Afik News 261 18.07.2018

Afik News 261 18.07.2018


Legislative Updates

June 19, 2018

The Company’s Board of Directors is authorized to decide to file a claim on behalf of the Company against the controlling shareholder

A dispute between minority and majority shareholders in a private company occurred and the Company's board of directors decided to file a claim against the majority shareholder...

June 18, 2018

A Shareholder who emptied the assets of a company to a new company will be personally liable for its debts

A creditor of a company discovered that the sole shareholder of the company incorporated a new business to which he transferred all assets and activities of the company...

June 26, 2018

Oppression of a minority shareholder does not cancel guarantees given unless the minority actively cancels them

Four brothers, shareholders in a company, guaranteed all company's debts to a bank with a perpetual guarantee, unlimited in amount. Three of the brothers canceled the guarantee and the bank demanded the debts from the fourth shareholder, who contended that at some point he was stripped from his rights in the company when he was dismissed from his position as CEO and stripped of his rights as a ...

June 26, 2018

Demand of material changes to the terms of an agreement as a condition to continuing its consummation may be deemed breach of agreement

A party to an ultra-sound system development agreement sent a notice to the other party demanding payment of an advance payment and an increase in the quantity of products ordered on the first order, clarifying that, to the extent that the commercial conditions did not change, the project would be abandoned...

June 25, 2018

Demand of an employer to register an employee as an employee and not a contractor is not grounds for resignation

A private investigator was employed at his request as a "service provider" although in practice he was an "employee" of an investigation firm in which he worked. When the employer sought to change his classification to an employee, in accordance with the actual relations between the parties, the investigator resigned from his position and demanded, inter alia, severance pay due to the worsening of...

July 5, 2018

A realtor is not entitled to fees from a person who joined a purchase transaction and did not sign a fee agreement

A real estate brokerage agreement was executed between a realtor and purchaser for the purchase of part of a land, but did not include the addresses of the parties and their identity numbers, and in the end the purchaser purchased another part of that land. Another company joined the purchaser at the time of purchase, and the realtor demanded fees from it too...