57 This method is commonly used to serve a claim on an international enterprise that does business in Israel through a subsidiary or a permanent local distributor/ agent. Class Actions in Israel Class action lawsuits have become a prevalent phenomenon in Israel, including against foreign international corporations. The legal framework for filing and adjudicating class actions in Israel is outlined in the Class Actions Law, 2006 and the Class Action Regulations, 2010. The Class Actions Law limits the causes of action and matters that can be certified as a class action, listing several class actions that may be certified. Some prominent examples for such class actions are listed below: » Most commonly used of these is any civil cause of action against a business in a matter between that business and a customer, whether derived from contract law (e.g. breach of contract) or torts law (e.g. breach of a statutory duty). » These may include, for example, claims based on the Consumer Protection Law, 1981, such as misleading consumers regarding material aspects of a transaction (e.g. the nature of the asset or service); transaction cancellation terms, etc. » Another prominent cause of action in recent years is unlawful invasion of privacy, especially in cases where personal information regarding customers is collected and stored. Under Israeli law, a class action is adjudicated in two stages: » The certification stage - where the court decides whether to allow the class plaintiff to lead a class action on behalf of the class they claim to represent. » The adjudication of the action itself – which is similar to the adjudication of any other civil claim in Israel. » The certification stage begins with the plaintiff filing a motion to certify the class action. The motion to certify must demonstrate that the claim meets the cumulative conditions required for the court to certify the motion, being that: » The plaintiff has a personal cause of action concerning the subject of the motion. » The class action raises material questions of law or fact that are common to all the members of the putative class. » There is a reasonable chance that said mutual questions will be decided in favor of the putative class in the adjudication of the claim. » A class action is the fair and effective mechanism for resolving the dispute. » There is a reasonable basis to assume that the class plaintiff will duly and properly represent the interests of the represented class. » There is a reasonable basis to assume that the interests of all class members will be represented and managed in good faith. The respondents are entitled to respond to the motion to certify, and the class plaintiff is then entitled to reply to the respondents’ response. Following the parties’ submissions, the court will usually set a preliminary hearing, for the purpose of simplifying and expediting the adjudication of the motion to certify, or to explore the option of resolving dispute through a settlement. At times, the court might propose that the parties turn to mediation. Should mediation or the preliminary hearing not be fruitful, the court will usually schedule evidentiary hearings, wherein the affiants (and experts who submitted expert opinion) on behalf of both parties are subjected to cross-examination (unless the parties agree to forgo cross-examinations). The evidentiary hearings are typically followed by written summations, following which the court decides whether to certify the class action. If the motion to certify is granted, the court will include in its decision the legal and factual questions that will be adjudicated, and the definition of the class to be represented by the plaintiff. In general, the decision to certify a class action can be ISRAEL — LITIGATION
RkJQdWJsaXNoZXIy MjgzNzA=