Legal Updates

Discounting user fees for an age group for legitimate reasons is not deemed a prohibited discrimination

December 20, 2023
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The operator of the dating app 'Tinder' gave a discount to young users up to the age of 29.

The Court rejected the motion for approval of a class action and found that setting a discounted rate for certain age groups does not constitute a prohibited discrimination when such has a legitimate and proper grounds. Israeli law sets, inter alia, that providers of a public product or service or operators of a public place, will not discriminate in the provision of the public product or service, including discrimination due to age. The purpose of the law is to prohibit discrimination manifested in the refusal to provide a service to a person, or preventing such from entering a public place due to belonging to a certain group. Providing better terms to a certain group may also be deemed a prohibited discrimination. Discrimination will also be when it harms a person's dignity or creates a negative stigma towards the discriminated group. A distinction that has a legitimate and appropriate purpose for economic or social reasons is not deemed discrimination. Here, the basic app services were made available to the public free of charge. The age distinction was made only in relation to the premium service and was due to the operator’s consideration of the financial difficulties of young people. Granting favorable conditions by way of a "discount" under these circumstances is not offensive and does not carry a negative charge and therefore does not amount to prohibited discrimination. Thus the motion for a class action was rejected.