jpcl 3(1) (2019) 26-29 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl actio pauliana as the rights protection efforts for creditors in the bankruptcy case puja dwi pangestu1 1broto hastono & associates received april 04 2018, accepted april 27 2019, published may 31 2019 doi 10.15294/jg.v16i1.18673 abstract the implementation of a debt agreement is often found in bad faith by the debtor where the debtor is unable to pay off his debts. when the debtor is deemed unable to pay off all of his debt, the debtor can voluntarily submit palitit to the commercial court. submission of bankruptcy can also be applied by creditors, of course, bankruptcy permits by debtors or creditors must fulfill the conditions mandated in the bankruptcy law. when debtors are declared bankrupt, all assets owned by the debtor are collateral for their debts. however, in its implementation, it is often found that ill will is carried out by the debtor, namely when the debtor feels that he is no longer able to repay his debts, the debtor transfers his assets to the third party for his own benefit. to protect the interests of each creditor then curator can make an action with actio pauliana, , actio pauliana is cancellation of all of the legal action of the assets taken by debtors. the research objective of this article is to know and understand the bankruptcy determination process based on the bankruptcy act and how actio pauliana attempts to protect the rights of each creditor. keyword: debt agreement; bankruptcy; actio pauliana introduction based on the law that applies if a person or legal subject commits a legal act then it will occur due to the law. it can be analogized when a person or legal entity has bound itself to a credit agreement, so that the legal action creates legal consequences in the form of rights and obligations between the debtor and the creditor or can be referred to as performance in the form of payment of debt. but in its implementation, sometimes someone in the credit agreement of the debtor is negligent in fulfilling his performance; of course this has violated applicable legal norms. based on article 1234 of the civil code that “each engagement is to give something, do something, or not do something”. with the existence of the article when the debtor has bound himself with the creditor in a credit agreement, the debtor has an obligation to pay off the credit. but in practice often found bad credit that occurs from a credit agreement. in overcoming this condition, the right step to resolve the bad credit, both for the interests of the debtor and creditors. in this case the solution or step that must be taken must provide optimal value for both parties. many steps can be taken to overcome these problems. the way is by submitting a bankruptcy application. bankruptcy is a process whereby a debtor who has financial difficulties to pay his debt is declared bankrupt by the court which in this case is a commercial court because the debtor cannot pay his debts anymore.1 article 1 paragraph (1) of the bankruptcy and pkpu law states that “bankruptcy is the general seizure of all bankrupt debtor assets whose management and settlement is carried out by the curator under the supervision of the supervisory judge as stipulated in this law”. furthermore, article 2 paragraph (1) of the bankruptcy and pkpu act stipulates that: “debtors that have two or more creditors and do not pay off at least one debt that has matured and can be billed, are declared bankrupt with a court decision, both on their own request and on request one or more creditors “. in the article referred to as creditor, it is a concurrent creditor, preferred creditor and 1 nating, imran. (2005). peranan dan tanggung jawab kurator dalam pengurusan dan pemberesan harta pailit. jakarta: edisi revisi. cet. 2, pt. rajagrafindo persada p-issn 2599-0314 e-issn 2599-0306* e-mail : pujadwipangestu11@gmail.com address : jl. simongan no.123, ngemplak simongan, semarang barat, semarang city, central java50148 jp cl mailto:pujadwipangestu11@gmail.com 27journal of private and commercial law 3(1) (2019) 26-29 separatist creditor however, it is very unfortunate that the practice of bankruptcy and pkpu law is often found in the practices of debtors who reflect bad faith; of course this will affect the threat of the rights of each creditor. poor intentions that are often carried out by debtors in the form of hiding assets owned by the debtor for the benefit of the debtor. the concealment of these assets is carried out by transferring assets or assets before the debtor is declared bankrupt to another party. in the bankruptcy law and pkpu, an effort is made to protect each creditor due to the bad behaviour of the debtor. one of the safeguards against the interests of creditors in the bankruptcy act is to prevent fraud committed by debtors. fraud that can be done by a debtor, for example, a person who has the intention not to make as much debt as possible to subsequently file a bankruptcy statement so as not to pay the debts by first hiding