Baba Metzia 5:5-6

Baba Metzia 5:5

A cow, a donkey, or anything else that works and eats, may be appraised then given to another for half the profits. Whether the one receiving the animal is expected to raise it or not depends on the accepted local practice. Rabban Shimon ben Gamliel says that a calf or a foal may be appraised as a set with its mother. A person who leases a field may increase his rental payments (as a loan to the owner, who will use the money for improvements) without concern that this might be considered interest.

Baba Metzia 5:6

One may not accept “iron sheep” from a Jew because it constitutes interest but one may accept “iron sheep” from non-Jews. [“Iron sheep” refers to business arrangements in which the owner cannot lose money; all risk is assumed by the recipient. If the value goes up, the parties share the profits but only the recipient bears the losses.] One may borrow from and lend to non-Jews with interest, as well as to a ger toshav (a resident alien). A Jewish borrower may lend a non-Jewish lender’s money to a third party with his permission but this is not the case with a Jewish lender.