Validity of one partner purchasing an item using partnership funds for their own share.
General Chapter
Al-Mughni
Book of Partnership
Primary text
If one partner purchases an item using partnership funds, the purchase is void regarding that partner's specific share because they already possess ownership of that portion. The validity concerning the co-partner's share is subject to two scholarly opinions, based on the principle of separating a transaction (tafriq al-safqah). A ruling where the entire transaction is valid is derived from the position that the owner of capital (Rabb al-Mal) is permitted to purchase from the Mudarabah funds for themselves.