Rulings regarding Compromise
2168. Compromise means that a person agrees to give to another person his own property or a part of the profit gained from it, or waives or forgoes a debt, or some right, and that other person also gives him in return, some property or profit from it, or waives hi debt or right in consideration of it; and even if a person gives to another person his property or profit from it, or waives his debt or right without claiming any consideration, the compromise will be in order.
2169. It is necessary that a person who gives his property to another person by way of compromise, should be adult and sane, and should have the intention of making compromise, and none should have compelled him to make the compromise, and he should not also be feeble-minded from whom his own wealth is made inaccessible, or a bankrupt who has not right to dispose of his property.
2170. It is not necessary that the formula of compromise be recited in Arabic. Rather, it is sufficient to convey the intention by uttering any words.
2171. If a person gives his sheep to a shepherd so that, for example, he may look after them for one year and use their milk and give him a quantity of ghee, and in this manner compromises with the shepherd for his labor, and a quantity of sheep against the milk of the sheep, not necessarily churned from the milk of the leased sheep, the transaction is valid. Rather, if he gives the sheep to the shepherd for one year on lease, so that he may utilize their milk and give him a quantity of ghee, this transaction is also in order.
2172. If a person wants to make a compromise with the another person in respect of the debt that he owes, or in respect of his right, the compromise will be valid only if the opposite person agrees to it. But if he wants to forgo the debt or right owed to him, the acceptance by the opposite person is not necessary.
2173. If a debtor knows the amount he owes, but the creditor does not know and makes compromise for an amount less than what is owed to him, like, if the creditor has to receive $50 but he unknowingly makes compromise for $10, the balance of $40 is not Halal for the debtor, except that he himself tells the creditor
what he actually owes him, and seeks his agreement. Alternatively, the debtor should be sure that even if the creditors had known the exact amount of the debt, he would have still settled for that lesser amount.
2174. If they wish to make a compromise with each other in respect of two things of the same kind and whose weight is known, the weight of one thing should not be more than the other; moreover, if their weight is not known and it is probable that the weight of one thing might be more than the other, then they should not compromise them with each other, as per obligatory precaution.
2175. If two persons are the creditors of one or two persons and as creditors, they wish to settle their debts between themselves, if they owed the same kind of product and of the same weight, for example, both of them owed ten kg’s of wheat, then their compromise is in order. Similarly, it the thing which they are owed is not the same, for example, one is owed ten kg’s of rice and the other is owed 12 kg’s of wheat, but if their debt is of some thing or some product which is usually measured on a measurement scale, then if their weight is not equal, their transaction will become void.
2176. If a person lent something to another for a stipulated period, and now, as a creditor, he wishes to compromise on something lesser in value, with an intention to collect what he gets and forgo the balance, there is no harm in it.
2177. If two persons make a compromise in respect of something, they can cancel the compromise with mutual consent. Similarly, if while concluding the agreement, one or both of them is given the right to cancel the compromise, the person who possesses that right can cancel the compromise.
2178. As long as the buyer and the seller do not leave the place where a transaction was concluded, they can cancel the transaction. Also, if a buyer purchases an animal, he has the right to cancel the transaction within three days. And similarly, if the buyer does not pay within three days for the commodity purchased by him, and does not take delivery of the commodity, the seller can cancel the transaction. However, one who makes a compromise in respect of some property, does not possess the right to cancel the compromise in these three cases, but compromise can be cancelled in those nine cases which have been mentioned in connection with the rules relating to purchase and sale.
2179. A compromise can be cancelled if the thing received by means of compromise is defective. However, it is a matter of Ishkal, if the person concerned desires to take the difference of the price between the defective thing and the one without defect.
2180. If a person makes a compromise with another person with his property and imposes the condition that after his death, the other person will, for example, Waqf (dedicate) that property, and that person also accepts this condition, he should carry it out.