Court Rejects $3.35 Million Investment Claim Over Unproven Signature

The Tel Aviv District Court on Tuesday dismissed a NIS 3.35 million lawsuit filed by the "Good Brothers We Are" partnership against Yuri Kashdan. The partnership claimed Kashdan had provided a check to guarantee their investment, but the court ruled that it was not proven that he signed it or personally committed to returning the funds.

The partnership had sought the full amount, presenting a check for NIS 3,350,650 as proof of Kashdan's guarantee that their investment would be returned if the value of the shares they received was insufficient. Kashdan, however, argued that he had provided a blank check, unsigned and incomplete, intended only to demonstrate his confidence that the company would allocate the promised shares and options to investors. He denied any personal obligation to repay the investment.

The court found that the partnership failed to prove Kashdan's signature on the check. None of their witnesses saw him sign it, and no handwriting expert testimony was presented. Judge Shaked compared the signature on the check to other known examples of Kashdan's signature and found it "looks completely different," though the court did not rule the signature forged, only unproven.

Furthermore, the court stated that even if Kashdan had signed the check, the lawsuit would still have been dismissed. The court accepted Kashdan's version that the check was meant to guarantee the allocation of shares and options at a nominal price, a commitment that was fulfilled. The ruling noted inconsistencies and a lack of coherence in the partnership's witnesses' testimonies regarding Kashdan's alleged commitment, and highlighted the absence of any written agreement where Kashdan pledged to repay millions of shekels.

As a result, the court rejected the lawsuit entirely and ordered the partnership to pay Kashdan NIS 150,000 in legal costs.