Buying and Selling: Ruling on Validity of Partial Payment Sale and Right to Profits

Practical Laws of Islam as per the teachings of Imam Khamenei

Buying and Selling: Ruling on Validity of Partial Payment Sale and Right to Profits

English:

Question #1519:

I bought one fifth of a common share of a plastic factory at a particular price. I paid one quarter of the price in cash. The remainder three quarters was settled in three check payments. However, the factory, the money, and the checks are still in the possession of the seller. Can this sale be regarded valid whereby I can demand my share in the profit of the factory?

Answer #1519:

The validity of the transaction of selling and buying is not dependent on receiving the sold item and paying the whole amount in cash to the seller. If the purchase of one fifth of the factory from the rightful owner, his agent, or his guardian did materialise in a lawful manner, it should be in the ownership of the buyer, whereby all matters relating to the ownership should be applied. Thus, it is within the buyer’s right to demand his share of the profits of the factory.

-Imam Khamenei, Practical Laws of Islam, Importance and Conditions of Buying and Selling