Afik News is the bi-weekly professional magazine of Afik & Co. Attorneys and Notary
SubscribeDemand of material changes to the terms of an agreement as a condition to continuing its consummation may be deemed breach of agreement
Commercial, Banking and Financial
Dispute Resolution
High-Tech and Technology
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. The Court held that […]
Demand of an employer to register an employee as an employee and not a contractor is not grounds for resignation
Labor Law and Immigration
Dispute Resolution
Commercial, Banking and Financial
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, […]
A realtor is not entitled to fees from a person who joined a purchase transaction and did not sign a fee agreement
Real Estate
Dispute Resolution
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, […]
“Fresh Start” – Is a company bound by pre-incorporation agreements?
High-Tech and Technology
Business, Corporate and Joint Ventures
Labor Law and Immigration
Promises should be kept. However, what would you say of a new start-up whereby promises need not be kept? In the entrepreneurial world, it is customary for an entrepreneur to perform various actions on behalf of a company to be incorporated, even before its incorporation. Thus, for example, an entrepreneur would often hire employees, preform […]
The Company’s Board of Directors is authorized to decide to file a claim on behalf of the Company against the controlling shareholder
Business, Corporate and Joint Ventures
Dispute Resolution
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. The Court held that the power to submit claims on behalf of a company is subject to the Company’s Board of Directors. When the Board of Directors fails […]
A Shareholder who emptied the assets of a company to a new company will be personally liable for its debts
Business, Corporate and Joint Ventures
Dispute Resolution
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. The Court accepted the claim and held that the corporate veil will be ignored when the corporate identity is usurped in order to promote an illegal goal. […]
Oppression of a minority shareholder does not cancel guarantees given unless the minority actively cancels them
Commercial, Banking and Financial
Business, Corporate and Joint Ventures
Dispute Resolution
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 […]
