E-Commerce

প্রশ্ন · Question

and I hope to get a detailed

উত্তর · Answer

Question: Is e -commerce permissible with the Malaysian company
DXN. This company relies on selling nutritional supplements,
shampoos, skin creams...etc. If you buy from it for a certain amount, it
gives a discount. If your points reach 100 it gives you a six percent
discount. The more points you get, the greater the discount it gives
you, and these points are converted into a sum of money that is
transferred to you either in the form of an envelope or a letter that is
delivered to you on a monthly basis, or transfer red to your bank
balance. I want to note that you can add members to this company,
each member who buys from this company gets points, and in return
you get points because this member was registered through you. Of
course, you can register the number of people you want, and the more
points these people get, the more your points increase. Thus, the
balance of the money transferred to you increases, and this process
continues to grow until you can become a partner in this company and
get great profits. (Pleas e read carefully about this company and
provide me with a detailed answer about it) Thank you
Answer:
Wa Alaikum Assalam Wa Rahamtullah Wa Barakatuh,

A sister previously asked us a similar question about dealing with the
Malaysian company DXN, and we answered it on 7/11/2024 CE. It is
more detailed than your question. I am conveying to you the previous
question and our answer to it, and perhaps it will serve the purpose,
Allah willing:
[Question: Our eminent Sheikh, Assalam Alaikum Wa Rahmatullah Wa
Barakatuh,
I work for a Malaysian company called DXN, which manufactures
health and personal care products. I met a friend from Jordan and she
registered me in the company and gave me a membership number. I
asked several people about the company’s work, is it halal or haram?
They answered me that it is halal. But after attending training and
lectures about the financial plan, I began to have doubts about its work
and whether there is anything haram in it?
The company's work is based on two methods of selling:
The first method: The direct selling method: Where I buy products at a
wholesale price with my membership number from the company's
points of sale and sell them with my own profit, where the company
gives me a certain number of points for each product I buy, and if I
collect 100 points or more each month, it gives me a cash bonus,
where my percentage is initially 6%, but if I collect points less than 100
points, it does not give me cash, but the points remain in my personal
account in order to get collected to reach the rank of star agent.
The second method of selling (but I did not reach it), which is: The
multi-level network marketing method: Where a team is created and a
brokerage is calculated, where, for example, Leader S gathers a team
consisting of S, A, and J, and each of Leader S's team collects 100
points. Leader S does not get his profits unless he gets 100 points, and
in return, no one from the team loses his right.

The brokerage on the team is as follows: The difference between the
leader's percentage and the team member's percentage multiplied by
35% multiplied by the number of points collected by the member. The
points collected by the member and the team remain in the member's
cumulative account until he obtains the rank of star agent.
I apologize for the length of the question and explanation. May Allah
protect you to establish the Khilafah Rashida (Rightly -Guided
Caliphate). I hope I have made the question clear. May Allah bless you
and guide us and you to what He ﷻ loves and is pleased with.) End.
Answer: [Wa Alaikum Assalam Wa Rahamtullah Wa Barakatuh,
First of all, may Allah bless you for your kind prayers for us, and we
pray for you with the good.
1- Regarding the first method of dealing with the company, you said in
the question that you buy goods at wholesale price and sell them and
earn a profit, and on top of that, if you sell a certain percentage of the
goods according to the conditions set by the company, you get another
profit from the company (cash bonus)... meaning that the company
obliges itself to give you (cash bonus) if you sell the required
percentage of goods monthly, and this is most likely to encourage
customers to double their sales... If the matter is as we exp lained
above, then this method of dealing is permissible according to Islamic
law because buying goods at wholesale price and selling them for a
profit is permissible and is a well -known trade included in the words of
Allah ﷻ:
[حَلَّ اللَّهُ الْبَيْعَ وَحَرَّمَ الرربَا
َ
وَأ ]
“And Allah has permitted trade and forbidden usury” [Al-Baqara: 275]
Also the company can promise you a cash amount if you sell a certain
percentage of the goods, and this is considered a gift, and we
mentioned in the answer to a question dated 14/5/2007CE, regarding
a similar matter, the following: [Giving someone who buys a certain

quantity an extra amount, a gift or something similar, is permissible.
The sale is valid, and the extra amount falls under the gift, which is
valid.].
However, this permissibility of this transaction with the company is
correct on two conditions:
First: That your purchase be at the wholesale price as is the wholesale
price in the market, i.e. within the limits of the wholesale price in the
market, and not exceed it in a way that makes it reach the level of
gross fraud by exploiting the buyer by deceiving him that he will get a
cash bonus...etc. Gross fraud is forbidden, as Al -Bukhari narrated on
the authority of Abdullah bin Omar (may Allah be pleased with them
both) that a man mentioned to the Prophet ﷺ that he was being
deceived in sales, so he said: «“When you sell,
say, ‘No deception.’” Khilaba (word in the Hadith) - with a kasra on the
kha - is deception. Deception is forbidden.
Second: That this method of dealing be independent of the second
method mentioned in the question, i.e. if practicing this first method is
separate from practicing the second method, but if it is connected to it
and is a condition for the second method, then what we will mention
about the second method applies to it.
2- As for the second method of dealing with the company, what was
mentioned in the question is not clear, but it seems that it does not
differ much from the well -known network marketing, and we have
answered the topic of network marketing in more than one previous
answer, and we have shown that it is not permissible according to
Islamic law.
From these answers, I will mention to you two answers to questions
that are similar to your question:
Answer to a Question dated 19/8/2015 CE , which is about the Quest
Net company, which is a type of network marketing, and this is its text:

