Islamic Finance
Conditional Kafalah
January 22, 2021
Islamic Finance
Conditional Kifalah
January 22, 2021

An ibra’ which is associated with real conditions. Should a given condition(s) be met, the party with the obligation will be absolved of (relieved from) his/ her obligation under the contract (aqd). For example, a creditor may stipulate that on his death his debtor will be absolved. Scholars are of different opinions as to permissibly of conditional ibra’ (الإبراء المشروط أو الإبراء المعلق). Ibn Taymiyyah considered it permissible and so did the majority of Hanafi jurists (though they did so on the condition that it was based on ‘urf or customary practices). However, the Hanafi and Shafi’i scholars opined that preset conditions are only permissible for absolute ibra’ but not for ibra’ merely involving ownership transfer. The majority of Malikis (and an Ahmad’s narration), conditional ibra’ is absolutely permitted insofar as it involves dropping of rights against others.

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