Is it permissible for the working partner (Amil) to purchase an asset that is liable to be freed by the capital provider (Rab al-Mal) without the capital provider's permission?
General Chapter
Al-Mughni
Book of Partnership
Primary text
The working partner is prohibited from purchasing an asset that is liable to be freed by the capital provider without the latter's authorization due to the potential harm involved. If the purchase is made with the capital provider's express permission, the transaction is valid. Since the working partner could legally purchase it for himself, authorization for another to do so is also permissible. The asset becomes freed for the capital provider, and the partnership (Mudarabah) is dissolved concerning the value equivalent to the purchase price, as this portion is deemed destroyed and accounted for as capital loss borne by the capital provider. If the purchase price equals the entire capital, the partnership is entirely dissolved. If a profit exists, the working partner retains his share of it. This view aligns with the opinions of Al-Shafi'i and the majority of jurists.
Supporting text
An alternative view, derived from the apparent statement of Imam Ahmad, suggests the purchase remains valid even without permission because the asset is valued property capable of contracts, and thus its purchase is valid, similar to purchasing an item whose manumission was vowed by the capital provider. The working partner is then liable for the asset's value, regardless of his knowledge or ignorance, because the partnership capital was destroyed due to his action, and fault leading to liability applies equally whether the act was known or unknown.