Archive for the ‘Commercial Topics Related to Doing Business in Israel’ Category

Tips on How to Manage Your Legal Affairs in a Greener Manner

Monday, March 21st, 2011

In this post we provide business owners and executives dealing with attorneys and legal matters, with several tips on how to how to run the legal affairs of the company in a more environmentally-friendly manner.

1. Digital Archiving. Unless originals are required by law (e.g. notes, wills) or may be used as evidence in a formal proceeding, try to replace your paper folders, binders and space-consuming filing cabinets with a well-backed digital archive. A digital archive of scanned documents, saves paper and space while keeping the files available, even when you are out of the office, saving of mail and courier fees.

2. Greener Legal Correspondence. Legal related correspondence often involves lengthy documents, drafts and exhibits. Adopt a green habit by adding a short message to your emails suggesting that the recipient consider the environment before printing out your email and that if he or she does print the email, have the paper recycled.

3. Greener Workplace Practices. Work with firm’s employees on green provisions in the workplace and consider adding such provision to the company’s billboard or event employment handbook. Provision may include a statement of commitment to recycle, save energy and consider the environment before deciding to print.

4. Digital Signatures. Ask your attorney about recent digital signature laws, that allow binding digital execution on legal documents, eliminating the need for printing documents, faxing them or sending them out by regular mail and saving time, paper and energy.

5. Get a “Green Business” Certificate. Local authorities define a green business as one that operates in environmentally-friendly ways by adopting green principles, policies and practices. Each locale has different criteria, which a business must comply with, in order to be acknowledged as green. Having a “green certificate” is great as a marketing tool and may even provide governmental incentives and insurance benefits.

6. Enroll for Green Newsletters. There are several websites that send out periodic lists of green-friendly tips for workplaces and updates on recent business-related environmental rules and regulations on various levels.

7. Take Advantage of Legal Benefits. Talk to your tax attorney, accountant or book-keeper about constantly developing benefits for running a green business. In the US, many business owners participated in the “Cash for Clunkers” program, making their vehicles more environmentally-friendly. Take advantage of other tax incentives and grants.

8. Get a How-to-go-Green Manual. Several organizations have published manuals on how to adapt green habits, what green products are recommended, how to refit your business to be more energy efficient and what legal policies to adopt in your work place.

9. Think Green!

Visit the .

Monday, March 8th, 2010

Posted by: Gadi Ouzan  & Dani Rinot

Considering an investment or acquisition of Israeli company? 

FIRST MOVE: GO STRAIGHT AHEAD TO THE ISRAELI  REGISTRAR OF COMPANIES WEB SITE

If you want to obtain the basic information with respect to your target Israeli company, all you need to do is to browse to the Web Site of the . The Registrar maintains a computerized database which includes files on each Israeli company.

The main details mentioned in the Registrar’s report are the name and registration number of the company, names of the members of the board of directors, names of shareholders and list of all pledges created by the company on its assets.

Although the names of the board members and shareholders as reported to the Registrar are declarative in nature, the list of pledges has a constitutive nature. A pledge created by an Israeli company shall be considered valid vis-à-vis third parties, only upon its registration with the Registrar of Companies.

As a potential buyer of Israeli activity (whether assets owned by an Israeli company or shares of such company), you should review or instruct your advisor to review – not only the file of the target company, but also the files of its shareholders (where such shareholders are corporations). By reviewing the files of the target company you may discover that the potential assets are pledged to a third party by way of a fixed lien or a floating charge.

The search is not completed yet. By reviewing the files of the shareholders (the selling parties) you may find that the shares which are planned to be purchased are pledged to a third party by way of a fixed lien.

If no fixed lien is registered against the purchased shares, one should also ensure that there is no floating charge registered on the assets of the selling party. Under Israeli law, a floating charge usually applies to all assets of the selling party and such charge probably “covers” the purchased shares as well.

Just a reminder – the content of the Web Site and the files are in Hebrew so you should equip yourself with a Hebrew reader …

Is Tel Aviv on the Verge of Becoming Delaware?

Tuesday, February 16th, 2010

Additional comfort for foreign investors – the Israeli legislator is promoting the establishment of an “economic court” to focus on financial cases.

Posted by: Gadi Ouzan  & Dani Rinot

In an effort to improve enforcement of financial related cases in Israel, the Israeli legislator is attempting to establish an “economic court” aimed to address the complexity which very often accompanies cases of this sort. The Government of Israel has recently passed a Bill in first reading, pursuant to which an economic division will be established only within the District Court in Tel Aviv and will handle cases with an economic orientation. The economic division will be comprised of a permanent panel of judges which will preside over such cases, thus allowing them to acquire a sense of proficiency in this field.

Specifically, the “economic court” will focus on civil and criminal cases relating to securities laws, the Companies law, petitions and appeals on decisions of the Tel Aviv Stock Exchange, derivative actions, certain class actions, regulation of financial advisors, civil matters in relation to shareholders’ rights and duties, etc.

Among other reasons, this reform comes as a response to the recent acquittals in several securities cases, in connection to which critics have argued, were the result of the lack of expertise of certain judges in financial matters.

The expectation is that this novel court will create a preeminent proficiency of those judges in financial matters, and thus eventually lead to shortening the duration of judicial procedures, increase the credibility of the judicial system and ultimately enhance market efficiency.  Another aspired outcome is that the perfection of Israeli courts in financial disputes will mitigate some of the concerns of foreign investors from investing in Israel, similar to the affect the Delaware courts had on the State of Delaware turning to a corporate haven.

Although opposition to the establishment of the economic court is growing amongst justice officials, it still remains to be seen what the final legislation will entail and if it will succeed in improving financial enforceability in Israel.