LAWS OF THE STATE OF ISRAEL
VOL. 25 5731—1970/71
FROM 12th CHESHVAN, 5731—11.11.70 to 6th AV, 5731—28.7.71
Authorised Translation from the Hebrew Prepared at the Ministry of Justice
PUBLISHED BY THE GOVERNMENT PRINTER LAWS OF THE STATE OF ISRAEL
VOL. 25 5731 — 1970/1
FROM 12th CHESHVAN, 5731—11.11.70 to 6th AV, 5731—28.7.71
Authorised Translation from the Hebrew Prepared at the Ministry of Justice
PUBLISHED BY THE GOVERNMENT PRINTER CONTENTS Page Laws , 3 Budget Law 194 Index of Laws in the Order of the Dates of Their Adoption by the Knesset 205 Alphabetical Index of Laws 208
EXPLANATIONS /. R. — The Official Gazette during the tenure Iton Rishmi of the Provisional Council of State Reshumot — The Official Gazette since the inception of the Knesset
Sections of Reshumot referred to in this translation : Yalkut Ha-Pirsumim — Government Notices Sefer Ha-Chukkim — Principal Legislation Chukkei Taktziv — Budgetary Legislation Kovetz Ha-Takkanot — Subsidiary Legislation Hatza'ot Chok — Bills Chukkei Taktziv (Hatzafot) — Budget Bills Dinei Yisrael (from No. 2 : — The revised, up-to-date and binding Dinei Medinat Yisrael) Hebrew text of legislation enacted be• (Nusach Chadash) fore the establishment of the State P. G. — The Official Gazette of the Mandatory Palestine Gazette Government — The 1934 revised edition of Palestine Laws of Palestine legislation (Drayton) — The authorised English translation, of LSI which this volume forms part, of Is• raeli legislation Laws of the State of Israel — An English edition of the revised text of pre-State legislation (see above) NV Laws of the State of Israel (New Version) LAWS
(No. 1)
STATE OF ISRAEL BONDS (FIFTH DEVELOPMENT ISSUE) LAW, 5731-1970*
1. The Minister of Finance is authorised to borrow, on behalf of Authorisation the State of Israel, a sum not exceeding 750,000,000 dollars (coin or to accept loan. currency of the United States of America, or its equivalent in currencies of other countries) and for this purpose to issue and sell from time to time bonds in the United States of America and other countries.
2. The bonds issued under this Law (hereinafter referred to as Title and "Bonds") shall be denominated "State of Israel Bonds (Fifth Develop• designation of bonds. ment Issue)" or with such variations of title and with such series designations as the Minister of Finance may determine.
3. The Bonds may be issued in annual or other series, and the Power of Minister of Finance may from time to time determine the form of Minister of Finance. the Bonds and of each series thereof, the amounts in which they shall be issued, subject to the limitation imposed by section 1, the modes of their issue and the terms and conditions applicable to them, including restrictions on their transfer. Such terms and conditions need not be uniform for all series, but may vary from series to series.
4. (a) The bonds may be issued on an interest-bearing basis, on a Denominations, types and capital appreciation basis, or on a combination interest-bearing and characteristics capital appreciation basis, and shall mature at such time or times as may of bonds. be prescribed by the Minister of Finance, provided that no Bond issued un• der this Law shall mature later than 15 years after the date of issue. Bonds issued on an interest-bearing basis shall bear such rate of interest, and bonds issued on a capital appreciation basis shall carry such rate of appreciation and Bonds issued on a combination interest-bearing and capital appreciation basis shall bear such rate of interest and carry such rate of appreciation as may be prescribed by the Minister of Finance, provided that no Bond issued under this Law shall afford an investment yield, taking into account any rate of interest or appreciation and any discount or premium applicable thereto, exceeding 4 p. ct. per annum, com• pounded semi-anually. The Bonds shall be of such denominations and may be sold at such price or prices and redeemed or repurchased before and at maturity upon such terms and conditions consistent with the provisions of this Law as the Minister of Finance may from time to time prescribe.
Passed by the Knesset on the 12th Cheshvan, 5731 (11th November, 1970) and published in Sefer Ha-Chukkim No. 607 of the 21st Cheshvan, 5731 (20th November, 1970), p. 2; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 906 of 5731, p. 12.
3 (b) The Minister of Finance may authorise the acceptance of outstanding obligations of the State of Israel in payment for the Bonds, and he may designate the obligations of the State of Israel which may be so accepted and the terms and conditions of such acceptance.
Signature 5. (a) A Bond shall bear the State Seal or State Emblem or a en Bonds. facsimile of either. (b) A Bond shall bear the signature of the Prime Minister and the Minister of Finance or the facsimile of such signatures printed from engraving; the coupon annexed to a Coupon Bond need only bear the facsimile of the signature of the Minister of Finance. (c) The Minister of Finance may prescribe that a Bond shall be signed by additional persons appointed by him in that behalf from among persons employed in the service of the State of Israel; notice of the appointment shall be published in Reshumot.
Repayment 6. The principal, interest, appreciated principal and redemption or at maturity. repurchase price payable under the Bonds shall, subject to the provision of section 8 for repurchase with Israel currency at the option of the holder, be paid in legal currency of the United States of America out of the general revenues and assets of the State of Israel. The full faith and credit of the State of Israel is pledged for such payment.
Redemption 7. The Minister of Finance is empowered to prescribe the terms and repurchase and conditions upon which Bonds may be redeemed or repurchased before maturity. prior to maturity, provided, however, that if Bonds are issued in series, the State of Israel shall call no Bond of any series for redemption unless it has called for redemption all Bonds of prior series.
Sinking fund 8. The Minister of Finance may issue directions for the establishment and repurchase of a sinking fund and prescribe the terms and conditions upon which with Israel currency. the State of Israel shall, upon the demand of the holder of a Bond, repurchase the Bond with Israel currency.
Exemption 9. (a) The Bonds shall be exempt from stamp duty. from taxes. (b) If the actual owner of a Bond is resident abroad, the principal, interest, appreciated capital and redemption or repurchase price pay• able thereunder, or any income or gain obtained in transactions therein, shall be free of all taxes, whether ad valorem or otherwise, and whether of specific or general applicability, which are, or may in the future be, imposed in Israel.
Administration. 10. The Minister of Finance may appoint Fiscal Agents in the United States of America and other countries for the purposes of this Law and may enter into contracts on behalf of the State of Israel with any person for the carrying out of any operation incidental to the issue, flotation, registration and transfer of the Bonds.
4 11. (a) The Minister of Finance is charged with the implementation Implementation of this Law and may - and "P^tioi.•. (1) execute, either personally or through a person appointed by him in that behalf in writing, any document (including any contract of the kind referred to in section 10) deemed by him to be necessary or desirable for the implementation of this Law; (2) appoint agents abroad in order to carry on in his name the sale of, and other services connected with, the Bonds; (3) appoint registrars and transfer agents and establish offices for maintaining records of the registration and transfer of the Bonds. (b) The expenses incidental to the implementation of this Law shall be paid out of general revenues and assets of the State of Israel. (c) The Minister of Finance may make regulations as to any matter relating to the implementation of this Law.
GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice Acting Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
(No. 2)
STATE OF ISRAEL BONDS (THIRD DEVELOPMENT INVESTMENT ISSUE) LAW, 5731-1970*
1. The Minister of Finance is authorised to borrow, on behalf of Authorisation the State of Israel, a sum not exceeding 250,000,000 dollars (coin to accept loan. or currency of the United States of America, or its equivalent in currencies of other countries) and for this purpose to issue and sell from time to time bonds in the United States of America and other countries.
2. The bonds issued under this Law (hereinafter referred to as Title and "Bonds") shall be denominated "State of Israel Bonds (Third De• designation of bonds. velopment Investment Issue)" or with such variations of title and with such series designations as the Minister of Finance may determine.
3. The Bonds may be issued in annual or other series, and the Power of Minister of Finance may from time to time determine the form of Minister of the Bonds and of each series thereof, the amounts — not less than Finance.
Passed by the Knesset on the 12th Cheshvan, 5731 (11th November, 1970) and published in Sefer Ha-Chukkim No. 607 of the 21st Cheshvan, 5731 (20th November, 1970), p. 4; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 906 of 5731, p. 15.
5 2,500 dollars of the United States of America or the equivalent thereof in currencies of other countries — in which they shall be issued, subject to the limitation imposed by section 1, the modes of their issue and the terms and conditions applicable to them, including restrictions on their transfer. Such terms and conditions need not be uniform for all series, but may vary from series to series.
Denominations, 4. (a) The Bonds shall only be issued on an interest-bearing basis, types and and shall mature at such time or times as they may be prescribed by characteristics. the Minister of Finance, provided that no Bond issued under this Law shall mature later than 20 years after the date of issue. The Bonds shall bear such rate of interest as may be prescribed by the Minister of Finance, provided that no Bond issued under this Law shall afford an investment yield, taking into account any rate of interest and any discount or premium applicable thereto, exceeding 5£ per cent per annum, payable semi-anually. The Bonds shall be of such denominations — not less than 2,500 dollars of the United State of America or the equivalent thereof in currencies of other countries — arid may be sold at such price or prices and redeemed or repurchased be• fore and at maturity upon such terms and conditions consistent with the provisions of this Law, as the Minister of Finance may from time to time prescribe. (b) The Minister of Finance may limit the individuals, bodies corporate, organisations, institutions and other bodies permitted to acquire Bonds. (c) The Minister of Finance may authorise the acceptance of outstanding obligations of the State of Isirael in payment for the Bonds, and he may designate the obligations of the State of Israel which may be so accepted and the terms and conditions of such acceptance.
Signature 5. (a) A Bond shall bear the State Seal or State Emblem or a on Bonds. facsimile of either. (b) A Bond shall bear the signature of the Prime Minister and the Minister of Finance or the facsimile of such signatures printed from engraving; the coupon annexed to a Bond need only bear the facsimile of the signature of the Minister of Finance. (c) The Minister of Finance may prescribe that a Bond shall be signed by additional persons appointed by him in that behalf from among persons employed in the service of the State of Israel; notice of the appointment shall be published in Reshumot.
Repayment 6. The principal, interest and redemption or repurchase price payable at maturity. under the Bonds shall, subject to the provision of section 8 for re• purchase with Israel currency at the option of the holder, be paid in legal currency of the United States of America out of the general revenues and assets of the State of Israel. The full faith and credit of the State of Israel is pledged for such payment.
6 7. The Minister of Finance is empowered to prescribe the terms Redemption and conditions upon which Bonds may be redeemed or repurchased and repurchase before maturity. prior to maturity, provided, however, that if Bonds are issued in series, the State of Israel shall call no Bond of any series for redemption unless it has called for redemption all bonds of prior series.
8. The Minister of Finance may issue directions as to the establish• Sinking fund ment of a sinking fund and may prescribe the terms and conditions and repurchase with Israel upon which the State of Israel shall, upon the demand of the holder currency. of a Bond, repurchase the Bond with Israel currency.
9. (a) The Bonds shall be exempt from stamp duty. Exemption from taxes. (b) If the actual owner of a Bond is resident abroad, the principal, interest and redemption or repurchase price payable there• under, and any income or gain obtained in transactions therein, shall be free of all taxes, whether ad valorem or otherwise, and whether of specific or general applicability, which are or may in the future be, imposed in Israel.
10. The Minister of Finance may appoint Fiscal Agents in the United Administration. States of America and other countries for the purposes of this Law and may enter into contracts on behalf of the State of Israel with any person for the carrying out of any operation incidental to the issue, flotation, registration and transfer of the Bonds.
11. (a) The Minister of Finance is charged with the implementation Implementation of this Law and may — and regulations. (1) execute, either personally or through a person appointed by him in that behalf in writing, any document (including any contract of the kind referred to in section 10) deemed by him to be necessary or desirable for the implementation of this Law; (2) appoint agents abroad in order to carry on in his name the sale of, and other services connected with, the Bonds; (3) appoint registrars and transfer agents and establish of• fices for maintaining records of the registration and transfer of the Bonds. (b) The expenses incidental to the implementation of this Law shall be paid out of the general revenues and assets of the State of Israel. (c) The Minister of Finance may make regulations as to any matter relating to the implementation of this Law.
GÖLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice Acting Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
7 (No. 3)
PURCHASE TAX (GOODS AND SERVICES) (AMENDMENT No. 5) LAW, 5731-1970*
Amendment of 1. In section 1 of the Purchase Tax (Goods and Services) Law, section 1. 5712-1952 1 (hereinafter referred to as "the principal Law"), at the end of the definition of "sale", there shall be added the words "and the receipt of goods after a manufacturing operation has been carried out thereon, and the manufacture by a person for his own requirements of goods which the Minister of Finance has prescribed by order with the approval of the Finance Committee of the Knesset".
Replacement 2. Section 5 of the principal Law shall be replaced by the following of section 5 section: and addition of sections "Objection 5. (a) A person who considers himself aggrieved by 5A, 5B and 5C. and interim tjle classification of any goods or service or by the determi- objection • • nation of any wholesale price or the price of any service or by an act of the Director under section 4(f) in respect of any goods may lodge objection with an objection committee within thirty days from the day on which notice of the classification, determination or act was given him, provided that he has deposited with the Director the amount of the tax (at the time fixed for its payment) or the goods, as the case may be, or has given security as determined by the Director. • (b) The Director's determination concerning secur• ity under subsection (a) shall be open to interim ob• jection to be lodged with the chairman of the objection committee within thirty days from the day on which notice as referred to in subsection (a) is given to the objector. The decision of the chairman of the objection committee shall be given within fourteen days and shall be final. (c) Where interim objection has been lodged under subsection (b), objection may be lodged without a deposit or security as provided in subsection (a), but the committee shall not hear the objection so long as the objector has not complied with the decision of the chairman of the objection committee on the interim objection.
Passed by the Knesset on the 26th Cheshvan, 5731 (25th November, 1970) and published in Sefer Ha-Chukkim No. 608 of the 5th Kislev, 5731 (3rd December, 1970), p. 8; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 888 of 5730, p. 190. Sefer Ha-Chukkim of 5712, p. 344 — LSI vol. VI, p. 150; Sefer Ha- Chukkim of 5714, p. 113 — LSI vol. VIII, p. 95; Sefer Ha-Chukkim of 5718 p. 60 — LSI vol. XII, p. 72; Sefer Ha-Chukkim of 5722, p. 44 — LSI vol. XVI, p. 34; Sefer Ha-Chukkim of 5728, p. 157 — LSI vol. XXII, p. 180.
8 Objection 5A. (a) The Minister of Justice shall, in consultation committee. with the Minister of Finance, appoint objection commit• tees of three members for the purposes of section 5. The chairman of an objection committee shall be a person inscribed on the Roll of Advocates. (b) The provisions of sections 9 to 11 of the Commissions of Inquiry Law, 5729-19691, shall apply mutatis mutandis to an objection committee. (c) An objection committee may decide upon the costs of the objection, including advocate's fee, travelling expenses and loss-of-working-time allowance of witnesses. Appeal to 5B. The decision of an objection committee is appeal• District Court. able to the District Court on a point of law within thirty days from the day on which it is brought to the know• ledge of the objector. Rules, of 5C. The Minister of Justice may by regulations pre• procedure, fees scribe rules of procedure for objections, interim objec• and remuneration. tions and appeals under sections 5 and 5B, and he may also prescribe the fees payable and the remuneration of the members of an objection committee."
3. (A linguistic amendment not affecting the English version).
4. In section 16 of the principal Law, the words "may appeal against Amendment of it" in subsection (h) shall be replaced by the words "may lodge ob• section 16. jection to it".
5. In section 19 of the principal Law, the words "may appeal against Amendment of it' to an appeals committee" in subsection (c) shall be replaced by the section 19. words "may lodge objection to it with an objection committee" and the words "except subsection (b) thereof" shall be deleted.
6. In section 22 of the principal Law, the words "may appeal against Amendment of it" in subsection (b) (3) shall be replaced by the words "may lodge section 22. objection to it".
7. In section 27 of the principal Law, after the words "the goods Amendment of on which the tax was paid" in subsection (a) (1), there shall be inserted section 27. the words "not being goods on which the tax was paid at the time of importation."
8. It is hereby declared that the law is, and has always been, as Application of provided in section 7. section 7.
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance
SHNEUR ZALMAN SHAZAR President of the State
1) Sefer Ha-Chukkim of 5729, p. 28; LSI vol. XXIII, p. 32.
9 . . ׳ (No. 4) SECURITIES (AMENDMENT No. 2) LAW, 5731-1970*
Addition of 1. In the Securities Law, 5728-19681, the following section shall section 54A. De inserted at the beginning of Chapter Ten : "Exemption. 54A. (a) The Minister of Finance may, with the ap proval of the Finance Committee of the Knesset, direct that all or any of the provisions of this Law and the regulations made thereunder, except Chapter Eight and sections 39(a) and (b) and 54, shall not apply to secur ities of the Jewish Agency, provided that any offer there of to the public is made in writing, in a document indi cating the grant of approval under section 39 and the conditions and particulars of the approval. (b) A direction of the Minister of Finance under subsection (a) may be issued either generally or in re spect of particular classes of securities of the Jewish Agency. (c) In this section — "the Jewish Agency" means the Zionist Ex ecutive and the Executive of the Jewish Agency for Eretz Israel, within the meaning of these terms in the World Zionist Organi sation — Jewish Agency for Eretz Israel (Status) Law, 5713-19522, and includes the Keren Hayesod — United Israel.Appeal; "securities of the Jewish Agency" means — (1) certificates issued in series by the Jewish Agency and conferring a right of claim against it; (2) certificates issued with the consent of the Jewish Agency and conferring on their owners a right of participation in loans which the issuer of the certificates grants the Jewish Agency, whether such issuer is registered in or outside Israel, provided that the Minister of Finance, with the consent of the Finance Committee of the Knesset, has approved the issuer in that behalf.".
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State * Passed by the Knesset on the 5th Kislev, 5731 (7th December, 1970) and published in Sefer Ha-Chukkim No. 609 of the 19th Kislev, 5731 (17th December, 1970), p. 12; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 906 of 5731, p. 18. 1) Sefer Ha-Chukkim of 5728, p. 234 — LSI vol. XXII, p. 266. 2) Sefer Ha-Chukkim oi 5713, p. 2 — LSI vol VII, p. 3. (No. 5)
EMERGENCY REGULATIONS (EXTENSION OF RESERVE SERVICE AGE) (EXTENSION OF VALIDITY) LAW, 5731-1970*
1. The validity of the Emergency Regulations (Extension of Reserve Extension of Service Age), 5730-19701, is hereby extended until the 13th Tevet, validitV• 5732 (31st December, 1971).
2. This Law shall come into force on the 3rd Tevet, 5731 (31st Commencement. December 1970). GOLDA MEIR MOSHE DAYAN Prime Minister Minister of Defence SHNEUR ZALMAN SHAZAR President of the State
(No. 6)
CONTRACTS (REMEDIES FOR BREACH OF CONTRACT) LAW, 5731-1970**
CHAPTER ONE : GENERAL PROVISIONS
1. (a) In this Law — "breach" means an act or omission in contravention of a Definitions, contract; "injured party" means a person entitled to performance of a contract which has been broken; "enforcement" means enforcement by an order for the dis• charge of a monetary obligation or some other mandatory order or by a restraining order, and includes enforcement by an order for the repair or removal of the consequences of the breach; "damage" includes prevention of profit. (b) Every reference in this Law to the breach of a contract shall be taken to include a breach of any of its obligations.
* Passed by the Knesset on the 9th Kislev, 5731 (7th December, 1970) and published in Sefer Ha-Chukkim No. 609 of the 19th Kislev, 5731 (17th December, 1970) p. 13; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 908 of 5731, p. 24. 1) Kovetz Ha-Takkanot of 5730, p. 444; Sefer Ha-Chukkim of 5730, p. 14 — LSIvo\. XXIV, p. 11. ** Passed by the Knesset on the 17th Kislev, 5731 (15th December, 1970) and published in Sefer Ha-Chukkim No. 610 of the 26th Kislev, 5731 (24th December 1970), p. 16; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 857 of 5729, p. 396.
11 Remedies of 2. Where a contract has been broken, the injured party is entitled injured party. t0 c]aim jts enforcement or to rescind the contract, and in addition to or in lieu of one of the said remedies he is entitled to compensation, all as provided in this Law.
CHAPTER Two : REMEDIES
ARTICLE ONE : ENFORCEMENT OF CONTRACT
Right of 3. The injured party is entitled to enforcement of the contract unless enforcement. one of the following obtains : (1) the contract is impossible of performance; (2) enforcement of the contract consists in compelling the doing or acceptance of personal work or a personal service; (3) implementation of the enforcement order requires an unreasonable amount of supervision on behalf of a court or an execution office; (4) enforcement of the contract in the circumstances of the case is unjust.
Conditions of 4. The Court may make enforcement of the contract conditional enforcement. upon fulfilment of the obligations of the injured party or upon assurance of their fulfilment or upon other conditions necessarily resulting from the contract in the circumstances of the case.
Enforcement in 5. Where an enforcement order is made in respect of an obligation the case of to transfer the ownership of or a right in property and the transfer transaction requiring requires registration in a register kept under any enactment, the registration. registration shall be made by virtue of the enforcement order and in accordance with its provisions as if it were made on the application of the parties.
ARTICLE Two : RESCISSION OF CONTRACT
Definition. 6. For the purposes of this article, "fundamental breach" means a breach as to which it may be assumed that a reasonable person would not have entered into the contract had he foreseen the breach and its consequences, or a breach as to which it has been agreed in the contract that it shall be regarded as fundamental; a sweeping stipula• tion in a contract making breaches fundamental without differentiating between them is invalid unless it was reasonable at the time the contract was made.
Right to rescind. 7. (a) The injured party is entitled to rescind the contract if the breach thereof is fundamental. (b) Where the breach of the contract is not fundamental, the injured party may rescind the contract if he has first given the person in breach an extension of time for its performance and the contract has not been performed within a reasonable time after the giving of
12 extension, unless in the circumstances of the case rescission of the contract is unjust; the plea that rescission of the contract is unjust shall not be heard unless the person in breach opposes the rescission within a reasonable time after notice of rescission is given. (c) Where the contract is severable into parts and one of the parts has been broken in a manner giving cause for rescission of that part, the injured party is only entitled to rescind the part which has been broken; if the breach constitutes also a fundamental breach of the whole contract, the injured party is entitled to rescind the part which has been broken or the whole contract.
8. Rescission of the contract shall be by notice by the injured party, Rescission within a reasonable time after he learnt of the breach, to the person procedure. in breach; however, in the case referred to in section 7(b) and in every other case in which the injured party has given an extension of time for performance of the contract, notice of rescission shall be given within a reasonable time after the extension of time has expired.
9. (a) Where the contract is rescinded, the person in breach shall Restitution after restore to the injured party what he has received thereunder, or, if restitu• rescission. tion is impossible or unreasonable or the injured party so chooses, shall pay him the value thereof; and the injured party shall restore to the person in breach what he has received under the contract, or, if restitu• tion is impossible or unreasonable or the injured party so choses, shall . pay him the value thereof. (b) Where part of the contract is rescinded, the provisions of subsection (a) shall apply to what the parties have received under that part.
ARTICLE THREE : COMPENSATION
10. The injured party is entitled to compensation for the damage Right to caused to him by the breach and its consequences and which the compensation. person in breach foresaw or should have foreseen, at the time the contract was made, as a probable consequence of the breach.
11. (a) Where an obligation to supply or receive any property or Compensation service has been broken and the contract is rescinded by reason of without proof of the breach, the injured party shall, without proof of damage, be damage. entitled to compensation in the amount of the difference between the consideration for the property or service under the contract and its value on the date of rescission of the contract. (b) Where an obligation to pay a sum of money has been broken, the injured party shall, without proof of damage, be entitled to compensation in the amount of the interest on the sum in arrears from the date of the breach to the date of payment, at the full rate under the Adjudication of Interest Law, 5721-19611, unless the Court has prescribed a different rate.
1) Sefer H,a-Chukkim of 5721, p. 192 ; LSI vol. XV, p. 214.
13 Saving of right. 12. The provisions' of section 11 shall not derogate from the right of the injured party to compensation for damage proved under section 10;. however, if the consideration in respect of the obligation that has been broken was unreasonable, or if there was no consideration at all, the Court may reduce the compensation to the amount indicated in section 11.
Compensation for 13. Where the breach of contract has caused other than pecuniary non-pecuniary damage, the Court may award compensation for that damage at damage. the rate it deems appropriate in the circumstances of the case.
Reduction of 14. (a) The person in breach shall not be liable to pay compensation damage.• under sections 10, 12 and 13 for damage which the injured party could have prevented or reduced by reasonable measures. (b) Where the injured party has incurred reasonable expenses or contracted reasonable liabilities for the prevention or reduction of damage, the person in breach shall indemnify him therefor, whether or not the damage was in fact prevented or reduced; if the expenses or liabilities were unreasonable, the person in breach shall indemnify the injured party to the extent reasonable in the circumstances of the case.
Agreed 15. (a) Where the parties have agreed in advance on the rate of compensation. compensation (such compensation hereinafter referred to as "agreed compensation"), compensation shall be as agreed, without proof of damage; however, the Court may reduce the compensation if it • finds that it was fixed without any reasonable relation to the damage which could be foreseen, at the time the contract was made, as a probable consequence of the breach. (b) An agreement as to agreed compensation shall not by itself derogate from the right of the injured party to claim compensation under sections 10 to 14 in lieu thereof or from any other remedy for breach of contract. (c) For the purposes of this article, sums which the person in breach paid to the injured party before the breach and which the parties agreed in advance should be forfeited to the injured party are deemed to be agreed compensation.
Compensation 16. In fixing the amount of compensation, no sum which by reason and insurance. of the breach of contract the injured party has received or is entitled to receive under a contract of insurance shall be taken into account.
CHAPTER THREE : MISCELLANEOUS
Anticipatory ,17. Where a party to the contract indicates his intention not to perform breach. it or where it appears from the circumstances that he will be unable or unwilling to perform it, the other party is entitled to the remedies under this Law even before the time fixed for performance of the contract; but the Court shall not, in making an enforcement order, direct that an obligation shall be carried out before the time fixed for its performance.
14 18. (a) Where the breach of contract is the result of circumstances Exemption by which at the time of making the contract the person in breach did reason of constraint or not know of or foresee and need not have known of or foreseen, and frustration of which he could not have avoided, and performance of the contract contract. under these circumstances is impossible or fundamentally different from what was agreed between the parties, the breach shall not give cause for enforcement of the contract or for compensation. (b) In the cases referred to in subsection (a), the Court may, whether or not the contract has been rescinded, require each party to restore to the other party what he has received under the contract or, at his choice as provided in section 9, to pay him the value thereof, and require the person in breach to indemnify the injured party for expenses reasonably incurred and liabilities reasonably contracted by him for the performance of the contract, all if and in so far as the Court deems it just to do so in the circumstances of the case.
19. Where in consequence of the contract the injured party has Lien. received any property of the person in breach which he must return, the injured party shall have a lien on such property to the extent of the sums due to him from the person in breach in consequence of the breach.
20. Mutual debts of the parties under this Law may be set off. Set-off.
21. (a) Notice under this Law shall be given in the manner determin• Provisions ! ed by the parties, and in the absence of such a determination, by registered to notice. post or in some other manner customary in the circumstances of the case. (b) An injured party who has given notice as provided in sub• section (a) and who has reason to believe that the notice reached its destination in time may rely on it even if its arrival was delayed or it has not arrived at all.
22. (a) This Law shall not derogate from the power of the Court Saving of laws, to grant a• declaratory judgment, a mandatory or restraining order (whether provisional or permanent), an interim decision or any other relief. (b) The provisions of this Law shall apply where no Law re• gulating labour relations or any other Law contains special provisions for the matter in question.
23. Articles 106 to 111 of the Ottoman Code of Civil Procedure of Repeal, the 2nd Rejeb, 1296 (21st June, 1879) are hereby repealed.
24. In matters dealt with by this Law, article 46 of the Palestine Autarky of Law. Order in Council, 1922-1947 \ shall not apply.
1) Laws of Palestine, vol. Ill, p. 2569 (English Edition).
15 Commencementi0nat l 25. This Law shall come into force on the 1st Nisan, 5731 (27th ^lu^!f! March, 1971); contracts made before the coming into force of this provisions. Law shall continue to be governed by the previous law.
GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Acting Minister of Finance
SHNEUR ZALMAN SHAZAR President of the State
(No. 7)
STANDARDS (AMENDMENT No. 2) LAW, 5731-1970*
1 Amendment of 1. In section 1 of the Standards Law, 5713-1953 (hereinafter referred section 1. to as "the principal Law"), the definition of "specification" shall be replaced by the following definition : "specification" means a description of the properties of a commodity, including all or any of the following particulars: destination, action, purpose, process of production, installation, operation, modes of use; quality and modes of preservation there• of; quantity, dimensions and modes of measurement thereof; modes of testing, storage, maintenance and transportation; origin, ap• pellation, marking and packing, and such other particulars of the commodity or the parts or materials of which it consists as the institute may require;".
Replacement of 2. Section 2 of the principal Law shall be replaced by the following section 2. section : "The Standards 2. The Israel Standards Institute (hereinafter referred
Institute a tQ as «tne Institute") is a body corporate competent in anYan^spTcted respect of any right, obligation and legal act and is body. subject to inspection by the State Comptroller.".
Addition of 3. The following section shall be inserted after section 2 of the section 2A. principal Law: "Objects of 2A. The object of the Institute is standardisation and
Institute. tne assurance, either by prescribing standards or other• wise, of an appropriate level of the quality of commodi• ties; and it may, inter alia, carry out research on and
* Passed by the Knesset on the 23rd Kislev, 5731 (21st December, 1970) and published in Sefer Ha-Chukkim No. 611 of the 2nd Tevet, 5731 (30th December, 1970)1, p. 22; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 878 of 5730, p. 113. 1) Sefer Ha-Chukkim of 5713, p. 30 — LSI vol. VII, p. 24; Sefer Ha-Chukkim of 5718, p. 2 — LSI vol. XII, p. 3.
16 surveys and tests of materials, products and installations, approve specifications and technical rules and encourage the use thereof, and supervise the production of com• modities in accordance with rules prescribed by it.".
4. In section 6 of the principal Law — Amendment of section 6. (1) the mark "(a)" shall be inserted after the figure "6" and the words "including technical definitions" shall be inserted after the words "technical rules of a work process"; (2) the following subsection shall be inserted after subsection (a): "(b) Notice of the determination of a standard shall be published in Reshumot".
5. The following section shall be inserted after section 7 of the Addition of principal Law : section 7A. "Provisional 7A. (a) The Institute may determine a standard not standard. drawn up in accordance with section 7 (hereinafter re• ferred to as a "provisional standard"), provided that it has been drawn up according to rules prescribed by the Institute for that purpose with the consent of the Minister of Commerce and Industry and the approval of the Economic Committee of the Knesset; the rules shall be published in Reshumot. (b) Where the Institute has determined a standard as referred to in subsection (a), it shall forthwith begin proceedings for drawing up a standard in accordance with section 7. (c) A provisional standard shall expire on the day indicated in the notice of its determination in Reshumot but not later than 36 months after publication of that notice. A standard which has expired as aforesaid shall not again be determined as a standard under sub• section (a). (d) Where a provisional standard has expired, notice. of the fact shall be published in Reshumot. (e) Save as otherwise provided in this Law, all the provisions of Law applying to a standard shall apply to a provisional standard.".
6. In section 12 of the principal Law, subsection (b) shall be repealed Amendment of and subsection (c) shall be re-marked as subsection (b). section 12.
7. The following sections shall be inserted after section 12A of the Addition of principal Law: sections 12B and 12C. "Supervision 12B. (a) Where the production of a commodity the mark. specification of which has not been defined as a standard is supervised by the Institute in accordance with a spe• cification approved by it, the Institute may permit such
17 commodity to be marked with a mark attesting super• vision by the Institute and may prescribe conditions for such marking. (b) The Institute may at any time, by reasoned notice in writing, cancel a permit issued under subsec• tion (a). (c) No person shall use a mark as referred to in subsection (a) without a permit under that subsection. (d) A permit under this section shall not be can• celled by reason only that a commodity ordered by the Defence Army of Israel for its own exclusive use does not conform to an approved specification, such non• conformity being necessitated by the terms of the order, provided that the commodity is marked with a mark pre• scribed by the Minister of Defence by regulations. Receipt of 12C. The Institute may receive remuneration for the remuneration, services provided by it, as shall be prescribed by the Minister of Commerce and Industry or an employee of his Ministry empowered therefor on his behalf.".
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Commerce and Industry SHNEUR ZALMAN SHAZAR President of the State
(No. 8) EMERGENCY REGULATIONS (CONTROL OF SHIPS) (AMENDMENT) (EXTENSION OF VALIDITY) LAW, 5731-1970 *
Extension of 1. The validity of the Emergency Regulations (Control of Ships) 1 validity. (Amendment), 5717-1957 } as amended by the Schedule, is hereby extended until the 13th Tevet, 5732 (31st December, 1971).
Commencement. 2. This Law shall come into force on the 3rd Tevet, 5731 (31st December, 1970).
* Passed by the Knesset on the 1st Tevet, 57*1 (29th December, 1970) and published in Sefer Ha-Chukkim No. 612 of the 10th Tevet, 5731 (7th January, 1971), p. 26; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 905 of 5731, p. 8. 1) Kovetz Ha-Takkanot of 5717, p. 804; Sefer Ha-Chukkim of 5719, p. 15 — LSI vol. XIII, p.14; Sefer Ha-Chukkim of 5720, p. 42— LSI vol. XIV, p. 36; Sefer Ha-Chukkim of 5721, p. 164 — LSI vol. XV, p. 178; Sefer Ha-Chukkim of 5722, p. 92 — LSI vol. XVI, p. 79; Sefer Ha- Chukkim of 5724, p. 40 — LSI vol. XVIII, p. 37; Sefer Ha-Chukkim of 5725, p. 156 — LSI vol. XIX, p. 157; Sefer Ha-Chukkim of 5727, p. 14 — LSI vol. XXI, p. 10; Sefer Ha-Chukkim of 5729, p. 17 — LSI vol. XXIII, p. 21.
18 SCHEDULE (Section 1)
1. In regulation 3B (a), contained in regulation 3, the words "or Amendment of under regulation 105 (3) of the Emergency Regulations, 5717-1956", regulation 3. shall be deleted.
2. Regulation 12, contained in regulation 5, shall be replaced by Amendment of regulation 5. the following regulation:
"Defect, faulty 12. The validity of a direction under these Regulations rendering or shall not be affected by reason only of one of the fol• error. lowing : a defect in wording, a faulty rendering of the name or any other identifying mark of a vessel or the name of the owner or master, or an error as to a name or mark as aforesaid where it has been altered' or the owner or master has changed.".
3. Regulation 6 is hereby revoked. Revocation of regulation 6. GOLDA MEIR SHIMON PERES Prime Minister Minister of Transport
SHNEUR ZALMAN SHAZAR President of the State
(No. 9)
EMERGENCY REGULATIONS (AREAS HELD BY THE DEFENCE ARMY OF ISRAEL — (CRIMINAL JURISDICTION AND LEGAL ASSISTANCE) (EXTENSION OF VALIDITY) LAW, 5731-1970*
1. The validity of the Emergency Regulations (Areas Held by the Extension of Defence Army of Israel — Criminal Jurisdiction and Legal Assistance), validity. 5727-1967 \ is hereby extended until the 13th Tevet, 5732 (31st De• cember, 1971).
2. This Law shall come into force on the 3rd Tevet, 5731 (31st Commencement. December, 1970). GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State
* Passed by the Knesset on the 2nd Tevet, 5731 (30th December, 1970) and published in Sefer Ha-Chukkim No. 612 of the 10th Tevet, 5731 (7th January, 1971), p. 27; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 905 of 5731, p. 9. 1) Kovetz Ha-Takkanot of 5727 p. 2741; Sefer Ha-Chukkim of 5728, p. 20 — LSI vol. XXII, p. 20; Sefer Ha-Chukkim of 5729, p. 32 — LSI vol. XXIII, p. 38; Sefer Ha-Chukkim of 5730, p. 15 — LSI vol. XXIV, p. 14.
19 (No. 10)
ENCOURAGEMENT OF CAPITAL INVESTMENTS (AMENDMENT No. 8) LAW, 5731-1971 *
Amendment of 1. In section 23 (1) of the Encouragement of Capital Investments section 23. Law, 5719-19591 (hereinafter referred to as "the principal Law"), the expression "40B" shall be replaced by the expression "40B (1)".
Amendment of 2. In section 25 (a) of the principal Law, the expression "74, 75 section 25. or 75A" shall be replaced by the expression "74, 75 (a), 75A or 75B (a)".
Addition of 3. The following section shall be inserted after section 25 of the section 25A. principal Law:
"Appeal in 25A. (a) Decisions of the Board under section 75(b) or certain cases. 75B (c) are appealable to the District Court. Where an appeal has been filed, the period prescribed by the afore• said provisions shall be extended until the expiration of thirty days from the date of the decision on the appeal. (b) A decision of the District Court under sub• section (a) shall be final. (c) The Minister of Justice may make regulations as to the procedure in an appeal under this section.".
Amendment of 4. In section 28 (1) of the principal Law, the words "prescribed section 28. under the Interest Law, 5717-1957, or under section 56 of the Bank of Israel Law, 5714-1954, whichever is the higher rate" shall be re• placed by the words "prescribed for interest on arrears by the Interest (Determination of Maximum Rate of Interest) (Amendment) Order, 5730-1970 a, in respect of a loan which is not value-linked (such interest hereinafter referred to as "interest -on-arrears")".
Amendment of In section 29A of the principal Law — section 29A. (1) the words "with a share capital is included" in the opening passage shall be replaced by the words "with a share capital or an increase of the share capital of a company is included" ; (2) paragraph (2) shall be replaced by the following paragraph: "(2) a return as to the allotment of shares against that part of the capital of the company in respect of which approval has been given by the Board".
* Passed by the Knesset on the 7th Tevet, 5731 (4th January, 1971) and published in Sefer Ha-Chukkim No. 613 of the 17th Tevet. 5731 (14th January, 1971), p. 30; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 914 of 5731, p. 51. 1) Sefer Ha-Chukkim of 5719, p. 234 — LSI vol. XIII, p. 258; Sefer Ha- Chukkim of 5730, p. 152 — LSI vol. XXIV, p. 159. 2) Kovetz Ha-Takkanot of 5730, p. 1930.
20 6. In section 40A of the principal Law — Amendment of section 40A. (1) paragraph (2) of the definition of "industrial building" shall be repealed; paragraph (3) shall be re-marked as paragraph (2) and the following paragraph shall be inserted thereafter : "(3) the building, or part thereof, let as specified in para• graph (2), was not sold, leased or let before it was first let as aforesaid;"; (2) the following definitions shall be inserted at the end : "original cost" shall have the same meaning as it has for the purposes of section 21 of the Income Tax Ordinance1, but shall not include financing expenses, administrative and general expenses usually regarded as such according to the accepted rules of accountancy, travelling expenses, running- in expenses and other similar expenses designated by the Ministers by order with the approval of the Finance Com• mittee of the Knesset; "controlling member" shall have the same meaning as it has in section 32 (9) of the Income Tax Ordinance.".
7. Section 40B of the principal Law shall be replaced by the follow- Replacement of ing section: section 40B.
"Right to 40B. There shall be entitled to a grant-in-aid from the grant-in-aid. State in accordance with the provisions of this chapter and subject to the provisions of section 94 — (1) (a) a company which has a share capital; (fc) a cooperative society which has a share capital; (c) a registered partnership with limited liability of the capital of which at least 95 per cent belongs to a company or cooperative society and which owns an approved enterprise, being an industrial enterprise or industrial building; how• ever, if the enterprise is a mine or some other enterprise for the extraction of minerals or an enterprise for the processing of minerals extracted in Israel, the grant-in-aid shall require the ap• proval of the Minister of Finance, the Minister of Commerce and Industry and the Minister of Development; (2) the owner of an approved enterprise or re• cognised enterprise who has acquired as property
1) Dinei Medinat Yisrael (Nusach Chadash) No. 6 of 5721, p. 120 — NV vol. I, p. 145; Sefer Ha-Chukkim of 5728, p. 171 — LSI vol. XXII, p. 193; Sefer Ha-Chukkim of 5730, p. 153 — LSI vol. XXIV, p. 161.
21 of the enterprise any Israel-made machinery or equipment of the kind referred to in section 62(a), as the Ministers may prescribe by order with the approval of the Finance Committee of the Knesset".
Replacement of 8. Section 40C of the principal Law shall be replaced by the following section 40C. section:
"Amount of 40C. (a) (1) A grant-in-aid under section 40B (1) shall
grant-in-aid. De a percentage specified in the Schedule of the original cost of the property of the enter• prise or of the industrial building and of the expenditure incurred by the owner of the enterprise in respect of land development. (2) The amount of the grant-in-aid referred to in paragraph (1) shall not exceed the amount actually paid for shares allotted against capital approved under the project or, in the case of a partnership, the amount actually paid as registered own capital for the implementation of the project. (3) The Ministers may, with the approval of the Finance Committee of the Knesset, prescribe that the amount of a grant-in-aid to an enterprise situated in a Development Zone "A" shall not be limited in the manner indicated in paragraph (2) or shall be limited to the extent prescribed by them. (4) Where before the termination of the period of benefits, within the meaning of section 45, the amount of the capital accord• ing to which the amount of the grant-in-aid was calculated is reduced, otherwise than as a result of losses, the owner of the enterprise shall, in accordance with the provisions of section 75B (a), repay that part of the grant- in-aid which would not have been paid to him if the amount of the capital had from the outset been the reduced amount; for this purpose, a reduction of capital includes any amount paid or debited by the owner of the enterprise to a controlling member out of the said capital, either directly or indirectly, but does not include — (a) amounts permitted as expense in calculating the chargeable income for the purposes of the Income Tax Ordinance; (b) amounts distributed as dividend;
22 (c) the repayment of a loan advanced by a controlling member before the pay ment of the grant-in-aid or so advanced thereafter for a period not exceeding one year. (d) A grant-in-aid under section 40B (2) shall be such percentage of the original cost of the machinery or equipment as the Ministers shall prescribe with the ap proval of the Finance Committee of the Knesset, and it shall also be paid if the owner of the enterprise is entitled to a grant-in-aid under section 40B (1) in respect of the same machinery or equip ment.".
9. In section 40E of the principal Law, the words "in the event Amendment of of its cancellation under section 75A (a)" shall be replaced by the section 40E. words "under section 75B".
10. In section 40F of the principal Law, the following shall be inserted Amendment of at the end: "However, where the Board has made the coming into section40F. force of the approval subject to conditions under section 19, the grant- in-aid shall be paid within thirty days from the date of the coming into force of the approval or within the time stated above, whichever period ends later."
11. In section 43A of the principal Law — Amendment of section 43A. (1) the words "and of income" shall be inserted at the end of the marginal note; (2) the mark "(a)" shall be inserted after the figure "43A", and the words "and of section 2(a) of the Encouragement of Industry shall be inserted after the words "of ,5729-19691״ ,Taxes) Law) sections 21 and 88 of the Ordinance"; (3) the following subsection shall be inserted after subsection (a) : "(b) Where before the termination of the period of benefits, within the meaning of section 45, such part of the industrial building as according to the project need not be first let to an industrial enterprise is sold, there shall be added to the income from the sale thereof such part of the grant-in-aid as bears to the whole thereof the same proportion as the part sold bears to the whole building.".
12. In section 55 of the principal Law, the words "and while the ex- Amendment of emption under section 70 applied to that currency" in paragraphs (1) section 55. and (2) shall be replaced by the words "and while he was exempt by
1) Sefer Ha-Chukkim of 5729, p. 232; LSI vol. XXIII, p. 253.
23 virtue of section 3 of the Defence (Finance) (Exemption) Notice, 5728- 1967!1 from the duty of offering that currency to the Minister of Finance for sale under regulation 6 of the Defence (Finance) Regula• tions, 1941 2".
Amendment of 13. In section 62A (1) of the principal Law, the words "on goods section 62A. acquired, or cleared from Customs Control, by the owner of the enter• prise" shall be inserted after the word "paid".
Addition of 14. The following section shall be inserted after section 74 of the section 74A. principal Law:
"Waiver of 74A. A person who has received approval may waive all benefits. or some of the benefits under this Law, including the grant-in-aid, wholly or in part.".
Amendment of 15. In section 75 of the principal Law — section 75. (1) in the first subsection, the closing passage beginning with the words "and upon its doing so, it may" shall be replaced by the words "and upon its doing so, the fees, taxes and other compulsory charges in respect of which benefits were granted shall be paid unless it has prescribed that they shall not be paid or shall only be paid in part; payment shall be made at the times prescribed by the Board"; (2) in the third subsection, the words "shall have interest added to them at the maximum rate permitted under the Interest Law, 5717-1957" shall be replaced by the words "shall have interest- on-arrears added to them".
Replacement of 16. Section 75A of the principal Law shall be replaced by the fol• section 75A. lowing sections:
"Partial 75A. Where the Board is satisfied that the conditions cancellation of the approval have not been completely fulfilled, it of benefits. may decide that part of the fees, taxes and other com• pulsory charges in respect of which benefits were granted shall be paid at such times as it may prescribe.
Cancellation 75B. (a) Where a grant-in-aid under section 40B (1) of grant-in-aid. has been granted, and the owner of the enterprise or building has not proved that he has complied with the provisions of this Law and the regulations made there• under and that he has implemented the whole of the approved project and fulfilled all the conditions of the approval, he shall repay the grant-in-aid unless the Board has prescribed that he shall not repay it or shall repay only part of it. The grant-in-aid shall be repaid, together
1) Kovetz Ha-Takkanot of 5728, p. 70. 2) P. G. of 1941, Suppl. II, No. 1138, p. 1647 (English Edition).
24 with interest-on-arrears from the day of its receipt, within ninety days from the date on which notice was sent to the owner of the enterprise or building of his duty to repay it or at a later time prescribed by the Board. For the purposes of section 25, the notice shall be regarded as a decision of the Board to demand the repayment of the grant-in-aid; and if the owner of the enterprise has filed objection and has been required to repay the grant-in-aid or part thereof, he shall repay it within thirty days from the day of the decision of the Ministers on the objection. (b) Where a company or cooperative society has received a grant-in-aid under section 40B (1) and a winding-up order is made for it before it has implemented the whole of the approved project and fulfilled all the conditions of the approval, it shall be deemed to have been required to repay the grant-in-aid before the making of the winding-up order, unless the Board decides that the grant-in-aid shall not be repaid or that it shall only be repaid in part. (c) Where a grant-in-aid has been obtained on the basis of false or knowingly misleading statements, the Board shall cancel it, and the owner of the enterprise shall be bound to repay it within thirty days from the day on which notice of the cancellation is sent to him, with an addition of 100 per cent of its amount and with interest-on-arrears from the day of its receipt. (d) The provisions of this section shall not dero gate from any other law.".
17. Section 94 of the principal Law shall be replaced by the following Replacement of 94־ section : section
"Period of 94. (a) The right to grant-in-aid under Chapter Six is right to grant- accorded to the owner of an enterprise or building in-aid. if — (1) he received approval between the 4th Tevet, 5731 (1st January, 1971) and the 22nd Tammuz, 5735 (1st July, 1975) and implemented the project within the period prescribed by the Board in the instrument of approval, but not later than the 14th Tammuz, 5737 (30th June, 1977); (2) he filed an application for the grant-in-aid not later than eighteen months from the day on which the project was implemented or, if the Board postponed the coming into force of the approval for a period exceeding eighteen months from the day of completion of the im plementation of the project, not later than six
25 months from the day of the coming into force of the approval. (b) For the purposes of this section, "implementa tion", in the case of machinery and equipment, means the arrival thereof in the area of the enterprise, and in the case of building operations and land development, means the actual termination thereof.".
Amendment of !8. In the Schedule to the principal Law, the existing rates for Schedule. machinery and other equipment shall be respectively replaced by 30 per cent, 20 per cent and 15 per cent.
Application and 19/ (a) The provisions of this Law, except the addition of section commencement. 4QB ^ tQ th(J prmcipai Law and tne amendments to section 43A of the principal Law, shall apply to enterprises approved after the 3rd Tevet, 5731 (31st December, 1970). (b) The amendments to section 43A of the principal Law shall have effect as from the tax year 1968.
Transitional 20. (a) Where a person filed an application for approval by the
and approval was granted (־ !provisions. 3rd Teyetj 5731 (31st December970 after the said date, he shall be entitled to choose between the benefits, including the grant-in-aid, as they were before the coming into force of this Law and the benefits under this Law. (b) Where a person, having received approval before the coming into force of this Law, had not succeeded in implementing the project by the 26th Tevet, 5733 (31st December, 1972), but proves to the Board that the project was reasonably implemented not later than the 31st December, 1974, the Board may, notwithstanding the provisions of section 94 of the principal Law as before the coming into force of this Law, approve the whole or part of the grant-in-aid in accordance with the principal Law.
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance
SHNEUR ZALMAN SHAZAR President of the State
26 (No. 11)
LAW AND ADMINISTRATION ORDINANCE (AMENDMENT No. 13) LAW 5731-1971*
1. In section 16 of the Law and Administration Ordinance, 5708- Amendment of |94gi section 16. (1) the words "or part of a Law" shall be inserted after the words "any Law" in subsection (a); (2) the words "or of another university in Israel" shall be in• serted after the words "of the Hebrew University in Jerusalem" in subsection (b); (3) the words "different Laws on the same subject may be com• bined into one Law" in subsection (e) shall be replaced by the words "provisions of separate Laws — including a new version under this Law — which deal with the same subject may be placed in one Law and provisions of one Law which deal with different sub• jects may be apportioned to separate Laws".
GOLDA MEIR YAACOV S. SHAPIRO ' Prime Minister Minister of Justice
SHNEUR ZALMAN SHAZAR President of the State
(No. 12)
LEGISLATION AS TO LOCAL AUTHORITIES (AMENDMENT) LAW, 5731-1971**
1. Section 262 of the Municipalities Ordinance 2 shall be replaced by Replacement of the following section : section 262 of Municipalities Ordinance. * Passed by the Knesset on the 15th Tevet, 5731 (12th January, 1971) and published in Sefer Ha-Chukkim No. 614 of the 24th Tevet, 5731 (21st January, 1971), p. 36; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 913 of 5731, p. 47. 1) I.R.of 5708, Suppl. I, No. 2, p. 1 — LSI vol. I, p. 7; Sefer Ha-Chukkim of 5729, p. 42 — LSI vol. XXIII, p. 48. ** Passed by the Knesset on the 15th Tevet, 5731 (12th January, 1971) and published in Sefer Ha-Chukkim No. 614 of the 24th Tevet, 5731 (21st January, 1971), p. 36; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 878 of 5729, p. 116. 2) Dinei Medinat Yisrael (Nusach Chadash) No. 8, p. 197 — NV vol. I, p. 247; Sefer Ha-Chukkim of 5725, pp. 127, 215 and 263 — LSI vol. XIX, pp. 125, 226 and 283; Sefer Ha-Chukkim of 5727, pp. 16, 56 and 74 — LSI vol. XXI, pp. 10, 52 and 75; Sefer Ha-Chukkim of 5728, pp. 10 and 53 — LSI vol. XXII, pp. 11 and 51; Sefer Ha-Chukkim of 5730, p. 6 — LSI vol. XXIV, p. 7.
