The Book of Financial Transactions - Sunan an-Nasa'i

Hadith Reference: Sunan an-Nasa'i 4468

Hadith Text

"Nafi dictated to me, from Ibn 'Umar who said: The Messenger of Allah said: 'the two parties to a transaction both have the choice so long as they have not separated, unless they have both chosen to conclude the transaction. If they have both chosen to conclude the transaction, then the transaction is binding." (Sahih)

Scholarly Commentary

This noble hadith establishes the fundamental principle of khiyar al-majlis (option of session) in Islamic commercial law. The Prophet ﷺ grants both buyer and seller the right to retract from a transaction as long as they remain in the meeting place where the agreement was made.

The separation mentioned refers to physical departure from the place of transaction or conclusion of the business discussion. This option protects both parties from hasty decisions and ensures mutual consent is fully established.

The condition "unless they have both chosen to conclude the transaction" indicates that if the parties explicitly confirm the agreement while still together, the contract becomes immediately binding. This demonstrates the importance of clear intention and mutual acceptance in Islamic transactions.

This ruling applies to most sales contracts and serves as a mercy from Allah, preventing disputes and ensuring fairness in commercial dealings by allowing reconsideration before final commitment.