such as a complicated set of accounts between them that goes back a long time, so that neither of them any longer knows what he owes the other. The Messenger of Allah—peace and blessings be upon him—said to two men who were disputing over an inheritance whose details had faded away: “Draw lots, seek what is right, and let each of you absolve the other.” Reported by Abū Dāwūd and others.

Because this is essentially the waiving of a right, it is valid even when the amount is unknown, out of necessity and so that property is not lost and liabilities do not remain outstanding. His command—peace and blessings be upon him—that each party forgive the other underscores both the duty to clear one’s record and the gravity of people’s rights.

It is also valid to settle a case of lawful retaliation (qiṣāṣ) for the legally prescribed blood money, whether the amount be small or large, for the payment is not a specific, identified item, so the consideration is not deemed an exchange for something determinate.

By contrast, no settlement is permissible regarding the ḥudūd penalties: they were instituted as a deterrent, they are a right of Allah Most High and of society, and compromising them would nullify them, deprive the community of their benefit, and open the door to wrongdoers and mischief-makers.