Business Transactions

Yahya related to me from Malik from a reliable source from Amr ibn Shuayb from his father from his father’s father that the Messenger of Allah, may Allah bless him and grant him peace, forbade transactions in which nonrefundable deposits were paid.

Malik said, “That is, in our opinion, but Allah knows best, that for instance, a man buys a slave or slave-girl or rents an animal and then says to the person from whom he bought the slave or leased the animal, ‘I will give you a dinar or a dirham or whatever on the condition that if I actually take the goods or ride what I have rented from you, then what I have given you already goes towards payment of the goods or hire of the animal. If I do not purchase the goods or hire the animal, then what I have given you is yours without liability on your part.’ ”

Malik said, “According to the way of doing things with us there is nothing wrong in bartering an arabic speaking merchant slave for abyssinian slaves or any other type that are not his equal in eloquence, trading, shrewdness, and know-how. There is nothing wrong in bartering one slave like this for two or more other slaves with a stated delay in the terms if he is clearly different. If there is no appreciable difference between the slaves, two should not be bartered for one with a stated delay in the terms even if their racial type is different.”

Malik said, “There is nothing wrong in selling what has been bought in such a transaction before taking possession of all of it as long as you receive the price for it from some one other than the original owner.”

Malik said, “An addition to the price must not be made for a foetus in the womb of its mother when she is sold because that is gharar (an uncertain transaction). It is not known whether the child will be male or female, good-looking or ugly, normal or handicapped, alive or dead. All these things will affect the price.”

Malik said that in a transaction where a slave or slave-girl was bought for one hundred dinars with a stated credit period that if the seller regretted the sale there was nothing wrong in him asking the buyer to revoke it for ten dinars which he would pay him immediately or after a period and he would forgo his right to the hundred dinars which he was owed.

Malik said, “However, if the buyer regrets and asks the seller to revoke the sale of a slave or slave-girl in consideration of which he will pay an extra ten dinars immediately or on credit terms, extended beyond the original term, that should not be done. It is disapproved of because it is as if, for instance, the seller is buying the one hundred dinars which is not yet due on a year’s credit term before the year expires for a slave-girl and ten dinars to be paid immediately or on credit term longer than the year. This falls into the category of selling gold for gold when delayed terms enter into it.”

Malik said that it was not proper for a man to sell a slave-girl to another man for one hundred dinars on credit and then to buy her back for more than the original price or on a credit term longer than the original term for which he sold her. To understand why that was disapproved of in that case, the example of a man who sold a slave-girl on credit and then bought her back on a credit term longer than the original term was looked at. He might have sold her for thirty dinars with a month to pay and then buy her back for sixty dinars with a year or half a year to pay. The outcome would only be that his goods would have returned to him just like they were and the other party would have given him thirty dinars on a month’s credit against sixty dinars on a year or half a year’s credit. That was not to be done.

Yahya related to me from Malik from Nafi from Ibn Umar that the Messenger of Allah, may Allah bless him and grant him peace, forbade selling fruit until it had started to ripen. He forbade the transaction to both buyer and seller.

Yahya related to me from Malik from Abdullah ibn Dinar from Abdullah ibn Umar that a man mentioned to the Messenger of Allah, may Allah bless him and grant him peace, that he was always being cheated in business transactions. The Messenger of Allah, may Allah bless him and grant him peace, said, “When you enter a transaction, say, ‘No trickery.’ So whenever that man entered a transaction, he would say, ‘No trickery.’ ”

Malik related to me that Yahya ibn Said heard Said ibn al- Musayyab say, “When you come to a land where they give full measure and full weight, stay there. When you come to a land where they shorten the measure and weight, then do not stay there very long.”

Malik related to me from Yahya ibn Said that he heard Muhammad ibn al-Munkadir say, “Allah loves his slave who is generous when he sells, and generous when he buys, generous when he repays, and generous when he is repaid.”

Malik said about a man who bought camels or sheep or dry goods or slaves or any goods without measuring precisely, “There is no buying without measuring precisely in anything which can be counted . ”

Malik said about a man who gave a man goods to sell for him and set their price saying, “If you sell them for this price as I have ordered you to do, you will have a dinar (or something which he has specified, which they are both satisfied with), if you do not sell them, you will have nothing,” “There is no harm in that when he names a price to sell them at and names a known fee. If he sells the goods, he takes the fee, and if he does not sell them, he has nothing.”

