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The question

Is it permissible for the son to own the apartment that his father relinquished to him, knowing that the father paid installments for something initially undefined, and that the association which built the apartment took out a loan that is most likely usurious? Are there other reasons that would prohibit the son from owning this apartment?

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

You have not clarified the nature of the contract between the employee and the association, but in general:

- If what transpired between the association and the man was in the form of an agency (he authorized it to purchase land and build on it, and he agreed to this after inspection), then there is no harm in that. The association's borrowing from its own funds or loans does not affect this.

- If the agreement was that the installments paid by the employee were savings towards the price of the apartment, and then it would be sold to him upon his viewing, delivery, and satisfaction, then there is no harm in that, and he may transfer ownership of the apartment to his son.

- The association's borrowing from usurious banks does not affect the contract between it and the questioner, because the prohibition of the loan pertains to the one who takes it, not to the specific purpose for which it was used. Transactions involving mixed funds are permissible.

If what occurred was different from this, please clarify.

Summary from Ftawy's records · added here

Reviewed by El Fatwa's sharia committee.

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Where this answer came from
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Ftawy
Original fatwa ID
111404
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