Corporate Law of Israel

This chapter provides a concise survey of Israeli corporate law. The chapter opens

with a description of the law’s approach to corporate legal personality and foundational documents, and, next, to institutional organs and directors and officers. The main part analyzes the legal duties imposed on directors and officers, control persons, and regular shareholders. In addition to the familiar duties of loyalty and care, which roughly follow the standard common law pattern, Israeli law has some unique features in regards with those duties, as well as certain legal obligations owed by shareholders. Next, the chapter deals with the regulation of related party transactions. It closes with a review of corporate litigation by way of

veil piercing and shareholder representative claims.