Is the agent's admission (Iqrar) of a defect binding upon the principal?
Chapter on Selling the Musarrah (Animal with milk retained in udder)
Al-Mughni
Book of Sales
Primary text
If the defect is one that could have occurred during the agency, and the agent admits to it while the principal denies it, there is a difference of opinion. Abu Al-Khattab holds that the agent's admission regarding the defect is accepted against the principal because it relates to a right (the right of return), similar to the option of condition (Khiyar al-Shart).
Supporting text
The established view, held by the companions of Abu Hanifa and Al-Shafi'i, is that the agent's admission is not accepted against the principal because it is an admission concerning another party, thus being treated like the admission of a non-related person (Ajnabi).