The Shari‘ah Status of Dropshipping: A Jurisprudential and Analytical Study of Contemporary Fatwas

Abstract

In the modern era, the methods of trade and commerce have undergone remarkable transformations. The rise of the digital economy and online marketplaces has introduced new business models that demand renewed juristic evaluation. One of the most prominent among these is Drop Shipping, which has rapidly gained popularity in the global e-commerce industry. In this model, the seller markets and sells goods that are not in his actual possession or ownership; instead, upon receiving an order from the buyer, the seller purchases the product from a third-party supplier who directly ships it to the buyer.

This business arrangement raises several significant questions in Islamic jurisprudence: Is it permissible to sell goods that the seller neither owns nor possesses? Can digital confirmation or constructive delivery be considered a valid qabḍ (possession) under Shariah? In response to such questions, contemporary juristic bodies and Dar al-Ifta institutions have issued various fatwas  some deeming drop shipping impermissible due to the absence of ownership and possession, while others allowing it under specific contractual conditions.

This article presents a jurisprudential and analytical study of these contemporary fatwas, aiming to examine drop shipping in light of Islamic principles of sale, particularly focusing on ownership (milkiyyah), possession (qabḍ), and liability (ḍamān). The research seeks to clarify the Shariah ruling of this emerging trade model within the framework of modern digital commerce.

Keywords: Drop Shipping, Islamic Jurisprudence, Ownership, Possession, Liability, Contemporary Fatwas, Online Trade