Israel Mandates Businesses to Record and Provide Customer Calls to Enhance Transparency

Israel's Consumer Protection Authority announced a significant amendment to the Consumer Protection Law requiring businesses to record telephone conversations with customers and provide these recordings upon request. The new regulation aims to increase transparency and reduce disputes by allowing verification of exactly what was said during customer interactions. The full law will take effect in eight months, but businesses must already begin preserving existing call recordings immediately to prevent data loss before the law's full implementation.

The amendment applies to various transactions, including sales of non-food goods costing at least 750 shekels following marketing calls, loan brokerage services, financial asset location services, medical rights verification, tax refund eligibility checks, communication services, credit data correction, and gas supply. If a business fails to record or provide the requested call, it will be legally considered an admission of the consumer's claims.

The legislative initiative was led by Knesset members Merav Cohen, David Bitan (chair of the Economic Committee), and Iman Khatib-Yasin, whose proposals were consolidated into the amendment. The Consumer Protection Authority emphasized that the law will revolutionize telephone dealings between businesses and consumers by ensuring accountability and clarity in customer communications.