reasoning.

There are many samples of financial dealings among Muslims leading to arguments, pressure in relationships, and even fights, instead of leading, as they normally should, to power the bond of Muslim brotherhood and to mutual benefit. Almost everyone in our community must know cases, in which two or more Muslims become partners in a business or one give a loan to another brother and the result is mutual pain instead of mutual advantage. To avoid failure of memory and to reduce the chances of error and bad faith, the Quran commands the writing of financial deals and/or having the deal committed by witnesses. The Quran requirement is contained in the following two verses, the first of which is the longest verse in the Quran an:

O ye who believe! When ye deal with each other, in transactions involving future obligations in a fixed period of time, reduce them to writing Let a scribe write down faithfully as between the parties: let not the scribe refuse to write: as Allah Has taught him, so let him write. Let him who incurs the liability dictate, but let him fear His Lord Allah, and not diminish aught of what he owes. If they party liable is mentally deficient, or weak, or unable Himself to dictate, Let his guardian dictate faithfully, and get two witnesses, out of your own men, and if there are not two men, then a man and two women, such as ye choose, for witnesses, so that if one of them errs, the other can remind her. The witnesses should not refuse when they are called on (For evidence). Disdain not to reduce to writing (your contract) for a future period, whether it be small or big: it is juster in the sight of Allah, More suitable as evidence, and more convenient to prevent doubts among yourselves but if it be a transaction which ye carry out on the spot among yourselves, there is no blame on you if ye reduce it not to writing. But take witness whenever ye make a commercial contract; and let neither scribe nor witness suffer harm. If ye do (such harm), it would be wickedness in you. So fear Allah; For it is Good that teaches you. And Allah is well acquainted with all things. If ye are on a journey, and cannot find a scribe, a pledge with possession (may serve the purpose). And if one of you deposits a thing on trust with another, let the trustee (faithfully) discharge his trust, and let him Fear his Lord conceal not evidence; for whoever conceals it, - his heart is tainted with sin. And Allah knoweth all that ye do. [Al-Quran 2:282]

It can seem like a valid contract base on particular elements of the valid contract which are offer or offered, offer and acceptance, and the subject matter and the approval. As for the parties to a contract, they must be the legal capacity to enter the contract.

Written Contracts and accordance should ideally involve the spoken word. The highest degree of purity must be given by the one who makes the offer, and the maximum degree of clarity must be discovered by the one who accepts. This is the underlining principle of contracts in Islam. The duration between the offer and its receiving should not be longer than what is usual.

Contracts in Islam could also as be categorized as unstable or non-commutative: In a commutative contract, one party could validly be a reward or compensated in consideration of what is done or given; like sale, purchase and lease. Whereas, in a non-satisfaction contract, there is no return or compensation as it is the case for Qard (interest free loan), Hibah (granting of property from one owner to another), Kafalah (gurantee for a loan), or Hawala (informal value of transfer based not on the movement of cash). Commutative contracts could be considered void if they include any null condition. While non-commutative contracts do not become null because of a void condition such as Gharar (sale that is not yet present); the invalid circumstances itself become worthless.

Islamic law is according to the Muslim faith and as related to the Quran the sacred law of Islam is an all-embracing body of religious perspective, the totality of Allah’s orders that regulate the life of every person in every field of life.

According to the Holy Quran,

And do not against to write it down, be it small or large

If the debtor is in a difficulty, grant him time Till it is easy for him to repay. But if ye remit it by way of charity, that is best for you if ye only knew. [Al-Quran 2:280]

It is of provable importance that this verse has the rules basic for the organization of the office of; registered people; It is one of the many proofs for the universality of the Quran; and, for its being permanent, that it established these rules at a time when, and for a society in which, few knew how to read and write, and there was almost no paper to write on. These rules are based on justice, value, and perfection in evidence, and eliminating all doubts regarding the terms of the arrangement, thus reducing the possibility for future disagreement.

According to the Islamic perspective, some contracts are such that rights and commitment are also attached to the Agent doing the contract on behalf of the Contracting Party eg. Sales Contract. While in others the Principal has all the duties, rights, obligations eg. Nikah. This classification is not meant to be comprehensive because contracts could be categorized into multiple categories with respect to their impact, effectiveness, and validity.

A contract is correct when it is valid, effective, and workable. A contract is considered invalid when it is none of the above and referred to as avoid one. Some contracts are fixable when they become corrupt. For instance, if the reason for corruption is a non- permissible condition in the contract, then the removal of such circumstances will correct it.