Registration and Classification of Contractors
In 1969, the Registration of Contractors for Practical and Construction Works Law came into effect as a vehicle for regulating Israel’s Construction Law. It stipulates that the construction industry cannot engage in contracted building without the contractors being registered in the Ministry of Construction and Housing.
Therefore, construction companies cannot hire an unregistered contractor, whether for building, or other related professions such as structuring the skeleton, electricity, plumbing, sewage, sealing, air conditioning, infrastructures, environmental development, renovations, stone masonry, energy facilities, pools, earthworks, quarrying, laying communication lines and electricity lines, and much more.
In addition, a registered contractor is necessary prior to submitting plans to municipalities or receiving the Certificate of Occupancy (C.O.).
A registered construction contractor may carry out work according to the primary industry or sub-industries and the financial scope based on experience, training and the registered classification. A contractor executing work that does not correspond to that contractor’s permit is violating the law and subject to penalties and sanctions.
The law allows classification to be altered up to the highest, being 5. At this classification level, the contractor is able to carry out unlimited work based on their monetary scope. Raising a contractor’s classification allows access to larger scale projects, recruiting Palestinian workers, and participating in tenders published by government and local authorities.
Contractor Registration Services
Our firm assists contractors throughout Israel with the process of obtaining a permit. We provide personalized service, and work closely with the contractor during the documents’ submission procedure, when preparing for the professional committee discussion as needed, and representing the client before the committee. We also guide contractors vis-à-vis the Registrar of Contractors up to receipt of the final certification. Additionally, we work together with the contractor to raise the classification level as a means of expanding the contractor’s scope of work and income, and increasing the number and range of professionals involved in related areas of construction to the permit, in accordance with the law.
Our firm also consult and provides ongoing legal support to contractors involved in administrative appeal procedures before the Appeals Committee when an application to register, or raise the classification level, has been rejected or other decisions taken.
We provide the following services to contractors:
- Registration in the Contractors Registry
- Handling classification upgrades
- Renewing permits
- Appealing the Registrar of Contractors decisions
- Transferring classifications
Ongoing representation
We provide ongoing legal support and consultancy to contractors who have been sanctioned due to site audits or Registrar of Contractors supervision.
We also provide legal services in the framework of ongoing commercial activities, when legal contracts must be drawn up with suppliers and other contractors, when a classification must be transferred to another company, in mergers and acquisitions with other construction companies, and in the framework of business disputes and issues related to labor law.
The Registry of Contractors is publicly available, making a certified contractor’s permit a highly valuable asset enabling the contractor to present a potential client with supervised professional credentials which uphold the Registrar of Contractors’ stringent requirements.
As such, proper conduct relative to the Registrar of Contractors is of the utmost importance and can increase the contractor’s chances of receiving the permit without delays.
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