Is It Permissible to Win a Prize in a Competition Funded by Entry Fees, Where Part of the Fees Cover Expenses and the Rest Are Used for Prizes?
Hanafi Fiqh
Answered by Mawlana Ilyas Patel
Question
Is it permissible to win a prize in a competition funded by entry fees, where part of the fees cover expenses and the rest are used for prizes? Also, may the organizers participate in the competition while using the entry fees for both expenses and prizes?
Answer
In the Name of Allah, the Most Merciful and Compassionate
I pray you are in good faith and health. Thank you for your question.
It is permitted to win a prize in a competition funded by entry fees, where some of the fees cover expenses and the remaining are used for prizes. Additionally, the organizers can participate in the competition while using the entry fees for both expenses and prizes if this is discussed and agreed upon before the competition.
The entry fee covers participation, tournament support, and organization. It is not considered gambling but rather a charge for the services provided. Teams receive a service in exchange for the fee.
Some scholars state that prize money should not come from these fees but should be voluntarily donated by a third party or sponsor, making it preferable. However, since the tournament operates non-professionally, the prize money can be viewed as a gift and used accordingly.
“Gambling” is owning wealth while risking its loss.
[Jassas, Ahkam al-Quran]
I would like you to read the valuable answers and links below. In sha Allah, you will receive guidance and direction.
Related
- Is It Permissible To Take Money From Winning Sports Competitions? – SeekersGuidance
- Is Competing in Tournaments for Prizes Permissible? (seekersguidance.org)
- Gambling and Football Tournaments (daruliftaa.com)
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I pray this helps with your question.
Wassalam,
[Mawlana] Ilyas Patel
Checked and Approved by Shaykh Faraz Rabbani
Mawlana Ilyas Patel has received a traditional education in various countries. He started his schooling in the UK and completed his hifz of the Quran in India. After that, he joined an Islamic seminary in the UK, where he studied secular and Aalimiyya sciences. Later, he traveled to Karachi, Pakistan, and other Middle Eastern countries to further his education. Mawlana has served as an Imam in the Republic of Ireland for several years and taught the Quran and other Islamic sciences to both children and adults. He also worked as a teacher and librarian at a local Islamic seminary in the UK for 12 years. Presently, he lives in the UK with his wife and is interested in books and gardening.
