Legal Updates

An employment agreement drafted solely by the employer will be interpreted under the Contra proferentem (interpretation against the draftsman) rule

January 17, 2022

An agreement between an employee and his employer, drafted by the employer, stipulated that if the employee's employment is terminated by his employer in the first year, the employee will be entitled to a grant of ILS 30,000. The employee was terminated after 5 months.

The Court held that the employer must pay the employee the full grant. The law stipulates the Contra proferentem rule, according to which in the event of an interpretive doubt, priority will be given to an interpretation that imposes liability on the drafter of the contract. Here, the employment agreement was drafted by the employer and explicitly stated that if the employer decides to terminate the employee's employment in the first year, a grant of ILS 30,000 will be given to the employee. Therefore, the employer must pay the employee the amount of the grant.