his wealth2. the effort was actio pauliana. actio pauliana is a means provided by the law to each creditor to submit a cancellation of all non-compulsory actions that have been carried out by the debtor where the act has harmed the creditor3. actio pauliana is a right that is owned by creditors in certain circumstances can view null and void actions that have been done by the debtor that harm them4. provisions regarding actio pauliana efforts have been stipulated in article 41 of the bankruptcy and pkpu law and article 1341 of the civil code. research method the research objective of this paper is to know and understand the bankruptcy determination process based on the bankruptcy act and how actio pauliana attempts to protect the rights of each creditor. the type of research used is normative legal research because it is in the form of a positive legal inventory, efforts to find positive legal principles and philosophy, and also an attempt to find inconcreto law that is suitable for use in solving a particular case5. legal material collection techniques by conducting library studies by collecting documents relating to legal issues. result and discussion in general, bankruptcy is a legal public confiscation of all debtor property in order to achieve peace between the debtor and the creditors or so that the property can be shared fairly among the creditors. in this case the seizure was carried out by the court and then the execution of all of the debitor’s assets was carried out for the mutual benefit of the creditors. the occurrence of bankruptcy is due to a relationship between creditors and debtors in a credit agreement, where the debtor is considered unable to pay off his debts. so when this happens, the creditor can file a bankruptcy request against the debtor. the principle of paritas creditorium implies that all debtor’s assets, whether in the form of movable or immovable property or property which the debtor has now and possessed in the future, will be owned by the debtor, tied to the settlement of debtor’s obligations (kartini, 2001: 168). in a relationship of legal debts, the law provides legal protection to the board through the provisions of article 1131 of the civil code which determine: “all debt material, both movable and immovable, both existing and new ones will be there later, be borne by all of its commitments “. the provisions of the article mean when someone has a debt, then the assets of the debtor become guaranteed for their debts. further elaborated in article 1132 of the civil code states that: “the material becomes a guarantee together for all those who affirm it; the sales revenue of these objects is according to the balance, which is according to the size of each receivable, except if there are reasons for the said priority. “ in this article each creditor has the same position. the position of the creditor, among fellow creditors to the debtor is the same. they are called concurrent creditors and get general guarantees6. the most important requirements for debtors to be declared bankrupt have been fulfilled, namely having two or more creditors and debts that are due and can be billed. in article 2 paragraph (1) law no. 37 of 2004 concerning bankruptcy and pkpu stated that: “article 2 paragraph (1) law no. 37 of 2004, a debtor who has two or more creditors and does not pay in full at least one debt that has matured and can be billed, is declared bankrupt with a court decision, both on his own application and on 2 anisah, siti. (2009). perlindungan terhadap kepentingan kreditor melalui actio pauliana, jurnal hukum no. 2, vol. 16, 205-221, p 205 3 syahrin, m. alvi. (2017). actio pauliana: konsep hukum dan problematikanya. jurnal lex librum, vol. iv, no. 1, desember 2017, hal. 605 – 616. http://doi.org/10.5281/zenodo.1257787 4 sofwan, s. s. (1975). hukum perdata: hukum perundangan . bag 8, liberty, p 39 5 adi rianto. (2004). metodologi penelitian sosial dan hukum. jakarta: granit, p 92 6 satrio, j (1997). hukum jaminan, hak jaminan kebendaan, hak tanggungan, buku i, citra aditya bakti, bandung, p 54 puja dwi pangestu, actio pauliana as the rights protection efforts for creditors in the bankruptcy case 28 the request of one or more creditors “. provisions of article 3 of law no. 37 of 2004 concerning bankruptcy and pkpu that “debtors who have two or more creditors and do not pay off at least one debt that has matured and can be billed, are declared bankrupt with a court decision, both on their own application and on the request of one or more creditors”. based on the description of article 2 and article 3 of the act on bank pkpu, it can be concluded that the terms of the debtor can be declared bankrupt, including: (1) the existence of debt; (2) there are two or more debts; (3) at least one debt has matured and can be collected; (4) determination of bankrupt debtors is issued by a special court called the commercial court; (5) bankruptcy applications are submitted by the debtor itself, one or more creditors, prosecutors for public interest, bank