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﴿ فَاسْأَلُوا أَهْلَ الذِّكْرِ إِن كُنتُمْ لَا تَعْلَمُونَ ﴾

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The Ruling on a Muslim Outbidding His Brother in a Sale and the Form of That

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Question:
This is, to begin with, a message from the questioner Abdullah al-Dawsari from Riyadh. He says: One day I went to the car market known as al-Haraj, and I stopped at a car I wanted to buy. I asked its owner, "How much is this?" He said, "For example, ten thousand riyals." I started looking at the car and inspecting it. Then a man came and asked the owner, "How much is this?" The owner said to him, "The same as I told you." This man added two hundred, and the car owner said, "It is yours." The man hesitated and said, "I will go consult." We were still at the car when the owner said, "If you want it at this price, take it at the price this man wanted to buy it for." So we bought it from him. Is my action considered a Muslim outbidding his brother in a sale, or outbidding him in a purchase? If so, guide us on what we should do now?

Answer:
In the name of Allah, the Most Gracious, the Most Merciful.
Praise be to Allah, and may Allah send blessings and peace upon the Messenger of Allah, upon his family and his Companions, and upon those who follow his guidance. As for what follows:
If the situation is as the questioner described, there is no harm in that. The car owner did not sell it to the one who said, "I will consult," but rather he left him and said, "If you want to buy it at this price, take it." As long as the owner did not agree to sell to the one who said, "Ten thousand and two hundred, and I will consult," but rather he said, "Yes," and wanted to sell it to the one present, there is no harm. If the one present took it for ten thousand and two hundred, there is no harm. This is because the car owner did not finalize the sale to that person. When the man said, "I will consult," he turned away from him and said, "Whoever wants it can take it for such and such." This means he did not agree to wait for him and wanted to sell it immediately.
So you, O questioner, if you took it at the price stated, there is no harm. This is not a Muslim outbidding his brother in a sale. Yes, a Muslim outbidding his brother in a sale is when he sells it to you and the matter is concluded; then no one is allowed to increase the price. That is its meaning. But as long as he says, "Whoever wants to buy it can buy it," he has not sold it to anyone yet. Yes.

The presenter: If you would be so kind as to mention an example of a man outbidding his brother in a sale, perhaps it would become clear?

The Shaykh: The example is clear. If he sold it to him, sold the car to him, and said, "It is yours," or "It is yours for ten thousand," or less, or more, then no one is allowed to increase the price after that, neither in the assembly nor after it. For this reason, the Messenger of Allah (peace and blessings be upon him) forbade a Muslim from outbidding his brother in a sale. Likewise, outbidding in a purchase is not permissible as long as he said, "It is yours" and "It is for you." Then no one is allowed to buy it out from him by saying, "Sell it for such and such." Nor is it permissible to outbid his brother in a sale by going to the buyer and saying, "I will give you a better car for nine thousand, or ten thousand, so it is cheaper than this one." He has no right to outbid his brother in a sale or outbid his brother in a purchase. Outbidding in a purchase is when someone comes and says, "I will take it for more." This is not permissible. Outbidding in a sale is when he goes to the buyer and says, "I will give you a better car for such and such, or one like it for less." Yes.

The presenter: May Allah reward you with good.
Source binbaz.org.sa

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

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