KSP Files 700,000-Shekel Lawsuit Against Rival Lior Electric Over Content Theft

Israeli retailer KSP has filed a 700,000-shekel lawsuit against rival Lior Electric for alleged copyright infringement and unauthorized server usage, while retaliating by embedding KSP promotional ads on competing e-commerce sites.

KSP Files 700,000-Shekel Lawsuit Against Rival Lior Electric Over Content Theft
Photo-illustration WireIsrael: AI Generated

Israeli retail giant KSP has launched a technological counteroffensive against rival e-commerce websites that allegedly siphon its server resources and copyright-protected content. Following the detection of abnormal server traffic, KSP’s IT department discovered that several leading competitors—including Lior Electric, Bug, Mahsanei Hashmal, Shekem Electric, HitechZone, Walla Shops, and BDK—were embedding product descriptions, technical specifications, and high-resolution images hosted directly on KSP's servers.

Retaliation and Legal Action

In response, KSP’s engineering team deployed an automated script replacing unauthorized product images with promotional banner ads bearing the slogan, "We also choose to buy only at KSP," cleverly capitalizing on the recent election cycle. Beyond this digital maneuver, KSP has initiated formal legal proceedings. Represented by attorney Assaf Ron, the company filed a 700,000-shekel lawsuit at the Haifa District Court against Lior Electric, citing copyright infringement, unjust enrichment, and intellectual property theft.

According to the legal filing, KSP employs a dedicated team of twenty content specialists who translate, localize, and produce digital assets for international brands. The lawsuit alleges that competitors systematically bypassed production costs by hotlinking images and copying translated descriptions verbatim, down to the punctuation mark. KSP is seeking statutory damages of 100,000 shekels for each of fourteen documented copyright violations, totaling 1.4 million shekels, though capped at 700,000 shekels for court fee purposes.

Industry Reactions

While representatives for Lior Electric, Mahsanei Hashmal, and HitechZone declined to comment, Bug issued a rigorous rebuttal. Bug stated that the disputed content involved a mere thirty-two items out of tens of thousands of products and asserted that the materials originated directly from official manufacturers and importers. Bug criticized KSP for turning to the media before issuing a formal notice, noting that the comparative text matched product specifications from international platforms such as Best Buy and Lenovo.

This dispute highlights ongoing intellectual property tensions within the Israeli retail sector. Previous legal precedents include a ruling ordering Electra Consumer Products to pay 50,000 shekels to KSP in a similar unauthorized server-loading dispute.

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