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Forfeiture Of Profit Due To Withdrawal Before Maturity
Is it permissible to include a clause in a Mudarabah contract that would require the investor to forfeit all profit earned on his investment in case of early withdrawal?
It is permissible to include such a clause in the Mudarabah contract, and in such a case, the investor will be obliged to forfeit all profit earned on his investment. The amount of profit forfeited will be credited to the Mudarabah Reserve Fund.

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