Sayyiduna Jabir bin Abdullah (may Allah be pleased with him) narrated that the Prophet Muhammad (peace and blessings be upon him) forbade mukhabarah, muhaqalah, and muzabanah, and likewise forbade selling fruits before they ripen, and that fruits or grain on the tree should only be sold in exchange for dinars or dirhams. However, he permitted ‘ariyah.
Hadith Referenceاللؤلؤ والمرجان / كتاب البيوع / 992
Hadith Gradingمحدثین:«صحیح»
Hadith Takhrij«صحیح، أخرجه البخاري في: 42 كتاب المساقاة: 17 باب الرجل يكون له ممرّ أو شرْب في حائط أو في نخل»
Brief Explanation
The contract of muzara’ah refers to when the seed is provided by the cultivator and the worker. One opinion is that such muzara’ah is on a fixed and specified share, such as one-third or one-fourth, etc. Selling standing crops in exchange for dry grain. Another opinion is giving land on rent (lease) in exchange for wheat, which the tenant farmers call muharathah. Another opinion is conducting muzara’ah on a specified and fixed share, such as one-third or one-fourth. A third opinion is selling the grain present in the ears in exchange for dry wheat. A fourth opinion is selling the crop before it ripens.