News

| Noam Ronen
March 25th, 2018

Gornitzky successfully represented Israel Railways in an appeal filed to the Supreme Court regarding a class action approved against it.

Gornitzky successfully represented Israel Railways in an appeal filed to the Supreme Court over a ruling by the Jerusalem District Court, which approved a class action concerning the liability of Israel Railways as a holder of a public place, in accordance with the Prevention of Smoking in Public Places and Exposure to Smoking Law. Following oral arguments heard before the Supreme Court panel led by the Honorable Justice Amit, the panel recommended that the ruling be overturned, including the assertions made regarding Israel Railways' responsibility, and that the company's interpretation regarding the scope of its liabilities towards taking reasonable measures in order to prevent smoking on platforms, from here on after will be adopted. Compensation of the public using the Fund for Financing Class Actions, as well as attorney fees adjudicated by the District Court, totaling approximately NIS 7 million, will be reduced by a third.

Israel Railways was represented by Partner Noam Ronen and Associate Daniel Barlev.

February 20th, 2018

Gornitzky represented Osem Investments Ltd. in a motion to approve a class action filed against it, in the amount of NIS 1 Billion.

Gornitzky represented Osem Investments Ltd. in a motion to approve a class action filed against it (along with Strauss Group), in the amount of NIS 1,020,000,000. In the motion, the plaintiff claimed that Osem had misled consumers to believe that its 'Kosher' chicken seasoning soup and its 'Kosher L'Mehadrin' chicken seasoning soup contained the same nutritional value, while in fact, the 'Kosher L'Mehadrin' seasoning soup was of poorer nutritional value. The plaintiff argued that Osem’s misconduct led, inter alia, to violation of the Israeli Consumer Protection Law 5741-1981.

 

Osem disputed the claims in the motion, and maintained that its 'Kosher' line of products is separate and distinct from the standard 'Kosher L’Mehadrin' line of seasoning soups, not only due to the level of compliance with Kashrut, but also with regard to the products' ingredients, with the 'Kosher' line of seasoning soups being produced exclusively from natural ingredients. Osem averred that the 'Kosher' and 'Kosher L'Mehadrin' lines of seasoning soups are distinguishable and their products are made from different ingredients, in a manner that would not mislead a reasonable customer.

 

Following a pre-trial, the plaintiff asked to withdraw his motion and his claim against the two respondents. Osem's demand for court costs was accepted by the court, which stated that the plaintiffs did not have legal claim against Osem and should not have filed the motion to begin with.

 

Osem Investments Ltd. was represented by Noam Ronen (Partner) and Amit Ron (Associate).

January 15th, 2018

Gornitzky represents the Phoenix in a motion to approve a class action filed against it.

Gornitzky represented the Phoenix Insurance Company in a motion to approve a class action filed against it, claiming that comprehensive insurance fees are being over-collected due to the fact that a vehicle's value calculated at the time of purchasing the insurance is higher than its value in practice.

The court dismissed the motion to approve the class action and accepted the arguments brought forward by the Phoenix. The company stated that according to the provisions provided by the Commissioner of Capital Markets, Insurance and Savings, it is not obligatory for insurance fees to be affected by the particular variables of a given vehicle, yet these may affect insurance compensation, subject to full disclosure before the insured. In addition, the company's arguments regarding the manner in which insurance fees and compensation are calculated were also accepted by the court.

 

The Phoenix was represented by Noam Ronen (Partner) and Nimrod Saville (Associate).

October 2nd, 2017

Gornitzky represents Zmiha Investment House Ltd. in a motion to approve a derivative lawsuit.

Gornitzky represented the public company Zmiha Investment House Ltd. in a motion to approve a derivative lawsuit against the company. The motion was filed with regard to a transaction which took place in 2013, during which Zmiha purchased the rights to a license for oil and gas exploration from Shemen Oil And Gas Resources Ltd. The drilling apparently turned up nothing, with funds seemingly going to waste. The plaintiff, a shareholder of Zmiha's parent company, GreenStone Industries Inc., claimed that the said transaction was in the interest of stakeholders, and was not approved in accordance with section 275 of the Companies Law. The plaintiff also proceeded to claim that the transaction was hasty and negligent, and that the company's board of directors approved it, thereby breaching both duty of care and duty of trust, in an attempt to serve the interest of the controlling company, Ultra Equity Investments Ltd. In light of these allegations, the plaintiff requested that directors compensate the company in the amount of the initial investment made in the Shemen transaction, approximately NIS 20 million.

