All guides: page 5 of 9
Page 5 of 9 of the guide index. This page is mainly about commercial contracts, class actions and consumer claims; each guide states the legislation it relies on, with a link to the text of the law at the source.
Frustration of contract: the cumulative conditions section 18 requires
Section 18 is a defense and not a cause of action: it bars only enforcement and damages, and does not bar cancellation or restitution. The conditions are cumulative, and the unforeseeability bar is…
Read more Commercial contractsContract interpretation: the rules the court applies
A business contract made from 7 January 2026 is interpreted by its wording alone, and other contracts by the parties’ intention; ambiguity is read against the drafter. When…
Read more Commercial contractsAssignment of rights and assignment of obligations: what really requires consent
You can transfer a right without the debtor’s consent, but transfer an obligation only with the creditor’s consent. And the point that brings deals down: assigning an obligation releases a guarantee or…
Read more Commercial contractsRescission of a contract: when it is allowed and how to do it properly
Rescission is allowed on a fundamental breach or under a rescission clause in the contract, and rescinding without a basis makes you the party in breach. What a cancellation notice must include, and what…
Read more Commercial contractsThe duty of good faith in contracts: principles and case law
Using a contractual right arbitrarily, hiding material information and frustrating performance are a breach, even without a breach of a written clause. The three common breaches,…
Read more Commercial contractsConvertible notes and SAFEs: a legal guide
A convertible note is debt with interest and a maturity date; a SAFE is an undertaking to issue shares with no debt component. What the conversion terms set, and what to check…
Read more Commercial contractsDistribution agreements: what governs termination and notice
Israel has no distribution law and no statutory duty of advance notice: what governs is the contract, and above it the duty of good faith, which also applies to exercising a right…
Read more Commercial contractsEscrow agreements: uses and terms
An escrow agent holds money or an asset until the conditions are met, and the clause that decides everything is the release condition. “When the deal is completed” is wording that invites a dispute;…
Read more Commercial contractsFranchise agreements: what Israeli law really provides
Israel has no disclosure duty in franchising and no statutory waiting period. What it does have: good faith in negotiations, a ban on false description between dealers, and what…
Read more Other proceedings and topicsSubrogation in insurance: when the insurance company sues in your name
After the insurer has paid, it steps into your shoes and sues whoever is responsible for the damage. So a voluntary waiver toward the person who caused the damage may bring you back into the claim, and also…
Read more Commercial contractsAn international contract: governing law, jurisdiction and the CISG
Without a governing-law clause, a sale of goods between businesses from different countries is automatically subject to the CISG, to which Israel is a party. How to choose a forum, and what to write…
Read more Commercial contractsBusiness cooperation agreement and joint venture (JV): what it must include
A business cooperation or joint venture agreement: which structure to choose, who is liable for the debts, who owns the intellectual property, and how to exit without ending up in court…
Read more Commercial contractsLetter of intent: is it legally binding
A letter of intent is binding only if it shows an intention to be bound and certainty, and even when it says “non-binding”, the duty of good faith in negotiations applies. What to check before signing…
Read more Commercial contractsLimitation of liability in a contract: what works, what does not — and how not to get it wrong
Such a clause saves exposure, but only if it is drafted correctly and not as a blanket exemption. What can never be limited, what is different in a contract with a consumer, and how…
Read more Commercial contractsOral contract: is it valid in Israel?
An oral agreement is binding in most cases, except for exceptions such as land transactions, which require writing. The problem is proof: which evidence holds up when there is no…
Read more Commercial contractsLiquidated damages clauses: validity and enforcement
The clause is valid without proof of damage, but the court may reduce an amount set without any reasonable relation to the foreseeable damage. What to check when you are asked to pay…
Read more Commercial contractsService level agreement (SLA): what to check before signing, and how to enforce a breach
Most SLAs were written by the supplier and are drafted in its favor. What 99.9% availability really means, how a breach is measured, what Service Credits are, and where…
Read more Commercial contractsLimitations of liability and disclaimers: legal drafting
In a standard-form contract, an exemption from liability for bodily injury or a malicious act is void, and an exemption from liability under the law is presumed unfair. What else limits exemption clauses, and what…
Read more Commercial contractsDrag-along and tag-along: the drag right and the join right in a shareholders’ agreement
Drag Along and Tag Along are clauses in the articles of association or in a shareholders’ agreement. What the Companies Law provides on a forced sale, the articles as a contract, and good faith…
Read more Class actions and consumer claimsPassenger rights at the airport: delays and cancellations
The Aviation Services Law gives you cash compensation, meals, lodging and a replacement flight, depending on the length of the delay. What you are owed hour by hour, and when the airline…
Read more Class actions and consumer claimsThe Spam Law: compensation without proof of damage for each message in a personal claim, and what is possible in a class action
Section 30A of the Communications Law: in a personal claim, exemplary damages of up to NIS 1,000 for each message. In a class action, exemplary damages are not awarded (section 20(e)).
Read more Class actions and consumer claimsA cheque bounced — what do you do now?
The back of the cheque, with the reason for the refusal, is the main evidence in a claim, and 10 cheques refused within 12 months make the account restricted. When canceling a cheque…
Read more Class actions and consumer claimsDefending against class actions: strategies
If the class is not certified, the proceeding is closed, so the defense focuses on the certification stage. Attacking the representation, the absence of uniform damage, questions that are not common, and when…
Read moreThe information in the guides is general information and is not legal advice. Translated: · Hebrew version updated: .
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