indonesia if the debtor is a bank, bapepam if the debtor is a securities company, and the minister of finance if the debtor is an insurance company; (6) if the conditions are fulfilled, “the judge declares bankruptcy”, and cannot be declared bankrupt. so that in this case the judge is not given space to give a broad “judgment” as in other cases, in fact limited defense is still justified considering the validity procedure that concludes with the provisions of article 8 paragraph (4) of the law bankruptcy and pkpu. when the judge has established a bankrupt debtor, all the good assets that already exist and which will be there will be controlled by the curator for the purpose of repaying all receivables from the creditor. bankruptcy decisions bring legal consequences to all debtor assets. the wealth will be controlled by the curator. it is the curator who will take care and clean up all the bankrupt assets. as a result of the bankruptcy decision it has the consequence that legal claims originating from the rights and obligations of the bankrupt debtor’s assets must be filed by or against the curator. if the claim is submitted or forwarded by or against the bankrupt debtor, then if the claim results in the punishment of the bankrupt debtor7. based on article 24 of the bankruptcy and pkpu law, the consequences of debtors declared bankrupt are as follows: (1) debtors legally lose their rights to control and manage their assets included in bankrupt assets, from the date the bankruptcy statement is pronounced; (2) the date of the decision referred to in paragraph (1) is calculated from 00.00 local time; (3) in the event that before the decision on a bankruptcy statement is stated that a transfer of funds has been carried out through a bank or institution other than a bank on the date of the decision, the transfer must be continued; (4) in the event that before the decision on a bankruptcy statement is stated that a securities transaction has been carried out at the stock exchange, the transaction must be completed. . based on article 24 of the bankruptcy act and pkpu above, it is explained that when a debtor is declared bankrupt, the item does not have the right to control all of their assets, both immovable movable assets, existing and existing assets. by establishing a bankrupt debtor, the assets become court confiscated goods and the court appoints a curator to settle the debtor’s receivables by being supervised by the supervisory judge. however, in the implementation of bankruptcy, it is often found that the debtors did not have good intentions. often the debtor protects the assets owned for his own benefit, the debtor carries out legal actions that are not updated by law. to protect its assets from bankruptcy, the debtor transfers assets to other assets either through buying and selling or transferring the names of assets owned to other parties. the effort was carried out in the hope that the assets owned would not become collateral for its debts. these efforts are often referred to as actio pauliana carried out by curators. this is a logical consequence of the position of the curator as the party whose duty is to protect and manage bankrupt assets for the benefit of all parties concerned with bankrupt assets.8 with the lack of willingness from the debtor to protect the rights of creditors in article 41 of the bankruptcy and pkpu laws it is stated that: “(1) for the purpose of bankrupt assets, the court may ask for cancellation of any legal acts of the debtor that have been declared bankrupt which are detrimental to the interests of the creditors, which are carried out before the decision of the bankruptcy statement is pronounced; (2) the cancellation as referred to in paragraph (1) can only be done if it can be proven that at the time the legal act was carried out, the debtor and the party with whom the legal action was conducted knew or duly knew that the legal action would cause losses to the creditors; (3) excluded from the provisions referred to in paragraph (1) are debtor legal actions which are obliged to be carried out based on the agreement and / or because of the law. « 7 sunarmi. ( 2010). hukum kepailitan. jakarta: edisi 2, sofmedia, p 10 8 sukirno, t. (2001). tanggung jawab kurator terhadap harta pailit dan penerapan actio pauliana. bandung: alumni, p 371-372 29journal of private and commercial law 3(1) (2019) 26-29 furthermore, article 42 of the bankruptcy and pkpu law states that if a legal action that harms a creditor is carried out within a period of 1 (one) year before the decision on a bankruptcy statement is stated, the debtor does not have to prove it otherwise, the debtor and the party the act carried out is deemed to know or appropriately know that the act will cause harm to the creditor as referred to in article 41 paragraph (2). in the case of filing actio pauliana submitted by the curator for the benefit of the creditors, the submission of actio pauliana is intended to mention all legal acts of the debtor which are not permitted under the law