Caselaw

Civil Case (Tel Aviv) 53972-03-23 Spirent Communications PLC v. Bynet Electronics Ltd. - part 14

September 25, 2025
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In terms of the procedure, in many cases the parties, who are discussing in the local forum, do not establish the position of the foreign law on the issue at hand.  It is convenient for them to litigate in accordance with the local law, which is more familiar to them , andalso to the forum that is supposed to decide the dispute.

However, it seems to me that there is also a more substantial explanation that leads to the conclusion that "the jurisdiction clause has rules of choice of law that are unique to it" (Craney, at p.  150).  And the essential reason is that the contractual agreement, that the litigation of the parties will take place only in the foreign forum, has implications that go beyond their private interests.  It leads to the local court, which established the jurisdiction, not operating it in practice.  Against this background, the dispute cannot be viewed as a mere interpreter.  The local forum must also take into account policy considerations in accordance with local law.  This is the case in the world and this is the case in Israel.

Against this background, it is necessary to understand the analysis of Avraham-Giller, who expressed his opinion that at the level of the desired law, a special approach should be developed to the terms of jurisdiction since it is a secondary obligation, as opposed to the substantive provisions agreed upon by the parties in the contract itself, and this obligation may conflict with the public interests that the local court is entrusted with protecting.  Therefore, "since these clauses relate to a public sovereignty issue, it is likely that contract law will be required to be withdrawn in certain contexts so that public interests are not harmed.  Therefore, it is necessary to examine with regard to each issue in the handling of jurisdictional clauses what sovereign and procedural interests arise therein, and whether according to which the laws of 'regular' contracts must be withdrawn" (ibid., at p.  242).  Such an examination can be done - and should be done - in accordance with the law of the forum.

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