Sydney restaurant Cairo Takeaway has secured a court win in its dispute with pro-Israel activist Ofir Birenbaum. Federal Court Justice Robert Bromwich ruled on Tuesday that Birenbaum breached parts of the settlement reached between the parties. This was reported by Qazaqyia.kz citing The Guardian.

The incident began in February 2025 when Birenbaum visited the popular Middle Eastern restaurant wearing a Star of David cap and necklace, accompanied by reporters from the Daily Telegraph. The operation, later internally dubbed "undercover Jew" by the newspaper, made international headlines after it backfired.

In August, Birenbaum launched defamation proceedings against restaurant owner Hesham El Masry and staff member Talaat Yehia over statements made in a series of social media posts. Birenbaum denied the version of events depicted in the posts, which the restaurant later deleted and apologised for before the defamation suit was launched.

The case settled in March, but was reopened after the restaurant alleged Birenbaum had breached parts of the settlement by releasing a personal statement claiming he was "completely vindicated". His lawyer, Rebekah Giles, also sent statements to the media labelling the settlement "an important win for Ofir Birenbaum and the Australian Jewish community".

In a May hearing, lawyers for Cairo Takeaway alleged the statements by Birenbaum and Giles were a "coordinated effort" to discredit the settlement and "control the narrative" in the media. "These were victory statements, they were planned, they were intended to bury the joint statement in the news cycle, and they had that effect," Matthew Richardson told the court.

Birenbaum's lawyer, Kieran Smark SC, denied the comments were inconsistent with the official joint statement. He also suggested Birenbaum was vindicated because the restaurant had made a public apology.

The court ruled that Birenbaum breached parts of the settlement. The case continues to attract media attention in Australia.