Hadith 38699

Yahya said that Malik spoke about an investor who made a qiradloan and stipulated to the agent that only certain goods should bebought with his money or he forbade certain goods which he named to bebought. He said, "There is no harm in an investor making a conditionon an agent in qirad not to buy a certain kind of animal or goodswhich he specifies. It is disapproved of for an investor to make as acondition on an agent in qirad that he only buy certain goods unlessthe goods which he orders him to buy are in plentiful supply and donot fail either in winter or summer. There is no harm in that case."Malik spoke about an investor who loaned qirad money andstipulated that something of the profit should be his alone withoutthe agent sharing in it. He said, "That is not good, even if it isonly one dirham unless he stipulates that half the profit is his andhalf the profit is the agent's or a third or a fourth or whatever.When he names a percentage, whether great or small, everythingspecified by that is halal. This is the qirad of the muslims."He said, "It is also not good if the investor stipulates that onedirham or more of the profit is purely his, with out the agent sharingit and then what remains of the profit is to be divided in halfbetween them. That is not the qirad of the Muslims."