As 2025 comes to a close and the new year begins, we have compiled the key legal developments affecting the Israeli business sector across multiple practice areas, together with practical recommendations for implementation ahead of corporate activity in 2026. The review is designed to provide an up-to-date overview and actionable guidance for informed legal planning in the year ahead.
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Insights & News / Gal Livshits
Bizportal | Business Disputes Within Families: Why Identifying the Source Matters
Identifying the underlying cause of a business dispute between family members early on can save time, reduce costs, and avoid unnecessary litigation. In an article published on Bizportal, Adv. Gal Livshits, a partner in our Litigation Department, explains how to distinguish a standalone business dispute from one rooted in a breakdown in family relationships, and outlines what to consider before filing a claim.
Categories:
Litigation
Cardiology Association Petition Leads to Reconsideration of Budget Cuts
We are proud to represent the Israel Heart Society in a High Court petition challenging budget cuts that could have affected the availability and quality of public cardiology services, particularly life-saving catheterization procedures. Following the petition filed by Adv. Gal Livshits and Adv. Yoav Schmidt of our firm, the Israeli government announced that it would defer a substantial portion of the cuts, reassess the pricing implications, and provide additional funding for afternoon catheterization services.
Categories:
Litigation
Bizportal: How Is Artificial Intelligence Transforming the Legal Profession?
Adv. Gal Livshits of our firm was interviewed by Bizportal about the impact of artificial intelligence on the legal profession. She discussed how AI is transforming litigation management, information analysis, recruitment, and legal decision-making, while also highlighting the risks of overreliance on AI tools, including the potential impact on critical thinking. She further explained why, in an increasingly technology-driven legal landscape, human judgment, creativity, and critical thinking are more important than ever.
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Litigation
Podcast: The Most Critical Clause in a Contract That People Unfortunately Skip Over
The ACC on the Road podcast hosted Adv. Gal Livshits from our firm for a focused discussion on one of the most important issues facing in-house counsel: how to draft dispute resolution clauses in company agreements as a strategic tool that protects the company's business interests when a dispute arises, rather than treating them as just another "technical" provision in the agreement.
Categories:
Litigation
Bizportal: The Impact of Judicial Delays on Business Operations
Have You Been Using AI Without Verifying? It Could Cost You ILS 30,000
Israel’s Supreme Court is stepping up its efforts to address AI-generated hallucinations, and recently ordered the Ramat Gan Municipality to pay exceptional court expenses of ILS 30,000. This is due to the municipality’s reliance on fictitious case law and a non-existent Ministry of Education Director-General circular, in a way that violated a special education child’s right to transportation to his school.
Israeli Supreme Court Steps Up Sanctions for Unchecked Use of AI Products in Court Pleadings
Amidst the growing use of artificial intelligence, 2025 was marked by a series of rulings in which courts sharply criticized references to erroneous sources in pleadings - a byproduct of unchecked and unverified use of AI tools.
2025 Year-End Review: Litigation in Israel
2025 offered numerous examples of how Israeli case law continues to grapple with evolving legal and technological challenges. Fundamental legal questions arose regarding the ubiquitous use of artificial intelligence in the business and public spheres. Because these issues have not yet been regulated through legislation, the courts were called upon to resolve them by interpreting and applying existing laws.
A Revolution in Israeli Contract Interpretation? Not Quite
The latest amendment to the Contracts Law does not overturn Supreme Court rulings nor does it dramatically change contract interpretation. Rather, it anchors in legislation the trend in Supreme Court case law of differentiating between business contracts and other types of contracts, while increasing certainty and stability in the business world.
Contract Law Amendment – Revolution or Just Noise?
Adv. Gal Livshits explains in an interview with TheMarker that the recent amendment to Israeli contract law is not revolutionary, but reinforces the distinction between business and other contracts, allowing parties to set interpretive rules while emphasizing the importance of precise drafting and professional legal guidance.
Barnea: Representation in Inheritance Dispute Concerning Rights in Two Luxury Properties
The court accepted our position and dismissed a claim in which our client’s sister sought half the rights in a real estate asset worth millions of shekels inherited from their grandfather and registered solely in our client’s name. The plaintiff failed to present a clear cause of action and was ordered to pay ILS 100,000 in legal costs. The case was handled by Adv. Zohar Lande, Adv. Gal Livshits, and Adv. Maor Gariany.