27 "Model 262. (a) The Minister may publish in Reshumot a model byelaws. byelaw, and a council may, by resolution, adopt such a byelaw without modifications. (b) Where the Minister has received notification of a resolution of a council as aforesaid, he shall publish a notice thereof in Reshumot, and upon his doing so, the model byelaw shall in all respects be regarded as a byelaw of the municipality approved by the Minister and published in Reshumot. (c) Where the Minister revokes or varies a model bylaw published as aforesaid, the revocation or variation shall not affect the byelaw adopted by the council, and a statement to such effect shall be contained in the notice of revocation or variation. (d) This section shall not apply to a byelaw under section 77 of the Traffic Ordinance
Amendment of 2. In section 265 (b) of the Municipalities Ordinance, the words section 265. "twenty pounds" in paragraph (1) shall be replaced by the words "one hundred and fifty pounds".
Amendment of 3. In section 266 (c) of the Municipalities Ordinance, the expression section 266. "subsection (a)" in the opening passage shall be replaced by the ex• pression "subsections (a) and (b)".
Addition of 4. The following section shall be inserted after section 267 of the section 267A. Municipalities Ordinance :
"Information 267A. (a) The provisions of section 266 shall not prevent without option the filing of an information in court against a person, of a fine. without giving him the option of paying a fine instead of being tried, provided that the filing of the information has been directed by a prosecuting authority. (b) "Prosecuting authority" means any of the fol• lowing : the mayor, a deputy mayor empowered in that behalf by the council, the town clerk or another official of the municipality empowered in that behalf by the council either generally or in respect of particular af- fences, and a prosecutor under section 10 of the Criminal Procedure Law, 5725-1965 2.".
Amendment of 5. In section 268 of the Municipalities Ordinance, the words "or section 268. notice by the Minister under section 262 (b)" shall be inserted after the word "byelaw".
1) Dinei Medinat Yisrael (Nusach Chadash) No. 7, p. 173 NV vol. I, p. 222. 2) Sejer Ha-Chukkim of 5725, p. 161 ; LSI vol. XIX, p. 158.
28 6. The following section shall be inserted after section 25 of the Addition of Local Councils Ordinance1: section 25A to the Local Councils "Model 25A. (a) The Minister may publish in Reshumot a Ordinance. byelaws. model byelaw and a local council may, by resolution, adopt such a byelaw without modifications. (b) Where the Minister has received notification of a resolution by the council as aforesaid, he shall publish a notice thereof in Reshumot, and upon his doing so, the model byelaw shall in all respects be regarded as a byelaw of the local council approved by the Minister and published in Reshumot. (c) Where the Minister revokes or varies a model byelaw published as aforesaid, the revocation or variation shall not affect the byelaw adopted by the local council, and a statement to such effect shall be contained in the notice of revocation or variation. (d) This section shall not apply to a byelaw under section 77 of the Traffic Ordinance.".
7. The following sections shall be inserted after section 26 of the Addition of Local Councils Ordinance: sections 26A to 26D. "Finable 26A. (a) The Minister may, with the consent of the offences. Minister of Justice, notify, by order in Reshumot, that the contravention of a particular provision of a byelaw of a local council is a finable offence. (b) The Minister shall prescribe by order in Re• shumot — (1) the amount, not exceeding one hundred and fifty pounds, of the fine for each finable offence; (2) the text of the summons for the purposes of section 26B; (3) the mode of payment of the fine. Procedure with 26B. (a) Where a police officer, or an employee of the offices0 ^na':>'< local council authorised by the council under section 26, has reason to believe that a particular person has com• mitted a finable offence, he may serve him with a sum• mons in the form prescribed by the Minister, charging him with the offence and giving him the option of paying a fine of an amount prescribed by the Minister instead of being tried for the said offence. (b) A person on whom a summons as specified in subsection (a) has been served may, within twelve days
1) Dinei Medinat Yisrael {Nusach Chadash) No. 9, p. 256; NV vol. I, p. 315.
29 from the date of service, pay to the court named in the summons the fine of the amount prescribed for the of• fence indicated in the summons. (c) A person who has paid a fine as provided in subsections (a) and (b) shall be. deemed to have pleaded guilty in court, been convicted and undergone his penalty. In the event of non-payment of the fine, the summons shall be deemed to have been issued and served under the Criminal Procedure Law, 5725-1965.
How to deal 26C. Where a person has not paid a fine as provided with person in section 26B (a) and the court convicts him of the of• who has not paid the fine, fence, the court shall impose on him a fine of an amount not less than the amount of the fine prescribed for that offence under section 26A (b), and it may impose on him the costs of the proceedings, in such amount as it may fix, whether the accused has appeared or has been tried in his absence.
Information 26D. (a) The provisions of section 26B shall not pre• without option vent the filing of an information in court against a person, of a fine. without giving him the option of paying a fine instead of being tried, provided that the filing of the information has been directed by a prosecuting authority. (b) "Prosecuting authority" means any of the following: the chairman of the local council, a deputy chairman of the local council empowered in that behalf by the council, the secretary of the council or another em• ployee of the local council empowered by the council in that behalf either generally or in respect of particular of• fences, and a prosecutor under section 10 of the Criminal Procedure Law, 5725-1965.".
GOLDA MEIR YOSEF BURG Prime Minister Minister of the Interior
SHNEUR ZALMAN SHAZAR President of the State (No. 13)
STATE SERVICE (DISCIPLINE) (AMENDMENT NO. 2) LAW, 5731-1971*
1. In the State Service (Discipline) Law, 5723-1963 the following Addition of sections shall be inserted after section 61 : sections 61A and 61B. "Disciplinary 61 A. (a) Where a plaint has been filed against a person proceeding and under section 32 and an information for a criminal of• criminal proceeding. fence is filed in court in respect of the same act or omis• sion or the Attorney-General notifies the President of the Court that he intends that such an information shall be filed, then, notwithstanding the provisions of section 61, the proceedings under this Law shall be stayed pend• ing completion of the criminal proceedings; the same shall apply where a plaint is filed after the filing of an information as aforesaid. (b) Where the criminal proceedings have been completed or the Attorney-General notifies the President of the Court that he has abandoned his intention to file an information, the disciplinary proceedings under this Law shall be continued. (c) Subsection (a) shall not apply if — (1) the person against whom a plaint has been filed agrees to be tried first in a Court of Discipliné; or (2) the Court decides, on the application of the Attorney-General, that the circumstances of the case make it necessary to take proceed• ings under this Law before criminal pro• ceedings. (d) Nothing in this section shall derogate from powers of suspension under Chapter Four.
Privileged 61B. Notwithstanding the provisions of section 61, a evidence. statement by an accused person in a proceeding under this Law shall not be used as evidence against him in a criminal proceeding.".
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
Passed by the Knesset on the 16th Tevet, 5731 (13th January, 1971) and published in Sefer Ha-Chukkim No. 614 of the 24th Tevet, 5731 (21st January, 1971), p. 39; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 912 of 5731, p. 42. 1) Sefer Ha-Chukkim of 5723, pp. 50 and 98; LSI vol. XVII, pp. 58 and 124.
31 (No. 14)
SALE (INTERNATIONAL SALE OF GOODS) LAW, 5731-1971*
Definition. 1. In this Law, "the Convention" means the Convention Relating to a Uniform Law on the International Sale of Goods, signed at the Hague on the 1st July, 1964.
Application of 2. The Uniform Law annexed to the Convention, in the form set Uniform Law. out in the Schedule to this Law (such Uniform Law hereinafter referred to as "the Uniform Law"), shall have the force of Law.
Declaration for 3. A notice by the Minister of Justice, published in Reshumot, con• the purposes of cerning a declaration made under Article 2 of the Convention shall Article 1 (5) of the Uniform be conclusive evidence for the purposes of Article 1(5) of the Uniform Law. Law.
Order for 4. Where a party to a contract of sale is entitled, under the provisions enforcement of of the Uniform Law, to demand fulfilment of an obligation by the obligation. other party, the court may refrain from making an order for the enforcement of the obligation if it would refrain from doing so in the case of a contract of sale to which the provisions of the Uniform Law do not apply.
Commencement. 5. This Law shall come into force on the day on which the Con• vention comes into force with regard to Israel. The Minister of Justice shall publish a notice in Reshumot concerning the said day, and such notice shall be conclusive evidence of the date of the coming into force of this Law.
Transitional 6. A sale made before the coming into force of this Law shall provision. continue to be governed by the previous law.
SCHEDULE (Section 2)
UNIFORM LAW ON THE INTERNATIONAL SALE OF GOODS
CHAPTER I: SPHERE OF APPLICATION OF THE LAW
ARTICLE 1
1. The present Law shall apply to contracts of sale of goods entered into by parties whose places of business are in the territories of different States, in each of the following cases:
Passed by the Knesset on the 22nd Tevet, 5731 (19th January, 1971) and published iki Sefer Ha-Chukkim No. 615 of the 3rd Shevat, 5731 (29th January, 1971), p. 42; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 882 of 5730, p. 148.
32 (a) where the contract involves the sale of goods which are at the time of the conclusion of the contract in the course of carriage or will be carried from the territory of one State to the territory of another; (b) where the acts constituting the offer and the acceptance have been effected in the territories of different States; (c) where delivery of the goods is to be made in the territory of a State other than that within whose territory the acts constituting the offer and the acceptance have been effected.
2. Where a party to the contract does not have a place of business, reference shall be made to his habitual residence.
3. The application of the present Law shall not depend on the nationality of the parties.
4. In the case of contracts by correspondence, offer and acceptance shall be considered to have been effected in the territory of the same State only if the letters, telegrams or other documentary communications which contain them have been sent and received in the territory of that State.
5. For the purpose of determining whether the parties have their places of business or habitual residences in "different States", any two or more States shall not be considered to be "different States" if a valid declaration to that effect made under Article II of the Con• vention dated the 1st day of July 1964 relating to a Uniform Law on the International Sale of Goods is in force in respect of them.
ARTICLE 2
Rules of private international law shall be excluded for the purposes of the application of the present Law, subject to any provision to the contrary in the said Law.
ARTICLE 3
The parties to a contract of sale shall be free to exclude the application thereto of the present Law either entirely or partially. Such exclusion may be express or implied.
ARTICLE 4
The present Law shall also apply where it has been chosen as the law of the contract by the parties, whether or not their places of business or their habitual residences are in different States and whether or not such States are Parties to the Convention dated the 1st day of July 1964 relating to a Uniform Law on the International Sale of ,Goods, to the extent that it does not affect the application of any mandatory provisions of law which would have been applicable if the parties had not chosen the Uniform Law. ARTICLE 5 1. The present Law shall not apply to sales : (a) of stocks, shares, investment securities, negotiable instruments or money; (b) of any ship, vessel or aircraft, which is or will be subject to registration; (c) of electricity; (d) by authority of law or on execution or distress.
2. The present Law shall not effect the application of any mandatory provision of national law for the protection of a party to a contract which contemplates the purchase of goods by that party by payment of the price by instalments.
ARTICLE 6
Contracts for the supply of goods to be manufactured or produced shall be considered to be sales within the meaning of the present Law, unless the party who orders the goods undertakes to supply an essential and substantial part of the material's necessary for such manufacture or production.
ARTICLE 7 The present Law shall apply to sales regardless of the commercial or civil character of the parties or of the contracts.
ARTICLE 8 The present Law shall govern only the obligations of the seller and the buyer arising from a contract of sale. In particular, the present Law shall not, except as otherwise expressly provided therein, be concerned with the formation of the contract, nor with the effect which the contract may have on the property in the goods sold, nor with the validity of the contract or of any of its provisions or of any usage.
CHAPTER II: GENERAL PROVISIONS
ARTICLE 9 1. The parties shall be bound by any usage which they have expressly or impliedly made applicable to their contract and by any practices which they have established between themselves. 2. They shall also be bound by usages which reasonable persons in the same situation as the parties usually consider to be applicable to their contract. In the event of conflict with the present Law, the usages shall prevail unless otherwise agreed by the parties. 3. Where expressions, provisions or forms of contract commonly used in commercial practice are employed, they shall be interpreted according to the meaning usually given to them in the trade concerned. ARTICLE 10
For the purposes of the present Law, a breach of contract shall be regarded as fundamental wherever the party in breach knew, or ought to have known, at the time of the conclusion of the contract, that a reasonable person in the same situation as the other party would not have entered into the contract if he had foreseen the breach and its effects.
ARTICLE 11
Where under the^present Law an act is required to be performed "promptly", it shall be performed within as short a period as possible, in the circumstances, from the moment when the act could reasonably be performed. ARTICLE 12
For the purposes of the present Law, the expression "current price" means a price based upon an official market quotation, or, in the absence of such a quotation, upon those factors which, according to the usage of the market, serve to determine the price.
ARTICLE 13
For the purposes of the present Law, the expression "a party knew or ought to have known", or any similar expression, refers to what should have been known to a reasonable person in the same situation.
ARTICLE 14 Communications provided for by the present Law shall be made by the means usual in the circumstances.
ARTICLE 15 A contract of sale need to be evidenced by writing and shall not be subject to any other requirements as to form. In particular, it may be proved by means of witnesses.
ARTICLE 16 Where under the provisions of the present Law one party to a contract of sale is entitled to require performance of any obligation by the other party, a court shall not be bound to enter or enforce a judgment providing for specific performance except in accordance with the provisions of Article VII of the Convention dated the 1st day of July 1964 relating to a Uniform Law on the International Sale of Goods.
ARTICLE 17 Questions concerning matters governed by the present Law which are not expressly settled therein shall be settled in conformity with the general principles on which the present Law is based. CHAPTER III: OBLIGATIONS OF THE SELLER
ARTICLE 18 The seller shall effect delivery of the goods, hand over any docu• ments relating thereto and transfer the property in the goods, as required by the contract and the present Law.
SECTION I: DELIVERY OF THE Goops
ARTICLE 19 1. Delivery consists in the handing over of goods which conform with the contract. 2. Where the contract of sale involves carriage of the goods and no other place for delivery has been agreed upon, delivery shall be effected by handing over the goods to the carrier for transmission to the buyer. 3. Where the goods handed over to the carrier are not clearly appro• priated to performance of the contract by being marked with an address or by some other means, the seller shall, in addition to handing over the goods, send to the buyer notice of the consignment and, if necessary, some document specifying the goods.
SUB-SECTION 1 : OBLIGATIONS OF THE SELLER AS REGARDS THE DATE AND PLACE OF DELIVERY
A. Date of delivery
ARTICLE 20 Where the parties have agreed upon a date for delivery or where such date is fixed by usage, the seller shall, without the need for any other formality, be bound to deliver the goods at that date, provided that the date thus fixed is determined or determinable by the calendar or is fixed in relation to a definite event, the date of which can be ascertained by the parties.
ARTICLE 21 Where by agreement of the parties or by usage delivery shall be effected within a certain period (such as a particular month or season), the seller may fix the precise date of delivery, unless the circumstances indicate that the fixing of the date was reserved to the buyer.
ARTICLE 22 Where the date of delivery has not been determined in accordance with the provisions of Articles 20 or 21, the seller shall be bound to deliver the goods within a reasonable time after the conclusion of the contract, regard being had to the nature of the goods and to the circumstances. B. Place of delivery
ARTICLE 23
1. Where the contract of sale does not involve carriage of the goods, the seller shall deliver the goods at the place where he carried oh business at the time of the conclusion of the contract, or, in the absence of a place of business, at his habitual residence.
2. If the sale relates to specific goods and the parties knew that the goods were at a certain place at the time of the conclusion of the contract, the seller shall deliver the goods at that place. The same rule shall apply if the goods sold are unascertained goods to be taken from a specified stock or if they are to be manufactured or produced at a place known to the parties at the time of the conclusion of the contract.
C. Remedies for the seller's failure to perform his obligations as regards the date and place of delivery
ARTICLE 24
1. Where the seller fails to perform his obligations as regards the date or the place of delivery, the buyer may, as provided in Articles 25 to 32 : (a) require performance of the contract by the seller; (b) declare the contract avoided. 2. The buyer may also claim damages as provided in Article 82 or in Articles 84 to 87. 3. In no case shall the seller be entitled to apply to a court or arbitral tribunal to grant him a period of grace.
ARTICLE 25
The buyer shall not be entitled to require performance of the contract by the seller, if it is in conformity with usage and reasonably possible for the buyer to purchase goods to replace those to which the contract relates. In this case the contract shall be ipso facto avoided as from the time when such purchase should be effected.
a) Remedies as regards the date of delivery
ARTICLE 26
1. Where the failure to deliver the goods at the date fixed amounts to a fundamental breach of the contract, the buyer may either require performance by the seller or declare the contract avoided. He shall inform the seller of his decision within a reasonable time; otherwise the contract shall be ipso facto avoided. 2. If the seller requests the buyer to make known his decision under paragraph 1 of this Article and the buyer does not comply promptly, the contract shall be ipso facto avoided. 3. If the seller has effected delivery before the buyer has made known his decision under paragraph 1 of this Article and the buyer does not exercise promptly his right to declare the contract avoided, the contract cannot be avoided. 4. Where the buyer has chosen performance of the contract and does not obtain it within a reasonable time, he may declare the contract avoided. ARTICLE 27
1. Where failure to deliver the goods at the date fixed does not amount to a fundamental breach of the contract, the seller shall retain the right to effect delivery and the buyer shall retain the right to require performance of the contract by the seller. 2. The buyer may however grant the seller an additional period of time of reasonable length. Failure to deliver within this period shall amount to a fundamental breach of the contract.
ARTICLE 28
Failure to deliver the goods at the date fixed shall amount to a fundamental breach of the contract whenever a price for such goods is quoted on a market where the buyer can obtain them.
ARTICLE 29 Where the seller tenders delivery of the goods before the date fixed, the buyer may accept or reject delivery; if he accepts, he may reserve the right to claim damages in accordance with Article 82.
b) Remedies as regards the place of delivery
ARTICLE 30 1. Where failure to deliver the goods at the place fixed amounts to a fundamental breach of the contract, and failure to deliver the goods at the date fixed would also amount to a fundamental breach, the buyer may either require performance of the contract by the seller or declare the contract avoided. The buyer shall inform the seller of his decision within a reasonable time; otherwise the contract shall be ipso facto avoided.
2. If the seller requests the buyer to make known his decision under paragraph 1 of this Article and the buyer does not comply promptly, the contract shall be ipso facto avoided. 3. If the seller has transported the goods to the place fixed before the buyer has made known his decision under paragraph 1 of this Article and the buyer does not exercise promptly his right to declare the contract avoided, the contract cannot be avoided. ARTICLE 31
1. In cases not provided for in Article 30, the seller shall retain the right to effect delivery at the place fixed and the buyer shall retain the right to require performance of the contract by the seller. 2. The buyer may however grant the seller an additional period of time of reasonable length. Failure to deliver within this period at the place fixed shall amount to a fundamental breach of the contract.
ARTICLE 32 1. If delivery is to be effected by handing over the goods to a carrier and the goods have been handed over at a place other than that fixed, the buyer may declare the contract avoided, whenever the failure to deliver the goods at the place fixed amounts to a fundamental breach of the contract. He shall lose this right if he has not promptly declared the contract avoided. 2. The buyer shall have the same right, in the circumstances and on the conditions provided in paragraph 1 of this Article, if the goods have been despatched to some place other than that fixed. 3. If despatch from a place or to a place other than that fixed does not amount to a fundamental breach of the contract, the buyer may only claim damages in accordance with Article 82.
SUB-SECTION 2 : OBLIGATIONS OF THE SELLER AS REGARDS THE CONFORMITY OF THE GOODS
A. Lack of conformity
ARTICLE 33
1. The seller shall not have fulfilled his obligation to deliver the goods where he has handed over : (a) part only of the goods sold or a larger or a smaller quantity of the goods than he contracted to sell; (b) goods which are not those to which the contract relates or goods of a different kind; (c) goods which lack the qualities of a sample or model which the seller has handed over or sent to the buyer, unless the seller has submitted it without any express or implied undertaking that the goods would conform therewith; (d) goods which do not possess the qualities necessary for their ordinary or commercial use; (e) goods which do not possess the qualities for some particular purpose expressly or impliedly contemplated by the contract; (f) in general, goods which do not possess the qualities and characteristics expressly or impliedly contemplated by the contract. 2. No difference in quantity, lack of part of the goods or absence of any quality or characteristic shall be taken into consideration where it is not material. ARTICLE 34 In the cases to which Article 33 relates, the rights conferred on the buyer by the present Law exclude all other remedies based on lack of conformity of the goods. ARTICLE 35 1. Whether the goods are in conformity with the contract shall be determined by their condition at the time when risk passes. However, if risk does not pass because of a declaration of avoidance of the contract or of a demand for other goods in replacement, the conformity of the goods with the contract shall be determined by their condition at the time when risk would have passed had they been in conformity with the contract.
2. The seller shall be liable for the consequences of any lack of con formity occurring after the time fixed in paragraph 1 of this Article if it was due to an act of the seller or of a person for whose conduct he is responsible. ARTICLE 36 The seller shall not be liable for the consequences of any lack of conformity of the kind referred to in sub-paragraphs (d), (e) or (f) of paragraph 1 of Article 33, if at the time of the conclusion of the contract the buyer knew, or could not have been unaware of, such lack of conformity. ARTICLE 37
If the seller has handed over goods before the date fixed for delivery he may, up to that date, deliver any missing part or quantity of the goods or deliver other goods which are in conformity with the defects in the goods handed over, provided ׳ contract or remedy any that the exercise of this right does not cause the buyer either unreason able inconvenience or unreasonable expense.
B. Ascertainment and notification of lack of conformity
ARTICLE 38 1. The buyer shall examine the goods, or cause them to be examined, promptly. 2. In case of carriage of the goods the buyer shall examine them at the place of destination. 3. If the goods are redespatched by the buyer without transhipment and the seller knew or ought to have known, at the time when the contract was concluded, of the possibility of such redespatch, ex amination of the goods may be deferred until they arrive at the new destination. 4. The methods of examination shall be governed by the agreement of the parties or, in the absence of such agreement, by the law or usage of the place where the examination is to be effected.
ARTICLE 39 1. The buyer shall lose the right to rely on a lack of conformity of the goods if he has not given the seller notice thereof promptly after he has discovered the lack of conformity or ought to have dis• covered it. If a defect which could not have been revealed by the examination of the goods provided for in Article 38 is found later, the buyer may nonetheless rely on that defect, provided that he gives the seller notice thereof promptly after its discovery. In any event, the buyer shall lose the right to rely on a lack of conformity of the goods if he has not given notice thereof to the seller within a period of two years from the date on which the goods were handed over, unless the lack of conformity constituted a breach of a guarantee covering a longer period. 2. In giving notice to the seller of any lack of conformity, the buyer shall specify its nature and invite the seller to examine the goods or to cause them to be examined by his agent. 3. Where any notice referred to in paragraph 1 of this Article has been sent by letter, telegram or other appropriate means, the fact that such notice is delayed or fails to arrive at its destination shall not deprive the buyer of the right to rely thereon.
ARTICLE 40 . , The seller shall not be entitled to rely on the provisions of Articles 38 and 39 if the lack of conformity relates to facts of which he knew, or of which he could not have been unaware, and which he did not disclose.
C. Remedies for lack of conformity
ARTICLE 41
1. Where the buyer has given due notice to the seller of the failure of the goods to conform with the contract, the buyer may, as provided in Articles 42 to 46 : (a) require performance of the contract by the seller; (b) declare the contract avoided; (c) reduce the price. 2. The buyer may also claim damages as provided in Article 82 or in Articles 84 to 87. ARTICLE 42
1. The buyer may require the seller to perform the contract: (a) if the sale relates to goods to be produced or manufactured by the seller, by remedying defects in the goods, provided the seller is in a position to remedy the defects; (b) if the sale relates to specific goods, by delivering the goods to which the contract refers or the missing part thereof; (c) if the sale relates to unascertained goods, by delivering other goods which are in conformity with the contract or by delivering the missing part or quantity, except where the purchase of goods in replacement is in conformity with usage and reasonably possible.
2. If the buyer does not obtain performance of the contract by the seller within a reasonable time, he shall retain the rights provided in Articles 43 to 46.
ARTICLE 43
The buyer may declare the contract avoided if the failure of the goods to conform to the contract and also the failure to deliver on the date fixed amount to fundamental breaches of the contract. The buyer shall lose his right to declare the contract avoided if he does not exercise it promptly after giving the seller notice of the lack of conformity or, in the case to which paragraph 2 of Article 42 applies, after the expiration of the period referred to in that paragraph.
ARTICLE 44 1. In cases not provided for in Article 43, the seller shall retain, after the date fixed for the delivery of the goods, the right to deliver any missing part or quantity of the goods or to deliver other goods which are in conformity with the contract or to remedy any defect in the goods handed over, provided that the exercise of this right does not cause the buyer either unreasonable inconvenience or unreasonable expense. 2. The buyer may however fix an additional period of time of reason• able length for the further delivery or for the remedying of the defect. If at the expiration of the additional period the seller has not delivered the goods or remedied the defect, the buyer may choose between requiring the performance of the contract or reducing the price in accordance with Article 46 or, provided that he does so promptly, declare the contract avoided.
ARTICLE 45 1. Where the seller has handed over part only of the goods or an insufficient quantity or where part only of the goods handed over is in conformity with the contract, the provisions of Articles 43 and 44 shall apply in respect of the part or quantity which is missing or which does not conform with the contract. 2. The buyer may declare the contract avoided in its entirety only if the failure to effect delivery completely and in conformity with the con• tract amounts to a fundamental breach of the contract. ARTICLE 46
Where the buyer has neither obtained performance of the contract by the seller nor declared the contract avoided, the buyer may reduce the price in the same proportion as the value of the goods at the time of the conclusion of the contract has been diminished because of their lack of conformity with the contract.
ARTICLE 47 Where the seller has proffered to the buyer a quantity of unascer• tained goods greater than that provided for in the contract, the buyer may reject or accept the excess quantity. If the buyer rejects the excess quantity, the seller shall be liable only for damages in accordance with Article 82. If the buyer accepts the whole or part of the excess quantity, he shall pay for it at the contract rate.
ARTICLE 48 The buyer may exercise the rights provided in Articles 43 to 46, even before the time fixed for delivery, if it is clear that goods which would be handed over would not be in conformity with the contract.
ARTICLE 49 1. The buyer shall lose his right to rely on lack of conformity with the contract at the expiration of a period of one year after he has given notice as provided in Article 39, unless he has been prevented from exercising his right because of fraud on the part of the seller.
2. After the expiration of this period, the buyer shall not be entitled to rely on the lack of conformity, even by way of defence to an action. Nevertheless, if the buyer has not paid for the goods and provided that he has given due of the lack of conformity promptly, as provided in Article 39, he may advance as a defence to a claim for payment of the price a claim for a reduction in the price or for damages.
SECTION II: HANDING OVER OF DOCUMENTS
ARTICLE 50 Where the seller is bound to hand over to the buyer any documents relating to the goods, he shall do so at the time and place fixed by the contract or by usage.
ARTICLE 51 If the seller fails to hand over documents as provided in Article 50 at the time and place fixed or if he hands over documents which are not in conformity with those which he was bound to hand over, the buyer shall have the same rights as those provided under Articles 24 to 32 or under Articles 41 to 49, as the case may be. SECTION III: TRANSFER OF PROPERTY
ARTICLE 52
1. Where the goods are subject to a right of claim of a third person the buyer, unless he agreed to take the goods subject to such right or claim, shall notify the seller of such right or claim, unless the seller al• ready knows thereof, and request that the goods should be freed there• from within a reasonable time or that other goods free from all rights and claims of third persons be delivered to him by the seller. 2. If the seller complies with a request made under paragraph 1 of this Article arid the buyer nevertheless suffers a loss, the buyer may claim damages in accordance with Article 82. 3. If the seller fails to comply with a request made under paragraph 1 of this Article and a fundamental breach of the contract results thereby, the buyer may declare the contract avoided and claim damages in accord• ance with Articles 84 to 87. If the buyer does not declare the contract avoided or if there is no fundamental breach of the contract, the buyer shall have the right to claim damages in accordance with Article 82.
4. The buyer shall lose his right to declare the contract avoided if he fails to act in accordance with paragraph 1 of this Article within a reason• able time from the moment when he became aware or ought to have become aware of the right or claim of the third person in respect of the goods. ARTICLE 53 The rights conferred on the buyer by Article 52 exclude all other remedies based on the fact that the seller has failed to perform his obligation to transfer the property in the goods or that the goods are subject to a right or claim of a third person.
SECTION IV : OTHER OBLIGATIONS OF THE SELLER
ARTICLE 54 1. If the seller is bound to despatch the goods to the buyer, he shall make, in the usual way and on the usual terms, such contracts as are necessary for the carriage of the goods to the place fixed. 2. If the seller is not bound by the contract to effect insurance in re• spect of the carriage of the goods, he shall provide the buyer, at his request, with all information necessary to enable him to effect such insurance. ARTICLE 55 1. If the seller fails to perform any obligation other than those refer• red to in Articles 20 to 53, the buyer may : (a) where such failure amounts to a fundamental breach of the contract, declare the contract avoided, provided that he does so promptly, and claim damages in accordance with Articles 84 to 87, or (b) in any other case, claim damages in accordance with Article 82. 2. The buyer may also require performance by the seller of his obliga• tion, unless the contract is avoided.
CHAPTER IV: OBLIGATIONS OF THE BUYER
ARTICLE 56 The buyer shall pay the price for the goods and take delivery of them as required by the contract and the present Law.
SECTION I: PAYMENT OF THE PRICE
A. Fixing the price
ARTICLE 57 Where a contract has been concluded but does not state a price or make provision for the determination of the price, the buyer shall be bound to pay the price generally charged by the seller at the time of the conclusion of the contract.
ARTICLE 58
Where the price is fixed according to the weight of the goods, it shall, in case of doubt, be determined by the net weight.
B. Place and date of payment
ARTICLE 59 1. The buyer shall pay the price to the seller at the seller's place of business or, if he does not have a place of business, at his habitual resi• dence, or, where the payment is to be made against the handing over of the goods or of documents, as the place where such handing over takes place. 2. Where, in consequence of a change in the place of business or habitual residence of the seller subsequent to the conclusion of the con• tract, the expenses incidental to payment are increased, such increase shall be borne by the seller.
ARTICLE 60
Where the parties have agreed upon a date for the payment of the price or where such date is fixed by usage, the buyer shall, without the need for any other formality, pay the price at that date. C. Remedies for non-payment
ARTICLE 61 1. If the buyer fails to pay the price in accordance with the contract and with the present Law, the seller may require the buyer to perform his obligation. 2. The seller shall not be entitled to require payment of the price by. the buyer if it is in conformity with usage and reasonably possible for the seller to resell the goods. In that case the contract shall be ipso facto avoided as from the time when such resale should be effected.
ARTICLE 62 1. Where the failure to pay the price at the date fixed amounts to a fundamental breach of the contract, the seller may either require the buyer to pay the price or declare the contract avoided. He shall inform the buyer of his decision within a reasonable time; otherwise the contract shall be ipso facto avoided. 2. Where the failure to pay the price at the date fixed does not amount to a fundamental breach of the contract, the seller may grant to the buyer an additional period of time of reasonable length. If the buyer has not paid the price at the expiration of the additional period, the seller may either require the payment of the price by the buyer or, provided that he does so promptly, declare the contract avoided.
ARTICLE 63
1. Where the contract is avoided because of failure to pay the price, the seller shall have the right to claim damages in accordance with Articles 84 to 87. 2. Where the contract is not avoided, the seller shall have the right to claim damages in accordance with Articles 82 and 83.
ARTICLE 64 In no case shall the buyer be entitled to apply to a court or arbitral tribunal to grant him a period of grace for the payment of the price.
SECTION II: TAKING DELIVERY
ARTICLE 65
Taking delivery consists in the buyer's doing all such acts as are necessary in order to enable the seller to hand over the goods and actually taking them over. ARTICLE 66 1. Where the buyer's failure to take delivery of the goods in accord• ance with the contract amounts to a fundamental breach of the contract or gives the seller good grounds for fearing that the buyer will not pay the price, the seller may declare the contract avoided.
2. Where the failure to take delivery of the goods does not amount to a fundamental breach of the contract, the seller may grant to the buyer an additional period of time of reasonable length. If the buyer has not taken delivery of the goods at the expiration of the additional period, the seller may declare the contract avoided, provided that he does so promptly.
ARTICLE 67 1. If the contract reserves to the buyer the right subsequently to determine the form, measurement or other features of the goods (sale by specification) and he fails to make such specification either on the date expressly or impliedly agreed upon or within a reasonable time after receipt of a request from the seller, the seller may declare the contract avoided, provided that he does so promptly, or make the specification himself in accordance with the requirements of the buyer in so far as these are known to him. 2. If the seller makes the specification himself, he shall inform the buyer of the details thereof and shall fix a reasanable period of time within which the buyer may submit a different specification. If the buyer fails to do so the specification made by the seller shall be binding.
ARTICLE 68
1. Where the contract is avoided because of the failure of the buyer to accept delivery of the goods or to make a specification, the seller shall have the right to claim damages in accordance with Articles 84 to 87. 2. Where the contract is not avoided, the seller shall have the right to claim damages in accordance with Article 82.
SECTION III: OTHER OBLIGATIONS OF THE BUYER
ARTICLE 69 The buyer shall take the steps provided for in the contract, by usage or by laws and regulations in force, for the purpose of making provision for or guaranteeing payment of the price, such as the accept• ance of a bill of exchange, the opening of a documentary credit or the giving of a banker's guarantee.
ARTICLE 70 1. If the buyer fails to perform any obligation other than those refer• red to in Sections I and II of this Chapter, the seller may : (a) where such failure amounts to a fundamental breach of the contract, declare the contract avoided, provided that he does so promptly, and claim damages in accordance with Articles 84 to 87; or (b) in any other case, claim damages in accordance with Article 82.
2. The seller may also require performance by the buyer of his obligation, unless the contract is avoided.
CHAPTER V : PROVISIONS COMMON TO THE OBLIGATION OF THE SELLER AND OF THE BUYER
SECTION I: CONCURRENCE BETWEEN DELIVERY OF THE GOODS AND PAYMENT OF THE PRICE
ARTICLE 71 Except as otherwise provided in Article 72, delivery of the goods and payment of the price shall be concurrent conditions. Nevertheless, the buyer shall not. be obliged to pay the price until he has had an opportunity to examine the goods.
ARTICLE 72 1. Where the contract involves carriage of the goods and where delivery is, by virtue of paragraph 2 of Article 19, effected by handing over the goods to the carrier, the seller may either postpone despatch of the goods until he receives payment or proceed to despatch them on terms that reserve to himself the right of disposal of the goods during transit. In the latter case, he may require that the goods shall not be handed over to the buyer at the place of destination except against payment of the price and the buyer shall not be bound to pay the price until he has had an opportunity to examine the goods.
2. Nevertheless, when the contract requires payment against docu• ments, the buyer shall not be entitled to refuse payment of the price on the ground that he has not had the opportunity to examine the goods. ARTICLE 73 1. Each party may suspend the performance of his obligations when• ever, after the conclusion of the contract, the economic situation of the other party appears to have become so difficult that there is good reason to fear that he will not perform a material part of his obligations.
2. If the seller has already despatched the goods before the economic situation of the buyer described in paragraph 1 of this Article becomes evident, he may prevent the handing over of the goods to the buyer even if the latter holds a document which entitles him to obtain them.
3: Nevertheless, the seller shall not be entitled to prevent the handing over of the goods if they are claimed by a third person who is a lawful holder of a document which entitles him to obtain the goods, unless the document contains a reservation concerning the effects of its transfer or unless the seller can prove that the holder of the document, when he acquired it, knowingly acted to the detriment of the seller.
SECTION II: EXEMPTIONS
ARTICLE 74
1. Where one of the parties has not performed one of his obligations, he shall not be liable for such non-performance if he can prove that it was due to circumstances which, according to the intention of the parties at the time of the conclusion of the contract, he was not bound to take into account or to avoid or to overcome; in the absence of any expression of the intention of the parties, regard shall be had to what reasonable persons in the same situation would have intended.
2. Where the circumstances which gave rise to the non-performance of the obligation constituted only a temporary impediment to performan• ce, the party in default shall nevertheless by permanently relieved of his obligation if, by reason of the delay, performance would be so radically changed as to amount to the performance of an obligation quite different from that contemplated by the contract.
3. The relief provided by this Article for one of the parties shall not exclude the avoidance of the contract under some other provi• sion of the present Law or deprive the other party of any right which he has under the present Law to reduce the price, unless the circumstances which entitled the first party to relief were caused by the act of the other party or of some person for whose conduct he was responsible.
SECTION III: SUPPLEMENTARY RULES CONCERNING THE AVOIDANCE OF THE CONTRACT
A. Supplementary grounds for avoidance
ARTICLE 75 1. Where, in the case of contracts for delivery of goods by instal• ments, by reason of any failure by one party to perform any of his obligations under the contract in respect of any instalment, the other party has good reason to fear failure of performance in respect of future instalments, he may declare the contract avoided for the future, provided that he does so promptly.
2. The buyer may also, provided that he does so promptly, declare the contract avoided in respect of future deliveries or in respect of deliveries already made or both, if by reason of their interdependence such deliveries would be worthless to him. ARTICLE 76 Where prior to the date fixed for performance of the contract it is clear that one of the parties will commit a fundamental breach of the contract, the other party shall have the right to declare the contract avoided. ARTICLE 77 Where the contract has been avoided under Article 75 or Article 76, the party declaring the contract avoided may claim damages in accordance with Articles 84 to 87.
B. Effects of avoidance
ARTICLE 78 1. Avoidance of the contract releases both parties from their obliga• tions thereunder, subject to any damages which may be due. 2. If one party has performed the contract either wholly or in part, he may claim the return of whatever he has supplied or paid under.the contract. If both parties are required to make restitution, they shall do so concurrently. ARTICLE 79 1. The buyer shall lose his right to declare the contract avoided where it is impossible for him to return the goods in the condition in which he received them. 2. Nevertheless, the buyer may declare the contract avoided : (a) if the goods or part of the goods have perished or deteriorated as a result of the defect which justifies the avoidance; (b) if the goods or part of the goods have perished or deteriorated as a result of the examination prescribed in Article 38; (c) if part of the goods have been consumed or transformed by the buyer in the course of normal use before the lack of conformity with the contract was discovered; (d) if the impossibility of returning the goods or of returning them in the condition in which they were received is not due to the act of the buyer or of some other person for whose conduct he is responsible; (e) if the deterioration or transformation of the goods is unimport• ant. ARTICLE 80 The buyer who has lost the right to declare the contract avoided by virtue of Article 79 shall retain all the other rights conferred on him by the present Law. ARTICLE 81 1. Where the seller is under an obligation to refund the price, he shall also be liable for the interest thereon at the rate fixed by Article 83, as from the date of payment. 2. The buyer shall be liable to account to the seller for all benefits which he has derived from the goods or part of them, as the case may be: (a) where he is under an obligation to return the goods or part of them; or (b) where it is impossible for him to return the goods or part of them, but the contract is nevertheless avoided.
SECTION IV : SUPPLEMENTARY RULES CONCERNING DAMAGES
A. Damages where the contract is not avoided
ARTICLE 82 Where the contract is not avoided, damages for a breach of contract by one party shall consist of a sum equal to the loss, including loss of profit, suffered by the other party. Such damages shall not exceed the loss which the party in breach ought to have foreseen at the time of the conclusion of the contract, in the light of the facts and. matters which then were known or ought to have been known to him, as a possible consequence of the breach of the contract.
ARTICLE 83 Where the breach of contract consists of delay in the payment of the price, the seller shall in any event by entitled to interest on such sum as is in arrear at a rate equal to the official discount rate in the country where he has his place of business or, if he has no place of business, his habitual residence, plus 1%.
B. Damages where the contract is avoided
ARTICLE 84 1. In case of avoidance of the contract, where there is a current price for the goods, damages shall be equal to the difference between the price fixed by the contract and the current price on the date on which the contract is avoided. 2. In calculating the amount of damages under paragraph 1 of this Article, the current price to be taken into account shall be that prevailing in the market in which the transaction took place or, if there is no such current price or if its application is inappropriate, the price in a market which serves as a reasonable substitute, making due allowance for differences in the cost of transporting the goods.
ARTICLE 85 If the buyer has bought goods in replacement or the seller has resold goods in a reasonable manner, he may recover the difference between the contract price and the price paid for the goods bought in replacement or that obtained by the resale. ARTICLE 86 The damages referred to in Articles 84 and 85 may be increased by the amount of any reasonable expenses incurred as a result of the breach or up to the amount of any loss, including loss of profit, which should have been foreseen by the party in breach, at the time of the conclusion of the contract, in the light of the facts and matters which were known or ought to have been known to him, as a possible con• sequence of the breach of the contract.
ARTICLE 87 If there is no current price for the goods, damages shall be calculated on the same basis as that provided in Article 82.
C. General provisions concerning damages
ARTICLE 88
The party who relies on a breach of the contract shall adopt all reasonable measures to mitigate the loss resulting from the breach. If he fails to adopt such measures, the party in breach may claim a reduction in the damages.
ARTICLE 89
In case of fraud, damages shall be determined by the rules applic• able in respect of contracts of sale not governed by the present Law.
SECTION V: EXPENSES
ARTICLE 90 The expenses of delivery shall be borne by the seller; all expenses after delivery shall be borne by the buyer.
SECTION VI: PRESERVATION OF THE GOODS
ARTICLE 91 Where the buyer is in delay in taking delivery of the goods or in paying the price, the seller ,shall take reasonable steps to preserve the goods; he shall have the right to retain them until he has been reimbursed his reasonable expenses by the buyer.
ARTICLE 92 1. Where the goods have been received by the buyer, he shall take reasonable steps to preserve them if he intends to reject them; he shall have the right to retain them until he has been reimbursed his reason• able expenses by the seller. 2. Where goods despatched to the buyer have been put his disposal at their place of destination and he exercises the right to reject them, he shall be bound to take possession of them on behalf of the seller, provided that this may be done without payment of the price and without unreasonable inconvenience or unreasonable expense. This provision shall not apply where the seller or a person authorised to take charge of the goods on his behalf is present at such destination.
ARTICLE 93
The party who is under an obligation to take steps to preserve the goods may deposit them in the warehouse of a third person at the expense of the other party provided that the expense incurred is not unreasonable. ARTICLE 94
1. The party who, in the cases to which Articles 91 and 92 apply, is under an obligation to take steps to preserve the goods may sell them by any appropriate means, provided that there has been unreasonable delay by the other party in accepting them or taking them back or in paying the cost of preservation and provided that due notice has been given to the other party of the intention to sell.
2. The party selling the goods shall have the right to retain out of the proceeds of sale an amount equal to the reasonable costs of preserving the goods and of selling them and shall transmit the balance to the other party.
ARTICLE 95 Where, in the cases to which Articles 91 and 92 apply, the goods are subject to loss or rapid deterioration or their preservation would involve unreasonable expense, the party under the duty to preserve them is bound to sell them in accordance with Article 94.
CHAPTER VI: PASSING OF THE RISK
ARTICLE 96 Where the risk has passed to the buyer, he shall pay the price notwithstanding the loss or deterioration of the goods, unless this is due to the act of the seller or of some other person for whose conduct the seller is responsible.
ARTICLE 97
1. The risk shall pass to the buyer when delivery of the goods is ef• fected in accordance with the provisions of the contract and the present Law. 2. In the case of the handing over goods which are not in conform• ity with the contract, the risk shall pass to the buyer from the moment when the handing over has, apart from the lack of conformity, been effected in accordance with the provisions of the contract and of the present Law, where the buyer has neither declared the contract avoided nor. required goods in replacement.
ARTICLE 98 1. Where the handing over of the goods is delayed owing to the breach of an obligation of the buyer, the risk shall pass to the buyer as from the last date when, apart from such breach, the handing over could have been made in accordance with the contract. 2. Where the contract relates to a sale of unascertained goods, delay on the part of the buyer shall cause the risk to pass only when the seller has set aside goods manifestly appropriated to the contract and has notified the buyer that this has been done. 3. Where unascertained goods are of such a kind that the seller- cannot set aside a part of them until the buyer takes delivery, it shall be sufficient for the seller to do all acts necessary to enable the buyer to take delivery.
ARTICLE 99
1. Where the sale is of goods in transit by sea, the risk shall be borne by the buyer as from the time at which the goods were handed over to the carrier. 2. Where the seller, at the time of the conclusion of the contract, knew or ought to have known that the goods had been lost or had deteriorated, the risk shall remain with him until the time of the conclusion of the contract.
ARTICLE 100 If, in a case to which paragraph 3 of Article 19 applies, the seller, at the time of sending the notice or other document referred to in that paragraph, knew or ought to have known that the goods had been lost or had deteriorated after they were handed over to the carrier, the risk shall remain with the seller until the time of sending such notice or document.
ARTICLE 101 . The passing of the risk shall not necessarily be determined by the provisions of the contract concerning expenses.
GOLDA MEIR SHLOMO HILLEL Prime Minister Acting Minister of Justice
SHNEUR ZALMAN SHAZAR President of the State (No. 15)
REFUND OF PAYMENTS (TELEVISION FEES) LAW, 5731-1971*
1. In this Law — Definitions. "the determining date" means the 11th Tevet, 5729 (1st January, 1969); "the Minister" has the same meaning as in the Broadcasting Authority Law, 5725—1965 1.
2. A person who before the determining day paid a fee for a licence Refund of to install or maintain a television receiver or for the renewal of such payment. a licence is entitled to have it refunded to him.
3. Defence stamp impost which before the determining date was Defence stamp impost. paid in respect of the maintenance of a television receiver shall, for the purposes of a refund under section 2, be treated as a fee.
4. The Minister is charged with the implementation of this Law Implementation and regulations. and may by regulations, with the approval of the Finance Committee of the Knesset, prescribe the form and times of the refund.
GOLDA MEIR YIOAL ALON Prime Minister Deputy Prime Minister Minister of Education and Culture SHNEUR ZALMAN SHAZAR President of the State
(No. 16)
AIR NAVIGATION (OFFENCES AND JURISDICTION) LAW, 5731-1971 **
CHAPTER ONE : GENERAL PROVISIONS — 1. In this Law Definitions, "the Convention" means the Convention on Offences and Certain Other Acts Committed on Board Aircraft, signed in Tokyo on the 14th September, 196312 ;
* Passed by the Knesset on the 29th Tevet, 5731 (26th January, 1971) and published in Sefer Ha-Chukkim No. 616 of the 9th Shevat, 5731 (4th February, 1971), p. 58; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 913 of 5731, p. 49. 1) Sefer Ha-Chukkim of 5725, p. 106 — LSI vol. XIX, p. 103; Sefer Ha- Chukkim of 5729, p. 20 — LSI vol. XXIII, p. 23. ** Passed by the Knesset on the 27th Shevat, 5731 (22nd February, 1971) and published in Sefer Ha-Chukkim No. 617 of the 5th Adar, 5731 (2nd March, 1971), p. 60; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 889 of 5730, p. 196. 2) Kitvei Amana vol. 21, p. 65.
55 "flight" means the period beginning at the moment when the external doors of the aircraft are closed for the purpose of take-off and ending at the moment when those doors are opened for the disembarkation of passengers; in the case of a forced landing, the aircraft shall be considered to be in flight until the moment when a competent authority of a state takes over the responsibility for the aircraft and for the persons and property on board; for this purpose, "forced landing" includes a landing forced upon the commander against his will and "disembarkation of passengers" means the disembarkation of passengers upon termination of their journey by air in the normal way; "Israeli aircraft" means — (1) an aircraft registered in the Registry of Aircraft in Israel; (2) an aircraft not registered as aforesaid if more than half of it is owned by the State of Israel, an Israeli national, a resident of Israel or an Israeli body corporate; (3) an aircraft chartered by the State of Israel, an Israeli national, a resident of Israel or an Israeli body corporate; "military aircraft" means an aircraft of the Israel Defence Forces or an aircraft under the control of a person in the service of the Israel Defence Forces who has been placed in charge thereof; "state of registration", in relation to an aircraft, means — the state in which it is registered; and if states parties to the Convention have, for purposes of air transport, established joint operating organisations or international operating agencies, which operate aircraft not registered in any one state, there shall be considered as the state of registration that one of these states which they have designated for this purpose and of which they have given notice to the International Civil Aviation Organisation, as provided in article 18 of the Convention; "act" includes an omission; "person on board an aircraft" includes a person who, at an• aerodrome or other place where the aircraft has landed, is on his way to or from the aircraft, and a person held outside the aircraft if he has been disembarked against his will and otherwise than under section 8 or 9, so long as he is held as aforesaid; "commander", in relation to an aircraft, has the same meaning as that term has in the Interpretation Ordinance1; "territory" of a state includes — (1) areas under the sovereignty, suzerainty, mandate or authority of such state; (2) the airspace above the areas referred to in paragraph (1); (3) areas under the air control of such state by virtue of arrange• ments prescribed by the International Civil Aviation Organisation;
Dinei Medinat Yisrael (Nusach Chadash) No. 1, p. 2; NV vol. I, p. 5. "Israeli body corporate" means a body corporate registered in Israel or established in Israel, by virtue of law, but does not include a foreign company registered under section 248 of the Companies Ordinance 1.
2. A court in Israel shall be competent to try under Israeli law a Power of person who — courts in Israel. (1) has committed an offence under Chapter Three; (2) has in or outside Israeli territory committed an offence on board an Israeli aircraft or in respect of an Israeli aircraft or in respect of a person or property on board an Israeli aircraft; (3) has in Israeli territory, on board a non-Israeli aircraft, com• mitted an offence in respect of that aircraft or in respect of a person or property on board; (4) has outside Israeli territory, on board a non-Israeli aircraft, committed an offence against an Israeli national or resident of Israel on board or against property of an Israeli national or resident of Israel qua property of such a national or resident or against the security of the State of Israel; (5) has been disembarked from an aircraft in Israeli territory under section 8 or 9 after committing an offence therein, being an offence which would have been punishable in Israel had it been committed on board an Israeli aircraft.
3. A person who has committed an offence under Chapter Three Trial abroad. may be tried in Israel even if he has already been tried outside Israel for the act in question, but if he is convicted after being convicted outside Israel of that act, the court in Israel shall, in fixing the penalty, take into account the penalty he has undergone outside Israel.
