"rather, wealth is the wealth of the soul" (5). From this is the saying of the poet (6):

He who dies and finds rest is not the (truly) dead; Indeed, the dead is the dead among the living.

He is called 'insolvent' (muflis) because he has no wealth other than fulus (copper coins), which are the lowest types of wealth. The insolvent person in the terminology of the jurists is one whose debts are more than his wealth, and whose expenditure is more than his income. They named him 'insolvent' even if he possesses wealth, because his wealth is essentially owed to his debts; thus, it is as if it is non-existent. The Prophet’s (peace be upon him) interpretation of the insolvent of the Hereafter is evidence for this, for he informed that he has good deeds like mountains, yet they were less than what was owed by him, so they were distributed among the creditors, and he remained with nothing. It is also permissible that he was named as such because of what he ends up with after the settlement of his debts, namely the absence of wealth. It is further permissible that he was named as such because he is restricted from disposing of his wealth, except for the trivial amount he cannot live without, such as fulus and the like.

Section: Whenever a person incurs current debts that his wealth cannot cover, and his creditors request the judge to impose a restriction (hajr) upon him, the judge is obligated to comply with their request. It is recommended that the restriction upon him be publicized so that dealings with him may be avoided. Once he is under restriction, four rulings are established: first, the attachment of the creditors' rights to the substance of his wealth. Second, the prohibition of him disposing of the substance of his wealth. Third, that whoever finds the substance of his property in his possession is more entitled to it than the rest of the creditors, provided the conditions are met. Fourth, that the judge has the authority to sell his property and satisfy the creditors. The basis for this is what was narrated by Ka'b ibn Malik, that the Messenger of Allah (peace be upon him) placed a restriction upon

800 - Issue: He said: (And if the judge declares a man insolvent, and one of the creditors finds the substance of his property, he is more entitled to it, unless he wishes to leave it and be equal with the other creditors).

Its general meaning is that whenever an insolvent person is placed under restriction, and one of his creditors finds his specific commodity that he sold to him—subject to the conditions he mentions—he has the right to rescind the sale and take back his commodity. This has been narrated from Uthman, Ali, and Abu Hurayrah. This is also the view of Urwah, Malik, Al-Awza'i, Al-Shafi'i, Al-'Anbari, Ishaq, and Abu Thawr, and Ibn al-Mundhir. Al-Hasan, Al-Nakha'i, Ibn Shubrumah, and Abu Hanifah said: He is equal to the other creditors; because the seller had the right of withholding for the sake of receiving the price, so when he delivered it, he relinquished his right of withholding, and thus he does not have the right to reclaim it due to insolvency, just like the pledgee when he returns the pledge to the pledgor. And because he is equal to the creditors in the cause of entitlement, he is therefore equal to them in the entitlement itself, like the rest of them. Our evidence is what was narrated by Abu Hurayrah, that the Prophet (peace be upon him) said: "Whoever finds his specific goods with a person who has become insolvent, he is more entitled to it."