Mass Tort brief
Defending Borders, Demanding Accountability
Israeli courts restrict international class action jurisdiction while clearing major domestic trials over elder abuse and military benefits.
Mass Tort
Clearing the class action forces major credit card firms to trial — risking massive financial penalties for failing to halt systematic elder exploitation.
BackgroundCredit card processors are legally required to maintain robust fraud monitoring systems to protect vulnerable consumers from deceptive merchants. In this case, aggressive telemarketing firms systematically targeted Israeli seniors, extracting credit details to charge them thousands of shekels for unsolicited products.
- The lawsuit seeks hundreds of millions of shekels, accusing the financial firms of processing transactions they knew were highly suspicious or fraudulent, creating immense balance-sheet risk.
- The Supreme Court's final rejection means the class action is now cleared for trial in the Tel Aviv District Court, exposing the firms to severe financial liabilities.
- The court will utilize expert witnesses and a sample of marketing firms to evaluate whether the credit companies' technical warning capabilities were intentionally ignored, shaping future compliance standards.
Mass Tort
The Lod court's ruling shields global booking platforms from extraterritorial litigation — blocking local lawyers from suing on behalf of foreign consumers.
BackgroundClass action certifications in Israel require plaintiffs to define a cohesive class of affected consumers sharing common legal claims. This underlying litigation accuses global travel platforms of enforcing anticompetitive price parity clauses to keep hotel rates artificially high.
- The court ruled that Israeli class action statutes do not apply to foreign citizens who have not actively submitted to local jurisdiction, narrowing the potential scope of damages.
- The decision prevents plaintiffs from inflating damages claims by attempting to include global consumer classes in domestic courts, preserving local judicial resources.
- The ruling establishes a protective precedent for foreign technology companies operating digital platforms, potentially reducing their regulatory and legal exposure within the Israeli market.
Mass Tort
The lawsuit accuses Colmobil of converting national military benefits into corporate margin — sparking severe reputational risks during a period of peak reservist mobilization.
BackgroundIsrael's Ministry of Defense provides automatic discounts on vehicle registration fees for active IDF reserve soldiers as part of national support benefits. Vehicle importers process these state fees on behalf of buyers during the initial purchase and delivery phase.
- The lawsuit was initiated by an active IDF reservist who discovered he was charged full price despite the importer paying the discounted rate to the state, prompting public anger.
- Colmobil, which imports major brands like Hyundai and Mitsubishi, insists it operates in strict accordance with consumer laws, setting up a high-stakes legal dispute over billing practices.
- The case has drawn widespread public attention as reservists demand corporate transparency regarding state-sponsored military benefits, threatening the importer's local market share and brand reputation.
Mass Tort
Insulet faces escalating legal liabilities over its pump defects — as Israeli institutional investors use class actions to recoup losses from US device manufacturers.
BackgroundInsulet manufactures the Omnipod system, a tubeless, wearable insulin pump widely utilized by diabetic patients to manage their blood sugar levels. Pomerantz LLP operates a Tel Aviv office specializing in representing Israeli institutional investors holding US-listed equities.
- The suit alleges Insulet made misleading statements and failed to disclose flaws in its Omnipod 5, Dash, and Eros pump lines, exposing the firm to federal-level class actions.
- The defects can lead to severe health complications, including diabetic ketoacidosis, due to undetected insulin under-delivery, creating substantial product liability risks and potential bodily injury claims.
- The involvement of Pomerantz's Tel Aviv office highlights growing activism among Israeli institutional funds seeking damages from US-listed healthcare companies, signaling tougher scrutiny for foreign listings.
Unlock the full brief
Sign in to read every signal, takeaway, and source. Free account — Apple, Google, or email.