Legal Updates

A motion to certify a class action relying solely on a criminal indictment may be summarily dismissed

September 28, 2025
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A motion to certify a class action was filed against supermarket chains, alleging they were parties to restrictive arrangements intended to harm competition and raise prices.  The motion relied solely on an indictment filed by the Israeli Competition Authority.

The Court summarily dismissed the motion to certify the class action.  Summary dismissal of a claim is granted only in rare cases where it is clear the claim has no chance of succeeding, even assuming the plaintiff proves all allegations.  The mere filing of an indictment does not meet the required evidentiary threshold, not even the minimum, for certifying a class action.  Only a determination by the Competition Commissioner regarding a restrictive arrangement or a final convicting judgment can serve as prima facie evidence in a civil proceeding.  Here, the certification motion was based solely on the indictment, without any additional evidence to support the claims of restrictive arrangements.  Therefore, the motion to certify the class action was summarily dismissed.