Essential Features
1.Goods specifications
In a
Salam
sale, the goods
shall be
defined with due specifications making
it clear and understandable
and their description shall not
be left to be decided
on some
future date.
Goods quantity and quality both should be measurable or may be adequately estimated. It
shall be conducted
in only
such goods or
commodities, each unit of which have similar
characteristics e.g.
grains of a particular type etc. These types of commodities are called Zawat-ul-Amthal (homogenous goods).
The date of delivery of goods should be fixed and preferably the place of delivery should also be fixed.The commodity for Salam contract shall be expected to be in market and should further be expected to be in possession of the seller on the agreed date of delivery.
Any decline or increase in the market price at the time of delivery of goods might result in a loss or gain. Such loss or gain pertains to the buyer and seller both, the seller and the buyer, have no recourse on sale.
Payment against
Salam purchase must be fully advanced at the time of commencement of
Salam transaction.
Salam transaction is irrevocable by either party. However, in
case the goods do not match
with
the agreed description or
if
some defects are
found
such transaction may be
reversed.In case of identification of inferior quality of goods at the time of delivery, price may be changed/agreed with
mutual consent.
4.Cancellation of Salam Contract.
It is permissible, when both parties agree due to any practical impediment, to cancel the entire Salam contract in return for repayment in full of the amount of the purchase price advanced earlier at the time of commencement of contract. Partial cancellation, that is, cancellation of the delivery of
part of goods, in return for repayment of a corresponding part of the purchase price, is also permissible.
However, the contract cannot
be cancelled unilaterally.