 

Following the District Court's dismissal of the claim on all counts, as set forth in a comprehensive, detailed ruling, the plaintiff appealed to the Supreme Court. In its ruling of last week, the Supreme Court rejected the appeal, thereby dismissing the motion to file a derivative lawsuit against the company.

 

The company was represented by Partner Noam Ronen and Associate Noga Haruvi.

June 20th, 2016

Gornitzky represents Benefit (a part of the Phoenix group) in a successful dismissal of a labour law class action suit

Gornitzky represented Benefit  (a part of the Phoenix group) in a successful dismissal of a labour law class action suit with respect to allegations regarding negligent advice given by Benefit to retired employees of Discount Bank.

The court dismissed the claim against Benefit, giving a summary judgment accepting all of Benefit's claims regarding, inter alia, the lack of subject matter jurisdiction, the prima-facie evidence that there was no negligent advise, as well as the argument that the claim was barred under the statute of limitations.

 

Benefit was represented by Noam Ronen (Partner) and Nimrod Saville 

May 23rd, 2016

Gornitzky represented Melisron Ltd in a substitution proceedings of public bonds of its subsidiary, British Israel, with new public bonds of Melisron in a value of NIS 1.85 Billion. 

Gornitzky represented Melisron Ltd., the leading real estate company in the field of shopping malls and commercial centers, in a substitution proceedings of two publicly traded series of bonds issued by Melisron's subsidiary, British Israel, with two new series of publicly traded of Melisron’s in a value of NIS 1.85 Billion. The substitution of the bonds is executed by way of a motion to the Tel Aviv District Court in accorfance with section 350 of the Companies Law, pursuant to which British Israel shall cease to be a "Reporting Entity" in accordace with the Securities Law.


Melisron Ltd was represented by Sharon Werker-Sagy (Partner), Inbal Zackay-Horev, Uri HellerMichael Goffer (Capital Markets) and Noam Ronen (Partner, Litigation).

 

March 2nd, 2016

Gornitzky represents Osem Investments Ltd. (a part of the Nestle group) in a successful dismissal of a consumer class action suit with respect to alleged mislabeling of food products.

Gornitzky represented Osem Investments Ltd. (TASE: OSEM, a part of the Nestle group) in a successful dismissal of a consumer class action suit with respect to alleged mislabeling of food products and alleged misleading of consumers in certain provisions of regulation instruction no.1145 (labeling of packaged food), with regard to marking products using outer wrapping that hid part of the list of ingredients.

 

Osem Investments Ltd. was represented by Adv. Noam Ronen (Partner) and Adv. Nimrod Saville

February 1st, 2015

Gornitzky represented Israel Corporation in the successful interim decision in a derivative suit against the company, whereby the court accepted the motion not to reveal attorney-client privileged information discussed in board meetings.

Gornitzky represented Israel Corporation in the successful interim decision in a derivative suit against the company, whereby the Economic Division of the Tel Aviv District Court accepted the motion not to reveal attorney-client privileged information discussed in board meetings. The derivative suit is in relation to the restructuring of the company's subsidiary, Zim Integrated Shipping Services Ltd.

 

Israel Corporation is represented by Pinhas Rubin (Firm Chairman), Noam Ronen (Partner) and Noga Haruvi.

 

For more information on our class actions practice, visit here.

January 27th, 2013

Noam Ronen, a partner at Gornitzky & Co., was featured in an article in the Calcalist newspaper discussing a future in which the transfer of tort claims may no longer be prohibited.

Noam Ronen, a partner at Gornitzky & Co., was featured in an article in the Calcalist newspaper discussing a future in which the transfer of tort claims may no longer be prohibited, further to the recent precedent ruling of the Israeli Supreme Court in a case regarding a tort claim made by Banco Bilbao of Argentine.

 

According to Mr. Ronen, the prohibition to transfer tort claims is somewhat archaic in today's commercial world. "If we all agree that you can 'sell' or reassign a contractual right to receive money, as seen during the sub-prime crisis with the sale of mortgage loans from one bank to another, then why not permit the sale of the right to sue for damages?" Ronen believes that the day is approaching when tort claims will be a transferable asset, just as any other asset can be assigned, transferred and even sold.

