Legal Updates

A verdict that was not endeavored to be enforced within 13 months will not bear interest beyond the interest set by law

April 7, 2016
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An amendment to the Israeli Execution Law states that as of April, 2016, in case a verdict or a note were not submitted for enforcement, after the first anniversary of the date such could have been submitted for collection (30 days after a date of a verdict or the date set in the note) it shall not bear interest beyond the lower of the interest set in the agreement between the parties and the interest rate set by law. This amendment is intended to prevent the phenomenon of creditors waiting for the contract interest to accumulate before commencing enforcement proceedings.