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The question

Is it permissible to take a sum of money from an employee, as agreed upon in the contract concluded between the two parties, in the event of him suddenly leaving work or not completing the period agreed upon in the contract?

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

What is known as a penalty clause (or liquidated damages clause) varies in ruling depending on its condition. It is permissible to stipulate it in contracts where the obligation is not a debt, as in the case mentioned in the question. However, in contracts where the original obligation is a debt, it is not permissible.

Summarized from the full answer at Ftawy · imported

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Where this answer came from
Source platform
Ftawy
Original fatwa ID
103611
Imported
Translation status
Source text, unreviewed
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