Who Becomes the Owner of a Jointly-Owned Business Between Spouses After the Death of One of Them?

Question:

If a husband and wife are legally joint owners of a business or real estate and one of them dies, does the remaining spouse become the sole owner of the property/business, or does all or a portion have to be divided according to inheritance laws?

Answer:

Wa ‘alaykum assalam wa rahmatullah wa barakatuh.

I pray you are well.

Upon the death of one of their spouses, all of their assets are divided amongst the heirs of that individual according to the Islamic laws of inheritance. Some will go to the spouse, some to the parents, children, etc. The surviving spouse’s share in the business or real estate is not affected.

Please ensure that everyone who has a right receives that right. This is very important for the safety of those who distribute financial rights like this on the Day of Judgement. Not doing so can also ruin relationships permanently in this life.

May Allah grant you the best of both worlds.

[Shaykh] Abdul-Rahim Reasat

Checked and Approved by Shaykh Faraz Rabbani

Shaykh Abdul-Rahim Reasat began his studies in Arabic Grammar and Morphology in 2005. After graduating with a degree in English and History he moved to Damascus in 2007 where, for 18 months, he studied with many erudite scholars. In late 2008 he moved to Amman, Jordan, where he continued his studies for the next six years in Sacred Law (fiqh), legal theory (Usul al-fiqh), theology, hadith methodology, hadith commentary, and Logic. He was also given licenses of mastery in the science of Quranic recital and he was able to study an extensive curriculum of Quranic sciences, tafsir, Arabic grammar, and Arabic eloquence.