النص المفهرس

FATĀWĀ DĀR AL-‘ULŪM
ZAKARĪYYĀ
VOLUME FIVE
Hadrat Muftī Rada' al-Haq Sahib
Translated by
Maulānā Mahomed Mahomedy
1

TABLE OF CONTENTS
FOREWORD 17
INTRODUCTION 19
A BIRD'S EYE VIEW OF DĀR AL-'ULŪM ZAKARĪYYĀ 32
TRADE AND COMMERCE 34
PERMISSIBLE AND IMPERMISSIBLE TRANSACTIONS 34
Demanding more than the agreed price 34
When a seller attaches conditions to a transaction 35
When a condition of "free-service" is attached to a transaction 37
An objection to a conditional transaction 40
Trading in worms and reptiles 42
Trading in lion excreta 43
Selling animals by weight 44
The difference between gharar and ignorance of the sale item 47
A minor ignorance 48
The right to cancel for more than three days 51
Showing an item to one buyer but selling it to someone else 52
Selling a counterfeit item while claiming that it is the original 53
Selling an item by concealing its defect 54
Absolving one's self from all defects in an item 56
The meaning and application of khiyar-e-ghaban 56
Cancelling a transaction because of deception 58
Repossessing an item when it is not paid for 60
A one-sided cancellation when the price is not paid 62
When an item is destroyed before the buyer can take possession
of it 65
Selling a property which belongs to a minor 68
Trading in greeting cards 70
Trading in garments which have animate images 72
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Trading in opium 74
Reserving certain sale items for one's self 76
Cancelling a transaction when the value of an item increases 77
Selling grass which grows on its own 81
The right of a characteristic 83
Trading in honey bees and silk worms 84
Compelling a seller to purchase an item 85
When the price is unknown 86
Giving a discount when a credit amount is paid before hand 88
The issue of lay-byes 89
Physical gharar 91
The sale of weighed items without reweighing them 98
Reweighing an item in bay' bi at-ta'ātī 105
Selling an item before taking possession of it 107
The sale of non-edibles before taking possession of them 111
Purchasing goods which are auctioned by the government 113
Purchasing repossessed goods 116
Selling a television 117
Transacting with an apostate 119
Trading in crabs 121
Trade and commerce via the internet 123
An RCS transaction 126
Trading in black dye 128
Official documentation for the completion of a transaction 130
Trading in cigarettes 131
Trading in coffins 137
Selling neck-ties 138
Trading in dolls 140
Trading in clothing which is against the Shari'ah 142
Tobacco farming 144
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Black marketing 146
Trading in fireworks 147
Buying stolen goods 150
Trading in hair 154
Trading in animal/pet food 155
Trading in semen of animals 157
Impregnating an animal through an injection 163
Trading in impure oil 165
Trading in shoes made of pig-skin 167
Selling a third of the buyer's share in an invalid transaction 169
Trading in items which are used for magic 172
Selling idols made of steel 173
Asking the buyer to pay for the legal expenses 176
Trading in shares with the precondition of a loan 178
Agreeing on a transaction in the future tense 180
Selling an unknown item which is in a sealed box 182
Deferring a payment in an unstipulated transaction 185
When there is a dispute on taking possession of an item 186
Selling a cow on the condition that it is pregnant 188
When an item is less than what was specified 189
Trading in heaps of rice 190
Forfeiting the leverage amount in a transaction 191
Trading in fish which are in a pond 196
Accumulating items which are fundamentally ownerless 199
Selling items which are used in an idolater's place of worship 201
When goods are destroyed while in transit 203
When a seller buys an item at a lower price from a buyer 205
Selling goods to one who trades in alcohol 207
Trading in fruit 209
3

