Special Majority in Tenant Eviction and Building Replacement: What Happens to a Refusing Tenant?

What is a Special Majority in Tenant Eviction and Building Replacement?

Special majority is a central legal concept in urban renewal and building replacement laws in Israel. It refers to a decision by an enhanced majority (usually 80% or more) of apartment owners in a shared building or entire project to replace the existing building with a new one as part of an urban renewal plan. When such a decision is made, tenants who did not agree (or refused) to participate in the project are called refusing tenants, and the Law of Urban Renewal (Tama 38) and urban renewal laws establish their rights and obligations.

Previously, there are two main ways to resolve a refusing tenant situation: voluntary agreement with the tenant, or forced eviction through legal proceedings. This process is not simple and requires a deep understanding of the rights and obligations of each party. Mandelbaum, Gor, Witzman-Gor and Partners law firm has guided contractors, developers, and tenants through these processes since 2008, providing precise and practical legal advice.

Refusing tenants are entitled to significant legal protection, including the right to compensation, preservation of acquired rights, and fair participation in project benefits. However, they may be forced to vacate the apartment under certain conditions, and failure to comply with requirements may result in complex legal proceedings, penalties, and financial obligations. The purpose of this guide is to clearly explain your rights, key concepts, and the legal steps that may unfold.

Who Are Refusing Tenants and Why Do They Refuse?

Refusing tenants are apartment owners or renters in a shared building who did not agree to participate in a building replacement and eviction project, even after a special majority of other apartment owners approved the project. The reasons for refusal vary: some are dissatisfied with the offered compensation, some fear the process or additional costs, and some simply love their current apartment and do not want to leave. Under the Urban Renewal Law (Tama 38) and the Urban Renewal Law, if a decision by special majority (usually 80%) is made, refusing tenants can be forced to vacate the apartment, but only under strict legal conditions and with mandatory compensation.

It is important to understand that the law provides strong protection for refusing tenants, as they cannot influence a decision in which they did not participate in voting. Mandatory compensation typically includes: the value of the current apartment, eviction costs, temporary rent or alternative housing during the project, and a share of the benefits of the new project. Sometimes, refusing tenants are able to achieve a better agreement through directed legal negotiations, and even retain an apartment in the new project under better conditions.

Types of Refusal and Their Consequences

• Active Refusal: A tenant explicitly states that they do not agree to participate in the project. This creates a clear legal situation and may lead to forced eviction proceedings.
• Passive Refusal: A tenant simply does not participate in votes and processes. This is also considered legal refusal.
• Partial Participation: A tenant is interested in the project but does not agree to the offered terms. This may lead to complex legal negotiations.

Forced Eviction in Urban Renewal: The Legal Process

Forced eviction in urban renewal is a complex legal process that begins when a special majority of apartment owners approves an urban renewal project, and one or more tenants refuse to vacate. The process is governed by the Tama 38 Law (Building Restoration and Promotion in Cities) and the Urban Renewal Law, and involves many parties: the contractor, the developer, the municipal authority, the court (in certain cases), and attorneys from both sides.

Main Procedural Steps

1. Notice of Intent to Force Eviction: The contractor or developer issues a formal notice to the refusing tenant, stating the intention to enforce eviction in accordance with the law. This notice must contain clear legal details, including: the date of the special majority vote, the number of tenants who supported the project, the proposed compensation, and the date by which the tenant must vacate the apartment.
2. Negotiation Period: After receiving the notice, the refusing tenant typically has 30–60 days (in accordance with the law) to negotiate with the contractor or developer. This period allows tenants to file objections, demand higher compensation, or propose alternatives (such as participation in the new project). The Mandelboim, Gor, and Witzman-Gor law firm represents refusing tenants during this period, attempting to achieve a better agreement.
3. Petition for Forced Eviction to Court: If no agreement is reached, the contractor or developer may petition the court (usually a district court) for approval of the forced eviction. This petition must include: proof of the special majority, confirmation that notice was sent to the refusing tenant, compensation offer, and the legal grounds for forced eviction.
4. Court Hearing: The court schedules a hearing where both parties present their arguments. A refusing tenant can point to: defects in the special majority voting process, unfair compensation, or other legal defects. The court carefully considers all claims.
5. Court Decision: The court decides whether to approve the forced eviction, reject it, or condition it on certain terms (such as higher compensation). This decision is binding on both parties.
6. Execution of Eviction: After court approval, the refusing tenant typically has 60–90 days to vacate the apartment. If the tenant does not vacate, a reasoned eviction order may be issued, permitting the use of force by law enforcement (police or bailiff).

This process may last months or years, depending on the complexity of the case, the number of refusing tenants, and the size of the project. Therefore, it is important that a refusing tenant receives legal advice immediately to ensure that their rights are protected at every stage.