CHAPTER Two : DUTIES AND POWERS OF COMMANDER AND OTHERS
4. (a) If the commander of an aircraft has reasonable grounds to Power of com• believe that a person has committed, or is about to commit, on board mander to take safety measures. an aircraft an act which may or does jeopardise the safety of the aircraft or of the persons or property therein or good order or dis• cipline on board, he may take such reasonable safety measures, including restraint and search, as in his opinion are necessary to protect the safety of the aircraft or of persons or property therein or to maintain good order and discipline on board or to enable him to disembark such person in accordance with section 8 or 9. (b) The powers vested in the commander of an aircraft by subsection (a) shall also be exercisable if he has reasonable grounds to believe that a person has committed, or is about to commit, on board the aircraft an act which in the opinion of the commander is an offence under any law existing in the state of registration.
1) Laws of Palestine vol. I, cap. 22, p. 161 (English Edition).
57 Assistance by 5. (a) Whenever safety measures are necessary, every crew member crew members an( shall assist the commander, at his request, and shall act in accordance others. with other binding instructions, including standing orders, whilst obeying the instructions of the commander. (b) Every person on board an aircraft may assist the commander or another crew member in taking safety measures if the commander or other crew member has authorised him to do so. (c) A person on board an aircraft may take safety measures against another person if there are reasonable grounds to believe that such action is vitally and immediately necessary to protect the safety of the aircraft or of the persons or property therein, provided that in doing so he does not go beyond what is required for that purpose and does not contravene instructions given by or on behalf of the commander.
Notification of 6. (a) The commander shall as soon as practicable, at the time restraint. of landing but if possible before the landing, notify the competent authority of the state in the territory of which the aircraft lands that a person on board is under restraint and for what reason. (b) This section shall not apply to the commander of a military aircraft.
Discontinuance 7. The commander may continue to restrain a person until such time of restraint. as the aircraft ceases to be in flight or, if he decides to deliver him to a competent authority as provided in section 9, until delivery; he shall not continue to restrain him beyond that time unless — (1) the competent authority of the state in the territory of which the aircraft lands refuses his request for permission to disembark such person in such territory or refuses to take delivery of such person or agrees to his request that such person be left on board; or (2) the state in the territory of which the aircraft lands is not a party to the Convention, and the competent authority thereof does not require that such person be disembarked or .delivered to it; or (3) the said measures have been taken against such person to enable his delivery to the competent authority in Israel or the competent authority in the state of registration; or (4) such person agrees to continue to remain on board under restraint.
Disembarkation 8. (a) If the captain has reasonable grounds to believe that a person of person. has committed, or is about to commit, on board the aircraft an act which may or does jeopardise the safety of the aircraft or of the persons or property therein or good order or discipline on board, and that his disembarkation is vitally necessary to protect the safety of the aircraft or of the persons or property therein or to maintain good order or discipline on board, he may disembark such person in the territory of any state in which the aircraft lands.
58 (b) If in the circumstances specified in subsection (a) the com• mander orders a person to disembark and such person does not comply with the order, the commander may take such measures as in the circumstances are reasonable to disembark him.
9. (a) The commander may deliver to the competent authority Delivery of of a state party to the Convention in the territory of which the aircraft person. lands, any person who he has reasonable grounds to believe has during flight committed an act which in the opinion of the commander is a serious offence under the laws existing in the state of registration. (b) Where a person has been delivered in Israel under this section, the laws applying in Israel in matters of detention or extradition, as the case may be, shall apply to him. (c) This section shall not apply to the commander of a military aircraft.
10. (a) Notice of the disembarkation or delivery of a person under Notice of section 8 or 9 shall be given on behalf of the commander of the air• disembarkation and delivery. craft to the competent authority of the state in the territory of which such person has been disembarked or delivered and to the competent authority of the state of registration. (b) The notice shall specify the reasons for the delivery or dis• embarkation and shall, in the case of disembarkation, be given at or as close as possible to the time of disembarkation, and in the case of delivery, before or as soon as possible after the landing. (c) This section shall not apply to the commander of a military aircraft.
11. The commander, a crew member, a passenger or the owner, Immunity. charterer or operator of the aircraft or the person on whose behalf the flight is carried out shall bear no criminal or civil responsibility for an act done in respect of any person in accordance with the pro• visions of this chapter.
12. A person disembarked or delivered in Israel by virtue of the Immunity of provisions of this Law who wishes to continue his journey shall not person disembark• ed or delivered in be prevented from leaving Israel unless — Israel. (1) his presence in Israel is required for the purposes of criminal proceedings or extradition proceedings or (2) having been given an opportunity to leave Israel after landing, he does not do so within a reasonable time.
13. (a) A person delivered in Israel under section 9 may be extradited Extradition. to the state of registration, upon its application, provided that all the provisions of the Extradition Law, 5714-1954x, except section 2 (1) thereof, have been complied with; for the purpose of the application
1) Sefer Ha-Chukkim of 5714, p. 174; LSI vol. VIII, p. 144.
59 of section 17 of the said Law, the agreement referred to in the said section 2 (1) shall be replaced by an undertaking of the state of registration to act as provided in the said section 17. (b) A person shall not be extradited to the state of registration under this section if, according to its laws, in the absence of an extra• dition agreement between it and Israel, a person delivered under article 9 of the Convention is not to be extradited to Israel or if that state does not accord reciprocity to Israel in the matter in question.
Power to deport. !4. The disembarkation or delivery of a person in Israel under this chapter or the return of a person to Israel under article 14 of the Convention shall not derogate from any power conferred under any law to deport such person from Israel.
Offence com• 15. A person who fails to fulfil his obligations under this chapter mitted abroad. under circumstances which would have rendered him criminally liable for such failure had it occurred on board an Israeli aircraft shall bear criminal responsibility in Israel for such failure even though it did not occur on board an Israeli aircraft or in Israeli territory..
Restriction 16. The provisions of this chapter relating to offences shall be con• on powers. strued in accordance with article 2 of the Convention.
CHAPTER THREE : AIR PIRACY AND INJURY Air piracy. j 7 The following shall be guilty of air piracy and be liable to imprison• ment for life, such penalty to be mandatory if the act causes the death of a person: (1) a person who seizes an aircraft by force, violence or fraudulent means or by the threat of force or violence, or unlawfully obtains control of an aircraft; (2) a person who has possession of an aircraft or voluntarily participates in the operation, control or possession thereof, knowing that the aircraft has been seized, or control thereof obtained, as specified in paragraph (1) or that by means thereof control is exercised over another aircraft which has been seized, or control of which has been obtained, as aforesaid.
Injury and 18. A person who commits or threatens to commit an act intended threats. to endanger the life of or to cause injury to a person on board an aircraft or intended to endanger or to cause damage to an aircraft or to property therein shall be liable to imprisonment for a term of twenty years; but if the act causes the death of a person, he shall be liable to imprisonment for life, such penalty to be mandatory.
False 19. (a) Whoever detains or holds in detention a person who was imprisonment. on board an aircraft in which an offence under this chapter was committed shall be liable to imprisonment for a term of fifteen years; but if the act causes the death of a person, he shall be liable to im• prisonment for life, such penalty to be mandatory.
60 (b) In the case of an offence under this section, it shall be a good defence if the accused proves — (1) that the detention was for an offence under this chapter or (2) that the detention was carried out under powers con• ferred by any enactment.
20. The following shall be treated in like manner as the offence itself: Conspiracy, procurement (1) conspiracy, or an attempt, to commit an offence under and attempt; this chapter; accessory after (2) an attempt to procure a person to commit an offence the fact. as aforesaid; (3) assistance after the commission of an offence as afore• said.
21. In the case of offences under this chapter, it shall be immaterial Application of whether the offence is committed in or outside Israeli territory or provisions. whether it is committed in respect of an Israeli or a non-Israeli aircraft.
22. (a) Where an aircraft in which an offence under section 17 has Immunity of been committed subsequently lands in Israel on the same flight, a person landing in Israel in an passenger or crew member then on board who but for the offence aircraft in respect would not have needed to come to Israel on that flight shall not be of which air tried or extradited for an act committed before the commission of that piracy has been committed. offence unless — (1) the act is an offence under this Law; or (2) having been given an opportunity to leave Israel after landing, he does not do so within a reasonable time; or (3) having left Israel after landing, he voluntarily returns or is extradited to Israel for the said act. (b) Where an aircraft in which an offence under section 17 has been committed subsequently lands in Israel on the same flight, and but for the offence the aircraft or any cargo or luggage therein would not have needed to come to Israel on that flight, the aircraft or such cargo or luggage shall not be liable to seizure or attachment of any kind in any proceeding arising out of an event which occurred before the commission of that offence, unless — (1) the seizure or attachment is sought by reason of an act which is an offence under this Law; or (2) the aircraft, cargo or luggage, after an opportunity has been given for it to be taken out of Israel after landing, is not taken out within a reasonable time; or (3) the aircraft, cargo or luggage, having been taken out of Israel after landing, is lawfully brought back. (c) The competent authorities in Israel may refrain from ap• plying this section if the state of registration of the aircraft which has landed or the state of which the passenger is a national, as the
61 case may be, does not accord reciprocity to Israel in the matter in question.
CHAPTER FOUR : MISCELLANEOUS
Taking evidence 23. In proceedings before a court in Israel, including extradition pro• abroad. ceedings, evidence taken outside Israel in respect of an offence under this Law shall be admissible if — (1) the witness cannot be found in Israel; and (2) the evidence was taken by a judge or an Israeli consul or a person empowered in that behalf by the Minister of Justice either generally or for the purposes of a particular matter; and (3) there was an opportunity to cross-examine the witness and such fact has been certified by the person who took the evidence.
States parties to 24. Notice by the Minister of Transport in Reshumot as to which the Convention. states are parties to the Convention shall be evidence for the purposes of this Law.
Power under 25. The powers of the courts and the other powers under this Law other law. shall not derogate from powers under any other law.
Implementation 26. The Minister of Transport and the Minister of Justice are charged and regulations. with the implementation of this Law and may, with the approval of the Constitution, Legislation and Juridical Committee of the Knesset, make regulations as to any matter relating to. such implementation.
GOLDA MEIR YAACOV S. SHAPIRO SHIMON PERES Prime Minister Minister of Justice Minister of Transport
SHNEUR ZALMAN SHAZAR President of the State
62 (No. 17)
EVIDENCE ORDINANCE (AMENDMENT No. 8) LAW, 5731-1971*
1. In section 31 of the Evidence Ordinance1, the words "and an Amendment of employee or office-holder of another public body designated by the section 31. Minister of Justice by order with the approval of the Constitution, Legislation and Juridical Committee of the Knesset" shall be added at the end. GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State
(No. 18;
MEDICAL PROFESSIONS (FEES FOR LICENCES AND PERMITS) LAW, 5721-1971**
1. In the Medical Practitioners Ordinance, 1947 2 — Amendment of (1) subsections (3) and (4) (b) of section 5 are hereby repealed; Medical Practitioners (2) the following section shall be inserted after section 22 : Ordinance, 1947.
"Fees. 22A. (a) The Minister of Health may prescribe by order, with the approval of the Public Services Com• mittee of the Knesset, fees for a licence to practise medicine and for a provisional permit to practise medi• cine, which shall be paid upon the issue of the licence or permit or upon the renewal of the permit. (b) Where a licence to practise medicine is grant• ed to any person who immediately before held a provision• al permit, or consecutive provisional permits, to practise medicine, the fee or fees paid for the provisional permit or permits shall be deducted from the fee for the licence.".
* Passed by the Knesset on the 27th Shevat, 5731 (22nd February, 1971) and published in Sefer Ha-Chukkim No. 617 of the 5th Adar, 5731 (2nd March, 1971), p. 65; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 884 of 5730, p. 176. 1) Laws of Palestine vol. I, cap. 24, p. 670 (English Edition}!; Sefer Ha- Chukkim of 5711, p. 10 — LSI vol. V, p. 10; Sefer Ha-Chukkim. of 5714, p. 106 — LSI vol. VIII, p. 89; Sefer Ha-Chukkim of 5716, p. 10 — LSI vol. X, p. 10; Sefer Ha-Chukkim of 5720, p. 99— LSI vol. XIV, p. 98; Sefer Ha-Chukkim of 5725, p. 182 — LSI vol. XIX, p. 186; Sefet Ha-Chukkim of 5728, p. 192 — LSI vol. XXII, p. 222; Sefer Ha-Chukkim of 5729, p. 17 — LSI vol. XXIII, p. 21. ** Passed by the Knesset on the 29th Shevat, 5731 (24th February, 1971) and published in Sefer Ha-Chukkim No. 618 of the 8th Adar, 5731 (5th March, 1970), p. 68; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 887 of 5730, p. 186. 2) Palestine Gazette of 1947, Suppl. I, p. 322 (English Edition).
63 Amendment of 2. In the Dentists Ordinance, 1945 1 — Dentists Ordinance. (1) subsections (2) and (3) (b) of section 5 are hereby repealed; (2) paragraph (7) of section 7 (a) is hereby repealed; (3) the following section shall be inserted after section 17 : "Fees. 17A. (a) The Minister of Health may prescribe by order, with the approval of the Public Services Com• mittee of the Knesset, fees for a dentist's licence, a dentist's provisional permit and every renewal of such a permit, and for a dental practitioner's permit and every renewal of such a permit; and the fees shall be paid upon the issue of the licence or permit or upon the renewal of the permit. (b) Where a dentist's licence is granted to any person who immediately before held a dentist's pro• visional permit or consecutive dentist's provisional per• mits, the fee or fees paid for the provisional permit or permits shall be deducted from the fee for the licence.".
Amendment of 3 In the Midwives Ordinance2 — Midwives Ordinance. (1) subsection (2) and (5) of section 5 are hereby repealed; (2) subsection (3) of section 5A is hereby repealed; (3) the following section shall be inserted after section 19 :
"Fees. 19A. (a) The Minister of Health may prescribe by order, with the approval of the Public Services Com• mittee of the Knesset, fees for a licence, a provisional licence and a temporary permit to practise midwifery and for the renewal of a provisional licence or tempo• rary permit; and the fees shall be paid upon the issue of the licence or upon the issue or renewal of the pro• visional licence or the permit. (b) Where a licence to practise midwifery is granted to any woman who immediately before held a provisional licence or temporary permit to practice mid• wifery or consecutive licences or permits as aforesaid, the fees paid for the provisional licence or licences or temporary permit or permits shall be deducted from the fee for the licence.".
Amendment of 4. In the Pharmacists Ordinance 3 — Pharmacists Ordinance. (1) the words "A fee of 10 pounds" in section 36 (5) shall be replaced by the words "A fee prescribed by the Minister of Health by order, with the approval of the Public Services Committee of the Knesset";
1) Palestine Gazette of 1945, Suppl. I, p. 1 (English Edition). 2) Laws of Palestine vol. II, cap. 93, p. 931 (English Edition). 3) Laws of Palestine vol. II, cap. 110, p. 1124 (English Edition). (2) section 45B shall be re-marked as section 45B (a), the words "with the approval of the Public Services Committee of the Knesset" shall be inserted after the words "prescribe by order" in the opening passage thereof, and the following subsection shall be inserted thereafter: "(b) Where a pharmacist's or assistant pharmacist's licence is granted to any person who immediately before held a pharmacist's or assistant pharmacist's provisional licence or consecutive pharmacist's or assistant pharmacist's provisional licences, the fees paid for the provisional licence or licences shall be deducted from the fee for the licence.".
GOLDA MEIR VICTOR SHEMTOV Prime Minister Minister of Health SHNEUR ZALMAN SHAZAR President of the State
(No. 19)
HOURS OF WORK AND REST (AMENDMENT NO. 2) LAW, 5731-1971*
1 1. In section 30 (a) of the Hours of Work and Rest Law, 5711-1951 , Amendment of the words "and members of the Prison Service" shall be added at the section 30. end of paragraph (1). GOLDA MEIR YOSEF ALMOOI Prime Minister Minister of Labour SHNEUR ZALMAN SHAZAR President of the State
(No. 20) ADVANCE PAYMENT LAW, 5731-1971**
1. The Government is hereby authorised to accept from the Bank Advance pay• of Israel (hereinafter referred to as "the Bank"), and the Bank is ment to Govern• ment from Bank hereby authorised to make to the Government, an advance payment of Israel. of an amount not exceeding 650,000,000 pounds.
* Passed by the Knesset on the 29th Shevat, 5731 (24th February, 1971) and published in Safer Ha-Chukkim No. 618 of the 8th Adar, 5731 (5th March, 1971), p. 69; the Bill and an Explanatory Note were publsihed in Hatza'ot Chock No. 829 of 5729, p. 208. 1) Sefer Ha-Chukkim of 5711, p. 204 — LSI vol. V, p. 125; Sefer Ha- Chukkim of 5729, p. 54 — LSI vol. XXIII, p. 60. ** Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 72; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 935 of 5731, p. 193.
65 Conditions of 2. The conditions and the times of repayment of the advance payment advance sha\\ De prescribed by an agreement between the Minister of Finance and the Governor of the Bank of Israel with the approval of the Finance Committee of the Knesset.
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance
SHNEUR ZALMAN SHAZAR President of the State
(No. 21)
PROPERTY TAX AND COMPENSATION FUND (AMENDMENT No. 5) (AMENDMENT No. 2) LAW, 5731-1971**
Amendment of 1. In section 5 of the Property Tax and Compensation Fund (Amend- section 5. ment No. 5) Law, 5729-19691 — (1) in the marginal note, the expression "for the tax years 1968 and 1969" shall be replaced by the expression "for the tax years 1968 to 1971"; (2) in the first subsection, the expression "for the tax years 1968 to 1970" shall be replaced by the expression "for the tax years 1968 to 1971"; (3) in the third paragraph of the second subsection, the expression in any of the tax years 1967 to 1970" shall be replaced by the expression "in any of the tax years 1967 to 1971".
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance
SHNEUR ZALMAN SHAZAR President of the State
* Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 72; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 931 of 5731, p. 170. 1) Sefer Ha-Chukkim of 5729, p. 86 — LSI vol. XXIII, p. 93; Sefer Ha- Chukkim of 5730, p. 31 — LSI vol. XXIV, p. 27.
66 (No. 22) DEFENCE LOAN LAW, 5731-1971 *
1. In this Law— Definitions. (1) every term shall have the same meaning as it has in the Income Tax Ordinance1 (hereinafter referred to as "the Ordin• ance"), unless otherwise provided in this Law; (2) "chargeable income" means the chargeable income of a person in the tax year 1971, including a capital profit and income as specified in section 3 of the Ordinance, except subsection (d), but not including — (a) work income to which section 123 of the Ordinance applies; (b) income from interest in respect of which a reduction is granted under any law, and in the case of a kibbutz, income as aforesaid, as determined under section 57 of the Ordinance; (3) '1kibbutz" (communal settlement) includes a moshav shitufi (smallholders' cooperative settlement) or other cooperative society for agricultural settlement in respect of which a direction under section 61 of the Ordinance has been issued; (4) "the determining date" means the 19th Cheshvan, 5738 (31st October, 1977).
2. A person shall in the tax year 1971, make to the State a defence imposition and loan (hereinafter referred to as "the loan") at the rate of 7 per cent of rate of loan, the amount of his chargeable income. — 3. (a) There shall be exempt from the loan Exemptions. (1) an individual liable in the tax year to tax not exceeding 90 pounds; (2) a non-resident in respect of his income from the sources specified in paragraphs (2), (4) and (5) of section 2 of the Ordinance; (3) a daily employee, within the meaning of regulations which shall be made for this purpose. (b) Notwithstanding the provision of subsection (a), if any amounts have been collected on account of the loan from a person exempt therefrom, the following provisions shall apply : (1) Where an amount not exceeding five pounds has been collected, it shall not be refunded;
* Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 73; the Bill and an Explanatory Note were published in Hatza'ot Choktio. 934 of 5731, p. 176. 1) Dinei Medinat Yisrael {Ntusach Chadash) No. 6, p. 120 — NV vol. I, p. 145; Sefer Ha-Chukkim of 5730, p. 153 — LSI vol. XXIV, p. 161.
67 (2) where an amount exceeding five pounds has been col• lected, loan certificates shall be issued under section 6; how• ever, if an amount as aforesaid has been collected from a husband and wife together, the Assessing Officer may act in accordance with paragraph (1) in respect of an amount less than five pounds collected from one of the spouses.
Loan to bear 4. (a) The loan shall bear interest at the rate of five per cent per interest. annum — (1) from the 17th Nisan, 5732 (1st April, 1972), in respect of advance payments made in due time under section 9 and of any loan deducted at source under section 10; (2) from the 9th Nisan, 5734 (1st April, 1974), in respect of the balances of the loan paid by the determining date. (b) The interest shall be exempt from income tax.
Loan linked to 5. (a) In this section — index. (1) "cost-of-living index" has the same meaning as in the Defence Loan Law, 5717-1956 *; (2) "basic index" means — (a) in respect of advance payments made in due time under section 9 and of any loan deducted at source under section 10, the cost-of-living index which will be published for December, 1971; (b) in respect of the balances of the loan paid by a person by the determining date, the cost-of-living index which will be published for December, 1973; (3) "new index" means the cost-of-living index which will be published for December, 1983. (b) The principal of the loan shall be linked to the cost-of-living index. If at the time of repayment of the loan it appears that the new index exceeds the basic index, the loan shall be repaid increased in the proportion of the excess of the new index over the basic index.
Loan certificates. 6. (a) In respect of amounts of loan paid by any person, certificates registered in his name shall be issued to him. (b) The certificates shall be issued — (1) by the 20th Nisan, 5735 (1st April, 1975) in respect of the aggregate amount of advance payments made by a person under section 9 and of the aggregate amount of any loan deducted at source under section 10; (2) by the 23rd Adar Bet, 5738 (1st April, 1978) in respect of the balances of the loan paid by a person by the determining date.
1) Sefer Ha-Chukkim of 5717, p. 8; LSI vol. XI, p. 5.
68 (c) The certificates shall not be negotiable and shall not be capable of being charged or transferred, except for transfers by opera• tion of law, unless the Minister of Finance, with the approval of the Finance Committee of the Knesset, otherwise prescribes by regulations and on the conditions prescribed by him. (d) The Minister of Finance shall, with the approval of the Finance Committee of the Knesset, prescribe by regulations the terms and conditions applicable to the loan certificates, including their issue and redemption and balances of an amount less than the lowest denomination of the loan certificates. (e) The certificates shall only be for an amount of pounds di• visible without remainder by five.
7. (a) The aggregate of the amounts of the loan shall be repaid Repayment of loan. in twelve monthly instalments in the tax year 1984. (b) Where an individual has died, the loan shall be repaid to his spouse, and if he has not left a spouse, to his heirs, within three months from the day of the filing of an application accompanied by the loan certificate.
8. The interest on the aggregate amount of the loan shall be paid Payment of in three equal triennial instalments beginning on the 19th Elul, 5738 interest. (1st October, 1978).
9. (a) A person liable to make advance payments under section Advance 175 of the Ordinance for the tax year 1971 shall, at the times prescribed payments on in that section, pay amounts as specified in the Schedule on account account of loan. of the loan. (b) A person liable to make advance payments under section 176 of the Ordinance for the tax year 1971 shall, at the times prescribed in that section, pay on account of the loan an amount equal to 20 per cent of the aggregate amount of the advance payments to which he is liable for that tax year on account of tax and defence impost.
10. (a) Whoever makes, or is responsible for making, any payment Duty to deduct being work income or pension or a charge or annuity, or other income at source. designated for the purposes of section 164 of the Ordinance and designated by the Minister of Finance for the purposes of this section, shall deduct therefrom, with the tax he has to deduct under section 164 of the Ordinance, an additional amount on account of the loan in such manner and instalments as shall be prescribed by regulations. (b) The Minister of Finance may, by regulations under sub• section (a), combine the said rates of deduction with the rates of deduction prescribed for the deduction of income tax and defence impost.
11. Where a person has paid any amounts on account of tax, defence Determination impost and loan, the part of the loan in the aggregate of the amounts of amount of paid by him as aforesaid shall, for the purpose of the issue of the loan.
69 loan certificates, be an amount which bears so such aggregate the same proportion as the loan to which he is liable bears to the aggregate of the tax, defence impost and loan to which he is liable.
Finality 12. Notwithstanding the provisions of section 2, and subject to the of advance provisions of section 3 (b) — payments and deductions at (1) where a person has made advance payments under section 9 to an amount exceeding the amount of the loan to which he is liable, the amount paid as aforesaid shall be deemed to be the amount of the loan to which he is liable; (2) where amounts have to be deducted under section 10 from the income of a person, the amounts so deducted shall be deemed to be the amount of the loan to which he is liable.
Loan not paid 13. The Minister of Finance may, with the approval of the Finance by determining Committee of the Knesset, prescribe by regulations how any loan not paid by the determining date shall be dealt with. Such regulations ־date may also prescribe that the loan shall be converted into a tax or that it shall not be collected.
Application of 14. Save as otherwise provided in this Law, the provisions of the provisions of Ordinance shall apply to the loan as if were part of the tax. Ordinance.
Implementation 15. The Minister of Finance is charged with the implementation and regulations. of this Law and may make regulations as to any matter relating to such implementation.
SCHEDULE (Section 9 •(a)) The rates of the advance payments on account of the loan shall • be as follows : Where the advance payments on account of income tax and defence impost for the tax year 1971 (hereinafter referred to as "the advance payments") do not exceed 600 pounds—26 pounds, plus 30 agorot per pound of the advance payments; where the advance payments exceed 600 pounds but do not exceed 900 pounds—206 pounds, plus 25 agorot per pound of the advance payments in excess of 600 pounds; where the advance payments exceed 900 pounds but do not exceed 1,500 pounds—281 pounds, plus 20 agorot per pound of the advance payments in excess of 900 pounds; where the advance payments exceed 1,500 pounds but do not exceed 2,100 pounds—401 pounds plus 17 agorot per pound of the advance payments in excess of 1,500 pounds; where the advance payments exceed 2,100 pounds but do not exceed 3,000 pounds—503 pounds plus 15 agorot per pound of the advance payments in excess of 2,100 pounds;
70 where the advance payments exceed 3,000 pounds but do not exceed 6,000 pounds—638 pounds, plus 13 agorot per pound of the advance payments in excess of 3,000 pounds; where the advance payments exceed 6,000 pounds but do not exceed 9,000 pounds—1,028 pounds plus 12 agorot per pound of the advance payments in excess of 6,000 pounds; where the advance payments exceed 9,000 pounds but do not exceed 12,000 pounds—1,388 pounds, plus 11 agorot per pound of the advance payments in excess fo 9,000 pounds; where the advance payments exceed 12,000 pounds—1,718 pounds, plus 10 agorot per pound of the advance payments in excess of 12,000 pounds.
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
(No. 23) SAVINGS LOAN LAW, 5731-1971* 1. In this Law— Definitions. (1) every term shall have the same meaning as it has in the Income Tax Ordinance1 (hereinafter referred to as "the Ordinance"), save as otherwise provided in this Law; (2) "total income" means the aggregate amount of the income of a person in the tax year 1971 from the sources specified in section 2 of the Ordinance and in section 3, except subsection (d), of the Ordinance and from capital profit, after setting off losses under Article Three of Chapter Two of the Ordinance and after deducting — (a) income exempt under section 9 of the Ordinance; (b) income to which section 123 of the Ordinance applies; (c) dividends; (d) interest in respect of which a reduction is granted un• der any law; (e) expenses within the meaning of section 17 of the Ord• inance; (3) "work income" includes a pension;
* Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 76; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 934 of 5731, p. 181. 1) Dinei Medinat Yisrael (Ntusach Chadash) No. 6, p. 120 — NV vol. I, p. 145; Sefer Ha-Chukkim of 5730, p. 153 — LSI vol. XXIV, p. 161.
71 (4) "employer" means any person who pays or is responsible for the payment of work income; (5) "employee" means an individual in receipt of work income; (6) "the determining date" means the 14th Tishri, 5735 (30th September, 1974).
Imposition 2. (a) A person shall in the tax year 1971 make to the State a and rate savings loan in respect of his total income (hereinafter referred as an of loan. "income loan") at the rate specified in the Schedule. (b) An employer shall make a savings loan (hereinafter referred to as an "employers' loan") of an amount equal to 6 per cent of the aggregate amount of the work income paid by him in the tax year 1971; and the following provisions shall apply to his income loan : (1) if the aggregate amount of the work income paid by him as aforesaid is equal to or exceeds his total income, he shall be exempt from income loan; (2) if the aggregate amount of the work income paid by him as aforesaid is less than his total income, he shall be liable to income loan on the difference only, at the rate which would apply if his total income were chargeable with income loan. (c) Notwithstanding the provisions of any law, employers' loan shall also be leviable from a body of persons which, for the purposes of the payment of taxes, fees and other compulsory payments, has the same status as the State.
Exemptions. 3. (a) The following are exempt from income loan : (1) an individual exempt from tax; (2) a daily employee, within the meaning of regulations to be made for this purpose; (3) a non-resident in respect of his income from the sources specified in paragraphs (2), (4) and (5) of section 2 of the Ordinance. (b) Notwithstanding the provisions of subsection (a), where any amounts have been collected on account of savings loan from a person exempt therefrom, the following provisions shall apply : (1) if an amount not exceeding five pounds has been collected it shall not be refunded; (2) if an amount exceeding five pounds has been collected, loan certificates shall be issued under section 12 : Provided that if an amount as aforesaid has been collected from a husband and wife together, the Assessing Officer may act in accordance with the provisions of paragraph (1) in respect of an amount of less than five pounds collected from one of them.
Deduction 4. (a) An employer shall deduct from work income paid by him at source. an additional amount on account of income loan, in the manner and at the rate prescribed by regulations. This amount shall be deducted
72 together with the tax he is required to deduct under section 164 of the Ordinance. (b) Where an amount has been deducted on account of income loan, it shall be regarded as the amount of income loan to which the employee is liable in respect of his work income. An amount paid by an employer on account of the loan to which his employee is liable according to an assessment made under section 6 shall be treated as an amount deducted.
5. An employer shall pay the income loan deducted from his em• Payment of ployees' income and employers' loan to the Assessing Officer at the deducted loan prescribed time and shall, at the same time, submit to him a return as and employers' loan. prescribed by regulations.
6. Where an employer to whom sections 4 and 5 apply has not Assessments of deducted income loan from his employees' income, or has not paid employers' and employees' loan. employers' loan, or has not submitted to the Assessing Officer a return of a deduction or payment as aforesaid, or has made a return, but the Assessing Officer has reasonable grounds for believing that it is not correct, the Assessing Officer may, to the best of his judgment, assess the amount of the income loan which the employer should have deducted or the amount of employers' loan which he should have paid. An assessment under this section shall be treated as an assessment under section 167 of the Ordinance.
7. (a) Income loan, other than a loan in respect of work income, Payment of due under a return pursuant to section 131 of the Ordinance or income loan. under an estimative return pursuant to section 133 of the Ordinance shall be paid upon submission of the return, and the balance of the loan shall be paid at the times prescribed in the Ordinance for the payment of the balances of tax. (b) The Minister of Finance may, in respect of particular classes of persons liable to income loan, prescribe by order that they shall make advance payments on account of the loan, and the rates of such advance payments and the mode and times of making them.
8. Where a person has paid any amounts on account of tax, defence Determination impost, defence loan and income loan, other than a loan in respect of amount of of work income, then, for the purposes of the issue of loan certificates, income loan. the part of the income loan in the aggregate of the amounts paid by him as aforesaid shall be an amount with bears to such aggregate the same proportion as the income loan to which he is liable bears to the aggregate of the tax, defence impost, defence loan and income loan to which he is liable.
9. Where an employer has paid any amounts on account of the Apportionment aggregate of the tax, defence impost, defence loan and income loan of employer's payments. deductions of his employees and employers' loan, such payments shall, for purposes of the issue of loan certificates, be credited in the first
73 place to the account of deductions, and the remainder shall be credited to the account of employers' loan.
Loan to 10. (a) The loan shall bear interest at the rate of five per cent per bear interest. annum — (1) in the case of a loan deducted under section 4, employees' loan, and advance payments under section 7 (b) — from the 17th Nisan, 5732 (1st April, 1972); (2) in the case of balances of income loan paid by the determining date — from the 9th Nisan, 5734 (1st April, 1974). (b) The interest shall be exempt from income tax.
Loan linked 11. (a) In this section — to index. (1) "cost-of-living index" has the same meaning as in the Defence Loan Law, 5717-19561j (2) "basic index" — (a) in the case of persons entitled to interest under section 10(a) (1), means the cost-of-living index which will be published for December, 1971; (b) in the case of a person entitled to interest under section 10(a) (2), means the cost-of-living index which will be published for December, 1973; (3) "new index" means the cost-of-living index which will be published for the month of June last preceding the date of repayment. (b) The principal of the loan shall be linked to the cost-of-living index. If at the time of repayment of a particular part of the loan it appears that the new index exceeds the basic index, the loan shall be repaid increased in the proportion of the excess of the new index over the basic index.
Loan 12. (a) In respect of amounts of loan paid by or deducted from certificates. the income of any person by the determining date, loan certificates registered in his name shall be issued to him by the 20th Nisan, 5735 (1st April, 1975). (b) The loan certificates shall not be negotiable. (c) The celrtificates shall only be for an amount of pounds divisible without remainder by five. (d) The Minister of Finance shall, with the approval of the Finance Committee of the Knesset, prescribe by regulations the terms and conditions applicable to the loan certificates, including their issue and redemption and balances of an amount less than the lowest denomination of the loan certificates.
1 ) Sefer Ha-Chukkim of 5717, p. 8 ; LSI vol. XI, p. 5.
74 13. The aggregate of the amounts of the loan and the interest thereon Repayment of shall be repaid in three consecutive annual instalments on the 1st loan. October 1975, 1976 and 1977, respectively. 14. The Minister of Finance may, with the approval of the Finance Loans not paid by Committee of the Knesset, prescribe by regulations how any loan not determining paid by the determining date shall be dealt with. Such regulations date. may also prescribe that the loan shall be converted into a tax or that it shall not be collected. 15. Save as otherwise provided in this Law, the provisions of the. Application of provisions Ordinance shall apply to the loan as if it were part of the tax. of Ordinance. 16. The Minister of Finance is charged with the implementation of Implementation this Law and may make regulations as to any matter relating to such and regulations. implementation. SCHEDULE (Section 2 (a)) I. Rate of Income Loan of an Individual:
Amount of Tax, incl. Defence Impost, Rate of Income Loan to which a person is liable in the tax (in percentages of total income) year (in pounds) up to 480 3.2 481 to 1,140 3.0 1,141 to 1,500 2.8 1,501 to 2,100 2.6 2,101 to 2,880 2.2 2,881 to 4,320 2.0 4,321 to 5,520 1.8 5,521 to 7,560 1.7 7,561 to 9,900 1.6 9,901 to 14,400 1.4 14,401 to 18,180 1.2 18,181 and over 1.1
II. The rate of the income loan due from a kibbutz (communal settlement — including a moshav shitufi (smallholders' cooperative settlement) or other cooperative society for agricultural settlement in respect of which a direction has been issued under section 61 of the Ordinance — shall be the same as the rate of the savings loan which according to the above table would be due from a farm unit if it were liable to the loan. III. The rate of the income loan of a body of persons shall be 2 per cent of its total income.
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
75 (No. 24) SAVINGS LOAN (AMENDMENT) LAW, 5731-1971*
1 Amendment of !. in section 13 of the Savings Loan Law, 5730-1970 , the figure
.״974!״ shalj be replaced by the figure «1975״ .section 13
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
(No. 25)
LAND APPRECIATION TAX (AMENDMENT No. 4) LAW, 5731-1971**
Amendment of 1. In section 9 of the Land Appreciation Tax Law, 5723-1963 2 section 9. (hereinafter referred to as "the principal Law"), subsection (c) shall be deleted.
Addition of 2. The following section shall be inserted after section 9 of the section 9A. principal Law:
"Transfer to 9A. (a) The Treasury shall transfer to the local au local authorities. thority to which the additional fee is payable under the Local Authorities (Land Transfer Fee) Law, 5719-19593, one third of the tax, not including the additional tax, and such part of the additional tax as is equal in amount to the additional fee which would have been payable under the said Law if the right had been sold as specified in section 9(a) or (b). (b) The Minister of Finance shall, with the con sent of the Minister of the Interior, make regulations for the implementation of this section.".
* Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 79; the Bill and an Explanatory Note were published in Hatza'ot CTtofcNo. 934 of 5731, p. 180. 1) Sefer Ha-Chukkim of 5730, p. 52; LSI vol. XXIV, p. 46. ** Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 80; the Bill and an Explanatory Note were published in Hatza'ot CAoJfcNo. 932 of 5731, p. 172. 2) Sefer Ha-Chukkim of 5723, p. 165 — LSI vol. XVII, p. 193; Sefer Ha-Chukkim of 5725, p. 40 — LSI vol. XIX, p. 41; Sefer Ha-Chukkim of 5727, p. 105 — LSI vol. XXI, p. 193; Sefer Ha-Chukkim of 5728 p. 181 — LSI vol. XXII, p. 209. 3) Sefer Ha-Chukkim of 5719, p. 82 — LSI vol. XIII, p. 84.
76 3. This Law shall have effect from the 6th Nisan, 5731 (1st April, 1971). GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
(No. 26)
EMPLOYMENT SERVICE (AMENDMENT) LAW, 5731-1971*
1. Section 50 of the Employment Service Law, 5719-1959 1 (herein- Amendment of after referred to as "the principal Law") shall be re-marked as section sect'on 50. 50(a) and the following subsections shall be inserted thereafter : "(b) where an employers' organisation or employees' organisa tion does not submit a list of candidates under subsection (a) (2) or (3), as the case may be, within three months from the day on which it was requested to do so by the Minister of Labour, the Minister may appoint as a member of the trade committee any person who seems suitable to him to represent the interests of the organisation on the trade committee, (c) The Minister shall not appoint a member of a trade committee under subsection (b) unless at least thirty days before the appointment a reminder was delivered to the organisation concerned, indicating that the Minister intended to appoint a member of the trade committee in accordance with subsection (b).".
2. Section 59 of the principal Law shall be re-marked as section Amendment of .a) and the following subsection shall be inserted thereafter : section 59)׳ 59 "(b) The Minister of Labour may, with the approval of . the Labour Affairs Committee of the Knesset, prescribe by regulations a fee for a trade examination under this chapter, either for all examinees or for particular classes of examinees or trades. Such regulations shall be in force for two years, but the trade committee may extend them from time to time for an additional period, not less than two years, which it shall prescribe.".
GOLDA MEIR HAIM GVATI Prime Minister Minister of Agriculture Acting Minister of Labour SHNEUR ZALMAN SHAZAR President of the State
* Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 80; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 834 of 5729, p. 229. 1) Sefer Ha-Chukkim of 5719, p. 32; LSI vol. XIII, p. 29.
77 (No. 27)
CRIMINAL CODE ORDINANCE (AMENDMENT No. 31) LAW, 5731-1971*
Amendment of 1. In section 152 of the Criminal Code Ordinance, 19361 — ot section 152. (1) at the end of the first subsection, the words "of or above the age of sixteen years" shall be replaced by the words "seventeen years of age, and if it is proved that he had reasonable cause to believe that the female was between sixteen and seventeen years of age, he shall not undergo a penalty greater than that specified in subsection (3)"; (2) in the third subsection, the words "above the age of sixteen and under the age of seventeen years" shall be replaced by the words "under the age of seventeen years".
GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State
(No. 28)
CRIMINAL CODE ORDINANCE (AMENDMENT No. 32) LAW, 5731-1971**
Addition of 1. In the Criminal Code Ordinance, 1936 2, the following sections sections 186A and 186B. shall be inserted after section 186 : "Relinquishing 186A. Any person who offers or gives a consideration possession of for permission to have possession of a minor under minor for a consideration. fourteen years of age or who asks for or receives a consideration for such permission is liable to imprisonment for a term of three years, and it shall be immaterial whether the consideration is money or money's worth.
* Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 81; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 899 of 5730, p. 274. 1) P.G. of 1936, Suppl. I, p. 285 (English Edition); Sefer Ha-Chukkim of 5726, p. 64 — LSI vol. XX, p. 56; Sefer Ha-Chukkim of 5728, p. 194 — LSI vol. XXII, p. 225; Sefer Ha-Chukkim of 5729, p. 31 — LSI vol. XXIII, p. 37. ** Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 81; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 903 of 5731, p. 2. 2) P. G. of 1936, Suppl. I, p. 285 (English Edition); Sefer Ha-Chukkim of 5726, p. 64 — LSI vol. XX, p. 56 ; Sefer Ha-Chukkim of 5729, p. 31 — LSI vol. XXIII, p. 37.
78 Handing over 186B. (a) Where a parent or guardian of a minor minor in under fourteen years of age hands over the minor, or repudiation of rights and permits him to be handed over, to a person not his obligations. parent or guardian, and such handing over involves a repudiation of his obligations or rights with regard to the minor, such parent of guardian is liable to imprison• ment for a term of two years. (b) It shall be a good defence to a charge under this section if one of the following is proved : (1) the minor was handed over for the purpose of adoption under the Adoption of Children Law, 5720-19601; (2) the minor was handed over for a de• terminate period and with the consent of a welfare officer within the meaning of the Welfare Services Law, 5718-19582; (3) the minor was handed over to his grandparent, uncle, aunt, brother or sister and the handing over was in the interest of the minor.".
GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State
(No. 29)
TRAFFIC ORDINANCE (AMENDMENT No. 11) LAW, 5731-1971*
1. In section 1 of the Traffic Ordinance8 (hereinafter referred to as Amendment of "the Ordinance") — of section 1- (1) the following definition shall be inserted after the definition of "policy" :
1) Sefer Ha-Chukkim of 5720, p. 96 — LSI vol. XIV, p. 93; Sefer Ha- Chukkim of 5729, p. 250 — LSI vol. XXIII, p. 276. 2) Sefer Ha-Chkkim of 5718, p. 103 — LSI vol. XII, p. 120; Sefer Ha- Chukkim of 5725, p. 291 — LSI vol. XIX, p. 317. * Passed by the Knesset on the 27th Adar, 5731 (24th March, 1971) and published in Sefer Ha-Chukkim No. 619 of the 7th Nisan, 5731 (2nd April, 1971), p. 81; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 911 of 5731, p. 35. 3) Dinei Medinat Yisrael (Nusach Chadash) No. 7, p. 173 — NV vol. I, p. 222; Sefer Ha-Chukkim of 5722, p. 64 — LSI vol. XVI, p. 55; Sefer Ha-Chukkim of 5724, p. 78 — LSI vol. XVIII, p. 66; Sefer Ha-Chukkim of 5725, pp. 115, 183 and 202 — LSI vol. XIX, pp. 114, 188 and 210; Sefer Ha-Chukkim of 5726, p. 58 — LSI vol. XX, p. 50; Sefer Ha- Chukkim of 5727, p. 146 —• LSI vol. XXI, p. 50; Sefer Ha-Chukkim of 5729, p. 224 (two amending Laws) — LSI vol. XXIII, pp. 244 and 245.
79 " "Controller of Traffic" means the person whom the Minister of Transport, by notice in Reshumot, has appointed Controller of Traffic for the whole area of the State (hereinafter referred to as the "National Controller of Traffic") or for part thereof, and includes a person to whom the National Controller of Traffic has,. by notice in Reshumot, delegated any of his powers, in respect of the whole area of the State or of part thereof, for a particular matter or class of matters;"; (2) the definition of "Licensing Authority" shall be replaced by the following definition : ""Licensing Authority" means the person whom the Minister of Transport has, by notice in Reshumot, appointed Director of the Licensing Department of the Ministry of Transport and includes a person to whom the Director of the Licensing Department has, by notice in Reshumot, delegated his powers as Licensing Authority, in respect of the whole area of the State or of part thereof, for a particular matter or class of matters;".
Amendment of 2. In section 14 of the Ordinance, the words "Licensing Authority" section 14. shall be replaced by the words "Controller of Traffic".
Amendment of 3. In section 29 of the Ordinance, subsection (b) shall be re-marked section 29. as subsection (c) and the following subsection shall be inserted before it: "(b) Where a police officer has reason to believe that a person has committed a finable offence under aggravating circumstances as specified in directions issued by a commissioned officer of police, he may, having regard to these circumstances, refrain from serving him with a summons with the option of a fine, as provided in sub• section (a), but notify him that a charge will be brought against him and a summons served on him under the Criminal Procedure Law 5725-19651; for this purpose, "commissioned officer of police" means a District Police Commander or the Head of the Traffic Division at the National Headquarters of the Israel Police.".
Replacement of 4. Section 36 of the Ordinance shall be replaced by the following section 36. section:
"Conditional 36. (a) The court may disqualify an accused person disqualification, conditionally, but it shall not do so if the accused has been convicted of the same kind of offence, or of any of the offences specified in the First or Second Schedule, within two years immediately preceding the offence in question, and it shall not do so upon a conviction of an offence under section 64A. (b) Where in respect of the offence of which the accused has been convicted this Ordinance prescribes
1 ) Sefer Ha-Chukkim of 5725, p. 161 ; LSI vol. XIX, p. 158.
80 a minimum period of disqualification for obtaining or holding a driving licence, and the court decides, in special circumstances, not to impose actual disqualifica• tion, the judgment shall set out the reasons for the decision. (c) Conditional disqualification shall become actual disqualification if, within a period fixed in the sentence, which shall not be less than one year or more than three years, the accused commits the same kind of offence of which he has been convicted or one of the offences specified in the First or Second Schedule or such other offence as the court may have designated in the sentence and is convicted of the further offence within or after the said period. (d) The said period shall, unless the court other• wise directs, begin on the date of the sentence or, if the accused is serving a prison sentence at the time, on the date of his release from imprisonment. (e) Where, in designating an offence in accordance with subsection (c), a provision of any enactment is referred to, and such provision is subsequently repealed and replaced by another provision, the sentence shall be deemed to refer to the other provision. (f) Where a person conditionally disqualified is convicted of a further offence as aforesaid, the court shall order the activation of the conditional disqualifica• tion, and it may direct in the order that the activation of the conditional disqualification shall be subject to the outcome of an appeal against the conviction of the further offence. The order shall be made by the court which convicted the accused of the further offence, but it may be made by any court competent to try that offence.".
5. The following section shall be inserted after section 36A of the Addition of Ordinance : section 36B.
"Person driving 36B. (a) A person who drives a vehicle without the vehicle without permission of its owner or lawful possessor and without owner's permission. holding a valid driving licence for that class of vehicle shall, in addition to any other penalty the court may impose, be liable to actual disqualification for obtaining or holding a driving licence for a period of not less than three years. If the court decides not to impose actual disqualification or to impose disqualification for a shorter period, it shall set out the reasons for the decision in the judgment. Reference in this subsection to a person not holding a driving licence shall not include a person whose licence
81 expired within one year prior to the commission of the offence owing to non-payment of the licence fee. (b) Where a person driving as specified in sub• section (a) holds a valid driving licence for the class of vehicle in question, he shall, in addition to any other penalty the court may impose, be liable to actual dis• qualification for holding a driving licence for a period of not less than six months and to conditional disqualifi• cation for a period of not less than three years. If the court decides not to impose actual disqualification or to impose it for a shorter period, it shall set out the reasons for the decision in the judgment. (c) The owner or person in control of a vehicle who permits another person to drive it, knowing that such person does not hold a driving licence for that class of vehicle, is liable to actual imprisonment for a term of three years with or without a fine of 5,000 pounds or, if that person is a minor who cannot obtain a driving licence, imprisonment for a term of five years with or without a fine of 7,000 pounds, and in addition, disqualification for obtaining or holding a driving licence for a period of not less than three years : Provided that the court may, in special circum• stances to be set out in the judgment, impose conditional imprisonment.".
Replacement of 6. Section 41 of the Ordinance shall be replaced by the following section 41. section:
"Variations of 41. The Minister of Transport may by regulations,
Schedules. wjtn fae approvai cf the Economic Committee of the Knesset, vary, add to and make deletions in, all or part of the Schedules to the Ordinance.".
Addition of 7. The following section shall be inserted after section 41 of the section 41 A. Ordinance:
"Restrictions 41 A. (a) Where under section 35 a person has been as to military disqualified by a court for obtaining or holding a driving driving licence. licence, the disqualification shall not apply to a military driving licence unless the court decides to disqualify him also from holding a military driving licence: Provided that the disqualification shall apply to a military driving licence even without the court having decided as aforesaid in the following cases : (1) if the person has been convicted of an offence which caused a road accident in which a person was killed; (2) if the person has been convicted of an offence under section 64A.
82 (b) Where a court decides under subsection (a) to disqualify a person for holding a military driving licence, the provisions of this Ordinance prescribing a minimum period of disqualification shall not apply unless the accused has been convicted of one of the offences specified in paragraphs (1) and (2) of subsection (a).".
8. Section 47 of the Ordinance shall be replaced by the following Replacement section: section 47.
"Disqualification 47. (a) Where a road accident occurs in which a person officerof"oliced 'S mJurec^ or ProPerty damaged, and an officer of police of or above the rank of inspector has reason to believe that a charge will be brought against the holder of a driving licence involved in the accident, such officer may, by order, disqualify such holder for holding such licence for a period of sixty days from the day on which the order is served on him. The court competent to try the offence may extend the disqualification until the termination of the trial or until the disqualification is rescinded by the court. (b) Where a road accident occurs in which a person is killed, and an officer of police of or above the rank of inspector has reason to believe that a charge will be brought against the driver of a vehicle involved in causing the accident, such officer shall disqualify such driver for holding a driving licence for a period of ninety days from the day on which the order is served on him. The court competent to try the offence may extend the disqualification until the termination of the trial or until the disqualification is rescinded by the court. (c) Notwithstanding anything provided in sub• section (a), the Licensing Authority of the Defence Army of Israel may issue to a person disqualified under that subsection a military driving licence while he is on military duty only, if such Authority is satisfied that is is necessary so to do for a defined and urgent military purpose. The provision of this subsection shall not apply in the case of an accident under the circumstances specified in section 64A.".
9. The following section shall be inserted after section 62 of the Addition of Ordinance: section 62A
"Actual 62 A.' Where in respect of an offence of which an ac• imprisonment. cused person has been convicted this Ordinance pre• scribes a minimum period of imprisonment, and the court decides not to impose actual imprisonment, the judgment shall set out the reasons for the decision.". Amendment of 10. In section 64A of the Ordinance, the words "shall not be imposed section 64A. on him as the only penalty" in subsections (a) and (b) shall be replaced by the words "shall not be imposed on him either as the only penalty or as an additional penalty".
Amendment of 11. In section 70(15) of the Ordinance, the expression "the Licensing section 70. Authority" shall be replaced by the expression "the Controller of Traffic".
Amendment of 12. In section 70A of the Ordinance — section 7OA. (1) in the first subsection, the words in brackets: "(each here• inafter referred to as "the owner of the vehicle")" shall be deleted; (2) the following subsection shall be inserted after subsection (d): "(e) The cost of towing under subsection (d) not paid within the time prescribed in the notice sent to the person liable to pay it shall, for the purpose of its collection, be treated as an unpaid fine. The duty of payment shall be imposed on the owner of the vehicle indicated in the licence thereof, unless he proves who had control of the vehicle at the timé of the offence and that person is in Israel or that the vehicle had been taken without his consent. (f) If at the trial of the owner of a vehicle for an offence under this section the court decides, on the basis of evidence brought before it, that another person had control of the vehicle at the time, the court which tries the other person may rely on the factual findings reached at the first trial on the basis of the evidence produced at that trial, and such evidence need not be produced again.".
