Renting Public Facility Land in the Perspective of the Ijarah Agreement

Abstract

This study examines the practice of ijarah contracts in the rental of public facility land in Paya Bujok Beuramo Village. Ideally, the ijarah contract in Islam requires clarity on the ownership and validity of the rental object. However, reality shows that some people rent land on the shoulder of the road which is a public facility owned by the government. This activity is carried out without an official permit and traders are subject to certain rental rates. This gap is the focus of research to assess the validity of ijarah contracts in practice. The research method used is field research with interview, observation, and documentation techniques, then analyzed in a qualitative descriptive manner with a fiqh muamalah approach. The results of the study show that the practice of leasing is carried out orally with different provisions between parties. The community acts as a tenant (mu'jir) and traders as tenants (musta'jir), while the object of rent is a public road. Based on the review of the ijarah contract, this practice is invalid because the rental object is a public facility that cannot be used as private property. Thus, the ijarah contract is sharia defective and does not meet the requirements for the validity of the transaction.