Fatwa ID: 05993
Answered by: Alimah Zakiratul Hoque
What would be the ruling of selling to someone who does dropshipping and delivering the مبيع to his customer?
In the name of Allah, the Most Gracious, the Most Merciful
Dropshipping is to provide (goods) by direct delivery from the manufacturer to the retailer or customer. The deliverer does not have possession of the item, which is an issue as Islam requires the seller to have the item in their possession when selling it.
When describing the conditions of a valid transaction, the following is written about the product in Fatawa Hindiya:
أن يكون ملك البائع فيما يبيعه لنفسه
“Then it is the property of the seller, and he can sell it himself.” (Fatawa Hindiya, Vol 3, Pg 3)
The exception to this is in Bay’ Salam.
فالسلم عقد يثبت به المُلك في الثمن عاجلا و في المثمن آجلا
“Salam is such a transaction from which ownership is established in paying the price early and giving the product later” (Fatawa Hindiya, Vol 3, Pg 182).
The conditions of Salam include the following:
أما الذي يرجع إلي نفس العقد فواحد : و هو أن يكون العقد عاريا عن شرط الخيار للعاقدين أو لأحدهما
“(The condition regarding the contract is one): That the contract is free from the option to rescind for both parties or 1 of the parties.” (Fatawa Hindiya, Vol 3, Pg 182)
The specific details of the item and the price should be known.
كون الدراهم و الدنانير منتقدة
“The price should be given” (Fatawa Hindyia, Vol 3, Pg 183)
I.e., at the time of making the contract
أن يكون المسلم فيه مؤجلا بأجل معلوم
“The item must be deferred to a specific time” (Fatawa Hindyia, Vol 3, Pg 183)
بَيَانُ مَكَانِ الْإِيفَاءِ فِيمَا لَهُ حَمْلٌ وَمُؤْنَةٌ
“Explaining the place of delivery” (Fatawa Hindiya, Vol 3, Pg 184)
I.e., the date and place of delivery should be known
أن يكون المسلم فيه موجودا من حين العقد إلي حين المحل
“The item must be available from the time of the contract until the time of delivery” (Fatawa Hindyia, Vol 3, Pg 184)
If the above conditions are met, the transaction would be permissible.
Only Allah knows best.
Written by Alimah Zakiratul Hoque
Checked and approved by Mufti Mohammed Tosir Miah
Darul Ifta Birmingham