 

He also points to the possibility that trading tort claims can be harmful to the world of class actions. "Suppose a town suffers from an environmental nuisance due to a factory. A seasoned claimant goes door-to-door and 'purchases' the claim rights from the townspeople. Now he is suing the factory, but not in a class action suit, but rather as his own personal claim, as the claim rights were sold to him. He can settle with the factory on behalf of all the residents, without them ever receiving full compensation, while he receives his recoupment without any criticism. Have we not then bypassed the class action mechanism and its purpose?"

June 19th, 2012

Gornitzky & Co. represented Dr. Joshua Rosensweig in a lawsuit in which Adv. Avi Gera claimed that Dr. Rosensweig allegedly prevented him from his share in their dissolved joint firm's alleged reputation.

Gornitzky & Co. represented Adv. Dr. Joshua Rosensweig (a former senior partner at Gornitzky and one of Israel's foremost businessmen) before the Israeli Supreme Court in a lawsuit in which Adv. Avi Gera claimed that Dr. Rosensweig allegedly prevented Adv. Gera from his share in their dissolved joint firm's alleged reputation. Adv. Gera estimated his share of the firm's reputation at NIS 9 million when filing the lawsuit in 2004.

 

The Supreme Court ruled in favor of Dr. Rosensweig, and affirmed the January 2011 District Court decision which stated that only in rare cases does a law firm have a reputation separate from the identity of its partners. The District Court referred specifically to Gornitzky & Co. as an example of a highly respected firm with a reputation independent from its partners.

 

The team handling the representation included Mr. Pinhas Rubin (Firm Chairman), Mr. Noam Ronen (Partner) and Mr. Ofer Fleischer.

March 26th, 2012

The courts ruled in support of Ofroni Holdings, winner of a tender offering for the purchase of land in Rishon L'Tzion.

After winning a tender offer by a court-appointed receiver for the purchase of land "as is" in Rishon L'Tzion, Ofroni Holdings discovered several previously undisclosed disputes between the owners and the Rishon L'Tzion planning authorities. In a motion to void the tender, the Rishon L'Tzion Magistrate's Court gave an unprecedented ruling in support of arguments made by Adv. Noam Ronen of Gornitzky on Ofroni's behalf, placing the burden of active disclosure of crucial information on the sellers.

 

Ofroni Holdings was represented by Mr. Noam Ronen (Partner).

March 18th, 2018

Gornitzky successfully represented Eitanit Construction Products Ltd. in a hearing before a Supreme Court panel regarding development and paving fees. 

Gornitzky successfully represented Eitanit Construction Products Ltd. in a hearing before a Supreme Court panel, headed by President E. Hayut, regarding the demand for payment of development and paving fees in the amount of approximately NIS 18 million, issued to the company by the Nahariya Municipality. The Court approved the ruling and accepted the administrative appeal filed by our firm, thereby entirely dismissing the demands and adopting the interpretation of the relevant law presented by Eitanit, regarding the question of what is an "adjacent property".


The company was represented by Noam Ronen (Partner) and Sarit Naaman Shaag (Senior Associate).

February 15th, 2018

Gornitzky represented the Phoenix Insurance Company Ltd. in a motion to approve a class action against it. 

Gornitzky represented the Phoenix Insurance Company Ltd. in a motion to approve a class action against it, in which it was claimed that by allowing the purchase of travel insurance according to the number of full travel days (from midnight to midnight) and not according to the number of days the insured actually spent abroad, the Phoenix breached the provisions of the Insurance Contract Law and the Standard Contracts Law, while selling insurance policies without risk. Following a preliminary hearing in which the judge addressed the difficulties posed by such a motion, the plaintiffs withdrew the action without an order for expenses.

 

The company was represented by Partner Noam Ronen and Associate Daniel Barlev.

October 29th, 2017

Gornitzky represented Sapphire D.N. Retail Ltd. in a class-action filed against a number of supermarket chain stores.

