Shirkah al-dhimam

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Dictionary term

Definition of "Shirkah al-dhimam"

An association in which each partner shares in the obligations incurred by his colleagues. This is a type of partnership in which partners do not invest any capital but instead authorize each other to buy on credit on the condition that each will be responsible for half the cost of the other’s purchases and share in a like manner in the profit of their resale.


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