The tribes of Qurayzah and Nadir lived in the same area, and Nadir held a higher status than Qurayzah. If a man from Qurayzah killed a man from Nadir, he was put to death for it. But if a man from Nadir killed a man from Qurayzah, he would only pay a hundred wasqs of dates as compensation.When the Prophet ﷺ was sent, a man from Nadir killed a man from Qurayzah. The people of Qurayzah said, "Hand him over to us so we may put him to death."The people of Nadir replied, "Let the Prophet ﷺ judge between us."So they came to him, and the verse was revealed, "And if you judge, judge between them with justice" [Maidah 5:42]. Justice here means a life for a life. Then the verse was revealed, "Is it the judgment of ignorance that they seek?" [Maidah 5:50].
أخبرنا القاسم بن زكريا بن دينار قال حدثنا عبيد الله بن موسى قال أنبأنا علي وهو بن صالح عن سماك عن عكرمة
كان قريظة والنضير وكان النضير أشرف من قريظة وكان إذا قتل رجل من قريظة رجلا من النضير قتل به وإذا قتل رجل من النضير رجلا من قريظة أدى مائة وسق من تمر فلما بعث النبي ﷺ قتل رجل من النضير رجلا من قريظة فقالوا ادفعوه إلينا نقتله فقالوا بيننا وبينكم النبي ﷺ فأتوه فنزلت {وإن حكمت فاحكم بينهم بالقسط} والقسط النفس بالنفس ثم نزلت {أفحكم الجاهلية يبغون}
[Its chain is daif] Abu Dawud transmitted it in the Book of Blood Money, chapter "A Life for a Life," h: 4494, from the hadith of Ubaydullah, with this wording. It is also in al-Kubra, h: 6934. Ibn Hibban graded it sahih, h: 1738, as did Ibn Jarud, h: 772, and Hakim, 4/366, 367, and Dhahabi agreed with him. See h: 326, 2114, for its underlying defect. It has a daif corroborating witness, see the following hadith.