the goods to him, this constitutes “two sales in one transaction.” The same applies if they bring in a third party who buys the goods from him, after which they are returned to him. Likewise, if he combines a sale to him with a loan, the same applies; the Prophet, may Allah bless him and grant him peace, prohibited this.

If, however, the buyer takes the goods and sells them elsewhere—buying them for one hundred and selling them for seventy because he needs cash—this is known as “tawarruq.” Scholars disagree about it, but the stronger view here too is that it is prohibited and that it is the root of usury, as stated by ʿUmar ibn ʿAbd al-ʿAzīz and others. And Allah knows best.

He was asked:

About a man who advances money against wheat, barley, broad beans, chickpeas, and similar produce. When the time comes to collect it, he sells it, at its market value, to the person holding it, before taking possession of it from him. Is this lawful or unlawful? What must he do about the past years and the transactions he used to conduct?

He replied:

This is called “salam” or “salaf” (a sale with advance payment and deferred delivery). According to the four imams’ schools, it is not permissible to sell this debt—the produce owed under the salam contract—before taking possession of it, whether to the person who received the advance or to anyone else. Rather, this falls within the Messenger of Allah’s prohibition, may Allah bless him and grant him peace, against selling what one has not taken possession of. It may also constitute profiting from something for which one has not assumed liability