{"id":37548,"date":"2025-11-18T19:04:47","date_gmt":"2025-11-18T19:04:47","guid":{"rendered":"https:\/\/daruliftabirmingham.co.uk\/home\/?p=37548"},"modified":"2025-11-18T20:55:23","modified_gmt":"2025-11-18T20:55:23","slug":"demanding-payment-after-early-contract-termination-in-shariah","status":"publish","type":"post","link":"http:\/\/daruliftabirmingham.co.uk\/home\/demanding-payment-after-early-contract-termination-in-shariah\/","title":{"rendered":"Demanding Payment After Early Contract Termination in Shar\u012b\u2018ah"},"content":{"rendered":"

Fatwa ID: 08524<\/strong><\/span><\/p>\n

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Answered by Alimah Saleha Bukhari Islam<\/strong><\/span><\/p>\n

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Question:<\/strong><\/span><\/p>\n

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If a person sign a contract and they just terminate before the Expiry? \u00a0From a shariah aspect can you demand the money for the balance of the term?<\/span><\/p>\n

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In the name of Allah, the Most Gracious, the Most Merciful<\/strong><\/span><\/p>\n

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Answer:<\/strong><\/span><\/p>\n

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In Islam, contracts are considered sacred and binding, and all parties are expected to fulfil their obligations unless mutually agreed upon otherwise. The principles that govern contracts in Islam are based on mutual consent, transparency, and justice.<\/span><\/p>\n

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The following verse highlights the importance of honouring and fulfilling contractual commitments. If a contract is terminated prematurely without a valid Shariah reason, it is considered a breach of contract. The Quran states:<\/span><\/p>\n

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“O you who have believed, fulfil [all] contracts<\/em>” [Quran 5:1] [1]<\/a> [2]<\/a><\/span><\/p>\n

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The concept of faith in Allah is likened to trade because of the great rewards it guarantees. Followers of Imam Abu Hanifa and Malik cite this verse to argue against the option of recession at the session (khiyar al-majlis) of agreeing a sale, which is the right to cancel a transaction shortly after it’s agreed upon if still within the session or meeting. They reason that once a transaction is completed with mutual consent, it should be final as Allah swt has permitted such transactions. They further support their point with the Quranic verse that instructs believers to fulfil all commitments. Introducing an option to withdraw contradicts this instruction, as it implies not fulfilling a commitment once made, going against the verse’s requirement to honour agreements. [3]<\/a><\/span><\/p>\n

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However, a contract can be terminated for various valid reasons: [4]<\/a><\/span><\/p>\n