Legal Updates

An illegal imposition of a lien on a bank account is defamation

July 27, 2016
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The Tel-Aviv Municipality imposed a lien on the business bank account of a lawyer due to a city tax debt of the spouse of the lawyer. The municipality registered the lawyer as the holder of the property based on the fact that she is married to the holder and property owner and without showing any legal source that enables the municipality to do so. Consequently, the Court held that the registration of the lawyer was illegal and hence the lien was not imposed by law. In view of the above, the imposition of the lien on the account was defamation in light of the case law that sets that imposition of a lien on a bank account of a person is damaging the reputation and it is sufficient that the bank officials were exposed to the lien in order to present such person as one who is evades payments.

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