Tenant A rents a shop from landlord B. Tenant A is in rental arrears. Prospective tenant c has proposed to take over the arrear rental of Tenant B, and move into the premises taking over the debt and becoming the new tenant of landlord B.
Question:
1. Can the debt be taken over by prospective tenant c.
2. Can the debt be taken over by any other prospective tenant determined by landlord B.
In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
Answer:
Our understanding of your query is as follows “Tenant A rents a shop from landlord B. Tenant A is in rental arrears. Can the prospective tenant C take over this debt and become the new tenant?”
In order for us to issue a ruling, kindly answer the following questions:
1. Does the property belong to the Musjid?
2. Is it a pre-condition in the lease agreement with C that he takes over the debt?
In other words, is the taking over of the debt used as a bargaining tool for a most appropriate tenant?
Who will be the responsible characters in the transferral of the debt, is it between A and C? What role will B play in the transferral of the debt? What if C is unable to honor the debt in the future due to unforeseen circumstances?
Kindly answer these questions. If your’ll are faced with any challenges in this regard, we will offer an alternative to overcome the challenge.
And Allah Ta’āla Knows Best
Ismail Desai,
Student Darul Iftaa
Durban, South Africa
Checked and Approved by,
Mufti Ebrahim Desai.