GOLDA MEIR SHIMON PERES Prime Minister Minister of Transport
SHNEUR ZALMAN SHAZAR President of the State
(No. 30) CHIEF RABBINICAL COUNCIL (TEMPORARY PROVISIONS) ' LAW, 5731-1971*
Amendment of Chief 1. In section 1 of the Chief Rabbinical Council (Elections) (Temporary 1 Rabbinical Provisions) Law 5729-1969 , the words "the 4th Nisan, 5731 (30th Council March, 1971)" shall be replaced by the words "the 11th Av, 5731 (Elections) (2nd August, 1971)". (Temporary Provisions) Law, 5729 — * Passed by the Knesset on the 5th Nisan, 5731 (31st March, 1971) and 1969. published in Sefer Ha-Chukkim No. 620 of the 9th Nisan, 5731 (4th April, 1971), p. 88; the Bill and an Explanatory Note were published in Hatza'ot CAoftNo. 942 of 5731, p. 210. 1) Sefer Ha-Chukkim No. 554 of 5729, p. 82; LSI vol. XXIII, p. 89.
84 2. A Chief Rabbi of Israel who held office as President of the Great Extension of Rabbinical Court and as a dayyan on the 1st Tishri, 5731 (1st October, tenure. 1970) shall, notwithstanding anything provided in any Law, continue to hold these offices until the 11th Av, 5731 (2nd August, 1971) or until elections are held as provided in section 1 of the Chief Rabbinical Council (Elections) (Temporary Provisions) Law, 5729-1969, which• ever is earlier.
3. This Law shall have effect from the 4th Nisan, 5731 (30th March, Commencement. 1971) . GOLDA MEIR ZERACH WARHAFTIO Prime Minister Minister of Religious Affairs
SHNEUR ZALMAN SHAZAR President of the State
(No. 31)
PROBATION ORDINANCE (AMENDMENT) LAW, 5731-1971*
1. In section 4 of the Probation Ordinance (New Version), 5729- Amendment of 19691 (hereinafter referred to as "the Ordinance") — section 4. (1) the words "not less than one year" in subsection (a) shall be replaced by the words "not less than six months"; (2) subsection (c) shall be repealed.
2. In section 5(2) of the Ordinance, the words "for securing the good Amendment of conduct of the probationer and for preventing a repetition" shall be section 5. replaced by the words "for securing the mental and physical well- being of the probationer, his social rehabilitation and education towards good conduct or for preventing a repetition".
3. In section 6 of the Ordinance — Amendment of section 6. (1) the words "not extending beyond three years from the date thereof" in subsection (b) shall be replaced by the words "not extending beyond the period of validity thereof"; (2) the following subsection shall be added after subsection (c): "(d) In prescribing the place at which the probationer is to reside under subsection (a) and section 5(2), and in prescribing the institution at which he is to reside under subsection (b) and section 22(b), the court shall have regard to the probationer's religion.".
* Passed by the Knesset on the 28th Adar, 5731, (25th March, 1971) and published in Sefer Ha-Chukkim No. 620 of the 9th Nisan, 5731 (4th April, 1971), p. 88; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 896 of 5730, p. 254. 1) Dinei Medinat Yisrael (Nusach Chadash) No. 14, p. 312.
85 Amendment of 4. In section 11 of the Ordinance, the following paragraph shall section 11. be added after paragraph (2): "(3) direct the probationer or, if he is a minor, his parents to reimburse the State for the whole or part of expenses of meeting the conditions prescribed in the order with a view to securing his mental and physical well-being and social rehabilitation, provided he or they have the means therefor.".
Amendment of 5. In section 12(a) of the Ordinance, after the words "a judgment section 12. debt due from the probationer", there shall be inserted the words "or from his parents, as the case may be".
Amendment of 6. In section 20 of the Ordinance, paragraphs (1) and (2) shall be section 20. re-numbered as paragraphs (2) and (3), and the following paragraph shall be inserted before them : "(1) without prejudice to the continuance in force of the probation order, warn the probationer;".
Amendment of 7. At the end of section 21 of the Ordinance, there shall be added section 21. the words: "Provided that if the penalty is conditional imprisonment, the probation order shall not cease to have effect; where the probation order does not cease to have effect and the probationer does not comply with it, the Court may do as provided in sections 18 and 19 and in section 20, except paragraph (3) thereof.".
Amendment of 8. In section 22 of the Ordinance — section 22. (1) after the words "on the application of the probationer" in subsection (a), there shall be inserted the words "or, if he is a minor, his parents"; (2) the final portion of subsection (b), beginning with the words "for a period not extending beyond three years" shall be replaced by the words : "for a period not extending beyond the period of validity of the probation order"; (3) subsection (c) shall be repealed.
Replacement of 9. Section 27 of the Ordinance shall be replaced by the following section 27. section:
"Probation 27. The Minister of Social Welfare shall appoint from service. among the employees of the Ministry of Social Welfare a principal probation officer for adults and a principal probation officer for youth, who shall respectively organ• ise and manage the probation service for adults and youth in accordance with regulations, and a sufficient number of probation officers, who shall perform such duties as may be prescribed by regulations.".
Replacement of 10. Section 28 of the Ordinance shall be replaced by the following section 28. section:
86 Probation 28. The Minister of Social Welfare shall appoint com• committees. mittees consisting of such persons as he shall think suit• able. These committees shall advise him as to everything concerning the placing of offenders on probation, the prevention of delinquency and the rehabilitation of of• fenders, in such manner as he shall prescribe by regula• tions.".
GOLDA MEIR MICHAEL CHAZANI ' Prime Minister Minister of Social Welfare
SHNEUR ZALMAN SHAZAR President of the State
(No. 32)
DANGEROUS DRUGS ORDINANCE (AMENDMENT No. 3) LAW 5731-1971*
1. In section 2 of the Dangerous Drugs Ordinance, 19361 (hereinafter Amendment of referred to as "the Ordinance) — section 2. (1) in the definition of "dangerous drugs", the closing passage, beginning with the words "and such other substances", shall be• deleted; (2) the definitions of "corresponding law" and "magistrate" shall be deleted; (3) the definition of "Convention" shall be replaced by the fol• lowing definition : "Convention" means the Single Convention on Narcotic Drugs signed in New York on the 30th March, 1961;"; (4) the definition of "Director" shall be replaced by the following definition : "Director" means the Director-General of the Ministry of Health or a person empowered by him;".
2. In section 3 of the Ordinance, the expression "the Director of Amendment of Medical Services" shall be replaced by the expression "the Director", section 3.
* Passed by the Knesset on the 28th Adar, 5731 (25th March, 1971) and published in Sefer Ha-Chukkim No. 620 of the 9th Nisan, 5731 (4th April, 1971), p. 90; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 897 of 5730, p. 260. 1) P. G. of 1936, Suppl. I, p. 132 (English Edition); Sefer Ha-Chukkim of. 5712, p. 280 — LSI vol. VI, p. 91; Sefer Ha-Chukkim of 5728, p. 59 — LSI vol. XXII, p. 59.
87• Replacement of 3. Section 4 of the Ordinance shall be replaced by the following section 4. section :
"Prohibition of 4. (a) A person shall not export, import or facilitate
export, import, fae export or import of, or trade in, or effect any other r IJ J .״ • •.\ trade, supply and acting as transaction in respect ot, or supply a dangerous drug go-between. in any manner whatsoever, whether with or without consideration, save in so far as permitted by this Ordin ance or by rules made thereunder, or under a licence from the Director. (b) A person shall not, whether with or without consideration, act as a go-between in respect of an act prohibited under subsection (a).".
Replacement of 4. Section 6 of the Ordinance shall be replaced by the following section 6. section:
"Prohibition of 6. A person shall not cultivate, manufacture, produce manufacture, or prepare a dangerous drug, or extract a dangerous preparation and , r ,, , , , ,. c production drug from another, substance, save under a licence from the Director.'1
Replacement of 5. Section 7 of the Ordinance shall be replaced by the following section 7. section:
"Prohibition of 7. (a) A person shall not be in possession of, or use, a possession and dangerous drug, save in so far as permitted by this use. Ordinance or by rules made thereunder, or under a licence from the Director. (b) The provision of this section relating to the prohibition of possession shall not apply to a dangerous drug in lawful transit under this Ordinance.".
Addition of 6. The following section shall be inserted after section 7 of the section 7A. Ordinance :
"Modes of 7A. For the purposes of a prosecution for possession
possession. Qf a dangerous drug, it shall be immaterial whether the dangerous drug is under the control of the accused or under the control of a person having possession there of on behalf of the accused or whether the drug is under the control of another person without the knowledge of that person or whether it is in a place not under the control, charge or supervision of any person.".
Replacement fo 7. Section 8 of the Ordinance shall be replaced by the following section 8. section:
"Offences 8. (a) An Israel national or resident who does an committed act outside Israel which had it been done in Israel would abroad. be an offence under this Ordinance shall be deemed to have committed an offence in Israel.
88 (b) A person other than an Israel national or resi• dent who does an act outside Israel which had it been done in Israel would be an offence under section 4, 5 or 6 or unlawful possession of a dangerous drug under section 7• shall be deemed to have committed an offence in Israel. (c) A person shall not be tried by virtue of sub• section (b) if the act was done in a place under the jurisdiction of a foreign state unless the act is also prohibited by the law applying in that place. (d) An information under this section may only be filed on behalf of the Attorney-General or with his written consent. (e) An information under this section shall not be filed against a person for an act of which he has been convicted or acquitted outside Israel.".
8. Section 9 of the Ordinance shall be re-marked as section 9(1) Amendment of section 9. and the following subsection shall be inserted thereafter : "(2) The use of a dangerous drug is permitted if it is for curative purposes and the drug has been supplied to the user by a pharma• cist, medical practitioner or veterinary surgeon on the conditions set out in subsection (1) (c) or has been supplied under a licence.".
9. In section 12 of the Ordinance, the expression "9 (a), (b) and (d)" Amendment of section 12. shall be replaced by the expression "9 (1) (a), (b) and (d)".
10. In section 14 of the Ordinance — Amendment of section 14. (1) paragraph (a) shall be replaced by the following paragraph: "(d) being the occupier of any premises, permits the same to be used for the illicit preparation or use of a dangerous drug or for the illicit sale thereof or any other illicit trans• action in respect thereof; or"; (2) paragraph (c) shall be replaced by the following paragraph: "(c) has under his control any utensils used for the illicit preparation or destined for the illicit use of a• dangerous drug; or"; (3) paragraph (d) shall be replaced by the following paragraph: "(d) frequents any place intended for the use of dangerous drugs.".
11. In section 15 of the Ordinance, subsection (3) shall be replaced Amendment of by the following subsection : section 15. "(3) The Minister of Health may, with the approval of the Public Services Committee of the Knesset, by notice in Reshumot, vary, add to and make deletions in the Schedule and insert conditions therein.".
89 Amendment of 12. In section 16 of the Ordinance — section 16. (1) in the first subsection — (a) the words "or under any rules made thereunder" shall be deleted; (b) the words "to a fine not exceeding five thousand pounds" shall be replaced by the words "to a fine of fifty thousand pounds"; (c) the first proviso shall be replaced by the following proviso : "(i) notwithstanding anything contained in this Ordinance or in any other Law:— (a) a person may be tried by a Magistrates' Court for the possession or use of a dangerous drug in con• travention of the provisions of this Ordinance and shall on conviction be sentenced to imprisonment for a term not exceeding three years or a fine not exceed• ing ten thousand pounds; (b) a District Court trying an offence under this Ordinance may consist of a single Judge unless the President of the District Court otherwise directs."; (2) the following subsection shall be inserted after subsection (1): "(1A) A person who contravenes any rule made under this Ordinance shall be liable to imprisonment for a term of three years or to a fine of five thousand pounds."; (3) the words "sections 4, 5, 6, 7 and 14 of this Ordinance" in subsection (2) shall be replaced by the words "the provisions of this Ordinance or the rules made thereunder"; (4) the following subsection shall be inserted after subsection 2: "(2A) Where any dangerous drugs or any utensils destined for the use thereof have come into the hands of the police in consequence of the investigation of an offence under this Ordinance, the Court may order the forfeiture of the drugs or utensils even if the accused charged in connection there• with has been acquitted and even if no legal proceedings have been taken.".
Amendment of !3, Section 17 of the Ordinance shall be re-marked as section 17(1) 86011011 ' and the following subsection shall be inserted thereafter : "(2) In proceedings for an offence in respect of a drug under this Ordinance or the rules made thereunder, the accused shall be presumed to have known that the drug was dangerous, and if he alleges in his defence that he did not know it he shall bear the burden of proof.".
Amendment of 14 (a) jn part T Df tne Schedule to the Ordinance, item (g) shall Schedule. !_ 1 , , ! be deleted. (b) In Part II of the Schedule to the Ordinance, the following item shall be added after item (t):
90 "(a)(1) Acidum Diethylamide) Lysergicum : NN — diethyl — lysergamidum; synonymal: LSD, LSD-25, Lysergide, Lysergamid, Delysid. (2) Büfoteninum: dimethyl-serotoninum vel 5 — hydroxy — N—dime• thyl — tryptaminum. (3) Dimethyltryptaminum 3 — (dimethyl-aminoethyl) — indolum. (4) Harmalinum : 3, 4 — dihydro — harminum. (5) Harminum: 7 — methoxy — 1 — methyl — 9—pyrid—(3,4-b)— indolum; synonyma: Banisterine, Yageine, Telepa- thine, Leucoharmine. (6) Mescalinum et Sales: 3, 4, 5 — trimethoxy — phenethylaminum. (7) Psilocinum: 4 — hydroxy — dimethyl — tryptaminum vel 3 — (2 — dimethyl — amino-ethyl) — 4 — hydroxy — indo• lum. (8) Psilocybinum: 4 — phosphoryloxy — NN—dimethyl—tryptaminum vel 3 — (2 — dimethyl — aminoethyl) — indol — 4 — yl dihydro phosphas; synonymum : Indocybin.".
GOLDA MEIR VICTOR SHEMTOV Prime Minister Minister of Health SHNEUR ZALMAN SHAZAR President of the State
(No. 33)
TENANTS' PROTECTION (MISCELLANEOUS PROVISIONS) (No. 2) LAW, 5731-1971*
1. In section 1 of the Tenants' Protection Law, 5714-19541 (herein- Amendment of after referred to as "the 5714 Law"), the following definitions shall be section 1. added after the definition of "Tribunal" :
* Passed by the Knesset on the 3rd Nisan, 5731 (29th March, 1971) and published in Sefer Ha-Chukkim No. 621 of the 12th Nisan, 5731 (7th April, 1971), p. 96; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 894 of 5730, p. 229. 1) Sefer Ha-Chukkim of 5714, p. 92; LSI vol. VIII, p. 75.
91 " "key-money" has the same meaning as in the Key-Money Law, 5718-19581 (hereinafter referred to as "the Key-Money Law"); "business premises" means "leased premises other than a dwelling- house" ; "the 5731 Law" means the Tenants' Protection (Miscellaneous Pro* visions) (No. 2) Law, 5731-1971.".
Amendment of 2. In section 3 of the 5714 Law, paragraph (3) shall be repealed. section 3.
Replacement of 3. Section 4 of the 5714 Law shall be replaced by the following section 4. section:
"Rent of 4. The rent of a dwelling-house to which this Law
be the ״dwelling-house. appHes sha same as the rent which was payable for it immediately before the coming into force of the 5731 Law (hereinafter referred to as "the basic rent"), with such variations as may be prescribed by regulations under section 10 (hereinafter referred to as "variation regulations").". Repeal of 4. Sections 5 and 6 of the 5714 Law are hereby repealed, sections 5 and 6.
Replacement of 5. Section 7 of the 5714 Law shall be replaced by the following section 7. section:
"Adjustment (a) Where the basic rent was affected by one of of rent. . the following: (1) obligations which the landlord had to wards the tenant in addition to the obligation to place the dwelling-house at his disposal; (2) special relations which existed between the landlord and the tenant, and the variation regulations prescribe an addition to the rent, the addition shall not be to the basic rent but to the rent which would have been payable but for the additional obligations or the special relations. (b) In the case of a dwelling-house in respect of which the landlord did not exercise his right to increase the rent in accordance with the Tenants' Protection (Rent of Dwelling-Houses and Business Premises) Regulations, 5726-19662, the addition shall not be to the basic rent but to the rent which was due for that dwelling-house by virtue of the said regulations.":.
1) Sefer Ha-Chukkim of 5718, p. 117; LSI vol. XII, p. 197. 2) Kovetz Ha-Takkanot of 5726, p. 2066.
92 I
6. Section 9 of the 5714 Law.is hereby repealed. Repeal of section 9. 7. Sections 10 and 11 of the 5714 Law shall be replaced by the Replacement of following sections: Ind!"810
"Variation 10. (a) The Government may make regulations varying
but it shall not make such regulations ־regulations. tne Dasjc rent more than once a year. (b) Variation regulations may prescribe gradual variations of the rent, to begin at different times; but such variations shall not occur more than once a year. (c) Variation regulations may prescribe rents above the maximum amounts and below the minimum amounts specified in section 11, but no such variation of the rent shall apply before the 28th Adar Bet, 5733 (1st April, 1973); such regulations shall come into force three months from the date of their publication in.Reshumot unless they are rescinded before then by a decision of the Knesset.
Maximum 11. Notwithstanding the provision of section 4 — and minimum rent. (1) the rent shall not exceed a maximum amount, viz. 24 pounds a month per room in a dwelling-house of one room or one-and-a half rooms, 30 pounds a month per room in a dwelling-house of two rooms or two-and-a-half rooms, 40 pounds a month per room in a dwel ling house of three rooms or three-and-a-half rooms, and 50 pounds a month per room in a dwelling-house of four rooms or more: Pro vided that the proportion between the rent and the said maximum amount shall not exceed the proportion between the basic rent and the maximum amount which applied to the same dwelling-house under the Tenants' Protection (Rent of Dwelling-Houses and Business Pre mises) Regulations, 5726-1966; (2) the rent shall not be less than 12 pounds a month per room in a dwelling-house of two- and-a-half rooms or less, and not less than 18 pounds a month per room in a dwelling-house of three rooms or more; Provided that in the case of a dwelling-house situated in a cellar, hut, temporary structure or the like the rent may be lower than the said minimum amount.
Gradual HA. Where a rent exceeding the basic rent by more increase. than one third has been prescribed for any dwelling- house, the increase shall be effected gradually in such
93 manner that the tenant shall not add more than one third to the basic rent in any one year.".
Amendment of . 8. In section 13 of the 5714 Law — 860410,1 (1) in the opening passage of subsection (a), the words "before the coming into force of the 5731 Law" shall be inserted after the words "has let a part thereof". (2) subsection (b) shall be replaced by the following subsections : "(b) Where a tenant has let part of the dwelling-house after the coming into force of the 5731 Law, the following provisions shall apply: (1) the restriction on the rent of the sublet part under sub• section (a) shall not apply; (2) the tenant shall pay the landlord an addition to the rent of the dwelling-house at a rate of 75 per cent of such part of such rent as is attributable to the sublet part of the dwelling-house. (c) The provisions of this section shall also apply, mutatis mutandis, where a person who lets part of a dwelling-house in a house to which this Law applies is not a tenant within the meaning of this Law, whether he be the owner of the leased premises or a long-term lessee.".
Amendment of 9. In section 14 of the 5714 Law — of section 14. ... (1) the expression "under sections 5, 9, 10 and 13" in subsection (a) shall be replaced by the expression "under sections 11 and 13"; (2) the words "The rates of supplement under sections 4 and 6" in subsection (b) shall be replaced by the words "Variations under section 10".
Amendment of 10. In section 15 of the 5714 Law — section 15. (1) subsection (a) shall be replaced by the following subsection: "(a) Where a difference of opinion arises as to the rent payable by virtue of section 4 or the variation regulations, the Tribunal shall decide."; (2) in the second subsection — (a) paragraph (1) shall be replaced by the following para• graph : "(1) if a variation has occurred under section 10 or 11;"; (b) the words "in the dwelling-house in question" in paragraph (4) shall be deleted.
Replacement 11. Section 16 of the 5714 Law shall be replaced by the following of section 16. section:
94 Reduction in 16. (a) Where the landlord has been paid key-money the case of in respect of a dwelling-house and an increase of the tenant who paid key- rent is subsequently prescribed by variation regulations, ' money. the addition payable by the tenant of that dwelling- house under those regulations shall be reduced by one third. (b) A reduction under subsection (a) shall begin on the date of the coming into force of the regulations and shall end upon the expiration of fifteen years from the date of commencement of the tenancy in connection with which the key-money was paid; where the fifteen years end within three years from the coming into force of the regulations, the reduction shall continue until the expiration of three years from such coming into force. (c) The provisions of subsections (a) and (b)• shall not derogate from the effect of the Tenants' Protection (Tenancy Involving Key-Money) Law, 5722-19621, or the Tenants' Protection (Tenancy with Key-Money and Further Provisions) Law, 5726-19662. (d) Notwithstanding anything provided in this sec• tion, the rent shall not be less than the basic rent. (e) For the purposes of this section, it shall be immaterial whether the key-money was paid before or after the coming into force of the Key-Money Law.".
12. Sections 17 to 19 of the 5714 Law shall be replaced by the following Replacement of sections : sections 17 to 19.
"Rent of 17. (a) The rent of business premises shall be fixed business by agreement between the landlord and the tenant. In premises. the absence of agreement, either party may request that the Tribunal fix the rent. (b) In fixing the rent of any business premises, the Tribunal shall have regard to all the data likely to affect the amount of such rent, including the type of business, the zone in which the premises are situated and the use made thereof. In the case of business premises for which a maximum rent has been prescribed by regula• tions under subsection (c), the Tribunal shall not fix a rent exceeding such maximum. (c) The Government shall make regulations pre• scribing a maximum rent for business premises (such regulations hereinafter referred to as "business premises regulations"), having regard to the type of business pre-
1) Sefer Ha-Chukkim of 5722, p. 128; LSI vol. XVI, p. 119. 2) Sefer Ha-Chukkim of 5726, p. 76; LSI vol. XX, p. 70.
95 mises and the zone in which they are situated, and it may by regulations as aforesaid designate types of business premises to which the provisions as to a maximum rent are not to apply. (d) Business premises regulations shall become void if the Knesset so decides before the expiration of three months from the date of their coming into force. (e) Where after the coming into force of the 5714 Law the Tribunal fixes a rent exceeding the rent which was payable immediately before the coming into force of the said Law, the increase shall be effected gradually within four years in such manner that the rent increases in each year by one quarter of the total amount of the increase. Tenant who 18. (a) In business premises regulations, the Govern-
paid key-money. men^ shall enact special provisions as to fixing the reduc• tion of the rent in the case of a tenancy in respect of . which key-money was paid after the 5th Iyar, 5708 (14th May, 1948) or where the tenant has invested any sums in the business premises for the purposes of basic alter• ations or improvements, and as to the periods of such reductions. The Government shall in such regulations have regard both to the amount of the key-money or , investment and to the time when it was paid or made. (b) Where the rent has been reduced under sub• section (a), and during the period of reduction the ten• ant validly transfers the tenancy to another person, the new tenant shall be entitled to pay the reduced rent until the expiration of the period of reduction : Provided that the landlord may redeem such right by a single payment to the outgoing tenant, as fixed by agreement between the parties or, in the absence of agreement, by the Tribunal.".
Repeal of 13. Sections 20 to 23 of the 5714 Law are hereby repealed. sections 20—23.
Repeal of 14. Section 25 of the 5714 Law is hereby repealed. section 25.
Repeal of sections 15. Sections 26 and 27A of the 5714 Law are hereby repealed. 26 and 27A.
Amendment of 16. In section 28 of the 5714 Law, the words "of the categories specified section 28. in section 17" shall be deleted, and the words "notwithstanding any• thing contained in sections 17 to 24" shall be replaced by the words "notwithstanding anything contained in sections 17 and 18".
Amendment of 17. In section 29 of the 5714 Law, the existing marginal note shall section 29. be replaced by the marginal note "Supplementary provisions" and subsection (a) shall be deleted.
96 18. In section 30 of the 5714 Law, paragraph (1) shall be replaced Amendment of 30־ by the following paragraph : section "(1) if a change has occurred in the maximum rent under section 17(c);".
19. Section 32 of the 5714 Law is hereby repealed. Repeal of section 32. 20. In section 33 of the 5714 Law — Amendment of section 33. (1) in the first subsection, paragraph (3) shall be replaced by the following paragraph: "(3) keep the lighting installations at the entrance to the house and on the staircase in proper condition and supply lighting to these places; (4) see to the regular emptying of the cesspit."; (2) subsections (b) and (c) shall be replaced by the following subsections : "(b) The landlord shall pay the cost of the services under subsection (a). (c) The tenant shall make to the landlord a fixed monthly payment, in such amount, at such rate and in such manner as shall be prescribed by regulations, for the services under subsection (a).".
21. Section 35 of the 5714 Law shall be replaced by the following Replacement of section: section 35.
"Fulfilment 35. (a) Where the landlord has not maintained one of obligations Df tj^e servjces under section 33, a tenant may, after under section 33. , , , iU , _,, , . ., • . he has warned the landlord in writing, given him reasonable time to maintain the service and notified the other tenants, do what is necessary for the main tenance of the service. (b) Where a tenant (hereinafter referred to as "the executant") has done what was necessary for the main tenance of the service, he shall be entitled to do one of the following at his option : (1) demand the reimbursement of his expenses, less his own share thereof, from the landlord; (2) demand from the other tenants the pay ment of their shares in the said expenses. (c) A landlord who has reimbursed the expenses to the executant under subsection (b) (1) may claim from the other tenants the payment of their shares of the expenses.".
22. In section 37 of the 5714 Law — Amendment of section 37. (1) subsection (b) shall be replaced by the following subsection:
97 "(b) The cost of the repair shall be borne by the landlord and the tenant in equal shares: Provided that the Tribunal may apportion it differently if it sees reasons justifying its doing so."; (2) section (c) shall be repealed; (3) subsection (d) shall be re-numbered as subsection (c), and the words "to the extent that the Tribunal has imposed it on the latter at the end of the subsection shall be replaced by the words "to the extent that the tenant is liable therefor".
Amendment of 23. In section 38 of the 5714 Law, the expression "section 33, 34, 36, section 38. or 37" shall bie replaced by the expression "section 33, 36, 37 or 39".
Replacement of 24. Section 3<) of the 5714 Law shall be replaced by the following section 39. section :
"Maintenance 39. (a) Thé landlord shall carry out the repairs neces• of house and sary for keeping the house in proper condition and fit repairs. for use, as specified in regulations with the approval of the Constitution, Legislation and Juridical Committee of the Knesset, except repairs in such parts of the house as are in the exclusive use of the tenant. (b) Repairs in parts of the house which are in the exclusive use of the tenant, not being repairs as referred to in subsection (a), shall be carried out by the tenant and the cost thereof shall be borne by him. Where a tenant has not carried out repairs for which he is liable as aforesaid and which are necessary in order to preserve the safety and health of another tenant or to prevent damage to the house, the landlord may carry them out and the tenant shall enable him to carry them out, provided that the landlord has first notified the tenant in writing and has in the notification given him reason• able time to carry out the repairs. (c) Where the landlord has not carried out re• pairs as provided in subsection (a) which are necessary in order to preserve the safety or health of a tenant, except repairs necessitating fundamental building opera• tions, the tenant may carry them out, provided that he has first notified the landlord in writing and has in the notification given him reasonable time to carry out the repairs and that he does not cause damage to the building. (d) The cost of repairs which the landlord is re• quired to carry out shall be borne by him and the tenant in equal shares. (e) The Tribunal is competent to decide upon the reasonable cost of repairs under subsections (b)(c) and (d)
98 and may in the decision permit the tenant to set off such cost against rent due to the landlord.".
25. In section 40 of the 5714 Law, the expression "under section 36" Amendment of in subsection (a) shall be replaced by the expression "under section 33 section 40. or 36".
26. In section 41(a) of the 5714 Law, the words "provided he does Amendment of so in accordance with the building laws" shall be replaced by the •ection 41. words "provided that within a reasonable time before carrying out the repair he notifies the landlord — if his address is known — in writing of his intention to do so and that he carries out the repair in accordance with the building laws".
27. In section 42 of the 5714 Law, subsection (c) shall be replaced by Amendment of the following subsection : section 42. "(c) Where the landlord has undertaken with regard to part only of the tenants to maintain any of the services specified in section 36, the Tribunal may require him to maintain services under the said section with regard also to the other tenants, and upon its doing so, it shall require also the other tenants to reimburse expenses under sections 36 and 37.".
28. Section 43 of the 5714 Law is hereby repealed. Repeal of section 43. 29. Section 47 of the 5714 Law shall be replaced by the following Replacement of section: section 47.
"Composition. 47. The Tribunal shall consist of a Judge of a Ma• gistrates' Court sitting alone.".
30. The following sections shall be inserted after section 49 of the Addition of 5714 Law: sections 49A- 49G. "Appointment 49A. The Minister of Justice shall, in consultation with of experts. the Minister of Housing, prescribe for every Tribunal a list of experts on problems involved in the implement• ation of this Law, the Tenants' Protection Law, 5715-, 19551 (hereinafter referred to as "the 5715 Law") and the Key-Money Law. A list as aforesaid may be general for all Tribunals, or for part of them, as the Minister may think fit.
Summoning of 49B. (a) A Tribunal may at any time, of its own experts to motion or on the application of a party, designate from hearing. the list before it an expert who shall submit an opinion on the matter under consideration. It may do so on the application of a party even if the applicant has him-
1) Sefer Ha-Chukkim of 5715, p. 151 ; LSI vol. IX, p. 172.
?9 משיד המשפטים מםמך זה הינו העתק שנסרק בשלמותו ביום ובשעה המצוינים . בסריקה ממוחשבת מהימנה מהמסמך המצוי בתיק, בהתאם לנוהל הבדיקות במשרד המשפטים. על החתום « 9ן * ""'^ ~~ 22 ^2014 010509 .0<00 משרד המשפטים (התימה מוסדית). self submitted the opinion of an expert and even if such expert has been cross-examined. (b) An expert who has given advice or an opinion to a person in a particular matter shall not be summoned on behalf of the Tribunal as an expert in the same matter if that person is a party thereto. (c) Rules for the designation of an expert and procedure for the preparation and submission of an opinion shall be prescribed by regulations.
Powers of 49C. (a) An expert designated by the Tribunal may, expert. at such times and on such conditions as the Tribunal may have directed, carry out on the premises in question and in the house in which they are situated any in• spection he may deem necessary for the preparation of his opinion. He may hear an expert who has submitted an opinion on behalf of a party, and he shall do so if a party so requests. (b) An expert may at any time ask the Tribunal for instructions as to carrying out his task.
Deposit to 49D. The Tribunal which designates an expert may cover expenses. direct the parties or one of them to deposit such sum of money as it thinks fit •for payment of the fee and ex• penses of the expert, and upon termination of the pro• ceedings it shall decide who shall pay such fee and ex• penses.
Experts' fee. 49E. The Minister of Justice shall prescribe scales of fees for experts.
Factual findings. 49F. A Tribunal which fixes the rent of any premises or the amount of any participation in repairs or in the cost of services shall not be bound by earlier findings of fact of any Court or Tribunal in respect of the same premises even if they were arrived at in proceedings between the same parties.
Interest on 49G. Where a Tribunal has fixed any rent or the arrears. amount of any participation in repairs or in the cost of services, the person to whom the rent or amount of participation is due is entitled to interest thereon, from the day on which it became due until the day of actual ' payment, at the full rate under the Adjudication of Interest Law, 5721-19611, unless the Tribunal, by reason• ed decision, prescribes a different rate of interest or that no interest is to be paid at all.".
Replacement 31. Section 51 of the 5714 Law shall be replaced by the following of section 51. section :
1 ) Sefer Ha-Chukkim of 5721, p. 192 ; LSI vol. XV, p. 214.
100 "Commence• 51. Rent due by virtue of the 5731 Law or of variation ment of new regulations shall apply from the day on which the rent. landlord demands its payment in writing : Provided that the Tribunal may apply it retroactively from an earlier date if in view of the circumstances it considers that it is just so to do; but such date shall not precede the day of the demand as aforesaid by more than one year and shall not precede the day of the coming into force of the 5731 Law or of the variation regulations, as the case may be.".
32. In section 53 of the 5714 Law — Amendment of section 53. (1) the opening passage shall be replaced by the following opening passage: "For the purposes of section 36(1) of the 5715 Law, a tenant shall be regarded as continuing to pay the rent due from him, even if he has not paid the new rent, so long as he pays the rent which was payable immediately before the coming into force of the 5731 Law and none of the following has oc• curred :"; (2) paragraph (1) shall be repealed.
33. In section 54 of the 5714 Law, the words "for the purposes of Amendment of sections 51(b) and 53(1)" shall be replaced by the words "for the purposes section 54. of section 51".
34. Section 55 of the 5714 Law shall be replaced by the following Replacement of section: section 55.
"Provision as 55. Anyone who immediately before the coming into to existing force of the 5731 Law or of variation regulations or of contracts. business premises regulations was the tenant of any pre• mises under a contract which had not yet expired shall for the remainder of the period of the contract pay the rent fixed by it.".
35. Section 56 of the 5714 Law is hereby repealed. „ Repeal of section 56. 36. The First and Second Schedules to the 5714 Law are hereby Repeal of repealed. Schedules.
37. Notwithstanding the provisions of section 29, where before the Transitional coming into force of this Law a Tribunal began to hear any matter provision. with the participation of representatives of the public, such representa• tives shall continue to hear such matter until judgment is given.
GOLDA MEIR ZEEV SHAREF Prime Minister Minister of Housing SHNEUR ZALMAN SHAZAR President of the State
101 (Nö. 34)
INCOME TAX ORDINANCE (AMENDMENT No. 16) LAW, 5731-1971*
Amendment of 1. In section 9 of the Income Tax Ordinance1 (hereinafter referred section 9. to as "the Ordinance") — (1) paragraphs (5) and (6) shall be replaced by the following paragraphs:
"Blind persons (5) income from personal exertions of a blind person mvalids° P°r °^ an ^nvauc^ wno ^as ^ost ^0 Per cent °^ ^is working capacity: Provided that the deduction under section 36 shall be reduced by the amount of his income exempt as aforesaid; for this purpose — (a) where the percentage of invalidity of the in• valid has been determined under Law, such de• termination shall apply; (b) where the percentage of invalidity of the in• valid has not been so determined, it shall be de• termined under regulations to be made by the Minister of Finance with the approval of the Fin• ance Committee of the Knesset; Pensions of (6) pensions payable in respect of war injuries, a border invalids. injury or an enemy-inflicted injury, within the meaning of these terms in section 36 (b), and pensions payable out of the Treasury to a person who was a dependant of a soldier who died as a result of a war operation;"; (2) the following paragraph shall be inserted after paragraph (16): "Discharged (17) 150 pounds a month of the income of a discharged soldiers. soldier for fifteen months beginning upon the expiration of the month in which he was discharged; for this pur• pose, "discharged soldier" means a soldier who was dis• charged upon the termination of regular service within the meaning of the Defence Service Law (Consolidated Version), 5719-19592.".
Amendment of 2. In section 34 (b) of the Ordinance, the expression "under section section 34. 40" shall be replaced by the expression "under section 40 (a)".
* Passed by the Knesset on the 4th Nisan, 5731 (30th March, 1967) and published in Sefer Ha-Chukkim No. 622 of the 12th Nisan, 5731 (7th April, 1971), p. 104; the Bill and an Explanatory Note were published in Hatza'ot ChokVto. 934 of 5731, p. 186. 1) Dinei Medinat Yisrael (Nusach Chadash) No. 6 of 5721, p. 120 — NV vol. I, p. 145; Sefer Ha-Chukkim of 5730, p. 153 — LSI vol. XXIV, p. 161. 2) Sefer Ha-Chukkim of 5719, p. 286 — LSI vol. XIII, p. 328; Sefer Ha- Chukkim of 5730, p. 150 — LSI vol. XXIV p. 158.
102 3. In section 36 (a) of the Ordinance, the words "a road accident" Amendment of shall be inserted after the words "a work accident", and the words section 36. "the provisions of section 9(5) shall apply to the modes of determining percentages of invalidity for this purpose." shall be added at the end.
4. At the end of section 38(a) of the Ordinance shall be added the Amendment of words "if he is not entitled to a deduction under section 40 (a), and section 38. an additional deduction of 900 pounds shall be allowed if he is so entitled".
5. In section 40 (b) of the Ordinance, the words "who had not com• Amendment of pleted their twenty-first year and who were" shall be deleted. section 40.
6. In section 45 of the Ordinance — Amendment of section 45. (1) in the second subsection — (a) the expression "1,500 pounds" in paragraph (1) shall be replaced by the expression "1,900 pounds"; (b) the expression "600 pounds" in paragraph (2) shall be replaced by the expression "1,000 pounds"; (2) in the third subsection, the expression "60 pounds" shall wherever occurring be replaced by the expression "100 pounds"; (3) the following subsection shall be inserted after subsection (c): "(d) In the case of an individual at least 75% of whose chargeable income, prior to any deduction under subsections 34 to 43, is income as referred to in section 2 (2), subsections (b) and (c) shall apply with the following modifications: the expressions "1,900", "1,000" and "100" shall be respectively replaced by the expressions "1,700", "800" and "80".".
7. In section 47 (a) of the Ordinance, the expression "900 pounds" Amendment of shall be replaced by the expression "1,500 pounds". section 47.
8. In section 66(a) (4) of the Ordinance, the expression "250 pounds" Amendment of shall be replaced by the expression "650 pounds". section 66.
9. Section 123 of the Ordinance shall be replaced by the following Replacement of section: section 123.
"Tax on income 123. (a) Notwithstanding anything provided in section from over-time 121, the rate of tax shall not — and night shift. (1) in respect of additional pay for work on night shift under a collective agreement within the meaning of the Collective Agree• ments Law, 5717-19571, exceed 25 agorot per pound; (2) in respect of work income from overtime exceed 30 agorot per pound if the Minister
1) Sefer Ha-Chukkim of 5717, p. 63; LSI vol. XI, p. 58.
103 of Finance, on the recommendation of a com mittee appointed by him for this purpose, has certified that the worker's overtime work was necessary because of its essential character and that it was impossible to replace him by another worker. (b) The provisions of subsection (a) shall not apply to such part of any work income from overtime and additional pay for work on night shift as ex ceeds an amount equal to 50 per cent of the ordinary wage of the assessee.".
Amendment of 10. In section 125 of the Ordinance, the expression "25 per cent" shall section 125. be replaced by the expression" 32£ per cent".
Replacement of 11. Section 125A of the Ordinance shall be replaced by the following section 125A. section:
"Tax on income 125A. Notwithstanding the provisions of section 121,
s income to which section׳after death. ^ rate Qf tax on a person 3 (f) applies, or a person's work income, received after his death shall not exceed 32£ per cent.".
Validation. 12. The provision of section 219 of the Ordinance, as amended by section 38 of the Income Tax Ordinance (Amendment No. 13) Law, 5728-19681j is, and has always been, the law.
Application. 13. This Law, except section 12, shall have effect in respect of the tax year 1971 and onwards.
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
(No. 35) DEFENCE IMPOST (AMENDMENT No. 3) LAW, 5731-1971*
Amendment of 1. In section 5 of the Defence Impost Law, 5727-19672 — section 5. ^ the words "to which section 124 or 125A applies" in subsection (b) shall be replaced by the words "to which section 124, 125, 125A or 128 applies"; (2) the marginal note shall be replaced to read "Certain incomes".
1) Sefer Ha-Chukkim of 5728 p. 171; LSI vol. XXII, p. 193. * Passed by the Knesset on the 4th Nisan, 5731 (30th March, 1971) and published in Sefer Ha-Chukkim No. 622 of the 12th Nisan 5731 (7th April, 1971), p. 106; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 934 of 5731, p. 180. 2) Sefer Ha-Chukkim of 5727, p. 71 — LSI vol. XXI, p. 73; Sefer Ha- Chukkim of 5730, p. 154 — LSI vol. XXIV, p. 163.
104 2. This Law shall have effect in respect of the tax year 1971 and on- Application, wards. GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
(No. 36)
NATIONAL DEFENCE LOAN (AMENDMENT No. 3) LAW, 5731-1971*
1 Am lment of 1. In section 1 of the National Defence Loan Law, 5729-1969 , the ?"n expression "475 million pounds" shall be replaced by the expression ec lcm "625 million pounds".
GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
(No. 37)
STATE SERVICE (BENEFITS) (TRANSITIONAL PROVISIONS) LAW, 5731-1971**
1. In this Law, every term shall have the same meaning as it has Interpretation, in the State Service (Benefits) (Consolidated Version) Law, 5730-19702 (hereinafter referred to as "the principal Law").
2. (a) Where before the 19th Tevet, 5728 (18th February, 1968) Annulment of a person permanently capitalised part of his pension, he shall be deemed permanent capitalisation to have capitalised that part, from the date of the capitalisation, for of pension. a period of twelve years only or for a period ending on the day on which he completes his seventieth year, whichever period ends later: Provided that if such a person belongs to a class of persons which
** Passed by the Knesset on the 5th Nisan, 5731 (31st March, 1971) and published in Sefer Ha-Chukkim No. 622 of the 12th Nisan, 5731 (7th April, 1971), p. 106; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 940 of 5731, p. 212. 1) Sefer Ha-Chukkim of 5729, p. 82 — LSI vol. XXIII, p. 89; Sefer Ha- Chukkim of 5730, pp. 8 and 100 — LSI vol. XXIV, pp. 9 and 106. * Passed by the Knesset on the 4th Nisan, 5731 (30th March, 1971) and published in Sefer Ha-Chukkim No. 622 of the 12th Nisan, 5731 (7th April, 1971), p. 107; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 919 of 5731, p. 83. 2) Sefer Ha-Chukkim of 5730, p. 65; LSI vol. XXIV, p. 58.
105 the Minister of Finance has determined for this purpose, he shall be deemed to have capitalised that part of his pension, from the date of the capitalisation, for a period of twelve years only or for a period ending on the day on which he reaches an age, less than seventy years, determined by the Minister of Finance in respect of that class, which• ever period ends later. (b) From the date on which the period under subsection (a) ends, the pension shall be paid as if no part thereof had been capitalised, without the person entitled to it having to refund any capitalised part. (c) A determination of the Minister of Finance under this section shall require the approval of the Labour Affairs Committee of the Knesset.
Amendment of 3. In section 109 (b) of the principal Law, paragraph (2) shall be section 109. replaced by the following paragraph : "(2) shall contain no provision by virtue of which, in cal- ' culating under the opening passage of section 28 the pension of the survivors of the person entitled, the capitalisation of the retirement pension will lead to a reduction of the pension of the survivors;".
Widow who 4. (a) A widow who before the 28th Tishri, 5728 (1st November, has opted for 1967!) became entitled to two pensions under the principal Law and one-time who opted for a one-time payment in lieu of one of them shall, in payment. respect of the time after the coming into force of this Law, be entitled to both pensions, subject to the provisions of section 32 of the principal Law, provided that — (1) if she received a gratuity under section 33 of the State Service (Benefits) Law, 5715-19551 — she has refunded to the Treasury an amount equal to the aggregate of the gratuity and the compensation-on-dismissal paid in respect of the retirement, multiplied by the determining coefficient, but less an amount equal to the first pension to which she would have been entitled had she not opted for the gratuity, multiplied by twelve and the determining coefficient; or — (2) if she opted for compensation-on-dismissal only — she has refunded to the Treasury an amount equal to the compensation she has received, multipled by the determining coefficient. (b) For the purposes of this section, the determining coefficient is the figure resulting from the division of the determining salary ac• cording to which the compensation-on-dismissal was calculated, as on the day on which the widow refunds to the Treasury the amount re• ferred to in subsection (a), by the said determining salary at the rate which served for the calculation of the compensation-on-dismissal. (c) A widow who before the 28th Tishri, 5728 (1st November, 1967) was entitled to one pension and who opted for a one-time payment in lieu thereof shall be entitled to that pension in respect of the time
1) Sefer Ha-Chukkim of 5715, p. 135; LSI vol. IX, p. 149.
106 after the coming into force of this Law, subject to the provisions of section 32 of the principal Law, provided that — (1) she has refunded to the Treasury the amount referred to in subsection (a) (1) or (2), as the case may be; and (2) in the period between the 28th Tishri, 5728 (1st No• vember, 1967) and the date of the coming into force of this Law she became entitled to an additional pension under the principal Law or on the date of the coming into force of this Law she was employed in a State service to which the prin• cipal Law applies. (d) The Minister of Finance may by regulations, with the ap• proval of the Labour Affairs Committee of the Knesset, prescribe a time for a widow's payments to the Treasury under this section. (e) This section shall add to and not derogate from the rights of a widow under section 33 (b) of the principal Law.
5. (a) A pension at a rate determined under section 2 and 3 shall Application, only be paid for the time subsequent to the coming into force of this Law. (b) Section 3 shall apply whether the person by whose right the pension is payable died before or after the coming into force of this Law.
6. This Law shall have effect from the 4th Tevet, 5731 (1st January, Commencement. 1971). GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State
(No. 38) BROADCASTING AUTHORITY (AMENDMENT No. 3) LAW, 5731-1971*
1 1. In section 44A of the Broadcasting Authority Law, 5725-1965 , Amendment of subsection (d) is hereby repealed. section 44A.
GOLDA MEIR YIOAL ALON Prime Minister Deputy Prime Minister and Minister of Education and SHNEUR ZALMAN SHAZAR Culture President of the State
Passed by the Knesset on the 4th Nisan, 5731 (30th March, 1971), and published in Sefer Ha-Chukkim No. 622 of the 12th Nisan, 5731 (7th March, 1971), p. 108; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 935 of 5731, p. 193. Sefer Ha-Chukkim of 5725, p. 106 — LSI vol. XIX, p. 103; Sefer Ha- Chukkim of 5726, p. 78 — LSI vol. XX, p. 72; Sefer Ha-Chukkim of 5729, p. 20 — LSI vol. XXIII, p. 23.
