Demanding Repayment of a Loan Debt

Question

A woman gave her nephew (her brother’s son) some money as a loan. However, the woman’s son and her nephew were participants in a joint business. The woman’s son did not give a full account of the profit or wages earned in this business. When the accounts were checked, more than the sum the woman had given her nephew turned out to be owed by them from that income; they did not pay it — the woman’s son did not pay it.

Answer

If the woman lent money that she owned to her nephew, she may demand its return, and the nephew is obliged to return it. He has no right to set off the loan amount in the joint business or in the account relating to the woman’s son unless the woman and her son consent and the partners give permission.

Source: Fatawa Mahmudiyya

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