Chapter on Partnerships
(It is the joint entitlement to property, or the shared right to dispose of it.)

Partnerships are of several kinds.

1. ʿInān partnership: two persons combine their respective, clearly specified capitals—even if the amounts are unequal—and each of them works with his own labor. Every transaction concluded by either partner is valid with respect to the whole: by virtue of ownership for his own share, and by virtue of agency for his partner’s share.

Conditions:
• The capital must consist of coined gold or silver, even if slightly alloyed¹.
• Each partner must be assigned a known, undivided portion of the profit.
– If they do not specify² the profit, or if one partner’s share is left unknown, or fixed as a definite sum of coins, or limited to the profit of only one of the two capitals, the contract is invalid—just as in musāqāt, muzāraʿa, muḍāraba, and the rule that any loss (waḍīʿa) is borne in proportion to the capital.

Mixing the two sums of capital or having them be of the same kind is not a requirement.

Section

2. Muḍāraba: one party supplies capital for trade, the other undertakes the work for a share of the profit.
   • If he says, “The profit is between us,” it is divided equally.
   • If he says, “For me,” or, “For you, three-quarters of it,” or, “one-third of it,” the stipulation is valid and the remainder belongs to the other party.
   • If they dispute to whom the stipulated share belongs, it is awarded to the working partner—analogous to musāqāt and muzāraʿa contracts.

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