The World Federation One Stop Fiqh
Search
Menu

Ruling 2158

If the partners do not stipulate a condition that one of the partners will take a larger share of the profits, in the event that the capital invested by each partner is the same amount, they must enjoy the profits and bear the losses equally. But if the capital invested by each of them is not the same amount, they must divide the profits and losses in proportion to their capital. For example, if two people form a partnership and the capital invested by one is twice that of the other, his share of the profits and losses will also be twice that of the other’s, regardless of whether they both work equally or one works less than the other or one does not do any work at all.