Afik News is the bi-weekly professional magazine of Afik & Co. Attorneys and Notary
SubscribeIgnoring the client’s financial ability of a customer may be deemed breach of the duty of care and fiduciary duty of directors of the corporation
Business, Corporate and Joint Ventures
Dispute Resolution
Two senior managers in a corporation were sued, inter alia because they were negligent in enabling the continuing supply of goods to a costumer, despite an increasing debt of the customer towards the corporation. The Court accepted the claim and held that the managers ignored the financial ability of the costumer, concealed critical information as […]
The friend with whom I planned to established a start-up did it by himself. Can he?
Business, Corporate and Joint Ventures
Commercial, Banking and Financial
High-Tech and Technology
Three friends developed an idea for a new venture and began formulating a business plan, a concept, logo etc., but like many other start-ups eventually the project was abandoned. One day, two of the friends discover that the third established a start-up based on the same idea. Do they have any right in the business? […]
A joint tenancy agreement in real estate does not require a written document
Dispute Resolution
Real Estate
Commercial, Banking and Financial
A person borrowed from another and pledged a shop to secure the debt. When the creditor wanted to fulfil the pledge the brother of the borrower claimed that the shop could not have been pledged because it was inherited to six brothers and not only to the debtor. The Court held that although a transaction […]
Termination of negotiations after all the conditions were agreed in order to maximize profits is a lack of good faith
Commercial, Banking and Financial
Dispute Resolution
At the end of negotiations but before the agreement was signed the apartment owner suddenly withdrew his decision to sell the apartment. The Court held that any party to negotiations may withdraw at any stage, as long as such party did not express full commitment to be bound by contract and subject to the obligation […]
The Authority of Consumer Protection is empowered to impose substantial financial sanctions in case of non-marking of product prices
Commercial, Banking and Financial
Dispute Resolution
A supermarket chain made a series of violations of the Consumer Protection Act requiring marking of products prices identical to that charged at the cashier. The chain was fined and it appealed to the Court. The Court rejected the appeal and held that pursuant to the amendment that came into effect recently failure to duly […]
A company cannot sue a shareholder without due procedures to approve filing the claim
Business, Corporate and Joint Ventures
Dispute Resolution
In a dispute between shareholders holding half of the shares of a company one argued that the other took over the company and is managing it against its interests and for his personal interest while oppressing the claimant. The other shareholders filed a counterclaim in his behalf and on behalf of the company. The Court […]
An agreement executed following a tender will be construed pursuant to tender publisher’s intent
Public Law, Environment and Tenders
Commercial, Banking and Financial
Dispute Resolution
A transportation company won a tender and entered into an agreement with the municipality to operate three shuttle lines. After execution of the agreement the municipality unilaterally changed the shuttles lines and unified lines according to the municipality’s needs, a change that reduced the transportation company’s revenues and resulted in a breach of contract claim. […]
