Israel's Supreme Court Closes Case on 'Cheap Basket' Consumer Program

Israel's Supreme Court of Justice has closed a legal case concerning the state-sponsored "Israel Basket" program, which promoted the Carrefour supermarket chain as offering the lowest prices in the country. The Ministry of Economy, which oversaw the project, announced the program's planned conclusion on October 14, 2026, without further extension. This announcement led the court, presided over by President Yitzhak Amit and including Justices Yael Willner and Ruth Ronen, to cancel scheduled hearings.

The lawsuit was initiated by the non-profit organizations "Tzlal" and "Emun HaTzibur," who argued that the state's advertising created a misleading impression of overall savings for consumers. They contended that the "cheapest basket" claims applied only to a limited selection of basic goods, while other items in the store could be more expensive. The plaintiffs cited academic research from Tel Aviv University suggesting that while promotional items were cheaper, other products at Carrefour simultaneously increased in price. They also pointed to a lack of clarity regarding which specific store branches participated and accused the initiative of distorting the reality of Israeli families' expenses.

Government lawyers argued that the Consumer Protection Law does not apply to the administrative work of government agencies. The court did not rule on the merits of the case or legally assess the ministry's actions. However, it ordered the state to pay the plaintiffs 5,000 shekels in legal costs, acknowledging that the case raised a significant public issue. The closure of the case leaves open questions about the permissibility of such state-sponsored advertising campaigns for future government initiatives.