Supreme Court: Israelis can sue foreign corporations through their “daughter”

In October 2022, a collective lawsuit was filed against the companies in connection with the abuse of their position in the Israeli cigarette market.

The plaintiffs handed the legal documents to the Philip Morris Israel office, however, they refused to accept documents for Philip Morris Switzerland and Philip Morris International.

The magistrate court in February 2024 recognized the fact of submitting documents to all three companies through Philip Morris Israel. The Tel Aviv District Court, which the companies appealed, rejected their appeal, and this week the final decision of the Supreme Court was made: “The foreign maternal company actually operates in the Israeli tobacco market through its Israeli subsidiary, which acts on its behalf and in its interests.”

It should be noted that Israeli courts regularly make decisions on the jurisdiction of global corporations that do not have an official representative office in Israel.