The Israeli Parliament (Knesset) recently amended Israel's Communications Law (Bezeq and Broadcasting) 1982 to prohibit the dissemination of email solicitations and other electronic advertisements without the recipient's prior express consent.

The law applies to commercial advertisements that are disseminated by email, fax, automated calling systems or electronic messages (SMS). It applies equally to entities offering the goods or services and entities distributing advertisements on their behalf.

Consent may be obtained either in writing or by electronic message or recorded conversation. Advertisers may make a single contact with recipients to solicit consent. Recipients may revoke their consent at any time, either in writing or in the same medium used for the advertisement.

Communications not prohibited by the law are:

1. Purchases – where the recipient provided his contact information to the advertiser in the course of purchasing goods or services or negotiations for the purchase of goods or services, and the advertiser provided notice that the details so provided would be used for purposes of disseminating advertisements;
2. similar goods or services – advertisements for goods or services similar to those described in 1) above; and
3. opt-out mechanism – the advertiser provided the recipient the opportunity to notify him that he refuses to accept advertisements, either generally or of a particular type, and the recipient did not do so.

In addition, the law requires the inclusion of a clear, conspicuous notice which includes the following:

1. the identification of the message as an advertisement. For email communications, the word "advertisement" must appear in the email subject line;
2. the advertiser's identity and contact information; and
3. means for the recipient to opt out of receiving such communications (including an email address for email advertisements).

Violations of the law carry criminal and civil penalties. Advertisers who disseminate advertisements in violation of the law are subject to a fine of NIS202,000 ($59,000). Failure to comply with the mandatory notice provisions carries a fine of NIS67,300 ($20,000). Managers and individuals responsible for marketing or promotions who do not take sufficient measures to ensure compliance with the law may be personally liable for violations of the law and may also be subject to a fine of NIS67,300. In addition, the law creates a private right of action for violations; in addition to other compensation to which recipients may be entitled, the court is authorized to award recipients statutory damages of NIS1,000 ($300) per email received in knowing violation of the law.

The law will apply under certain circumstances to advertisements that originate from territories outside of Israel. Advertisers who engage in marketing activity in Israel are urged to consider the new law when determining marketing strategy.

Yoheved Novogroder-Shoshan

Yigal Arnon & Co
22 Rivlin Street
Jerusalem 91000
Israel
Tel: +972 2 623 9200
Fax: +972 2 623 9236
barry@arnon.co.il 
www.arnon.co.il