Is the fixed rate of 12% of the annual profits that the questioner takes from his wife's money, which her father manages, permissible or forbidden?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
Stipulating a percentage of the capital in a contract renders it invalid, because one of its conditions for validity is that both parties agree on a fractional share of the profit for each. If the Mudarabah becomes invalid, then all the profit belongs to the capital owner, and the worker receives either a wage comparable to his work (ujrat al-mithl) or a profit comparable to it, regarding which there is a difference of opinion among jurists.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/151006
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 151006
- 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