Can a party start court proceedings to avoid arbitration?

Not if there is a valid arbitration agreement. Section 5 of the Arbitration Law 5728-1968 gives the other party the right to apply to the court to stay those proceedings and refer the dispute back to arbitration. Israeli courts consistently grant such stays when a written arbitration agreement covers the dispute. Under the ICA Law 2024 Article 8, courts hearing international commercial disputes must refer the matter to arbitration on the application of any party. The key is raising the arbitration clause as your very first response before filing any substantive defence. For more detail, see When the Other Party Refuses to Arbitrate in Israel: Your Legal Options.