Is Cancelling a Sale Unilaterally Impermissible?

Answered by Mawlana Ilyas Patel

Question

I recently advertised an online course and provided them with complete details. People enrolled for the course and paid in full. However, I received an insufficient amount of learners to cover my costs and hence decided to cancel the course and refund the money to participants.

Is this okay, or will it be regarded as canceling a transaction unilaterally and hence impermissible?

Answer

In the Name of Allah, the Most Merciful and Compassionate.

I pray you are in good faith and health. Thank you for your question.

Yes, it is permissible. You have sold a course with details and description, and you were unable to deliver, thus refunded the money, and the customers have allowed you to go ahead, for which they will be rewarded.

Allah Forgives Those Who Cancel Regretful Sales

Abu Huraira (Allah be pleased with him)reported that the Messenger of Allah (Allah bless him and give him peace) said, “Whoever cancels the sale of a regretful Muslim, Allah will cancel his mistakes on the Day of Resurrection.” [Ibn Majah]

I would like you to go through the valuable answers and links below. You will receive guidance and direction, in sha’ Allah.

Related:

• Running a Business Islamically
• Business Archives
• Fiqh of Sales Archives
• Islam’s Vision of Business Ethics with Shaykh Abdal Hakim Murad
• Key Principles in Financial Transactions: Honesty & Dealing With Excellence

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I pray this helps with your question.
Wassalam,
[Mawlana] Ilyas Patel
Checked and Approved by Shaykh Faraz Rabbani

Mawlana Ilyas Patel is a traditionally trained scholar who has studied in the UK, India, Pakistan, Syria, Jordan, and Turkey. He started his early education in the UK. He went on to complete the hifz of the Quran in India, then enrolled in an Islamic seminary in the UK, where he studied the secular and ‘Aalimiyya sciences. He then traveled to Karachi, Pakistan. He has been an Imam in Rep of Ireland for several years. He has taught hifz of the Quran, Tajwid, Fiqh, and many other Islamic sciences to children and adults onsite and online extensively in the UK and Ireland. He taught at a local Islamic seminary for 12 years in the UK, where he was a librarian and a teacher of Islamic sciences. He currently resides in the UK with his wife. His interest is a love of books and gardening.