
Afik News is the bi-weekly professional magazine of Afik & Co. Attorneys and Notary
SubscribeA Controlling shareholder is personally liable for the company’s property city tax debts
Public Law, Environment and Tenders
Taxation and Government Incentives and Funding
Dispute Resolution
A municipality filed a lawsuit in respect of city tax debt and claimed that the shareholders and directors of the companies holding the property should be personally accountable. The Court held that in order to collect the debt from the controlling shareholder in a company, it is necessary to show the existence of the following […]
Repurchase Agreement or Lien Backed Loan
Commercial, Banking and Financial
Mergers and Acquisitions
A lender suspects that the collateral offered by the borrower (e.g. a real property or a public company shares) will be difficult to realize. Can one structure a sale transaction with a right of seller to repurchase the asset in the future subject to payment of penalty similar to the agreed interest? Israeli Courts held […]
Cancelation of a distribution agreement due to its mutual abandonment requires unequivocal behavior of the parties
International Transactions and Dispute Resolution
Dispute Resolution
Commercial, Banking and Financial
An Israeli company sought to release itself from an agreement with an exclusive distributor for the Chinese market claiming, inter alia, that the agreement was abandoned by the distributor who did not commence distribution activity despite over 3 years that passed. The Court held that in order to reach the conclusion that an agreement expired […]
Filing of motion for status in Israel only after an arrest raises concerns of being fictitious
Dispute Resolution
Labor Law and Immigration
עררים ת"א: אין משקל קביעת תור לצורך הסדרת מעמד כמשקל בקשה להסדרת מעמד שנבחנת. בקשה לקביעת תור לצורך הסדרת מעמד שמוגשת רק לאחר מעצר האזרח הזר מעלה חשש כי זו בקשה פיקטיבית.
An employer must prove a relevant motive to terminate an employee
Labor Law and Immigration
Dispute Resolution
An employee was surprisingly terminated after 15 years of employment, due to the deteriorating in her health situation and without the employer raising any argument regarding her professional performance. The Court held that although the employee was the one to file the claim, the burden of proof to show legitimate reasoning for termination is on […]
Declaration of a retroactive bonus after a shareholders dispute arises in oppression
Business, Corporate and Joint Ventures
Dispute Resolution
A shareholder of a company filed a claim against the other for oppression due to withdrawal of company funds as management fees and transactions with related parties. The defendant argued, inter alia, that the claim is of the company and not the other shareholder and thus a derivative claim must be filed. The Court held […]
A purchaser that a material information had been hidden from him is entitled to compensation for damages
Real Estate
Dispute Resolution
Public Law, Environment and Tenders
A person purchased an apartment via a tender on “AS IS” terms and after seeing it. After the purchase of the apartment and its renovation it was discovered that the apartment is uninhabitable due to severe water and flooding damage. The Court held that one must disclose any material information of the property to the […]