7 the subject of sale must be specifically known and

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7. The subject of sale must be specifically known and identified to the buyer. 8. The delivery of the sold commodity to the buyer must be certain and should not depend on a contingency or chance. 5 Murabahah
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Conditions for a valid ‘Sale’ 9. The certainty of price is a necessary condition for the validity of a sale. If the price is uncertain, the sale is void. 10. The sale must be unconditional, unless the condition is recognized as a part of the transaction according to the usage of trade. 6 Murabahah
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To sum it up - Conditions for a valid ‘Sale’ 1. Existence of commodity 2. Ownership of seller 3. Constructive Possession of seller 4. Instant & absolute - No contingencies 5. Property of value 6. Subject of sale allowed in Shariah 7. Subject specifically identified to the buyer 8. Delivery to the buyer must be certain 9. Price to be certain 10. Unconditional other than trade related conditions 7 Murabahah
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Bai ‘ Mu’ajjal - Deferred Payment Sale 1. A sale in which the parties agree that the payment of price shall be deferred. 2. Valid if the due date of payment is fixed in an unambiguous manner, i.e., the due date cannot be fixed with reference to a future event the exact date of which is unknown or is uncertain. 3. The countdown for due date commences from the time of delivery, unless the parties have agreed otherwise. 8 Murabahah
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Bai ‘ Mu’ajjal - Deferred Payment Sale 4. The deferred price may be more than the cash price, but it must be fixed at the time of sale. 5. Once the price is fixed, it cannot be decreased in case of earlier payment, nor can it be increased in case of default. 6. The buyer may be asked to promise that in case of default, he will donate some specified amount for a charitable purpose 7. If the commodity is sold on installments, the seller may put a condition on the buyer that if he fails to pay any installment on its due date, the remaining installments will become due immediately.
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