The ruling on verbal Representation between the Owners of the Gold Shops
Question :
Is it necessary that representation in a sale be a verbal agreement between the owners of gold shops, or is it sufficient for example that the person takes the gold from the other based upon what they are accustomed to between them of knowing that the other will sell it at a known price?
Answer:
Representation is one of the contractual agreements that are carried out by whatever alludes to them of statements or actions. If the custom that is practiced among the people of the shops is that if there is a product that is not present with one of them, and a buyer stops at his place looking for it, he goes to his neighbor and takes the product from him to sell it for him, and the price is known with the person who took it and sold it for his companion for a known price between them, then there is no harm in that. This is because the representation is - as the people of knowledge have said - carried out by whatever alludes to it of statements or actions.
Source:
Ash-Shaykh Ibn 'Uthaimin
Fatawa Islamiyah, Vol. 4 Page 395
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