Who bears the loss if the item is destroyed while in the possession of the second buyer?
Chapter on Selling the Musarrah (Animal with milk retained in udder)
Al-Mughni
Book of Sales
Primary text
If the item is destroyed while in the possession of the second buyer, the original seller may hold either of the buyers liable for the loss. This is because the initial seller is held liable for the item, and the second buyer possessed the item from the hand of one who was liable without the owner's permission, thus making the second buyer also liable.
Supporting text
If the item's value is greater than its purchase price, and the second buyer guarantees its value, the second buyer cannot claim the excess value from the first buyer because the destruction occurred while the liability rested with the second buyer. However, if the first buyer guaranteed the item, they may claim the excess value from the second buyer.