Afik News 251 28.02.2018

Afik News 251 28.02.2018


Legislative Updates

February 11, 2018

In case of a deadlock in a company without oppression the shareholder with the stronger ties to the company will be entitled to purchase the other

A company that managed a winery was held by three shareholders, but without an agreement between them.  The winery was managed on the land of one of the and the vineyard was also on that land.  At some point a dispute arose between the shareholders, as a result of which one of them refused to sign documents and because he was one of the signatories in the company, the company reached a “deadlock...

January 30, 2018

A Court appointed office may not interrogate third parties in order to get procedural advantages in Court cases

A receiver was appointed to a public company which main activity was in the field of real estate in Central and Eastern Europe, and within the framework of his position he requested to summon two people who were not officers of the company to interrogate them.  These objected to the interrogation contending that the whole purpose of the interrogation is to get a procedural advantage in a Court ...

February 4, 2018

An agreement with a condition precedent lacks force if the condition is not met unless the party claiming so cause the non-fulfilment of the condition

Two shareholders signed a memorandum of understanding to sell their shares in the company to a third party provided they both sell together.  Although a binding agreement was executed with only one shareholder, the purchaser filed a claim to enforce the agreement or to pay the agreed compensation under the agreement...

February 17, 2018

‎‎‎‎‎‎‎‎ Disclosure obligation on car traders may not be conditioned

A purchaser of a used vehicle discovered an engine problem.  The trader contended to have given data on the issue, but the trader did not present a "disclosure form" at the transaction...

January 8, 2018

A purchaser who did not record a cautionary note will not be deemed negligent if cautionary note could not be recorded

A construction company sold a land, but the purchaser could not register a cautionary note or ownership transfer because the company was not yet registered as owner at the land registry.  Ten years later the purchaser registered a cautionary note but in the meanwhile the land was resold by the company and a cautionary note was registered on the name of the second purchaser...

February 11, 2018

‎‎‎‎‎‎‎‎ A tender offer will not be disqualified due to a different writing of the name of the bidder in the bank guarantee if it is clear to whom it refers

The Tenders Committee disqualified a tender bid because the name of the bidder was written differently than at the bid...