on all wealth assets. the later the assets become collateral for debts from the debtor. in accordance with articles 41 and 42 when actio pauliana is granted by a judge, the legal action on nutrient and assets is canceled a year before the bankruptcy decision is pronounced. conclusion a legal action must create legal consequences for each legal object, one of which is when a person enters into a credit agreement, rights and liabilities will arise between the creditor and the debtor. when a debtor is unable to fulfill his obligations, the debtor can be declared defaulted. in the case of a debt agreement when the debtor is deemed unable to repay his debt, the debtor can be declared bankrupt if he meets the requirements mandated by law and is based on a court decision. however, when it was declared bankrupt in reality, it was still found to be unfavorable in the faith of the debtor, where the debtor transferred his wealth to third parties for his own interests. based on the kepilitan and pkpu act, the curator can cancel the legal deeds of the debtor for one year before the bankruptcy decision from the court, through the actio pauliana. suggestions that the author submits are: (1) in implementing the agreement, it is expected that each party can carry out its rights and obligations in accordance with the agreed agreement and applicable laws; (2) the debtor at the time has been declared a default will prioritize goodwill towards the creditor for his debts; (3) when the debtor is deemed unable to repay his debts, the debtor can file a bankruptcy application, and when the debtor is declared bankrupt by the court, it is expected that the assets will not be transferred to joint interests; (4) the curator in charge of supervising the supervising judge must be observant of the assets of the debtor and be sure to determine the creditors of the debtor; (5) the curator must be observant of legal actions carried out by the debtor for assets owned for one year after the debtor is declared bankrupt. bibliografi anisah, siti. (2009). perlindungan terhadap kepentingan kreditor melalui actio pauliana, jurnal hukum, 17(2):205-221. kartini mulyadi, (2001), kepailitan dan penyelesaian utang piutang dalam rudhy a. lontoh (ed), penyelesaian utang piutang melalui pailit atau penundaan kewajiban pembayaran utang, alumni, bandung. nating, imran. (2005). peranan dan tanggung jawab kurator dalam pengurusan dan pemberesan harta pailit. jakarta: edisi revisi. cet. 2, pt. rajagrafindo persada rianto, adi. (2004). metodologi penelitian sosial dan hukum. jakarta: granit. sofwan, s. s. (1975). hukum perdata: hukum perundangan . bag 8, liberty sukirno, t. (2001). tanggung jawab kurator terhadap harta pailit dan penerapan actio pauliana. bandung: alumni sunarmi. ( 2010). hukum kepailitan. jakarta: edisi 2, sofmedia. syahrin, m. alvi. (2017). actio pauliana: konsep hukum dan problematikanya. jurnal lex librum, 4(1):605 – 616. http://doi. org/10.5281/zenodo.1257787 satrio, j (1997). hukum jaminan, hak jaminan kebendaan, hak tanggungan, buku i, citra aditya bakti, bandung. tamba, f. r. (2017). analisis putusan pailit nomor: 02/pailit/2009/pn. niaga. smg terhadap undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. journal of private and commercial law, 1(1). _goback jpcl 3(1) (2019) 38-49 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl indonesian political economic policy and economic rights: an analysis of human rights in the international economic law ridwan arifin1 1faculty of law, universitas negeri semarang, semarang, central java, indonesia received february 17 2018, accepted april 22 2019, published may 31 2019 doi 10.15294/jg.v16i1.18178 abstract the national and international economic development raises new problems besides the positive side of finance. international economic recession that has global impacts including in indonesia presents its own challenges. one of the challenges faced is a serious impact on the fulfillment of economic and social rights. various economic austerity measures were taken to maintain the country’s economic stability. one of the most controversial is the reduction of subsidies in the health, social security, trade and education sectors. the unemployment rate also increased as a direct impact of these economic policies. this paper analyzes the rights of human rights in indonesian political economic policy both on a national and international scale. this paper compares and analyzes various cases of indonesian economic policy with the basic principles of human rights, especially social, economic and cultural rights. studies in this paper cover the areas of study of international economic and trade law, human rights law, and international law. this paper highlighted that economic policies in the form of reducing subsidies and austerity measures undermine a wide range of human rights human rights frameworks. keyword: political economy policy; trade; human rights; international economic law introduction humans are legal subjects who have the highest dignity. every