New rules by the state Consumer Protection Agency will make it easier for Israelis to get out of purchases or deals that they would like to withdraw from. In cases of a one-time purchase, where a consumer purchases a product or service in a single transaction, it is now sufficient for a consumer to verbally tell the seller that he or she wishes to cancel the deal. The law applies to deals between NIS 7,000 and NIS 20,000, depending on the size of the company.
Consumers still have the option to inform sellers in writing – by fax, registered mail, phone or email – that they are ending the deal as well. Options for cancellation must also be included in contracts and/or statements listing the goods or services and their price.
The law requires sellers of products or services to display prominently, in their place of business or online, what the consumer’s options for cancellation are. The law does not apply to ongoing, recurring sales (such as monthly insurance premiums), and vacation sales (hotel rooms). Firms that violate the new rules could be subject to fines of up to NIS 7,000 ($2,000) per violation, according to the rules.