Abstract:

Trade occupies an important place in human life. Islam has brought a set of rules that each and every legally responsible person needs to abide by. One of such rules is that the profit that one makes has to come from a licit cause. Scholars of Islamic law state that licit profit can only be made through asset/ownership, labor, or indemnification (ḍamān). In addition, it is prohibited for a person to make profit from things for which he/she take upon themselves its compensation, as stated in certain legal texts. This study deals with the concept of ḍamān, which constitutes an important aspect of commercial relations, and examines the relationship between indemnification and profit. First, it discusses what is meant by the word ḍamān and under which circumstances ḍamān emerges. Then, it studies the legal indicators which assert the prohibition, and it will seek to reveal how scholars deal with the relationship between ḍamān and profit. At this point, a special attention will be given to the relationship between asset-labor-indemnification, thus clarifying their relation to licit profit. Finally, the study provides certain examples that can be considered as exceptions to the prohibition, and it ends with an overview of the matter.

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