Blog / Enforcement
Board members looking to protect themselves from lawsuits pertaining to the proper fulfillment of their duties must fully understand the three principles of the business judgment rule. Because what is true in Delaware is also true in Israel.
Corruption crimes and other economic offenses are being tackled more stringently in the global arena, but it appears the Israeli government’s wave of legislation could catapult it outside the global trend, and thus subject Israeli entities and individuals to international enforcement.
2022 saw significant regulatory developments in the field of privacy protection in Israel and throughout the world. These developments directly affect companies whose business activities in Israel and internationally involve the collection and processing of personal information.
This article summarizes the regulatory developments imposed on financial service providers, including of non-bank credit and financial asset services, and the key measures companies engaging in this sector should take in preparation for 2023.
While the Israeli Securities Law obligates public companies to report their activities fully and transparently, the Israeli Competition Authority may prosecute them precisely for doing so.
The prospectus has four key objectives: to give investors information so that they make rational investment decisions; to deter the company and its executives from inappropriate behavior; to encourage public trust in the capital market; and to increase efficiency in the securities market.
By October, companies in the European Union employing at least 50 employees will be required to operate an internal reporting system for reporting misconduct that may indicate compliance violations. Furthermore, all companies in the EU, regardless of size, will be required to ensure the protection of whistleblowers from all types of retaliation. The EU Whistleblower Protection Directive originally came into force in October 2019. It gave EU member states two years to prepare to incorporate the directive into their national legislation. Prior to the enactment of the directive, no uniform binding legislation applied to all EU member states and only 10 member states had enacted national legislation in this regard. The upcoming inception of national whistleblower protection laws throughout the EU will naturally trigger a ripple effect.