Allowances (Compensation for Late Payment) Law, 5744-1984

In this Law –

"allowance" means a monthly payment made under one of the laws in the Schedule;

"grant" means a payment that is not an allowance, made under one of the laws in the Schedule, excluding an income-based benefit;

"income-based benefit" means a payment made under one of the laws in the Schedule the basis for the calculation of which is the income of the person entitled;

"competent authority" means an authority prescribed under one of the laws in the Schedule to hear and decide a claim or application for the receipt of an allowance, a grant or an income-based benefit;

"updated rate" means the rate of the allowance in force in the month preceding the day of payment;

"original rate" means the rate of the allowance that was in force during the period in respect of which the allowance is paid;

"spouse" includes a person publicly known as a spouse;

"average wage" has the meaning assigned to it in the National Insurance Law [Consolidated Version], 5728-1968 (hereinafter – the National Insurance Law);

"day of claim" means the first day of the month in which the claim or application was actually submitted to the competent authority;

"day of payment" means the day on which a cheque was sent to the person entitled at the address provided by that person, or that person's bank account was credited, or a sum of money was placed at that person's disposal in any other manner;

"average monthly income" means the income of the person entitled and the income of that person's spouse from the sources listed in section 2 of the Income Tax Ordinance [New Version], during the three months preceding the date of the decision of the competent authority, divided by 3.

Notwithstanding the provisions of section 2 –

Where a court or tribunal has determined that the competent authority caused, arbitrarily and not in good faith, a delay in the payment of the allowance, it may rule that the allowance shall be paid at the updated rate even in respect of periods longer than those prescribed in sections 2 and 3.

The competent authority may determine that an allowance shall not be paid at an updated rate as referred to in sections 2(a) and 3, or that it shall be paid at such a rate in respect of a period shorter than that referred to therein, if it is satisfied that the plaintiff caused the delay in the determination of the claim by failing to furnish to the competent authority information and documents that were in the plaintiff's possession after having been required to do so, or by refraining from cooperating with the competent authority in any other manner required for the determination of the claim or for effecting payment of the allowance.

If a grant has not been paid within three months of the day of claim, the grant shall be paid at the rate in force on the day of payment.

Where an allowance or a grant was paid at an updated rate as referred to in sections 2, 3 or 5 and thereafter their rate was amended with retroactive effect, no additional amounts shall be paid in respect thereof in accordance with the calculation referred to in sections 2, 3 or 5.

A decision of the competent authority under this Law shall, for the purposes of appeal, be treated as a decision given under a law in the Schedule.

The Adjudication of Interest and Linkage Law, 5721-1961, shall not apply in respect of an allowance, a grant or an income-based benefit.

The Allowances (Compensation for Late Payment) (Allowances of Nazi War Disabled and Nazi Persecution Disabled) Regulations, 5746-1986, were published.

The Minister of Finance may, by Order, add a law to the Schedule, with the consent of the Minister responsible for the implementation of that law and with the approval of the Finance Committee of the Knesset.

This Law shall commence on the 27th of Adar Aleph 5744 (1 March 1984).

Discharged Soldiers (Return to Employment) Law, 5709-1949;

Nazi War Disabled Law, 5714-1954;

Nazi Persecution Disabled Law, 5717-1957;

Police (Disabled Persons and Casualties) Law, 5741-1981, in respect of a police officer who has died;

Prison Service (Disabled Persons and Casualties) Law, 5741-1981, in respect of a warder who has died.