Legal Updates

‎‎‎‎‎‎‎‎ A Chinese judgment may be enforced in Israel despite the lack of a treaty to that end

August 14, 2017

An Israeli citizen and a Chinese company signed an agreement that was terminated. Later, the Chinese company filed a claim in China against the Israeli - in which a verdict was given against the Israeli. The Chinese company sought to enforce the verdict in Israel.

The Supreme Court held that in order for a verdict given outside of Israel to be enforced in Israel one need show existence of the "reciprocity requirement," meaning that both countries signed an international treaty for the enforcement of verdicts or that the country in which the verdict was given enforces Israeli verdicts.  China is not a party to the international treaty for enforcement of foreign verdicts but the Chinese law enables enforcement of foreign verdicts and it was not shown that there is a clear judicial trend in China not to enforce verdicts from countries with which China has no international treaty. In view of the aforesaid and out of desire to encourage mutual assistance between foreign legal systems, the Court enabled enforcement in Israel of the Chinese verdict.