Let's get this straight. A family illegally living in a occupied area was attacked by a terrorist? Are you sure it was a terrorist?
It doesn't matter if they were living there illegally or not! When a stranger bursts into your home and STABS a THREE MONTH OLD BABY. A helpless baby that has nothing to do with the legality of where it's living, and you kill them because of your ideology,- THAT - MAKES - YOU - A - TERRORIST!
Especially since they wish to cause terror among Jewish settlers, they actually fit the definition of terrorist perfectly.
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