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The indigenous court existence in Indonesian indigenous society is still recognized as an effort in resolving problems against indigenous violations and crime. The social regulations governing the conduct and order of Indonesian people are reflected in the provisions of Indigenous Law, as well as the criminal law provisions in Indigenous Criminal Law. Indigenous peoples use norms which very close to daily reality life (the living law) and found on various generations. This research aims to resolve the problem of Islamic Law as the basis for the formulation of indigenous court policies in the Kerapatan Adat Nagari (KAN) Institution of Minangkabau Community in West Sumatra. The study was conducted in Padang, West Sumatra. The method used is the socio-legal approach. The study location is the KAN Minangkabau Community Institution in Padang, West Sumatra. The results showed Islamic law as the basis for policy formulation of the indigenous court of KAN Institution.