United Mizrahi Bank v. Migdal Cooperative Village

49(4) P.D. 221 (1995)

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United Mizrahi Bank v. Migdal Cooperative Village

Israel Supreme Court
49(4) P.D. 221 (1995)

Facts

After the establishment of Israel in 1948, the government established the Knesset (the Israeli Parliament) as a constitutional convention and the legislature for the state. Although the Knesset failed to pass a formal written constitution, the Knesset did adopt the Harari Resolution authorizing the adoption of the Basic Laws. Once adopted by the Knesset, the Basic Laws gained constitutional status. Between 1958 and 1991, the Knesset passed nine Basic Laws on the structure and power of various governmental bodies. In 1992, however, the Knesset passed the Basic Law: Freedom, enshrining the right to pursue an occupation of one’s choice. The Knesset also passed the Basic Law: Human Dignity and Liberty, enshrining the right to life, human dignity, movement in and out of the country, privacy, and property in 1992. The courts utilized the two Basic Laws from 1992 to codify other rights like freedom of speech. In 1995, the Knesset passed legislation relevant to litigation involving many parties, including the United Mizrachi Bank and the Migdal Cooperative Village. On appeal, three lawsuits came before the supreme court, challenging the relevant statutes. These three appeals considered whether the statutes conflicted with the Basic Law: Freedom and the Basic Law: Human Dignity and Liberty. In a decision consolidating these three cases, the Israel Supreme Court considered whether Israel possessed a constitution and whether the judiciary possessed the power of judicial review under said constitution.

Rule of Law

Issue

Holding and Reasoning (Barak, J.)

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