Malik said, “This is like saying to another man, ‘If you capture my runaway slave or bring my stray camel, you will have such-and-such.’ This is from the category of reward, and not from the category of giving a wage. Had it been from the category of giving a wage, it would not be good.”

Malik said, “As for a man who is given goods and told that if he sells them he will have a named percentage for every dinar, that is not good because whenever he is a dinar less than the price of the goods, he decreases the due which was named for him. This is an uncertain transaction. He does not know how much he will be given.”

Malik related to me that he asked Ibn Shihab about a man who hired an animal, and then re-hired it out for more than what he hired it for. He said, “There is no harm in that.”

Yahya related to me from Malik from Humayd at-Tawil from Anas ibn Malik that the Messenger of Allah, may Allah bless him and grant him peace, forbade selling fruit until it had become mellow. He was asked, “Messenger ofAllah! What do you mean by become mellow?” He said, “When it becomes rosy.”

The Messenger of Allah, may Allah bless him and grant him peace, added, “Allah may prevent the fruit from maturing, so how can you take payment from your brother for it.”

Yahya related to me from Malik from Abu’r-Rijal Muhammad ibn Abd ar-Rahman ibn Haritha from his mother, Amra bint Abd ar-Rahman that the Messenger of Allah, may Allah bless him and grant him peace, forbade selling fruit until it was clear of blight. Malik said, “Selling fruit before it has begun to ripen is an uncertain transaction (gharar) .”

Yahya related to me from Malik from Abu’z-Zinad from Kharija ibn Zayd ibn Thabit that Zayd ibn Thabit did not sell fruit until the Pleiades were visible, at the end of May.

Malik said, “The way of doing things among us about selling melons, cucumbers, water- melons, and carrots is that it is halal to sell them when it is clear that they have begun to ripen. Then the buyer has what grows until the season is over. There is no specific timing laid down for that because the time is well known with people, and it may happen that the crop will be affected by blight and put a premature end to the season. If blight strikes and a third or more of the crop is damaged, an allowance for that is deducted from the price of purchase.”

Yahya related to me from Malik from Nafi from Abdullah ibn Umar from Zayd ibn Thabit that the Messenger of Allah, may Allah bless him and grant him peace, allowed the holder of an ariya to barter the dates on the palm for the amount of dried dates it was estimated that the palms would produce.

Yahya related to me from Malik from Da’ud ibn al-Husayn from Abu Sufyan, the mawla of Ibn Abi Ahmad, from Abu Hurayra that the Messenger of Allah, may Allah bless him and grant him peace, allowed the produce of an ariya to be bartered for an estimation of what the produce would be when the crop was less than five awsuq or equal to five awsuq. Da’ud wasn’t sure whether he said five awsuq or less than five.

Malik said, ”Ariyas can be sold for an estimation of what amount of dried dates will be produced. The crop is examined and estimated while still on the palm. This is allowed because it comes into the category of delegation of responsibility, handing over rights, and involving a partner. Had it been like a form of sale, no one would have made someone else a partner in the produce until it was ready nor would he have renounced his right to any of it or put someone in charge of it until the buyer had taken possession.”

Yahya related to me from Malik that Abu’r-Rijal Muhammad ibn Abd ar-Rahman heard his mother, Amra bint Abd ar-Rahman say, “A man bought the fruit of an enclosed orchard in the time of the Messenger of Allah, may Allah bless him and grant him peace, and he tended it while staying on the land. It became clear to him that there was going to be some loss. He asked the owner of the orchard to reduce the price for him or to revoke the sale, but the owner made an oath not to do so. The mother of the buyer went to the Messenger of Allah, may Allah bless him and grant him peace, and told him about it. The Messengerof Allah, may Allah bless him and grant him peace, said, ‘By this oath, he has sworn not to do good.’ The owner of the orchard heard about it and went to the Messenger of Allah, may Allah bless him and grant him peace, and said, ‘Messenger of Allah, the choice is his.’ ”

Yahya related to me from Malik that he had heard that Umar ibn Abd al-Aziz decided in a case to make a reduction for crop damage.

