Consumer Protection Law, 5741-1981
חוק הגנת הצרכן, תשמ"א-1981
Unofficial English translation — for reference only. It may contain errors or omissions and cannot be relied on as a legal text. Only the Hebrew text published in Reshumot is legally binding.More
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Despite these checks, it may contain errors, omissions, or imprecise renderings of legal terminology and cross-references, and it may not yet reflect the latest amendments. It cannot be relied upon as a legal text.
The Hebrew text as published in Reshumot (ספר החוקים) and on the Knesset website is the sole authoritative and legally binding version. In any discrepancy, the Hebrew text prevails.
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Chapter VI-A: Class Action
(Repealed — תשס״ו־3)
(Repealed — תשס״ו־3)
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(Repealed — תשס״ו־3)
(Repealed — תשס״ו־3)
(Repealed — תשס״ו־3)
(Repealed — תשס״ו־3)
(Repealed — תשס״ו־3)
(Repealed — תשס״ו־3)
(Repealed — תשס״ו־3)
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Contact Us →Chapter VII: Miscellaneous Provisions
Mandatory Application§
The provisions of this Law shall apply notwithstanding any waiver or contrary agreement.
Implementation and Regulations§
Power of Commissioner to Delegate§
The Commissioner may delegate powers vested in the Commissioner under this Law, other than powers under sections 28 or 30, to another public servant.
Limitation on Application§
The provisions of this Law shall not apply to a service provided by any of the following:
Repeal§
The following are repealed –
Savings Provisions§
This Law comes to add to any law and not to derogate therefrom.
Law Applicable to the State§
For the purpose of this Law, the law applicable to the State as a dealer is the same as the law applicable to any other dealer.
Commencement§
This Law shall commence on the 1st of Av 5741 (1 August 1981).
Publication§
This Law shall be published within thirty days of its adoption by the Knesset.
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Contact Us →First Schedule (section 17g)
Part 1
(subsection (a)(3))
Hotel services in Israel displayed at a hotel and provided to a tourist, provided that their price is displayed in accordance with Regulations made by the Minister, with the approval of the Economics Committee of the Knesset, in consultation with the Minister of Tourism.
The service of renting a motor vehicle to a tourist for self-drive in Israel, provided that its price is quoted and published in accordance with Regulations made by the Minister, in consultation with the Minister of Transport and with the approval of the Economics Committee of the Knesset.
For the purpose of items 1 and 2, "tourist" – as defined in section 1 of the Value Added Tax Law, 5736-1975.
Part 2
(subsection (b))
In this Part –
"the representative rate", of a particular foreign currency – the representative rate published by the Bank of Israel for that foreign currency;
"the selling rate" – the selling rate for transfers and cheques at which a bank in Israel sells the foreign currency.
Payments, fees, levies or taxes fixed pursuant to another enactment, payable to the Airports Authority or to the Ports Authority, in respect of the entry of passengers into Israel or their departure therefrom, or in respect of the carriage and transport of goods to Israel or their removal therefrom, provided that their price in new shekels shall be fixed according to the exchange rate referred to in the other enactment.
Goods in a bonded warehouse for sale to persons leaving Israel, as defined in regulation 12 of the Customs Regulations, 5726-1965, provided that their price in new shekels shall be determined according to the representative rate last published before the date on which the transaction with the consumer is made.
A service of transporting passengers or carrying cargo by air, land or sea, from or to Israel, including through land border crossings, as well as the chartering of vessels or aircraft for the said purposes, provided that their price in new shekels shall be determined according to the last selling rate on the business day preceding the date of payment, as published in a daily newspaper in Israel. The provision in this item that the price in new shekels shall be determined according to the last selling rate shall not apply to international cargo transport by sea or air in respect of which an arrangement has been established between a sea or air carrier and an international association of airline or shipping companies, within the meaning of section 3(7) of the Economic Competition Law, 5748-1988.
A service of tourism and leisure packages departing from Israel, provided that their price in new shekels shall be determined according to the last selling rate on the business day preceding the date of payment, as published in a daily newspaper in Israel.
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Contact Us →Second Schedule (section 18b)
A licensed supplier as defined in the Communications Law (Telecommunications and Broadcasting), 5742-1982 (in this Law – the Communications Law), that provides, under that Law, one or more of the following services:
(Repealed)
The holder of a general licence for cable broadcasts under the Communications Law.
The holder of a licence for satellite broadcasts under the Communications Law.
The holder of a gas supplier licence within the meaning of the Liquefied Petroleum Gas Law, 5781-2020.
The holder of a licence as an essential service provider within the meaning of the Electricity Sector Law, 5756-1996.
A water supplier within the meaning of the Water Law, 5719-1959.
(Repealed)
A dealer who enters into a continuous transaction with a consumer in respect of medical services within the meaning of section 13e of the Law.
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Contact Us →Third Schedule (section 13a)
A telephony service as defined in the Communications Law.
A gas supply service provided by a gas supplier to a gas consumer.
