dispute between supplier and shopkeeper regarding price
Category:
Business Dealings & Money Matters
According to Madhhab:
Hanafi
Reference:
1440-507
Question:
I
have a business and deal with many suppliers, many Muslim suppliers as
well as friends.
I had a customer that requested pricing on a specific product. My staff
reached out to my supplier for a price which was received verbally but written
down by the staff member. This was relayed to our customer who accepted which
meant we went back to our supplier to request that manufacturing starts based
on the price received which was +-R2700.
When the job was done we received an invoice from the supplier for 10 times the
amount at about +-R20 000.
The supplier called me to discuss which I confirmed this is the price we
received and I've already quoted my customer. The supplier then said that he
found out(from an alim) that I can change the price. I immediately declined
this from an Islamic and business perspective as unethical.
I asked him to go back and check his notes and come back to me with a solution
but I cannot change the price to my customer but also cannot afford this
invoice.
On the 2nd call received from the supplier I specifically stated that either we
split the bill 50/50 as joint responsibility for the mishap or I will pay the full
amount but I will need payment terms to settle the invoice mainly so as to not
destroy the relationship, we have professionally and personally. I asked that
he take some time, think about it and get back to me
After more than 3 weeks I received a call from the supplier creditors
department asking for a settlement of the invoice. I was surprised and advised
that this was a conversation with the owner and he needed to get back to me.
The call ended with me waiting for the owner to call me
The last call I received was from the owner to which he demanded I settle the
full amount on payment, completely disregarding our last conversation. I
advised as per the last call this is what I can afford even though I feel I am
not wrong. He said you can keep the money as sadaqah and put the phone down.
That was the last time I heard from him.
I am concerned that I may be wrong and wanted the ruling based on the above.
have a business and deal with many suppliers, many Muslim suppliers as
well as friends.
I had a customer that requested pricing on a specific product. My staff
reached out to my supplier for a price which was received verbally but written
down by the staff member. This was relayed to our customer who accepted which
meant we went back to our supplier to request that manufacturing starts based
on the price received which was +-R2700.
When the job was done we received an invoice from the supplier for 10 times the
amount at about +-R20 000.
The supplier called me to discuss which I confirmed this is the price we
received and I've already quoted my customer. The supplier then said that he
found out(from an alim) that I can change the price. I immediately declined
this from an Islamic and business perspective as unethical.
I asked him to go back and check his notes and come back to me with a solution
but I cannot change the price to my customer but also cannot afford this
invoice.
On the 2nd call received from the supplier I specifically stated that either we
split the bill 50/50 as joint responsibility for the mishap or I will pay the full
amount but I will need payment terms to settle the invoice mainly so as to not
destroy the relationship, we have professionally and personally. I asked that
he take some time, think about it and get back to me
After more than 3 weeks I received a call from the supplier creditors
department asking for a settlement of the invoice. I was surprised and advised
that this was a conversation with the owner and he needed to get back to me.
The call ended with me waiting for the owner to call me
The last call I received was from the owner to which he demanded I settle the
full amount on payment, completely disregarding our last conversation. I
advised as per the last call this is what I can afford even though I feel I am
not wrong. He said you can keep the money as sadaqah and put the phone down.
That was the last time I heard from him.
I am concerned that I may be wrong and wanted the ruling based on the above.
Answer:
When you called your supplier to request manufacturing, at that time the transaction was regarded complete according to the Shariat because Ijaab (offering) and Qabool (accepting) took place. It is necessary for the supplier to charge the amount that was discussed at the time of offering and accepting.
Therefore, it will be necessary for you to only pay him the initial amount that was agreed upon (R2700). Since he told you to keep the money as Sadaqah, there will be need for you to worry, nor will you be sinful.
AND ALLAH TA'AALA ALONE IN HIS INFINITE KNOWLEDGE KNOWS BEST
ANSWERED BY: Zaid Bhikhoo
CHECKED AND APPROVED BY: Mufti Muhammed Saeed Motara Saheb D.B.
Islamic Date: ٢٩ شوال ١٤٤٠ English Date: 3 July 2019