Is the cash amount paid to be included in the company's assets and divided among the partners upon liquidation or the exit of one of the partners, or is it an inherent right of the party who paid it?
The aforementioned company is a permissible form of (commenda partnership), where two individuals can participate with the capital of others. The profit is distributed between them according to the agreement stipulated in the Mudarabah contract. This is the view of the majority of scholars. The Mudaribs (agents/entrepreneurs) have no right to the capital itself; rather, their right is limited to a stipulated share of the profit, and the right of the capital owner takes precedence over theirs. If a profit appears in the Mudarabah, they are entitled to what was stipulated, otherwise, they receive nothing. Thus, the Mudarib is not entitled to any profit until the capital is recovered. The company's capital is the original right of its owner, while the questioner and his partner are only partners in the profit.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
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- Original fatwa ID
- 86606
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- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
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