human being has the most basic rights, namely the right to life. recognition of the inherent dignity and equal and inseparable rights of all humans is the basis of freedom, justice and world peace. some essential human rights are in the sectors of economy, social, and culture (ecosoc). in the indonesian state, these rights are regulated in the 1945 constitution1. whereas in the international regulation of the regulation of protection in the economic,  financial and cultural sectors was born from a declaration issued by the united nations through the general assembly called the universal declaration of human rights (udhr) on december 10, 1948.2 in its implementation, this declaration afford to two important instruments which regulates the provisions of human rights, namely the international covenant on civil and political rights (iccpr) which is included as karel vasak’s first category of human rights generation; and the international covenant on economic, social and cultural rights (icescr) which is categorized as the second generation of human rights.3 1 the 1945 constitution (uud 1945) stipulated the economic, social, and cultural rights, especially in the uud 1945 amendment, changes to the constitution contain a special section that regulates the protection and guarantee of citizens’ human rights (chapter xa, articles 28a to 28j of the 1945 constitution). see bisariyadi, “menyibak hak konstitusional yang tersembunyi”, jurnal hukum ius quia iustum, vol. 24 issue 4, october, 2017, pp. 515-518 2 udhr is a milestone document in the history of human rights and it recognized as a common standard of achievements for all peoples and all nations. it sets out, for the first time, fundamental human rights to be universally protected. udhr specifically mentioned about the ecosoc rights, in article 22. see ohchr, “universal declaration of human rights”, united nations human rights office of the high commissioner, 2008, retrieved from https://www. ohchr.org/en/udhr/pages/language.aspx?langid=inz, also united nations, “universal declaration of human rights”, retrieved from http://www.un.org/en/universal-declaration-human-rights/ 3 when human rights are being discussed, they are often divided up into three categories called generations. a reflecp-issn 2599-0314 e-issn 2599-0306* e-mail : ridwan.arifin@mail.unnes.ac.id address : k1 building, 1st floor, unnes, sekaran, gunungpati, semarang central java, indonesia, 50229 jp cl https://www.ohchr.org/en/udhr/pages/language.aspx?langid=inz https://www.ohchr.org/en/udhr/pages/language.aspx?langid=inz http://www.un.org/en/universal-declaration-human-rights/ mailto:ridwan.arifin@mail.unnes.ac.id 39journal of private and commercial law 3(1) (2019) 38-49 the relationship between human rights and the economy in the context of social, economic and cultural rights attracts much attention and debate among legal experts. this arises because individuals have the right to human rights, including human rights to the economy. economic rights in the context of international law are considered to be one of the most fundamental things. because, in many analyzes of legal experts, economic rights have a profound effect on human rights. jacquart stated that with increasing uncertainty and various changes in the political and economic fields in the 19th and 20th centuries, the portrait of political and economic relations between individuals and countries has changed.4 therefore, he stressed the need to clarify human rights in new contexts and discourses. leading international economics law scholar ernst-ulrich petersmann stated that in the 20th century there was a “human rights revolution” which changed portraits including international economic law.5 this is not only an important development but also requires in-depth studies of the implications of the development of this human revolution. petersman emphasized that both international human rights law and international economic law there are duties to protect calls for stronger protection of human rights in international economic regulation, and it is confirmed that human rights revolution has a broader sectors, in all human basic needs. another important change that is happening today is that there are enough basic constitutions in various countries in the world that increasingly recognize human rights to the economy. inclusion of economic rights shows the increasing importance of human rights to the economy (including in relation to international economic law). one important instrument in regulating the rights to the economy is stipulated in article 55 of the united nations charter. this article among others requires the united nations to advance respect including promoting compliance with human rights, including human rights to the economy. article 55 of the charter of the united nations contains the aim of the united nations to promote “higher standards of living, full employment and conditions of economic and social progress and development; solutions of international economic, social, health and