Question
I purchased a timeshare/ holiday week from a lady (Aabidah) for an amount of R9,000. Thereafter, I sold the very same (holiday) week to another lady (Khaalidah) for R10,000. The arrangement between Khaalidah (buyer) and myself was that she (the buyer) deposits into my bank account the sum of R1,000 which she did in the month of January 2013 and that she would pay me the remaining R9,000 in instalments of R3,000 per month. The holiday week is from 23 -30 March 2013. At the end of February 2013, the buyer (Khalidah) called me to say that unfortunately, her husband had shocked her by issuing a Talaaq to her, hence she is unable to make the trip to Durban (in order to use the purchased holiday week) since she had obviously gone into Iddat. I contacted the Aabidah from whom I had purchased the holiday week and with whom I had made prior arrangements to pay the initial total purchase amount of R9,000. So far, I have paid Aabidah R3,000 and there is an outstanding amount of R6,000 due to the seller by me. The lady buyer (namely Khaalidah) cannot make use of the holiday week due to her Iddat period whilst the seller (namely Aabidah) says that while she will try to assist by looking for someone to purchase the holiday week in question, she however did indicate to me that any losses will have to be borne by either the buyer (Khaalidah) or myself. What is the Shari'at's ruling in this matter.
Answer
Time-share/holiday week is an act of Ijaarah (leasing). The R9,000 you have agreed to pay is the rental for staying in the flat for a specific time period.
It is not permissible to make a profit on a right. If a tenant sublets the premises, he may not make a profit. He has to rent it for the same rental he pays. The property does not belong to him, hence he may not make a profit.
You have hired the timeshare flat for R9,000. You are liable for the rental (i.e. the R9,000) only the day you take possession of the flat. If you have already taken the keys, then you have possession. But in this type of deal, obviously you have not been given the keys. You will be allowed into the premises only on 23 March, hence you do not have physical possession of the premises. As such you are not yet liable for paying the R9,000 rental. It will become due only on 23 March.
The deal you have with Khaalidah is not valid. You have to refund Khaalidah whatever she has paid you, and inform Aabidah that you will not be hiring the premises. She should look for another tenant.
Summary:
• A profit may not be made on a time-share entity.
You have to refund Khaalidah whatever she has paid you.
You do not owe Aabidah anything since you have not taken occupation.
- Source
- themajlis.co.za
- Published in
- The Majlis Vol 21 No 12
- PDF page
- 10
Appears under LEASING A TIME-SHARE UNIT (approximate).