Gindi Brothers Withdraw Appeal Ending Decade-Long Dispute Over Golden Mall Ownership

The Supreme Court last Wednesday dismissed the appeal of "Luxury Apartments," owned by brothers Moshe and Yigal Gindi, against a Tel Aviv District Court ruling that rejected their 800 million shekel lawsuit against Migdal Insurance and Finance Group. The three-judge panel, including Justices Yael Wilner, Ofer Groskopf, and Ruth Ronen, concluded the case after Luxury Apartments withdrew the appeal following the hearing, ending a legal battle that lasted nearly ten years.

The dispute originated in 2016 when Luxury Apartments sought to convert the basement floor of the new wing of Golden Mall in Rishon Lezion into the country’s largest culinary center. Luxury Apartments claimed Migdal’s opposition prevented the establishment of a food market, causing hundreds of millions of shekels in damages. Migdal countered that the agreements did not grant Luxury Apartments the right to create a food market without its consent, which was never given.

The District Court, led by Judge Yaakov Shaked, sided with Migdal, ruling that the agreement concerned a regular commercial floor, not a large food court with hundreds of stalls. The court found Luxury Apartments failed to lease the space, prove a permit for a food market was possible, or show Migdal’s actions caused the alleged damage. Migdal’s counterclaim was also rejected as part of the Supreme Court’s final ruling.

In June, Migdal signed a deal to purchase the remaining 25% stake in Golden Mall from the Gindi brothers for 840 million shekels, becoming the sole owner. Migdal already owned 75% of the mall, which opened in 1993 on what was then a sandy area in Rishon Lezion. The payment included 400 million shekels for the existing structure, 440 million for a new underground commercial floor under construction, and up to 50 million shekels contingent on the mall’s performance over the next year.

The Gindi brothers had been involved with Golden Mall since its inception and continued managing it after selling the majority stake to Migdal in 2008 for about 1.25 billion shekels. Luxury Apartments was represented by attorney Avigdor Klegasbald, while Migdal was represented by attorneys Zvi Piron and Danny Freiman from the Piron law firm.