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The question

What is the difference between an Ijara (lease) contract that ends in ownership and a diminishing Musharaka (partnership) that ends in ownership, and what are their legitimate Shariah controls?

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Source: FtawySummary from Ftawy's records · added here Sep 2, 20261 min readAlso available in العربية
The answer

The difference between an Muntahia Bittamleek (Lease Ending in Ownership) contract and a Diminishing (Diminishing Partnership) is that the former's subject is a leased asset that typically transfers to the lessee at the end of the contract for a price or as a gift, whereas the latter's subject is a jointly owned asset where one partner's share gradually transfers to the other. In a Diminishing Musharakah contract, the partner may lease the other partner's share before acquiring full ownership, thus becoming an Ijarah Muntahia Bittamleek.

Summary from Ftawy's records · added here

Reviewed by El Fatwa's sharia committee.

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Ftawy
Original fatwa ID
144966
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.
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Read the full answer on Ftawy