Muwatta 2018

Yahya said: Malik said: the owner of the money should not stipulate for himself any profit exclusively, apart from the worker, and the worker should not stipulate for himself any profit exclusively apart from his partner. There should be no sale, hire, work, advance or benefit with the profit-sharing that one of them stipulates for himself apart from the other, unless one of them helps the other, without stipulation, in a customary way, when that is valid between them. The two partners should not stipulate that one should give the other any extra gold, silver, food or anything. If any of that enters the profit-sharing, it becomes a hire, and a hire is valid only for a fixed, known thing. When the money multiplies and the capital is separated, they divide the profit according to their condition. If there is no profit, or a loss, the worker bears none of it; it falls on the owner of the money from his money. Profit-sharing is valid on what the owner of the money and the worker agree, whether a half, a third, a quarter, less or more. ¹

Belongs to the Muwatta, Book of Profit-Sharing (qiradh). Source: the Muwatta. Mentions Yahya ibn Yahya al-Laythi, Malik ibn Anas. Built on in the chapters on profit-sharing (qiradh).