Annulment of a rental contract

Bahishti Zewar, Fiqh, Part 5-Principles of Business / Saturday, October 30th, 2010

1. A person took a house on rent. However, it leaks profusely, a certain portion of it collapsed or any other fault became apparent which makes it difficult to live in. In such cases, it is permissible to annul the rental contract. And if the house becomes absolutely dilapidated and uninhabitable, the rental contract will be annulled on its own. There is no need for you to request an annulment nor is it necessary to obtain the consent and agreement of the landlord.

2. If the landlord or the tenant passes away, the rental contract becomes annulled.

3. If a certain reason crops up whereby one is forced to annul the contract, it will be permissible to annul it. For example, you hired a vehicle in order to travel to a certain place. Thereafter, you changed your mind and decided not to embark on such a journey. In such a case it is permissible to annul the contract.

4. The custom of paying a deposit when hiring a vehicle and thereafter paying the balance when you embark on the journey, and forfeiting the deposit when you decide not to embark on the journey is not permissible. The person who takes the deposit has to return it in the event of the customer not embarking on the journey.

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