Parents Sue East Jerusalem School for Overcharging Tens of Millions of Shekels

A class-action lawsuit demanding tens of millions of shekels was recently filed at the Jerusalem District Court against Daar Al-Hikma, a company operating a prestigious school in the Beit Hanina neighborhood. The lead plaintiff, a father of four alumni, alleges the school overcharged parents by approximately 35.5 million shekels over seven years. The claim, submitted by attorney Eran Lev, states that from 2019 to 2026 the school, which has operated as a recognized but unofficial institution since 2010, collected fees exceeding those permitted under the Israeli Ministry of Education's directives.

The plaintiff contends that despite the school's high reputation in East Jerusalem's Arab community, it unlawfully charged parents, including himself. He notes that classes ended by 2 p.m. daily, undermining any justification for additional tuition fees for extended programs. The lawsuit cites multiple legal grounds: violation of statutory obligations, negligence, unjust enrichment, error, deception, and bad-faith negotiations, all conducted without parental knowledge.

The affected group is defined as the parents who paid these excess fees, estimated at around 21,000 individuals based on an annual student body of 1,500 and two parents per student. The financial claim totals about 35.4 million shekels plus linkage differentials and interest, alongside a non-monetary damages request of 10.5 million shekels for emotional distress. The total demand against the school reaches approximately 46 million shekels.

In addition to monetary compensation, the lawsuit seeks a court order preventing the school from charging fees beyond legal limits and demands coverage of legal fees. The school has not responded to requests for comment. This report was produced in cooperation with the Israeli legal site Paskadin.