Some of you know that the Israeli Supreme Court recently issued a temporary injunction preventing implementation of the U.S. FATCA law in Israel. See for example Forbes article.
On September 12, 2016 the Israeli Supreme Court, however, quashed the injunction.
Marc Zell, a counsel to the two petitioners (Republicans Overseas and Rina Schreiber) confirmed to me today (September 14) that they have no intention of giving up the FATCA litigation fight in Israel — which will continue. He also reminded me that the lawsuit is in fact still pending as the Israeli Supreme Court has not issued an opinion.
Two surprising statements made by the Justices deserve mention:
1) “Privacy in modern life is very limited,” said Justice Menahem Mazuz, one of three judges who ruled on the matter. “This is nothing new, the only change is that the regulations have now been codified into law.” ["The court ruled that the Israeli law, passed as part of an arrangement with the United States Treasury Department, did not violate Israel’s Basic Laws of Human Dignity and Liberty."]
[Compare the above statement on privacy with a similar argument made by U.S. Treasury Department et al. against the plaintiffs of the U.S. FATCA lawsuit: "...there is no legitimate expectation of privacy concerning information kept in bank records, and the Sixth Circuit has repeatedly reaffirmed as much..."]
2) Justice Hanan Meltzer in part justified the law by noting its acceptance by the United States, saying this created a presumption of constitutionality.
“As long as the US law is in force, there is a presumption of constitutionality in regards to its purposes.” Above from: http://www.israelnationalnews.com/News/News.aspx/217717