{"id":8989,"date":"2025-12-12T11:34:57","date_gmt":"2025-12-12T11:34:57","guid":{"rendered":"https:\/\/adv-yariv.com\/?post_type=mass_media&p=8989"},"modified":"2026-05-13T12:53:42","modified_gmt":"2026-05-13T12:53:42","slug":"sham-sale-agreement-israel-hayom-en","status":"publish","type":"mass_media","link":"https:\/\/adv-yariv.com\/en\/mass_media\/sham-sale-agreement-israel-hayom-en\/","title":{"rendered":"Court Dismissed Construction Company\u2019s Claim Due to a \u201cSham Agreement\u201d"},"content":{"rendered":"\n
\n
\n <\/div>\n <\/section>\n\n\n\n
\n
\n
\n
\n\n
\n\n
\n
In the Press<\/div>\n <\/div>\n \n

\n Court Dismissed Construction Company\u2019s Claim Due to a \u201cSham Agreement\u201d <\/h1>\n \n \n
\n
\n

Below is a review of a significant ruling published in “Israel Hayom,” in which Vaknin Yariv Law Office represented the winning side in a complex real estate dispute.<\/strong><\/p>\n

The Nazareth District Court recently dismissed a claim by a construction company that sought to cancel an apartment sale agreement in Afula. The company argued that the apartment buyers, a couple who had since divorced, paid only the first installment and did not transfer the remaining consideration. However, the defendant, who was represented by Adv. Yariv Vaknin<\/strong>, presented an entirely different version that was accepted by the judges.<\/p>\n

The defendant claimed that the apartment was given to the couple as a benefit by virtue of the husband’s work as the construction manager at the company. The parties therefore signed the agreement for technical reasons only, without any real intent to pay the full consideration stated in it.<\/p>\n

The Court’s Determination: A Sham Agreement Is Not Binding<\/h2>\n

The court accepted the defense’s arguments and ruled that this was a sham sale agreement<\/strong>. This is an agreement signed externally only, but which does not reflect a real transaction or sincere intent between the parties.<\/p>\n

Since the agreement did not reflect the actual understandings, the judge ruled that it has no binding effect on the defendants. As a result of the dismissal of the claim, the court ordered the construction company to pay legal costs of NIS 25,000.<\/p>\n

Sham Real Estate Agreements and Their Implications<\/h2>\n

Sham sale agreements are sometimes common in family transactions or between business parties with trust relationships. However, such agreements may lead to serious legal disputes and far-reaching consequences. We therefore recommend consulting with an experienced real estate attorney before signing any legal document.<\/p>\n

Professional legal advice ensures that:<\/p>\n