Private Religious Courts Gain Traction as State Rabbinical Courts Regain Arbitration Role in Israel
In Israel, a private religious judicial system operating under Jewish law has quietly expanded, offering arbitration in financial, real estate, and business disputes with the parties' consent. Known as "din Torah" courts, these tribunals provide relatively swift proceedings compared to the state courts. One prominent network, Eretz Chemeda Gazit, operates seven branches staffed by religious-national arbitrators, with about half their cases coming from the ultra-Orthodox community. Fees range from 1,000 shekels for claims up to 50,000 shekels to 1.5%-3% of larger claims.
This private system emerged after a 2006 Supreme Court ruling stripped state rabbinical courts of authority to arbitrate civil disputes, creating a demand for religious arbitration outside the official system. Now, for the first time in two decades, state rabbinical courts have regained the legal power to serve as arbitrators in civil matters, following a law passed by the Knesset in March 2024. This move aims to provide those who prefer religious law a state-sanctioned forum, but it has sparked controversy.
Critics, including human rights and women's organizations, warn that reintroducing religious courts into civil arbitration risks creating a parallel legal system that could disadvantage vulnerable parties, especially in cases with power imbalances like employer-employee disputes. They also highlight concerns about the existing backlog in rabbinical courts, which already delays divorce proceedings. Petitions against the law have been filed with the Supreme Court, demanding safeguards such as gender equality in judicial appointments.
Supporters argue that religious arbitration aligns with the preferences of many religious Israelis who seek rulings based on Jewish law combined with state legal principles. For example, Eretz Chemeda Gazit applies state labor laws while considering halachic norms, and even accepts women's testimony in certain cases, deviating from traditional Talmudic restrictions. The private courts emphasize efficiency, transparency, and personal attention, often resolving complex cases within a year, faster than civil courts.
Legal experts note that the return of state rabbinical courts to civil arbitration may shift some ultra-Orthodox litigants away from private tribunals, especially since state rabbinical arbitration awards take immediate effect without further court approval. However, the religious-national community is expected to continue relying on private religious courts due to greater trust in their arbitrators. The evolving landscape reflects a broader pluralism in Israel’s legal system, balancing secular law with religious traditions.