Fatwa's Insights - Waqf, Mosque dan Funeral Management
Ruling On Substitution Of Waqf Property Based On Value

THE 55TH MEETING OF THE PERLIS STATE FATWA COMMITTEE / 2021
22 - 23 NOVEMBER 2021 / 17 - 18 RABIUL AKHIR 1443H
RULING ON SUBSTITUTION OF WAQF PROPERTY BASED ON VALUE
1. Substitution constitutes the process of replacing waqf property that has been abandoned or is functioning inadequately by selling the property to replace it with property that can better fulfill the original purpose of the endower. The purpose of substitution is to prevent waqf property from being abandoned or losing the benefit intended by the endower.
2. The process of substitution of waqf property may be carried out based on value, but must be implemented with the following conditions:
a. The original waqf property is destroyed or cannot be utilized according to the original purpose of the endower, or requires unreasonable costs to be utilized, or due to the unsuitability of the location of the property in question for development.
b. The sale of waqf property must conform to market price according to the valuation of the authorized party.
c. Permission is obtained from the governing authority or the legitimate trustee.
d. The replacement waqf property can better fulfill the original intention of the endower.
3. Money obtained from the sale of waqf property (substitution money) is permitted to be used for the purchase of new waqf property that can better fulfill the original purpose of the endower, or may be used to develop other existing waqf property with an equivalent or greater level of original benefit. Therefore, money resulting from substitution is segregated according to the purpose of that waqf.
4. The waqf administrators must preserve the original intention of the endower by using the substitution money for the same purpose. For example, substitution money from a mosque is used only for the development of mosques, whilst cemetery land is used only for the development of cemeteries.
5. Nevertheless, if substitution cannot be implemented according to the original purpose of the endower due to prohibiting factors, and at the same time there exists another need that is more pressing because it contains a clearer benefit, the waqf administrators are permitted to use the substitution money for purposes other than the original purpose of the endower, in order to preserve benefit and avoid wastage.
Approval of Members of the Perlis State Fatwa Committee:
1. S.S Associate Professor Dato' Arif Perkasa Dr Mohd Asri Bin Zainul Abidin – Mufti of Perlis;
2. Sahibul Fadhilah Ustaz Tajul Urus bin Abdul Halim – Deputy Mufti of Perlis;
3. Sahibul Fadhilah Dato' Dr. Johari Bin Mat;
4. Sahibul Fadhilah Professor Dr. Basri bin Ibrahim;
5. Sahibul Fadhilah Associate Professor Dr. Muhamad Rozaimi bin Ramle;
6. Sahibul Fadhilah Dr. Hj Zaharuddin Bin Hj Abdul Rahman;
7. Sahibul Fadhilah Associate Professor Dr. Azman Bin Mohd Noor;
8. Sahibul Fadhilah Associate Professor Dr. Mohd Akram Bin Dato' Dahaman @ Dahlan;
9. Sahibul Fadhilah Dr. Kamilin Jamilin @ Ahmad Kamil Jamilin;
10. Sahibul Fadhilah Dr Ahmad Sufian Bin Che Abdullah;
11. Sahibul Fadhilah Associate Professor Dr Ahmad Wifaq Bin Mokhtar;
12. Sahibul Fadhilah Ustaz Syed Abu Bakar Bin Syed Kamal Bharin;
13. Ustaz Muhammad Khidhir Bin Abdul Ghani – Secretary.
Resolved/Approved at the Meeting of the Majlis Agama Islam dan Adat Istiadat Melayu Perlis Bil. 1/2022 on 20 January 2022.
