What is the legal status of the actions of the Mudarib (investor manager)?

General Chapter

Al-Mughni

Book of Partnership

Book 18 · Issue 1 · Bab 1

Open in Qurani

Primary text

The actions of the Mudarib are governed by the rules of Shirkat al-Anan (a type of partnership). Every action permissible for a partner in Shirkat al-Anan is permissible for the Mudarib. Conversely, every action prohibited for a partner is prohibited for the Mudarib. Matters of disagreement regarding Shirkat al-Anan are similarly treated in Mudarabah.