Al-Sha'bi (may Allah have mercy on him) narrates from Sayyiduna Jabir (may Allah be pleased with him) that the Prophet (peace and blessings be upon him) permitted the testimony of the Jews against one another.
In the narration of Ibn Abdan: (he permitted) the testimony of the People of the Book against one another.
Abu Khalid al-Ahmar narrated it thus from Mujalid, and it is one of his errors; others narrated it from Mujalid, from al-Sha'bi, from Shurayh as his own statement and ruling, not marfu' (not attributed to the Prophet).
Hadith Referenceالسنن الكبرى للبيهقي / كتاب الشهادات / 20627