‘Abdullāh ibn ‘Umar (may Allah be pleased with him) reported that the Prophet (may Allah's peace and blessings be upon him) made an agreement with the people of Khaybar to work and cultivate in return for half of the fruits or crops produced.
Khaybar is a farming town inhabited by a group of the Jews. After the conquest of Khaybar on the seventh year of Hijrah, the Prophet (may Allah's peace and blessings be upon him) divided and distributed its lands and farms among the victorious Muslims. Muslims were busy with fighting in the cause of Allah and calling people to Islam and had no time for cultivation. The Jews of Khaybar, however, were more knowledgeable about cultivation because of their long years of experience in farming. For this reason, the Prophet (may Allah's peace and blessings be upon him) made an agreement with the Jews to cultivate the land and irrigate the trees. They would receive half of the produce of its fruits and crops as a payment for their labor, while the Muslims would receive the other half for being the land owners.