Insights & News / Avinadav  Preuss

Our firm represented a CFO who previously served at one of the largest construction companies in the country in a lawsuit filed with the Tel Aviv District Court (Economics Department). The lawsuit was initiated by the trustee appointed to the company as part of an insolvency proceeding.

The CFO, who served for only a few months at the company, was one of dozens of defendants, including board members, members of management, controlling owners, and auditors, all of whom were held jointly and severally liable for damages allegedly amounting to approximately ILS 500 million due to the company’s collapse and subsequent insolvency proceedings.

Despite the lawsuit raising several factual and legal claims against the CFO, we took the unusual step of filing a motion to dismiss the lawsuit outright on behalf of the CFO, before even submitting a statement of defense. The grounds for this motion included lack of cause and lack of standing. Following discussions with the trustee, an agreement was reached to remove the CFO from the lawsuit. As a result, the CFO was not held personally responsible for any of the alleged damages, with collective responsibility being attributed to all remaining defendants.

After filing a lawsuit against Netflix, Eshkolot, the Company for the Performing Rights of Israeli Artists continues to fight companies that use protected performances for commercial purposes without obtaining the artists’ consent and without paying them royalties. Last week, with our counsel, Eshkolot filed another lawsuit on the same issue against Stream IL Communication Ltd and the American company Stream IL Inc., which operate the website Screen iL.
Eyal Nachshon, Avinadav Preuss, and Naama Ben Arosh Moshe prepared the statement of claim.