[After reviewing the reality of “Quest Net” company, and the
difference in its methods of dealing, although the idea is the same,
which is that the company deals with marketers who bring buyers
"customers" to it, and gives them a commission according to certain
conditions, meaning that they are brokers for the company, they bring
buyers and take a commission for them... From contemplating the
reality of this transaction, the following becomes clear:
First: This type of companies deals with this marketing network in
several products, and these companies stipulate that whoever markets
their products should buy some of these products, and after that they
give him the right to bring customers to them, and give him a
commission in return for them (i.e. he is a broker for the company who
brings buyers to it and takes a commission from the company). The
company will not give him a commission until he brings six buyers
according to the question of Central Asia, and until he brings two
according to the question of the other region... i.e. according to the
company's program that it prepares for this purpose. In other words,
the first buyer takes a commission for the two "or six" that he brought,
in addition to another commission for the four that the first two
brought, or for the six that the first two bring.
And the marketing work "brokerage" continues in this manner, i.e. in
the form of a brokerage sequence or marketing network.
Second: This type of business is against Shariah, and this is why:
1- The company stipulates that the “marketer” must buy from its
products in order for him to have the right to work for it as a broker for
a commission, i.e. he brings customers to it and takes a commission
from them, whether the commission is after bringing six buyers or
after bringing two buyers.
This means that the purchase contract and the brokerage contract are
two contracts in one contract, or two deals in one deal, because they

are conditional on each other. This is forbidden , as the Hadith says:
«نَهََ رَسُولُ اللهِ ﷺ عَنْ صَفْقَتَيْْ ِ ف ِي صَفْقَةٍ وَاحِدَةٍ » “The Messenger of Allah ﷺ
forbade two deals in one deal.” Narrated by Ahmad on the authority
of Abd al -Rahman ibn Abd Allah ibn Mas`ud on the authority of his
father. That is, as if I say to you: If you sell to me, I will hire from you or
act as a broker for you, or buy from you... etc. It is clear that this is the
reality that exists according to the question, as the sale and brokerage
are in one contract, meaning that the obligation to buy from the
company is a condition for the brokerage work, meaning for marketing
with a commission for the buyers brought to the company.
2- Brokerage is a contract between the seller and the one who brings
him customers. The brokerage commission in this contract is given to
those whom the person brings to the company, not on those whom
others bring. Since the brokerage commission in the aforementioned
company transaction is taken by the broker "marketer" on behalf of
the customers whom he brings to buy from the company, as well as on
behalf of those whom others bring, this is in violation of the brokerage
contract.
3- The purchase price from the company is accompanied by gross
fraud, and although the buyer is aware of this, the matter is not
without deception as a result of the "crooked" methods used by the
company to promote its business in a way that leads the buyer to pay
an exorbitant price for the company's product that is not worth a small
part of the real price... All of this is because the company promotes a
(bright) future for this buyer because he will have the opportunity to
market the company's product in exchange for a commission on
(buyers) whom he brings to the company, as well as on the buyers who
are brought by those whom he brought first!
When the buyer is unable to bring buyers, especially those at the end
of the chain of buyers, he is surrounded by deception, and he loses the
exorbitant price he paid for a product that is not worth a tenth of what

he paid! Deception is forbidden in Islam. The Messenger of Allah ﷺ
said: «“Deception leads to the Fire...” Narrated by Al-
Bukhari on the authority of Ibn Abi Awfa. The Messenger of Allah ﷺ
said to a man who was being deceived in sales: «
خِلََبَةَ When you sell, say, ‘No deception.’” Narrated by Al-Bukhari on
the authority of Abdullah ibn Umar (may Allah be pleased with them
both). Khilaba is deception. This is the literal meaning of the Hadith, its
meaning indicates that deception is forbidden. Thus, this transaction is
not permissible according to Islamic law.
In conclusion, dealing with the company “Quest Net” in the manner
explained in the questions is a transaction that is contrary to Islamic
law...] End quote.
This is what I see the strongest of opinions in this matter, and Allah
Knows Best and is Most Wise.
All of this means that the second method mentioned above is not in
accordance with Islamic law. 7/11/2024]
I hope that our previous answer mentioned above will suffice. Allah
is the Helper.]] End.
Your Brother,
Abu Yasin
17 Jumada Al-Akhira 1446 AH
19/12/2024 CE