Attorneys Yosef Benkel, Nir Shamri, Gary Gorodetsky, and Inbar Herman, with the assistance of intern Yahav Tibi, successfully represented the respondents in a motion for leave to appeal filed with the Supreme Court in the context of a lawsuit brought by investors in a digital health technology venture, who alleged financial losses caused by alleged misrepresentations by the founders.
The motion for leave to appeal concerned a decision of the Haifa District Court regarding the disclosure of documents protected by attorney-client privilege. במסגרת the discovery proceedings, the plaintiffs sought broad document disclosure, including correspondence with regulatory authorities and external legal counsel.
The Supreme Court, per Hon. Justice Khaled Kabub, denied the motion in its entirety and established an important principle whereby the mere transfer of documents by attorneys to third parties – including other law firms and regulatory authorities – does not, in and of itself, negate the application of the privilege.
The Court further held that where the transfer of documents to third parties constitutes an integral part of the process of obtaining legal advice, the privilege remains in force.
The ruling reinforces the protection afforded to confidential communications between attorneys and their clients, even in complex situations involving additional professional parties, and constitutes an important precedent clarifying the boundaries of attorney-client privilege in an era of complex, multidisciplinary legal practice.
Citation: Supreme Court Case No. 69889-05-25 Levi Gretzberg et al. v. Yoram Palti et al.
