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﴿ فَاسْأَلُوا أَهْلَ الذِّكْرِ إِن كُنتُمْ لَا تَعْلَمُونَ ﴾

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What is the difference between salam and "selling what you do not have"?

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Question:
A hadith was reported: "Do not sell what you do not have." How do we reconcile this with the permissibility of salam?

Answer:
Salam is a debt in the liability for a known term, which is not a specific item. This is by the consensus of the Muslims.
As for a known measure or what is in the possession, it is not called salam. If one says, "I sold you such-and-such a camel, or such-and-such a sheep," and it is present, this is not salam; this is a sale of a specific item.
Source binbaz.org.sa

The Arabic text is copied verbatim from the original source, without any edits.

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