Is It Permissible to Own a Business Despite a Restrictive Work Contract?

Answered by Mawlana Ilyas Patel

Question

My work contract states that I cannot own or be a director of another business during my employment. However, I am in a difficult financial situation and wish to start a business to support my family.

Given these circumstances, would it be permissible to proceed with the business despite the contract terms?

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 would be permissible to own a business or serve as a director of a business in your situation. This requirement is unfair as it gives one party an advantage over another. As a result, it can be considered a voidable condition. Additionally, your current circumstances are prompting you to seek higher earnings. [Sarakhsi, al-Mabsut]

Allah (Most High) destines what is good for you. Pray istikhara for guidance and the Prayer of Need on this issue and ask Allah (Most High) to destine what is good (khayr) for you.

Why not begin your search for knowledge by signing up for a course on SeekersGuidance? You can choose from the Islamic Studies Curriculum or the Youth Islamic Studies Curriculum and progress through each course step by step.

I pray this helps with your question.
Wassalam,
[Mawlana] Ilyas Patel
Checked and Approved by Shaykh Faraz Rabbani

Mawlana Ilyas Patel has received 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.