Fatwa ID: 1645
Title: participating in lottery competitions
Category: Financial Transactions
Scholar: Dr. Hatem al-Haj
Date: 02/06/2006

Question

In the name of Allah the Merciful the Beneficent
Peace, blessings and mercy of Allah be upon you.

Please, kindly counsel me about this matter in order to distinguish between what is permissible (Halaal) and what is forbidden (Haraam) over an issue that faced me and I do not know exactly the Shari`ah ruling about it. I live in a Western country and I received by mail an offer from a company that deals in clothes, being one of its customers. The issue is related to a competition for winning money on the occasion of the approaching summer holidays. The coupon bears a winning number which equals a definite sum of money. After I explain to you the game`s rules, please, kindly counsel me if this winning is considered as gambling, betting, or the like, or it is just making profits of competitions, and it is permissible (Halaal): First: the participants in the competition have been selected from the company`s customers by primary drawing of lottery in which the names of the winners of the money gifts were announced. Then, coupons were sent to those whose names were drawn. Second: these customers can participate in the final drawing by returning their coupons to that company without paying any money or any obligatory condition of immediate or future purchasing. Third: considering the primary drawing has given the total of the winning numbers repeated for a number of customers who would probably participate in the final drawing, the customer`s receiving the coupon is not a guarantee for getting the written sum of money on it. Fourth: accordingly, the wisher would send his paper voluntarily to confirm his participation in the game (and without any obligatory financial conditions), then he waits for the result of the final drawing to see if he is winning. From the aforementioned conditions, the participants in this competition are either winners or not losers because they do not loose if they do not win, and the winner takes the money that the company has donated, and not from the money of the participants` contributions. As far as I know, Allah knows best, that the elements of gambling do not exist in this transaction, because the condition of risk is not there. Please, kindly counsel me, Jazakumu Allahu Khairan.


Answer

In the name of Allah the Merciful the Beneficent
Peace, blessings and mercy of Allah be upon you.

Praise be to Allah, prayers and peace be upon His kind Messenger, family members, companions and the true followers until the Day of Judgment.

I do not expect the matter would be as you think, otherwise, what is the interest for the company from this matter?! However, if the issue is as what you have said, then it is not considered as gambling, and I do not find a reason to warn against it. Allah knows best.