“Consumer Deception”: El Al Demands Meitav Stop Marketing the FlyAll Credit Card

El Al’s frequent flyer company sent a pre-litigation letter to Cal, demanding that it stop marketing the FlyAll credit card, alleging that it creates a false impression that it is an upgrade from the club card, FlyCard, misleads consumers, and disparages FlyCard. According to the letter, Cal’s actions amount to “deception of the public, an improper comparison between the different club cards, false advertising, and unlawful harm to and exploitation of the extensive reputation El Al has built in the FLYCARD brand.”

The saga began in March 2026, when the frequent flyer company announced that after more than a decade of working together, the club card known as FlyCard was moving from Cal to Isracard. In response, Cal decided to launch its own card in partnership with Issta, competing with El Al’s frequent flyer club card. After El Al announced that the frequent flyer club was moving from Cal to Isracard, Cal demanded that until March 2027 Isracard not carry out any activities with club members under the new agreement.

The matter ended in mediation between the sides, under which FlyCard compensated Cal with NIS 75 million. According to the frequent flyer company, despite the agreements, under which Cal is supposed to continue operating FlyCard cards, the company is trying to move customers to its new FlyAll card. El Al’s frequent flyer club says this is being done aggressively and through deception of the public, an improper comparison between club cards, false advertising, and unlawful exploitation of FlyCard’s reputation.

According to El Al’s frequent flyer company, using the name FlyAll creates confusion between the cards because of the similar name, which gives the impression that it is the same company. It also claims that because both cards are in the aviation sector and allow users to accumulate benefits in tourism and aviation, the situation creates confusion and, in effect, the target customers of FlyAll are actually current FlyCard customers. “The fact that the FLYCARD brand enjoys broad recognition and significant reputation, together with the fact that Cal is issuing a new card with a name that is confusingly similar, all without the customer needing to replace the card in their wallet, leads to a real harm to the distinctiveness of the mark and the reputation attached to it,” the letter says.

El Al’s club also argues that Cal presents its new card as an “upgrade” to the existing FlyCard, even offering to do so at the click of a button, which leads customers to think it is the same product, only in an improved version. To support this, the club cites numerous social media posts in which customers say they clicked the button by mistake and did not understand that they were giving up the card they already had in favor of a new product.

The letter also refers to interviews given by senior Cal executives to media outlets as part of the FlyAll launch, in which they claimed that FlyCard customers do not redeem the points they accumulate, a claim the club says is false. It is also alleged that Cal’s advertising that it is stopping FlyCard customers from accumulating points and diamonds on existing cards because of the upgrade to its card violates the agreements between the parties.

Finally, El Al’s club demands that Cal stop using the name FlyAll, halt the current campaign, remove any advertising related to FlyCard, and take steps to correct the alleged deception caused, in the club’s view. At the same time, El Al’s frequent flyer club issued a clarification on the matter and called on the public to avoid confusion.

“It appears that Cal’s management, under pressure following the business failure that led to the loss of the FlyCard club, chose to respond in an improper way, misleading customers, riding on a brand that is not its own, and making false claims,” said the club’s CEO, Moshe Morgenstern.

Cal said in response: “FlyAll offers Israeli consumers a new, simple, and transparent value proposition, a model in which every point is worth one shekel and a wide range of redemption options, without complex mechanisms and without unnecessary restrictions. El Al’s warning letter is a direct continuation of the attempt to create fear and deter rather than compete through a better value proposition for consumers. Israeli consumers are smart consumers. They know how to compare, check, and decide for themselves, and in the end they will choose the best value proposition for them.”