Class Action Turbulence for EL AL – Allegations of Price Gouging
Pearl Cohen Zedek Latzer Baratz has filed a class action lawsuit on behalf of Adv. Ilan Verdanikov against EL AL Airlines Company, Israel’s national carrier, accusing it of exploiting its temporary monopoly during the Iron Swords War to sharply increase ticket prices.
The legal team, led by Dr. Tal Rotman and Adv. Adi Citron, argues that EL AL leveraged a situation created by national emergency—not free market conditions—to generate extraordinary profits, resulting in estimated public damages of nearly USD 600 million by the end of Q1 2024.
The lawsuit references expert economic analysis by Prof. David Gilo, former Israeli Commissioner of Competition, who supports the claim that EL AL’s conduct violated antitrust principles. In 2024, EL AL posted record profits, surpassing its total cumulative net earnings from the past 15 years. The case, now pending, is expected to serve as a key precedent in Israeli competition law.
