El Al to settle lawsuit from 2000 for NIS 60m

El Al Israel Airways (TASE: ELAL) pays compensation of NIS 59.9 million, together with prices, in a settlement of a category motion filed within the Central District Courtroom. The settlement is topic to the courtroom’s approval.

The settlement comes after 13 years of hearings of claims originating in 2000, twenty-six years in the past. The appliance for a category motion was filed in 2013 by non-profit group Hatzlacha – The Motion for a Honest Society, which was represented by Adv. Amit Manor and Adv. Yuki Shemesh. The proprietor of El Al on the time was Knafaim Holdings, managed by the Borovich household.

The motion alleged that El Al and different firms had been a part of a worldwide cartel that coordinated numerous elements of air cargo costs, together with gas and safety dietary supplements.

All through the proceedings and within the settlement submitted to the courtroom, El Al denied and rejected these claims or any declare that it was get together to a binding association or cartel, and argued that its conduct was innocent.

The settlement is predicted to place an finish to the dispute, after a protracted mediation course of.

Who’s entitled to compensation?

Within the settlement, it’s agreed that El Al pays NIS 50 million to the group of claimants, plus prices of some NIS 10 million.

The claimants entitled to compensation are prospects who purchased, instantly or not directly, transport providers from El Al and are outlined as prospects of El Al in Israel and overseas, who dispatched cargo to or from Israel, apart from from or to the US, between 2000 and February 2006, and purchasers of transport providers from direct prospects of El Al in the identical interval and to the identical locations.

The cash might be transferred to the Fund for Managing and Distributing Cash from Rulings on Class Actions within the Ministry of Justice, or alternatively the courtroom will appoint a trustee who will decide the extent of injury and the entitlement to compensation in every case. Any cash left over is not going to be returned to El Al however will allotted to public causes regarding rehabilitation of settlements bordering the Gaza Strip.

Proceedings in opposition to further respondents had been concluded in March 2025 in a mediation course of assisted by Adv. Reli Leshem, and settlements reached by different events had been permitted in a partial ruling.

Printed by Globes, Israel enterprise information – en.globes.co.il – on June 18, 2026.

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