Question ID: 25290

Assalumu alaikum

Two brothers are in a partnership. Legally they are equal partners. However one brother almost entirely runs the business whilst the other is inactive and unconcerned. In fact at times he causes losses due to actions or lack of actions.

1. Is it permissible for the controlling partner to draw a higher salary without permission from his “inactive” partner.

2. When the partnership is being dissolved, is the active partner entitled to take a larger share since he has infact been pivotal to the success and survival of the business.

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Asked on April 19, 2009 12:00 am
Private answer

1) He may draw allowance

2) No.

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Answered on April 19, 2009 12:00 am