The Three Forms of Wakala
Wakala ‘Amma (General Agency): The muwakkil authorizes the wakil to act across a broad category of affairs — “I appoint you my agent in all my commercial dealings.” Scope is broad; the wakil has wide discretion but cannot exceed the general mandate.
Wakala Khassa (Specific Agency): Authorization for a single, defined act — “I appoint you to sell my house in Medina for not less than X dinars.” The wakil’s authority is strictly limited to the specified act. Any action outside the mandate is unauthorized and the muwakkil can void it.
Wakala Muqayyada (Conditional Agency): General or specific authority subject to conditions — “sell my house but only in the month of Ramadan” or “purchase goods only if the price does not exceed X.”
The Wakil’s Duties and Limitations
- Act within scope: unauthorized acts are void unless ratified by the muwakkil
- Exercise discretion: in discretionary matters, the wakil must act in the principal’s apparent interest
- Cannot sub-delegate (except with permission or necessity): the wakil cannot appoint another agent unless the principal permits
- Fiduciary duty: the wakil holds any property entrusted to him as a trustee (amin) — liable only for negligence, not strict loss
Modern Applications
Corporate law: company directors act as agents of shareholders. Islamic banks use wakala structures to deploy depositors’ funds — the bank as wakil invests on behalf of depositors for a fee, not interest. Hajj agencies operate under wakala to perform tawaf on behalf of those who cannot.
See also: Fiqh Al Aqd, Fiqh Al Buyu, Fiqh Al Ijarah, Fiqh Al Kifala, Waqf, Dai Al Mutlaq