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What is the ruling on a tenant assigning the leased property to another in exchange for a sum of money?

1 min readAlso available in العربية

The Islamic Fiqh Academy divided the scenarios of agreement on "badl al-khuluw" (premium for vacating premises) into four cases. Badl al-khuluw is permissible if it is between the owner and the tenant at the beginning of the contract as part of the rent, or between the first tenant and the new tenant during the lease period in exchange for waiving the remaining period, provided that the terms of the lease contract are observed and the owner's consent is obtained if this was stipulated. Badl al-khuluw is not permissible after the expiration of the lease period and the termination of the tenant's right.

Summarized from the full answer at Ftawy · reviewed Sep 2, 2026

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