Yesterday, a court in Israel did what Justice Martineau in Canada failed to do last year.
The Israeli High Court of Justice Bars Preparations to Share Tax Data with U.S.
The article in Haaretz says
The High Court of Justice on Wednesday threw a wrench into the government’s plans for sharing information with the United States about taxpayers after Justice Hanan Meltzer ordered officials to suspend preparatory work.
A day before it was due to go into operation, Meltzer told the state to suspend work in the mechanism it had developed for sharing information on the accounts of U.S. citizens with banks or other financial accounts in Israel.
Finally, someone somewhere had the courage to stand up to the bullies. This is only a temporary injunction until a full hearing no later than September 15. But, it’s a start.
The arguments against FATCA in Israel sound similar to those in Canada.
The plaintiffs told the court that the law violates Israel’s Basic Law on Human Dignity and Liberty, asserting that it contradicts rights to privacy, property and equal treatment. Nor does the law have a compelling public purpose, they said.
It also sounds like the Israeli government’s defense was similar t what the Government of Canada is likely to claim:
In response, the state argued that Israel’s failure to comply with FATCA by the deadline could create severe problems for Israeli banks and others.
One of the lawyers in this case is Mark Zell–who is a co-plaintiff in the U.S. FATCA lawsuit. Many thanks to Mr. Zell and others for their efforts. I hope they succeed in getting a permanent order against the transfer of information.