The Likud and Labor launched a marathon negotiation session on Monday evening, in a bid to reach the finish line before Labor votes on whether to enter a coalition under Benjamin Netanyahu.
Minister Shalom Simhon opened the meeting by saying the teams are willing to negotiate through the night and until the afternoon vote if necessary.
Earlier in the evening the Labor negotiators briefed Chairman Ehud Barak on the talks that took place throughout the day.
The representatives sat down for the first time on Monday afternoon at Ramat Gan's Kfar Hamaccabiyah Hotel, where the talks immediately hit several walls.
"We are facing some major obstacles in the coalition talks, particularly regarding the protection of the rule of law," Minister Simhon confirmed.
Some of Labor's demands would force the Likud to alter clauses in deals already signed with other parties. Labor wants a rotation for the leadership of the Knesset's Constitution, Law and Justice Committee – which has been promised to Yisrael Beitenu.
Prime Minister-designate Netanayhu and Barak are personally involved in the proceedings, discussing the developments over the telephone.
The two may decide to meet over the course of the coming 24 hours to resolve the remaining points of contention prior to the Labor vote.