Does the pledgee renting or borrowing the pledged property remove it from the status of pledge?
General Chapter
Al-Mughni
Book of Pledges (Collateral)
Primary text
According to a narration from Al-Hasan bin Thawab concerning Ahmad's view, if the pledgee rents a pledged house and says it is collateral for his right, the right transitions to being a debt, and the item moves out of being a pledge. Similarly, if the pledgee rents it to the pledgor, it exits the pledge status and returns to being a pledge upon its return to the pledgee.
Supporting text
The preferred opinion is that the item does not leave the status of a pledge if the pledgee rents or borrows it, as possession is continuous and the two contracts do not contradict. Ahmad's statement in Al-Hasan bin Thawab's narration is interpreted to mean that the pledgor was given permission to reside there, as in Ibn Mansur's narration, because the item exited the pledgee's hand, dissolving the necessity (luzum) due to the loss of possession, unlike when the pledgee himself resides in it.