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Al-Kharaj bil-Daman: Profits Belong to the One Liable

Al-Kharaj bil-Daman: The Shari‘ah Principle of Benefit with Liability


Written by: Imran Ayyub Lahori


Meaning of the Principle


Al-Kharaj: The benefits or profits derived from a sold item.
Bil-Daman: (These benefits) are in exchange for the liability and responsibility over that item.
[Nayl al-Awtar: 3/595]


This means that if someone buys land and uses it, or buys an animal and it gives birth, or buys an animal and rides it, or buys a slave and benefits from his service, then later finds a defect in it, he may return it. He will not be required to return the benefits he gained, because if the item had perished between the sale and the return, the loss would have been upon the buyer — so likewise, the profit belongs to him.


Hadith Evidence


Hadith of ‘Aishah (رضي الله عنها):
The Messenger of Allah ﷺ said:


"الخراج بالضمان"
"Profit is in exchange for liability."
[Hasan: Irwa’ al-Ghalil: 1315, Abu Dawud: 3508, Kitab al-Buyu‘: Bab fi man ishtaraka ‘abdan fa-ista‘malahu thumma wajada bihi ‘ayban, al-Daraqutni: 3/53, al-Hakim: 2/15, Talkhis al-Habir: 3/22, al-Tirmidhi: 1285, al-Nasa’i: 4490, Ibn Majah: 2242, Sharh al-Sunnah: 8/163]


➋ Another narration describes a man who bought a slave, made him work, then returned him due to a defect. The seller demanded the wages earned from the slave’s work. The Prophet ﷺ said:


"الغلة بالضمان"
"The profit belongs to the one who is liable for it."
[Hasan: Sahih Ibn Majah: 1822, Abu Dawud: 3510, Ibn Majah: 2243, Abu Ya‘la: 8/82, Ibn Hibban: 1126, al-Daraqutni: 3/53, al-Hakim: 2/15, Sharh al-Sunnah: 4/320]


Views of the Jurists


  • Shafi‘i (رحمه الله): The buyer is entitled to both primary and secondary benefits.
  • Hanafi (رحمه الله): The buyer is entitled only to secondary benefits (e.g., rent), but primary benefits (e.g., offspring, fruits) must be returned with the purchased item.
  • Malik (رحمه الله): Differentiation in primary benefits — the buyer keeps things like wool or hair, but not the offspring.

References: [Bidayat al-Mujtahid: 2/150, al-Insaf: 4/412, Hilyat al-‘Ulama’: 4/252, al-Umm: 3/55, al-Mughni: 6/226, al-Mabsut: 13/168]


Preferred Opinion


The view of Imam al-Shafi‘i (رحمه الله) is closest to the Hadith.
[Subul al-Salam: 3/1097]
 
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