107 (No. 39)
EMERGENCY REGULATIONS (POSSESSION AND PRESENTATION OF IDENTITY CERTIFICATE) (EXTENSION OF VALIDITY) LAW, 5731-1971*
Extension of 1. The validity of the Emergency Regulations (Possession and Presenta- tion of Identity Certificate), 5731-19711, in the form set out in the •׳ SCHEDULE Definitions. 1. In these Regulations — the terms "resident", "identity certificate" and "registration officer" have the same respective meanings as in the Population Registry Law, 5725-19652; the term "soldier" has the same meaning as in the Military Justice Law, 57U5-19553; the terms "head of local authority" and "superior police officer" include a person empowered in writing by either of these for the purposes of these Regulations. Possession and 2. (a) A resident who has completed his seventeenth year shall receive presentation of from the registration officer an identity certificate, shall always carry identity certificate. it with him and shall present it to a superior police officer, the head of a local authority or a police officer or soldier on duty when required by him to do so. (b) A person fulfils his obligation under these Regulations if instead of an identity certificate he carries with him and presents — (1) if he is a Member of the Government — a Government Member's pass; (2) if he is a Member of the Knesset — a Knesset Member's pass; (3) if he is Judge (shofet), i. e. judge of a civil court — a Judge's pass bearing the signature of the Minister of Justice and the photograph of the Judge; (4) if he is a dayyan (judge of a religious court) — a dayyan's pass bearing the signature of the Minister of Religious Affairs and the photograph of the dayyan; * Passed by the Knesset on the 5th Nisan, 5731 (31st March, 1971) and published in Sefer Ha-Chukkim No. 622 of the 12th Nisan, 5731 (7th April, 1971), p. 109; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 933 of 5731, p. 174. 1) Kovetz Ha-Takkanot No. 2661 of 5731, p. 539. 2) Sefer Ha-Chukkim of 5725, p. 270; LSI vol. XIX, p. 288. 3) Sefer Ha-Chukkim of 5715, p. 171; LSI vol. IX, p. 184. 108 (5) if he is a police officer — a certificate of appointment attesting that he is a police officer, bearing his photograph and issued to him in accordance with instructions binding in the Israel Police; (6) if he is a person of military age, within the meaning of the Defence Service Law, 5719-1959 (Consolidated Version)1 or has reported for registration under the said Law — a soldier's pass, or a reporting certificate, bearing his photograph and issued to him in accordance with instructions binding in the Defence Army of Israel. 3. A non-resident who has completed his seventeenth year shall carry Document of with him an official document attesting to his identity and bearing his non-resident. photograph, and he shall present it when required to do so as specified in regulation 2 (a). 4. A person who contravenes regulation 2 or 3 shall be liable to a Penalties. fine of 500 pounds: Provided that a person shall not be prosecuted for non-presentation of an identity certificate or a document as referred to in regulation 3 if within 48 hours after he was required to present such certificate or document it is presented to whoever required its presentation or to a police officer at a police station and the person's identity is established by means of it. A person whose identity has been established as aforesaid, shall, at his request, be given written confirmation to such effect at a police station. 5. These Regulations shall be cited as the Emergency Regulations Citation. (Possession and Presentation of Identity Certificate), 5731-1971. GOLDA MEIR YOSEF BURG Prime Minister Minister of Interior SHNEUR ZALMAN SHAZAR President of the State (No. 40) 5731-1971״ ,AUDITORS (AMENDMENT) LAW 1. In section 2(a)(6) of the Auditor's Law, 5715-19551 (hereinafter Amendment of referred to as "the principal Law"), the words "after consultation with section 2. the Institute of Certified Public Accountants in Israel" shall be added at the end. 1) Sefer Ha-Chukkim of 5719, p. 286; LSI vol. XIII, p. 328. * Passed by the Knesset on the 5th Nisan, 5731 (31st March, 1971) and published in Sefer Ha-Chukkim No. 622 of the 12th Nisan, 5731 (7th April, 1971), p. 110; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 894 of 5730, p. 244. 2) Sefer Ha-Chukkm of 5715, p. 26; LSI vol. IX, p. 27. 109 Replacement of 2. Section 11 of the principal Law shall be replaced by the following section 11. section: "Conduct 11. (a) The' Minister of Justice may, after consulta• derogatory to tion with the Institute of Certified Public Accountants the profession. in Israel and with the approval of the Constitution, Legis• lation and Juridical Committee of the Knesset, pre• scribe by regulations — (1) the modes of operation of an auditor, in• cluding the mode of giving an opinion; stand• ards for the inspection of accounts; and in• spection procedures; (2) things, in addition to those referred to in section 10, which constitute conduct derogatory to the profession. (b) The directives laid down under section 13(1) and (2) of the State Comptroller Law, 5718-1958 (Con• solidated Version)1 shall be regarded also as an obliga• tion imposed by regulations under subsection (a)(1) on an auditor who carries out the inspection of an inspected body, within the meaning of the said Law, and he shall, for the purposes of that task, comply with them in ad• dition to the obligations imposed on him by the said regulations. (c) An auditor who acts in contravention of regul• ations made under subsection (a) or of the directives referred to in subsection (b) shall be guilty of conduct derogatory to the profession. (d) Regulations made under this section shall not derogate from the obligations and responsibility of an auditor under any other law.". GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State 1) Sefer Ha-Chukkim of 5718, p. 92 ; LSI vol. XII, p. 107. 110 (No. 41) STATE COMPTROLLER (AMENDMENT No. 5) LAW, 5731-1971* 1 1. In the State Comptroller Law, 5718-1958 (Consolidated Version) Amendment of (hereinafter referred to as "the principal Law") the words "(in this section 2. Law referred to as "the House Committee")" shall be added at the end of section 2. 2. In section 17(a) of the principal Law, the words "or its interna-, Amendment of tional trade relations" shall be added after the words "its foreign re• section 17. lations". 3. In section 26 of the principal Law, the latter part, beginning Amendment of with the words "shall have all the powers which may be granted" shall section 26. be replaced by the words "shall, mutatis mutandis, have all the powers referred to in sections 8 to 11 and 27 (b) and (d) of the Commissions of Inquiry Law, 5729-19682". 4. In section 27(b) of the principal Law, the words "or its interna• Amendment of tional trade relations" shall be inserted after the words "its foreign section 27. relations". 5. The following sections shall be added after section 29 of the Addition of principal Law: sections 30 to 47. "Material not to 30. (a) No reports, opinions or other documents issued serve as evidence. or preparecl by the Comptroller in the discharge of his functions shall serve as evidence in any legal or disciplinary proceeding. (b) A statement received in the course of the dis• charge of the Comptroller's functions shall not serve as evidence in a legal or disciplinary proceeding, other than a criminal proceeding in respect of testimony on oath or affirmation obtained by virtue of the powers referred to in section 26. CHAPTER SEVEN : INVESTIGATION OF COMPLAINTS FROM THE PUBLIC Comptroller 31. The Comptroller shall also investigate under the rov slons tn s forCC™r^Slaintsr P i °^ ' ^aw complaints from members of the public; in this capacity, he shall bear the title "Com• missioner for Complaints from the Public" (hereinafter in this translation : "the Commissioner"). * Passed by the Knesset on the 5th Nisan, 5731 (31st March, 1971) and published in Sefer Ha-Chukkim No. 623 of the 14th Nisan, 5731 (9th April, 1971), p. 112; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 858 of 5729, p. 403. 1) Sefer Ha-Chukkim of 5718, p. 92 — LSI vol. XII, p. 107; Sefer Ha- Chukkim of 5722 pp. 6 and 42 — LSI vol. XIV, pp. 6 and 34; Sefer Ha-Chukkim of 5724, p. 42 — LSI vol. XVIII, p. 38; Sefer Ha-Chukkim of 5729, p. 98 — LSI vol. XXIII p. 108. 2) Sefer Ha-Chukkim of 5729, p. 28; LSI vol. XXIII, p. 32. Ill Unit for 32. The Commissioner shall carry out' his functions investigation with the assistance of a special unit in the State Comp• of complaints. troller's Office, to be known as the Office of the Com• missioner for Complaints from the Public. The Director of the Commissioner's Office shall be appointed by the House Committee upon the proposal of the Commission• er and shall be directly responsible to him. Complaint by 33. Any person may submit a complaint to the Com• whom. missioner. Modes of 34. A complaint submitted in writing or taken down submitting from the complainant's oral statement shall be signed complaint. by the complainant and shall indicate his name and address. Complaint by 35. A complaint by a prisoner, within the meaning of prisoner. the Prisons Ordinance, 19461, shall be submitted in a closed envelope, and the Commissioner of Prisons or a person empowered by him in that behalf shall for• ward it unopened to the Commissioner. Complaint 36. A complaint may be submitted against one of the against whom. following: (1) an inspected body within the meaning of para• graphs (1) to (6) of section 9; (2) one of the bodies referred to in paragraphs (7) and (8) of section 9, to the extent that the House Committee or the Commissioner has decided that this chapter shall apply in respect thereof and notice to such effect has been published in Reshumot; (3) an employee, office-holder or bearer of any function in any such body as referred to in para• graph (1) or (2) of this section. Complaint 37. The subject of a complaint may be — about what. (1) an act directly injurious to or directly with• holding a benefit from, the complainant and — (2) if the complainant is a Member of the Knesset — also an act directly injurious to, or directly withholding a benefit from, another person, such act being contrary to Law or done without lawful authority or contrary to good administration or involv• ing a too inflexible attitude or flagrant injustice; for this purpose, "act" includes an omission and delay in acting. Complaints 38. The following complaints shall not be investigated: not to be investigated. (1) a complaint against the President of the State; 1) P.G. of 1946, Suppl. I, p. 9 (English Edition). (2) a complaint against the Knesset, a committee of the Knesset, or a Member of the Knesset in re• spect of an act done in, or for the purpose of, the discharge of his functions as a Member of the Knesset; (3) a complaint against the Government, a Com• mittee of Ministers or a Minister as to his activity as a member of the Government, except his activity as the person in charge of a Ministry or sphere of activity; (4) a complaint against a judicial act of a court or a judge, of a tribunal or a member thereof or of a committee constituted by enactment or a member thereof; (5) a complaint as to a matter pending in a court or tribunal or in which a court or tribunal has given a decision with regard to the substance there- of; (6) a complaint by a person serving on regular service, or on active service in the Reserves, under the Defence Service Law, 5719-1959 (Consolidated Ver• sion)1 with regard to service arrangements, terms of service or discipline; (7) a complaint by a police officer or prison officer with regard to discipline in the Israel Police or the Prison Service; (8) a complaint by a State employee, including a police officer and a prison officer, or by an employee of a body as referred to in section 36, in a matter relating to his service as an employee; but there shall be investigated an act alleged to be contrary to the provisions of any Law or regulations, the State Service Regulations, a collective agreement or general arrangements prescribed on behalf of the State Ser• vice Commissioner or, in the case of a body referred to in section 36, similar general arrangements. Complaints onl 39. The following complaints shall not be investigated *° ke . ,, unless the Commissioner finds that there is a special investigated for ...... r special reason. reason justifying the same : (1) a complaint in a matter, other than of the class of matters referred to in section 38 (5), in which a decision has been given against which a contesta• tion, objection or appeal can be or could have been, filed under any law; (2) a complaint filed after a year has elapsed from the date of the act to which it relates or the date 1) Sefer Ha-Chukkim of 5719, p. 286; LSI vol. XIII, p. 328. on which such act became known to the complain• ant, whichever is later. Opening of 40. (a) When a complaint has been filed, the Com• investigation. missioner shall open the investigation thereof unless it appears to him that it does not comply with section 34 or that it does not come within the scope of section 36 or 37 or that it should not be investigated for one of the reasons enumerated in sections 38 and 39 or that it is vexatious or bothersome. (b) In the cases referred to in subsection (a), the Commissioner shall notify the complainant in writing that he will not deal with the complaint, stating his reasons. Modes of 41. (a) The Commissioner may investigate a complaint investigation. m anv manner he thinks fit and shall not be bound by rules of procedure or rules of evidence. (b) The Commissioner shall bring the complaint to the knowledge of the person or body complained against and, if such person is an employee as specified in section 36 (3), also to the knowledge of his superior (hereinafter referred to as "the superior") and shall give him it, or them a suitable opportunity to answer it. The Commissioner may require the person or body com• plained against to answer the complaint within the per• iod prescribed in the requisition. (c) The Commissioner may hear the complainant, the person or body complained against and any other person if he deems it useful so to do. (d) For the purpose of the investigation, the Com• missioner may require any person or body to give him, within such period and in such manner as he shall pre• scribe in the requisition, any information or document likely, in his opinion, to assist in the investigation of the complaint. A person or body required to deliver informa• tion or a document as aforesaid shall comply with the requisition. The provisions of this subsection shall not derogate from the provisions of section 5B to 5F of the Evidence Ordinance1. Discontinuance 42. The Commissioner may discontinue the investigation of investigation. Qf a cornplaint if he is satisfied that one of the grounds justifying the non-opening of an investigation exists or that the matter to which the complaint relates has been rectified or that the complainant has withdrawn the com• plaint. In this case, he shall notify the complainant, the 1) Laws of Palestine vol. I, cap. 54, p. 670 (English Edition); Sefer Ha- Chukkim of 5728, p. 192 — LSI vol. XXII, p. 222. person or body complained against and the superior, in writing, that he has discontinued the investigation, stating his reasons. Consequences ol 43. (a) Where the Commissioner finds that the com- investigation. plaint is justified, he shall notify the complainant, the person or body complained against, and, if he so deems fit, the superior to such effect, stating his reasons. He may set out a summary of his findings in his reply, and may point out to the person or body complained against and to the superior the need to rectify a defect revealed by the investigation and how to rectify it. (b) The person or body complained against or the superior shall, as soon as possible, but not later than two months from the date of receipt of the notification, inform the Commissioner of the steps which have been taken. (c) Where the Commissioner finds that the com• plaint is not justified, he shall notify the complainant, the person or body complained against and, if he so deems fit, the superior to such effect, stating his reasons. He may set out a summary of his findings in his reply. (d) Where the investigation of a complaint gives rise to the suspicion that a criminal offence has been committed, the Commissioner shall bring the matter to the knowledge of the Attorney-General. He may do so where the investigation of a complaint gives rise to the suspicion that a disciplinary offence has been committed under any law. Restrictions on 44. (a) A notification by the Commissioner under sec- notification. t;on 43 (aj or ^ sna|j not contain or disclose any material or information which in the opinion of the Prime Minister or the Minister of Defence is a matter of State security or which in the opinion of the Prime Minister or the Minister of Foreign Affairs is a matter of foreign relations or international trade relations of the State. (b) Where it appears to the Commissioner that his notification is likely to contain or disclose any materi• al or information as referred to in subsection (a) and neither the Prime Minister nor the Minister of Defence or the Minister of Foreign Affairs has expressed an opinion as specified in that subsection, the Commissioner shall ask the opinion of the Prime Minister or the Minister of Defence or the Minister of Foreign Affairs, as the case may be, before making his notification. (c) The Commissioner shall be exempt from stat• ing his findings or reasons — (1) where the complaint relates to an ap• pointment to a particular post or the assign• ment of a particular function; (2) where in his opinion the material or evid• ence may unlawfully prejudice the right of any person other than the complainant; (3) where in his opinion the disclosure of the material or evidence will involve the disclosure of a professional secret, or of secret informa• tion, within the meaning of any law. Rights and 45. (a) The decisions and findings of the Commission• relief. er as to a complaint — (1) shall not grant to the complaint or any other person any right or relief in any court or tribunal which he has not had previously; (2) shall not prevent the complainant or any other person from exercising any right or ap• plying for any relief to which he is entitled; but where a time-limit is set therefor by any enactment, the submission or investigation of the complaint shall not entail an extension of time. (b) No court shall entertain an application for relief against the decisions or findings of the Commission• er in the matter of a complaint. Report. 46. (a) The Commissioner shall each year submit to the Knesset, at the beginning of its session, a report on his activities, containing a general survey and an account of the handling of selected complaints. (b) The Commissioner may prior to the submission of the annual report submit to the Knesset a special report. (c) When a report has been tabled in the Knesset, the House Committee shall consider it and shall submit to the Knesset its conclusions and proposals for approval. (d) A report under this section shall not be pub• lished before being tabled in the Knesset. (e) The provisions of section 44 shall also apply, mutatis mutandis, to a report under this section. Application of 47. (a) Sections 22, 23, 26 and 28 shall also apply, provisions. mutatis mutandis, for the purposes of this chapter. (b) The provisions of this chapter shall not dero• gate from the power of the State Comptroller to make use in his other activities of material which reached him in connection with a complaint, whether or not he has investigated it.". 116 6. The Commissioner shall be exempt from submitting an annual Transitional report under section 46 (a) in the first session of the Knesset following provision, the coming into force of this Law. 7. This Law shall come into force on the 3rd Tishri, 5732 (22nd Commencement. September, 1971). GOLDA MEIR Prime Minister SHNEUR ZALMAN SHAZAR President of the State (No. 42) NATIONALITY (AMENDMENT No. 3) LAW, 5731-1971* 1. In the Nationality Law, 5712-19521, the following subsection shall Amendment of section 2. be added at the end of section 2 : "(e) Where a person has expressed his desire to settle in Israel, being a person who has received, or is entitled to receive, an oleh's** visa under the Law of Return, 5710-19502, the Minister of the Interior may at his discretion, grant him, upon his application, nationality by virtue of return even before his aliya**.". GOLDA MEIR YOSEF BURQ Prime Minister Minister of the Interior SHNEUR ZALMAN SHAZAR President of the State * Passed by the Knesset on the 22nd Iyar, 5731 (17th May, 1971) and published in Sefer Ha-Chukkim No. 624 of the 2nd Sivan, 5731 (26th May, 1971), p. 118; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 935 of 5731, p. 192. ** Oleh and •aliya mean an immigrant, and immigration, under the Law of Return, 5710-1950. 1) Sefer Ha-Chukkim of 5712, p. 146 — LSI vol. VI, p. 50; Sefer Ha-Chukkim of 5718, p. 84 — LSI vol. XII, p. 99; Sefer Ha-Chukkim of 5728, p. 212 — LSI vol. XXII, p. 241. 2) Sefer Ha-Chukkim of 5710, p. 159; LSI vol. IV, p. 114. 117 (No. 43) COURTS (AMENDMENT No. 4) LAW, 5731-1971* 1 Amendment of 1. In section 28 of the Courts Law, 5717-1957 , the words "three section 28. thousand pounds" in paragraph (2) shall be replaced by the words "ten thousand pounds". Commencement. 2. This Law shall come into force on the 8th Tammuz, 5731 (1st July, 1971). Transitional 3. Where immediately before the coming into force of this Law provision. any matter which this Law brings within the jurisdiction of a Magis• trates' Court was pending in a District Court, and the hearing of wit• nesses had begun, then, notwithstanding the provision of section 1, the District Court shall continue to deal therewith; where the hearing of witnesses had not begun, the matter shall be transferred to a Magis• trates' Court according to regulations to be made by the Minister of Justice. YIGAL ALON YAACOV S. SHAPIRO Deputy Prime Minister and Minister of Justice Minister of Education and Culture Acting Prime Minister SHNEUR ZALMAN SHAZAR President of the State (No. 44) PENAL LAW (MODES OF PUNISHMENT) (AMENDMENT) LAW, 5731-1971** Amendment of 1. In section 43 of the Penal Law (Modes of Punishment) (Con- section 43. solidated Version), 5730-19702, the words "pay to the defendant the costs of his defence to an amount prescribed by the court" shall be replaced by the words "pay to the defendant the costs of his defence, * Passed by the Knesset on the 2nd Sivan, 5731 (26th May, 1971) and published in Sefer Ha-Chukkim No. 625 of the 10th Sivan (3rd June, 1971), p. 120; the Bill and an Explanatory Note were published in • Hatza'ot Chok No. 936 of 5731, p. 196. 1) Sefer Ha-Chukkim of 5717, p. 148 — LSI vol. XI, p. 157; Sefer Ha- Chukkim of 5722, p. 24 — LSI vol. XI, p. 17; Sefer Ha-Chukkim of 5724, p. 66 — LSI vol. XVIII, p. 56; Sefer Ha-Chukkim of 5727, p. 132 —LSI vol. XXI, p. 131. ** Passed by the Knesset on the 29th Sivan, 5731 (22nd June, 1971) and published in Sefer Ha-Chukkim No. 626 of the 8th Tammuz, 5731 (1st July, 1971), p. 122; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 943 of 5731, p. 230. 2) Sefer Ha-Chukkim of 5730, p. 109; LSI vol. XXIV, p. 112. 118 and compensation for his detention or imprisonment on the charge of which he has been acquitted, to such amount as the court sees fit". GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State (No. 45) EMERGENCY REGULATIONS (COMPULSORY PAYMENTS) (AMENDMENT) LAW, 5731-1971* 1. In regulation 28 (b) of the Emergency Regulations (Compulsory Amendment of Payments), 5718-19581— regulation 28. (1) the words "four representatives of the manufactureres" shall be replaced by the words "five representatives of the manufactur• ers"; (2) the words "and one representative of the employees" shall be replaced by the words "and two representatives of the employees". GOLDA MEIR Prime Minister SHNEUR ZALMAN SHAZAR President of the State (No. 46) BANKING ORDINANCE (AMENDMENT No. 8) (AMENDMENT) LAW, 5731-1971** 1. In section 3 of the Banking Ordinance (Amendment No. 8) Law, Amendment of 5728-19662, the expression "the 7th Tammuz, 5731 (30th June, 1971)" section 3. * Passed by the Knesset on the 8th Tammuz, 5731 (1st July, 1971) and published in Sefer Ha-Chukkim No. 627 of the 15th Tammuz, 5731 (8th July, 1971), p. 124; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 943 of 5731, p. 228. 1) Sefer Ha-Chukkim of 5724, p. 175 — LSI vol. XVIII, p. 173; Sefer Ha-Chukkim of 5727, p. 21 — LSI vol. XXI, p. 13; Sefer Ha-Chukkim of 5729, p. 246 — LSI vol. XXIII, p. 272; Sefer Ha-Chukkim of 5730, p. 49 — LSI vol. XXIV, p. 44. *» Passed by the Knesset on the 8th Tammuz, 5731 (1st July, 1971) and published in Sefer Ha-Chukkim No. 627 of the 15th Tammuz, 5731 (8th July, 1971), p. 124; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 947 of 5731, p. 248. 2) Sefer Ha-Chukkim of 5726, p. 14; LSI vol. XX, p. 11. 119 shall be replaced by the expression "the 2nd Tammuz, 5736 (30th June, 1976)". GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State (No. 47) INVALIDS (PENSIONS AND REHABILITATION) (AMENDMENT No. 6) LAW, 5731-1971* Amendment of 1. In section 1 of the Invalids (Pensions and Rehabilitation) Law, section 1. 5719-1959 (Consolidated Version)1 (hereinafter referred to as "the principal Law") the expression "Vav" in the definition of the "determin• ing wage" shall be replaced by the expression "Het". Amendment of 2. The following section shall be inserted after section 20 of the section 20A. principal Law : "Pension after 20A. Where an invalid has died who at the time of invalid's death. his death was entitled to a pension, and according to the Fallen Soldiers' Families (Pensions and Rehabilitation) Law, 5710-19502, no pension is payable thereafter by reason of the event which caused his invalidity, the pension shall continue to be paid, at the rate which was payable at that time, until the expiration of twelve months from the end of the month in which his death occurred, to such immediate relative as the invalid directed under section 39A, and in the absence of such a direction, to his spouse, and in the absence of a spouse, to such immediate relative as the pensions officer has directed.". Amendment of 3. Section 35 shall be re-numbered as section 35 (a) and the following section 35. subsection shall be inserted thereafter : "(b) Where a new decision has been given entitling an invalid to a pension or an increased pension, the pension or increased pension shall be paid from the date of submission of the fresh * Passed by the Knesset on the 8th Tammuz, 5731 (1st July, 1971) and published in Sefer Ha-Chukkim No. 627 on the 15th Tammuz, 5731 (8th July, 1971), p.- 125; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 916 of 5731, p. 64. 1) Sefer Ha-Chukkim of 5719, p. 276 — LSI vol. XIII, p. 315; Sefer Ha- Chukkim of 5721, p. 156 — LSI vol. XV, p. 165; Sefer Ha-Chukkim of 5725, pp. 6 and 292 — LSI vol. XIX, pp. 4 and 319; Sefer Ha-Chukkim of 5727, p. 139 — LSI vol. XXI, p. 138; Sefer Ha-Chukkim of 5728, p. 168 — LSI vol. XXIII, p. 189. 2) Sefer Ha-Chukkim of 5710, p. 162; LSI vol. IV, p. 115. 120 evidence on the basis of which the new decision was given: Provided that the pensions officer may direct that it shall be paid from an earlier date not preceding the date of submission of the fresh evidence by more than one year.". 4. The following section shall be inserted after section 43 of the Amendment of principal Law: section43A. "Insurance 43A. An invalid entitled to a pension for whom insur- of deaths"1 anCe ^aS ^een arranged against the event of his death, in the manner referred to in section 14 (b), is entitled to have part of the insurance contributions paid by the Treasury at a rate prescribed by regulations.". 5. Sections 1, 2 and 4 shall have effect from the 24th Adar Bet Commencement. 5730 (1st April, 1970). GOLDA MEIR MOSHE DAYAN Prime Minister Minister of Defence SHNEUR ZALMAN SHAZAR President of the State (No. 48) FALLEN SOLDIERS' FAMILIES (PENSIONS AND REHABILITATION) (AMENDMENT No. 7) LAW, 5731-1971* 1. In section 1 of the Fallen Soldiers' Families (Pensions and Re- Amendment of habilitation) Law, 5710-19501 (hereinafter referred to as "the principal section 1. Law"), after the words "a parent of the fallen soldier" in paragraph (c) of the definition of "relative", there shall be inserted the words "including a step-parent and an adoptive parent". 2. In section 7 of the principal Law — Amendment of (1) in the second subsection, the words "twenty-four months" section 7. shall be replaced by the words "thirty-six months" and the ex• pression "50 per cent" shall be replaced by the expression "55 per cent"; (2) in the opening passage of subsection (c), the words "twenty- four months" shall be replaced by the words "thirty-six months". * Passed by the Knesset on the 8th Tammuz. 5731 (1st July, 1971) and published in Sefer Ha-Chukkim No. 627 of the 15th Tammuz, 5731 (8th July, 1971), p. 126; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 917 of 5731, p. 68. 1) Sefer Ha-Chukkim of 5710, p. 162 — LSI vol. IV, p. 115; Sefer Ha- Chukkim of 5712, p. 287 —LSI vol. VI, p. 98; Sefer Ha-Chukkim of 5718, p. 172 —LSI vol. XII, p. 189; Sefer Ha-Chukkim of 5723, p. 36 — LSI vol. XVII, p. 45; Sefer Ha-Chukkim of 5725, p. 295 — LSI vol. XIX, p. 313; Sefer Ha-Chukkim of 5727, p. 140 — LSI vol. XXI, p. 140; Sefer Ha- Chukkim of 5728, p. 254 — LSI vol. XXII, p. 189. 121 Amendment of 3. The following section shall be inserted after section 8 of the section 8A. principal Law: "Pension for 8A. (a) Where a widow who has no self-supporting widow in child is, by reason of old age or the state of her health, special position. in need of care at an institution, including a parents' home, the pensions officer may direct that the institution be paid on her behalf a monthly pension equivalent to the cost of her maintenance at the institution and of the acquisition of medical aids and appliances; if the aggregate of the cost as aforesaid is less than the amount of the pension payable under section 7 or 8, the difference shall be paid to the widow. (b) Whree a widow who has no self-supporting child is, by reason of old age or the state of her health, in need of personal attendance by another person, and the cost of such attendance and of the acquisition of med• ical aids and appliances exceeds the amount of the pension payable to her under section 7 or 8, the pensions officer may direct that she be paid a pension of the amount prescribed by him.". Amendment of 4. At the end of section 9(b) of the principal Law, there shall be section 9. added the words "and the cost of the acquisition of medical aids and appliances and of special clothing usual at the institution". Amendment of 5. In section 10 of the principal Law — section 10. (1) in the first subsection, the expression "Het" shall be replaced by the expression "Tet"; (2) in the third subsection, paragraph (3) shall be replaced to . read: "(3) if he has three or more self-supporting children, 30 per cent", and paragraph (4) shall be deleted. Amendment of 6. In section 11 of the principal Law — section 11. (1) in the first subsection, the words "institutional care" shall be replaced by the words "care at an institution, including a parents' home" and the words "including the cost of the acquisition of medical aids and appliances" shall be inserted after the words "the cost of his maintenance at the institution"; (2) in the second subsection, the words "and of medical aids and appliances" shall be inserted after the words "of personal attend• ance by another person". Amendment of 7. Section 25A shall be re-marked as section 25A (a) and the following section 25A. subsection shall be inserted thereafter : "(b) Where a new decision has been given entitling a relative to a pension or an increased pension, such pension or increased 122 pension shall be paid from the date of submission of the fresh evidence on the basis of which the new decision was given: Provided that the pensions officer may direct that it be paid from an earlier date not preceding the date of submission of the fresh evidence by more than a year.". 8. In section 29A of the principal Law, the words "360 per cent Amendment of of the determining salary" shall be replaced by the words "5,000 section 29A. pounds; the Minister of Defence may, in consultation with the Minister of Finance and with the approval of the Labour and Works Com• mittee of the Knesset, increase the amount by order". 9. Section 29B of the principal Law shall be replaced by the following Replacement of section: section 29B. "Payments to 29B. Where an orphan of a fallen soldier is serving orphan in in regular service under the Defence Service Law, 5719- regular service. 1959 (Consolidated Version)1, the pension under section 8 or 9, as the case may be, shall be paid during the period of his regular service as if he were under eighteen years of age.". 10. In section 29C of the principal Law, the figure "250" shall be Amendment of replaced by the figure "1,000" and the following shall be added at section 29G. the end : "The Minister of Defence may, in consultation with the Minister of Finance and with the approval of the Labour and Works Committee of the Knesset, increase the amount by order.". 11. In section 34 of the principal Law — Amendment of section 34. (1) the words "and Social Insurance" at the end of the opening passage of subsection (a) shall be replaced by the words "and if he sees fit to do so to further the objects of this Law" ; (2) the words "as well as in respect of orphans of a fallen soldier who are under 27 years of age" shall be added at the end of subsection (d). 12. (a) Section 2 shall have effect from the 26th Iyar, 5727 (5th Commencement. June, 1967) in respect of the widow of a soldier who fell on that day or thereafter. (b) Sections 5 (1) and 8 shall have effect from the 24th Adar Bet, 5730 (1st April, 1970). (c) Section 9 shall have effect from the 6th Nisan, 5731 (1st April, 1971). GOLDA MEIR MOSHE DAYAN Prime Minister Minister of Defence SHNEUR ZALMAN SHAZAR President of the State 1) Sefer Ha-Chukkim of 5719, p. 286; LSI vol. XIII, p. 328. 123 (No. 49) NATIONAL INSURANCE (No. 6) LAW, 5731-1971* Amendment of 1. In section 23.of the National Insurance Law (Consolidated Ver- section 23. ion), 5728-19681 (hereinafter referred to as "the principal Law"), subsections (b) and (c) shall be remarked as subsections (d) and (e) and the following subsections shall be inserted after subsection (a): "(b) A widow who has not yet completed her fortieth year and who is not entitled to a pension or, whose right to a pension has lapsed under item 3 or 4 of Table IV2 shall be paid by the Institute a gratuity of an amount equal to a basic pension under item 1 of Table IV plus cost-of-living allowance thereon under section 141, multiplied by thirty-six. ' (c) Where a widow entitled to a survivor's pension remarries, her right to a pension shall lapse and the Institute shall pay her a gratuity equal to the amount indicated in subsection (b). For the purpose of this section, a widower shall be dealt with in like manner as a widow.". Amendment of 2. In section 26 of the principal Law, the expression "under Table section 26. IV" shall be replaced by the expression "under this article", Amendment of 3. In section 27 of the principal Law, the expression "under Table section 27. IV" in subsection (a) shall be replaced by the expression "under this article". Amendment of 4. . In Table IV of the principal Law, items 5 and 8 are hereby Table IV. repealed. GOLDA MEIR YOSEF ALMOGI Prime Minister . Minister of Labour SHNEUR ZALMAN SHAZAR President of the State * Passed by the Knesset on the 8th Tammuz, 5731 (1st July, 1971) and published in Sefer Ha-Chukkim No. 627 of the 15th Tammuz, 5731 (8th July, 1971), p. 128; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 939 of 5731, p. 210. 1) Sefer Ha-Chukkim of 5728, p. 108 — LSI vol. XXII, p. 114; Sefer Ha- Chukkim of 5729, pp. 76 and 206 — LSI vol. XXIII, pp. 84 and 221; Sefer Ha-Chukkim of 5730, pp. 58, 130 and 134 — LSI vol. XXIV, pp. 51, 136, and 139. 2) Kovetz Ha-Takkanot of 5729, p. 1828. 124 (No. 50) JEWISH RELIGIOUS SERVICES (CONSOLIDATED VERSION) LAW, 5731-1971* 1. The Minister of Religious Affairs may establish a religious council Establishment under the provisions of this Law (hereinafter referred to as a "council") of religious council. in every local authority in which such a council does not exist. 2. The Minister of Religious Affairs shall prescribe the number of Number of the members of the council: Provided, that such number shall not members of council. exceed the number of the members of the local authority. 3. (a) Each of the undermentioned shall propose candidates for the Proposal of council, of a number being a percentage of the prescribed number of candidates. members, as follows : (1) the Minister of Religious Affairs — 45 p. ct.; (2) the local authority — 45 p. ct.; (3) the local rabbinate — 10 p. ct.. In determining the number of candidates, a fraction amount• ing to one half or more shall be deemed to be a whole number. (b) Where the local authority does not propose its quota of can• didates to the Minister of Religious Affairs within thirty days from the day on which his request to do so is sent to it, a further request shall be sent. If the local authority does not respond to the further request within fifteen days from the day on which it is sent, the Minister of Religious Affairs may propose the quota of candidates assigned to the local authority. These provisions shall also apply, mutatis mutandis, to the candidates of the local rabbinate. 4. The three authorities referred to in section 3 shall express their Appraisal of opinion of the candidates with regard to their fitness to serve as members candidates. of the council and to their being properly representative of the bodies Text determined by the Constitution, Legislation and Juridical Committee of the Knesset on the 14th Tammuz, 5731 (7th July, 1971) under section 16 of the Law and Administration ordinance, 5708-1948, and published in Sefer Ha-Chukkim No. 628 of the 22nd Tammuz, 5731 (15th July, 1971), p. 130. This Consolidated Version takes the place of the Jewish Religious Services (Budgets) Law, 5709-1949: Sefer Ha-Chukkim of 5709, p. 150 — LSI vol. Ill, p. 66; Sefer Ha-Chukkim of 5710, p. 315 — LSI vol. IV, p. 185; Sefer Ha-Chukkim of 5711, p. 92 —LSI vol. V, p. 89; Sefer Ha-Chukkim of 5712, p. 143 —LSI vol. VI, p. 48; Sefer Ha-Chukkim of 5713, p. 56 — LSI vol. VII, p. 42; Sefer Ha-Chukkim of 5714, p. 82 — LSI vol. VIII, p. 69; Sefer Ha-Chukkim of 5715, p. 54 — LSI vol. IX, p. 61; Sefer Ha-Chukkim 5716. p. 49 — LSI vol. X, p. 44; Sefer Ha- Chukkim of 5718, p. 105 — LSI vol. XII, p. 124; Sefer Ha-Chukkim of 5720, p. 22 — LSI vol. XIV, p. 20; Sefer Ha-Chukkim of 5721, p. 50 — LSI vol. XV, p. 45; Sefer Ha-Chukkim of 5722, p. 75 — LSI vol. XVI, p. 66; Sefer Ha-Chukkim of 5723, p. 77 — LSI vol. XVII, p. 96; Sefer Ha-Chukkim of 5726, p. 50 — LSI vol. XX, p. 43; Sefer Ha-Chukkim of 5727, p. 43 — LSI vol. XXI, p. 40. 125 and communities (edot) interested in the maintenance of Jewish religious services (hereinafter referred to as "religious services") in the locality. Settlement of 5. Any disagreement between the three authorities shall be referred disagreement. t0 determination of a committee of Ministers whose members shall be the Minister of Religious Affairs, the Minister of Justice and the. Minister of the Interior or their representatives. If a Minister appeals against the decision of the committee, the Government shall determine the matter. Reconstitution 6. (a) The Minister of Religious Affairs shall reconstitute every of councils. council in accordance with sections 2 to 5 every four years after the 26th Elul, 5727 (1st October, 1967). (b) Notice of the new composition of the council shall be pub• lished in Reshumot. Until the date of publication, the council shall con• tinue to hold office in its previous composition, and from that date it shall hold office in its new composition. Powers of 7. A council is competent to deal with the provisions of religious council. services and for that purpose may enter into contracts, hold property on hire or lease and acquire immovable property, all in accordance with the items of its approved budget. Preparation of 8. Every council shall prepare a draft budget of religious services budget. at such time and in such form as the Minister of Religious Affairs shall prescribe. Approval of 9. (a) When a draft budget has been prepared as aforesaid, the budget. council shall submit it for approval — (1) if the locality whose inhabitants it provides with religious services is within the area of jurisdiction of a local authority, to the local authority; (2) in every other case, to the Minister of Religious Affairs. (b) Where the council and the local authority disagree as to the draft budget submitted under section (a) (1), the Government shall determine the matter and, in accordance with its determination, ap• prove the draft budget with or without variations. Validity of 10. When a draft budget has been approved as aforesaid, the draft budget. shall become a valid and binding budget, arid the council shall incur no expenditure whatsoever unless it is included in that budget. Covering 11. (a) Expenditure under a budget approved in accordance with budgetary section 9 (a) (1) or (2) shall be borne — expenditure. (1) by the Government to the extent of one third; (2) by the local authority to the extent of two thirds. (b) The Minister of Finance and the Minister of Religious Affairs may jointly increase the extent of participation prescribed in 126 section 2 (a) (1) if, their opinion, special local conditions justify their doing so. (c) Expenditure under a budget approved in accordance with section 9 (a) (2) shall be borne by the Government within the frame• work of the Budget Law from time to time obtaining in the State. 12. Contracts of a council shall be signed by the head of the local Signing of authority and the head of the council, but if the locality served by contracts, the council is not within the area of jurisdiction of a local authority, contracts shall be signed by the head of the council alone. 13. (a) The Minister of Religious Affairs is charged with the impie- Implementation mentation of this Law and may make regulations as to any matter and regulations, relating to such implementation and, inter alia, regulations as to — (1) the appointment of members to a council in place of members whose seats have fallen vacant; (2) elections of town rabbis; for this purpose, "town rabbi" means a rabbi of a locality which is a municipality or a local council (local rabbi) ; (3) the licensing of societies for the burial of Jews, provided that it shall be ensured that a licence is granted only to a body which has proved itself able to make the administrative and financial arrangements necessary for the discharge of its func• tions; for this purpose, a local authority and a council shall be regarded as bodies which have proved themselves able to make arrangements as aforesaid; (4) the establishment of Jewish cemetery councils at the request of the societies dealing with the burial of Jews in the locality or at the request of the local authority or the council, and the definition of the functions of the cemetery councils. (b) A council, a society for the burial of Jews and a Jewish cemetery council may, with the approval of the Minister of Religious Affairs and in accordance with regulations made by him for this pur• pose, charge fees for their services. YAACOV S. SHAPIRO Minister of Justice 127 (No. 51) YOUTH (TRIAL, PUNISHMENT AND MODES OF TREATMENT) LAW, 5731-1971* CHAPTER ONE : INTERPRETATION Definitions. 1- In this Law — "Juvenile Court" means a Magistrates' Court or District Court when a Juvenile Court Judge is sitting therein : "Juvenile Court Judge" means a Judge to whom the function of a Juvenile Court Judge has been assigned as provided in section 2; "minor" includes a person of full age who on the day of the filing of the information against him was under eighteen years of age; "parent" includes a step-parent, an adopter and a guardian; "home" means a place serving for the residence or custody of minors outside their families to which the Superintendent of Homes has directed them after a Juvenile Court, in pursuance of this Law, has ordered that they be kept in a home; "closed home" means a place serving for the residence or custody of minors outside their families, in which the freedom of those kept therein is restricted and which the Minister of Social Welfare has declared to be a closed home for the purposes of this Law; "Superintendent of Homes" means the person whom the Minister of Social Welfare has appointed as such for the purposes of this Law; "Probation Officer" means a person appointed as such under the Probation Ordinance (New Version), 5729-19691; "After-care Officer" means a person whom the Minister of Social Welfare has appointed as such for the purposes of this Law. CHAPTER Two : JUVENILE COURT Juvenile 2. The President of the Supreme Court shall, with the consent of Court Judge. the Minister of Justice, assign District Court Judges and Magistrates' Court Judges to act as Juvenile Court Judges for a period to be pre• scribed by him. Trial of minor. 3. (a) In a Magistrates' Court and a District Court, the trial of an offence with which a minor is charged, including the hearing of an appeal, shall be before a Juvenile Court. (b) Notwithstanding anything provided in any law, the Minister of Justice may, by order, empower a Magistrates' Juvenile Court to try minors for felonies under the section specified in the order. * Passed by the Knesset on the 21st Tammuz, (14th July, 1971) and published in Sefer Ha-Chukkim No. 629 of the 1st Av, 5731 (23rd July, 1971), p. 134; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 825 of 5729, p. 161. 1) Dinei Medinat Yisrael (Nusach Chadash) No. 14, p. 312. 128 4. (a) •'A minor shall not be brought to trial together with a person Joint trial of other than a minor, save with the consent of the Attorney-General. minor and person of (b) Where a minor is charged together with a person other than full age. a minor, a court other than a Juvenile Court may, after hearing the parties, try the matter. If the Court decides to do so, it shall deal with the minor as if it were a Juvenile Court and shall have the powers of a Juvenile Court under this Law; however, notwithstanding the pro• visions of section 9, it shall proceed in accordance with section 38 of the Courts Law, 5717-19571. If the court decides not to try the matter, it shall order the severance of the trial of the minor and shall remit it to a Juvenile Court. 5. (a) Where a court other than a Juvenile Court, at any stage Minor brought before the determination of the matter, finds that the accused before a court other than a is a minor, it shall remit, the matter to a Juvenile Court, which shall Juvenile Court. deal with it as if it had been brought before it in the first place; but it may deal with it from the stage which the previous court had reached. (b) If in view of special circumstances, the court deems it justified not to remit the matter to a Juvenile Court, as provided in subsection (a), it may continue to deal with it, but shall from then onwards pro• ceed as if it were a Juvenile Court and have all the powers of a Juvenile Court under this Law. (c) Where a court other than a Juvenile Court, after the determin• ation of the matter, finds that the accused is a minor, it shall continue to deal with the matter as if it were a Juvenile Court and shall have all the powers of a Juvenile Court under this Law. If it decides that section 24 (2) or (3) should be applied, it shall replace the conviction with thefinding that the minor committed the offence. 6. Where in the course of a hearing finds that the accused is not Person of full a minor, it may continue to deal with the matter as if it were not a age brought before Juvenile Juvenile Court or remit it to a court other than a Juvenile Court, which Court. shall thereupon deal with it as if it had been brought before it in the first place; but it may deal with it from the stage which the Juvenile Court had reached. 7. A final order or final judgment of a court shall not be invalid Saving of by reason only that because of his age the accused should have been orders and judgments. brought to trial before another court; however, if a grave, miscarriage of justice has resulted from bringing the accused to trial before a Court inappropriate to his age, the President of the Supreme Court may 'direct that a court designated by him shall hold a retrial, and the provisions of section 9 (b) to (d) of the Courts Law, 5717-1957, shall apply mutatis mutandis. 8. (a) A Juvenile Court shall not, as far as possible, hold its hearings Keeping minors in a place where other trials are held or, if it does, not at the same time. separate. 1) Sefer Ha-Chukkim of 5717, p. 148; LSI vol. XI, p. 157. 129 (b) Accused minors shall not, as far as possible, be taken to or from court, or be kept in court, together with accused persons other than minors. Hearings in 9• A Juvenile Court shall sit in camera, but it may permit a particular camera. person, or particular classes of persons, to be present during the whole or part of the hearing. CHAPTER THREE : ARREST, RELEASE AND PRE-TRIAL PROCEEDINGS Arrest of minors. 10• Notwithstanding anything provided in the Criminal Procedure (Arrest and Searches) Ordinance (New Version), 5729-19691 (hereinafter in this section referred to as "the Ordinance") — (1) a minor who has completed his fourteenth year shall not without a warrant from a Judge be kept under arrest for a period exceeding twenty-four hours; however, if for a special reason it is not possible to bring the minor before a Judge within twenty-four hours, a commissioned officer of police in charge of a police-station may direct the continuance of his arrest for a further period not exceeding twenty-four hours, and if he does so he shall record the reason for the extension of the arrest and such reason shall be brought to the notice of the Judge before whom the minor is brought; (2) a minor under fourteen years of age shall not without a warrant from a Judge be kept under arrest for a period exceeding twelve hours; however, if for a special reason it is not possible to bring the minor before a Judge within twelve hours, a commissioned officer of police in charge of a police- station may direct the continuance of his arrest for a further period not exceeding twelve hours, provided that it is necessary so to do for the safety of the public or the personal safety of the minor or to keep him away from the company of an undesirable person or that the minor is suspected of having committed a felony punishable by imprisonment for seven years or more and his release may lead to the concealment of evidence; the commissioned officer of police shall record the reason for the extension of the arrest and such reason shall be brought to the notice of the Judge before whom the minor is brought; (3) the Judge before whom the minor is brought may order his arrest also because such is necessary to ensure his personal safety or to keep him away from the company of an un• desirable person; (4) for the purposes of the power of a Judge to permit the holding of a minor under arrest, section 17 of the Ordinance shall be read as if the words "fifteen days" in subsections (b) and (c) were replaced by the words "ten days" and the words "thirty days" in subsection (c) were replaced by the words "twenty days". 1) Dinei Medinat Yisrael (Nusach Chadash) No. 12, p. 284. 130 11. The person in charge of a police-station to whom an arrested Notification of minor has been brought shall as soon as possible notify one of the arrest of minor. parents or, if this is not possible, any person close to the minor; but if he apprehends that the notification may prejudice the welfare of the minor, he shall only notify a probation officer. 12. Where a criminal investigation has revealed that there are grounds Functions of for bringing a minor to trial, the police shall notify a probation officer, probation officer. who may thereupon exercise the powers of a welfare officer under the Welfare (Procedure in Matters of Minors, Sick Persons and Absent Persons) Law, 5715-19551, even without a court order. 13. (a) A minor may only be held under arrest in a separate place Places of of detention for minors. detention for minors. (b) The Minister of Social Welfare may declare a home or closed home to be a place of detention for minors. CHAPTER FOUR : PROCEDURE 14. Save with the consent of the Attorney-General, a minor shall not Time for be brought to trial for an offence if a year has passed since its com• bringing minor mission. to trial. 15. No private complaint shall be filed under Article Two of Chapter Private Four of the Criminal Procedure Law, 5725-19651, against a minor who complaint, at the time the offence was committed was under fourteen years of age. 16. The information against a minor shall indicate the date of his Indication of birth as far as it can be ascertained. age of minor. 17. A Juvenile Court may, for special reasons which shall be recorded, Hearing in the direct that an accused person, being a minor, shall not be present at absence of the any of the stages of the hearing. minor. 18. (a) A Juvenile Court may appoint a defence counsel for a minor Defence, if it considers that the interest of the minor so requires. (b) Where a defence counsel has been appointed under subsection (a), the provisions of sections 14, 15, 17, 18 and 19 of the Criminal Procedure Law, 5725-1965, shall apply mutatis mutandis. (c) Where the minor has no defence counsel, the court shall help him to examine the witnesses. (d) The provisions of this section shall not derogate from the right of the minor to be represented by an advocate in accordance with the provisions of the Chamber of Advocates Law, 5721-19612. 1) Sefer Ha-Chukkim of 5715, p. 126; LSI vol. IX, p. 139. 1) Sefer Ha-Chukkim of 5725, p. 161; LSI vol. XIX, p. 158. 2) Sefer Ha-Chukkim of 5721, p. 178; LSI vol. XV, p. 196. 131 Status of parent. 19. (a) A Juvenile Court shall furnish the parent of the minor with copies of the summons and the information, notifying him that he may be present at the hearing, unless, for special reasons which shall be recorded, it decides that the parent should not be invited or that he should not be furnished with the said copies or with any one of them. (b) A Juvenile Court may at time order that a parent of the minor shall be present in court. (c) Every application permitted to be filed with the court by an accused person may, instead of by the minor, be filed also by his parent or by a person authorised in that behalf by the court, and they may examine witnesses and have arguments heard instead of the minor or together with him. Interim 20. (a) After the filing of an information against a minor, a Juvenile measures. Court may, if it considers that the interest of the minor so requires, order — (1) that the minor shall be kept in a home or closed home • for observation for a period not exceeding ninety days; (2) that the minor shall be committed to the temporary supervision of a probation officer pending the decision of the court under section 24. (b) On the application of a probation officer or the Superintend• ent of Homes or the minor, a Juvenile Court may vary an order made under subsection (a) (1), issue any direction required for its implementa• tion, extend it for an additional period not exceeding one month, or revoke it. Determination of 21. In determining a case, a Juvenile Court shall either decide upon case• the acquittal of the minor or find that he committed the offence. Report of 22. Where a Juvenile Court finds that the minor committed the offence, probation it shall direct the submission of a report of a probation officer under officer; other examinations. section 3 of the Penal Law (Modes of Punishment) (Consolidated Version), 5730-19701, and it may direct the carrying out of examinations and investigations as provided in section 172 of the Criminal Procedure Law, 5725-1965. Privilege. 23. A copy of the report of a probation officer, and the results of observation under section 20 and of examinations and investigations under section 22, shall not be delivered to the parties and their attorneys unless the court otherwise orders; however, the prosecutor and the accused's defence counsel may inspect the said documents in the court file. 1) Sefer Ha-Chukkim of 5730, p. 109; LSI vol. XXIV, p. 112. 132 CHAPTER FIVE : PENALTIES AND MODES OF TREATMENT 24. Where a Juvenile Court has found that the minor committed the Decision of offence and the proceedings referred to in section 22 have been con• court in respect of minor who cluded, it shall decide — has committed (1) to convict and sentence the minor, or an offence. (2) to order one or more of the measures and modes of treatment enumerated in section 26, or (3) to discharge the minor without an order as aforesaid. 25. (a) Where a minor has been convicted, a Juvenile Court may, Modes of instead of imposing imprisonment on him, order that he be kept in punishment. a closed home for a period prescribed by it, but not exceeding the period of imprisonment prescribed for the offence of which he has been convicted. (b) Where an offence has been committed by a person who on the day of committing it was a minor, the death penalty shall not be imposed and, notwithstanding anything provided in any law, it shall not be necessary to impose imprisonment for life, mandatory imprison• ment or a minimum penalty. (c) In fixing the penalty of a minor, the Juvenile Court shall have regard, inter alia, to his age at the time the offence was committed. (d) Imprisonment shall not be imposed on a minor who at the time of being sentenced is under fourteen years of age. (e) A minor on whom imprisonment has been imposed shall not be held in imprisonment together with a person other than a minor. 26. A Juvenile Court may order the following modes of treatment Modes of under section 24 (2): treatment. (1) committal of the minor to the care arid supervision of a fit person, other than his parent, for a period prescribed by the court, and the restriction of his parents' rights as his guardians during the said period; (2) placing the minor under probation; (3) obtaining ah undertaking, from the minor or his parent, with or without security, as to the minor's future behaviour; (4) requiring the minor to report at a day home during a period prescribed by the court; . (5) keeping the minor at a home or closed home for a period prescribed by the court; (6) issuing any other direction as to the behaviour of the minor if in the opinion of the court such is necessary for his treatment; (7) requiring the minor or his parent to pay a fine or the costs of the proceedings; (8) requiring the minor or his parent to pay compensation to a person who sustained damage as a result of the offence. 