(Repealed)
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Contact Us →Fourth Schedule (section 13a1)
In this Schedule –
"cancellation fees" – any payment that the consumer is required to make by reason of cancellation of the transaction, whatever its designation;
"linkage differentials" – as defined in the Interest and Linkage Law, 5721-1961;
| Type of transaction | Manner of cancellation and date of its taking effect | Conditions with respect to cancellation |
|---|---|---|
| 1. A transaction concerning the purchase of a vacation unit | Delivery of a written notice of cancellation to the dealer; cancellation of the transaction shall take effect at the end of the annual period immediately following delivery of the notice of cancellation, and if the notice was delivered during the annual period – at the end of that period | (a) A dealer shall not collect cancellation fees; however, if performance of the transaction has commenced, the dealer may collect from the consumer only the payments set out below: (1) the proportionate part of the price of the vacation unit for the right of use that the consumer holds until the date on which the cancellation takes effect; (2) 50% of the amount remaining from the price of the vacation unit after deducting the amount under paragraph (1), provided that the dealer has not restricted the consumer's right to assign the consumer's rights under the contract, including by way of imposing a charge for payment. (b) A dealer shall return to the consumer every amount that the consumer paid for the period after the date on which the cancellation takes effect, together with linkage differentials from the date of payment until the date of return, or shall cancel the consumer's charge for that period, all except for the amounts that the dealer is entitled to deduct in accordance with subsection (a)(2). |
| In this item – "vacation unit" – as defined in section 14a; "the annual period" – the period in a calendar year during which the consumer has a right of use in the vacation unit under the transaction; "price of the vacation unit" – within the meaning of section 14a(b)(9). | ||
| 2. A transaction concerning the purchase of services at a fitness studio | Delivery of a written notice of cancellation to the dealer; cancellation of the transaction shall take effect at the end of one month from the date of delivery of the notice of cancellation | (a) A dealer shall return to the consumer the consideration paid or shall cancel the consumer's charge in respect of the transaction; however, if performance of the transaction has commenced, the dealer may collect only the payments set out below: (1) the proportionate part of the consideration for the right of use that the consumer holds for the period up to the date on which the cancellation takes effect; (2) cancellation fees in the amount equal to the product of the number of months from the date on which performance of the transaction commenced until the date on which the cancellation takes effect, multiplied by the difference between the monthly price under the transaction and the monthly price under the alternative track, provided that the dealer disclosed to the consumer in writing, prior to entering into the contract, the monthly price under the alternative track. (b) Notwithstanding subsection (a)(2), the cancellation fees shall not exceed the lesser of the amounts calculated under paragraph (1) or (2) below: (1) 25% of the consideration – if cancelled during the first third of the fixed period, 20% of the consideration – if cancelled during the second third of the fixed period, or 17% of the consideration – if cancelled during the last third of the fixed period; (2) the amount that the consumer would have been required to pay, but for the cancellation, for the remainder of the fixed period from the date on which the cancellation takes effect until the end of the transaction period. |
| In this item – "fitness studio" – as defined in the Fitness Studios (Licensing and Supervision) Law, 5754-1994, as well as a place where sports services or a health club are provided, including swimming pool services, gymnastics and body-shaping exercises, a steam bath or a whirlpool bath, all except a class based on a curriculum which one may join by advance registration and which one may not join at a later date, and except a place where only swimming pool services are provided, operating for a period not exceeding five months per year; "monthly price under the alternative track" – the monthly price for the same services provided to the consumer under a fixed-period transaction, had the contract been for an indefinite period, as offered to the consumer in writing prior to entering into the contract; "monthly price under the transaction" – the price that the consumer is required to pay for the right of use of the fitness studio during the fixed period in accordance with the transaction, divided by the number of months during which the consumer has such a right of use; "consideration" – any payment that a consumer is required to make to a dealer in connection with a transaction with the fitness studio, including registration fees. |
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Contact Us →Fifth Schedule (section 14c1)
A certificate attesting to a disability or an eligibility certificate for a disability allowance issued to the consumer by the National Insurance Institute.
A certificate attesting to a disability issued to the consumer under the Disabled Persons (Compensation and Rehabilitation) Law, 5719-1959 [Consolidated Version].
A decision of a diagnostic committee under the Welfare (Care of Persons with Intellectual-Developmental Disabilities) Law, 5729-1969, to the effect that a person is a person with an intellectual-developmental disability.
An eligibility certificate, including partial eligibility, for receiving communication support services, issued in accordance with the social work directives (ta'as) as defined in the Social Welfare Services (Care of Persons in Need) Regulations, 5746-1986 (hereinafter – ta'as).
A certificate of blindness or visual impairment issued in accordance with the Social Welfare Regulations.
A certificate of recognition by the service for the treatment of a person with autism at the Ministry of Welfare and Social Services, issued in accordance with the ta'as.
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Contact Us →Sixth Schedule (section 16c(e))
A dealer who contacts a consumer with a marketing approach after the consumer has approached the dealer and requested that the dealer call back by means of a telephone call; the burden of proof that the consumer requested the dealer to call back as aforesaid lies with the dealer.
