Must the working partner sell assets if the capital owner demands a sale upon contract termination?

General Chapter

Al-Mughni

Book of Partnership

Book 18 · Issue 4 · Bab 1

Open in Qurani

Primary text

There are two opinions if the capital owner demands the sale and the working partner refuses. The first opinion, held by Al-Shafi'i, is that the working partner is compelled to sell because the capital owner is obligated to return the capital in its cash form as it was received. The second opinion is that the working partner is not compelled if no profit has materialized or if the working partner waives their right to the profit, as their authority ceases upon dissolution, making them a non-stakeholder in the property, similar to an agent who is no longer required to return property after their agency has ended.