Should English law contracts be subject to shariah?

English courts have been the site of two recent cases pertaining to Islamic finance; The Islamic Investment Company of the Gulf (Bahamas) Ltd vs. Symphony Gems N.V. and others (2002), and Shamil Bank of Bahrain vs. Beximco Pharmaceuticals Limited and others (2004). The courts evaluated the cases on the basis of the English law which governed each contract, not on the shari`a components, much to the benefit of the Islamic financial institutions. There are potential negative effects in drafting contracts in English and shari`a law, whereby English courts may have to interpret shari`a rules and principles. One option for contracts is to make them enforceable under English law, while at the same time shari`a compliant. Another is to structure the applicable law to be subject to shari`a rules. An even better option may be to arrange contracts under English law pending approval by the institution's shari`a board.