What is the liability if the pledgee borrows the pledged item (e.g., a house)?

General Chapter

Al-Mughni

Book of Pledges (Collateral)

Book 13 · Issue 6 · Bab 1

Open in Qurani

Primary text

If the pledgee borrows the pledged item, it becomes guaranteed by him. This is the position of Al-Shafi'i.

Supporting text

Abu Hanifa holds that there is no guarantee on him. This difference hinges on the legal status of gratuitous bailment (A'riyah); we consider it guaranteed, while he considers it non-guaranteed.