A dealer who is connected to a consumer by a continuous transaction and who approaches the consumer with a marketing communication during the period of the transaction and in relation to that transaction, including in the matter of amending its terms (in this item – a permitted approach); the provisions of this item shall not apply to a marketing communication in relation to another transaction or to the extension of an existing transaction unless the consumer requested, on the consumer's own initiative, within the framework of the permitted approach, to extend the validity of the existing transaction; the burden of proof that the consumer requested, on the consumer's own initiative, to extend the validity of an existing transaction lies with the dealer; for the purposes of this item, "continuous transaction" – including a transaction for the supply of gas between a gas consumer and a gas supplier.
A dealer to whom the consumer has given explicit and separate consent to receive a marketing communication, provided that such consent was not obtained by means of an approach in a call to the consumer's telephone number; consent as aforesaid shall be given in a separate document in writing, including by electronic means, and it shall be made clear therein that consent to the marketing communication as aforesaid does not constitute consent to the execution of any transaction between the consumer and the dealer; consent as aforesaid shall be valid for no more than one year unless the consumer has withdrawn the consent earlier, and its validity may be extended, with the consent of the consumer in the manner aforesaid, by no more than one year at a time.
A consumer who approached the dealer on the consumer's own initiative and gave explicit consent to receive a marketing communication from that dealer; the consent shall be valid for one year, however the consumer may withdraw the consent at any time; the burden of proof with respect to the consumer's consent and its validity lies with the dealer.
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Contact Us →Seventh Schedule (section 22d(b)(2))
| Section | Details of the Infringement | Conditions | |
|---|---|---|---|
| 1. | 22c(a)(2) | Notified that the consumer has no right to cancel a transaction or to receive their money back, and did not qualify the notice in accordance with the provisions of section 2(b2) | — |
| 2. | 22c(a)(7) | Did not return to the consumer the consideration received from them, contrary to the provisions of section 4c(b) or (c) | — |
| 3. | 22c(a)(25a)(b) | In a remote sale transaction for the provision of tourism services as referred to in section 14c2, did not act in accordance with the cancellation policy of the tourism service provider outside Israel as referred to in section 14c2, where the consumer chose the option of the cancellation policy as referred to in that section | — |
| 4. | 22c(a)(26) | Did not return to the consumer the consideration paid in accordance with the provisions under section 14f | — |
| 5. | 22c(a)(27) | Did not give the consumer a credit voucher or gift voucher (hereinafter – voucher) in respect of a transaction cancellation in accordance with the provisions of section 14g(a) or (d), or did not enable the consumer to redeem the voucher in accordance with those provisions | — |
| 6. | 22c(a)(31a) | Did not enable the consumer to give notice of transaction cancellation by each of the means listed in section 14i(a) and (b), in accordance with the provisions of that section | — |
| 7. | 22c(b)(1) | Did something likely to mislead a consumer in a material matter of a transaction, contrary to the provisions of section 2(a) or (c) | For the purposes of section 2(c) – provided that the advertisement is directed at a group of consumers of the type listed in sub-paragraphs (a) to (c) of paragraph (2) of the definition of "aggravating circumstances" in section 22d(b) |
| 8. | 22c(b)(3) | Exercised undue influence as referred to in section 3(b), except for paragraphs (5) to (7) thereof | — |
| 9. | 22c(b)(8) | Continued to charge a consumer payments, contrary to the provisions of section 13a(c) | — |
| 10. | 22c(b)(9) | Did not enable a consumer to cancel a fixed-term transaction of the type listed in the Fourth Schedule, in the manner and under the conditions detailed therein, contrary to the provisions of section 13a1 or section 3 of the Consumer Protection Law (Amendment No. 37), 5774-2014 | — |
| 11. | 22c(b)(10) | Continued to charge a consumer payments for goods or services provided after the date of cancellation, contrary to the provisions of section 13d(c) | — |
| 12. | 22c(b)(13) | Collected cancellation fees from a consumer, contrary to the provisions of section 13f(a)(1) or (2) | — |
| 13. | 22c(b)(14) | Did not return to the consumer part of the transaction price or did not cancel the consumer's charge in accordance with the provisions of section 13g | — |
| 14. | 22c(b)(15) | Did not return to the consumer the consideration paid in accordance with the provisions of section 14(b) | — |
| 15. | 22c(b)(16) | Did not return to the consumer the part of the transaction price paid by them or did not cancel the consumer's charge in accordance with the provisions of section 14e | — |
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Contact Us →Eighth Schedule (section 22c(d))
| Sales turnover as assessed to the best of judgment (in new shekels) | Amount of the monetary sanction (in new shekels) | |
|---|---|---|
| 1. | Up to 10 million | 500,000 |
| 2. | Over 10 million and up to 20 million | 1 million |
| 3. | Over 20 million and up to 100 million | 5 million |
| 4. | Over 100 million | 10 million |
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