Categories:
Litigation
2025 Legal Year in Review: Key Business Updates and 2026 Outlook
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Corporate
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Employment
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High Tech
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Litigation
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Privacy Law
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Real Estate
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Real Estate Taxation
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Regulation
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Tax
Adv. Gal Livshits in Globes: AI and Copyright – Redefining Legal Boundaries
As artificial intelligence continues to advance faster than regulation, courts are striving to keep pace. In the United States, major lawsuits against leading AI companies are reshaping the boundaries of law and creativity in the AI era. Adv. Gal Livshits from our firm was interviewed by Globes about AI model training and fair use, as well as the legal implications of collecting and reproducing copyrighted works without authorization through artificial intelligence.
Explaining the Israeli Supreme Court’s Ruling on Contractor Delays in Delivering Apartment to Buyers
Israeli economic newspapers have recently published headlines claiming that “the Supreme Court dismissed a petition for exemptions from paying compensation for delays in apartment deliveries due to the war” and that “the war does not constitute a justified reason for delaying apartment deliveries.”
Regulatory Relief Measures in Light of the State of Emergency in Israel
Upon the launch of Operation Rising Lion last Friday, the Minister of Defense declared a special national state of emergency in conformity with the Civil Defense Law, 1951. On Sunday, the government extended the state of emergency until June 30, 2025.
Can ChatGPT Be Sued in Israel? Israeli Court Issues Its Ruling
The District Court in Israel recently ruled that it has jurisdiction to adjudicate a class action filed against OpenAI, the creator of ChatGPT.
Impact of the Swords of Iron War on Apartment Deliveries
The ongoing Swords of Iron War has severely disrupted the construction sector, including severe manpower shortages and intermittent construction site closures, resulting in delayed apartment delivery dates across numerous projects. Legal Framework Governing Apartment Delivery Delays The Sale Law (Apartments) of 1974 adopts a paternalistic approach to protect apartment buyers. Its provisions are cogent, […]
Following the Supreme Court's Recent Ruling: What Do You Need to Know About a Mutual Will?
Adv. Liat Keisary, head of the firm's Private Client Department, and Adv. Gal Livshits, a partner in the Litigation Department who represents high-net-worth clients in inheritance disputes, were interviewed by Calcalist following a recent Supreme Court ruling regarding mutual wills.
New Supreme Court Ruling on Changes to a Mutual Will After Spouse’s Death
A new Supreme Court ruling overturns lower courts’ rulings and regulates the application of the “successive heirs” provision of the Succession Law, in instances when a surviving spouse who inherited property by virtue of a mutual will changes his/her will after the spouse’s death.
Unregulated Trust Mechanisms
We tend to think of a “trust” as a regulated contractual mechanism that people create through an agreement, a letter of authorization to a trustee etc. But is it possible to become part of a trust arrangement without it being formally regulated? The (perhaps surprising) answer is unequivocally “yes.”
Informal Agreements or a Binding Contract?
A new Israeli Supreme Court ruling redraws the boundaries for recognizing agreements and signals that informal agreements may also be legally binding.
Barnea: Representing Gencell in ILS 16 Million Lawsuit
Adv. Gal Livshits, Adv. Yatir Madar, and Adv. Liron Dahan from our firm’s Litigation Department are representing Gencell in an ILS 16 million lawsuit against the car importer EV Motors, as well as Holon Motors. The claim alleges the defendants owe Gencell ILS 4.5 million for systems and equipment they purchased but did not pay for.
Categories:
Litigation
Does the Proposed Amendment to the Israeli Contract Law Change the Aprofim Ruling?
Contrary to the headlines, a careful examination of the amendment shows it is anchored in Supreme Court case law, and that it creates greater certainty with regard to contract interpretations in the business sector.
Amendments to the Israeli Succession Law
Amendments to the Israeli Succession Law have recently come into effect that expand the authority of the Succession Registrar, reduce the number of matters transferred to the Family Court, and limit instances of the Custodian General’s supervision over estate executors.
Barnea Represents Billionaire in Dispute with Former Son-in-Law
A tumultuous seven-year family dispute concluded with a ruling by Israel's Supreme Court in favor of our client. The Court held that funds our client had allocated for the benefit of his daughter, which were managed by his former son-in-law through various investments, were intended to be held in trust and were not a gift, as the former son-in-law had claimed.
