An agent selling a goods at a higher price than that determined for him Fatwa No: 122305
- Fatwa Date:19-5-2009
Asalmohalikom:
I am pakistani muslim. i work in a ware houe (store) of fertilizer company. There the company send its fertilizer bags. Some come directly to the store which is under our authourty to sold them. and some come on the names of dealers which have the dirct connect with th company.
What happend is that dealer fix the price of bag for example 1000 per bag. we sold that bag on local sales man on 1005 per bag with out informing the dealer and give him his 1000 per bag and the remaing goes to over pockets. In this way dealers product is also saled and local also get the bag and we get over profit.. now my Question is that is this kind of deal is correct from shira point of view?
2. If the same process we applied on the company bags is this will be hall for us??
reply as soon as possible
jazakumuLLAh Khar
All perfect praise be to Allaah, The Lord of the Worlds. I testify that there is none worthy of worship except Allaah, and that Muhammad is His slave and Messenger.
First of all, the jurists differed in opinion over the validity of the sale when a man deputizes another person to sell the goods and he sells them with a higher price than the price that is determined for him. Some of them are of the view that the sale is not valid while some others are of the view that the sale is valid and this is the opinion of the Hanbali School.
According to the view that the sale is valid, the balance [the additional amount] should be given to the authorizer (i.e. the owner of the goods) and not to the seller. Therefore, you should not sell at a higher price than the price that is determined for you, and if you sell at a higher price, then you are obliged to give the additional amount to the owner of the goods. Moreover, you are not permitted to take the additional amount without his knowledge and consent because this is cheating.
Finally, it should be noted that you should give back the money that had already taken to its owners, and if you do not know who they are, then you should give it in charity on their behalf.
Allaah Knows best.