Debt Collection

Can an Israeli court freeze a debtor's assets before a final judgment is entered?

Yes. Under Section 75(2) of the Courts Law (Consolidated Version) 5744-1984, an Israeli court has broad authority to grant interim relief, including a pre-judgment attachment order (atzurat nechassim) that freezes specified assets. A creditor must show a prima facie claim and that there is a real risk the debtor will dissipate or transfer assets before judgment can be enforced. The order can cover bank accounts, real property, vehicles, and business interests. It can be granted ex parte — without prior notice to the debtor — where disclosure would defeat its purpose, and typically takes effect within 24 to 48 hours of application.

Pre-judgment asset freezes in Israel are governed by both the Courts Law 5744-1984 and the Civil Procedure Regulations 5744-1984. An *atzurat nechassim* — a temporary attachment of assets — allows a creditor to register a freeze against specific property at the Land Registry, direct a bank to freeze accounts, block vehicle registrations, or restrain transfers of shares. To obtain the order, the applicant must satisfy two tests: first, a prima facie case (*tviut bet mishraat*) showing the underlying claim is plausible on the evidence presented; and second, the balance of convenience (*shikul dvraim*), demonstrating that the harm to the creditor from not freezing the assets outweighs the harm to the debtor from the freeze. Courts also apply a "real risk of dissipation" requirement — concern about non-payment is not sufficient on its own; there must be evidence suggesting the debtor is moving or concealing assets.

For a foreign creditor seeking to collect from an Israeli debtor, a pre-judgment freeze can be a decisive early step, securing assets before the debtor becomes aware of the claim. The procedure is initiated by filing an urgent motion with the relevant District Court or Magistrate's Court, accompanied by an affidavit, supporting documents, and a bank guarantee or cash deposit to cover the debtor's potential damages if the order is later found to have been wrongly granted. The deposit typically represents 5%–15% of the sum sought. Creditors who obtain a pre-judgment freeze must usually file the main lawsuit within 30 days or the freeze expires. A detailed guide to the procedure, documentation, and strategy is available in the complete guide to pre-judgment asset freezes in Israel.

⚖ In Practice
  • Governing law: Section 75(2), Courts Law (Consolidated Version) 5744-1984; Civil Procedure Regulations 5744-1984
  • Competent authority: District Court (Beit Mishpat Mehozi) for large claims; Magistrate's Court (Beit Mishpat HaShalom) for claims under NIS 2.5 million
  • Security deposit: typically 5%–15% of the sum sought, lodged as a bank guarantee (arevut bankait) or cash with the court
  • Ex parte: order can be granted without notice if disclosure would defeat its purpose; debtor is then served and may apply to set it aside
  • Freeze duration: temporary order until the main lawsuit is decided; the main claim must usually be filed within 30 days of the freeze order
  • Bank execution: Israeli banks execute court freeze orders on accounts within 24–48 hours of service

From the full guide: Pre-Judgment Asset Freezes in Israel: Procedure and Strategy


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