related problems and international cultural and educational cooperation.” this right to economy demands the need for protection as appropriate. human rights and the rights to this economy have a fairly close relationship, and there are many experts, for example booysen, referring to human rights in relation to international economic law as international economic human rights. meanwhile seidl hovenveldern called it human rights of economic value.6 the various relations between human rights and the economy have generated a lot of expert criticism and input on the implementation of government economic policies because they have resulted in significant impacts on non-fulfillment of basic human rights relating to economic rights. some studies, such as viljam engström,7 margot e. salomon,8 thomas cottier,9 frank j. garcia,10 fokky fuad,11 david kinley,12 nisar mohammad bin tion of the three generations of human rights can be seen in the popular phrase of the french revolution: liberté, egalité, fraternité. these generations of human rights were first formally established by karel vasak, a czech jurist, in 1979. this division of the types of human rights helps improve conversations about rights, especially those involving legislation and the role that governments play in human rights. see lindsey reid, “the generations of human rights”, online article, institute for human rights the university of alabama at birmingham, january 14, 2019, retrieved from https://cas.uab.edu/humanrights/2019/01/14/the-generations-of-human-rights/ 4 aprilia gayatri, et.al., “hak asasi manusia dan hukum ekonomi internasional, kovenan hak-hak ekonomi, sosial dan budaya/icescr 1966”, paper on international economic law, bandung, faculty of law universitas padjadjaran, 2008, p. 3.; m. jacquart, “economic, social and cultural rights”, in m. bedjaoui (ed.), international law: achievements and prospects, the netherlands, united nations educational, scientific, and cultural organization, 1991, pp. 10831104. 5 ernst-ulrich petersmann, “human rights and international economic law: common constitutional challenges and changing structures”, eui working papers, ssrn electronic journal, no. law 2012/07, pp. 11-12 doi: 10.2139/ ssrn.2069895 6 aprilia gayatri, et.al., op.cit., p.4, see also manuel couret branco, “economics againts human rights (the conflicting languages of economics and human rights)”, capitalism nature socialism, vol. 20 no. 1, 2009, pp. 85-87. 7 see viljam engström, “the political economy of austerity and human rights law”, institute for human rights working paper, no. 1/2016, abo academy university, pp. 1-16. 8 see margot e. salomon and colin arnott, “better development decision-making: applying international human rights law to neoclassical economics”, nordic journal of human rights, 2014, vol. 32, no. 1, pp. 44–74. 9 see thomas cottier, “challenges ahead in international economic law”, journal of international economic law, 2019, vol. 12 no. 1, pp. 1-30. 10 see frank j. garcia, “ globalization, inequality & international economic law”, religions, 2017, vol. 8 no. 78, pp. 1-12, doi: 10.3390/rel8050078 11 see fokky fuad, “hukum, demokrasi, dan pembangunan ekonomi”, lex jurnalica, 2007, vol.5 no. 1, december, pp. 1-10. 12 david kinley, civilising globalisation: human rights and the global economy, cambridge, cambridge university press, 2009, pp. 38-40. https://cas.uab.edu/humanrights/2019/01/14/the-generations-of-human-rights/ ridwan arifin, indonesian political economic policy and economic rights: an analysis of human rights ...40 ahmad,13 and ridwan arifin, rasdi, and riska alkadri14 showed that there are imbalances between human rights in various economic policies. economic policies in many cases lead to inequality, discrimination and even threats to the basic principles of human rights. furthermore, for example economic policies in the form of austerity measures and cuts in subsidies create a lot of unemployment and neglect of basic human rights. in further conditions in indonesia, the imbalance of economic policy presents problems not only for unemployment but also various problems such as deduction of wages for workers, eviction for the benefit of economic industrial development, high health costs and unclear social security, high fertilizer prices for farmers, high prices fuel, and reduction in education services.15 one of the latest conditions related to economic policy that has an impact on indonesia is, the usa policy on reviewing 124 indonesian products that are shipped to the usa. these items could also become subject to import tariffs and may provoke retaliatory moves from indonesia’s trade ministry, and this situation would be bad for indonesia and usa. further, said that if economic growth in the united states and china is undermined by the trade war, then it will have a direct impact on indonesian exports and—more generally— an impact on the indonesian economy as china and the usa are both among indonesia’s biggest export destinations. meanwhile, raw materials and commodities that