Insolvency

A wave of contractor insolvencies in Israel's real estate sector leaves developers and buyers grappling with project delays, rising costs, and legal battles.

Three apartment buyers petitioned the Tel Aviv District Court to initiate insolvency proceedings against real estate developer Bney Ir Bisrael over an unpaid 340,000 shekel judgment.

SVCollege collapses as rescue talks fail, leaving hundreds of students who paid thousands of shekels facing lost tuition and preparing for legal action amid impending insolvency.

Infrastructure firm Y.K.R. Brashi has filed for insolvency at the Central District Court over 27.8 million NIS in debts, citing fallout from the COVID-19 pandemic and ongoing war.

Axiag Consultants filed for insolvency against Nasdaq-listed HUB Security over a $100,000 debt, while a court upheld share attachments, threatening an $8.7 million asset sale.

Israeli overseas real estate investments face severe distress as rising interest rates and financing costs trigger insolvencies, hitting firms like SDB and Electra Real Estate.

AS Monaco basketball club declares insolvency and drops to the third tier in France following financial collapse tied to oligarch Aleksey Fedorychev's legal troubles.

Travel startup Weyeboo Business Travel has entered compulsory insolvency and faces total liquidation after generating zero revenue since its launch in 2022.

Israeli reservists stepped in to pay off 100,000 NIS in debts for a fellow soldier suffering from PTSD after October 7, allowing him and his family to resolve 1.8 million NIS in total debt.

A Jerusalem court granted a rare financial rehabilitation to a 65-year-old widow with 1 million NIS in debts, allowing her to clear them for 21,600 NIS while keeping her savings.

Proper debt management requires strategic negotiation, written settlement agreements, and professional legal guidance rather than rushed financial offers to creditors.

Both paths are designed to deal with obligations that cannot be paid as scheduled. A lawyer explains when it is worth reaching an arrangement and when an insolvency proceeding might be more appropriate.

The Mehir LeMishtaken project in Be'er Sheva by A.Sh. Yagel has become insolvent and will not be completed on time. The company is facing debts of hundreds of millions of shekels and an internal shareholder dispute.

Fattal and Israel Canada Hotels have leveraged the financial distress of the German Revo Hospitality Group to expand their European footprint. The companies are acquiring rights to 15 hotels in Germany and the Netherlands for approximately 40 million euros.

Most of the debts of a convicted tax offender, including one million shekels in VAT, are not dischargeable. The Jerusalem Magistrate's Court ruled that continuing insolvency proceedings in these circumstances is futile.

The Institute of Certified Public Accountants has filed a petition to the Supreme Court against the Minister of Justice and the Commissioner for Insolvency, claiming that the threshold conditions for the trustees' database discriminate against its members compared to lawyers. The Institute is requesting to freeze the work of the appointments committee.

The "The Children's Place" chain has reported a difficult quarter with an 11.1% drop in sales and an operating loss of 42.2 million dollars. To survive the liquidity crisis, the company sold customs refunds at a discount for immediate cash.

The annual report on insolvency proceedings points to a slight decrease in active insolvency proceedings for individuals and corporations, and a slight increase in individual and creditor requests for the opening of proceedings. The report also highlights data on the age of debtors.

A divorced woman sought an arrest warrant against her ex-husband for a 1.9 million NIS child support debt, but the execution registrar ruled the debt was actually a disguised business obligation and ordered it discharged.

The Ministry of Finance predicts an unprecedented wave of real estate deal cancellations. Meanwhile, Chaim Katzman plans to sell 33% of shares, Tzahi Abu criticizes the situation, and contractor Dudi Appel has become a suspect in a major criminal investigation.

The period after the procedure is halted may leave debtors with huge debts before the Execution Office and without an alternative path that fits their financial capacity. How to cope.

Plastics company Plas Fit has acquired the assets of lighting manufacturer Gaash LED for 8 million shekels. The court-approved deal aims to preserve operations following Gaash LED's 22 million shekel debt crisis.

The Jerusalem District Court has ordered the commencement of insolvency proceedings against M. MastiX Ltd. The company allegedly accumulated approximately 1.27 million shekels in unpaid municipal property taxes and sewage fees.

After more than 130 years of operation, the German battery manufacturer Varta has initiated insolvency proceedings. The company attributes the crisis to a combination of declining demand, difficult market conditions, and the loss of a key client – Apple. Despite the proceedings, business operations continue, thousands of employees continue to receive their salaries, and the well-known household...

The trustee attributed fraudulent actions to the debtor, but the court clarified that an "in-depth investigation" into the circumstances of the debt's creation must be done only with its approval. The decision: The woman won economic rehabilitation.