Partnership: Specifying a Period and Dividing the Partnership Capital

Practical Laws of Islam as per the teachings of Ayatullah Sistani

Ruling 2166

In an exchange-based partnership, a period must be specified, and it is necessary that the partnership continue until the end of the period. If the partnership is a permission-based one, it is not necessary that a period be specified, and whenever one of the partners requests that the partnership capital be divided, the others must accept his request even if a period has been specified for the partnership unless dividing it would require some of the partners to spend money, or it would result in a significant loss for the partners.

-Ayatullah Sistani, Practical Laws of Islam, Buying and Selling