Israeli lawmakers adopted a so-called continuity law Wednesday that allows the Israeli Parliament to condition pulling out of the Golan Heights against a national referendum.
Israel seized the Golan Heights in the aftermath of the Six Day War in 1967.
Syrian Foreign Ministry officials accused Israel of "clearly provoking" the issue and compromising any chance at regional peace.
The Arab League, meanwhile, joined Damascus in condemning the decision, saying it was a clear indication that Israel was not interested in moving forward with the peace process, the official Syrian Arab News Agency reports.
The SANA report said the Arab League urged the United Nations and other international players to intervene on the issue and make a stand against Israeli interference.