Analytical Study of the Islamic Law of Agency (Wakala) and Its Application to Nigerian Corporate Structures

The Islamic law of Agency (Wakala) provides the jurisprudential basis for delegated authority relationships in commercial transactions, corporate directorship, power of attorney arrangements, and fund management, making it directly relevant to Nigerian corporate governance where Islamic investors and companies seek Sharia-compliant business structures. This study analytically examines the doctrine of Wakala and its application to Nigerian corporate structures and governance arrangements. A comparative doctrinal and commercial law methodology is applied, reviewing the classical Islamic doctrine of Wakala across the four Sunni schools, the AAOIFI Sharia Standards on Wakala, and their application to Nigerian company law structures under the Companies and Allied Matters Act 2020. The study examines the Islamic conditions for valid agency, the scope of the agent's authority, liability for agent misconduct, and the termination of agency, and maps their equivalents and divergences in CAMA 2020 company law provisions. Twelve structured interviews with corporate lawyers and Islamic finance scholars inform the practical application sections. Available corporate Islamic finance literature from Nigeria identifies the use of Wakala bil Istithmar (investment agency) structures in Islamic fund management as the most rapidly developing application area. The AAOIFI Wakala Standard and CAMA 2020 directorship provisions provide the comparative analytical reference. Findings are expected to reveal significant doctrinal compatibility alongside terminology and accountability standard gaps. Recommendations address model Islamic corporate governance clauses and professional training on Wakala-structured corporate arrangements in Nigeria. Keywords: Wakala, Islamic agency, corporate governance, CAMA 2020, Nigeria.