Imposing an immediate full-payment when a person defaults in
paying an instalment 213
Trading in blood 215
Selling a weighted item by weighing it with its packaging 216
Buying grave-sheets from a grave-custodian 217
Buying and selling bells 221
Crops of a land which has been sold 223
Trading in cats 224
Selling an item with a prize coupon 225
Engaging in business while on hajj 226
Returning an item when it is more than what was estimated 229
Withholding an item until full payment is received in an
instalment-transaction 230
Resorting to deception in a transaction 232
Returning a defective item 234
Specifying a profit margin 236
A prize given by a wholesaler 238
The issue of eligibility as regards a sale-item 239
Trading in shares 240
A short sale 243
Acting as a guarantor on behalf of a deceased 244
Doing business with a non-Muslim who supports Israel 246
Trading in slaughtered un-tanned animal skins 252
Trading in saddles made of snake-skin 258
Dealings with a non-Muslim who engages in unlawful business
transactions 259
Bearing the cost of returning a defective item 260
When the second buyer is asked to pay the full amount 261
Laying down an invalid condition with a non-Muslim 262
A motorcycle and 'umrah welfare scheme 263
PROFIT-SHARING AND BANKS 269
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An objection to a profit-sharing contract of a banking institution
269
A second objection to profit-sharing agreements with banks and
the reality of legal stratagems 273
Specifying a monthly profit in a profit-sharing contract 275
An objection to contemporary Islamic banking 276
Purchasing a house through a bank 292
ISLAMIC BANKING 294
Definition of a bank 294
Islamic banking 294
FORWARD BUYING AND MANUFACTURING 300
Bay' salam when trading in mangoes 300
Length of time in bay' salam 301
Bay' salam when trading in meat 303
Applying the rule of istisna' in clothing 304
When an item is not made according to the sample 307
When an order is given to construct a flat and it is not
constructed 308
MISCELLANEOUS FORMS OF TRANSACTIONS 311
The method of bay' bi al-wafa' 311
The method of bay' 'aynah 318
Bay' taljiyah 321
Bay' al-istijrār 323
Paying upfront for a periodical 326
Paying a butcher before-hand 330
Auctions 331
THE SALE OF RIGHTS 333
Selling the right to drinking water 333
The sale of "goodwill" and "trademark" 335
The Sharī'ah status of haqq-e-sukna 340
The sale of a right to choice 345
5

Royalties for copyrighted material 348
Royalties for each new edition 349
The sale of a trading licence and pension 350
The difference between haqq mutagarrar and ghayr mutaqarrar
352
A permanent lease 357
CURRENCY TRANSACTIONS 362
Exchanging one currency for the same currency 362
A bill of exchange 369
Exchanging one currency for a different currency 370
When a measured item becomes a weighted one 372
A forward exchange contract 373
Exchanging currencies of different countries 376
Buying gold/silver with currency notes 377
The Shari'ah ruling with regard to Forex 380
Selling a silver ring which has a gem-stone set in it 383
Selling a currency at a rate which is different from the
government-stipulated one 385
Trading in a foreign currency 385
Selling R5-coins at higher or lower prices 386
Exchanging gold for gold 387
Buying gold with a credit card 390
INTEREST/USURY 392
Accepting usury in South Africa 392
The issue of usury in a dar al-harb 392
The preferred view on the issue of usury in a dar al-harb 398
The difference between dar al-Islam, dar al-harb and dar al-amn
406
Selling wheat in exchange for wheat flour 407
Selling mustard seeds in exchange for mustard oil 411
Buying a house through a bond 413
6

Transacting with a person who has interest money 417
Transacting with a company involved in usurious transactions
419
Transacting with a bank 419
Exchanging steel utensils 421
Depositing money in a bank 423
Taking possession of usurious items in an assembly 424
Usury which is less than the minimum Shari'ah-approved amount
425
Selling one apple in exchange for two 428
Selling dry dates in exchange for fresh dates 428
Retrieving unjustifiable taxes from the government 432
The Shari'ah ruling with regard to bank cards 433
The ruling with regard to garage cards 438
DISBURSEMENT OF USURY 440
Acquiring usurious wealth from an unbeliever 440
Paying interest with interest 445
Paying government taxes with interest money 447
Interest money for welfare works 452
Assisting a political party with interest money 456
Interest money for the payment of a debt 457
Giving interest money to one's grandson 459
Giving interest money to non-Muslims 460
Interest money to construct toilets 461
The recipient of luqtah and usury 462
Ownership of unlawful wealth given in charity 466
Making profit from unlawful wealth 468
Giving as charity an amount which is different from the interest
money 469
Changing interest money for an item 471
Paying traffic fines with interest money 472
7

