A motion for approval of a class action was filed in Tel Aviv against a website advertising hotel around the world on the basis that it presented misleading data about the rating of a 5-star Israeli hotel in violation of Israeli Law. The website contended that under its terms of use there is an exclusive jurisdiction clause in the Netherlands Court and therefore Israeli Law does not apply, and the Israeli Court has no jurisdiction to hear the case.
The Court rejected the site's contention, stating that when it comes to an international company that markets its goods available to an Israeli customer, makes its website accessible to Israeli customers and publishes hotels in Israel – such company should expect the risk that it will also be sued in Israel. The provision of foreign jurisdiction included in the terms of use that are imposed on customers of the site constitutes an oppressing condition in a uniform contract and should be canceled.
In addition, there is a public interest in protecting Israeli consumers, which justifies that a foreign company marketing its goods on the Internet in Hebrew, particularly "merchandise" in Israel, will be subject at the jurisdiction of Israeli Courts. Finally, in the global era - misleading advertising carried out over the Internet is published "everywhere", and damage caused by this publication may be tried also in Israeli Court.