Afik News is the bi-weekly professional magazine of Afik & Co. Attorneys and Notary
SubscribeVAT on interest is deemed part of the interest for calculating the maximum allowed interest on a loan
Commercial, Banking and Financial
Dispute Resolution
A company borrowed money from another company for a construction project at an interest rate of 16.5% per annum. When it was unable to repay the debt, the borrower contended that the interest rate was higher than allowed by law, and that the VAT applied to the interest rate should be deemed as additional interest. […]
Despite the prohibition on champerty, a right of claim in torts may be transferred when merging companies
Mergers and Acquisitions
Business, Corporate and Joint Ventures
Commercial, Banking and Financial
A mother company and a subsidiary merged by acquiring the full activity of the subsidiary (the target company) by the mother (the acquiring company) and then liquidating the target company. The acquiring company later sought to file a tort claim under a right of action that existed for the target company. The Court held that […]
A purchaser of land who fails to check possession may not raise claims against another who purchased the land before him
Real Estate
Dispute Resolution
A purchaser of a plot of land sought to cancel a gift transaction made about eight years prior to his transaction and that, not only was not recorded with the land registry, but also not marked by a cautionary note at the registry. The Court held that the second purchaser did not act in good […]
A breach of an employment agreement, as well as stealing trade secrets, constitutes a reason to invalidate an option agreement
Business, Corporate and Joint Ventures
Labor Law and Immigration
Dispute Resolution
An employee resigned and took home his work laptop along with the material on it. Prior to returning the equipment to the company the employee copied the material on the laptop to an external hard-drive and formatted the laptop. As a result, the company terminated the agreement for cause and cancelled the stock options of […]
When Bank Leumi Discloses Confidential Banking Information, About Bank Abuse of the Elderly and on Ongoing Power of Attorney
Commercial, Banking and Financial
Lasting Power of Attorney
Intergenerational Law (Trusts, Estates, Lasting Powers of Attorney, Parenting)
There is no denying that banking secrecy is one of the cornerstones of the banking system. After all, who would agree to deposit money with a bank, when there is a risk that the bank will reveal to others how much money the customer has? But does banking secrecy apply when the bank receives a […]
A bank exercising a foreclosure order wrongly on an account that was not part of the order will compensate for beach of privacy
Commercial, Banking and Financial
Dispute Resolution
Three employees resigned and commenced working for a competitor established by one of them, taking with them several clients, and continued working with such using information acquired during their employment. The Office of Execution (of Court verdicts) issued an ex-parte foreclosure order (in a case that was later overturned on appeal and the “winner” had […]
Past experience which is tainted with fraud is inapplicable as a precondition for participation in a tender
Public Law, Environment and Tenders
Dispute Resolution
One of the prerequisites for participation in a water desalination tender was proof of past experience. A tender participant brought forward a project which was subsequently discovered to have been tainted with fraud. The Supreme Court held that because the past experience was tainted by fraud and not merely technical failure, it may not be […]
