The District Court in Be’er Sheva recently dismissed a claim filed by Tnuva, ruling that it does not hold ownership rights in land it had occupied for several decades.

In a clear and principled judgment, the Court held that exchanges of draft agreements – even detailed ones – do not amount to a binding contract in the absence of execution and a clear intention to be legally bound. The Court further emphasised that prolonged possession of land cannot override the statutory requirement for a written agreement and proper registration.

The Court also criticised the claimant’s conduct, determining that the circumstances amounted to unlawful appropriation, and clarified that even a well-resourced corporation supported by legal advisers is not exempt from strict compliance with the fundamental principles of real estate law.

For media coverage: Globes