Mutual NDA Template for Israel
Create a mutual NDA compliant with Israeli law. Covers confidential information protection under the Commercial Torts Law 5759-1999 and the Unjust Enrichment Law, with consideration for Israel tech sector practices.
AI-generated draft for review. Not legal advice. Starting at $19.
Legal Requirements in Israel
Must comply with the Commercial Torts Law 5759-1999 (Trade Secrets chapter)
Should reference the Unjust Enrichment Law 5739-1979 for additional protection
Must be consistent with the Protection of Privacy Law 5741-1981 if personal data is involved
Should address Israeli labor law restrictions on post-employment non-compete obligations
Key Statutes & Regulations
- Commercial Torts Law 5759-1999
- Unjust Enrichment Law 5739-1979
- Protection of Privacy Law 5741-1981
- Contracts (General Part) Law 5733-1973
Common Pitfalls
- •Including overly broad non-compete clauses — Israeli labor courts frequently strike these down
- •Not addressing the Commercial Torts Law requirements for trade secret status
- •Failing to account for Israel military/defense sector restrictions on information sharing
- •Using US-style punitive damages provisions which are not available under Israeli law
Local Terminology
- Commercial Tort
- Wrongful act under the Commercial Torts Law including trade secret misappropriation
- Unjust Enrichment
- Legal principle preventing one party from profiting at another expense without legal basis
- Section 6 Trade Secret
- Definition of trade secret under the Commercial Torts Law
How Israel Differs
Israel has specific trade secret protection under the Commercial Torts Law, separate from general contract law
Israeli courts are pro-employee and may limit post-employment confidentiality obligations
The Protection of Privacy Law 5741-1981 adds privacy requirements similar to GDPR
Israel tech sector norms include shorter NDA terms and narrower definitions than US equivalents
Frequently Asked Questions
Are NDAs enforceable in Israel?
▾
Yes. NDAs are enforceable under Israeli contract law and the Commercial Torts Law 5759-1999. However, Israeli courts tend to be pro-employee and may limit the scope of post-employment confidentiality obligations, particularly if they effectively prevent someone from working in their field.
How does Israeli law define trade secrets?
▾
Under Section 5 of the Commercial Torts Law, a trade secret is business information that is not public knowledge, where its secrecy gives the owner a business advantage, and the owner takes reasonable steps to maintain its secrecy. This is similar to the US UTSA definition.
Can I restrict a former employee with an NDA in Israel?
▾
You can protect genuine trade secrets, but Israeli courts closely scrutinize restrictions on former employees. General confidentiality obligations are usually upheld, but non-compete restrictions are heavily limited. The Supreme Court requires balancing employer rights against employee freedom to work.
What language should an Israeli NDA be in?
▾
NDAs in Israel are commonly drafted in both Hebrew and English, especially in the tech sector. If there is a dispute between versions, specify which language version prevails. For international deals, English is typically the governing language.
Available in Other Jurisdictions
Ready to Create Your Mutual NDA?
Describe your deal in plain English. Three AI agents draft, review, and refine your mutual nda for Israel.
Get StartedAI-generated draft for review. Not legal advice.