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Israel's Supreme Court has ruled that the Palestinian Authority cannot require terror victims seeking compensation to prove a disability that has already been officially recognized, according to an announcement by the prosecution. The court rejected two appeals filed by the PA, upholding the attorney-general's position that existing disability determinations by the National Insurance Institute (NII) or a court must be accepted in subsequent compensation claims.

The ruling concerns a law that took effect in June 2024, which allows victims left with a permanent disability from a terrorist attack to seek fixed exemplary damages from the PA on the grounds that it provides payments to terrorists and their families. The damages are intended not only to compensate victims, but also to punish and deter the PA.

In one of the cases, a victim of terrorism had been found by NII medical committees to suffer from a psychological disability. In the second, relatives of a person murdered in an attack had previously been recognized by a court as indirect victims in a civil lawsuit against the attackers.

Coverage Comparison

The Jerusalem Post reported on three separate legal developments involving the Palestinian Authority and terror compensation claims. The first story, published July 27, 2026, focused on the Supreme Court's ruling regarding disability determinations. A second story, dated August 4, 2026, covered US Supreme Court Justice Sonia Sotomayor's decision to decline a request to pause a $655.5 million judgment against the PA and the Palestine Liberation Organization (PLO). A third story, from August 2, 2026, reported on lawyers for over 8,000 people filing written arguments with the Jerusalem District Court in a case seeking to hold the PA responsible for harm caused by the October 7 attack and the ensuing war.

All three stories were reported by the Jerusalem Post, which described the legal proceedings with a neutral tone, attributing actions to the courts and the parties involved.

Key Claims

  • The Supreme Court ruled that the Palestinian Authority cannot require terror victims to prove a disability that has already been officially recognized. The court rejected two appeals filed by the PA.
  • The ruling concerns a law that took effect in June 2024, allowing victims with permanent disabilities from terrorist attacks to seek fixed exemplary damages from the PA, which provides payments to terrorists and their families.
  • The law aims to provide terror victims with an efficient compensation process without repeated litigation.
  • US Supreme Court Justice Sonia Sotomayor declined to pause a $655.5 million judgment against the PA and PLO, allowing efforts to collect the money to continue while the PA and PLO prepare another appeal.
  • The judgment was awarded to American victims and relatives of victims of attacks in Israel during the Second Intifada, with damages tripled under US anti-terrorism law.
  • Congress changed the law to allow cases against the PA and PLO, and the Supreme Court unanimously upheld that law in 2025.
  • Lawyers for over 8,000 people are seeking to hold the PA responsible for harm caused by the October 7 massacre and the war that followed, with written arguments expected to be filed with the Jerusalem District Court.
  • The court-ordered process aims to answer whether the PA's actions and policies can be linked to October 7.

Perspectives

The material includes statements from the Palestinian organizations involved in the US case. They had asked the court to freeze the judgment, arguing that it should not have been revived after previously being overturned. They also warned that collecting the award now could deepen the PA's financial crisis and disrupt schools, hospitals, sanitation, and security services in the West Bank. This viewpoint contrasts with the plaintiffs' position, which seeks to hold the PA accountable for terrorist attacks.