ISRAEL Law and Practice Contributed by: Nir Kehat, Sivan Wulkan Avisar and Iyar Yariv, Arnon, Tadmor-Levy
3.2 Statutes of Limitations The statute of limitations in Israel is generally sev- en years for civil claims and 25 years for real estate claims (15 years if the property is unregistered). The limitation period commences upon the accrual of the cause of action, subject to exceptions such as fraud, concealment, or lack of knowledge. Certain statutes prescribe different limitation periods for specific types of claims, such as insurance claims (three years). 3.3 Jurisdictional Requirements for a Defendant Legal proceedings in Israel require three jurisdictional elements: international, subject-matter, and territo- rial jurisdiction. International jurisdiction determines if Israeli courts can hear a case, applying only to per- sons with physical or constructive presence in Israel and to disputes connected to Israel. Subject-matter jurisdiction is legally mandated and cannot be altered by agreement, while territorial jurisdiction is generally negotiable between parties. These requirements vary across civil, religious, and labour courts. 3.4 Initial Complaint The initiation of a civil lawsuit is governed by Chapter 3 of the Civil Procedure Regulations. A statement of claim is comprised of three sections: (i) the title; (ii) a summary, including jurisdictional grounds and the relief sought; and (iii) the substantive claims. Page limits apply depending on the forum. In the mag- istrates’ court, Part II may not exceed two pages and Part III nine pages. In the district court, Part II may not exceed three pages and Part III twelve pages. How- ever, in district court claims seeking monetary relief exceeding ILS2.5 million, in personal injury claims, or in claims brought under the Road Accident Victims Compensation Law, the limits are extended to five pages for Part II and twenty-five pages for Part III. Amendments to the statement of claim may be made
(which is not a binding precedent), the District Court ruled that third-party funding is not allowed in class actions (Class Action (Central District Court) 28974 10 20 Ofer Pirit v Monsanto Company (7 August 2025)). 2.3 Third-Party Funding for Plaintiff and Defendant Third-party funding, although available, is uncommon and rarely utilised. 2.4 Minimum and Maximum Amounts of Third-Party Funding There is no minimum or maximum amount a third- party funder will fund. 2.5 Types of Costs Considered Under Third- Party Funding Third-party funders generally cover necessary litiga- tion costs, such as court fees, attorneys’ fees, expert reports, and witnesses’ expenses. 2.6 Contingency Fees Contingency fees are generally permitted in civil cas- es. In some areas, such as motor vehicle accident claims, the law sets specific rules on the fee structure, including maximum percentages or required disclo- sures. 2.7 Time Limit for Obtaining Third-Party Funding There are no time limits by when a party to the litiga- tion should obtain third-party funding. In civil matters, there are no mandatory pre-action requirements. By contrast, in family proceedings (such as divorce), pre-action procedures are compul- sory and may include the exchange of formal letters, attempts at mediation, or participation in preliminary consultations. Non-compliance with these require- ments may result in sanctions, including procedural delays, adverse cost orders, or restrictions on filing the claim. In certain cases, prospective defendants may also be obliged to provide a response to a pre- action letter. 3. Initiating a Lawsuit 3.1 Rules on Pre-Action Conduct
with the court’s approval. 3.5 Rules of Service
The purpose of service of process is both to notify the defendant of the legal proceedings and to estab- lish the Israeli court’s jurisdiction over a defendant, including a foreign defendant. Service is generally the
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