What Article 41 Stipulates

Article 41 of the Palestinian Labour Law (Law No. 7 of 2000) allows employers to terminate employment contracts for technical reasons or as a result of financial losses that necessitate a reduction in the workforce. This law, however, sets out explicit conditions: The Ministry of Labour in Palestine must be notified in advance. This is to provide a formal and timely notice, not to seek approval, per se. Employees must receive prior notice in line with their contract terms, their contracts or statutory minimums. Evidence must exist for restructuring decisions. This could include audited financial statements, internal restructuring plans, or letters confirming termination of donor funding. Equally as important, employers are expected to act in good faith. Article 41 is not meant to be used to justify unlawful dismissals. When applied responsibly, it helps organizations in restructuring and managing change while preserving employee rights.

Is restructuring a valid reason for termination?

Yes, as long as it’s backed by documents and the Ministry of Labour is notified in advance.

When can a company legally terminate an employee in Palestine?

Legal reasons include the end of the contract, serious misconduct, financial or technical restructuring, or closure of the business/organization. The employer must follow the proper steps, including advance notice and compensation.

What happens if a dismissal is ruled unfair?

In open-ended contracts, courts may award up to two months’ salary for each year worked. For fixed-term contracts, the employee may receive the full remaining value of the contract.

Does the Ministry of Labour need to approve a termination under Article 41?

No. The law only requires that the Ministry be notified in advance. It’s not an approval process.

What’s the difference between technical and financial restructuring

Technical restructuring refers to operational changes such as merging roles or closing a department. Financial restructuring pertains to economic difficulty, which needs to be supported with audited financial documents or donor withdrawal letters.

What are common mistakes employers make with Article 41?

Not informing the Ministry, rehiring right after dismissals, not keeping evidence, or using Article 41 as a cover for unrelated terminations.

Can a company rehire after dismissing employees under Article 41?

Yes, but only if the new hires don’t contradict the reason given. Consistent example: Closing a department due to restructuring, then hiring in another unaffected area. Inconsistent example: Claiming financial hardship, then posting job ads for the same roles that were just cut.

What documents can help prove a case in court?

Advance Ministry notice, financial statements, donor letters, internal memos, and board decisions can all demonstrate lawful termination.

What’s the difference between fixed-term and open-ended contracts in termination cases?

With fixed-term contracts, if the employer ends the contract early without cause, they may owe the rest of the contract’s value. With open-ended contracts, courts may award compensation of up to two months’ salary per year of service if the dismissal wasn’t justified.

Published in: Insights

Digital Reform of Justice: A Guide to By-Law No. (8) of 2025 for Electronic Court Notifications in Palestine

Author Amer Kurdi

Published on: November 10, 2025

Author Amer Kurdi

The System of Judicial Notifications by Electronic Means and Companies No. (8) of 2025, approved by the Council of Ministers on August 19, 2025, marks a shift in how Palestinian courts handle notifications and filings. It introduces a structured digital mechanism intended to make court communication more efficient and traceable.

The regulation is based on the Amended Basic Law of 2003 (Article 70), the Civil and Commercial Procedures Law No. (2) of 2001 and its amendments (Article 7 and Article 38 of the 2024 Decree-Law), and the Decree-Law No. (17) of 2024 on Electronic Transactions and Trust Services. Together, these laws create a unified legal structure for digital judicial processes.

1. Electronic Filing and Data Precedence

Under the new system, all lawsuits, pleadings, evidence, and judicial documents can be filed electronically through an account registered with the High Judicial Council (the Council).

Acceptance and Validation: Once a filing is submitted electronically, the court reviews it and notifies the filer if corrections or fee payments are needed. Registration is only complete when the required fees are paid, which can now be done electronically.
Priority of Paper Documents: If a difference arises between the electronic entry and the physical documents submitted to the court clerk, the paper version takes precedence.
Data Correction: Court employees can correct errors in electronic entries with the approval of the judge handling the case.

This ensures that while the process becomes digital, the reliability of official records is maintained.

2. Electronic Notification as the Main Method of Service

How Palestinian Courts Interpret Article 41

Regulations for the Electronic Court Notifications in Palestine recommend court papers to primarily be served electronically, and paper services to only be carried out when electronic delivery isn’t feasible.

Legally Recognized Electronic Channels

Text messages (SMS) to the declared phone number, containing a link to the case documents.
Official email address.
Al-Mizan judicial system or the electronic account used by the parties or their lawyers.
Approved mobile or web applications, and Other digital platforms authorized by the High Judicial Council.
Online publication through official or local newspaper websites, provided it is also published in print.

Timing and Legal Effect

Under the new system, electronic notifications must be sent between 7:00 a.m. and 7:00 p.m., and may not be issued on public holidays unless specifically authorized by the court. Notifications delivered by email or text message take legal effect on the day following their transmission, while those viewed through the Al-Mizan judicial platform become effective the day after they are accessed. Importantly, all forms of electronic service now carry the same legal weight as traditional paper notifications

3. Disclosure and Verification Obligations

Parties and their representatives are required to keep their contact details up to date.

Litigants’ Obligation: Plaintiffs and defendants must provide their physical address, phone number, and email address (if available).
Lawyers’ Responsibility: Lawyers must declare their own contact details and those of their clients. If not provided or updated, the information registered with the Bar Association will be used.
Ongoing Updates: If contact information changes and is not updated, the court will continue to use the previous information as valid.
Witnesses and Experts: Their contact details must also be declared.
Verification by the Court: The court can verify the information through official databases, the Al-Mizan system, or other approved digital sources if the provided data seems incorrect.

4. Use of Certified Private Service Companies

For the first time, the system allows certified private companies to perform notifications on behalf of courts, under the supervision of the High Judicial Council.

Certification: Only companies approved by a Council of Ministers’ decision based on the Council’s recommendation may carry out such work.
Scope of Work: Courts may assign these companies to deliver judicial papers anywhere in Palestine, including execution departments and notary offices.
Liability: Employees performing service are legally considered process servers. The company and its employees share responsibility for any errors or negligence.
Tracking: Each company must operate an electronic tracking system connected to the Council to allow courts and parties to follow the service process. Papers must be returned to the court within two working days.

How Kurdi & Co. Views This Development

Kurdi & Co. recognizes this system as a positive and essential advancement in the Palestinian justice system. For law firms and practitioners, it introduces faster and more transparent case management, but also requires strict attention to digital addresses, data accuracy, and timely communication.

At Kurdi & Co., we recommend that clients and colleagues:

Check their registered electronic addresses regularly.
Notify the court immediately if contact information changes.
Treat every electronic message from the court as a formal notification.
Contact their lawyer as soon as an electronic notification is received.

Conclusion

The adoption of By-Law No. (8) of 2025 establishes electronic notification as the new standard for judicial communication in Palestine, and transformative moment for the Palestinian judiciary and legal community
Lawyers and litigants now have a duty to monitor their electronic channels and act promptly upon receiving notifications.

Our firm assists clients in navigating the new electronic notification system, ensuring compliance with all procedural requirements, and using the right digital tools to streamline litigation and enforcement processes. Contact us for more information or legal assistance under the new Electronic Judicial Notifications Regulation No. (8) of 2025.