In the name of Allah, the Most Compassionate, the Most Merciful. May Allah bless Muhammad and his family.

Book of Partnership

On Shared Ownership

Shared ownership may arise between two or more people in houses, lands, animals, merchandise, dinars, dirhams, and all other things through inheritance, gifts, charitable donations, purchases, and other means.

Section

A man is another’s co-owner only when he holds an undivided share in the property itself. If he does not share ownership of the property itself, he is not a co-owner but merely an associate. Thus, every co-owner is an associate, but not every associate is a co-owner. Association is broader than shared ownership. Allah, Mighty and Majestic, says concerning an associate:

“This is my brother. He has ninety-nine ewes, while I have one ewe. Yet he said, ‘Entrust her to me,’ and he overpowered me in argument.” [Sād: 23]

“He said, ‘He has certainly wronged you by demanding your ewe in addition to his ewes. Indeed, many associates wrong one another, except those who believe and do righteous deeds.’” [Sād: 24]

Allah Most High called them associates, since they did not share ownership of the ewes themselves. Concerning undivided ownership of the property itself, Allah Most High says:

“Allah presents an example: a man belonging to quarrelling partners, and a man belonging exclusively to one man. Are the two equal in comparison?” [al-Zumar: 29]