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FBC represented Mekorot in its lawsuit against the Latrun-Ayalon Water Company in the District Court

By Shai Zadik | May 2016 | Transaction

The District Court (Central District) ruled in favor of Mekorot, represented by our firm in its lawsuit against the Latrun-Ayalon Water Company and granted Mekorot a declaratory judgment.

The Mekorot Water Company Ltd. (hereinafter “Mekorot”), brought an action for the court to grant declaratory relief against the Latrun-Ayalon Water Company (hereinafter the “Respondent”) regarding the Respondent’s breach of its obligations, pursuant to a settlement agreement between the parties, to transfer the rights in the land of the “Taoz” water reservoir to Mekorot.

The District Court ruled in Mekorot’s favor, and ordered the Respondent to deliver within 30 days the required documents to transfer the leasing rights to Mekorot.

Moreover, the Court referred to rulings made against Mekorot in an earlier court proceeding between the parties (in which the Respondent sued for compensation from Mekorot over the use of another water reservoir on the Respondent’s territory), and stated that Mekorot will not be bound by the earlier rulings in any future proceeding and, further, there is a chance that the Respondent will be stopped from petitioning for damages in that matter, a determination that could prevent the Respondent from bringing another action in that case.

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