If the first seller delivers goods below specification, the bank cannot pass the defect to the second buyer unless that buyer accepts it. The bank must deliver according to the second contract's own specifications.
This prevents Parallel Salam from becoming a simple pass-through arrangement.
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Parallel Salam (السلم الموازي): Two Independent Contracts
If the first seller delivers goods below specification, the bank cannot pass the defect to the second buyer unless that buyer accepts it. The bank must deliver according to the second contract's own specifications.
This prevents Parallel Salam from becoming a simple pass-through arrangement.