The valuation of an asset on the basis of the proceeds of sale at the prevailing market price (i.e., through liquidation). For example, in the case of sharika, the profit can be distributed on the basis of tandeed feeli or tandeed hukmi, depending on whether the musharaka assets are disposed of (liquidated) for good or kept on the venture’s books. Tandeed feeli involves complete liquidation of the assets, while the rightful owner receiving the proceeds of liquidation in full.
Tandeed feeli (also tandeed haqiqi) is an Arabic term (تنضيض فعلي) that translates as actual valuation/ liquidation.
