• Either party may normally terminate investment partnership (مضاربة) by giving notice.
• If assets are cash, capital and profit can be settled directly.
• If assets are non-cash, managing partner (مضارب) should be allowed to liquidate them so actual profit can be known.
• Hanafi and Hanbali schools allow a specified maximum term.
• Shafi‘i and Maliki schools do not accept restricting it in the same way.
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Termination and Time Limits
investment partnership (مضاربة): Business, Profit and Termination
• Either party may normally terminate investment partnership (مضاربة) by giving notice.
• If assets are cash, capital and profit can be settled directly.
• If assets are non-cash, managing partner (مضارب) should be allowed to liquidate them so actual profit can be known.
• Hanafi and Hanbali schools allow a specified maximum term.
• Shafi‘i and Maliki schools do not accept restricting it in the same way.