Afik News 255 25.04.2018

Afik News 255 25.04.2018


Legislative Updates

February 25, 2018

A personal assets-freezing injunction for a shareholder will be granted only in exceptional cases and when this will benefit the Company

A fashion company that became insolvent filed an application for protection from creditors both as to itself and its controlling shareholders, contending that during this time of distress the shareholders are required to devote their full time and energy to saving the company and not to protecting their personal assets from creditors...

March 19, 2018

A shareholder is entitled to receive data on the company both from the company and directly from the control holder who manages it

A minority shareholder of a British Virgin Islands company managed from Israel did not intervene in the management of the company but regularly received his share of the profits. At some point, the control holder demanded that the minority will waive some of his holdings because he is not participating in the management and when refused, the company ceased distributing profits.  The control holder...

March 25, 2018

An employer may be liable to larceny by its employee if was negligent in supervision but also without negligence

A company that operates points of sale of baked goods terminated the agreement with the shipping company and offset the entire debt in respect of the goods shipped after it discovered that an employee of the shipping company and its employee stole merchandise in an amount greater than the amount of the debt for the shipping services...

April 8, 2018

A used vehicle trader must report a car accident that the car passed both in the publication of the car and in the due diligence form at the sale

A used car trading company published an ad in which it wrote that the car did not pass any accidents.  A representative of the company went with the buyer to a garage that reported that the car has no material issues and the buyer purchased the vehicle. However, shortly after the purchase and after repeated mishaps, he sold the vehicle and in an examination done for the purchaser of the vehicle ...

April 11, 2018

Purchaser of a real estate asset is to pay an insolvent seller’s debt of betterment levy

A seller of an apartment entered bankruptcy proceedings and did not pay the betterment levy as agreed under the sale agreement. As a result, the local planning committee refused to issue a confirmation of payment, which is required for the registration of real estate rights...

March 29, 2018

A safety office may not deviate from the limitation of the license and deviation will lead to suspension of the license

A truck driver was killed after the driver failed to secure the truck's crane and the crane hit a bridge that collapsed on the truck and only by miracle, no one else was injured. The Ministry of Transportation suspended the safety officer's license after in a hearing conducted following the accident it was revealed that the safety officer violated various provisions of the Traffic Regulations and ...