When a number of consumers, employees, or users join to form a class of plaintiffs, this poses a potential threat to the defendant organization. Collective legal action also often entails business and public image considerations. An organization or government agency, when sued, will recruit the best legal minds and public relations experts to have the claim rejected, to prove that it does not meet the criteria for approval of a class action, or to fight it in both the media and the court. Therefore, the representatives of groups of wronged individuals must be prepared for both the scale and the complexities of such legal action, as well as the methods of operation and disproportional strength of the defendant organization.
Class actions in Israel.
Class actions in Israel are indeed exempt from court fees, however filing them unprofessionally involves a real financial risk, The number of class actions filed in Israel is constantly rising, and in an attempt to reduce the number of claims filed in Israel, courts started (since 2011) to charge claimants with payment of defendants’ legal costs. The vast majority of claims are dismissed as early as the preliminary discussion phase. The court’s rationale is usually the lack of factual or legal basis, negligent preparation of the claim, or lack of clear public/class interest in the claim. Such cases, together with surprising successes, receive extensive media coverage:
A class action against Delek ended with a 6.9 million NIS settlement.
Global class action against Facebook: violated users’ privacy.
Bank Leumi to pay tens of millions of NIS in a class action.
Yaron Zelicha filed a 500 million NIS class action against Tnuva.
(For more examples, see our blog.)
Our firm’s services in the class actions field are:
Authority Overcharges, Antitrust & Securities, Negligence involved of Service providers, Retail, Banking & Insurance.
Willing to speak up on behalf of a group of victims? You are not alone. ES, Eli Shimony Attorney-at-law, will help you determine whether the preconditions are met for a class action in Israel. Afterward, we will assess the action’s chances of success (and the risks) for you. If we decide to take the case, we will carry out preliminary research and draft and file with the court our letter of claim. Usually, the success of the plaintiff class in court is the principle that guides us in deciding whether to settle or manage the case through to its conclusion.
Eli Shimony – Israeli law firm represents clients on all legal matters in Israel. For any questions please contact us and we will be happy to assist.
By email: [email protected], By phone: +972-52-2769773, +972-3-5507155.
The above is only general information and does not replace legal advice which is usually necessary before taking legal proceedings.