prospectus, and his ownership interest in the project is determined accordingly.
Moreover, the muḍārib’s control over the subscription proceeds and over the project’s assets is treated as a yad amānah (possession in trust); he is liable only when one of the Sharīʿah-recognized causes of liability arises.
3 – Subject to the foregoing controls on trading, the muḍārabah certificates may be bought and sold in securities markets that operate under Sharīʿah rules, in accordance with supply and demand and at the discretion of the contracting parties. Trading may also occur when the issuing entity, at predetermined intervals, makes a public announcement or offer whereby, for a specified period, it undertakes to repurchase the certificates out of the muḍārabah profits at a set price. It is advisable that the issuer consult specialists in determining this price, taking into account market conditions and the project’s financial position. A similar buy-back commitment may likewise be announced by a party other than the issuer, using its own funds, in the manner described.
4 – Neither the prospectus nor the muḍārabah certificates may include any clause that guarantees the capital on the part of the muḍārib, or that guarantees a fixed return—whether an absolute sum or a percentage of the capital. Should such a stipulation appear, explicitly or implicitly, the guarantee condition is null and void, and the muḍārib is entitled only to the customary profit share for a comparable muḍārabah.
5 – The prospectus and the certificate issued pursuant to it may not contain any clause that obliges a sale, even if the obligation is suspended or deferred. The certificate may, however, contain a promise to sell; in that case the sale may be concluded only through a new contract at the price appraised by experts and with the consent of both parties.
6 – Neither the prospectus nor the certificates issued on its basis may include wording that could sever the profit-sharing partnership; if such wording is present, the contract is void.
Consequently:
(a) It is impermissible to stipulate a fixed amount for the certificate-holders, or the owner