are supplied by indonesia to china (to make those products that have now become subject to us import tariffs) are likely to become affected as demand for these raw materials/ commodities is expected to fall accordingly.16 in addition, policies to improve infrastructure to support economic development also drew a lot of criticism. the policies taken by the government, for example the construction of infrastructure such as airports, roads, or new industries, are considered not to see a human rights approach. in the national medium-term and long-term development plan (rpjm-rpjpn) for example, there are many alliances and imbalances in human rights. in fact, based on human rights instruments, the state is placed as a duty holder and places the community as the right holder. this conception reaffirms that the state does not have rights that only carry out responsibilities and obligations.17 meanwhile, the institute for community research and advocacy (lembaga studi dan advokasi masyarakat, elsam) emphasized that the economic policy package announced by the government had been more accommodating to the business interests of capital owners. the policy was also issued without an adequate protection framework for the community.18 furthermore, in some international and bilateral agreements in economic, business, and trade sectors also raise many problems in the protection of human rights. the results of migrant care indonesia’s research that various memorandums of understanding (mou), laws, presidential regulations (perpres), presidential instruction (inpres), ministerial regulations (permen), ministerial decrees (kepmen), regional regulations (perda), and regulations village (perdes) none of the policies are guided by human rights principles and are merely business and economic oriented. one of them is the policy regarding labor migration where the impact of government policy. there were no significant changes in the policy products regarding the governance of the placement of indonesian migrant workers, both before and after the ratification of the international convention on the rights of protection of migrant workers and their families which was ratified by the parliament on 12 april 2012 and enacted in national law through law number 6 of 2012.19 13 nisar mohammad bin ahmad, “the economic globalisation and its threat to human rights”, international journal of business and social science, 2011, vol. 2 no. 19, october, pp. 273-280. 14 see ridwan arifin, rasdi, riska alkadri, “tinjauan atas permasalahan penegakan hukum dan pemenuhan hak dalam konteks universalisme dan relativisme hak asasi manusia di indonesia”, jurnal ilmiah hukum legality, 2018, vol. 26 no.1, pp. 17-39, doi: https://doi.org/10.22219/jihl.v26i1.6612.g5770 15 ylbhi, “hak ekonomi, sosial dan budaya di negeri yang kaya: potret pelanggaran hak-hak ekosob di indonesia (januari 2002 – februari 2003)”, project report ylbhi, no. 3, march, pp. 1-15. in other conditions and cases, all of these rights cannot be fulfilled by the government, especially rights relating to the poor and guarantees of legal assistance. more detail, please also see angga & ridwan arifin, “penerapan bantuan hukum bagi masyarakat kurang mampu”, diversi jurnal hukum, 2018, vol. 4 no. 2, pp. 218-236, doi: https://doi.org/10.32503/diversi.v4i2.374 16 anonym, “economy of indonesia is facing several big challenges”, online article, 6 july 2018, retrieved from https:// www.indonesia-investments.com/news/news-columns/economy-of-indonesia-is-facing-several-big-challenges/ item8882? 17 agus suntoro, “perlunya pendekatan ham dalam kebijakan pembangunan infrastruktur”, online article, 15 january 2018, https://nasional.kompas.com/read/2018/01/15/21090441/perlunya-pendekatan-ham-dalam-kebijakan-pembangunan-infrastruktur 18 lili sunardi, “paket kebijakan ekonomi berpotensi picu pelanggaran ham”, online news, 11 december 2015, retrieved from https://finansial.bisnis.com/read/20151211/9/500630/paket-kebijakan-ekonomi-berpotensi-picupelanggaran-ham 19 restry armenia, “kebijakan migrasi pekerja dinilai picu pelanggaran ham buruh”, online news, 8 march 2016, retrieved from https://www.cnnindonesia.com/nasional/20160307142904-26-115831/kebijakan-migrasi-pekerja-dinilai-picu-pelanggaran-ham-buruh. for more comprehensive condition and comparison, please also read kania dewi andhika putri & ridwan arifin, “tinjauan teoritis keadilan dan kepastian dalam hukum di indonesia (the theoretical review of justice and legal certainty in indonesia)”, mimbar yustisia jurnal hukum dan hak asasi manusia, https://www.cnnindonesia.com/nasional/20160307142904-26-115831/kebijakan-migrasi-pekerja-dinilai-picu-pelanggaran-ham-buruh https://www.cnnindonesia.com/nasional/20160307142904-26-115831/kebijakan-migrasi-pekerja-dinilai-picu-pelanggaran-ham-buruh 41journal of private and commercial law 3(1) (2019) 38-49 the problems in economic policies generally come up from the principle of economic liberalism and capitalism, where in many cases this principle was not applicable for human