Syed I have a brother who owns and runs a service company providing Feild Verification Service to their client on contract basis. I helped him to get one client one condition that he will give me 30% of the profits from the payment of that client until he have that contract, I will not be involved in any operations and will just come to take my profit every month.
We did not made any written agreement and it was done verbally.
my question is –
1- is it Valid ?
2- His company might keep that contract forever, does that entitle me to take profits forever?
3- in case of profit I take 30% Share, in case of loss what should be done ?
4- I have no involvement in Running the business, does that make my profit share justified?

by

1- Yes it us valid. Islamically it doesn’t have to be written. A verbal agreement is sufficient. However, know that this is not a binding contract. It’s a promise from him to give you that profit. And he should keep his promise, but if he doesn’t he is not violating a contract.

2- Based on the promise he made, yes ethically he should give you those profits forever.

3- If there was not agreement that you would take losses, then you don’t have to take any losses.

4- It makes it justified as long as he willingly agreed to it and promised it to you.