Malik said, “That is what we do in the situation.”

Malik added, “Crop damage is whatever causes loss of a third or more for the purchaser. Anything less is not counted as crop damage.”

Yahya related to me from Malik from Rabia ibn Abd ar-Rahman that al-Qasim ibn Muhammad would sell produce from his orchard and keep some of it aside.

Yahya related to me from Malik from Abdullah ibn Abi Bakr that his grandfather, Muhammad ibn Amr ibn Hazm sold the fruit of an orchard of his called al-Afraq, for 4,000 dirhams, and he kept aside 800 dirhams’ worth of dry dates.

Yahya related to me from Malik from Nafi from Abdullah ibn Umar that Umar ibn al-Khattab said, “If a slave who has wealth is sold, that wealth belongs to the seller unless the buyer stipulates its inclusion.”

Malik said, “The generally agreed upon way of doing things among us is that if the buyer stipulates the inclusion of the slave’s property whether it be cash, debts, or goods of known or unknown value, then they belong to the buyer, even if the slave possesses more than that for which he was purchased, whether he was bought for cash, as payment for a debt, or in exchange for goods. This is possible because a master is not asked to pay zakat on his slave’s property. If a slave has a slave-girl, it is halal for him to have intercourse with her by his right of possession. If a slave is freed or put under contract (kitaba) to purchase his freedom, then his property goes with him. If he becomes bankrupt, his creditors take his property and his master is not liable for any of his debts.”

Yahya related to me from Malik from Abu’r-Rijal, Muhammad ibn Abdar-Rahman ibn Haritha that his mother, Amra bint Abd ar-Rahman used to sell her fruit and keep some of it aside.

Malik said, “The generally agreed upon way of doing things among us is that when a man sells the fruit of his orchard, he can keep aside up to a third of the fruit, but that is not to be exceeded. There is no harm in what is less than a third.”

Malik added that he thought there was no harm for a man to sell the fruit of his orchard and keep aside only the fruit of a certain palm-tree or palm-trees which he had chosen and whose number he had specified, because the owner was only keeping aside certain fruit of his own orchard and everything else he sold.

Yahya related to me from Malik from Zayd ibn Aslam that Ata ibn Yasar said, “The Messenger of Allah, may Allah bless him and grant him peace, said, ‘Dried dates for dried dates is like for like.’ It was said to him, ‘Your agent in Khaybar takes one sa for two.’ The Messenger of Allah, may Allah bless him and grant him peace, said, ‘all him to me.’ So he was called for. The Messenger of Allah, may Allah bless him and grant him peace, asked, ‘Do you take one sa for two?’ He replied, ‘Messengerof Allah! Why should they sell me good dates for assorted low quality dates, sa for sa!’ The Messenger of Allah, may Allah bless him and grant him peace, said, ‘Sell the assorted ones for dirhams, and then buy the good ones with those dirhams.’ ”

Yahya related to me from Malik from Abd al-Hamid ibn Suhayl ibn Abd ar-Rahman ibn Awf from Said ibn al-Musayyab from Abu Said al- Khudri and from Abu Hurayra that the Messenger of Allah, may Allah bless him and grant him peace, appointed a man as an agent in Khaybar, and he brought him some excellent dates. The Messenger of Allah, may Allah bless him and grant him peace, said to him, “Are all the dates of Khaybar like this?” He said,”No. By Allah, Messenger of Allah! We take a sa of this kind for two sa or two sa for three.” The Messenger of Allah, may Allah bless him and grant him peace, said, “Do not do that. Sell the assorted ones for dirhams and then buy the good ones with the dirhams.”

Yahya related to me from Malik from Abdullah ibn Yazid that Zayd ibn Ayyash told him that he had once asked Sad ibn Abi Waqqas about selling white wheat for a type of good barley. Sad asked him which was the better and when he told him the white wheat, he forbade the transaction. Sad said, “I heard the Messenger of Allah, may Allah bless him and grant him peace, being asked about selling dried dates for fresh dates, and the Messenger of Allah, may Allah bless him and grant him peace, said, ‘Do the dates diminish in size when they become dry?’ When he was told that they did, he forbade that.”