An Idiots Introduction to Sijil Faraid.

1.Sijil Faraid (inheritance certificate) is a document which determines the beneficiaries and the allocated portion of inheritance that the beneficiaries shall later receive under syariah law. It serves to assist the administrator in distributing of the inheritance to the rightful beneficiaries according to the right portion. In the case of Khairuddin bin Abd Rahman & Ors v Malayan Banking Berhad [2014] MLJU 950, the Court held the following:
 
“Sijil faraid yang dikeluarkan adalah hanya menentukan bahagian-bahagian atau hak-hak yang diterima oleh setiap pewaris dan tidak lebih daripada itu”
2. As far as the overall procedure of distribution of estate, the High Court case of Latifah bte Mat Zin v Rosmawati bte Sharibun & Anor [2007] 5 MLJ 101 summed it perfectly. The Court was quoted to have said the following:
 
“In the case of letters of administration (again I am only referring to non-small estates), an application is made to the civil High Court for the grant of a letter of administration. When the letter of administration is obtained, the administrator is appointed, and in case of an estate of a Muslim, the administrator will obtain a 'Sijil Faraid' from the syariah court which states who are the beneficiaries and their respective shares, in accordance with Islamic law. If the estate consists of immovable property, another application is made to the civil High Court for a vesting order. All that the civil High Court does in such an application is that, being satisfied with all the procedural requirements, the civil High Court makes a vesting order in accordance with the 'Sijil Faraid'. This second application is not necessary where the assets to be distributed are movable assets. However, the Administrator still requires a 'Sijil Faraid' for purpose of distribution.”
 
3. After the issuance of Sijil Faraid, one of the beneficiaries shall then apply for Letter of Administration seeking order from the civil Court to be appointed as the administrator of the estate provided that the remaining beneficiaries renounced their right to administer the estate.
 
4. Upon the issuance of the Letter of Administration, the administrator may proceed to distribute the entire movable assets (shares, cash, cars etc) according to the Sijil Faraid. For the immovable assets, the administrator would require a vesting order in the form of a Distribution Order from the Civil Court.
 
5. In conclusion, a Sijil Faraid is not vested with the power to affect distribution. It would only be used as a guideline to determine the beneficiaries and the portion that they will be receiving.

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