Afik News is the bi-weekly professional magazine of Afik & Co. Attorneys and Notary
SubscribeA realtor may charge brokerage fee from the lessee even if acted on behalf of the lessor
Real Estate
Dispute Resolution
A lessee of an apartment met with a realtor of the lessor and agreed the terms of the lease. Only thereafter the realtor demanded brokerage fee from the lessee. The Court held that it is not prohibited that the realtor of the lessor charge the lessee brokerage fee. Israeli law sets that a tenant may […]
A debtor knows about an assignment of debt but pays the assignor instead of paying the assignee will still be in debt to the assignee
Commercial, Banking and Financial
Dispute Resolution
A bank provided credit to a company against a charge on its assets. The company engaged in a transaction and issued invoices explicitly stating that payment is to be paid directly to the bank, and not to the company, but the counterparty paid the funds to the company and not to the bank. The Court […]
Appointment by a shareholder of an incompetent director may prevent a contention of lack of data on the company
Mergers and Acquisitions
Business, Corporate and Joint Ventures
Dispute Resolution
Past shareholders in a pharmaceutical company which made an “exit” claimed they pre-sold their shares for a dime, because during board meetings the directors appointed on their behalf, who lacked expertise in the specific field, were presented with false and partial reports regarding the company’s financial condition. The past-shareholders therefore claimed damages reflecting their part […]
A liquidation order given in Australia or in another jurisdiction for a company of such jurisdiction will be recognized in Israel
International Transactions and Dispute Resolution
Business, Corporate and Joint Ventures
Dispute Resolution
The liquidators of a number of Australian companies sought to recognize in Israel liquidation orders of Australian companies, which were given by the Australian competent Courts in a liquidation procedure initiated by the Australian Tax Authority, so that they could take actions in Israel. The Court held that in light of the entry into force […]
Need a lessor fix a leak in the neighbor’s apartment?
Real Estate
Lessees wished to rent an apartment in a condominium downtown but shortly after entering the apartment they started to notice severe moisture damage to the apartment’s ceiling. It turned out that the source of the moisture is a leak in the neighbor’s apartment. Can the tenants demand that the lessor fix the leak or demand […]
Funds received as a result of a tender won due to coordination between the tender participants will be forfeited by the State
Competition
Public Law, Environment and Tenders
Criminal Law
Contractors who participated in a tender conspired that some would win the tender by way of the others intentionally submitting high offers, thus creating false competition. In return, the winners would hire the others or compensate them. The Supreme Court held that the actions constitute money laundering because the tender receivables were fraudulently transferred to […]
A controlling shareholder is liable if sold shares under terms that put the company at risk of being “looted” of its assets
Mergers and Acquisitions
Capital Markets and Stock Exchange Regulations
Business, Corporate and Joint Ventures
A controlling shareholder sold his holdings to purchasers who eventually caused the collapse of the company. The Supreme Court held that the controlling shareholder did not breach the fiduciary duty and did not act unlawfully even though the company collapsed after the transaction. A controlling shareholder may be liable in the event of a sale […]