Paying for service charges with interest money 473
Giving interest money as a bribe 476
INSURANCE 478
Medical aid 478
Receiving money from a medical aid company 486
Collecting fees from a medical aid company 488
Left-over medicine of a medical aid company 488
Medical insurance 489
Medical insurance and mutual assistance 489
Becoming a member of a medical aid 491
Taking out an insurance 491
Motor vehicle and household insurance 494
Mandatory insurance 496
Third party insurance 499
The AA (Automobile Association) 505
Taking out an insurance 506
Becoming an insurance agent 508
Insurance for a medical practitioner 509
Provident funds 510
Voluntary provident fund 512
Pension fund 513
Retirement policy 514
Education policy 515
Mutual fund 515
GAMBLING AND BRIBERY 519
Taking part in horse races 519
A muhallil in a horse race 522
Receiving a prize on behalf of a third person 524
Prize bonds 525
Accepting a prize for solving a puzzle in a newspaper 527
8

Competitions which require a payment 529
Taking part in a bank competition 531
A fishing competition 534
Taking part in a Vodacom competition 535
Paying a bribe to obtain a licence 537
Lotteries 541
Speculation 543
Promoting a business through prizes 544
LOANS AND DEBTS 557
When a debtor delays in repaying 557
Taking one kilo wheat on loan 558
Borrowing rands and paying back in dollars 561
Collecting extra when the value is less 563
Decreasing the loan when it is paid before-hand 564
Repayment of a loan after twenty years 567
A person in debt giving optional charity 568
Giving more when repaying a loan 569
Bringing a debt forward when a debtor dies 571
Resorting to stratagems to collect one's debt 573
Retrieving one's debt from an insurance company 574
Collecting unlawful wealth from a non-Muslim 575
Taking an interest-loan to pay education fees 582
Collecting a debt from haram wealth of a Muslim 582
Taking the wealth of a minor as a loan 584
Expenses which are borne during a loan process 585
Taking an interest-loan to save one's self from income tax 586
Paying the deceased's debt from a pension fund 587
Interest on a delayed repayment of a loan 588
Taking loans for enjoyment purposes 589
Buying wheat on credit and paying for it in rands 589
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Making gold the basis of a loan 590
Making the strength/weakness of a currency the basis for
repaying a loan 593
Preconditioning a loan with returning a higher quality item 601
Imposing a monetary fine for delaying payment 602
Collecting a debt from a consignee 603
When a debtor hands over the responsibility of payment to a
third person 606
BORROWING, LENDING AND TRUST-KEEPING 607
Taking back a loaned item before the due date 607
Taking back a building which was loaned 609
Taking back a land before the specified date 610
The borrower paying a compensation 611
Damages caused to a borrowed item 613
Renting out a borrowed house 614
Compensation when a person is paid for the service of
safekeeping 615
Using the entrusted item in a business 618
When the entrusted item is less than what was given 619
When charity money is confiscated 620
When the entire tax amount is not paid to the government 623
GIFTS AND DONATIONS 624
A pre-conditioned permission to install an ATM 624
A prize for monthly subscribers 626
When an invitation is pre-conditioned with a donation 627
Pre-conditioned gifts in a walīmah 628
An issue related to a pre-conditioned donation 629
A joint grant 629
A minor taking possession of a grant 632
A conditional gift 634
Gifting a lost item 636
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A shawl which is given in an aeroplane 637
Gifting a Qur'an to a non-Muslim 637
Giving a pig-skin leather jacket to a non-Muslim 639
A charity or a gift when possession of it has not been taken 640
