414 glossary
Ma"in(biblical Ma"on, Me"un and Me"in): spring-water. The second kingdom after
Saba"in the Pre-Islamic South Arabia. The Minean period lasted from about
700 B.C. to 70 B.C.
Madrasah (plural: Madaris):a college of Muslim higher education where reli-
gious scholars study religious disciplines.
Maisir: gambling. Any activity that involves betting whereby the winner gains the
bets and the loser loses the bet. This is prohibited in the Sharì"ah.
Màl: wealth or a depot of income. Something that has value and can be gainfully
used according to Sharì"ah.
Màlikì: a follower of the Màlikìschool of thought. The school was founded by
Màlik-ibn-Anas (715–795) in al-Medìnah, who paid a particular attention to the
Sunnah, and the customs of al-Medìnah during the Prophet’s time and the con-
sensus of opinions during the reign of the four Rightly Guided caliphs.
Mudhàrabah (Qiràd and Muqàradah): profit-and-loss-sharing business partner-
ship. A contract between two parties or more to undertake a business venture
whereby the parties are two kinds: (a) the capital providers, investors, or rabb
al-Mal, and an entrepreneur(s), a mudarib, who manages the business according
to pre-agreed upon conditions, with a view to distributing the business profit on
the basis of profit sharing ratios determined in advance, while the loss is to be
borne by the capital providers on the basis of capital shares with the entrepreneur
not bearing a share in loss having lost his work and effort in a futile pursuit.
Mufàwadah Partnership: unlimited-authority profit-and-loss-sharing business
partnership. The relationship between partners in the mufàwadahpartnership is
based on mutual surety and mutual agency. The authority of the partner in the
mufàwadahpartnership is unlimited. Profits are allocated to the partners on the
basis of their capital contributions, though a greater portion of profit might be
allocated to the partner who manages the business in compensation for his work
and effort. Losses are born in proportion to the capital provided. The financial
liability of the partners is unlimited.
Inàn Partnership:limited-authority profit-and-loss-sharing business partnership.
The relationship is based on the principles of mutual agency only, not as well
as mutual surety as in the mufàwadahpartnership. The authority of the partner
in the inànpartnership in conditioned. Profits are allocated to the partners on
the basis of their capital contributions, though a greater portion of profit might
be allocated to the partner who manages the business in compensation for his
work and effort. Losses are born in proportion to the capital provided. The
financial liability of the partners is generally limited.
Mujtahid:a jurist who has earned the right to exercise ijtihad, usually in the Shi"ì
conception.
Muqàssah: contra-debt clearing. Debt settlement by a contra transaction.
Muràbaœah: trading with a promise of a profit. A contract that refers to the sale
and purchase transaction for the financing of an asset whereby the cost and profit
margin (mark-up) are made known and agreed upon in advance by all parties
involved. The settlement for the purchase can be settled either on a deferred
lump sum basis or on an installment basis, and is specified in the agreement.
Muqàsamah: sharing. A land tax system recommended by Abù-Yùsuf (731–798
A.C.), whereby the tax is calculated as a proportional crop-sharing tax rate. To
him, the system would benefit the Treasury and at the same time alleviate injus-
tice to the taxpayer.