Tzipi Livni Kadima the most seats in the Knesset, parties to the right in Israel's political spectrum gained enough seats that a coalition government under Kadima leadership was unlikely. As a result, Israeli president Shimon Peres asked Netanyahu and Likud (which received one fewer seat than Kadima in the elections) to form a government; this was the first time in Israel's history that the party with the most seats was not asked to attempt to form a government. "The New York Times" commended Livni for "refusing the extortionist conditions set by Shas," and endorsed her candidacy for prime minister, saying Israelis would
Tzipi Livni Olmert decided to step down, and asserted her confidence in her ability to defeat him in a party election should he decline. However, her call was ignored by Olmert and her decision to stay in the Cabinet sparked some controversy. In 2008, Livni condemned a photomontage of Pope Benedict XVI with a swastika displayed on his chest, which was published on a website run by supporters of her Kadima party. Facing multiple criminal investigations for corruption, Ehud Olmert announced his intention to resign his post as prime minister following a Kadima leadership election, which was held on 17 September 2008.