Business Transactions

Narrated Rafi' bin Khadij (RA):

Allah's Messenger (ﷺ) said: "Whoever sows in the land of a people without their permission, he has no right to any of the crop. However, he is entitled to what he spent on it." [Reported by Ahmad and al-Arba'a except an-Nasa'i. at-Tirmidhi graded it Hasan (good).

It has been said that al-Bukhari graded it Da'if (weak).

Narrated 'Urwa bin az-Zubair (RA):

A man among the Companions of Allah's Messenger (ﷺ) said: "Two men brought a dispute before Allah's Messenger (ﷺ) concerning a land in which one of them had planted palm trees and the land belonged to the other. So, Allah's Messenger (ﷺ) ruled that the land belongs to its owner, and commanded the owner of the palm trees to uproot his palm trees. He said, "The labor of an unjust person has no right." [Reported by Abu Dawud and its chain of narrators is Hasan (good). The last (quoted) part of the aforesaid Hadith is found in the books of the collections of as-Sunan, from 'Urwa's narration on the authority of Sa'id bin Zaid.

However, there is disagreement regarding whether it is Mawsul (an unbroken chain) or Mursal (missing link after the Tabi'i) as well as the determination of the name of the Companion who heard it from the Prophet (ﷺ).

Narrated Abu Bakra (RA):

In his Khutbah (religious talk - sermon) on the Day of Sacrifice at Mina, the Prophet (ﷺ) said: "Your blood and your property and your honor are forbidden for you to violate, like the sacredness of this day of yours, in this month of yours, in this city of yours." [Agreed upon].

Narrated Jabir bin 'Abdullah (RA):

Allah's Messenger (ﷺ) ruled that the option to buy a partner's share in property is applicable to everything that has not been divided. However, when boundaries are fixed and separate roads are made there is no partner's option." [Agreed upon; the wording is al-Bukhari's].

Muslims' narration has:

"The option to buy a partner's share in property is applicable to everything which is shared, whether land, a dwelling or a garden and it is not lawful to sell before informing one's partner."

at-Tahawi's narration has:

"The Prophet (ﷺ) ruled for the right of partner's option regarding everything." [Its narrators are reliable].

Narrated Abu Rafi' (RA):

Allah's Messenger (ﷺ) said: "The neighbor has more right (to be given preference) to the property which is near to him." [al-Bukhari reported it, and there is a story related to it].

Narrated Anas bin Malik (RA):

Allah's Messenger (ﷺ) said: "The neighbor of the house has the most right to buy it." [Reported by an-Nasa'i. Ibn Hibban graded it Sahih (authentic), but it (this chain from Qatada from Anas) has a defect].

Narrated Jabir (RA):

Allah's Messenger (ﷺ) said: "The neighbor is most entitled to the right of option to buy his neighbor's property, and its exercise should be waited for, even if he is absent, if the two properties have one road." [Reported by Ahmad and al-Arba'a; its narrators are reliable (thiqah)].

Narrated Ibn 'Umar (RA):

The Prophet (ﷺ) said: "The option to buy neighboring property is like loosening the knot (which restraints the camel)." [Reported by Ibn Majah and al-Bazzar, who added: "And there is no option to buy a neighboring property for one who is absent." Its chain of narrators is Da'if (weak)].

Narrated Suhaib (RA):

The Prophet (ﷺ) said: "There are three things which contain blessings: A business transaction in which payment is agreed on a fixed later time, al-Muqaradah (speculative partnership), and mixing wheat and barley for one's household use but not for sale." [Reported by Ibn Majah through a Da'if (weak) chain of narrators].

Narrated al-Hakim bin Hazim (RA):

He used to make a condition on the man to whom he gave his property in al-Muqaradah (to trade with, and the profit being shared between them), that: "You should not trade with my property in living beings, and do not transport it by sea, and do not settle with it at the bottom of a river-bed; and if you do any of the aforesaid acts you should then guarantee my property." [ad-Daraqutni reported it and its narrators are reliable (thiqah)].

Malik said in al-Muwatta' from al-'Ala bin 'Abdur-Rahman bin Ya'qub from his father on the authority of his grandfather that he traded with some property belonging to 'Uthman (RA) so that the profit would be divided between them. [This hadith is Mawquf (saying of a Companion) Sahih (authentic)].

Narrated Ibn 'Umar (RA):

Allah's Messenger (ﷺ) had agreed with the people of Khaibar to give (to the Muslim authority) half what it produced of fruits or crops. [Agreed upon].

A narration by al-Bukhari and Muslim has:

They asked him (ﷺ) to allow them to stay on the land, on condition that they should do all the cultivation and have half the dates. Allah's Messenger (ﷺ) replied to them, "We shall allow you to stay on the land, on that condition, as long as we wish." So they remained on the land till 'Umar (RA) expelled them.

Muslim has:

Allah's Messenger (ﷺ) handed over to the Jews of Khaibar, the palm-trees and the land of Khaibar, on condition that they should employ their own resources in working on it and keep half of its produce.

Narrated Hanzala bin Qais (RA):

I asked Rafi' bin Khadij (RA) about renting land for gold and silver and he replied, "There is no harm in that, as the people used to rent land in the time of Allah's Messenger (ﷺ) for what grew by the river-beds, and the edges of the brooks/streams, or for a portion of the crop. However, sometimes this portion of the crop would be destroyed while the other is saved, or vice-versa. Thus, there would be no wages to pay the people (the owners of the land) except for the portion which produced a crop." For this reason, he warned against this (practice). However, if it is (rented) for something known and guaranteed, then there is no harm in it. [Muslim reported it]. This narration contains a clarification of what was mentioned in general terms in the previous narration of al-Bukhari and Muslim, regarding the general prohibition of renting out land.

Narrated Thabit bin Dahhak (RA):

Allah's Messenger (ﷺ) forbade al-Muzara'ah (employing people on land for a share of the produce), and ordered al-Mu'ajara (renting it out for cash). [Reported by Muslim].