Gornitzky represented Sapphire D.N. Retail Ltd. in a motion to approve a class action filed against it (along with Shufersal, Rami Levy and Co-op), in which it was claimed that the respondents breached legal provisions once they made deliveries to customers in vehicles that do not include proper means of refrigeration. Following the court's acceptance of the Ministry of Health's standpoint, the sides agreed that the court shall first decide on the legal matter as to whether or not the laws presented in the motion state that the delivery of goods using refrigerated trucks is mandatory.

 

The court accepted the respondents' position and ruled that the laws to which the plaintiff made reference to are irrelevant since they have to do with the delivery system to the retail branch, not from the retailer to the consumer. Furthermore, the court accepted Gornitzky's position that the Ministry of Health admitted that as of yet there is no regulation regarding the delivery of goods from the retailer to the consumer and that the Ministry was currently pursuing the matter.

 

Sapphire D.N. Retail Ltd. was represented by Noam Ronen (Partner) and Nimrod Saville (Associate).

April 12th, 2017

Gornitzky represents the Phoenix in a temporary injunction halting the sale of Arena's major assets.

The Phoenix Insurance Company was granted a temporary injunction halting the sale of Arena Group's major assets.

 

Within the framework of an originating motion in the matter of the Phoenix's right of first refusal in the Star Center Mall in Ashdod, the Tel Aviv District Court halted a proceeding executed by Arena Group for the sale of Star Center Mall in Ashdod and Arena Mall in Nahariya. The two malls were offered for sale as a whole, with the intention of unlawfully bypassing the Phoenix's right to first refusal. On Passover eve, the court ruled that at this stage, no communication shall be conducted regarding the transfer of any rights to the land on which the Star Center Mall in Ashdod is located, and that the temporary injunction shall remain in effect until another decision is reached in the case.

 

The Phoenix Insurance Group was represented by Noam Ronen (Partner) and Daniel Barlev.

June 8th, 2016

Gornitzky successfully represented the directors of  Zmicha Investment House Ltd. In the dismissal of a motion to approve a derivative suit, targeting the company's unsuccessful investment.

Gornitzky successfully represented the directors of Zmicha Investment House Ltd., a TASE publicly traded company, in a motion to approve a derivative suit against the directors. The motion addressed allegations that the respondents (the directors) had unlawfully approved Zmicha's investment in Shemen Oil and Gas Resources Inc., in which Zmicha's controlling stockholder allegedly had a significant business interest. The motion also contended that the directors breached their duties of care and loyalty by approving this transaction in a negligent manner.

 

The Economic Department in the Tel-Aviv District Court (Honorable Judge Ruth Ronen), in a profound and well established decision, rejected the motion, ruling that Zmicha's investment in Shemen was neither an interested transaction nor a negligent one. The court ruling presents a comprehensive (and somewhat pioneering) analysis of the fundamental corporate governance issues that arise from the case, after which the motion was dismissed and the directors were awarded with legal fees and expenses.

 

The directors of Zmicha Investment House Ltd. were represented by Noam Ronen (Partner) and Noga Haruvi.

March 16th, 2016

Gornitzky represented Osem in a motion to deny an urgent petition by one of Osem's shareholders to grant temporary relief, for the purpose of postponing the general meeting of Osem's shareholders

Gornitzky & Co. represented Osem Investments Ltd. (TASE: OSEM, a part of the Nestle group)  in a motion to deny an urgent petition by one of Osem's shareholders to grant temporary relief, for the purpose of postponing the date on which the general meeting of Osem's shareholders is scheduled to take place (March 17th, 2016). The meeting's agenda will include the approval of the reverse triangular merger between Osem and Nestle, in which Nestle is expected to purchase public holdings in Osem, which in turn will become a private company under Nestle's full ownership.

 

Osem Investments Ltd. was represented by Adv. Noam Ronen (Partner) and Adv. Tom Alkalay

July 20th, 2015

Gornitzky represents Osem (a part of the Nestle group) in the successful dismissal of a motion to approve a consumer claim as a class action

Gornitzky represented Osem Investments Ltd. (TASE: OSEM, a part of the Nestle group) in the successful dismissal of a motion to approve a consumer claim as a class action with respect to an alleged violation of the Food Labeling Regulations (36 - Chocolate and 1145 - labeling prepacked food) and an alleged misleading of its consumers regarding the labeling of its Fitness cereals products ("Fitness White chocolate", "Fitness chocolate" and "Fitness Dark chocolate").

