Haaretz reports:

The Knesset passed Monday a law penalizing persons or organizations that boycott Israel or the settlements, by a vote of 47 to 38.

Prime Minister Benjamin Netanyahu was not present during the vote. MK Zeev Elkin (Likud), who proposed the law, said the law is not meant to silence people, but “to protect the citizens of Israel.”

According to the law, a person or an organization calling for the boycott of Israel, including the settlements, can be sued by the boycott’s targets without having to prove that they sustained damage. The court will then decide how much compensation is to be paid. The second part of the law says a person or a company that declare a boycott of Israel or the settlements will not be able to bid in government tenders.

MK Nitzan Horowitz from Meretz blasted the law, calling it outrageous and shameful. “We are dealing with a legislation that is an embarrassment to Israeli democracy and makes people around the world wonder if there is actually a democracy here,” he said. Ilan Gilon, another Meretz MK, said the law would further delegitimize Israel.

Kadima opposition party spokesman said the Netanyahu government is damaging Israel. “Netanyahu has crossed a red line of political foolishness today and national irresponsibility, knowing the meaning of the law and it’s severity, while giving in to the extreme right that is taking over the Likkud.”