The Supreme Court ordered the appointment of a trustee to manage the trust in accordance with its objectives and directed the former son-in-law to return the funds to the trust. The trustee is authorized to take all actions necessary to recover the trust's assets, including funds allegedly misappropriated by the former son-in-law. The Court also ordered him to pay our client's legal fees and expenses totaling ILS 1.25 million.
Adv. Zohar Lande, Adv. Gal Livshits, Adv. Adi Shoham, Adv. Zohar Haim Levinger, and Adv. Liron Dahan represented our client in this matter.
Doing Business in Israel: Jurisdiction and Arbitration Stipulations
Jurisdiction and arbitration stipulations in contracts have a decisive impact on the forum that will adjudicate a lawsuit. The legal system in Israel tends to honor contract stipulations regarding foreign jurisdiction if they are unique and explicit.
Israeli Consumers Can Sue Global Corporations Pursuant to Israeli Law Even if Agreement Determines Otherwise
This significant ruling enables small businesses to sue global mega corporations according to Israeli law.
Victory in Lawsuit against Shavei Israel NPO
The Tel Aviv District Court ruled the non-profit organization Shavei Israel had operated improperly for two decades in reporting to the Registrar of Associations that Sarah Green was a member of the organization. Green’s ex-husband, the founder of the nonprofit, was apparently falsifying her signature on documents submitted to the Registrar. Green was represented by Adv. Zohar Lande, Adv. Gal Livshits, Adv. Zohar Haim Levinger, and Adv. Naama Ben Arosh Moshe.
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Litigation
Supreme Court Reverses Decision to Shorten Pfizer’s Viagra Patent Period
Two patents protected Pfizer’s Viagra medication in Israel. When one expired, the district court ruled the second had as well. The Supreme Court, however, determined otherwise.
Product Descriptions Are Also Copyright Protected
The Bat Yam Magistrate’s Court recently deliberated on the question of whether a product description is protected by copyright. The court ruled that a marketing text constitutes a copyrighted work, even if it includes a technical description of a product.
I Shared Someone Else’s Photo on Instagram. Did I Commit Copyright Infringement?
Sharing images on Instagram and other social network platforms is such a common practice that we do it without hardly even thinking about it. But we must be aware that sharing a piece of creative content (picture, text, etc.) has implications in terms of copyright laws.
To Tag or Not to Tag: Delta Wins Suit over Sharing Customer's Photo on Instagram
An Israeli magistrates' court recently discussed the issue of copyright infringement regarding the use of a tagged photo on Instagram. According to Adv. Gal Livshits, a firm partner interviewed by Israel Hayom on the subject, "Sharing a picture of others on social media is so common we do it often without even thinking, but we must be aware that sharing a piece of content (picture, text, etc.) has consequences."
International Commercial Arbitration Bill
The commercial business world is a global one, and so are the disputes that arise within it. Such disputes are adjudicated in courts in various countries or in arbitration proceedings, with each procedure regulated under relevant domestic legislation. (For example, the Israeli Arbitration Law regulates Israeli arbitration proceedings.)
Precedent-Setting Ruling Awards Actual Litigation Costs
An Israeli court recently handed down a precedent-setting ruling in a case we litigated and won. This ruling marks a game changer in terms of the costs awarded in proceedings in Israel. In its ruling, the court granted our client an award of actual costs (i.e., the actual sums the client expended to litigate the proceeding).
Landmark Ruling on Court Expenses
In a landmark ruling, a family court ordered the losing side in a family dispute to pay the winning side attorney's fees and court expenses in the extraordinary and unprecedented amount of ILS 2 million. This ruling indicates a sweeping change in the Israeli legal world, following new regulations that came into effect in January 2021.
Administrative Appeal to Cancel Land Grant
Last April, the Israel Land Authority allocated a 34-acre plot in Ashdod to Maxima, a company controlled by billionaire George Horesh, without a tender. Three private landowners with factories nearby petitioned to overturn the allocation. Adv. Zohar Lande, Adv. Gal Livshits, and Adv. Adi Shoham represented the petitioners.
Is Your Business Ready for the Day After COVID-19?
After the coronavirus crisis passes, numerous legal disputes are likely to arise, since many companies will fail to meet their contractual-business obligations. It is recommended for each company to prepare also for the legal disputes in which it can expect to find itself.
