Is there any religious doubt in agreeing with another merchant to submit the same financial offer in a tender? And would the profits resulting from this tender be unlawful or lawful if one of the parties broke the covenant?
The rules of Sharia dictate that no harm should be inflicted. An agreement with another merchant to submit the same financial offer in a tender inflicts harm upon the contracting party, as it obligates them to accept a more expensive price. The amount deposited as a penalty clause for anyone who breaches the agreement is an unlawful appropriation of wealth, as Allah Almighty says: "And do not consume your properties among yourselves through falsehood." Therefore, this agreement is not permissible, and the profits resulting from it are likewise impermissible.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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