133 Application of 27. (a) The provisions of the Probation Ordinance (NewVersion), Laws relating 5728-1969, shall apply mutatis mutandis to probation imposed on a to probation and modes of minor under section 26 (2): Provided that if the minor fails to comply punishment. with any of the provisions of the probation order the court shall not act as provided in section 20 of the said Ordinance, but may order one of the modes of treatment enumerated in section 26 of this Law. (b) The provisions of Chapters Four and Five and sections 40 to 42 of the Penal Law (Modes of Punishment) Law (Consolidated Version), 5730-1970, shall apply, mutatis mutandis, to the modes of treatment enumerated in paragraphs (3), (7) and (8) of section 26. Cost of 28. (a) Where a Juvenile Court directs a mode of treatment as pro- treatment, vided in paragraph (1), (4), (5) or (6) of section 26, it may order that the minor or his parent bear the whole or part of the cost of the treatment if it is satisfied that he has the necessary means. (b) An order made under subsection (a) shall be treated as a requirement to bear expenses of care made under section 10 of the Youth (Care and Supervision) Law, 5720-19601, and the provisions of the said Law concerning the collection of the expenses of care and the variation or quashing of the requirement shall apply mutatis mu• tandis to the order. Imposition of 29! (a) A Juvenile Court shall not make an order under section 26 obligation on or 28 imposing an obligation on a parent of a minor unless such parent parent of minor. has been given a suitable opportunity to have his arguments heard. (b) An order as referred to in subsection (a) shall be treated as a judgment in criminal proceedings given against the parent of the minor. (c) Where an appeal is filed on behalf of the minor only, the court dealing with the appeal may also deal with any order of the Juvenile Court imposing an obligation on the parent of the minor. Change of mode 30. A Juvenile Court which has ordered a mode of treatment as of treatment. referred to in section 26 may, on the application of a probation officer or the Superintendent of Homes and so long as the order has not been fully implemented, order that it be changed for another mode of treatment. Transfer. 31. (a) Where a Juvenile Court has ordered that a minor shall be kept in a closed home, the Superintendent of Homes may remove him from the closed home and keep him in a home, provided he has been kept in a closed home for a reasonable period and circumstances exist that justify the transfer. (b) Where a Juvenile Court has ordered that a minor shall be kept in a home, he shall not be kept in a closed home without the ap• proval of the court: Provided that the Superintendent of Homes may, 1 ) Sefer Ha-Chukkim of 5720, p. 52 ; LSI vol. XIV, p. 44. 134 if in his opinion circumstances exist which justify his doing so, transfer the minor to a closed home for a period not exceeding fifteen days. 32. The Superintendent of Homes may direct that a minor kept in Keeping minor a home, or ordqred to be kept in a home under this Law, be kept in in foster family. a foster family designated by the Superintendent of Homes, and for the purposes of this Law the minor shall thereupon be deemed to be kept in a home. 33. A Juvenile Court may, on the application of the Superintendent Extension of of Homes and after hearing the minor and his parent, extend by a period of keeping minor period not exceeding one year the period for which the minor is to be in a home. kept in a home if it considers it necessary so to do in the interest of the minor and in order to complete his treatment or to train him for a vocation. 34. Notwithstanding the provisions of sections 25 (a), 26, 30 and 33, no Duration of person shall be kept in a home or closed home, or be required to report keeping minor in a home. at a day home, after completing his twentieth year. CHAPTER SIX : EARLY RELEASE FROM HOME 35. (a) The Minister of Social Welfare shall establish Release Com- Release mittees for the purposes of this Law and shall prescribe their areas Committees• of operation. (b) A Release Committee shall consist of five persons. The chair• man of the committee shall be a Judge appointed by the Minister of Justice, and the other members shall be a probation officer, a physician, an educationalist and one other person appointed by the Minister of Social Welfare. (c) Notice of the establishment and composition of a Release Committee shall be published in Reshumot. (d) Three members of a Release Committee, one of whom is the chairman, shall be a quorum at its meetings. 36. (a) A Release Committee may order the release of a minor kept Release from in a home or closed home under section 25(a), 26 or 30, where a year home. has passed since the date of his admission. It may order the release of the minor even before the expiration of a year from the date of his admission if special reasons exist justifying its doing so. (b) A Release Committee may attach conditions to the release, and may vary such conditions from time to time. (c) Where the released minor infringes a condition prescribed under subsection (b) or a direction of an After-care officer under section 39(b), the Release Committee may cancel his release and order that he be returned to the place where he had been kept, pending the expiration of the period prescribed by the Court for his being kept therein. 135 Leave. 37. (a) The Superintendent of "Homes may permit a person kept in a home or closed home under this Law to go on leave for a period not exceeding thirty days a year or, with the approval of the Release Com• mittee, for a longer period. (b) Leave as aforesaid may be granted subject to conditions, and the Superintendent of Homes may cancel it any time if, in his opinion, justification exists for doing so. CHAPTER SEVEN : AFTER-CARE After-care. 38. (a) A person released from a home or closed home at the expira• tion of the period prescribed by a Juvenile Court under section 25 (a), 26, 30 or 33 shall be under the supervision of an After-care Officer for one year from the date of his release or for a longer period pre• scribed by the Superintendent of Homes. (b) A person released from a home or closed home by decision of Release Committee under section 36 shall be under supervision as aforesaid for one year or until the expiration of the period prescribed by the court for his being kept in a home or closed home, whichever is the longer period. Functions of 39. (a) An After-care Officer shall maintain contact with every per• After-care son under his care and shall give attention, inter alia, to the location of Officer and his dwelling and conditions thereat, his studies, his work and the way compliance with his directions. he spends his free time. (b) A person released from a home or closed home under section 38 (b) shall comply with the directions of the After-care Officer as to the matters referred to in subsection (a) until termination of the period prescribed by the Court for his being kept in a home or closed home. Duration of 40. (a) Notwithstanding the provisions of section 38, after-care shall after-care. cease when the person has completed his twenty-first year. (b) The after-care of a person serving in regular service. in the Defence Army of Israel shall be in accordance with Army Orders, within the meaning of the Military Justice Law, 5715-19551. Discontinuance 41. Where a person is under after-care, a Juvenile Court may, on.his of after-care. application or the application of an After-care Officer, shorten the period of, or terminate, the after-care if it is satisfied that the same is unnecessary. CHAPTER EIGHT : MISCELLANEOUS Person to be 42. (a) A person kept in a home or closed home under section 25 (a), returned. 26, 30 or 33 is regarded as being in lawful custody, and if he has escaped therefrom or his release therefrom has been cancelled or his leave 1) Sefer Ha-Chukkim of 5715, p.' 171 ; LSI vol. IX, p. 181. 136 therefrom has expired or been cancelled, a police officer may arrest him without a warrant and keep him under arrest until he is returned to the home or closed home from which he has escaped or. been released. (b) Where a person has been arrested under subsection (a), the police shall immediately notify the Superintendent of Homes, who shall see to it that he is returned to a home or closed home as soon as possible; for this purpose, the Superintendent of Homes may, when necessary, receive appropriate assistance from the police. 43. Whoever loiters, or is found without lawful business, near a home Loitering near or closed home and does not leave the place upon the demand of the home. person responsible, for the home or closed home or a person empowered in that behalf by such person, or a police officer, shah be liable to imprisonment for a term of six months. 44. (a) The Minister of Social Welfare is charged with the imple• Implementation mentation of this Law and may make regulations as to any matter and regulations. relating to such implementation, including the conditions under which minors are to be kept in homes or closed homes. (b) The Minister of Justice may make procedural regulations for Juvenile Courts in so far as they have not been enacted by Law, and he may, in consultation with the Minister of Social Welfare, make procedural regulations for proceedings before a Release Committee. (c) Regulations under the Criminal Procedure (Evidence) Ordin• ance1• concerning the fingerprinting of minors shall require consultation with the Minister of Social Welfare and the Public Services Com• mittee of the Knesset. 45. This Law shall not apply to proceedings under the Military Justice Inapplicability Law, 5715-1955 — including pre-trial proceedings in a court-martial to soldiers. and disciplinary proceedings under the said Law — or to proceedings under the Emergency Regulations (Traffic Offences — Military Per• sonnel), 5709-19492. 46. In the Youth (Care and Supervision) Law, 5720-1960 — Amendment of (1) the definition of "court" in section 1 shall be replaced Youth (Care and Supervision) by the following definition : Law, 5720- 1960. "Court" means a Magistrates' Court being a Juvenile Court within the meaning of the Youth (Trial, Punishment and Modes of Treatment) Law, 5731-1971;"; (2) the words "who is a Juvenile Court Judge within the meaning of the Youth (Trial, Punishment and Modes of Treatment) Law, 5731-1971" shall be added at the end of section 16; (3) section 21 shall be repealed. 1) Laws of Palestine vol. I, cap. 34, p. 467 (English Edition). 2) Sefer Ha-Chukkim of 5719, p. 300; LSI vol. XIII, p. 346. 137. Transitional 47. (a) Where an Information was filed in a court before the coming provisions. into force of this Law, the trial proceedings, including the hearing of an appeal, shall continue as if this Law had not come into force, but the court shall have all the powers of a Juvenile Court under Chapter Five. (b) The provisions of sections 30 to 34 and Chapters Six and Seven of this Law shall apply mutatis mutandis to penalties and modes of treatment ordered by the court in respect of juvenile offenders by virtue of its power under the Juvenile Offenders Ordinance, 19371. Repeal. 48. The Juvenile Offenders Ordinance, 1937, is hereby repealed. Commencement. 49. (a) Subject as hereinafter provided, this Law shall come into force at the expiration of one month from the date of its publication in Reshumot. (b) In respect of male minors who have completed their six• teenth year, this Law shall come into force on the day prescribed by order of the Minister of Social Welfare with the consent of he Minister of Justice, but not later than the determining day referred to in sub• section (e). (c) Section 13 (a) shall come into force on the day prescribed by order of the Minister of Social Welfare, but not later than the determining day referred to in subsection (e); however, pending the making of an order as aforesaid a minor shall not be held under arrest together with a person other than a minor. (d) Orders under subsection (b) or (c) may be classified according to offences or the age of the minors. Orders under subsection (b) may be classified also according to sections of this Law or modes of treat• ment. (e) For the purposes of this Law, "the determining day" means the 20th Nisan, 5735 (1st April, 1975): Provided that before the said date the Minister of Social Welfare may, in consultation with the Public Services Committee of the Knesset, prescribe any other day not more than two years thereafter. GOLDA MEIR MICHAEL CHAZANI Prime Minister Minister of Social Welfare SHNEUR ZALMAN SHAZAR President of the State 1) P. G. of 1937, Suppl. I, No. 667, p. 137 (English Edition). 13S (No. 52) DEFENCE (FINANCE) REGULATIONS (CONTINUANCE IN FORCE) LAW, 5731-1971* 1. The Defence (Finance) Regulations, 19411, shall continue in force Continuance until the 12th Av, 5734 (31st July, 1974). in force• 2. This Law shall come into force on the 10th Av, 5731 (1st August, Commencement. 1971). GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State (No. 53) COMPULSORY EDUCATION (TEMPORARY PROVISION) LAW 5731-1971** 1. In section 2(b) of the Compulsory Education Law, 5709-1949 2, Amendment of the latter part, beginning with the words "The extension of the com• section 2 of Compulsory pulsory education to adolescents of the age of fourteen years" shall Education Law. be replaced by the following: "The extension of compulsory education to adolescents of the age of fourteen years shall be completed not later than the beginning the school year 5733, and the extension of compulsory education to adolescents of the age of fifteen years shall be carried out in four, as far as possible equal, stages, from the school year 5734, and shall be completed not later than the beginning of the school year 5737". 2. In sections 4 and 5 of the Compulsory Education (Amendment Amendment of s sections 4 and No. 5) Law, 5729-1969 , the expression "the school year 5735" shall 5 of the be replaced by the expression "the school year 5737". Compulsory Education (Amendment * Passed by the Knesset on the 27th Tammuz, 5731 (20th July, 1971) No. 5) Law. and published in Sefer Ha-Chukkim No. 630 of the 8th Av, 5731 (30th July, 1971), p. 146; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 948 of 5731, p. 251. 1) P.G. of 1941, Suppl. II, No. 1138, p. 1647 (English Edition); Sefer Ha- Chukkim of 5728, p. 165 — LSI vol. XXII, p. 188. ** Passed by the Knesset on the 29th Tammuz, 5731 (22nd July, 1971) and published in Sefer Ha-Chukkim No. 630 of the 8th Av, 5731 (30th July, 1971), p. 146; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 919 of 5731, p. 82. 2) Sefer Ha-Chukkim of 5709, p. 287; LSI vol. Ill, p. 125. 3) Sefer Ha-Chukkim of 5729, p. 176; LSI vol. XXIII, p. 192. 139 Amendment of 3. In section 2(c) of the Youth Labour Law, 5713-1959 the words section 2 of "until the beginning of the school year 5732" shall be replaced by the the Youth Labour Law. words "until the beginning of the school year 5733". GOLDA MEIR YIGAL ALON Prime Minister Minister of Education and Culture SHNEUR ZALMAN SHAZAR President of the State (No. 54) DEFENCE SERVICE (AMENDMENT No. 7) LAW, 5731-1971 * Amendment of 1. In section 1 of the Defence Service Law, 5719-1959 (Consolidated section 1. Version)2 (hereinafter referred to as "the principal Law") — (1) in ,the first paragraph of the definition of "person of military age", the expression "forty-nine years inclusive" shall be replaced by me expression "fifty-four years inclusive"; (2) the following definition shall be inserted after the definition of "person of military age" : ""person designated for defence service" means an Israel national, or a permanent resident, who has not yet reported for defence service and is of an age as specified hereunder : (1) in the case of a male person — any age from seventeen to fifty-four years inclusive; (2) in the case of a female person — arty age from seventeen to thirty-eight years inclusive;". Addition of 2. : The following section shall be inserted after section 3 of the section 3A. principal Law : "Preliminary 3A. (a) Where a person designated for defence service examination. nas been called upon to report for registration under section 3 and has not yet reported for examination tin-, der section 4, a calling-up officer may, by order, while carrying out the registration, call upon him to report 1) Sefer Ha-Chukkim of 5713, p. 115; LSI vol. VII, p. 54: * Passed by the 4th Av, 5731 (26th July, 1971) and published in Sefer Ha-Chukkim ,No. 631 of the 14th Av, 5731 (5th August, 1971), p. 148; the Bill and an Explanatory Note were published in Hatza'ot Chock No. 900 of 5730, p. 276.. 2) Sefer Ha-Chukkim of 5719, p. 286 — LSI vol. XIII, p. 328; Sefer Ha- . Chukkim of 5721, p. 140 — LSI vol. XV, p. 150; Sefer Ha-Chukkim of 5723, p. 128 — LSI vol. XVII, p. 151; Sefer Ha-Chukkim of 5724, pp. 10 and 168 — LSI vol. XVIII, pp. 9 and 166; Sefer Ha-Chukkim of 5727, p. 113 — •LSI vol. XXI, p. 112; Sefer Ha-Chukkim of 5730, p. 150 — LSI vol. XXIV, p. 158. 140 for a preliminary examination if he is of the opinion that such an examination is necessary for carrying out the registration or for speeding up the examination ־ .proceedings under section 4 (b) A person designated for defence service called upon to report as aforesaid shall report at the place and time prescribed in the order and shall undergo any of the kinds of examinations prescribed by the Minister of Defence for this purpose by regulations.". 3. In section 4 of the principal Law, the words "including an examin Amendment of ation to determine the degree of his aptitude for carrying out a particular section 4. task in the defence service" shall. be added after the words "for the purpose of determining his general fitness for defence service" in sub section (b). 4. The following sections shall be inserted after section 7 of the Addition of principal Law : sections 7 A to 7C. "Immunisation 7A. A calling-up officer may, by order, with the ap measures. proval of two physicians, direct that a person designated for defence service shall be immunised by inoculations and vaccinations (both hereinafter referred to as "im munisation measures") against a particular disease, at the time and place specified in the order, and the person in respect of whom the order is made shall report, and enable the immunisation measures to be taken, as set out in the order. Application of 7B. Where a person designated for defence service Rehabilitation suffers any harm in consequence of an examination or Laws immunisation measure under this chapter, the Reha bilitation Laws shall apply to him and the members of his family as if when suffering the harm he had been in defence service and the harm had occurred in the period and in consequence of his service; and if he does not serve in defence service after the harm occurred he shall, for the purposes of the Invalids (Pensions and 1 Rehabilitation) Law, 5719-1959 (Consolidated Version) ) be deemed to have been discharged from the service on the date when he was found under this Law to be unfit for service or was exempted therefrom. For the purposes of this section, "harm" means illness, aggravation of ill ness or injury.". References. 7C. Wherever in any enactment reference is made to the Rehabilitation Laws, such reference shall be deemed to include section 7B of this Law unless the context other wise requires.". 1) Sefer Ha-Chukkim of 5719, p. 276; LSI vol. XIII, p. 315. Ï41 Amendment of 5. In the opening passage of section 8 of the principal Law, the section 8. words "A person convicted under section 35 of failure to report at the. time and place fixed by a calling-up officer or a medical board for the determination of his fitness for defence service shall report for defence service" shall be replaced by the words "Where a person designated for defence service has been called upon to report for determination of his fitness for defence service and has not so reported, or having so reported has refused to be examined or to complete the examinations, a calling-up officer may call upon him to report for defence service, under section 9 or 19, as the case may be, if he is at the time of military age". Replacement of 6. Section 10 of the principal Law shall be replaced by the following section 10. section: "Reporting for 10. (a) Where an Israel national or permanent resident service upon has not yet attained the age of eighteen years but has application. been found fit for service, a calling-up officer may, by order, call upon him to report for regular service if he has applied therefor in writing, his parents or guardian have or has given their or his consent and he has com• pleted his seventeenth year. (b) Where an order under this section has been made, the provisions of this Law shall apply to the Israel national or permanent resident referred to in subsection (a) as if he were a person of military age who has attained the age of eighteen years and been called upon to report for regular service under section 9; section 2 (2) shall not apply in calculating whether or not a person has completed his seventeenth year.". Replacement of 7. Section 13 of the principal Law shall be replaced by the following section 13. section: "Volunteering 13. (a) A person not liable to regular service may for defence volunteer for service in the regular forces of the Defence service. Army of Israel, and a person not liable to reserve service may volunteer for service in the reserve forces of the Defence Army of Israel, on condition that he has at• tained at least the age at which a person may be called up for service under section 10. (b) A person liable to regular service under this Law may volunteer for a period of regular service ad• ditional to that to which he is liable, whether he has not yet begun to serve in regular service or is so serving at the time or has been discharged from the service; and a person liable to reserve service under this Law may volunteer for a period of reserve service additional to that to which he is liable. 142 (c) Volunteering under this section shall be by declaration signed by 'the volunteer and shall require the approval of the Minister of Defence. The declara• tion shall specify the period of volunteering. (d) A person serving, with the approval of the Minister of Defence, as a volunteer under this section shall, for the purposes of his rights and duties under any enactment, be treated as a person serving by virtue of this Law in regular service or reserve service, as the case may be. (e) A person who volunteers for regular service or an additional period of regular service or for reserve service or an additional period of reserve service shall be liable to service until the expiration of the period specified in the volunteering declaration unless the Minis• ter of Defence directs that he shall be dicharged at an earlier date : Provided that a person who volunteers for reserve service or an additional period of reserve service shall be discharged before the expiration of the period specified in the declaration if at the date prescribed by regulations he gives advance notice in writing of his desire to be discharged. (f) The Minister of Defence may prescribe by regulations periods of volunteering for service and rules as to the admission of volunteers to the service and their discharge therefrom. (g) The period of regular service for which a person has served as a volunteer shall be deducted from the period of regular service to which he will be liable. (h) This section shall not apply to engagement for permanent service or to discharge therefrom.". 8. Section 15 of the principal Law shall be replaced by the following Replacement of section : section 15. "Period of 15. (a) A person of military age shall not be called call to report upon to report for regular service unless the time fixed for regular service. for reporting is within a period as specified hereunder: (1) in the case of a person who was an Israel national or permanent resident on attaining the age* of eighteen years — within twenty- four months of his attaining such age; (2) in the case of a person who became an Israel national or permanent resident after at• taining the age of eighteen years — within twenty-four months from the day on which he became a national or resident as aforesaid, but not without his consent within six months from that day. 143 (b) A person whose regular service has been de ferred, upon his application, under section 28 may be called upon to report for regular service if the date prescribed for his reporting is within twelve months from the expiration of the period of deferment or within the period prescribed by subsection (a), whichever time ends later. (c) Where a person designated for defence service has been found temporarily unfit for service, the period prescribed for this purpose by regulations in respect of the test by which he has been found temporarily unfit for service shall not be included in computing the re porting period under subsection (a) or (b); the period not to be so included shall begin again after each re examination if the person is again found temporarily unfit for service.". Replacement of 9. Section 18 C of the principal Law shall be replaced by the fol- section 18C. lowing section : "Powers and 18C. (a) So long as a person of military age is serving duties of person in accordance with an order under section serving in Border Police. 18A, he shall not, for the purposes of the Military Justice Law, 5715-19551j and the regulations thereunder, be regarded as a soldier within the meaning of section 1 '׳ .of that Law (b) A person of military age serving as aforesaid shall be treated as a police officer as to everything re lating to his powers and duties, including disciplinary ־ —rules: Provided that (1) the provisions of section 10(2) of the Police Ordinance (New Version), 5731-197P, concerning the power to discharge or dis miss a police officer and the provisions of sections 11, 12, 13 and 18 to 20 and Chapter Four of that Ordinance shall not apply to' him; (2) his pay shall be the same as that of a person of military age serving in regular service.". Amendment of 10. In section 19 (c) of the principal Law, the words "For thé purposes section 19. of section 44 (b) to (f), a call-up for reserve service under this sub• section shall be regarded as an order" shall be added at the end. Amendment of 11. In section 21 (a) (2) of the principal Law, the expression "forty- section 21. 1.) Sefer Ha-Chukkim of 5715, p. 171 ; LSI vol. IX, p. 184. 2) Dinei Medinat Yisrael (Nusach Chadash) No. 17, p. 390. 144 nine years inclusive" shall be replaced by the expression "fifty-four years inclusive". 12. In section 22 of the principal Law, the expression "forty-nine Amendment of years inclusive" shall be replaced by the expression "fifty-four years section 22. inclusive". 13. Sections 28 and 29 of the principal Law shall be replaced by Replacement of the following sections: sections 28 and 29. "Power of 28. The Minister of Defence may, by order, if he sees Minister of fit to do so for reasons connected with the size of the Defence to exempt from regular forces or reserve forces of the Defence Army or defer of Israel or for reasons connected with the requirements service. of education, security settlement or the national economy or for family or other reasons — (1) exempt a person of military age from the duty of regular service or reduce the period of his service; (2) exempt a person of military age from the duty of reserve service for a specific period or absolutely; (3) on the application of a person of military age or a person designated for defence service, other than a person of military age, defer by order, for a period prescribed therein, the date of reporting prescribed for that person, under this Law or re• gulations thereunder, for registration, medical exam• ination, defence service or, if he has already be• gun to serve in defence service, the continuance thereof. Conditions of 29. (a) Deferment of service under section 28 (3) may deferment of be conditional or unconditional. Where deferment is conditional, the person to whom the deferment order ap• plies shall fulfil the condition, and if owing to a change in circumstances he is no longer able to fulfil it he shall, within seven days from the day on which the change occurred, report to the calling-up officer or a person empowered by him in that behalf and notify him of the circumstances because of which he is no longer able to fulfil the condition.". (b) The calling-up officer or a person empowered by him in that behalf shall give the person to whom the deferment order applies, on his request, a certificate attesting to his reporting as aforesaid, and so long as the order has not been revoked the certificate shall serve as justification for the non-fulfilment of the condition. Revocation of 29A. (a) Where the Minister of Defence has made order of an order under section 28, he may revoke it if — exemption from or deferment of (1) he has been asked in writing to do so service. by the person to whom the order applies; or 145 (2) the order was made owing to an error, in a material particular, of the person who was empowered to make it; or (3) the reasons for which the order was made no longer exist; or (4) any of the conditions prescribed by a deferment order under section 29 (a) has not been fulfilled. (b) Revocation under subsection (a) shall be by order. (c) The Minister of Defence shall not exercise c his power under subsection (a) (2) to (4) before he has given the person to whom the order applies an opportun ity to contest its revocation. (d) Upon the expiration of the period of defer ment granted under section 28 (3), the person to whom the deferment order applies shall report for registration, medical examination, defence service or, if he had al ready begun to serve, the continuance of service; if the order is revoked by virtue of subsection (a), he shall re port for the fulfilment of his duty at the date prescribed in the notice of revocation or, if no time is so prescribed, within fourteen days from the day on which the revo cation order comes to his knowledge.". Section 31 of the principal Law shall be replaced by the following ־^ Replacement of section 31. section: "Going abroad. 31. (a) A person designated for defence service and a person of military age who belongs to the regular forces of the Defence Army of Israel shall not go abroad save under a permit from the Minister of Defence. (b) A person of military age the continuance of whose regular service has been deferred for any reason shall not go abroad during the period of deferment save under a permit from the Minister of Defence. (c) A permit under this section may be uncon ditional or subject to conditions, including a condition as to the holder's stay abroad. If the permit is subject to conditions, the holder shall fulfil the conditions, and if owing to a change in circumstances he is no longer able to fulfil one of them he shall, within thirty days from the day on which the change occurred, give such person as the Minister of Defence has directed written notification of the circumstances because of which he is no longer able to fulfil the condition. (d) Where any of the conditions of the permit is not fulfilled, the Minister of Defence may revoke the 146 permit, and if the condition is not fulfilled after the holder of the permit has gone abroad, the Minister may direct him, by order, to return to Israel by the time prescribed in the order; and the holder of a permit who has been ordered as aforesaid shall return to Israel not later than the time prescribed in the order. (e) A person to whom notification has been given under subsection (c) shall give to the holder of the permit, on his request, a certificate attesting to the giving of notification, and so long as the permit has not been cancelled, or the holder ordered to return to Israel under this section, the certificate shall serve as justification for the non-fulfilment of the condition. (f) The Minister of Defence shall not exercise his power under subsection (d) without having given the order of the permit an opportunity to state his case to him.". 15. In section 35 of the principal Law — Amendment of section 35. (1) subsection (a) shall be replaced by the following subsection: "(a) A person who does any of the following shall be liable to a fine of 3,000 pounds or imprisonment for a term of two years: (1) fails to fulfil an obligation imposed on him by or under this Law; (2) knowingly gives to an authority acting by or under this Law false information as to any particular which he is required to give• by or under this Law, or by knowingly giving an authority any false information as to a material particular obtains an order of exemption from service or of deferment of service under section 28, a permit to go abroad under section 31 or any other relaxation granted under this Law; (3) commits an offence under section 31."; (2) the following subsection shall be inserted after subsection (b): "(c) The courts in Israel shall be competent to try a person who commits abroad an offence under this section.". 16. Section 38 of the principal Law shall be replaced by the following Replacement of section: section 38. "Regulations 38. The Minister of Defence may make regulations as as to persons to the implementation of this Law and the regulations staying abroad. thereunder in respect of a person designated for defence service and a person of military age not designated for defence service who are staying abroad.". 17. Section 41 of the principal Law shall be replaced by the following Replacement of section : section 41. 147 "Auxiliary 41. (a) A calling-up officer may, by certificate under powers. under his hand, certify that a particular person is re• quired by this Law or the regulations thereunder to fulfil any duty and that he has not fulfilled it at the time prescribed for its fulfilment. Every police officer in pos• session of such a certificate may arrest the person con• cerned and keep him under arrest until he is brought to the recruiting office or to another place designated for his reporting and until he fulfils the duty imposed on him : Provided that the period of arrest under this section shall not exceed forty-eight hours. (b) For the purposes of section 28 (b) of the Com• missions of Inquiry Law, 5729-1969 J, it is hereby de• clared that a calling-up officer, a medical board and a higher medical board, an authority prescribed under section 30 (c) and an advisory committee appointed under section 42 shall, in addition to their other powers by or under this Law, have every power to collect evidence for the purpose of exercising their powers.". Amendment of 18; In section 44 of the principal Law — section 44 (1) subsection (a) shall be replaced by the following subsection: "(a) An order under section 10, 18A, 28, 29A or 31(d) may be personal or for a particular class of persons. Every other order under this Law may be general or for a particular class of persons or personal. Personal orders under section 29A(a) (2), (3) or (4) or 31 (d) and a direction under section 32 shall be reasoned, and any other personal order shall be reasoned if the person to whom it applies so requests: Provided that the duty of stating reasons shall not apply if the security of the State requires that the reasons for the order shall not be disclosed."; (2) the following paragraphs shall be inserted after paragraph (2) of subsection (e): "(3) if published by radio or television or on the notice- boards of a local authority, upon the expiration of four hours from the time of publication; (4) if published in at least two daily newspapers — upon the expiration of four hours from the time of distribution of the newspapers at the place where that person is."; (3) the words "An order delivered, or sent in the manner set out in subsection (e) to a person to whom it applies" in sub• section (f) shall be replaced by the words "An order delivered or sent to a person to whom it applies, or published, in the manner specified in subsection (e)". 1) Sefer Ha-Chukkim of 5729, p. 28; LSI vol. XXIII, p. 32. 148 19. The following section shall be inserted after section 45 of the prin• Addition of cipal Law: section 45A. "Filing of 45A. (a) The Minister of Defence may, by regulations, applications. prescribe a time for the filing of applications under this Law, the mode of filing thereof and other similar part• iculars. (b) The filing of an application under this Law or the regulations thereunder shall not stay the fulfil• ment of a duty under either.". 20. The Emergency Regulations (Extension of Reserve Service Age), Repeal. 5730-1969 1j are hereby repealed. 21. The provisions of this Law shall apply to a male person of military Transitional age who is of any of the ages from fifty to fifty-four years, inclusive, provision. even if discharged from defence service for reasons of age before the coming into force of the Emergency Regulations (Extension of Reserve Service Age), 5730-1969. GOLDA MEIR MOSHE DAYAN Prime Minister Minister of Defence SHNEUR ZALMAN SHAZAR President of the State (No. 55) EMERGENCY REGULATIONS (REGISTRATION AND MOBILISATION OF EQUIPMENT) (AMENDMENT) LAW, 5731-1971* 1'. In regulation 3 (e) of the Emergency Regulations (Registration and Amendment of Mobilisation of Equipment), 5719-1956 2 (hereinafter referred to as. regulation 3. "the principal Regulations"), the words "The licence may be subject to conditions" shall be added at the end. 2. In regulation 6 of the principal Regulations — Amendment of regulation 6. (1) the words "and shall notify him of the circumstances which prevent him from making the equipment available and of its location" in subregulation (c) shall be replaced by the words "and 1) Sefer Ha-Chukkim of 5730, p. 14; LSI vol. XXIV, p. 11. * Passed by the Knesset on the 4th Av, 5731 (26th July, 1971) and published in Sefer Ha-Chukkim No. 632 of the 14th Av, 5731 (5th August, 1971), p. 156; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 894 of 5730, p. 245. 2) Kovetz Ha-Takkanot of 5717, p. 334; Sefer Ha-Chukkim of 5730, p. 15 — LSI vol. XXIV, p. 13. 149 shall notify him of the circumstances which prevent him from placing the equipment at the Army's disposal and of any further particulars concerning its condition and location"; (2) the words "its possessor" in the first line of sub-regulation (db) shall be replaced by the words "the person who was its possessor before the change". Amendment of 3. In regulation 12(a) of the principal Regulations, the words "and regulation 12. a licence" shall be added at the end. Addition of 4. The following regulations shall be inserted after regulation 13 of regulations the principal Regulations: 13A to 13D. "Inapplic- 13A. A provision of regulation 3 of these Regulations ability to areas whjch requires the owner of any equipment to notify held by the .. , . , . . ! j . , , • ' Defence Army particulars concerning his going abroad or to obtain a of Israel. licence to take his equipment abroad shall not apply to going to areas held by the Defence Army of Israel or to a transfer of equipment to such areas. Notification of 13B. Where any equipment in respect of which particu• transfer of -, lars have been required under regulation 13(a) is trans• equipment to areas held by ferred by its owner to any of the areas held by the De• the Defence fence Army of Israel, such owner shall notify a calling- Army of Israel. up officer of any of the following events within fourteen days of the occurrence thereof : (1) the transfer of the equipment to the area held by the Defence Army of Israel; the notification shall indicate the location of the equipment; (2) any change in the location of the equipment within the area held by the Defence Army of Israel; (3) the return of the equipment from the area held by the Defence Army of Israel. Application to 13C. Subject to the provisions of regulation 13A, these areas held by Regulations, including every order, command and other the Defence Army of Israel. direction thereunder, shall.also apply to equipment situ• ated in the areas held by the Defence Army of Israel if its owner is a resident of Israel, an Israeli national, a body corporate registered in Israel or a body corporate controlled by a resident of Israel, an Israeli national or the State, even though not registered in Israel. Offences 13D. The court in Israel is also competent to try an committed in offence under these Regulations if it was committed areas held by the Defence in the areas held by the Defence Army of Israel.". Army of Israel. Transitional 5. Equipment as referred to in regulation 13B of the principal Re• provision. gulations which, on the day of the coming into force of this Law is situated in the areas held by the Defence Army of Israel shall, for 150 the purposes of that regulation, be deemed to have been transferred to such areas on such day. 6. The validity of the principal Regulations is hereby extended until Extension of the 27th Tevet, 5736 (31st December, 1975). validity. GOLDA MEIR MOSHE DAYAN Prime Minister Minister of Defence SHNEUR ZALMAN SHAZAR President of the State (No. 56) PENAL LAW AMENDMENT (BRIBERY) (AMENDMENT No. 5) LAW, 5731-1971 * 1. In the Penal Law Amendment (Bribery) Law, 5712-1952 1 (here• Addition of inafter referred to as "the principal Law"), the following section shall section 3A. be inserted after section 3 : "Bribery in 3A. (a) A person who gives a bribe with intent to connection with influence the holding, progress or outcome of a sporting contests. or other contest in the holding or outcome of which the public is interested shall be liable to imprisonment for a term of three years. (b) The person who takes the bribe shall be treated in like manner as the person who gives it.". 2. In section 6(a) of the principal Law, the words "to a public serv• Amendment of ant, within the meaning of section 1" shall be deleted. section 6. GOLDA MEIR YAAKOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State * Passed by the Knesset on the 5th Av, 5731 (27th July, 1971) and published in Sefer Ha-Chukkim No. 633 of the 14th Av, 5731 (5th August, 1971) p. 164; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 954 of 5731, p. 282. 1) Sefer Ha-Chukkim of 5712, p. 126 — LSI vol. VI, p. 32; Sefer Ha- Chukkim of 5717, p. 88 — LSI vol. XI, p. 90; Sefer Ha-Chukkim of 5723, p. 26 — LSI vol. XVII, p. 34; Sefer Ha-Chukkim of 5724, p. 90 — LSI vol. XVIII, p. 83; Sefer Ha-Chukkim of 5730, p. 149 — LSI vol. XXIV, p. 156. 151 ,(No. 57) HIRE AND LOAN LAW, 5731-1971 * CHAPTER ONE : HIRE ARTICLE ONE : GENERAL PROVISIONS Nature of hire. 1. A hire ** is a right conferred for consideration (hereinafter referred to as "rent") to possess and use property otherwise than permanently. Scope of 2. (a) The provisions of this chapter shall apply to the hire of application. immovable and movable property and, mutatis mutandis, of rights. (b) The provisions of this chapter shall also apply, mutatis mu• tandis, to subletting. (c) The provisions of this chapter shall apply where no other law contains special provisions as to the matter in question and no contrary intention appears from the agreement between the parties. Particulars not 3. Particulars of a contract of hire not laid down in the agreement laid down by between the parties shall be in accordance with the usage which the agreement. parties to the agreement regarded as acceptable in previous transactions between them or, in the absence of such a usage, in accordance with the usage which reasonable parties regard as applying to transactions of that kind. Good faith. 4. Any obligation or right arising from a contract of hire shall be fulfilled or exercised in customary manner and in good faith. ARTICLE Two : OBLIGATIONS OF THE LESSOR Delivery— 5. (a) The lessor shall deliver to the lessee the thing hired by placing date and place it at his disposal. thereof • • • (b) Where delivery within a specific period has been agreed upon, the lessor may determine the date of delivery within that period. Where the date of delivery has not been agreed upon, delivery shall be effected within a reasonable time after the making of he contract; in this case, the lessor shall give the lessee reasonable advance notice of the date of delivery. (c) Delivery shall be effected at the place where the thing hired was situated at the time of the making of the contract. Passed by the Knesset on the 5th Av, 5731 (27th July, 1971) and published in Sefer Ha-Chukkim No. 633 of the 14th Av, 5731 (5th August, 1971), p. 160; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 901 of 5730, p. 288. In this translation, a person who gives on hire is called "lessor", a person who takes on hire "lessee", and the giving on hire to another person by the hirer "subletting". The corresponding Hebrew terms are of the same root as the Hebrew term for "hire" (Tr.). 152 6. The lessor has not fulfilled his obligations if he has delivered to Non-conformity. the lessee property which at the time of delivery did not, in respect of its kind, description, quality or characteristics or otherwise, conform to what has been agreed between the parties (such lack of conformity hereinafter referred to as "non-conformity"). However, the lessee is not entitled to rely on non-conformity if — (1) he knew of it at the time of the making of the contract; or (2) he has not notified the lessor thereof within a reasonable time after discovering it or, having so notified him, has not given him a suitable opportunity to examine the thing hired; this paragraph shall not apply if the lessor knew of the non-conformity. 7. (a) The lessor shall, within a reasonable time after receiving a Duty to repair demand to this effect from the lessee, repair any such defect in the thing hired. thing hired, or in any property in his possession serving the thing hired, as defeats or substantially limits the use of the thing hired according to the agreement or according to what is customary in the circum stances (such a defect hereinafter referred to as a "defect"), whether the defect existed at the time the thing hired was delivered to the lessee or came into existence thereafter, except a defect for which the lessee is responsible according to the Bailees Law, 5727-1967 1j or the repair of which, according to the agreement or according to what is customary in the circumstances, is not incumbent on the lessor. (b) Where the thing hired is movable property and its identity is of no significance to the lessee, the lessor may fulfil his obligation under this section by replacing that property with some other property. The cost of replacement shall be on the lessor. 8. Where any non-conformity or defect in the thing hired arises from Concealment of facts which the lessor knew or ought to have known of at the time non-conformity or defect. the making of the contract and which he did not disclose to the ־of lessee, the lessee shall be entitled to the rights under sections 6 and 7 notwithstanding anything provided in any agreemnt. 9. (a) Where the lessor does not repair the defect within a reason Remedies for able time after receiving a demand therefor from the lessee, the lessee failure to may — repair. (1) repair the defect and demand that the lessor reimburse his reasonable expenses; (2) so long as the defect has not been repaired, reduce the rent in the proportion in which the value of the hire has de creased, in consequence of the defect, as against its value ac cording to the contract. (b) If the lessee wishes to repair the defect, he shall give the lessor reasonable advance notice in writing. (c) Where the repair of a defect is so urgent that the lessee cannot be expected to wait for it to be carried out by the lessor, the lessee may 1) Sefer Ha-Chukkim of 5727, p. 52; LSI vol. XXI, p. 49. 153 carry it out as stated in subsection (a)(1) without a demand under section 77 (a) or a notification under subsection (b). Defect the 10. Where the defect is the result of circumstances which at the time repair of which of the making of the contract the lessor did not know of or foresee and is not to be demanded. need not have known of or foreseen and which he could not have obviated1, and its repair under these circumstances is impossible or would impose on the lessor an obligation fundamentally different from what has been agreed between the parties, the defect shall not be a ground for a demand for repair or for compensation or for the re• imbursement of expenses under section 9 (a) (1). Undisturbed 11. The lessor shall enable the lessee to use the thing hired, during the use. period of hire, in accordance with what has been agreed between the parties, without interference by him or on his behalf. ARTICLE THREE : OBLIGATIONS OF THE LESSEE Duty to take 12. The lessee shall take possession of the thing hired at such date possession of and place as provided in section 5. the thing hired. Rent. 13. (a) The lessee shall pay rent to the lessor. (b) Where the amount of the rent or the mode of determining it has not been agreed upon, a rent shall be paid which it would have been proper to pay at the time of the making of the contract. Date and place 14. (a) A rent which has been fixed at a specific amount for determin• of payment. ate periods shall be paid at the beginning of each period in the case of a hire of immovable property and at the end of each period in the case of any other hire. (b) Rent shall be paid, in one of the customary ways, at the lessor's place of business or, if he has no place of business, at his place of residence. Exemption from 15. (a) Where the thing hired is immovable property and the lessee duty of payment. is precluded from using it for the purposes of the hire by circumstances connected with the thing hired or with the means of access thereto, and he does not rescind the contract on that account, he shall be exempt from paying rent for the period during which use is precluded as aforesaid. After a lapse of time reasonable in the circumstances of the case, the lessor may rescind the contract unless the lessee notifies him that he waives the exemption. (b) The said exemption shall only apply if at the time of the making of the contract the lessee did not know of or foresee and need not have known of or foreseen the circumstances referred to in sub• section (a) and could not have obviated them. Use of the 16. The lessee shall not use the thing hired save as agreed : Provided thing hired. mat jf sucfa use has not been stipulated as the sole use he may put 154 the thing hired' to some other use so long as this does not involve damage to the thing hired or burden the lessor more heavily than agreed. 17. The lessee shall at any reasonable time enable the lessor to inspect Inspection and the thing hired and carry out repairs thereon provided that the lessor repair by lessor, gives him reasonable advance notice and disturbs him as little as possible. ARTICLE FOUR : PERIOD OF HIRE 18. The period of hire shall begin when the thing hired is delivered Commencement to the lessee. ofhire- 19. (a) Where the period of hire has not been agreed upon, or where Termination of the parties continue the hire after the termination of the period agreed nire• upon without fixing a new period, each party may terminate the hire by giving notice to the other party. (b) Where notice under subsection (a) has been given, the hire shall terminate — (1) where the rent is fixed at a specific amount for determinate periods — upon the termination of the period next beginning after the giving of notice or upon the lapse of three months after the giving of notice, whichever is earlier; (2) in every other case — at the time fixed in the notice or, if such time is unreasonable, within a reasonable time after the giving of notice. 20. (a) Upon the termination of the hire, the lessee shall return the Return of thing hired to the lessor, and the lessor shall accept it. 4"'"S hired. (b) In the case of a hire of immovable property, the thing hired shall be returned vacant. (c) In the case of a hire of movable property, the thing hired shall be returned at the place where it was delivered to the lessee. ARTICLE FIVE : MISCELLANEOUS PROVISIONS 21. The lessor may transfer his rights in the thing hired to another Transfer of person. Upon his doing so, the person acquiring the rights shall take thing hired, the place of the lessor as to everything relating to the contract of hire: Provided that so long as the lessor has not notified the lessee of the transfer and the lessee has not learnt of it from another source, the lessee is discharged by paying the rent, and fulfilling his other obliga• tions, to the lessor. 22. The lessee shall not without the consent of the lessor transfer his Transfer of right to possess and use the thing hired to another or sublet such thing: hire• Provided that if the lessor does not consent to the transaction on un- 155 reasonable grounds or attaches unreasonable conditions to his consent, then — (1) in the case of a hire of immovable property — the lessee may effect the transaction without the consent of the lessor; (2) in the case of any hire — the Court may authorise the transaction on such conditions as it may see fit; in the case of a hire of immovable property, the Court may do so notwith• standing anything provided in the contract of hire. General remedies 23. The remedies available to the parties under this chapter shall be for breach in addition to, and not in derogation of, the provisions of the Law of of contract. Contracts (Remedies for Breach of Contract) Law, 5731-1970 1. Application of 24. For the purposes of the Bailees Law, 5727-1967, a lessee shall be Bailees Law, regarded as a bailee for reward in whose1 case the purpose of safe• 5727-1967. keeping is subordinate to the principal purpose of possession. Set-off. 25. The mutual debts of the parties in consequence of the hire may be set off. CHAPTER Two: LOAN Nature of loan. 26. A loan is a right to possess and use any property otherwise than permanently, such right being conferred otherwise than for considera• tion. Application of 27. The provisions of sections 2 to 5, 11, 12, 17, 18, 20, 21 and 25 sections. shall also apply, mutatis mutandis, to a loan. Denial of 28. (a) The provisions of section 6 shall apply to non-conformity of remedies. the thing lent: Provided that such non-conformity shall not be a ground for compensation unless the lender knew and the borrower did not know of it at the time of the making of the contract. (b) An infringement of a loan contract shall not be a ground for a claim for enforcement. Termination of 29. (a) The lender may, by reasonable advance notice to the borrower, loan. rescind the loan contract so long as he has not delivered to him the thing lent, and he may terminate the loan during the period thereof if the borrower dies or the thing lent is needed by the lender for his own use. (b) Where the period of the loan has not been agreed upon or where the parties have continued the loan after the termination of the agreed period without fixing a new period, each party may terminate the loan by giving the other party reasonable advance notice. Transfer of 30. The borrower shall not without the consent of the lender transfer loan. to another the right to possess and use the thing lent or lend such thing to another. 1) Sefer Ha-Chukkim of 5731, p. 16; supra, p. 11. 156 CHAPTER THREE : MISCELLANEOUS 31. The provisions of Chapter One shall also apply, mutatis mutandis, Use without to a right conferred for consideration to use property without the right possession, to possess it, and the provisions of Chapter Two shall apply, mutatis mutandis, to a right as aforesaid conferred otherwise than for con• sideration. 32. The Second Book of the Mejelle, to the extent that it relates to Repeal, the hire of property, is hereby repealed. 33. In the Land Law, 5729-1969 1 — Amendment of (1) the words "for rent" in section 3 shall be replaced by Land Law, 5729-1969. the words "for consideration" ; (2) section 82 shall be repealed; (3) the words "except section 82" in section 83 shall be deleted. 34. This Law shall come into force on the 14th Tevet, 5732 (1st Commencement January, 1972). A transaction effected before the coming into force of and transitional this Law shall continue to be governed by the previous law. provisions. GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State (No. 58) COPYRIGHT ORDINANCE (BRINGING INTO FORCE AND AMENDMENT No. 3) LAW, 5731-1971 * 2 1. In section 5 of the Copyright Ordinance — Amendment of section 5 of the (1) in the first subsection, the words "fifty years" shall be replaced Ordinance. by the words "seventy years" and the words "as adapted in this Law" shall be replaced by the words "as modified by this Ordin• ance" ; (2) the following subsection shall be inserted after subsection (3) : "(4) Notwithstanding anything provided in section 3 of the 1) Sefer Ha-Chukkim of 5729, p. 239; LSI vol. XXIII, p. 223. * Passed by the Knesset on the 4th Av, 5731 (26th July, 1971), and published in Sefer Ha-Chukkim No. 633 of the 14th Av, 5731 (5th August, 1971), p. 165; the Bill and an Explanatory Note were published in Hatza'ot ChokNo. 927 of 5731, p. 143. 2) Laws of Palestine vol. I, cap. 25, p. 389 (English Edition); Sefer Ha- Chukkim of 5713, p. 38 — LSI vol. VII, p. 30; Sefer Ha-Chukkim of 5728, p. 57 — LSI vol. XXII, p. 56. 157 Copyright Act, 1911 1, and subject to the other express pro• visions of that Act, the term of protection subsequent to the death of the author shall be seventy years from the date specified in subsection (3).". Bringing 2. Section 7A of the Copyright Ordinance shall come into force on into force. fae date Gf fae coming into force of this Law and shall continue in force until the 8th Nisan, 5734 (31st March, 1974). Transitional 3. Nothing in this Law confers copyright in any work in which copy- provision, right no longer exists in Israel. GOLDA MEIR YAACOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State (No. 59) COMPANIES ORDINANCE (AMENDMENT No. 12) LAW, 5731-1971 * Amendment of 1. In section 119A of the Companies Ordinance2, the following sub• section 119A. section shall be added after subsection (12): "(13) Where a foreign company has made an arrangement with an Israeli company for the transfer to the Israeli company of the whole or a ^specific part of its undertaking, business, assets and liabilities in Israel only, the provisions of this section shall apply with the following modifications: (a) Paragraph (a) of subsection (5) shall not apply; (b) the provisions of subsection (7) shall apply with the variations declared by the Court to be necessitated the fact that the undertaking, business, assets and liabilities in Israel only have been transferred to the Israeli company; 1) Laws of Palestine vol. Ill, p. 2475 (English Edition). * Passed by the Knesset on the 4th Av, 5731 (26th July, 1971), and published in Sefer Ha-Chukkim No. 633 of the 14th Av, 5731 (5th August, 1971), p. 165; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 951 of 5731, p. 270. 