NEWS: Jewish congregations experience controversy in embracing the Palestinian UN upgrade. Israel says it's moving forward with controversial building plans in near occupied East Jerusalem. Pres. Abas says the plans cross a Palestinian and international red line. Palestinians would face many obstacles in trying to bring international criminal prosecution against Israeli officials. Palestinians say Israeli settlement construction is leading to the creation of a single, unequal state. PM Netanyahu says Israel is still committed to a two-state solution. Deputy FM Ayalon is dumped from his party's election list. The UK downplays the prospect of European economic sanctions against Israel. Palestinians say European states are considering ways of reviving peace negotiations. Israel's high court is hearing a case about a law that allows the targets of boycotts to sue boycotters. Chancellor Merkel is reportedly warning Netanyahu that Israel faces further isolation without a meaningful peace process in place. Hamas says it wants to reopen the airport in southern Gaza. Efforts to include retaliatory measures against the Palestinians for their UN upgrade fail in the US Senate. COMMENTARY: Tom Friedman says missile defense systems and walls are not enough to protect Israel. Carlo Strenger says Netanyahu is leading Israel into an abyss.Yossi Alpher says the UN may have set the stage for a rebirth of the peace process. The Jerusalem Post argues that it's completely reasonable for Israel to be excluded from the NPT and nuclear nonproliferation regimes. Jill Jacobs says the silence of Jewish-American groups over Israel's planned expansion of the E1 settlement block is shocking. The Forward condemns the plan. Osama Al Sharif says the UN vote upgrading Palestine has transformed the legal and diplomatic context of the issue. Ian Buruma says history shows the kind of rule Israel is conducting in the occupied Palestinian territories is very fragile. Khaled al-Houroub says Abbas should go to Gaza. Danny Rubinstein says Israeli-Palestinian economic ties have declined and are unlikely to improve under the current circumstances. Saree Makdisi says that if Israel will not agree to two-state solution, it must accept a single, equitable state.