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The question

Is it permissible for the second party to establish a second company (Company-2) with a fourth party, without informing the first or third party, provided that the necessary laborers and engineers are added to the second company, and utilized by the first company, in exchange for the second party bearing all governmental expenses and employee costs for the second company, and the fourth party receiving 3% of the revenues from installation works carried out by the first company, thereby leading to the first and third parties not benefiting from the operational installation work profits?

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Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 20261 min readAlso available in العربية
The answer

1. It is permissible for a working partner to be given a larger share than their capital contribution in exchange for their labor. However, it is not permissible for them to be given a fixed salary within the partnership contract. Nevertheless, it is permissible to conclude a separate contract for them for tasks not required by the partnership agreement.

2. If the second party is both a partner and an agent managing two companies, and financial contracts are concluded between them, this is a cause for suspicion and accusation, because it is not permissible for an agent to deal financially with himself on behalf of his principal, unless the principals are aware and have given their permission.

Summarized from the full answer at Ftawy · imported

Read the full answer on Ftawy
Source platform
Ftawy
Original fatwa ID
188591
Imported
Translation status
Source text, unreviewed
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