2) Laws of Palestine vol. I, cap. 22, p. 161 (English Edition); Hon Rishmi of 5709, Suppl. I, p. 168 — LSI vol. II, p. 108; Sefer Ha-Chukkim of 5710, p. 316 — LSI vol. IV, p. 185; Sefer Ha-Chukkim of 5711, p. 225 — LSI vol. V, p. 147; Sefer Ha-Chukkim of 5712, p. 359 — LSI vol. VI, p. 163; Sefer Ha-Chukkim of 5713, p. 95 — LSI vol. VII, p. 79; Sefer Ha-Chukkim of 5714, p. 38 — LSI vol. VIII, p. 37; Sefer Ha- Chukkim No. 5721, pp. 22 and 125 — LSI vol. XV, pp. 19 and 131; Sefer Ha-Chukkim of.5725, p. 124 — LSI vol. XIX, p. 121; Sefer Ha- Chukkim of 5728, p. 244 — LSI vol. XXII, p. 280; Sefer Ha-Chukkim of 5729, p. 252 — LSI vol. XXIII, p. 279. 158 (c) the provisions of subsection (7) shall not apply to — (1) any debt or right of the foreign company under the Income Tax Ordinance \ the Encouragement of Capital Investments Law, 5719-1959 2, and the Encouragement of Industry (Taxes) Law, 5729-1969 3, save to the extent prescribed by the Minister of Finance; (2) any licence, permit or privilege which was granted to the foreign company under law if the authority which granted it so notifies within thirty days after publication of the notice under subsection (2).". GOLDA MEIR YAAKOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State (No. 60) CHIEF RABBINICAL COUNCIL (TEMPORARY PROVISIONS) (AMENDMENT) LAW, 5731-1971 * 1. In section 1 of the Chief Rabbinical Council (Elections) (Temporary Amendment of Provisions) Law, 5729-1969 4, the expression "the 11th Av, 5731 (2nd section 1 of the August, 1971)" shall be replaced by the expression "the 15th Shevat, Chief Rabbinical Council 5732 (31st January, 1972)". (Elections) (Temporary Provisions) Law, 5729-1969. 2. In section 2 of the Chief Rabbinical Council (Temporary Pro• Amendment of visions) Law, 5731-1971 6, the expression "the 11th Av, 5731 (2nd section 2 of the August, 1971)" shall be replaced by the expression "the 15th Shevat, Chief Rabbinical Council (Tem• 5732 (31st January, 1972)". porary Provisions Law, 5731-1971. GOLDA MEIR ZERAH WARHAFTIO Prime Minister Minister of Religious Affairs SHNEUR ZALMAN SHAZAR President of the State 1) Dinei Medinat Yisrael (Nusach Chadash) No. 6, p. 120 — NV vol. I, p. 145. 2) Sefer Ha-Chukkim of 5719, p. 234 — LSI vol. XIII, p. 258. 3) Sefer Ha-Chukkim of 5729, p. 232 — LSI vol. XXIII, p. 253. Passed by the Knesset on the 5th Av, 5731 (27th July, 1971) and published in Sefer Ha-Chukkim No. 634 of the 14th Av, 5731 (5th August, 1971), p. 168; the Bill and an Explanatory Note were published in Hatza'ot ChokNo. 955 of 5731, p. 286. 4) Sefer Ha-Chukkim of 5729, p. 82; LSI vol. XXIII, p. 89. 5) Sefer Ha-Chukkim of 5731, p. 88; supra, p. 84. 159 (No. 61) MUNICIPALITIES ORDINANCE (AMENDMENT No. 11) (MUNICIPAL COMPTROLLER) LAW 5731-1971 * 1 Amendment of 1. Section 167 of the Municipalities Ordinance shall be re-marked section 167. as section 167 (a) and the following subsection shall be added there• after : "(b) A council may appoint a comptroller. It shall appoint a comptroller if the number of inhabitants of the municipality is 30,000 or over or it is required to do so by the Minister.". Addition of 2. The following sections shall be inserted after section 170 : sections 170A to 170D. "Functions of 170A. (a) The functions of the comptroller shall be — comptroller. (1) to inspect the activities of the employees of thé municipality and the keeping of the municipal accounts; (2) to examine whether the manner of keep• ing moneys and of safeguarding and main• taining property at the municipality is satis• factory; (3) to examine whether the checking ar• rangements and procedural instructions ob• taining at the municipality ensure compliance with the law, moral integrity, efficiency and thrift. (b) Inspection under subsection (a) shall also extend to the religious council in the municipal area, as well as to every body corporate, undertaking, institution, fund or body to the budget of which the municipality contributes more than half or in the appointment of whose management it participates. (c) The comptroller shall act under the general directives of the mayor. Powers of 170B. The comptroller may require any municipal em• comptroller. ployee to present to him any book or document in his possession which in the comptroller's opinion is neces- Passed by the Knesset on the 5th Av, 5731 (27th July, 1971) and published in Sefer Ha-Chukkim No. 634 of the 14th Av, 5731 (5th August, 1971), p. 168; the Bill and an Explanatory Note were published in Hatzdot Chok No. 945 of 5731, p. 241. Dinei Medinat Yisrael (Nusach Chadash) No. 8, p. 197 — NV vol. I, p. 247; Sefer Ha-Chukkim of 5725, pp. 127, 215 and 263 — LSI vol. XIX pp. 125, 226 and 283; Sefer Ha-Chukkim of 5727, pp. 16, 56 and 74 — LSI vol. XXI, pp. 10, 52 and 75; Sefer Ha-Chukkim of 5728, pp. 10 and 53 — LSI vol. XXII, pp. 11 and 51; Sefer Ha-Chukkim of 5730, p. 6 — LSI vol. XXIV, p. 7; Sefer Ha-Chukkim of 5731, p. 36; supra, p. 27. 160 sary to him for the purpose of inspection and to give him any information or explanation, and the employee shall comply with such requirement. Comptrollers' 170C. (a) The comptroller shall once a year, submit report. to the mayor a report of the findings of the inspection carried out by him. A copy of the report, accompanied by the mayor's observations, shall be delivered to all the members of the council not later than three months from the day on which the report is delivered to the mayor. (b) The comptroller may submit to the mayor a report of the findings of the inspection carried out by him whenever he sees fit or the mayor so requires. (c) The mayor shall furnish the Minister with a copy of every report of the comptroller and of his own observations. Joint comptroller 170D. Subject to the provisions of section 180(a), the for several local comptroller may act as a comptroller in more than one authorities. , , .. ,, local authority. . 3. (a) The duty to appoint a comptroller under section 1 shall not Commencement apply until the expiration of six months from the date of publication and transitional of this Law. provisions. (b) A person who before the publication of this Law was ap• pointed to be comptroller of a municipality shall be deemed to have been appointed under this Law. GOLDA MEIR MICHAEL CHAZANI Prime Minister Minister of Social Welfare Acting Minister of the Interior SHNEUR ZALMAN SHAZAR President of the State (No. 62) FIREARMS (AMENDMENT No. 4) LAW, 5731-1971 * 1. In section 1 of the Firearms Law, 5709-1949 1 (hereinafter referred Amendment of to as "the principal Law"), at the end of the definition of "firearm", section 1. * Passed by the Knesset on the 4th Av, 5731 (26th July, 1971), and published in Sefer Ha-Chukkim No. 634 of the 14th Av, 5731 (5th August, 1971), p. 170; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 918 of 5731, p. 75. 1) Sefer Ha-Chukkim of 5709, p. 143 — LSI vol. Ill, p. 61; Sefer Ha-Chukkim of 5714, p. 149 — LSI vol. VIII, p. 124; Sefer Ha-Chukkim of 5715, p. 229 — LSI vol. IX, p. 278; Sefer Ha-Chukkim of 5722, p. 68 — LSI vol. XVI, p. 57. 161 there shall be added the words: "it also means a weapon adapted to project any substance intended to harm a person, and includes any. part of, accessory to and ammunition for such a weapon and a con• tainer containing or adapted to contain any such substance". Amendment of 2. In section 4 of the principal Law, the words "or by permission section 4. under section 10 B (c)" shall be added at the end. Amendment of 3. In section 5 (b) of the principal Law, the words "or the holder section 5. of permission under section 10 B (c)" shall be added at the end of paragraph (4). Amendment of 4. In section 5 B (a) of the principal Law, the words "or in the section 5B. hands of a person fulfilling a task under Part Two of the Knesset Build• ings Immunity Law, 5712-1952" shall be replaced by the words "or in the hands of a guard, within the meaning of the Knesset Building and Precincts Law, 5728-1968l. Replacement of 5. Section 6 of the principal Law shall be replaced by the following section 6. section : "Purchase, sale 6. (a) A person shall not buy or otherwise acquire or handing- a firearm unless he is in possession of a license for that over of fire• arm. firearm. (b) A person shall not sell or otherwise transfer, or hand over, a firearm to another person unless the purchaser or recipient is in possession of a licence for that firearm or is permitted to have possession thereof under the provisions of this Law.". Amendment 6. In section 7E of the principal Law, the words "and the Israel section 7E. Police" shall be replaced by the words "the Israel Police, the Prison Service and the Knesset Guard". Addition of 7. The following section shall be inserted after section 10A of the section 10B. principal Law : "Firearms for 10B. (a) A competent authority may issue to a person films, perform- responsible for the production of a film or for the per- ances and shows. ,. 1 ri ^ t formance of a play or some other entertainment show and approved by the Minister of the Interior for the purposes of this Law a special licence to possess a fire• arm for the requirements of such film, performance or show. (b) A competent authority may make the issue of a licence under subsection (a) conditional upon the person responsible appointing, with his approval, a per• son to be in charge of security. 1) Sefex Ha-Chukkim of 5728, p. 197; LSI vol. XXII, p. 226. 162 (c) Where a licence has been issued under sub• section (a) to a person responsible, he may authorise one of the participants in the film, performance or show to carry, at the time of the shooting of the film, the performance or show, or rehearsals thereof, the firearm in respect of which the licence was issued. (d) The person in charge of security or, where no such person has been appointed, the person respons• ible shall supervise the use of the firearm with a view to protecting human life and health and shall ensure its collection after it has been used for the requirements of the film, performance or show. (e) The power of a competent authority under this section shall not derogate from its power under section 12.". 8. In section 11 of the principal Law, the opening passage of para- Amendment of graph (2) shall be amended to read "for the purposes of sections 3 to section 11. 10B". 9. The following sections shall be inserted after section 11 of the Addition of principal Law : section 11 A. "Notification 11 A. (a) A licensing officer who has received an ap• of mental plication for a licence for a firearm shall forward it to illness. the Director-General of the Ministry of Health (here• inafter referred to as "the Director"), who may notify the licensing officer whether the applicant has suffered or is suffering from a mental illness. (b) For the purposes of a notification as afore• said, the Director may use information available to the Ministry of Health or to the Defence Establishment or any of its agencies concerning the treatment of mentally sick persons, and any provision of law prohibiting the giving of information concerning a mentally sick person shall not apply to the giving of information under this section.". 10. In section 12 of the principal Law, subsections (b) and (c) shall Amendment of respectively be re-marked as subsections (d) and (e), and the following section 12. subsections shall be inserted before them : "(b) A licensing officer may require an applicant for a licence to appear before him for the purpose of clarifying the particulars of his application. (c) A licensing officer may require an applicant for a licence to undergo a health examination by a physician designated by the Director-General of the Ministry of Health. The results of the examination shall be communicated to the licensing officer.". 163 Addition of 11. The following section shall be inserted after section 12 of the section 12A. principal Law : • "Secrecy. 12A. A person whom any information concerning a mentally sick person reaches under section 11A or 12 (c) shall keep it secret and shall not divulge it save to the extent necessary for the implementation of this Law and the regulations thereunder. Whoever contravenes this provision shall be liable to imprisonment for a term of one year.". Amendment of 12. (a) In section 14A (a) of the principal Law — section 14A. , (1) the opening passage shall be replaced by the following opening passage: "Where a firearm has come into hands of the Police other• wise than in consequence of an offence committed by means thereof or in respect thereof, the Police may hand it over to an authorised dealer upon the expiration of three months from the day on which it came into their hands, and where a firearm has come into the hands of the Police in consequence of an offence and it has been decided not to prosecute any person for such offence, the Police may hand it over to an authorised dealer upon the expiration of three months from the date of the de• cision, all unless, within the three months, the owner of the licence has". (2) the words "the said period of one year" in the closing passage shall be replaced by the words "the said period". (b) Section 14A (b) of the principal Law shall be replaced by the following subsection: "(b) Where a firearm has come into the hands of the Police under circumstances as set out in subsection (a), but its owner is not known, the Police shall exercise reasonable diligence to discover the owner, and if he is not found within three months they may declare it forfeited to the State or destroy it.". Addition of 13. The following sections shall be inserted after section 14A of the sections 14B principal Law : to 14D. "Sale by 14B. (a) An authorised dealer shall accept a firearm authorised handed over to him by the Police under section 14A, and he may sell it; but he shall, at least fourteen days before the sale, notify the owner of the firearm, by registered letter, of his intention to sell it and of the price he in• tends to ask for it. (b) The owner of a firearm who has received notification as aforesaid may, within the said period, produce to the authorised dealer a valid licence for the 164 firearm and take it, or propose to the authorised dealer a person willing to buy the firearm at the price specified by the dealer or a higher price; if the owner proposes as aforesaid the dealer shall sell the firearm accordingly, provided the buyer has a licence to possess it. (c) Where an authorised dealer has sold a fire arm handed over to him by the Police, he shall pay the proceeds of the sale to the owner after deduction of a commission at a rate prescribed by the Minister of the Interior by order, and shall notify the Police of the sale. (d) An authorised dealer may, upon the lapse of one year, return to the Police a firearm which it has handed over to him, and the Police may thereupon de clare it forfeited to the State or destroy it. Placing fire- 14C (a) The owner of a firearm may place it in the arms in custody. CUS(;ody of an authorised dealer for any such determinate period as he may indicate, provided that he has a licence for it. The authorised dealer may require that the storage fee, at a rate prescribed by the Minister of the Interior, be paid in advance or that security be given for its payment. (b) Where the licence expires while the firearm is in the custody of an authorised dealer, the firearm shall not be returned to its owner unless he produces to the dealer a licence to possess it. (c) Where, a year has elapsed since the expiration of the period of custody, and the owner of the firearm has not claimed it or is not entitled to recover it, the authorised dealer may sell it and pay the proceeds of the sale to the owner, after deduction of the storage fee until the date of the sale and a commission at a rate prescribed by the Minister of the Interior by order, or hand over the firearm to the Police, who may declare it forfeited to the State or destroy it; but at least fourteen days before the sale he shall notify the owner of the firearm, by registered letter, of his intention to sell it. (d) The authorised dealer shall notify the licens ing officer of the receipt of a firearm into custody and of its return. Destruction of 14D. An authorised dealer may, with the approval censmS officer and under the supervision of the״ authorised °^ a dealer Police, destroy a firearm owned by him.". 14. In section 21A of the principal Law, the expression "sections 5A Amendment of (a), 9, 10 and 11" shall be replaced by the expression "sections 5A (a), section 21A. 9, 10, 10A, 10B and 11". 165 Commencement 15. (a) Section 1 shall for the purposes of the possession of a firearm and transitional come into force upon the lapse of six months from the date of publi- provisions. cation of this Law in Reshumot. (b) Sections 14B and 14C of the principal Law shall come into force upon the lapse of three months from the date of publication of . this Law in Reshumot. (c) Where a firearm which came into hands of the Police other• wise than in consequence of an offence committed by means thereof or in respect thereof was in their hands immediately before the coming into force of this Law, it shall be dealt with as if this Law had been in force at the time the firearm came into its hands. (d) Where a firearm which the Police handed over to an author• ised dealer before the coming into force of this Law is still in his posses• sion on the day of such coming into force, it shall, until the expiration of three months from the date of publication of this Law in Reshumot, be dealt with as if this Law had not been adopted. GOLDA MEIR MICHAEL CHAZANI Prime Minister Minister of Social Welfare Acting Minister of the Interior SHNEUR ZALMAN SHAZAR President of the State (No. 63) YAD YITZHAK BEN-ZVI (AMENDMENT) LAW 5731-1971 * Addition of 1• In me Yad Yitzhak Ben-Zvi Law, 5729-19691 (hereinafter re• section 8A. ferred to as "the principal Law"), the following section shall be inserted after section 8: "Engagement of 8A. (a) The establishment and job classification of Yad employees and Yitzhak Ben-Zvi shall be the same as those of the State terms of employment. Service, with such variations and modifications as the Prime Minister shall prescribe upon the recommenda• tion of the Managing Committee and after consultation with the Minister of Finance. (b) Yad Yitzhak Ben-Zvi shall engage or appoint its employees in the manner prescribed for State em• ployees, with such modifications as shall be prescribed by regulations. * Passed by the Knesset on the 4th Av, 5731 (26th July, 1971), and published in Sefer Ha-Chukkim No. 634 of the 14th Av, 5731 (5th August, 1971), p. 173; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 917 of 5731, p. 72. 1) Sefer Ha-Chukkim of 5729, p. 192; LSI vol. XXIII, p. 206. 166 (c) The remuneration, benefits, and other terms of employment of the employees of Yad Yitzhak Ben- Zvi shall be the same as those of State employees: Pro• vided that the Prime Minister may, upon the recom• mendation of the Managing Committee and after con• sultation with the Minister of Finance, prescribe such variations and modifications as he may deem necessary in order to adapt the provisions applying to State em• ployees to the structure of Yad Yitzhak Ben-Zvi. (d) Nothing in the provisions of this section shall derogate from the power of Yad Yitzhak Ben-Zvi to sign special contracts with persons employed in tempor• ary positions for such periods or tasks and on such terms as the Prime Minister may have prescribed upon the recommendation of the Managing Committee after con• sultation with the Minister of Finance.". 2. This Law shall from the date of its coming into force apply also Scope of to employees of Yad Yitzhak Ben-Zvi engaged before such date. application. OOLDA MEIR Prime Minister SHNEUR ZALMAN SHAZAR President of the State (No. 64) LABOUR COURTS (AMENDMENT) LAW, 5731-1971 * 1. In section 24 of the Labour Courts Law, 5729-1969 1 (hereinafter Amendment of referred to as "the principal Law") — section 24. (1) in the first subsection — (a) the words "actions between an employee and an employer" in paragraph (1) shall be replaced by the words "actions be• tween an employee or his successor and an employer or his successor"; (b) the words "by employers against benefit funds" and "or against employers" in paragraph (3) shall be respectively re• placed by the words "by employers or their successors against benefit funds" and "or against employers or their successors"; « Passed by the Knesset on the 4th Av, 5731 (26th July, 1971), and published in Sefer Ha-Chukkim No. 635 of the 14th Av, 5731 (5th August, 1971), p. 176; the Bill and an Explanatory Note were published in Hatzdot Chok No. 920 of 5731, p. 86. 1) Sefer Ha-Chukkim of 5729, p. 70; LSI vol. XXIII, p. 76. 167 (2) the following subsection shall be inserted after subsection (a); "(al) The provisions of subsection (a) shall not derogate from the provisions of any law relating to jurisdiction in bankruptcy proceedings or in proceedings for the winding up of a company or cooperative society.". Amendment of 2. In section 27(b) of the principal Law — section 27. (1) the words "the Registrar shall have the power vested in a Regional Court" with regard to actions for delay of wages, within the meaning of the Wage Protection Law, 5718-1958, shall be replaced by the words "the power of a Regional Court with regard to actions for delay of wages, within the meaning of the Wage Protection Law, 5718-1958, shall also vest in the Registrar"; (2) the words "if the delayed wage does not exceed 1,000 pounds" shall be replaced by the words "if the delayed wage does not exceed 3,000 pounds". Amendment of In the First Schedule to the principal Law — First Schedule. (1) in the fifth section — (a) paragraph (1) shall be re-marked as paragraph (la) and the following paragraph shall be inserted before it: "(1) the words "but the wage collection officer may" and "prescribed by the wage collection officer" in section 14 (a) shall be respectively replaced by the words "but the Regional Court, within the meaning of the Labour Courts Law, 5729-1969, may" and "prescribed by the Regional Court"; (b) paragraph (5) shall be replaced by the following para• graph : "(5) the words "For the purposes of section 19" in sub• section (a) of section 19A shall be deleted and subsection (b) of that subsection shall be repealed"; (c) the following paragraph shall be inserted after paragraph (5): "(5a) section 19B (b) shall be repealed;"; (d) Paragraph (6) shall be replaced by the following para• graph : "(6) sections 20, 21, 21A, 23 and 29 shall be repealed;"; (2) the following section shall be inserted after section 11 : "Amendment 12. In the Fire-Fighting Services Law, 5719-1959 1 — of Fire-Fighting Services Law. (1) the words "The National Insurance Tribunal established under the National Insurance Law" in section 29 shall be replaced by the words "A Re- 1) Sefer Ha-Chukkim of 5719, p. 199 — LSI vol. XIII, p. 215. 168 gional Court, within the meaning of the Labour Courts Law, 5729-1969" and the marginal note to that section shall be amended to read "Compe• tence of Labour Court"; (2) the marginal note to section 30 shall be amend• ed to read "Representation before Labour Court".". GOLDA MEIR YOSEF ALMOGI Prime Minister Minister of Labour SHNEUR ZALMAN SHAZAR President of the State (No. 65) WELFARE LEGISLATION AMENDMENT (CHIEF WELFARE OFFICERS) LAW, 5731-1971 * 1. In the Welfare (Procedure in Matters of Minors, Mentally Sick Amendment of Welfare (Pro• Persons and Absent Persons) Law, 5715-1955 the following shall be cedure in added at the end of section 9 : "as well as a chief welfare officer. The Matters of welfare officers shall act in accordance with the directives of a chief Minors, Mentally Sick welfare officer, either generally, or in respect of a particular matter. Persons and Where a welfare officer disagrees with the directives as to a.particular Absent Persons) matter, the chief welfare officer shall give a fresh decision after con• Law. sultation with the welfare officer and such bodies as he may think fit.". 2. In the Welfare Services Law, 5718-1958 *, section 13 shall be Amendment of re-marked as section 13 (a) and the following subsection shall be in• Welfare Services Law. serted thereafter : "(b) The Minister of Social Welfare shall appoint a chief welfare officer for the purposes of this Law. Welfare officers shall act in accordance with the directives of a chief welfare officer either generally or in respect of a particular matter. Where a welfare officer disagrees with the directives as to a particular matter, the chief welfare officer shall give a fresh decision after consultation with thé welfare officer and such bodies as he may think fit.". 3. In the Youth (Care and Supervision) Law, 5720-1960 s, the words Amendment of "he shall appoint a chief welfare officer and welfare officers for the Youth (Care and Supervision) Law. * Passed by the Knesset on the 4th Av, 5731 (26th July, 1971), and published in Sefer Ha-Chukkim No. 635 of the 14th Av, 5731 (5th August 1971), p. 177; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 915 of 5731, p. 61. 1) Sefer Ha-Chukkim of 5715, p. 126; LSI vol. IX, p. 139. 2) Sefer Ha-Chukkim of 5718, p. 103 — LSI vol. XII, p. 120 ; Sefer Ha- Chukkim of 5725, p. 291 — LSI vol. XIX, p. 317. 3) Sefer Ha-Chukkim of 5720, p. 52; LSI vol. XIV, p. 44; Sefer Ha-Chukkim of 5728, p. 223 — LSI vol. XXII, p. 256. 169 purposes of this Law" in section 30 shall be replaced by the words "he shall for the purposes of this Law appoint a chief welfare officer, and welfare officers who shall act in accordance with the directives of a chief welfare officer either generally or in respect of a particular matter. Where a welfare officer disagrees with directives as to a particu• lar matter, the chief welfare officer shall give a fresh decision after consultation with the welfare officer and such bodies as he may think fit.". 1 Amendment of 4. In the Safety of Protected Persons Law, 5726-1966 , the words Safety of "he shall appoint a chief welfare officer and welfare officers for the Protected purposes of this Law" in section 15 shall be replaced by the words Persons Law. "he shall for the purposes of this Law appoint a chief welfare officer, and welfare officers who shall act in accordance with the directives of a chief welfare officer either generally or in respect of a particular matter. Where a welfare officer disagrees with directions as to a particular matter, the chief welfare officer shall give a fresh decision after consultation with the welfare officer and such bodies as he may think fit.". Amendment of 5. In the Welfare (Treatment of Retarded Persons) Law, 5729-1969 2, Welfare section 21 (c) shall be replaced by the following subsection :" (Treatment of Retarded "(c) The Minister of Social Welfare shall for the purposes of Persons) Law. this Law appoint a chief welfare officer, and a welfare officers who shall act in accordance with the directives of a chief welfare officer either generally or in respect of a particular matter. Where a welfare officer disagrees with directives as to a particular matter, the chief welfare officer shall give a fresh decision after consulta• tion with the welfare officer and such bodies as he may think fit.". Amendment of 6. In the Adoption of Children Law, 5720-1960s, the final portion Adoption of of section 35, beginning with the words "The Minister of Social Welfare Children Law. shall empower" shall be replaced by the words "From among the wel• fare officers, the Minister of Social Welfare shall for the purposes of this Law empower a chief welfare officer, and welfare officers who shall act in accordance with the directives of a chief welfare officer either generally or in respect of a particular matter. Where a welfare officer disagrees with directives as to a particular matter, the chief welfare officer shall give a fresh decision after consultation with the welfare officer and such bodies as he shall think fit.". GOLDA MEIR MICHAEL CHAZANI Prime Minister Minister of Social Welfare SHNEUR ZALMAN SHAZAR President of the State 1 ) Sefer Ha-Chukkim of 5726, p. 56; LSI vol. XX, p. 48. 2) Sefer Ha-Chukkim of 5729, p. 132 ; LSI vol. XXIII, p. 144. 3) Sefer Ha-Chukkim of 5720, p. 96; LSI vol. XIV, p. 93. (No. 66) CHAMBER OF ADVOCATES (AMENDMENT No. 6) LAW, 5731-1971 * 1. In the Chamber of Advocates Law, 5721-1961 1, the following Addition of chapter shall be inserted after section 89 : Chapter Seven "A". 'CHAPTER SEVEN "A" : PERSON-IN-CHAROE IN LIEU or ADVOCATE IN CERTAIN CASES "Appointment 89A. (a) Where an advocate has died or resigned of person-in- from the Chamber or his membership has been annulled charge. or suspended or has terminated or he is unable to carry out his functions (such an advocate in this chapter re• ferred to as "the advocate"), and the proper handling of the affairs of his clients is not ensured, the District Court (in this chapter referred to as "the Court") may, on the application of the District Board, appoint a member of the Chamber, with his consent, to be in charge of and deal with the professional affairs of the advocate. (b) The application shall be brought to the knowledge of the clients of the advocate in such manner as the District Board may think fit. (c) The advocate, his guardian or the person in whom the property of the advocate is vested shall be the respondent in application. (d) Where it appears to the Court that the conduct of the proceedings in the ordinary way may cause irreparable or grave damage, it may, at any time after the filing of the application, grant any such in• terim relief as is calculated to protect the interests of the clients of the advocate, including the appointment of a temporary person-in-charge; it may do so ex parte: Appointment 89B. (a) The appointment may be general for all the general or professional affairs of the advocate or restricted to partic• restricted. ular matters or classes of matters. (b) A person shall not be appointed to deal with * Passed by the Knesset on the 5th Av, 5731 (27th July, 1971) and published in Sefer Ha-Chukkim No. 635 of the 14th Av, 5731 (5th August, 1971), p. 178; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 904 of 5731, p. 4. 1) Sefer Ha-Chukkim of 5721, p. 178 — LSI vol. XV, p. 196; Sefer Ha- Chukkim of 5722, p. 15 — LSI vol. XVI, p. 13; Sefer Ha-Chukkim of 5723, pp. 66 and 145 — LSI vol. XVII, pp. 80 and 177; Sefer Ha-Chukkim of 5725, p. 25 — LSI vol .XIX, p. 21; Sefer Ha-Chukkim of 5728, p. 12 — LSI vol. XXII, p. 12. 171 a matter which was dealt with by the advocate if such person represents another party thereto. Period of 89C. The period of appointment shall not exceed two appointment. years; but the Court may at any time, on the application of the District Board, extend or shorten the period of appointment or discharge a person-in-charge from a matter for which he was appointed. So long as the ap• pointment is in force, the person-in-charge shall not resign his office save with the permission of the Court. Status of 89D. (a) The administrator of the estate of the ad• trustee. vocate, his guardian or the guardian of his heirs or any other trustee of his property (each hereinafter referr• ed to as "the trustee") who is himself an advocate shall not deal with the professional affairs of the advocate unless he has been appointed a person-in-charge. (b) Where a person-in-charge has been appoint• ed to deal with a particular matter, the advocate shall not deal therewith so long as the appointment is in force. The advocate and the trustee shall transfer to the person-in-charge, on his demand, any documents, deposits and other articles of clients which were in the possession of the advocate. Power of person- 89E. A person-in-charge shall, in the matters for which in-charge, he has been appointed, have the status of a person who has received his mandate from the client of the advoc• ate. However, he shall not have power to deal with — (1) a matter for which, with his knowledge, another advocate has a power of attorney from the client; (2) a matter which the client, by written notice, refuses to have dealt with by the person-in- charge. Notice to 89F. A person-in-charge shall, as soon as possible after client. his appointment, notify the same to the advocate's client with whose case he has been empowered to deal. Notice to 89G. Where the advocate represented a party in a legal judicial proceeding, the person-in-charge shall notify his appoint• authority. ment to the authority before which the proceeding is being conducted. Remuneration 89H. (a) Any remuneration and expenses received by and expenses. a person-in-charge shall be paid over to the advocate or the trustee, as the case may be, after deduction of the remuneration and expenses due to the person-in- charge for the work done by him. The Court shall pre• scribe the amount of the remuneration of the person-in- charge. 172 (b) Where the remuneration and expenses •re• ceived by the person-in-charge do not cover the remune• ration due to him, and the clients have paid the advocate remuneration and expenses in respect of the work done by the person-in-charge, it shall be the duty of the advocate or the trustee, as the case may be, to make up the remuneration of the person-in-charge out of the amounts paid by the clients as aforesaid.". GOLDA MEIR YAAKOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State (No. 67) CHAMBER OF ADVOCATES (AMENDMENT No. 7) LAW, 5731-1971 * 1. In the Chamber of Advocates Law, 5721-1961 1 (hereinafter re• Amendment of ferred to as "the principal Law"), the following paragraph shall be section 29. inserted after section 29 (1): "(la) a Judge of a Labour Court;". 2. Section 30 of the principal Law shall be replaced by the following Replacement of section : section 30. "Rescission of 30. The Chamber may, after giving the member con- approval, cerned an opportunity to plead its case before it, re• scind an approval granted under section 29 (4) if — (1) it is satisfied, on a complaint by a District Board, the Attorney-General or the State Attorney, that the member has not properly discharged his functions as an instructor; or (2) the member has been convicted by a Court of Discipline and in view of the convention it considers that he is not fit to be an instructor.". * Passed by the Knesset on the 5th Av. 5731 (27th July, 1971) and published in Sefer Ha-Chukkim No. 635 of the 14th Av, 5731 (5th August, 1971), p. 180; the Bill and an Explanatory Note were published in Hatza'ot Chock No. 921 of 5731, p. 90. 1) Sefer Ha-Chukkim of 5721, p. 178 — LSI vol. XV, p. 196; Sefer Ha- Chukkim of 5722, p. 15 — LSI vol. XVI, p. 13; Sefer Ha-Chukkim of 5723, pp. 66 and 145 — LSI vol. XVIII, pp. 80 and 177; Sefer Ha- Chukkim of 5725, p. 25 — LSI vol. XIX, p. 21; Sefer Ha-Chukkim of 5728, p. 12 — LSI vol. XXII, p. 12. 173 \ Addition of 3. The following section shall be inserted after section 41 of the section 41 A. principal Law: "Clerk under 41 A. (a) A clerk under service shall in all respects, service to be except for the purposes of the enactments specified in treated as employee. the Schedule, be deemed to be employee of the instructor, and if the instructor is the hired employee of another person, that other person shall be regarded as the em• ployer of the clerk. This section shall not apply to a soldier undergoing qualifying service in the Defence , Army of Israel. (b) The Minister of Justice may, with the ap• proval of the Labour Affairs Committee of the Knesset, vary, add to and make deletions in, the Schedule.". Addition of 4. The following Schedule shall be added after section 113 of the Schedule. principal Law: SCHEDULE (Section 41 A) 1. Severance Pay Law, 5723-1963 1; 2. Employment Service Law, 5719-1959 2 ; 3. Discharged Soldiers (Reinstatement in Employment) Law, 5709- 1949 8 ; 4. State Service (Appointments) Law, 5719-19594 ; 5. State Service (Discipline) Law, 5723-1963 5 ; 6. State Service (Benefits) Law (Consolidated Version), 5730-1970 6 ; 7. State Service (Restriction on Party-Political Activity and Fund- Raising) Law, 5719-1959 7.". GOLDA MEIR YAAKOV S. SHAPrRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State 1) Sefer Ha-Chukkim of 5723, p. 136; LSI vol. XVII, p. 161 2) Sefer Ha-Chukkim of 5719, p. 32; LSI vol. XIII, p. 29. 3) Sefer Ha-Chukkim of 5709, p. 13; LSI vol. Ill, p. 10. 4) Sefer Ha-Chukkim of 5719, p. 87; LSI vol. XIII, p. 87. 5) Sefer Ha-Chukkim of 5723, p. 50; LSI vol. XVII, p. 58. 6) Sefer Ha-Chukkim of 5730, p. 65 ; LSI vol. XXIV, p. 57. 7) Sefer Ha-Chukkim of 5719, p. 190; LSI vol. XIII, p. 203. 174 (No. 68) MOVABLE PROPERTY LAW, 5731-1971 * 1. In this Law, "movable property" or "property" means corporeal Definition. property, other than immovable property. 2. Ownership of movable property is the right to possess and use it, Ownership. and to do anything and enter into any transaction in respect thereof, subject to any restrictions under law or agreement. 3. Where any movable property is ownerless, any person may, subject Acquisition of to any law, acquire the ownership thereof by taking it with intent to ownerless become entitled to it. movable property. 4. (a) Where movable property of one person becomes joined or Joined and mixed with movable property of another to such degree that they can• mixed property. not be identified or separated or that their separation would involve unreasonable damage or. expense (such property as aforesaid herein• after referred to as "joined property"), the joined property shall be owned by such persons in common in the ratio of the value of their respective property immediately before the joining. (b) If the property of one is the main property and the property of the other subordinate, the ownership of the subordinate property shall pass to the owner of the main property, who shall pay to the other person the amount of the value accruing to him by the acquisition of the subordinate property. (c) The provisions of this section shall apply unless otherwise agreed between the parties. They shall not derogate from a right to compensation or any other remedy in respect of the joining. 5. (a) When the property of one of the co-owners referred to in Charge on section 4 (a) was charged immediately before the joining, the charge joint property. shall apply to his share in the joined property. (b) Where the main property referred to in section 4 (b) was charged immediately before the joining, the charge shall apply also to the property the ownership of which has passed under this provi• sion. Where the subordinate property was charged, the charge shall apply to the obligation incurred by the owner of the main property. (c) Where a pledge has been changed by virtue of this section, the parties shall, upon the demand of the creditor, do the acts required by the Pledges Law, 5727-19671, in order that the pledge may be effective against other creditors of the debtor. * Passed by the Knesset on the 5th Av, 5731 (27th July, 1971) and published in Sefer Ha-Chukkim No. 636 of the 15th Av, 5731 (6th August, 1971), p. 184; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 882 of 5730, p. 165. 1) Sefer Ha-Chukkim of 5727, p. 48; LSI vol. XXI, p. 44. 175 (d) For the purposes of subsections (a) and (b), an attachment shall be treated as a charge. Processing. 6. The provisions of sections 4 and 5 shall also apply, mutatis mutan• dis, where a person has by his work caused a change in the movable property of another; in this case, the value of the work shall be re• garded as the value of movable property. Abandonment. 7. Ownership of movable property ceases when the owner relinquishes control with intent to abandon the property. Protection of 8. Sections 15 to 20 of the Land Law, 5729-1969 \ shall apply also ownership and to the protection of the ownership and possession of movable property. possession. Co-ownership. 9. (a) Where movable property belongs to several persons, the owner• ship of each of them extends over the whole of the property, according to his share, no co-owner having a divided share. (b) The shares of co-owners of movable property are presumed to be equal. (c) An agreement between the co-owners as to the management and use of the common property and as to their rights and duties in relation thereto (hereinafter referred to as a "co-ownership agree• ment") shall be effective also with regard to a person who subsequently becomes a co-owner and with regard to any other person, provided that such co-owner or other person knows or ought to know of the existence and terms of the agreement. (d) Where one of the co-owners confers a right in his share in the common property to another person, he shall notify the other co- owners of the fact; and where a co-ownership agreement has been made, he shall notify the other person of the existence and terms of the agreement. (e) Save as may be otherwise provided in a co-ownership agree• ment, the provisions of sections 30 to 33, 34 (a), 35 and 36 of the Land Law, 5729-1969, shall also apply to the co-ownership of movable property. Dissolution of 10. (a) Every co-owner is entitled at any time to demand the dissolu• co-ownership. tion of the co-ownership. Where a co-ownership agreement contains a stipulation denying or restricting this right, the Court may, notwith• standing the stipulation, order the dissolution of the co-ownership if it deems it just to do so in the circumstances of the case. (b) Dissolution of co-ownership shall be by agreement between the co-owners or, in the absence of agreement, by order of the Court, and the Court! may order the division of the property in specie or the sale thereof and the division of the proceeds or any such other mode of dissolution as appears to it more effective and just in the circumstances of the case. 1 ) Sefer Ha-Chukkim of 5729, p. 259 ; LSI vol. XXIII, p. 283. 176 (c) The sale of the property by order of the Court shall be in the same manner as attached movable property is sold in execution proceedings unless the Court directs that it shall be in such other manner as appears to it more effective and just in the circumstances of the case. 11. (a) A lien is a right under law to detain movable property as Lien. security for an obligation until the obligation is discharged. (b) Where the value of the detained property exceeds the value of the obligation to an unreasonable extent, the debtor shall be entitled to have part of the property released if it is capable of division. (c) The debtor shall be entitled to have the detained property released by giving sufficient other security for the discharge of the obligation. (d) Where the creditor voluntarily relinquishes control of the detained property, the lien shall cease. (e) The provisions of this section shall also apply to a lien on immovable property; they shall likewise apply to a lien under an agreement, save as may be otherwise provided therein. 12. Where a person has undertaken to vest in another person the Adverse ownership of or any other right in movable property, and before de• transactions. livering the property or vesting the right he enters into an undertaking to a third person for the vesting of an adverse right, the right of the person to whom the first undertaking was given shall prevail; but if the person to whom the second understanding is given enters into the transaction and receives the property or right in good faith and for consideration, his right shall prevail. 13. (a) The provisions of this Law shall, as far as appropriate to the Scope of matter and mutatis mutandis, apply also to rights. application. (b) The provisions of this Law shall apply where no other Law contains special provisions for the matter in question. 14. In the State Property Law, 5711-1951 x, the words "Ownerless Amendment of property situate" at the beginning of section 3 shall be replaced by the the State Property Law, words "Ownerless immovable property". 5711-1951. 2 15. In section 1 of the Interpretation Ordinance , the definition of Amendment of "movable property" or "goods" shall be replaced by the following Interpretation definition : Ordinance. "movable property" or "goods" means corporeal property, other than immovable property: Provided that wherever the term "mov• able property" or "goods" occurs in any enactment passed before the coming into force of the Movable Property Law, 5731-1971, it shall have the meaning it would have had but for the said Law;". 1) Sefer Ha-Chukkim of 5711, p. 52; LSI vol. V, p. 45. 2) Dinei Medinat Yisrael (Nusach Chadash) No. 1, p. 2; NV vol. I, p. 5. 177 Repeal. 16. The Eighth and Tenth Books of the Mejelle are hereby repealed. Commencement 17• This Law shall come into force on the 14th Tevet, 5732 (1st January, 1972). GOLDA MEIR YAAKOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State (No. 69) SALE (AMENDMENT) LAW, 5731-1971 * Addition of 1. In the Sale Law, 5728-1968 1, the following sections shall be in• sections 34A serted after section 34: and 34B. "Sale by an 34A. Where any property is sold by a court, an exe- authority. cution office or any other lawful authority, ownership passes to the buyer free of every mortgage, attachment and other right in the property, except a right which according to the conditions of the sale is not termin• ated and a right which does not serve as security for a monetary obligation. Rights to apply 34B. Any charge, attachment or other right in the to proceeds. property which serves as security for a monetary obli• gation and is not under section 34 or 34A to be enforced against the buyer shall apply to the proceeds of the sale.". Amendment of 2. In the Execution Law, 5727-1967 2, section 29 and section 40 (a) Execution Law, and (b) shall be repealed. 5727-1967. GOLDA MEIR YAAKOV S. SHAPIRO Prime Minister Minister of Justice SHNEUR ZALMAN SHAZAR President of the State * Passed by the Knesset on the 5th Av, 5731 (27th July, 1971) and published in Sefer Ha-Chukkim No. 636 of the 15th Av, 5731 (6th August, 1971), p. 186; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 882 of 5730, p. 169. 1) Sefer Ha-Chukkim of 5728, p. 98; LSI vol. XXII, p. 107. 2) Sefer Ha-Chukkim of 5727, p. 116; LSI vol. XXI, p. 112. 178 (No. 70) EMERGENCY REGULATIONS (ARRANGEMENTS FOLLOWING CHANGE IN RATE OF CURRENCY) (EXTENSION OF VALIDITY) LAW, 5731-1971 * 1. The text of the Emergency Regulations (Arrangements Following Change of Change in Rate of Currency), 5731-1971 1 shall be replaced by the text text and ) extension of set out in the Schedule, and the validity of such Regulations in the validity. form so set out is hereby extended until the 26th Tevet, 5723 (31st December, 1972). 2. This Law shall have effect from the 1st Elul, 5731 (22nd August, Commencement. 1971). SCHEDULE CHAPTER ONE : GENERAL 1. In these Regulations— Definitions. "owner of goods" has the same meaning as in the Customs Ordin• ance 2 ; "working capital" means foreign currency in whatever form the holding of which as working capital has been permitted by the Controller and a right to such foreign currency, and foreign cur• rency which is actually held as a working capital; "the determining day" means the 1st Elul, 5731 (22nd August, 1971); "charge" means a charge under these Regulations; "the Director" means the Director of the Department of Customs and Excise or a person empowerd by him for the purposes of these Regulations; "the Controller" means the Controller of Foreign Exchange, within the meaning of regulation 2 of the Defence (Finance) Regulations,' 1941 3 (hereinafter referred to as "the Currency Regulations"); "allocation" means the acquisition of foreign currency from an authorised dealer; "the new rate" in relation to any kind of foreign currency, means the purchase price in pounds first prescribed for that currency by a Bank of Israel Circular to Banks (Authorised Dealers) Concerning * Passed by the Knesset on the 3rd Elul, 5731 (24th August, 1971), and published in Sefer Ha-Chukkim No. 637 of the 9th Elul, 5731 (30th August, 1971), p. 189; the Bill and an Explanatory Note were published in Hatza'ot Chok No. 961 of 5731, p. 310. 1) Kovetz Ha-Takkanot No. 2734 of 5731, p. 1538. 2) Dinei Medinat Yisrael (Nusach Chadash) No. 3, p. 39; JVT vol. I, p. 51. 3) P.G. No. 1138 of 1941, Suppl. II, p. 1647 (English Edition); Sefer Ha- Chukkim of 5731, p. 146; supra, p. 139. 179 Exchange Rates of Foreign Currency (Transfers and.Drafts) (here• inafter referred to as a "Bank of Israel Circular") on or after the determining day; "the previous rate", in relation to any kind of foreign currency, means the purchase price in pounds last prescribed for that currency by a Bank of Israel Circular before the determining day; "goods" means goods which have been imported into Israel and the consideration or part of the consideration for which has been paid by means of an allocation or out of an international loan designat• ed by the Controller and to the extent designated by him ; "holder", in relation to foreign currency, means an Israel resident who in or outside Israel acquired foreign currency and holds it in his possession or under his control or who has a right in foreign currency in or outside Israel in any form whatever; "price of goods" means the normal price, within the meaning of section 130 of the Customs Ordinance, as stated in pounds in an entry passed by the collector of customs or, in the absence of an entry, in some other import document; "foreign currency" means any such foreign currency, within the. meaning of regulation 6 of the Currency Regulations, as is specified in the First Schedule ; "delivery for home consumption" has the same meaning as in the Customs Ordinance; "dealer", in relation to any goods, means a person whose business or part of whose business is the manufacture or sale of those goods or the use thereof for purposes of manufacture ; "authorised dealer" has the same meaning as in regulation 3 (2) of the Currency Regulations; "control of the Customs" has the same meaning as in the Customs Ordinance ; Payment of 2. A charge shall be paid to the Treasury, charge. CHAPTER Two : CURRENCY CHARGE Currency 3. A person who on the determining day held any working capital charge on shall pay a currency charge thereon. working capital. Currency charge 4. An authorised dealer who on or after the determining day held on balances any foreign currency acquired by him at the previous rate and required of authorised by law to be transferred and sold to the Bank of Israel shall pay a dealer. currency charge thereon. Currency 5. Where on or after the determining day a person holds any foreign charge on currency required by law to be sold to an authorised dealer at the foreign currency balances. previous rate, or which ought to have been sold to an authorised dealer before the determining day, and such foreign currency is sold at the new rate or has not yet been sold, such person shall pay a currency charge thereon. 180 6. A currency charge on each unit of working capital in foreign cur• Rate of currency rency, or on foreign currency, shall be in the amount of the difference charge. between the new rate and the previous rate of that kind of currency. 7. A currency charge shall be paid within fifteen days from the Time for determining day or within three days from the day on which the working payment of currency charge. capital or foreign currency on which the charge is leviable came into the hands of the person liable thereto, whichever period ends later. 8. The Minister of Finance may, by order, prescribe that the time Postponement for the payment of the whole or part of a currency charge shall be of time for payment of postponed, and he may, by order, enact provisions as to the security currency charge. which the person liable to the currency charge must provide for payment thereof at the postponed time. 9. Where in consequence of any act or omission in contravention of Interest in the regulation 6 of the Currency Regulations the working capital or foreign case of delay in receipt of currency has not come into the hands of a person liable to a currency foreign charge, such person shall pay interest at the rate of 16 per cent per currency. annum from the day which was the earliest time at which the working capital or foreign currency should have come into his hands but for the act or omission, until the day of actual payment thereof. CHAPTER THREE : STOCK CHARGE 10. (a) A dealer who owns or has possession or control of any goods Stock charge, specified in the Schedule to the Customs Tariff and Exemption Ordin• ance, 1937 1, which were imported to Israel and delivered to him for home consumption before the determining day, even though they may not yet have been removed from the control of the Customs, shall pay to the Treasury a charge (hereinafter referred to as a "stock charge") consisting of the following two : (1) 20 per cent of the price of the goods; (2) the difference between the total amount of taxes which would have been leviable on the goods if they had been released from the control of the Customs immediately before the deter• mining day with their price for the purposes of customs legis• lation increased by 20 per cent and the total amount of taxes which would have been leviable on them if they had been released on the same day with their price not so increased; for this purpose, "taxes" means customs duty, and compulsory pay• ments under the Emergency Regulations (Compulsory Pay• ments), 5718-1958 2, payable on the goods. (b) Where the provisions of section 156, 160, 160A, 160B or 160C of the Customs Ordinance or the provisions of regulation 17 or 18 of 1) P. G. No. 714 of 1937, Suppl. I, p. 215 (English Edition); Sefer Ha-Chukkim of 5725, p. 118 — LSI vol. XIX, p. 115; Kovetz Ha-Takkanot of 5730, p. 6. 2) Sefer Ha-Chukkim No. 268 of 5719, p. 18; LSI vol. XIII, p. 15. 181 the Emergency Regulations (Compulsory Payments), 5718-1958, apply to any goods, the whole or part of a charge paid under the provisions of sub-regulation (a) (2) shall be treated as customs duty or compulsory payments under that section or regulation. Time for 11. A stock charge shall be paid in six equal monthly instalments payment of beginning on the 26th Tishri, 5732 (15th October, 1971). stock charge. Relief from 12. (a) For the purpose of computing the charge on the stock of any charge; credit.' dealer in respect of goods in any group — (1) if the charge due in respect of the goods in that group is less than 1,000 pounds, no charge shall be levied on such goods; (2) if the charge due in respect of the goods in that group exceeds 1,000 pounds, an amount of 1,000 pounds shall be credited against it: Provided that no dealer shall be granted a credit as aforesaid of an amount exceeding 3,000 pounds. (b) For the purposes of subregulation (a), "goods in any group" means goods listed in any one of chapters 1 to 99 of the Schedule to the Customs Tariff and Exemption Ordinance, 1937; for this purpose, the classification of goods under any one of items 1 to 818 shall be disregarded. Exemption from 13. A dealer shall be exempt from a stock charge in respect of goods stock charge which he has proved to the satisfaction of the Director to have been on dead stock. owned by him, or to have been in his possession or under his control, for three years preceding the publication of these Regulations or which in that branch of trade are regarded as dead stock. Exemption from 14. A dealer shall be exempt from a stock charge in respect of goods stock charge which he has proved to the satisfaction of the Director to have under• on goods gone processing in Israel before the publication of these Regulations and processed in Israel and on in respect of equipment used by him for the purposes of his business equipment. and not intended for sale. Declaration of 15. (a) A dealer, whether or not he is liable to a stock charge, shall, stock. not later than fourteen days after publication of these Regulations, deliver to the Director such particulars as he may direct concerning imported goods used or intended for sale or some other use in his business, unless the Director otherwise demands. (b) A direction or demand under subregulation (a) shall be general or to particular classes of dealers or to a particular dealer. (c) A person charged with a stock charge who proves to the satisfaction of the Director that he is not the owner of the goods in respect of which he has been so charged shall not have to pay a stock charge thereon if he gives particulars thereof as provided in subregulation (a), as well as the name and address of the owner. This subregulation shall not exempt the dealer who is the owner of the goods from a stock charge. 182 (d) Notwithstanding section 10 of the Law and Administration Ordinance, 5708-1948 and section 17 of the Interpretation Ordinance 2, a direction or demand under subregulation (a) shall be valid if it has been published in three daily newspapers and shall come into force on the day prescribed in it. CHAPTER FOUR : IMPORT CHARGE 16. An owner of goods who has imported any goods specified in the Import charge. Schedule to the Customs Tariff and Exemption Ordinance, 1937, which have not yet been passed for home consumption and the consideration for which has wholly or in part been paid out of an allocation at the previous rate or out of an international loan designated by the Controller and to the extent designated by him shall pay an import charge (here inafter referred to as an "import charge") at the rate of 20 per cent of the price of the goods. 17. An import charge shall be paid before removal of the goods from Time for the control of the Customs, and the goods shall not be cleared so long payment of import charge. as the charge has not been paid in full. 18. An import charge shall not be leviable on goods entered for purposes Exemption from of transhipment or transit as provided in section 62 of the Customs import charge in respect of goods in ׳ .Ordinance transhipment or transit. 19. For the purpose of computing purchase tax under the Purchase Special Tax (Goods and Services) Law, 5712-1952 3, on goods charged with an provision as to imports charge, the import charge shall not be taken into account. computation of purchase tax. 20. Where it appears to the Director that part of the consideration for Part of any goods on which a stock charge or import charge is leviable has not consideration yet been paid and that it will be paid to the supplier out of an allocation at new rate. at the new rate, he may direct that such part of the consideration as is calculated at the new rate shall not be taken into account for the purposes of the payment of the charge. CHAPTER FIVE : EXEMPTIONS FROM AND REFUND OF STOCK CHARGE AND IMPORT CHARGE 21. The following are exempt from stock charge and import charge : General (1) goods imported by an agency of the United Nations, or by exemptions, an agency of an international aid organisation recognised by the Government, if the goods are intended for the purposes of such agency; 1) J. R. No. 2 of 5708, Suppl. I, p. 1 — LSI vol. I, p. 7. 2) Dinei Medinat Yisrael (Nusach Chadash) No. 1, p. 2; NV vol.1, p. 5. 