When an agent purchases an item on behalf of a principal with permission, to whom does ownership immediately transfer?
General Chapter
Al-Mughni
Book of Agency
Primary text
Ownership transfers directly from the seller to the principal, bypassing the agent's ownership. This is the position held by Al-Shafi'i. The basis for this is that the agent performed a contract for another, which is valid to be performed for the other party, similar to the case of a father or guardian, or when a marriage contract is concluded for someone else. The principal possesses the right to claim the price if the sale was for a specified price, treating the price as analogous to the sold item.
Supporting text
Abu Hanifa holds that ownership first enters the agent's possession, and then transfers to the principal. This is because the rights of the contract attach to the agent; the proof offered is that if the agent buys it for more than its value, it enters the agent's ownership, and does not transfer to the principal.