A foreign company filing a claim in Israel will usually be required to deposit a security for the costs of the defendant

A Russian citizen, a Russian company and an American citizen filed a lawsuit in Israel and the defendants demanded that they deposit a security for the costs of the defendants as a condition of holding the proceeding.
The Court rejected the request for deposit. When the claimant lives outside of Israel and does not have any assets in Israel, this may constitute grounds for requiring a deposit for expenses. The Convention of 1 March 1954 on civil procedure that Israel joined in 1968, stipulates that a claimant who is a citizen of one of the convention states and whose seat is in one of such will not be required to deposit a security just for being foreigner without residence in Israel, but this is not an exemption from deposit but merely a stipulation that this will not constitute a sole cause of ordering deposit of security. Unlike the case of a personal plaintiff, when it comes to a corporate claimant a deposit of security is the default unless the corporation can show financial strength. Here the documents showing financial strength were presented and the plaintiffs were therefore not ordered to deposit a security for costs.