Leaving a Will: Paying Inheritance Compensation After Currency Depreciation

Practical Laws of Islam as per the teachings of Imam Khamenei

Leaving a Will: Paying Inheritance Compensation After Currency Depreciation

English:

Question #1857:

A person transferred all his property to the ownership of his son, on the understanding that after the death of his father he would pay his sisters certain amounts of money, in lieu of their shares of the inheritance. However, one of his sisters was not present at the time when the distribution of the inheritance took place. She returned home and demanded from her brother that her share be paid. The brother turned down the request. After several years he offered to give her the specified amount of money, but after the currency has lost much of its purchasing power. The sister insists that she be paid the real value of the sum of money; her brother accuses her of demanding the payment of ribā. What is the ruling in the matter?

Answer #1857:

Provided that the transfer of the property to the ownership of the son, and the provisions made in the will for paying the females certain amounts of money were done properly and according to shar‘, each of them is only entitled to receive the particular amount allocated to her. However, if the purchasing power of money at the time of the father’s death was higher than that at the time of payment, it is necessary to take it into consideration and it is not regarded as ribā.

-Imam Khamenei, Practical Laws of Islam, Importance and Conditions of Leaving a Will