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Mohamed and Hasan enter a legally binding contract of Mudaraba as active partners for a predetermined duration of five years. Mohamed obtains ten thousand Bahraini
Mohamed and Hasan enter a legally binding contract of Mudaraba as active partners for a predetermined duration of five years. Mohamed obtains ten thousand Bahraini dinars from a Rubul-mal Hasan. And they agreed to divide their profits in 40:60 percentage. In addition, the Rub-ulmal has placed constraints on the Mudarib in this transaction. And it was decided that the contract would automatically expire at the conclusion of the term if not terminated by mutual agreement prior to the sale of an illiquid asset.
1. Evaluate the different capacities of Hasan which can apply to the given case. [5Marks]
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