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Bai-Salam
Bai-Salam is a contract between a buyer & a seller under which the seller sells in advance the certain commodities/products permissible under Islamic Shariah, and the law of the land to the buyer at an agreed price payable on execution of the said contract and the commodities/products are delivered as per specification, size, quality, quantity at a future time in a particular place.
In other words, Bai-Salam is a sale whereby the seller undertakes to supply some specific commodities/products to the buyer at a future time in exchange of an advanced price fully paid on the spot. ‘Price is paid in cash and delivery of the goods is deferred.’
Salient Features
You have to clearly specify the name, specification, brand, quality, quantity, size etc. of the goods without any ambiguity.
In the agreement the unit price and total price of the goods will be fixed and mentioned.
Exact time and place of delivery will be specified.
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