What is the ruling if a purchased item acquired with Mudarabah capital perishes after the purchase?
General Chapter
Al-Mughni
Book of Partnership
Primary text
If two slaves were purchased with Mudarabah capital and one perishes, the loss is from the profit, and the capital is not diminished by its loss because the disposition (the purchase) had already occurred. If both slaves perish, the Mudarabah is dissolved due to the complete loss of its capital. When a loss occurs (Wadi'ah), the profit is shared between the partners, and the loss falls upon the capital.