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Gharar In Sale Transaction

What are the causes of gharar in a sale transaction?

Gharar, or contractual uncertainty, in the subject matter, the price, or the credit period itself, renders a sale invalid. A sale where the delivery of the subject matter is deferred until an uncertain event involves gharar. For instance, a sale of subject matter based on it raining on a certain day. A sale where the payment of price is deferred up to an event that is certain to take place but its exact time of occurrence is unknown has a small amount of gharar but is permissible in the Shariah. For instance, a person purchasing a commodity against a future payment of price which is established as the time of harvest of a certain crop is permissible. In this case it is definite that the crop will be harvested though the exact time is unknown.

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