Muwatta 2140

Yahya said: I heard Malik say of someone who pledges goods which are lost in the pledgee's hands, and the debtor acknowledges the sum of the right, and both agree on that sum, but they dispute over the pledge: the pledgor says: its value is twenty dinars; the pledgee says: its value is ten dinars, and the right the man has in it is twenty dinars. Malik said: the one who holds the pledge is told: describe it. When he describes it, he swears to it, and then experts who know it establish that description. If the value is more than what it was pledged for, the pledgee is told to return the rest of the right to the pledgor. If the value is less than what it was pledged for, the pledgee takes the rest of his right from the pledgor. If the value equals his right, the pledge stands for what it secures. ¹

Belongs to the Muwatta, Book of Judgments. Source: the Muwatta. Mentions Yahya ibn Yahya al-Laythi, Malik ibn Anas. Built on in the chapters on pledge (rahn) and judgment (qada).