Ḥawāla
(487 words)

, literally “draft”, “bill”, is the cession, i.e., the payment of a debt through the transfer of a claim. If A has a debt to B and a claim against C, he can settle his debt by transferring his claim against C to the benefit of B. In this case A is the transferor ( al-muḥīl ), B the creditor ( al-muḥtāl ) who accepts the cession, C is the cessionary ( al-muḥtāl ʿalayhi ). It would however be incorrect to consider the ḥawāla merely from the viewpoint of a cession: it is first of all a means of payment to release the muḥīl from a debt, therefore, besides the task of the cession it fulfils that of t…

Cite this page
Dietrich, A., “Ḥawāla”, in: Encyclopaedia of Islam, Second Edition, Edited by: P. Bearman, Th. Bianquis, C.E. Bosworth, E. van Donzel, W.P. Heinrichs. Consulted online on 20 January 2019 <http://dx.doi.org/10.1163/1573-3912_islam_SIM_2806>
First published online: 2012
First print edition: ISBN: 9789004161214, 1960-2007



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