Is it permissible for two people to share a plot of agricultural land such that one contributes his labor and the other his capital, with the owner of the capital recovering his principal first, and then they divide the profit, and what would be a just division if this arrangement is not permissible?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
The transaction mentioned is an usurious loan, because the owner of the money lent the owner of the land money to benefit from it in cultivating his land, to return it with an increase, and this is forbidden. And if the owner of the money gave the money to the owner of the land without collateral, on the condition that they divide the produce of the land, then this is a فاسدة (invalid/corrupt) sharecropping agreement.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/86148
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 86148
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy