Lease Dispute

Apr 7, 2026 | Rental

QUESTION:

I signed a commercial lease agreement with my landlord for a period of three years. After approximately six months, I experienced severe financial losses due to printing machinery that I had recently purchased. The losses became overwhelming and financially unsustainable for me. As a result, at the beginning of December, I gave the landlord notice of my intention to vacate the premises at the end of that month.

I vacated the premises approximately one week before the end of December. I was under the impression that having given notice, my responsibility for rental payments would cease thereafter. However, the landlord contacted me seeking payment for January’s rental, citing the lease agreement for three years. The landlord refuses to acknowledge my financial status and is demanding rental until he finds new tenants or the three years expire.

1. Am I Islamically liable to continue paying rent after vacating the premises and giving notice?

2. Is he allowed to withhold the deposit and still demand additional rental payments?

3. What would be the correct Islamic course of action for both parties in this situation?

ANSWER:

In principle, once a lease agreement for a fixed term is concluded, it becomes binding upon both parties to uphold and fulfil its conditions. Neither party is permitted to breach the agreement nor terminate it before its expiry, except with a valid Sharʿī justification.

Allah Ta’ala says in the Quraan e Majeed:

“O you who believe! Fulfil the contracts.” (Sura al-Ma’ida, 1)

And:

“And fulfil (every) engagement (promise), for every engagement will be enquired into (on the day of Reckoning).” (Sura al-Isra, 34)

It is stated in Al-Fatawa al-Hindiyya:

“If he (the landlord) says: “I lease this property to you for a period of one year, with one Dirham to be paid for each month, then this is permitted by consensus, since the period [of lease] is known and the rental is known, hence this is permitted. Thus, none of the two parties will have the right to terminate the lease agreement before the one year is up without a [valid] excuse.” 

The above is when a contract is terminated without a valid excuse. According to the Hanafi jurists, if a tenant has a genuine and valid excuse that forces him to terminate the contract, he may do so and will not be sinful for doing so.

The jurists state that if, due to personal circumstances, a tenant suffers significant hardship in continuing the lease until its full term, he is permitted to terminate the contract after giving proper notice to the landlord .

In the queried scenario, the landlord has no right to continue charging rent against your will, and you will not be liable to pay it even under duress. From an Islamic perspective, he is required to return your deposit, as the contract has been terminated on your side due to the serious circumstances outlined above.

  الفتاوى الهندية (4/ 416)

وَلَوْ قَالَ: آجَرْتُكَ هَذِهِ الدَّارَ سَنَةً كُلَّ شَهْرٍ بِدِرْهَمٍ جَازَ بِالْإِجْمَاعِ؛ لِأَنَّ الْمُدَّةَ مَعْلُومَةٌ وَالْأُجْرَةَ مَعْلُومَةٌ فَتَجُوزُ فَلَا يَمْلِكُ أَحَدُهُمَا الْفَسْخَ قَبْلَ تَمَامِ السَّنَةِ مِنْ غَيْرِ عُذْرٍ، كَذَا فِي الْبَدَائِعِ.

  الفتاوى الهندية (4/ 458)

(الْبَابُ التَّاسِعَ عَشَرَ فِي فَسْخِ الْإِجَارَةِ بِالْعُذْرِ وَبَيَانِ مَا يَصْلُحُ عُذْرًا وَمَا لَا يَصْلُحُ وَفِيمَا يَكُونُ فَسْخًا وَفِي الْأَحْكَامِ الْمُتَعَلِّقَةِ بِالْفَسْخِ وَمَا لَا يَكُونُ فَسْخًا) الْأَصْلُ أَنَّ الْإِجَارَةَ مَتَى وَقَعَتْ عَلَى اسْتِهْلَاكِ الْعَيْنِ بِغَيْرِ عِوَضٍ كَالِاسْتِكْتَابِ يَقَعُ عَلَى اسْتِهْلَاكِ الْكَاغَدِ وَالْحِبْرِ وَكَرْبِ الْأَرْضِ فِي الْمُزَارَعَةِ إنْ كَانَ الْبَذْرُ مِنْ قِبَلِهِ فَلَهُ أَنْ يَفْسَخَ الْإِجَارَةَ وَالْمُزَارَعَةَ بِغَيْرِ عُذْرٍ وَيَخْرُجُ عَلَى هَذَا الْأَصْلِ جَوَابُ كَثِيرٍ مِنْ الْوَاقِعَاتِ فَيَجِبُ أَنْ يُحْفَظَ كَذَا فِي الْقُنْيَةِ……وَكُلُّ عُذْرٍ لَا يَمْنَعُ الْمُضِيَّ فِي مُوجَبِ الْعَقْدِ شَرْعًا وَلَكِنْ يَلْحَقُهُ نَوْعُ ضَرَرٍ يَحْتَاجُ فِيهِ إلَى الْفَسْخِ. كَذَا فِي الذَّخِيرَةِ.

ALLAH TA’ALA ALONE IN HIS INFINITE KNOWLEDGE KNOWS BEST!

ANSWERED BY:

Mufti Abdur Rahman Abdur Razak

Date: 10 Shawwaal 1447 / 29 March 2026

CHECKED AND APPROVED BY:

Mufti Yacoob Vally Saheb

 

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