Dismissal of class action lawsuit against software company Cligal Tech Inc.

Congratulations to Doron Dan on an impressive achievement in a class action lawsuit filed against our client, the esteemed software company Cligal Tech Ltd. (which provides legal auxiliary software to businesses engaged in the legal fields), in which it is alleged that it violates the Consumer Protection Law, when it automatically renews the connection to its software, without updating its customers as required and receiving their approval to continue the engagement. In a reasoned and comprehensive decision by the court, the court accepted Doron’s arguments and ordered the dismissal of the request for a class action.
The court accepted Doron’s arguments, and ruled that the applicant was not at all fit to be a class plaintiff, and that she had no personal cause.
The court also ruled that Cligal was able to prove that it contacted all the customers in the alleged group, allowed them to cancel their subscription, and that they confirmed to her that they were not interested in doing so at all, and therefore – no group was interested in conducting the lawsuit.
After determining that Plaintiff did not have a personal claim, the Court denied Plaintiff and her counsel’s motion to replace the Class Plaintiff, with the Court ruling that the replacement of a Class Plaintiff would not be possible when the Class Plaintiff and his counsel could have clearly known from the outset that the Plaintiff had no personal cause of action. Among other things, the court also ruled that, on the face of it, the Consumer Protection Law does not apply to customers who are essentially business owners.