Possession of a gift once possession of its documents takes place
642
A co-owned gift from a partner 643
Gifting items which belong to minors 644
Gifting insignificant items on behalf of minors 645
Gifting infant formula 647
Spending a child's money for his expenses 648
Accepting a gift from a minor 649
When a father gives his shop to his son 650
A verbal gifting 651
Gifting on the day of 'Āshūrā' 652
Gifting on non-Islamic occasions 656
Depositing money in a son's name 657
When a mother gives a house to her son 658
When a debtor pays his debt to someone other than his creditor
659
Distributing one's wealth during one's lifetime 661
Equality at the time of distribution 663
A gift when possession has not been taken of it 666
Gifting before taking possession of one's inheritance 668
The gifting of rights 669
Gifting in illicit love relationships 670
Using the gifts which were received in an illicit relationship 671
Gifting for the sake of marriage 672
A common possession suffices in a gift 672
Accepting a gift from forbidden wealth 674
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A leeway for making hibatul mashghul lawful 676
RENTING AND HIRING 678
Definition of ijārah 678
Renting for a period of one hundred years 680
Giving books on rent 681
When either one of the parties passes away 683
Repairs to a rented house 685
A Muslim engineer constructing a liquor house 688
Constructing places of worship for non-Muslims 690
A Muslim barber cutting hair in un-Islamic ways 691
Taking a payment for delivering a lecture 692
Taking a payment for being a muftī and qādī 695
Renting a property to a bank 697
Renting a property for a cinema and liquor house 699
Renting out liquor stores and cinemas in a shopping mall 701
The issue of safqah fī safqah in an ijārah 703
Hiring a wedding hall to non-Muslims 704
Forfeiting a deposit when the ijarah is cancelled 705
The precondition of paying for damages 705
Payment for taking the responsibility of getting the job done 708
When the amount of payment is unknown 708
When a specific hireling commits an offence 710
Recompense from a co-partnered hireling 712
When a teacher arrives ten minutes late to class 714
When payment is suspended to a condition 715
An objection to ijarah of an Islamic bank 717
When a tenant sub-leases a property 720
Repairs to a television 722
A commission agent 723
An estate agent collecting service fees 731
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A representative who sells on a commission basis 732
Collecting a commission from both parties 733
The pre-condition of opening a business on a Friday 735
Asking for a pre-payment/down payment 738
Asking a tenant to repair the lift 740
Renting out a borrowed item 741
The Ramadan salary of a person who resigns in Sha'ban 742
Setting a time-period in an ijārah 746
Asking a tenant to vacate because of some danger 747
Taking a payment for reciting the Qur'an 748
An ijārah which is attached to the future 756
Employment in a bank 757
Employment in a shop which sells lawful and unlawful items 761
The income of a football player 763
The income of a fashion model 765
The income of a broker 767
Hiring an 'ajīr khas for a long period of time 767
The income of a beautician 769
An agent having to return the money 771
The condition of giving three month's advance notice 772
Expenses for a rented piece of land 773
Hiring a person for the forceful removal of a tenant 773
Taking a deposit from a tenant 773
Being a broker in a stock exchange 775
Taking payment for the Shari'ah sciences 776
Hiring out an item which is co-owned 786
Demanding rental when there was no rental agreement 787
Asking for payment for being a surety 789
Hiring out an item with the precondition of a penalty 790
Paying a penalty when a hired item is stolen 791
13

