By: Attorney Moshe Taieb – Lev-Taieb Law Office

Construction Defects and Apartment Sale Law – NIS 1.8 Million Ruling

A significant court ruling awarded NIS 1.8 million to apartment buyers for construction defects and late delivery. The case establishes important principles regarding developer liability, the legal effect of handover protocol signatures, and how compensation is calculated.

The Facts

Apartment purchasers sued the developer for construction defects and delays in delivery. The developer argued that buyers had signed a handover protocol accepting the apartment as-is. The court rejected this argument, ruling that signing the handover protocol does not waive rights under the Apartment Sale Law (Assurance of Investments) for latent defects discovered later.

Key Legal Principles

Under Israel’s Apartment Sale Law, developers remain liable for construction defects for the statutory warranty period regardless of handover documentation signed by buyers. The court established that the handover signature cannot override statutory defect liability.

Compensation Awarded

The court ordered NIS 1.8 million covering repair costs for all defects, delay compensation, and related losses.

Contact Lev-Taieb Law Office

Our firm specializes in apartment and housing litigation. Contact us today for a free consultation.