A partnership exists with Partner A owning 50% shares, and Partner B owning 50% ( 10 people owning 5% each).
Question
Partner A wants to dissolve the partnership since he is the only active partner in the business, and Partner A had various accusations, allegations and abuse from Partners B (10 Partners owning 50% collectively). Partner A has been the founder of this partnership and has been the only active partner, therefore Partner A believes that the Goodwill created from the business belongs to him, since the other partners are silent partners. Kindly advise on the shariah ruling to dissolve this partnership, and advise who are entitled to the goodwill.
Answer
According to Shari’ah, there is no separate price attached for goodwill. That is intangible and is not regarded as commodity in Shari’ah. The business should be evaluated without the goodwill value and each partner (whoever offers a higher bid) could purchase his partner’s 50% share.
and Allah Ta'ala Knows Best
Mufti Ebrahim Desai
- Answered by
- Mufti Ebrahim Desai
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