Schlein Brothers Ltd. is an Israeli company that imports and sells sewing machines.
Yamato is a reputable Japanese sewing machine manufacturer.
Since the 1980’s, the Schlein Company has been buying Yamato sewing machines and selling them in Israel and in the Middle East.
A. Kramer David Ltd. is an industrial company that engages in the manufacturing and design of glass products. The company had employed over a long period of time an employee named Nikolai Glitznikob.
Over the last months of his employment with the company, the employee had established a competing business within the glass manufacturing and design field.
Lior is a well-known businessman. About two years ago, Lior won a franchise agreement of a known food chain. At the time of acquiring the franchise, Lior paid the chain about ILS 2 million, and invested large amounts in opening the local branch. At the time of the acquisition of the franchise, no agreement was signed between Lior and the chain, and no draft agreements were exchanged between the parties, probably due to the good relationship that existed between the parties at the time.
After 10 years of living in rental, Asaf and Yafit decided it was time to buy their own apartment. Over the years, the couple saved up ILS450,000 and they went to the bank to see if they were eligible for a mortgage. After examining Asaf and Yafit’s pay slips, the bank told them they were approved for financing of up to 75% of the purchase price.
Every employer knows that when they fire an employee after more than one year of employment, that employee is due severance pay.
Similarly, every employer is aware that when the company or the business contracts the services of an independent subcontractor, pays them based on an invoice and does not issue them a salary slip, no obligation exists to pay that contractor social benefits or severance pay, since there is no employee-employer relationship between the parties.
Is that really the case?