than a trader who does not own the goods and who bids up their price without intending to buy them. Thus, if an outsider engages in sham bidding, the sale is not invalidated. If, however, the seller himself engages in sham bidding or colludes with someone who does, there are two opinions concerning the validity of the sale in the school of Ahmad and elsewhere.

Such a person should receive discretionary punishment for two things: his sham bidding and his knowingly false oath of divorce. His unlawful conduct does not excuse him for swearing a false oath.”

He—may Allah Most High have mercy on him—was asked:

“What is the ruling on someone who asks a high price for goods and sells them for more than their usual value, when the buyer may be unaware of their value? Is this permissible or not?”

He replied:

“If the buyer is uninformed—that is, unaware of the value of the goods—the seller may not overcharge him beyond customary bounds. Rather, he must sell to him at the usual value or close to it. If he grossly overcharges him, the buyer has the option of rescinding the sale or allowing it to stand.

It has been reported in a hadith:

‘Overcharging an uninformed buyer is usury.’

It is also established in the authentic hadith collections:

‘The Prophet, may Allah bless him and grant him peace, forbade intercepting those bringing goods for sale before they reached the market, and granted the seller the option to rescind upon reaching it.’

This is because, before reaching the market, the seller is unaware of the value of the goods. The Prophet, may Allah bless him and grant him peace, therefore forbade the buyer from going out to meet him and purchasing from him, because this involves misleading and deceiving him. He granted the seller the option to rescind once he learned the true state of affairs.