What is the ruling on the first partner (the financier) demanding that the second partner (the property owner) bear the full loss, given that the partnership was dissolved by the second partner and he sold the merchandise to someone whose trustworthiness is questionable?
Scholars have differed regarding the ruling on a partnership where the capital of one partner is a material asset and the other's is cash, or where the capital of both is material assets. The majority opinion is that such a partnership is invalid. However, Ahmad and Malik permitted it on condition that the material assets are appraised at the time of the contract and their value is considered the capital. If the two partners agree to appraise the real estate and its value is known at the time of the contract, then the partnership is valid. Upon its termination, each partner takes back their capital, and the profit or loss is divided between them according to their agreement. However, if they agree to partner with money and real estate, and each retains their own capital, this is an invalid contract. In such a case, each partner retains their capital or what remains of it, and they must guarantee the wages for the work of their partner.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
Read the full answer on Ftawyhttps://ftawy.com/en/questions/37368