Caselaw

Derivative Claim (Tel Aviv) 43264-02-17 Appeal Financial Case – Supreme Court Moran Meiri v. Israel Football Association - part 9

October 27, 2020
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Instead, it was determined that in accordance with the proposal of the insurance company and the accounting firm, the Association must contact them in order for them to participate in covering the amount of damage that will remain after the expected collection (an estimated sum of approximately NIS 5 million). It was also determined that the association must make a decision according to which the balance of the damage that will remain after the participation of the insurance company and the accounting firm as aforesaid, will be covered by collecting funds from the teams, in a uniform amount from each team in the Premier League and in a differential amount from each team in the National League. It was determined that this sum would be paid by the teams or would be deducted from payments that the association transfers to them.

  1. On the other hand, in the opinion of the minority, the starting point regarding the amount of the damage is the sum of NIS 23 million – as indicated by the Association's records from "Real Time". According to the minority's approach, if a claim for this sum is filed by the Association, its chances are very high. It was also claimed that the association has an additional cause of action, in the sum of about NIS 16 million, which has a good chance.

With regard to the expected collection, it was argued that a collection of approximately NIS 10.5 million at most should be taken into account. However, it was determined that this amount should not be deducted in full from the amount of the damage, since an amount of NIS 4 million of it has already been taken into account in reducing the amount of damage from a total of about NIS 26 million to an amount of about NIS 22 million. Therefore, only NIS 6.5 million should be deducted from the amount of the damage. In light of all of the above, the minority position was that the amount of damage to the association (plus linkage and interest differences) was approximately NIS 40 million, and at least NIS 20 million.

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