A joint session of the Knesset Constitution Committee and Economic Affairs Committee has approved two amendments to the Class Actions Law. The changes still need final approval by the full Knesset.

What changes

Businesses with annual turnover of up to NIS 9 million would be removed from the law's scope. The threshold will be linked to an index.

For five causes of action, including the anti-spam law, a business must first receive a warning and 60 days to correct the problem. If it fixes the violation in time, no class action can be filed.

For certain accessibility-related claims, the advance-notice rule applies to businesses with turnover of up to NIS 50 million.

Business reaction

Shahar Turgeman, president of the Federation of Israeli Chambers of Commerce, welcomed the move, saying it will protect small and micro businesses and should sharply reduce the number of class actions against companies. He added that the federation will keep pushing for further changes.

What it means for importers

Small and mid-sized importers and retailers could face less legal exposure over issues such as marketing messages and accessibility, provided they act quickly when they receive a warning. Keep product labeling, marketing and compliance records in order.