A religious ruling addressed a situation in which a customer agreed with a woman to prepare meals according to specific requirements, then refused to receive the food or pay the agreed price after the meals had been prepared.
The issue is particularly relevant as made-to-order food businesses have become increasingly common, especially when the seller purchases ingredients and prepares meals specifically according to a customer’s request.
Is an Agreement to Prepare Food Binding?
The ruling explains that an agreement between a customer and a person preparing food according to a specific request falls under the Islamic concept of istisna’, or a manufacturing contract, in matters that people commonly commission others to make.
Such an agreement is permissible when its necessary conditions are fulfilled.
If the food provider prepares the meals according to the agreed specifications and conditions, the agreement becomes binding on the customer.
Therefore, refusing to receive the meals without a valid reason or avoiding payment is considered religiously prohibited.
Why Is Avoiding Payment Prohibited?
The ruling is connected to the direct harm that may be caused to the person who prepared the food.
The seller may have spent her own money purchasing the requested ingredients and invested considerable time and effort in preparing the meals according to the customer’s specifications.
She may also be unable to find another buyer for food that was specially prepared for the original customer.
As a result, refusing to receive the order can lead to wasted food, financial loss and wasted effort, in addition to violating the agreement and breaking a commitment.
When Can a Customer Refuse to Receive the Food?
The ruling concerns a situation in which the food provider fulfills her obligations and prepares the meals according to the agreed specifications.
If there is a valid reason for refusing the order, or if the food provider fails to comply with the agreed type, ingredients, quantity or specifications, the details of the ruling may differ depending on the circumstances.
For this reason, clearly defining the order, price and delivery arrangements is important in such transactions.
Ruling on Installment Purchases Through Electronic Apps
In another ruling, the religious authority addressed electronic applications that allow customers to purchase goods through installment arrangements.
The ruling states that installment purchases through platforms operating under this structure are permissible, provided the transaction follows the structure described in the ruling, involving permissible contracts and a murabaha sale in which the company acts as an intermediary between the store and the customer after obtaining constructive possession of the product.
How Does an Installment Purchase Through an App Work?
According to the structure addressed in the ruling, the transaction involves two main contracts.
The first is between the customer and the company providing the installment service. The second relates to the actual product, with the company purchasing the product from the store and then selling it to the customer at a known deferred price over an agreed period.
The company therefore does not merely provide money to the customer; the actual product is part of the sale transaction.
Is an Installment Purchase Considered Riba?
The ruling explains that installment purchasing under the stated structure is not considered riba because the actual product stands between the company and the customer.
A sale at a deferred price for a known period, with an agreed increase in price in exchange for the deferred payment period, falls under permissible murabaha according to the conditions governing the transaction.
The ruling also explains that constructive possession of the product can fulfill the possession requirement in this structure, allowing the company to complete the installment sale to the customer.
Conditions for Installment Purchases Through Apps
The permissible structure described in the ruling involves a real product that the company purchases before selling it to the customer at a known deferred price.
The price, payment period and installment terms must be clearly defined and mutually agreed upon, while the relevant conditions governing sales, murabaha and possession must be fulfilled.
Therefore, the ruling should not automatically be applied to every electronic application or every form of digital financing. The ruling concerns the specific contractual structure described in the question.
The Religious Ruling in Summary
According to the ruling, a customer who requests specially prepared meals and then refuses to receive them without a valid reason or avoids paying after the food has been prepared according to the agreed specifications is prohibited from doing so because of the resulting harm and violation of the agreement.
Installment purchases through electronic applications are also permissible under the structure described in the ruling, where the company purchases the product and then sells it to the customer at a known deferred price, with constructive possession established and the transaction meeting the stated conditions.
What is the ruling on refusing a specially prepared food order without a valid reason?
If the food was prepared according to the agreed specifications, refusing to receive it and avoiding payment is considered religiously prohibited.
Is an agreement to prepare food according to a customer’s request binding?
Yes. Under the structure addressed in the ruling, it falls under istisna’ and becomes binding when the food provider fulfills the agreed conditions.
Are installment purchases through electronic applications permissible?
Yes, under the structure described in the ruling, where the company purchases the product and then sells it to the customer through installments according to the relevant conditions.
Is an installment price increase considered riba?
According to the ruling, the increase is not considered riba in this structure when it forms part of a deferred sale with a known price and payment period and meets the conditions of murabaha.
Are all forms of electronic installment financing permissible?
The ruling cannot automatically be applied to every arrangement. Permissibility depends on the contractual structure and the applicable Islamic conditions.