Haifa District Court dismissed the motion, and awarded Osem with unusual legal fees and expenses.    

 

Osem Investments Ltd. was represented by Noam Ronen (Partner) and Tom Alkalay

 

For more information on our class actions practice, visit here.

December 23rd, 2014

Gornitzky represents Osem (of the Nestle group) in the successful and precedential dismissal of a consumer class action suit after a motion to allow the class action was previously granted.

Gornitzky represented Osem Investments Ltd. (TASE: OSEM, a part of the Nestle group) in the rare and successful dismissal of a consumer class action suit with respect to alleged mislabeling of cereal boxes against the company and Unilever,  after a motion to allow the class action was previously granted by the same judge.

 

Osem Investments Ltd. was represented by Noam Ronen (Partner) and Nimrod Saville.

 

For more information on our class actions practice, visit here.

July 5th, 2012

The Tel Aviv District Court rejected a NIS 300 million class action against the Tel-Aviv Central Bus Station, which was represented by Gornitzky & Co., alleging violations of the Prevention of Smoking and Exposure to Smoking in Public Places Act.

The Tel Aviv District Court rejected a petition to approve a NIS 300 million class action against the Tel-Aviv Central Bus Station, which was represented by Gornitzky & Co., alleging violations of the Prevention of Smoking and Exposure to Smoking in Public Places Act.

 

Judge Magen Altuvia denied class action status to the lawsuit and accepted the claims of Nitsba Holdings 1995 Ltd. (TASE: NTBA), which owns and operates the Tel-Aviv Central Bus Station, Israel's largest land transportation terminal. The court ruled that the liability of an operator of a public facility should not be determined by the outcome, but rather by whether necessary actions were taken to prevent the violations. 

 

Nitsba Holdings was represented by Mr. Noam Ronen (Partner) and Ms. Neta Peled.

April 19th, 2012

The Tel Aviv District Court denied a motion to authorize a class action suit against 4 major Israeli banks.

Deputy Chief Justice of the Tel Aviv District Court, Dr. Drora Pilpel, denied a petition for a class action suit against Bank Hapoalim (Israel's largest bank), Bank Otsar Hahayal, Bank Discount and Bank Leumi. The plaintiffs claimed that the banks had mislead their clients and breached their banking duties by collecting fees for the exercise of options on the Tel Aviv 25 Index, which they had allegedly not informed their clients of. Hon. Judge Pilpel ruled that the banks had fulfilled their obligations and gave full disclosure of the exercise fees.


Bank Hapoalim and Bank Otsar Hahayal were represented by Mr. Pinhas Rubin (Firm Chairman) and Mr. Noam Ronen (Partner).

January 19th, 2011

The Tel-Aviv District Court judgment in favor of Dr. Joshua Rosensweig, who was represented by Gornitzky & Co., referred to the firm as a highly respected firm with a reputation separate from its partners.

Gornitzky & Co. represented Adv. Dr. Joshua Rosensweig (a former senior partner at Gornitzky and one of Israel's foremost businessmen) in a lawsuit in which Adv. Avi Gera claimed that Dr. Rosensweig allegedly prevented Adv. Gera from his share in their dissolved joint firm's alleged reputation. Adv. Gera estimated his share of the firm's reputation at NIS 9 million when filing the lawsuit in 2004.

 

Throughout the legal proceedings, which lasted nearly 7 years, prominent Israeli businessmen testified on behalf of Dr. Rosensweig, including Mr. Tzadik Bino, Mr. Israel (Izzy) Tapuchi, Mr. Benjamin Jesselson, Mr. Yair Hamburger and C.P.A. Aharon Zohar.

 

The Tel-Aviv District Court (Honorable Judge Ruth Ronen) ruled in favor of Dr. Rosensweig, stating that the dissolved firm had no reputation separate from that of its partners. In her judgment, Judge Ronen wrote that only in rare cases does a law firm have a reputation separate from the identity of its partners, and referred specifically to Gornitzky & Co. as an example of a highly respected firm with a reputation independent from its partners

 

The team handling the representation included Pinhas Rubin (Firm Chairman), Noam Ronen (Partner) and Ofer Fleischer.