Pure Economic Loss−The Israeli Review
Harry and Michael Sacher Institute for Legislative Research and Comparative Law, Israeli Reports to the XVII International Congress of Comparative Law
32 Pages Posted: 3 Jul 2009
Date Written: November 1, 2006
The Israeli Law’s approach to Pure Economic loss (PEL) is still in its formative stage. On the one hand there are quite a handful of court decisions discussing most categories of cases in which PEL can occur; yet on the other hand these decisions do not give us any clear rules or guidelines advising about the Israeli tort law position regarding PEL.
Part II of this paper outlines the structure of Israeli tort law at large, stressing issues that will be later relevant to the specific topic at hand. Part III presents the leading Israeli PEL case law and then analyzes the current state of the law. In order to present the material in a “hands-on” manner, part VI provides nine fictional, but true-to-life, examples of economic loss. These examples are examined and discussed using Israeli case law and theory. This part is both challenging and effortless due to the unique state of the law as explained above. Effortless, because the current common trend in Israeli tort law points toward expanding liability in tort at large and in negligence in particular; challenging because to date, Israeli case law is devoid of any clear, binding analysis of this important issue.
Keywords: Economic Loss
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