Legal Updates1979 found

The employment agreement of the manager of the credit department with a body that provides credit had attached to it a commissions appendix that established a compensation mechanism in percentages that is directly related to the bringing of borrowers and investors by him. Later, a commission agreement was also signed with a company wholly owned […]

Two entities executed a contract for a joint project, with one bearing financial obligations and the other being in charge of promoting the project. Eventually, the project failed, both due to regulatory reasons and due to the fact that it was not properly promoted. The financing party sought to terminate the contract and receive reimbursement […]

A bidder in a tender for the provision of debt collection services to a local authority sought to disqualify the winning bid, inter alia, due the fact that the bid was relatively low priced compare to the tender estimation and due to the concern that it is a deficit and tactical proposal. The Court dismissed […]

The Commissioner for Consumer Protection and Fair Trade imposed a financial sanction on ‘Rami Levy Hashikma Marketing’ food chain because the ‘Cofix’ chain, controlled by ‘Rami Levy’, did not publish to the public the prices of goods sold in its stores. The Court held that the sanction was duly imposed. Israeli law requires a retailer […]

During an NGO board meeting, the CEO was requested to leave the meeting and, in his absence, discussions began regarding termination of his employment due to suspicions of irregularities. At the end of the meeting, it was decided to dismiss him immediately. The Labor Court held that the CEO is entitled to compensation for failure […]

Two companies that operated gyms in Jerusalem ran into financial difficulties and ceased operations. The companies left behind city tax debts (Arnona) in the cumulative amount of about two million shekels and the Jerusalem municipality demanded that the shareholders and company officers pay the debt in person. The Court dismissed the claim and held that […]

Two parties signed a settlement agreement regarding the sale of an apartment in dispute, but each acted to undermine the sale so that finally the apartment was sold at a price lower than the appraisal price. The Court held that the two parties are jointly liable for the damage, as the two had acted in […]

Holder of a put-option to sale its holdings of the Osem company shares demanded an additional ILS 39 million, about 4 years after exercising its option, according to a clause in the option agreement that granted the option holder to choose between three alternatives formulae to calculate the share price, whichever is higher. The Court […]

AB-Inbev, which produces various beer brands (Corona, Beck, Stella, Leff, Budweiser and more), canceled after 30 years a distribution agreement with an Israeli distributor and contended that all legal proceedings between it and the distributor are required to take place in arbitration in Switzerland because in each purchase order is done online and distributors are […]

An Israeli citizen applied for a permit to sail in Israel on a yacht owned by him and registered in the United States of America but was refused because the yacht is not registered in Israel. The Court rejected the motion and held that the vessel should not be allowed to sail in Israel. The […]

The owner of an investigation office and a security company cooperated in a project for a third party but after the initial pilot period only the security company owner continued the project. The Court held that there was no partnership between the parties but a mere cooperation within a business relationship and therefore the owner […]

A man contacted another in an oral agreement to purchase apartments for investment in the United States, but later discovered that such apartments are not inhabitable. The Court ordered that the purchaser be compensated but reduced the compensation due to his contributory fault. Under Israeli law a contract can be oral, unless there is a […]

A couple who purchased, together with their daughter, a plot of land marketed by a realtor published on the realtor’s Facebook page a number of posts that included, among other things, allegations and defamatory statements of “fraud” by the realtor and its broker and warned the public to refrain from any business contact with them. […]

The Siri software device of Apple, incorporated in the US, recorded and collected data even when the user did not request to operate the device, in a manner that violated the user’s privacy, and Apple published a formal apology regarding the incident. The Court held that Israel is the forum of convenience for hearing the […]

Company shareholders decided that part of the investment in the company will be converted into shares, without taking into account the founder’s veto right, even though the company’s articles of association stipulated that the company’s founder has such right regarding such a transaction. The Court held that the decision was unduly taken. The law stipulates […]

A tenders committee selected a bidder, who forgot to attach 11 appendices to its bid, as the winner of the tender and allowed it to complete the missing appendices. The Court held that the decision of the tenders committee was reasonable because these were technical defects that did not violate the principle of equality. Israeli […]

A person traded in shares on an American Stock Exchange through companies which managed their accounts at the British Barclays Bank, and deposited funds in the account, but these were not held separately from the companies’ funds. Eventually, the company ceased operations and filed for liquidation. The Court stroked-out the case against Barclays and held […]

A company did not sign a lease extension in a manner that caused the lessor to lose an opportunity to enter into a lease with a third party. The company was held liable to compensate the lessor for breach of contract, but the lessor sought to also personally obligate the manager who conducted the negotiation. […]

A local authority ordered mapping and measurement services from a contractor by email, but after completing the work refused to pay because no work order was duly signed by the municipality’s authorized signatories. The Court held that the local authority should be required to pay partial compensation to the contractor, who performed work at its […]

Purchasers of apartments in a TAMA 38 project demanded compensation from the contractor after the delivery of the apartments was delayed for several years, while the contractor contended that the delay, at least in part, was due to the Covid19 epidemic and therefore beyond his control. The Court held that the purchasers are entitled to […]

A company that sold store franchises granted a franchisee exclusivity in a particular city. After the company assigned its rights to a new company, a third party was given the right to operate a store in that city and the franchisee demanded compensation for the breach of exclusivity. The Court held that the company assigned […]

Owners of apartments in a condominium attempted to reach understandings to carry out a joint project according to TAMA 38 and signed a cooperation contract stating that the project architectural plans will be attached to the agreement at a later date subject to the agreement of the parties. Once the parties failed to agree on […]

The lawyers partnership provided services to the project where the majority of the payment was deferred until the stage where the project could finance the service, at an interest rate of 18% per annum. After about a year of providing services, the project changed service provider and after about 6 years, one of the partners […]

A person who purchased a product posted on Facebook a complaint about service not provided to him by the seller and contended that the seller preferred other customers over him. The Court rejected most of the claim and held that the post was protected under the “truthful publication” defense. Defamation is something that, objectively, its […]