Islam, the comprehensive way of life, provides us with Rules of Buying & Selling, and how Companies in Islam work.
We execute transactions (exchange of goods or services) on daily basis but neither do we write these nor arrange a witness; be it for business or at personal level. Allah Ta’ala provides us with practical advice & guidance in this regard.
Surah Al-Baqrah contains the longest Ayah (No. 282) in Quran containing approximately 114 words! And this ayah is not about prayers but about worldly affairs; its subject is how to conduct loan, borrow something and carry out business transactions. And even more importantly, be just & honest. Being unjust or dishonest by the witness or any of the parties is a grave sin & disobedience to Allah Ta’ala. This requirement for justice extends to all scenario; such as if someone asks you for an opinion or you bear witness to any matter; be it in court or in daily life. This ayah provides us with two Golden Rules:
a- Write down what you agree upon
b- Arrange Witnesses for what you agree
Translation of Ayah by Yusuf Ali (Urdu is below)
“O ye who believe! When ye deal with each other, in transactions involving future obligations in a fixed period of time, reduce them to writing. Let a scribe write down faithfully as between the parties: let not the scribe refuse to write: as Allah Has taught him, so let him write. Let him who incurs the liability dictate, but let him fear His Lord Allah, and not diminish aught of what he owes. If they party liable is mentally deficient, or weak, or unable Himself to dictate, Let his guardian dictate faithfully, and get two witnesses, out of your own men, and if there are not two men, then a man and two women, such as ye choose, for witnesses, so that if one of them errs, the other can remind her. The witnesses should not refuse when they are called on (For evidence). Disdain not to reduce to writing (your contract) for a future period, whether it be small or big: it is juster in the sight of Allah, More suitable as evidence, and more convenient to prevent doubts among yourselves but if it be a transaction which ye carry out on the spot among yourselves, there is no blame on you if ye reduce it not to writing. But take witness whenever ye make a commercial contract; and let neither scribe nor witness suffer harm. If ye do (such harm), it would be wickedness in you. So fear Allah; For it is Good that teaches you. And Allah is well acquainted with all things. If ye are on a journey, and cannot find a scribe, a pledge with possession (may serve the purpose). And if one of you deposits a thing on trust with another, let the trustee (faithfully) discharge his trust, and let him Fear his Lord conceal not evidence; for whoever conceals it, – his heart is tainted with sin. And Allah knoweth all that ye do.”
Urdu Translation