Laying down a condition on a specific hireling 792
Repairing a machine when it is damaged a second time 794
Giving trees on rent 795
REPRESENTATION 799
Representation on behalf of both parties 799
A representative buying for himself 800
Selling an item at a higher price than what was stipulated 800
Being a representative for something which is against the
Shari'ah 802
When a representative for a purchase receives something for free
804
The difference between a representative and a broker 806
A mandator reselling the goods to his representative 807
A general and specific representation 808
When a representative spends his mandator's money on himself
808
Making the representative liable for the amount of money 810
Charging a fee for a proxy agreement 811
Laying down restrictions on a representative 812
A sales representative keeping goods as a mortgage 813
Appointing a non-Muslim as a sales representative 815
SILENT PARTNERSHIP 817
The salary of an employee in a mudarabah agreement 817
Office expenses in a mudarabah agreement 818
When the condition of work is laid on the owner 820
When the owner works without a precondition of work 822
When the owner works as an employee 823
Specifying the profit in a mudarabah agreement 824
When expenses are paid from the capital 826
Specifying a monthly amount for the owner 828
When the profit is unknown 829
14

An invalid mudārabah 830
When a mudarab makes an agreement with his own company 832
A mudarab entering into a tawliyah agreement 834
The owner collecting rent for his premises 836
Limited liability 837
Specifying an additional amount for the working partner 839
Giving money to a company on the basis of mudarabah 842
Terminating a mudarabah 844
Specifying a wage for the mudarab 845
Terminating a mudarabah when there are no profits 848
A mudarab having to pay for losses 850
The method of acquiring profits according to Islamic principles
851
When a mudarabah is restricted to a time 853
Few issues related to mudarabah 855
Mudarabah with a telephone company 857
When an owner includes his son in a mudarabah agreement 858
PARTNERSHIP 860
Being a partner in the income without having done any work 860
When one heir conducts the business of the estate 863
Selling one's share 867
Profits from the sale of non-Shari'ah shares 868
Trading in company shares 869
The labourers of a company having several partners 871
Buying shares in a company whose business is mixed 872
Fundamental principles for Islamic partnerships 875
Partnership in the manufacture of bricks 881
The prerequisites for shirkat-e-mufawadah 883
Partnership in goods 887
Partnership between spouses 888
15

Imposing a penalty on one partner 890
When one partner provides essential items 890
When the wife assists the husband without a contract 892
Obtaining the value of a co-owned item 894
Buying shares in a company which runs hotels 895
A Muslim becoming a partner in the manufacture of vinegar 896
Few rules related to partnership 898
THE RIGHT OF PRE-EMPTION 906
The issue of shuf ah when there are three partners to a plot of
land 906
Shuf ah on waqf land 907
Shuf ah when a house has two neighbours 908
TRANSLATOR'S NOTE 909
GLOSSARY 910
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FOREWORD
بسم الله الرحمن الرحيم
الحمد لله وكفى، سلام على عباده الذين اصطفى، أما بعد:
All praise is due to Allāh ta'ālā, volume five of Fatāwā Dār al-'Ulūm
Zakarīyyā is presented to the reader. This volume took quite some
time. The delay was partly due to my many occupations and because of
certain transaction rulings which had been set aside, and were being
changed periodically.
Issues related to transactions are firstly complex, and secondly, the
'ulama' of the Indo-Pak Subcontinent - especially of Pakistan - have
many differences of opinion on the subject. There were times when I
thought of deferring this volume completely, but when I thought
deeply about it, I concluded that it should also be presented to the
reader.
If the honourable readers and muftis differ on some issues, they
should read my fatawa on the basis that they present another angle to
the issue at hand. From the Urdu fatawa, I quoted the fatwa of the
mufti whose view was in line with my view, and I provided the
reference for it.
The reader should not become restive with some of the lengthy
quotations because this is inevitable when it comes to certain major
issues.
It will be extremely ungrateful if I do not acknowledge the efforts of
the students of our Dar al-Ifta' who assisted in obtaining the
references for this and the other volumes. I pray to Allah ta'ala to
accept them for the path of knowledge and practice, and to inspire
them with the good fortune of serving Din for as long as they live.
Āmīn. Allah willing, this effort of theirs is a milestone for them.
Maulānā Muftī Muhammad Ilyas Shaykh Sahib needs to be
congratulated for his untiring efforts in checking the references and
providing additional references occasionally. He also did us the favour
of arranging and compiling this book. I pray to Allah ta'ala to reward
him for his efforts. Āmīn.
I am indebted to the principal of Dar al-'Ulum Zakarīyyā, Maulānā
Shabbīr Ahmad Sālūjī Sahib, for providing all the ease to the Dar al-
Iftāʼ.
17

Note: When it comes to matters pertaining to transactions, it is my
view that - while remaining within the limits - the easiest option
should be chosen. This, so that it is easy for everyone - the masses and
the elite - in these trying times. It is especially important to bring the
masses as close as possible to the Shariah. When a strict and
authoritarian stand is adopted, people sometimes become averse to
Dīn and the Sharī ah. Absolute knowledge is with Allah ta'ālā alone.
(Hadrat Muftī) Rada' al-Haqq (Sāhib)-may Allāh pardon him.
Dār al-Iftā', Dār al-'Ulūm Zakarīyya, South Africa
4 Sha ban al-Mu azzam 1433 A.H.
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