A common closing condition in M&A agreements is that there has been no material adverse change (MAC clause), or material adverse effect (MAE clause) with respect to the target company and its business, from the date of signing the agreement until the closing of the transaction. In this article, we address whether the COVID 19 epidemic could be recognized under Israeli law as a material adverse effect which would allow the buyer to withdraw from M&A transaction. To read the articular published by Globes, Israel business news, please click here