3) Sefer Ha-Chukkim of 5712, p. 344; LSI vol. VI, p. 150. 183 (2) goods acquired by, and for the use of, representations or representatives of foreign states; (3) goods imported in exchange for exported goods, provided it is proved to the satisfaction of the Director that no bonus, subsidy or other addition in Israel pounds has been received for the ex• ported goods or, where such a bonus, subsidy or other addition has been received, that it has been refunded. Damaged goods. 22. Where the Director has reason to believe that any goods liable to a stock charge or import charge have been damaged, or were lost, destroyed or abandoned to the Customs while still under the control thereof, he shall reduce, refund, or grant exemption from the charge, as the case may be. Postponement 23. Where the officer in charge of arrangements has notified the Director of charge by that a dealer charged with a stock charge or an import charge has made an reason of waiver of price arrangement with him in connection with the maintenance of price increases. stability, the prevention of price increases or the financing of import- for-export, the Director shall postpone the time for the payment of the whole or part of the charge until the time stipulated in the ar• rangement. In this section and hereinafter, "officer in charge of arrangements" means a person appointed as such by the Minister of Commerce and Industry. Exemption from 24. Where an arrangement under regulation 23 has been made and charge on the officer in charge of arrangements notifies the Director that the compliance with conditions of the arrangement have been met, the Director shall ex• arrangement. empt the person liable to the charge from the whole or part thereof as may be stipulated in the arrangement. Payment of 25. Where a dealer has not complied with the whole or part of the charge by arrangement, the officer in charge of arrangements may notify the infringer of Director and the dealer of such fact, and the dealer shall thereupon, arrangement. within seven days from the day on which the notification was delivered to him, pay the charge the payment of which was postponed, unless the Minister of Commerce and Industry sees fit to reduce the amount payable in view of special circumstances justifying the same. Right to cancel 26. Where the sale of any goods at a price fixed in Israeli currency agreement or has been agreed upon, and the seller is subsequently charged with a to add charge. charge under these Regulations in respect of those goods, the seller may withdraw from the agreement unless otherwise expressly provided in the agreement or unless the purchaser agrees to the charge being added to the agreed price. Refund or 27. Where under the provisions of this chapter a person has been exemption not refunded the whole or part of a charge, or been exempted from a to affect relief or credit. charge, such fact shall not entail an increase or reduction of a relief or credit under regulation 12. 184 CHAPTER SIX : FUEL CHARGE 28. In this chapter — Definitions. "fuel" means the goods specified in the Second Schedule; "person in possession of fuel" means a person having possession or control of any fuel used or intended to be used by him for supply and includes a manufacturer, within the meaning of the Fuel Excise Law, 5718-1958 1. 29. A person in possession of fuel on the determining day shall pay Charge on a fuel charge thereon at the rate prescribed in the Second Schedule in possessor of respect of that kind of fuel. fuel. 30. The charge under this chapter shall be paid by the 29th Elul, Time for 5731 (19th September, 19711). payment of fuel charge. 31. A person liable to pay a charge under this chapter shall deliver Submission of to the Director, upon his demand, but not later than the 8th Elul, list of stock. 5731 (29th August, 1971), a list of the stock of fuel in his possession on the determining day. In the absence of a demand as aforesaid, he shall deliver the list not later than fourteen days after publication of these Regulations. CHAPTER SEVEN : PORT FEES AND PORT CHARGE 32. Every term in this chapter has the same meaning as the same term Definitions, has in the Ports Regulations, 5731-1971 2 (hereinafter referred to as "the Ports Regulations"). 33. The fees specified in the Third Schedule payable under the Ports Increase of Regulations shall be increased by 20 per cent. ^ees• 34. The rate of the wharfage fee for export cargoes under section 1 Reduction of of Article Two of Part Three of the Fifth Schedule to the Ports' Re- fe8S• gulations shall be reduced to one fifth per cent. 35. (a) The Ports Authority shall pay a charge at the rate of 6 Ports charge, per cent of the fees specified in the Third Schedule and of wharfage fees for import cargoes under sections 1 and 2 of Article Two of Part Three of the Fifth Schedule to the Ports Regulations. (b) A charge under subregulation (a) shall be paid within fifteen days from the expiration of the, month in which the fees in respect of which the charge is payable were paid. 1) Sefer Ha-Chukkim of 5718, p. 160; LSI vol. XII, p. 177. 2) Kovetz Ha-Takkanot of 5731, p. 306. 185 CHAPTER EIGHT : STEVEDORAGE CHARGE Definitions. 36. Every term in this chapter has the same meaning as the same term has in the Commodities and Services (Maximum Remuneration for Stevedorage Services) Order, 5722-1962 1 (hereinafter referred to as "the Stevedorage Order"). Stevedorage 37. (a) A person engaged in the performance of stevedorage services charge. for which a maximum remuneration is prescribed by the Stevedorage Order shall pay in respect of the services performed by him a charge at the rate of 6 per cent of the maximum remuneration which the person rendering the services is permitted to receive according to the Stevedor• age Order. (b) The charge under subregulation (a) shall be paid within fifteen days from the expiration of the month in which the service in respect of which the charge is payable was rendered. CHAPTER NINE : CONTROL OF BANKING ACTIVITY Limitation of 38. The Governor of the Bank of Israel may direct a banking institu• increase of tion or financial institution, within the meaning of the Bank of Israel liabilities. Law, 5714-19542 (hereinafter referred to as "the Bank Law") not to increase, either generally or for a specific period, the aggregate amount of liabilities incurred by it or not to increase it beyond an amonut prescribed by the Governor in the direction. A direction as aforesaid may be either general or for a specific class of liabilities. . Power to 39. (a) The Governor of the Bank of Israel may, by direction under impose fines regulation 38, prescribe that — for increase of bankers' (1) a banking institution or financial institution shall report liabilities. to the Bank of Israel on its liabilities for such period and in such form as is prescribed in the direction; (2) a banking institution or financial institution which exceeds the limitations imposed on it by the direction shall pay to the Bank of Israel a fine at such rates, not higher than 20 per cent per annum of the amount of the excess, as shall be prescribed. (b) The Governor of the Bank of Israel shall by order prescribe the method of calculating the excess, either generally or in respect of specific classes of liabilities. Power to impose 40. (a) If the Governor of the Bank of Israel has issued a direction fines for under section 53 of the Bank Law limiting bank credit or investments increase of bank credit. (such direction hereinafter referred to as "the direction"), he may by order prescribe that — 1) Kovetz Ha-Takkanot of 5722, p. 1302. 2) Sefer Ha-Chukkim of 5714, p. 192; LSI vol. VIII, p. 163. 186 (1) a banking institution shall report to the Bank of Israel, at the dates prescribed in the order, on the credit granted or investments made by it at those dates; (2) an institution which exceeds the limitations imposed on it by the direction shall pay to the Bank of Israel a fine at such rate, not higher than 20 per cent per annum of the amount of the excess, as shall be prescribed. (b) The Governor of he Bank of Israel shall by order prescribe the method of calculating the excess, either generally or in respect of specific classes of credit or investments. 41. Notwithstanding the provisions of section 53 of the Bank Law, the Consultation Governor of the Bank of Israel may, on the date of the coming into with Council. force of these Regulations, issue a direction under that section without prior consultation with the Council. 42. (a) The determining day shall be holiday for banking institu- Bank holiday, tions within the meaning of section 2 of the Bank of Israel Directions (Liquid Assets), 5731-1971 1. (b) On that day, banking institutions shall not carry out any banking operations and shall not open their doors. No employee or other functionary of a banking institution shall enter its premises or make any entry or do any writing in its books or documents, save in the presence of a person authorised under regulation 11 of the Cur• rency Regulations and in accordance with his directions. (c) Notwithstanding the provisions of subregulations (a) and (b), branches of banking institutions at Lod Airport and Haifa Port may purchase foreign currency from persons entering Israel on the bank holiday, sell foreign currency to non-residents leaving Israel on that day, sell foreign currency allocations for ordinary or business trips to persons leaving Israel on that day, and receive payments on account of travel tax under the Foreign Travel Tax Law, 5711-1951 2. CHAPTER TEN : STABILITY OF PRICES 43. In this chapter— Definitions, "the Minister" means the Minister of Commerce and Industry and any other member of the Government appointed by it for the purposes of all or part of these Regulations; "importer of commodity" means a person who imports a commodtiy from abroad; "manufacturer of commodity" means a person who, either himself or through others, carries on the manufacture of any commodity or the alteration thereof in respect of its form, nature or quality 1) Kovetz H.a-Takkanot No. 2678 of 5731, p. 690. 2) Sefer Ha-Chukkim of 5711, p. 12; LSI vol. V, p. 12. 187 or in any other respect, or who carries on the packing or mixing thereof or who produces or rears, or causes to be produced or reared, animate or inanimate agricultural produce; "price" means the price of a commodity of the remuneration for a service; "stable price" means the price at which a commodity was sold or a service rendered on the 24th Av, 5731 (15th August, 1971) and includes the conditions of the sale of the commodity or the rendering of the service, and the conditions of payment for either, on the said date; "sale" means a transaction in a commodity for consideration and includes a lease and the grant of a right of use and an agreement for any such transaction as aforesaid, whether or not the trans• action involves the performance of a service, and it also includes an offer for sale; "offer for sale" or "offer of service" includes an announcement by a person in any form whatsoever, of the price of a commodity or service which he is prepared or agrees to sell or perform; "commodity" means any animal or inorganic thing, and any plant, whether detached or fixed, and includes water, minerals and any structure or part thereof; "similar commodity" or "similar service" includes a commodity or service not materially different from some other commodity or service; "service" means any service to another person and includes a public entertainment, within the meaning of the Licensing of Businesses Law, 5728-1968 1, any matter connected with insurance, any dealing with commodities for another person, including build• ing, and also an offer to perform any such service as aforesaid; "performer of a service" includes a person performing a service through another person, and in the case of building, includes a contractor. Prohibition of 44. No manufacturer, importer or wholesaler shall sell any commodity, increase of or perform any service, at a price exceeding the stable price, save by prices by manufacturer, permit under this chapter. importer or wholesaler. Prohibition of 45. (a) The Minister may by order prescribe that a person to whom increase of regulation 44 does not apply shall not sell a commodity or perform prices by other a service at a price exceeding the stable price, save by permit under persons. this chapter. (b) An order under this regulation may be in respect of the price of a commodity or service before a reduction customary in trans• actions involving that commodity or service or in respect of the price thereof after such a reduction. (c) An order under this regulation may be general or to a particular person or class of persons, or in respect of a particular business 1) Sefer Ha-Chukkim of 5728, p. 204; LSI vol. XXII, p. 232. 188 or class of businesses, or in respect of a particular commodity or service or class of commodities or services. (d) An order under this regulation may be restricted to part of the area of the State. 46. (a) The Minister or a person empowered by him in that behalf Permit to (hereafter in this chapter referred to as "the officer-in-charge") may increase prices. or may not grant a permit for the purposes of the provisions of this chapter. (b) A permit may be subject to conditions, including conditions as to the rate of the increase. (c) The provisions of subregulations (b) to (d) of regulation 45 shall apply mutatis mutandis to a permit under subregulation (a). 47. For the purpose of the exercise of his powers under this section, Requirement of .charge may require any person to submit to him a cost cost account־the officer-in account (hereinafter referred to as a "cost account") in accordance with such particulars as he shall prescribe. 48. The officer-in-charge may require a person who has delivered a Further data for purposes cost account to him to furnish him with further data and documents of cost account. which in his opinion are required for the purposes thereof. 49. A person wishing to increase the price of a commodity or service Application for beyond the stable price shall submit to the officer-in-charge a reasoned permission to application, accompanied by a cost account. increase price. 50. (a) The officer-in-charge shall acknowledge receipt of the ap Acknowledg plication within fifteen days from the day on which it is delivered ment of receipt to him. of application and decision (b) Not later than sixty days from the date of acknowledgment thereon. of receipt of the application as provided in subregulation (a), the officer- in-charge shall communicate his decision to the applicant. If a decision is not communicated as aforesaid, and so long as none is given, the applicant may increase the price of the commodity or service to a price not exceeding the lowest level to which he asked permission to increase it. For this purpose, an interim decision shall be treated as a decision upon the application. 51. Pending determination of the application, the officer-in-charge Provisional may approve a provisional increase of the price, subject to conditions increase. or unconditionally, at a rate prescribed by him. 52. The officer-in-charge may approve the increase of the price, wholly Increase of or in part, subject to conditions or unconditionally, or reject the ap price. plication. 53. The Minister may appoint a committee to advise the officer-in- Advisory charge. committee. 189 Application of 54. Every commodity or service to which regulation 44 or an order provisions of under regulation 45 applies shall be regarded as subject to control Commodities 1 and Services under the Commodities and Services (Control) Law, 5718-1957 , and (Control) Law, the stable price or the price prescribed in a permit shall be regarded as 5718-1957. a maximum price prescribed under the said Law; and the provisions of the said Law shall apply accordingly. CHAPTER ELEVEN : GENERAL PROVISIONS AS TO CHARGES Competent 55. For the purposes of this chapter and of Chapter Twelve — authority. "competent authority" — (1) in respect of a currency charge — means the Controller; (2) in respect of a stock charge, an import charge and a fuel charge — means the Director; (3) in respect of any matter required for the carrying out of the functions of the officer in charge of arrangements — means the officer in charge of arrangements; (4) in respect of a port charge and a stevedorage charge — means the person appointed in that behalf by the Minister of Finance; (5) in respect of Chapter Nine — means the Examiner of Banks appointed under the Banking Ordinance, 1941 a; (6) in respect of Chapter Ten — means the officer-in-charge within the meaning of that chapter. Import under 56. A charge under these Regulations shall be paid notwithstanding the Encourage• the provisions of section 62 of the Encouragement of Capital Invest• ment of Capital ments Law, 5719-1959 3. Investments Law. 4 Collection. 57. The Taxes (Collection) Ordinance , except section 12, shall apply to the collection of a charge. Power to vary 58. (a) A competent authority may by order prescribe times later times of payment than those prescribed by these Regulations, or additional times, for the and prescribe payment of a charge, as well as the place and modes of payment modes of payment. thereof, and he may also receive from the person liable to the charge an undertaking for its payment and security for the fulfilment of such undertaking. (b) A competent authority may, on such conditions as he may think fit, postpone the date of payment of the whole or part of a stock charge or import charge. (c) The provisions of this regulation shall not apply to a currency charge or import charge. 1) Sefer Ha-Chukkim of 5718, p. 24; LSI vol. XII, p. 24. 2) P. G. of 1941, Suppl. I, p. 85 (English Edition). 3) Sefer Ha-Chukkim of 5719, p. 234; LSI vol. XIII, p. 258. 4) Laws of Palestine vol. II, cap. 137, p. 1399 (English Edition). 190 59. A person liable to a charge who does not pay the whole or part Payment of thereof at the time at which he is required to pay it shall pay interest interest. at the rate of 16 per cent per annum from the day prescribed for the payment of the charge to the day of actual payment; and for the purposes of collection, interest shall be treated as a charge. 60. Where the whole or part of a currency charge is not paid at the Freezing of time prescribed by these Regulations, the competent authority may, foreign currency. pending its payment, prohibit the transfer of the ownership or possession of the working capital or foreign currency on which the charge is due. Freezing order ־Where a dealer does not pay the whole or part of a stock charge .61 fuel charge or import charge at the time prescribed by these Regulations, and payment the competent authority may, pending its payment, prohibit the trans of interest in the case of fer of the ownership or possession of the goods on which the charge import charge is due or any other transaction in respect thereof or, if the goods or stock charge. are in the possession or under the control of the person liable to the charge, the removal thereof from one place to another. CHAPTER TWELVE : PENALTIES AND MISCELLANEOUS PROVISIONS 62. A person liable to a charge and any other person, except a person Delivery of exempt under any law from giving evidence in court shall, upon the information, demand of a competent authority, deliver any information, books, vouchers and other documents. vouchers and other documents which, in the opinion of such authority, are calculated to ensure the implementation of these Regulations. 63. Where any goods were removed from the control of the Customs be Determination fore the determining day, but the taxes, within the meaning of regulation of normal 10, are paid on or after that day, then, for the purpose of determining price in certain cases. such taxes, the normal price of the goods shall be as defined in section 130 of the Customs Ordinance, with an addition of 20 per cent. For the purposes of this regulation, "goods" includes goods im ported into Israel the consideration or part of the consideration for which was paid otherwise than by means of an allocation. 64. (a) A person who does any of the following : Offences (1) for the purposes of these Regulations delivers to a and penalties. competent authority any information, book, voucher or other document which is false in a material particular; (2) conceals, destroys, alters or refuses to deliver any infor mation, book, voucher or other document which he is required to supply under these Regulations; (3) obstructs or prevents a competent authority or his agent from exercising his powers under these Regulations; (4) commits a fraudulent act in order to evade payment of a charge to which he is liable; (5) infringes any of the provisions of these Regulations or any provision or condition laid down by virtue thereof, 191 , is liable to imprisonment for a term of three years or a fine of 100,000 pounds: Provided that if the offence is committed in connection with a currency charge, the fine shall be three times the value at the new rate of the foreign currency in connection with which the offence is committed or 100,000 pounds, which• ever is more, and if the offence is committed in connection with an import charge, stock charge or fuel charge or in connection with the maintenance of price stability, the fine shall be five times the value of the goods in connection with which the offence is committed or 100,000 pounds, whichever is more. (b) Where in the course of the business of a person liable to a charge an offence under these Regulations,is committed by any clerk, worker, factor, agent or representative of such person, such person shall bear responsibility unless he proves that he took all reasonable steps to ensure compliance with these Regulations or that the offence was committed without his knowledge. (c) Where an offence under these Regulations is committed by a body of persons, every person who at the time of its commission was an active director or a partner, accountant or responsible official of that body shall also be responsible for the offence unless he proves that he took all reasonable steps to ensure compliance with these Regulations or that the offence was committed without his knowledge. Composition. 65. Where a competent authority is satisfied that a person has con• travened any! of the provisions of these Regulations, he may, with the consent of that person, accept from him a monetary composition not exceeding the highest fine permitted to be imposed for the offence. Where an information has been filed against such a person, a composi• tion for the offence shall not be accepted so long as the Attorney- General has not given notice of a stay of the proceedings. Saving of laws. 66. The provisions of these Regulations shall be in addition to any other law. Regulations. 67. The Minister of Finance and the Minister of Commerce and Industry may make regulations as to any matter relating to the im• plementation of these Regulations. Citation. 68. These Regulations shall be cited as the Emergency Regulations (Arrangements Following Change in Rate of Currency), 5731-1971. 192 FIRST SCHEDULE (Regulation 1) Kinds of currency Dollars of the U.S.A. Norwegian kroner Canadian dollars Dutch guilders Pounds sterling German marks Australian dollars Finnish markkaa South African rands Austrian schillings Swiss francs Belgian francs French francs Italian lire Danish kroner Jordanian dinars ' Swedish kronor SECOND SCHEDULE (Regulation 28) Amount Fuel Product Unit of Charge (in pounds) Petrol 83 octane Litre 0.015 Petrol 94 octane Litre 0.02 Solar oil 1,000 litres 13.00 Solar oil at fuel station Litre 0.015 Fissioned solar oil 1,000 litres 13.00 Diesel oil 1,000 litres 12.50 Special light mazut 1,000 litres 11.50 Condensed petroleum gas (including home delivery and installation of container, but not including service) 12 kg. container Container 0.52 12.5 kg. container. Container 0.30 Petrol with special boiling point, kept at marketing company's warehouse (hereinafter : "at ware• house") in Haifa Litre 0.02 Light mazut at warehouse 1,000 litres 10.00 Heavy mazut Metric ton 10.00 Mazut kept at undertaking consuming over 100,000 tons of heavy mazut annually Heavy Metric ton 10.00 Light Metric ton 11.00 Kerosene 1,000 litres 20.00 Kerosene Litre (at fuel 0.02 station) THIRD SCHEDULE (Regulation 33) 1. Lighthouse, berthage, anchorage, pilotage and tugging fees under Article One of Chapter Seventeen of the Ports Regulations and Part Two of the Fifth Schedule thereto. 2. Refuse removal fees under Article Three of Chapter Seventeen of the Ports Regulations. 3. Passenger and passengers' luggage fees under Article Fourteen of Chapter Seventeen of the Ports Regulations. 4. Fees for the use of equipment, under Article Sixteen of Chapter Seventeen of the Ports Regulations and Part Five of the Fifth Schedule thereto. 5. Fees for services specified in section 27 of the Fifth Schedule to the Ports Regulations. GOLDA MEIR PINCHAS SAPIR PINCHAS SAPIR Prime Minister Minister of Finance Minister of Commerce and Industry SHNEUR ZALMAN SHAZAR President of the State BUDGET (1971/72) LAW, 5731-1971 Budget for 1. The Government is authorised to expend in the financial year the year beginning the 6th Nisan, 5731 (1st April, 1971) and ending the 16th 1971/72. Nisan, 5732 (31st March, 1972) (hereinafter referred to as "the fin• ancial year 1971/72") an amount of 13,423,000,000 pounds (herein• after referred to as "the Budget"). Additional 2. Notwithstanding the provisions of section 1, the Government may expenditure. expend in the financial year 1971/72, with the prior approval of the Finance Committee of the Knesset (hereinafter referred to as "the Committee"), additional amounts for purposes prescribed by the Com• mittee, provided that it appears to the Committee that the amounts necessary to cover the additional expenditure will be received. Breakdown of 3. (a) The breakdown of the amount of the Budget into parts, and Budget. of each part into heads, subheads and items of expenditure shall be as set out in the First Schedule. * Passed by the Knesset on the 28th Adar, 5731 (25th March, 1971), and published in Chukkei Taktziv No. 54 of the 21st Iyar, 5731 (16th May, 1971) p. 3; the Bill and Explanatory Note were published in Chukkei Taktziv (Hatza'ot) No. 51 of 5731, p. 2. 194 (b) In this section and the further part of this Law — (1) "head of expenditure" means every amount of expenditure marked with two figures ; (2) "subhead of expenditure" means every amount of ex• penditure or reduction of expenditure marked with four figures; (3) "item of expenditure" means every amount of expendi• ture or reduction of expenditure within a subhead of ex• penditure. 4. The Committee shall, upon the proposal of the Minister of Fin• Special ance, decide upon the purposes for which the amounts appropriated Budgets. under head ,of expenditure 28, "Special Budgets", and the amounts which will be added to that head of expenditure by virtue of section 9 (f) shall be used. 5. (a) The amount appropriated under head of expenditure 06, Security "Ministry of Defence", is hereinafter referred to as the "Security Bud• Budget. get". The breakdown of the Security Budget into subheads of expendi• ture and items of expenditure shall be prescribed by a joint committee of the Finance Committee and the Foreign Affairs and Security Com• mittee of the Knesset upon the proposal of the Government. (b) The Security Budget may include amounts of earmarked revenue and a budget for business enterprises. In that case, the provis• ions of section 6 and 8 shall apply mutatis mutandis. 6. In addition to the amount which is authorised to expend under Earmarked section 1 and 2, the Government may expend in the financial year revenue. 1971/72 every one of the amounts of estimated receipts set out in the Second Schedule, so long as the amount expended for a particular purpose does not exceed the actual amount of receipts received for that purpose by the expiration of two months from the expiration of the financial year. If the Minister of Finance considers that any amount of receipts set out in the Second Schedule will exceed the estimate or that any additional receipts, outside the said of estimated receipts, will be received, he may, by notice to the Committee, permit the ad• ditional amounts to be expended in accordance with the purposes for which the additional receipts were received : Provided that an amount exceeding 200,000 pounds shall not be expended for any one purpose without the prior approval of the Committee. 7. (a) If the transferred revenue from purchase tax exceeds Transferred 42,800,000 pounds, the Government may expend the excess revenue revenue. within six months from the expiration of the financial year 1971/72 for the purpose set out in head of expenditure 40 "Local Authorities"; the same applies if the transferred revenue from vehicle licence fees exceeds 33,600,000 pounds of if the transferred revenue from land appreciation tax exceeds 7,000,000 pounds. (b) In this section, "transferred revenue from purchase tax" means 195 5 per cent of the total amount of revenue received from purchase tax, "transferred revenue from vehicle licence fees" means 42 per cent of the total amount of revenue received, from vehicle licence fees, and "transferred revenue from land •appreciation tax" means one third of the total amount of revenue received from land appreciation tax, not in• cluding additional tax. Business 8. (a) In addition to the amounts which it is authorised to expend Enterprses under sections 1, 2, 6 and 7, the Government may expend in the fin• Budget. ancial year 1971/72 the amounts specified in the second part of the Third Schedule (such amounts hereinafter referred to as "the Business Enterprises Budget"). The breakdown of the Business Enterprises Bud• get into heads, subheads and items of expenditure shall be as set out in that part. (b) The estimated receipts to cover the Business Enterprises Bud• get for the financial year 1971/72 shall be as set out in the first part of the Third Schedule. (c) If the Minister of Finance considers that any amount of receipts set out in the first part of the Third Schedule will exceed the estimate or that any additional receipts, outside the said amounts of estimated receipts, will be received, he may, by notice to the Com• mittee, prescribe the purposes for which the additional amounts of revenue shall be expended: Provided that an additional amount ex• ceeding 200,000 pounds shall not be expended without prior approval of the Committee. (d) Notwithstanding the provisions of section 14 (b), an amount appropriated under the Business Enterprises Budget to- the payment of the consideration for any work, service of property shall be deemed to have been expended when the work has been carried out or the service or property for which it is intended to be paid received. (e) In this section, "receipts" includes the value of the services rendered and property supplied in the financial year 1971/72. Variations. 9. (a) Upon the proposal of the person in charge of any head of expenditure in any Schedule, except the head of expenditure of the Knesset, the Minister of Finance may — (1) transfer, by notice to the Committee, any amount from one subhead to another or a newly added subhead of that head of expenditure: Provided that the aggregate of the amounts transferred from one subhead to another or to a newly added subhead shall not without the approval of the Committee exceed 100,000 pounds; (2) transfer any amount from one item to another or a newly, added item of the same subhead of that head: of ex• penditure : Provided that the aggregate of the amounts, trans• ferred from one item to another or a newly added item shall not without the approval of the Committee exceed 400,000 pounds. 196 (b) Upon the proposal of the person in charge of any head of expenditure, the Minister of Finance may increase the amount of expenditure under any item of that head by any amount used for financing the purpose of that item, or may add a new item formed by an amount used as aforesaid, whether such amount so used has been appropriated under the same or another head: Provided that an amount of expenditure under any item shall not be increased by more than 400,000 pounds, and a new item exceeding 400,000 pounds shall not be added, without the approval of the Committee. (c) For the purposes of this section and the further part of this Law, the person in charge of a head of expenditure shall be — (1) in respect of the Office of the President of the State — the person appointed in that behalf by the President; (2) in respect of any other head of expenditure — the Minister designated in that behalf by the Government or the person appointed in that behalf by that Minister. (d) In the head of expenditure of the Knesset, the Committee may, upon the proposal of the Chairman of the Knesset, transfer any amount from one subhead or item to another or to a newly added item. (e) The Minister of Finance may, by notice to the Committee — (1) transfer any amount from one head or subhead of ex• penditure set out in the First Schedule to another in so far as such is required by changes in the structure or functions of Government Ministries, provided that the amounts trans• ferred as aforesaid are expended for the purposes to which they were appropriated; the same shall apply in the event of changes in the structure or functions of business enterprises; (2) vary the marking of heads, subheads and items of ex• penditure, provided that no change is made in the purpose to which the amount is appropriated and that an amount defined as an item or subhead is not defined as a head, or vice versa. (f) The Minister of Finance may, in consultation with the Com• mittee, transfer any amount from any item to head of expenditure 28, "Special Budgets". 10. (a) The Minister of Finance may, by notice to the Committee, useof prescribe the purposes for which the amounts of the General Reserve Set out in head of expenditure 25 shall be expended. The same shall apply with regard to the amounts set out in head of expenditure 83, "Reserve for Development Expenditure" : Provided that they shall only by expended for the purposes of heads of expenditure set out in Part C of the First Schedule. (b) The Minister of Finance may, with the approval of the Committee, prescribe the purposes for which the amounts set out in 197 head of expenditure 81, "Frozen Development Schemes", shall be ex• pended : Provided that they shall only be expended for the purposes of heads of expenditure set out in Part C of the First Schedule. Use of surpluses 11. (a) Where a surplus remains under any of the heads of expenditure of 1970/71 set out in the Budget (1970/71) Law, 5730-1970 1 other than a head of Budget. ) expenditure as referred to in subsection (c), the Minister of Finance may permit it to be used, within three months from the expiration of the financial year 1970/71, for the purpose to which it was appropriated or — having regard to the provisions of section 8 of the said Law — for another purpose within the scope of that head of expenditure. (b) Where a surplus as referred to in subsection (a) remains after the expiration of three months from the expiration of the financial year 1970/71, the Minister of Finance may, with the prior approval of the Committee, permit it to be used until the expiration of the financial year 1971/72 for a purpose within the scope of the same head of expenditure. (c) Where a surplus remains under any head of expenditure set out in the Budget (1970/71) Law, 5730-1970, and intended for payment for any work carried out or service or property received within the financial year 1970/71, the Minister of Finance may, by notice to the Committee, permit if to be used during the financial year 1971/72 for the purpose to which it was appropriated. (d) Where the use of a surplus has been permitted under sub• section (a), (b) or (c), the amount permitted to be expended shall be added to the Budget for the financial year 1971/72 as if it were a part thereof. Special 12. (a) Where a surplus remains under any of the items set out in the surpluses. Budget (1970/71) Law, 5730-1970, and enumerated in the Fourth Schedule (such enumeration hereinafter referred to as the "Special Surpluses List"), the Minister of Finance may permit it to be used, within three months from the expiration of the financial year 1970/71, for the purpose to which it was appropriated. (b) Where a surplus as referred to in subsection (a) remains after the expiration of three months from the expiration of the financial year 1970/1971, the Minister of Finance may, with the prior approval of the Committee, permit it to be used until the expiration of the financial year 1971 /1972 for the purpose to which it was appropriated. (c) The Minister of Finance may, with the prior approval of the Committee, add items to the Special Surpluses List. (d) Where the use of a surplus has been permitted under sub• section (a) or (b), the amount permitted to be expended shall be added to the Budget for the financial year 1971/72 as if it were a part thereof. Report of 13. Within eleven months after the expiration of.the financial year receipts and 1971/72, the Minister of Finance shall submit to the Committee a re- expenditure. 1) Chukkei Taktziv No. 52 of 5730, p. 3; LSI vol. XXIII, p. 169. 198 port of the receipts collected and expenditure incurred under the Budget and Business Enterprises Budget for that financial year. The report shall be drawn up in a form enabling a comparison of the expenditure incurred with the heads and subheads of expenditure. 14. (a) An amount appropriated shall be deemed to have been ex- Appropriated pended when the person entitled to such amount has been sent a notifi- amount deemed • to expenditure cation that his account with the Accountant-General has been credited therewith. (b) An amount appropriated to the payment of the consideration for any work, service or property shall be deemed to have been ex• pended when the work has been carried out or the service or property for which it is intended to be paid has been received, provided that it is paid by the expiration of two months from the expiration of the financial year. (c) In this section, "property" means immovable and movable property, and the lease or hire thereof. 15. (a) Wherever in the title of any item or subhead in the First Schemes. Schedule or Third Schedule reference is made to amounts described as a "scheme" or "scheme of obligations" (each hereinafter referred to as a "scheme"), the Government may only act or incur obligations within the limits of those amounts. (b) Upon the proposal of the person in charge of any head of expenditure, the Minister of Finance may, with the approval of the Committee, increase the amounts referred to in subsection (a). (c) The Minister of Finance may, with the prior approval of the Committee, add a new scheme. (d) Upon the proposal of the person in charge of any head of expenditure, the Minister of Finance may, by notice to the Com• mittee, transfer any amount from one scheme to another or to a new scheme added to that head of expenditure : Provided that the ag• gregate of the amounts transferred from one scheme to another or to a new scheme shall not without the approval of the Committee exceed 1,000,000 pounds. (e) Within four months from the expiration of the financial year 1971/72, the person in charge of any head of expenditure shall sub• mit to the Minister of Finance a report of the obligations incurred by him under a scheme. The report shall be drawn up in a form en• abling a comparison of the obligations actually incurred with the scheme. 16. (a) The Minister of Finance is charged with the implementation Implementation, of this Law and may make regulations as to any matter relating to such implementation. (b) The Minister of Finance may delegate any of his powers under this Law, including the power to make regulations prescribing rules for the fiscal administration and accountancy of the State, but not including the power to make regulations with legislative effect. 199 משיד המשפטים מםמך זה הינו העתק שנסרק בשלמותו ביום ובשעה המצוינים . בסריקה ממוחשבת מהימנה מהמסמך המצוי בתיק, בהתאם לנוהל הבדיקות במשרד המשפטים. על החתום « 9ן 00>0.0ד05ו40ת3^22 ~~ ^'"" * משרד המשפטים (התימה מוסדית). Commencement. 17.. This Law shall have effect from the 16th Nisan, 5731 (1st April, 1971). Publication of 18. This Law shall be published in Reshumot within two months from Law• the date of its adoption by the Knesset. REVENUE GRAND TOTAL 13,433,000,000 Part A Ordinary Revenue 9,878,900,000 Part B Transferred Revenue 255,100,000 Part C Revenue from Loans and from Capital Account 3,289,000,000 Part A Ordinary Revenue ... 9,878,900,000 Taxes, Fees for Licences and Services ... 7,355,900,000 01 Income Tax 2,948,000,000 56 Savings Loan ...... 584,000,000 57 National Defence Loan 478,000,000 03 Land Appreciation Tax and Additional Tax 25,000,000 1. Land Appreciation Tax 21,300,000 2. Additional Tax ... 10,700,000 04 Property Tax and Compensation Fund ... 252,000,000 05 Transferred to War Damage Compensa• tion Tax Fund (—)69,000,000 06 Estate Duty 11,000,000 11 General Customs and Charge on Imports 1,487,000,000 12 Fuel (including Equalisation Fund) ... 281,000,000 13 Purchase Tax (95 p. ct.) 813,200,000 14 Excise Duty 248,000,000 1. Tobacco 154,000,000 2. Liquors ... 32,000,000 3. Cement 62,000,000 15 Foreign Travel Tax 60,000.000 16 Revenue Stamp Duty 134,000,000 1. Stamp Duty 132,000,000 2. Tickets of Admission to Entertainments ... 2,000,000 21 Defence Stamp Impost ' 114,000,000 22 Land Registry 39,000,000 23 Licence Fees and Other Fees 122,400,000 1. Fees of Ministry of Justice' 32,000,000 2. Vehicles (58 p. ct.) ... 46,400,000 3. Driving 18,000,000 4. Licence Fees and Other Fees of Various Government Minis• tries 26,000,000 200 Revenue Transferred to Part B (—) 171,700,000 Collections o/a Interest 362,937,000 27 Interest , 247,000,000 28 Interest from Business Enterprises and Eco nomic Units 115,937,000 , 1. Postal Enterprises ... ' 60,000,000 2. Trading Account (Food) 20,000,000 3. Israel Railways ... 6,783,000 4. Lod Airport 3,554,000 5. Water Projects ... 22,000,000 6. Broadcasting Author ity 1,600,000 7. Economic Units ... 2,000,000,000 Sundry Revenue ... 298,204,000 31 Profits of Bank of Israel 50,000,000 34 Royalties from Postal Enterprises 76,550,000 35 Allocations by Business Enterprises and Economic Units for Pensions and Com pensation 48,884,000 1. Postal Enterprises ... 30,549,000 2. Israel Railways 4,531,000 3. Israel Lands Admin istration 1,208,000 4. Lod Airport 1,460,000 5. Public Works Depart ment • 4,136,000 6. Economic Units 7,000,000 36 Revenue Transferred o/a Pensions and Compensation (to Part C) (—)20,000,000 37 Repayments o/a Budget of Earlier Years 20,000,000 38 Revenue from Sundry Services 122,770,000 55 Advance Payments from Bank of Israel 650,000,000 Revenue Transferred from Part C 1,211,859,000 Part B Transferred Revenue ...... 255,100,000 13 Direct to Local Authorities 195,500,000 1. Vehicle Licence Fees (21 p. ct.) 16,800,000 2. Property Tax Com pensation (4.424 p.ct)i ' 171,700,000 3. Land Appreciation Tax (1/3)..... 7,000,000 23 By Way of General Grant-in-Aid (Min istry of the Interior) 59,600,000 1. Vehicle Licence Fees (21 p. ct.)...... 16,800,000 2. Purchase Tax (5 p. ־ ct.) 42,800,000 201 Part C Revenue from Loans and from Capital 3,289,000,000 Account 43 Development Loans and Food Surpluses 945,000,000 from the U.S. Government • ... 44 Foreign Loans 1,680,000,000 45 Collection o/a Loans (Principal) 489,000,000 46 Revenue o/a Depreciation 62,344,000 1. From Postal Enter• prises 39,810,000 2. From Israel Railways 2,675,000 3. From Aerodromes ... 6,719,000 4. From Water Projects 7,000,000 5. From P.W.D...... 2,315,000 6. From Broadcasting Authority 1,700,000 7. From Other Economic Units 2,125,000 47 Repayments o/a Participation in Invest• ments — from Postal Enterprises 74,450,000 48 Revenue of Israel Lands Administration 19,065,000 49 Loans for Productive Investments — from National Insurance Institute 657,00,000 50 Loans from War Damage Compensation Tax Fund 59,000,000 53 - Internal Loans from Emissions and Banks 495,000,000 54 Revenue Transferred o/a Pensions and Compensation (from Part A) 20,000,000 Revenue Transferred to Part A (—) 1,211,859,000 FIRST SCHEDULE EXPENDITURE GRAND TOTAL 13,423,000,000 Part A Ordinary Expenditure 10,113,900,000 Part B Transferred Expenditure 248,100,000 Part C Expenditure for Development Budget and Payment of Debts; Special Expenditure 3,061,000,000 Part A Ordinary Expenditure 10,113,900,000 Expenditure for Ministries 7,444,015,000 01 President of the State and > President's Office 1,400,000 02 Knesset ... 8,770,000 03 Government Members 800,000 04 Prime Minister's Office 29,900,000 44 Atomic Energy Commission 51,600,000 24 Contribution to Budget of Broadcasting Authority 2,000,000 05 Ministry of Finance 115,950,000 06 Ministry of Defence 5,193,400,000 07 Ministry of Health 221,550,000 34 Ministry of Posts 500,000 08 Ministry of Religious Affairs 26,738,000 09 Ministry of Foreign Affairs 94,100,000 10 Ministry of Education and Culture ... 651,478,000 11 Ministry of Agriculture 54,720,000 39 Ministry of Immigrant Absorption 20,505,000 13 Ministry of Commerce and Industry ... 59,000,000 15 Ministry of Police 172,610,000 16 Ministry of Justice 33,400,000 17 Ministry of Social Welfare 81,650,000 18 Ministry of Labour 94,716,000 38 National Insurance Institute 120,900,000 19 Ministry of Development 12,200,000 20 Ministry of the Interior 22,000,000 30 Ministry of the Interior — Local Author• ities 70,000,000 21 State Comptroller's Office 9,275,000 36 Ministry of Housing 19,250,000 22 Ministry of Transport 26,040,000 12 Contribution to Railways Budget 18,500,000 32 Grants and Repayments to Transport ... 11,500,000 14 Ministry of Tourism 17,620,000 Pensions to Nazi Victims and Invalid Carriages 44,250,000 33 Benefits and Compensation 79,000,000 25 General Reserve 78,693,000 26 Subsidies for the Encouragement of Agri• cultural Production and for the Reduc• tion of the Prices of Essential Commodi• ties and Services 290,000,000 27 Encouragement of Exports and Develop• ment of Foreign Markets 810,000,000 28 Special Budgets 450,311,000 29 Payment of Interest ... 1,099,574,000 31 Sundry Expenditure 20,000,000 Part B Transferred Expenditure 248,100,000 40 Local Authorities 248,100,000 Part C Expenditure for the Development Budget and the Payment of Debts; Special Ex• penditure 3,061,000,000 Expenditure for Development Schemes ... 1,913,000,000 50 Agriculture 54,000,000 53 Water Projects 49,825,000 56 Minerals, Mines and Electricity 29,465,000 63 Industry and Handicraft 153,150,000 203 65 Transport 145,440,000 68 Posts ...... 148,500,000 70 Housing 785,000,000 72 Development and Rehabilitation of Roads 72,250,000 74 Buildings for Public and Government In• stitutions ... 132,081,000 Medical Institutions ... 32,550,000 Social Welfare Institutions 4,025,000 Educational Institutions... 43;750,000 Institutions of Higher Education 30,625,000 Vocational Training ... 6,125,000 Homes for Working Wo• men's Children 1,000,000 Religion Institutions ... 1,550,000 Law Courts 1,356,000 Police and Prisons 4,813,000 Government Buildings ... 6,287,000 76 Local Authorities ' 43,100,000 78 Tourism — ... ; 24,100,000 79 Various Enterprises 18,625,000 80 Petroleum Pipelines and Drillings 9,800,000 81 Frozen Development Schemes 200,000,000 83 Reserve for Development Expenditure 47,664,000 Payment of Debts and Special Expendi ture 1,148,000,000 84 Payment of Debts ... 1,116,349,000 85 Supplies, Budgetary Funds for Short-Term Financing .;. ... 31,651,000 (The remainder of the First Schedule, containing the further breakdown of the expenditure side of the Budget, and the Second, Third and Fourth Schedules, for the subject-matter of which see sections 6, 8 and 12, respectively, of this Law are omitted in this translation). GOLDA MEIR PINCHAS SAPIR Prime Minister Minister of Finance SHNEUR ZALMAN SHAZAR President of the State INDEX OF LAWS IN THE ORDER OF THE DATES OF THEIR ADOPTION BY THE KNESSET Title of Law Date of Adoption by Knesset State of Israel Bonds (Fifth Develop• ment Issue) Law- 12 th Cheshvan, 5731 (11th November, 1970) State of Israel Bonds (Third Develop• ment Investment Issue) Law 12th Cheshvan, 5731 (11th November, 1970) Purchase Tax (Goods and Services) (Amendment No. 5) Law 26th Cheshvan,,5731 (25th November, 1970) Securities (Amendment No. 2) Law 9th Kislev, 5731 (7th December, 1970) Emergency Regulations (Extension of Reserve Service Age) (Extension of Validity) Law 9 th Kislev, 5731 (7th December, 1970) Contracts (Remedies for Breach of Con• tract) Law 17th Kislev, 5731 (15 th December, 1970) Standards (Amendment No. 2) Law 23rd Kislev, 5731 (21st December, 1970) Emergency Regulations (Control of Ships) (Amendment) (Extension of Validity) Law 1st Tevet, 5731 (29th December, 1970) Emergency Regulations (Areas ; Held by the Defence Army of Israel — Crim• inal Jurisdiction and Legal Assist• ance) (Extension of Validity) Law 2nd Tevet, 5731 (30th December, 1970) Encouragement• of Capital Investments (Amendment No. 8) Law 7th Tevet, 5731 (4th January, 1971) Law and Administration Ordinance (Amendment No. 13) Law 15 th Tevet, 5731 (12th January, 1971) Legislation as to Local Authorities (Amendment) Law 15 th Tevet, 5731 (12th January, 1971) State Service (Discipline) (Amendment No. 2) Law 16th Tevet, 5731 (13th January, 1971) Sale (International Sale of Goods) Law 22nd Tevet, 5731 (19th January, 1971) Refund of Payments (Television Fees) Law 29th Tevet, 5731 (26th January, 1971) Air Navigation (Offences and Jurisdic• tion) Law 27th Shevat, 5731 .(22nd February, 1971) Evidence Ordinance (Amendment No. 8) Law 27th Shevat, 5731 (22nd February, 1971) Medical Professions (Fees) Law 29th Shevat, 5731 (24th February, 1971) Hours of. Work and Rest (Amendment No. 2) Law 29th Shevat, 5731 (24th February, 1971) Advance Payment Law 27th Adar, 5731 (24th March, 1971). . Property Tax and Compensation Fund (Amendment No. 5) (Amendment No. 2) Law 27th Adar, 5731 (24th March, 1971) Defence Loan Law 27th Adar, 5731 (24th March, 1971) 205 Title of Law Date of Adoption by Knesset Savings Loan Law 27th Adar, 5731 (24th March, 1971) Savings Loan (Amendment) Law 27th Adar, 5731 (24th March, 1971) Land Appreciation Tax (Amendment No. 4) Law 27th Adar, 5731 (24th March, 1971) Employment Service (Amendment) Law 27th Adar, 5731 (24th March, 1971) Criminal Code Ordinance (Amendment No. 31) Law 27th Adar, 5731 (24th March, 1971) Criminal Code Ordinance (Amendment No. 32) Law 27th Adar, 5731 (24th March, 1971) Traffic Ordinance (Amendment No. 11) Law 27th Adar, 5731 (24th March, 1971) Budget (1971/72) Law 28th Adar, 5731 (25th March, 1971) Probation Ordinance (Amendment) Law 28th Adar, 5731 (25th March, 1971) Chief Rabbinical Council (Temporary Provision) Law 28th Adar, 5731 (25th March, 1971) Dangerous Drugs Ordinance (Amend ment No. 3) Law 28th Adar, 5731 (25th March, 1971) Tenants' Protection (Miscellaneous Pro visions) (No. 2) Law 3rd Nisan, 5731 (29th March, 1971) Income Tax Ordinance (Amendment No. 16) Law 4th Nisan, 5731 (30th March, 1971) Defence Impost (Amendment No. 3) Law 4th Nisan, 5731 (30th March, 1971) State Service (Benefits) (Transitional (30th March, 1971) 5731׳ ,Provisions) Law 4th Nisan Broadcasting Authority (Amendment No. 3) Law 4th Nisan, 5731 (30th March, 1971) National Defence Loan (Amendment No. 3) Law 5th Nisan, 5731 (31st March, 1971) Emergency Regulations (Possession and Presentation of Identity Certificate) (Extension of Validity) Law 5th Nisan, 5731 (31st March, 1971) State Comptroller (Amendment No. 5) Law 5th Nisan, 5731 (31st March, 1971) Auditors (Amendment) Law 5 th Nisan, 5731 (31st March, 1971) Nationality (Amendment No. 3) Law 22nd Iyar, 5731 (17th May, 1971) Courts (Amendment No. 4) Law 2nd Sivan, 5731 (26th May, 1971) Penal Law (Modes of Punishment) (Amendment) Law 29th Sivan, 5731 (22nd June, 1971) National Insurance (Amendment No. 6) Law 8th Tammuz, 5731 (1st July, 1971) Emergency Regulations (Compulsory Payments) (Amendment) Law 8th Tammuz, 5731 (1st July, 1971) Banking Ordinance (Amendment No. 8) Law 8th Tammuz, 5731 (1st July, 1971) Invalids (Pensions and Rehabilitation) (Amendment No. 6) Law 8th Tammuz, 5731 (1st July, 1971) 206 Title of Law Date of Adoption by Knesset Fallen Soldiers' Families (Pensions and Rehabilitation) (Amendment No. 7) Law 8th Tammuz, 5731 (1st July, 1971) Youth (Trial, Punishment and Modes of Treatment) Law 21st Tammuz, 5731 (14th July, 1971) Defence (Finance) Regulations (Con• tinuance in Force) Law 27th Tammuz, 5731 (20th July, 1971) Compulsory Education (Temporary Pro• vision) Law 29th Tammuz, 5731 (22nd July, 1971) Defence Service (Amendment No. 7) Law 4th Av, 5731 (26th July, 1971) Emergency Regulations (Registration and Mobilisation of Equipment) (Amend• ment) Law 4th Av, 5731 (26th July, 1971) Copyright Ordinance (Bringing into Force and Amendment No. 3) Law 4th Av, 5731 (26th July, 1971) Companies Ordinance (Amendment No. 12) Law 4th Av, 5731 (26th July, 1971) Firearms (Amendment No. 4) Law 4th Av, 5731 (26th July, 1971) Yad Yitzhak Ben-Zvi (Amendment) Law 4th Av, 5731 (26th July, 1971) Labour Courts (Amendment) Law 4th Av, 5731 (26th July, 1971) Movable Property Law 5th Av, 573,1 (27th July, 1971) Sale (Amendment) Law 5th Av, 5731 (27th July, 1971) Hire and Loan Law 5th Av, 5731 (27th July, 1971) Welfare Legislation Amendment (Chief Welfare Officers) Law 5th Av, 5731 (27th July, 1971) Chamber of Advocates (Amendment No. 6) Law 5th Av, 5731 (27th July, 1971) Chamber of Advocates (Amendment No. 7) Law 5th Av, 5731 (27th July, 1971) Chief Rabbinical Council (Temporary Provision) (Amendment) Law 5th Av, 5731 (27th July, 1971) Municipalities Ordinance (Amendment No. 11) (Municipal Comptroller) Law 5th Av, 5731 (27th July, 1971) Penal Law Amendment (Birthday) (Amendment No. 5) Law 5th Av, 5731 (27th July, 1971) Emergency Regulations (Arrangements Following Change in Rate of Cur• rency) Law 3rd Elul, 5731 (24th August, 1971) 207 ALPHABETICAL INDEX OF LAWS Title Page A Advance Payment Law, 5731-1971 ... 65 Air Navigation (Offences and Jurisdiction) Law, 5731-1971 ...... 55 Auditors (Amendment) Law, 5731-1971 ...... 109 B Banking Ordinance (Amendment No. 8) (Amendment) Law, 5731-1971 119 Broadcasting Authority (Amendment No. 3) Law, 5731-1971 107 Budget (1971/72) Law, 5731-1971 ...... 194 C Chamber of Advocates (Amendment No. 6) Law, 5731-1971 171 Chamber of Advocates (Amendment No. 7) Law, 5731-1971 173 Chief Rabbinical Council (Temporary Provisions) Law, 5731-1971 ... 84 Chief Rabbinical Council (Temporary Provisions) (Amendment) Law, 5731-1971 ...... 159 Companies Ordinance (Amendment No. 12) Law, 5731-1971 158 Compulsory Education (Temporary Provision) Law, 5731-1971 139 Contracts (Remedies for Breach of Contract) Law, 5731-1970 11 Copyright Ordinance (Bringing into Force and Amendment No. 3) Law, 5731-1971 ... 157 Courts (Amendment No. 4) Law, 5731-1971) 118 Criminal Code Ordinance (Amendment No. 31) Law, 5731-1971 78 Criminal Code Ordinance (Amendment No. 32) Law, 5731-1971 ... 78 D Dangerous Drugs Ordinance (Amendment No. 3) Law, 5731-1971 ... 87 Defence (Finance) Regulations (Continuance in Force) Law, 5731-1971 139 Defence Impost (Amendment No. 3) Law, 5731-1971 104 Defence Loan Law, 5731-1971 67 Defence Service (Amendment No. 7) Law, 5731-1971 140 E Emergency Regulations (Areas Held by the Defence Army of Israel — Criminal Jurisdiction and Legal Assistance) (Extension of Validity) Law, 5731-1970 19 Emergency Regulations (Arrangements Following Change in Rate of Currency) (Extension of Validity) Law, 5731-1971 179 Emergency Regulations (Compulsory Payments) (Amendment) Law, 5731-1971 ... 119 Emergency Regulations (Control of Ships) (Amendment) (Extension of Validity) Law, 5731-1970 •.. 18 208 Title Page Emergency Regulations (Extension of Reserve Service Age) (Extension of Validity) Law, 5731-1970 11 Emergency Regulations (Possession and Presentation of Identity Cer tificate) (Extension of Validity) Law, 5731-1971 108 Emergency Regulations (Registration and Mobilisation of Equipment) (Amendment) Law, 5731-1971 , 149 Employment Service (Amendment) Law, 5731-1971 77 Encouragement of Capital Investments (Amendment No. 8) Law, 5731- 1971 20 Evidence Ordinance (Amendment No. 8) Law, 5731-1971 63 F Fallen Soldiers' Families (Pensions and Rehabilitation) (Amendment No. 7) Law, 5731-1971 121 Firearms (Amendment No. 4) Law, 5731-1971 ... 161 H Hire and Loan Law, 5731-1971 ... 152 Hours of Work and Rest (Amendment No. 2) Law, 5731-1971 65 I Income Tax Ordinance (Amendment No. 16) Law, 5731-1971 102 Invalids (Pensions and Rehabilitation) (Amendment No. 6) Law, 5731- 1971 120 J Jewish Religious Services Law (Consolidated Version), 5731-1971 ... 125 L 167׳ ־ Labour Courts Amendment) Law 5731-1971 Land Appreciation Tax (Amendment No. 4) Law, 5731-1971 76 Law and Administration Ordinance (Amendment No.• 13).Law, 5731- 1971 •. 27 Legislation as to Local Authorities (Amendment) Law, 5731-1971 ... 27 M Medical Professions (Fees for Licences and Permits) Law, 5731-1971 ... 63 Movable Property Law, 5731-1971 175 Municipalities Ordinance (Amendment No. 11) (Municipal Comptroller) Law, 5731-1971 160 N National Defence Loan (Amendment No. 3) Law, 5731-1971 105 National Insurance (Amendment No. 6) Law, 5731-1971 124 Nationality (Amendment No. 3) Law, 5731-1971 117 Title Page ׳-P Penal Law Amendment (Bribery) (Amendment No. 5) Law, 5731-1971 151 Penal Law (Modes of Punishment) (Amendment) Law, 5731-1971 ... 118 Probation Ordinance (Amendment) Law, 5731-1971 85 Property Tax and Compensation Fund (Amendment No. 5) (Amendment No. 2) Law, 5731-1971 ...... 66 Purchase Tax (Goods and Services) Amendment No. 5) Law, 5731-1970 8 • •• R- • Refund of Payments (Television Fees) Law; 5731-1971 55 ... 178 ״. '.. Sale (Amendment) Law, 5731-1971 Sale (International Sale of Goods) Law, 5731-1971 32 76־ ...... Savings Loan' (Amendment) Law, 5731-1971 Savings Loan Law, 5731-1971 71 Securities (Amendment No. 2) Law, 5731-1970 10 Standards (Amendment No. 2)-Law, 5731-1971 • 16 State Comptroller (Amendment No.' 5) Law, 5731-1970 Ill State of Israel Bonds (Fifth Development Issue) Law, 5731-1970 3 State of Israel Bonds (Third Development Investment Issue) Law, 5731- 1970 5 State Service (Benefits) (Transitional Provisions) Law, 5731-1971 ... 105 State Service (Discipline). (Amendment.No. 2) Law, 5731-1971 31 T Tenants' Protection (Miscellaneous Provisions) (No.• 2) Law, 5731-1971 91 Traffic Ordinance (Amendment No. 11) Law, 5731-1971 79 W Welfare Legislation Amendment (Chief Welfare Officers) Law, 5731- 1971 169 Y Yad Yitzhak Ben-Zvi (Amendment) Law, 5731-1971 166 Youth (Trial, Punishment and Modes of Treatment) Law, 5731-1971 128 210 משיד המשפטים מםמך זה הינו העתק שנסרק בשלמותו ביום ובשעה המצוינים . בסריקה ממוחשבת מהימנה מהמסמך המצוי בתיק, בהתאם לנוהל הבדיקות במשרד המשפטים. על החתום « 9ן 00>0.0ד05ו40ת3^22 ~~ ^'"" * משרד המשפטים (התימה מוסדית).