This fatwa defines a kafalah as a guarantee provided by an insurer (kafil) to a third party (makful lahu) to meet the obligations of the second party/insured (makful 'anhu, ashil). It also defines a Kafalah Bil Ujrah letter of credit as a guarantee provided by a shari'a financial institute pursuant to an export/import transaction made by a customer based on a kafalah agreement. Pursuant to the guarantee the shari'a financial institute also obtains a fee (ujrah).