Afik News 264 29.08.2018

Afik News 264 29.08.2018


Legislative Updates

July 25, 2018

Shareholders and directors of a company who have breached their fiduciary duty shall bear the company’s damages in respect of their breach

Two shareholders who also serve as directors in a company had a clear conflict of interest in allowing the company to enter into a lease agreement with another company owned by them, at a rent less than can be obtained under market conditions. The third shareholder claimed that the two shareholders had harmed him and had clearly violated the duty of trust they owed the company...

August 3, 2018

A non-Israeli company filing a claim in Israel will be required to deposit a guarantee for the expenses of the defendant

A non-Israeli company filed a lawsuit in Israel against an Israeli company...

July 20, 2018

In a bankruptcy proceeding interest on debt is at the trustee’s discretion in accordance with the debtor’s conduct

A person entered a bankruptcy proceeding and after payment of the trustee's fees and the remaining costs of the proceeding, a sum of money was left in the bankruptcy fund...

July 15, 2018

Assuming a risk upon execution of an agreement negates the possibility of canceling the agreement due to a mistake if the risk consummates

A cooperation agreement was signed between a project company and a company for execution of metal works and welding. When one suspected that the agreement was breached by the other, they dissolved the agreement and executed an agreement to cancel the first agreement, in which it was recorded that none of the companies had any financial or legal claims against the other. Later, one party discovered...

August 13, 2018

Only in exceptional and limited cases will the court revoke a given arbitrator’s award

An entrepreneur from the field of vessel planning and building connected with an Israeli company to carry out a project in Ghana with an arbitration clause in the agreement that determined that any dispute between parties would be before the ICC (International Chamber of Commerce). The arbitrator gave a ruling in which he determined liability in accordance with the contract's clause that ...

August 7, 2018

A work that is illegal or illegal to distribute will not be afforded the protection of the copyright law

A company engaged in the import, development and marketing of sex products claimed copyright infringement in pornographic films that it produced because links to them appeared on an Israeli porn site...

July 18, 2018

A lessee is entitled to compensation for loss of profit as a result of the inability to assign the lease agreement to another

A lessee who was unable to sell a business because the lessor refused to enable assignment of the lease to an alternative lessee was forced to close the business when he realized that the lessor would not cooperate with him in assignment of the lease to another...

July 26, 2018

A ship shifted from one pier to another at the port’s initiative is also to pay shifting fees

A ship owned by a company incorporated in the Marshall Islands anchored in the port of Ashdod, but the port captain ordered it to move to another pier, which was being renovated at that time and therefore access to it was problematic. The ship did not request to receive services from the port but was nevertheless charged with a shifting fee (the cost of transferring the ship to another pier), ...