Majdi Halabi Affair: The State Is Not Above the Law
Adv. Gal Livshits, a partner in our Litigation Department, published an op-ed in Calcalist on the Israeli government's attempt to evade payment of a reward to the finders of the body of missing soldier Majdi Halabi following the Supreme Court's ruling that it is obligated to pay.
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Litigation
The Difference between a Distributor and an Agent in the Law's Eyes
Do you sell, market, or distribute someone else’s goods in Israel? Your role, whether as a distributor or as an agent, affects the rights you are entitled to by law.
Legislative Amendment Enables Filing Claims against Foreign Entities in Israel
A recently promulgated memorandum of law to amend judicial procedures proposes to add the possibility of filing claims against foreign entities in Israel for damage they caused in Israel as a result of acts or omissions performed outside of Israel.
All You Need to Know about Receiving Brokerage Fees in a Transaction
Here are a few rules of thumb to make it easier for you to receive the brokerage fee payment and to make it harder for your clients to evade such payment.
Foreclosure Imposed on Arena Star Group Ltd.
Roni Mana, represented by Adv. Zohar Lande and Adv. Gal Livshits of Barnea’s Litigation Department, asked the court to order Arena Star Group Ltd. to pay brokerage fees in connection with the sale of the Arena Mall in Herzliya. Today, the Tel Aviv District Court granted Mana’s application for a temporary attachment of the proceeds received by the company from the sale.
Barnea Represents Roni Mana and His Real Estate Agency
Adv. Zohar Lande and Adv. Gal Livshits of Barnea’s Litigation Department are representing real estate agent Roni Mana and his agency in a lawsuit filed with the Tel Aviv District Court against Arena Star Group Ltd., controlled by Marcus Weber, and its CEO, Michael Fuchs. The lawsuit concerns unpaid brokerage fees totaling ILS 5.88 million.
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Litigation
David's Geller Claim Against Yitzchak Omer Dismissed
As previously reported, Geller filed a lawsuit alleging fraud involving nearly ILS 70 million. Although the District Court dismissed the principal fraud claim, it ordered Omer to pay Geller several million shekels, finding that the funds had been advanced as a loan. Both parties appealed to the Supreme Court, which dismissed Geller’s appeal in full, allowed Omer’s appeal and referred the case back to the District Court. This week, after nine years of litigation, the District Court dismissed the action in its entirety, accepting Omer’s argument that the funds had been transferred as part of a share purchase transaction. The Court ruled that, in these circumstances, Omer was required neither to repay the funds nor to transfer any shares.
Tel Aviv District Court Dismisses Claim Against Har-Gil Family
Adv. Zohar Lande and Adv. Gal Livshits represented the Har-Gil family in an ILS 13 million lawsuit brought by real estate company Malibu. The dispute concerned payments allegedly owed by the family in connection with a plot of land they owned and Malibu developed. The Tel Aviv District Court dismissed the claim with prejudice.
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Litigation
Barnea Represents Haim Levy
The growing trend of Israelis operating investment companies abroad can give rise to business disputes. Adv. Zohar Lande and Adv. Gal Livshits of Barnea represent Mr. Haim Levy, known for his book “Real Estate in Jeans,” in a million-dollar lawsuit against two of his business partners who founded a real estate company in the United States.
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Litigation
Supreme Court: A Foreign Company Can Be Liquidated in Israel
In a precedent-setting ruling, the Supreme Court held that a foreign company can be liquidated in Israel. Commenting on the decision, Adv. Zohar Lande said: “The Supreme Court has extended the existing boundaries of the application of Israeli liquidation law to foreign companies.”
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Litigation
Barnea Represents Eight Defendants in Case Relating to High-Profile Real Estate Project
After seven years of litigation, Adv. Zohar Lande and Adv. Gal Livshits successfully defeated an ILS 10 million claim filed by Shragai and Sons Ltd, a contractor, relating to the high-profile Telzstone development near Jerusalem. The court dismissed the claim with costs awarded against the plaintiff.
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Litigation
Barnea Represents IN SPI AIR
Yesterday, the Tel Aviv District Court dismissed an ILS 67 million claim brought by Canadian businessman David Geller against LR Group and the startup IN SPI AIR. Adv. Zohar Lande and Adv. Gal Livshits represents IN SPI AIR
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Litigation