Narrated Abdullah ibn ash-Shikhkhir: I went with a deputation of Banu Amir to the Messenger of Allah ﷺ, and we said: You are our lord (sayyid). To this he replied: The lord is Allah, the Blessed and Exalted. Then we said: And the one of us most endowed with excellence and superiority. To this he replied: Say what you have to say, or part of what you have to say, and do not let the devil make you his agents.
Explanation & Benefits
Shaykh Umar Farooq Saeedi
Benefits and Issues:
The word "Sayyid" (master/lord) in its true meaning is befitting only for Allah, the Mighty and Majestic. However, metaphorically, the Messenger of Allah (sallallahu alayhi wa sallam) used it for himself and informed that, "I am the master of the children of Adam, and I do not boast about it."
(Sunan Ibn Majah, Kitab az-Zuhd, Hadith: 4308) Similarly, Umar (radi Allahu anhu) said: "Abu Bakr (radi Allahu anhu) is our Sayyid, and he freed our Sayyid Bilal (radi Allahu anhu)."
(Sahih al-Bukhari, Fada'il an-Nabi (sallallahu alayhi wa sallam), Hadith: 3754) Thus, it is evident that this word can be used metaphorically for people of knowledge and virtue.
It should be noted that in the wording of the salutations (durood sharif), the word "Sayyiduna" is not established in any authentic narration.
Source: Sunan Abu Dawood – Commentary by Shaykh Umar Farooq Saeedi, Page: 4806