rights protection. the principle of economic freedom in which includes free trade as well as business roles, both large business groups and small businesses, is often considered to “make the rich richer, and the poor get poorer.” moreover, from the aspect of human rights, economic freedom is also often seen as two things that are contradictory or even threatening one another.20 milton friedman, an economist in the united states, is known as one of his quotes, “the business of business is business. and the social responsibility for business is to increase its profits.” by some people, this is often the basis for business and economic freedom to become a threat to human rights itself. child labor systems (child labor) to the exploitation of developing countries are examples of arguments that assume that economic freedom and human rights are in different dimensions.21 another problem is the implementation of world trade organization law (wto law) as the main reference for the implementation of international trade and economy and the wto law is very capitalism and liberalism. when international laws and policies, including wto law, are applied within already-discriminatory domestic societal structures, they can easily exacerbate existing disparate levels of enjoyment of economic and social benefits22 as in indonesia. in such circumstances, states may have human rights law obligations to ensure that discrimination does not occur is stopped. the article begins by exploring and analyzing the relationship between the political economic policies and human rights and their further issues in indonesia. furthermore, the article also analyzed some contemporary issues concerning to economic policy as well as its relations to the human rights. research methods this research is a normative legal research where the author examines secondary data in the form of research reports, journal articles, books, and cases obtained both through print and online media. this study uses an approach to the study of human rights on the issues of national and international economic policies that apply in indonesia. this research is not a field research and is not an in-depth study, because the author only looks at the facts and that facts obtained through various media and analyzes them based on international and national human rights legal instruments. studies in this research include studies of international economic law, international law, and law and human rights. this research also recognized as descriptive legal science in the legal doctrinal approach, as emphasized by jan m. smits, that this type of research provides the systematic description of the law in certain field, and at this research focus on international economic law and human rights law which intersect with economic description of law.23 result and discussion international trades: the bias of free trade and economic welfare economics, business and trade are one of the important sectors in indonesia’s development. various economic policies were issued to maintain national economic stability and the sustainability of investment. the various economic policies present are aimed at ensuring economic prosperity and justice in the economy. however, the fact is, in any social or economic policy debate, welfare economics seeks to provide a comparative measure of optimal social utility derived from alternative policy or investment options such that the option with the optimal social utility can be chosen. it is as emphasized by salomon and arnott24 that much of the human rights critique of economics has actually focused on neoliberal economic policies such as privatization, low tax and public expenditure, and deregulation, as some commentators have correctly identified there is a 2019, vol. 2 no. 2, pp. 142-158. retrieved from http://e-jurnal.unisda.ac.id/index.php/mimbar/article/view/1344; anis widyawati, ridwan arifin, “the protection of illegal immigrants under indonesian national law and international law”, advances in social science, education and humanities research, proceedings of the 1st international conference on indonesian legal studies (icils 2018), 2018, vol. 192, pp. 305-308. doi: https://doi.org/10.2991/icils-18.2018.58 20 efn, “hak asasi manusia dan kebebasan ekonomi: benarkah beda dimensi?”, online news, 5 december 2016, retrieved from https://indonesia.fnst.org/content/hak-asasi-manusia-dan-kebebasan-ekonomi-benarkah-beda-dimensi 21 ibid. 22 gillian moon, “fair in form, but discriminatory in operation--wto law’s discriminatory effects on human rights in developing countries”, journal of international economic law 2011, vol. 14 no. 3, p. 555. 23 jan m. smits, the mind and method of the legal academic, edward elgar, cheltenham, uk, 2012, p.23. 24 margot e. salomon and colin arnott, loc.cit. https://indonesia.fnst.org/content/hak-asasi-manusia-dan-kebebasan-ekonomi-benarkah-beda-dimensi ridwan arifin, indonesian political economic policy and economic rights: an analysis of human rights ...42 fundamental failure to translate the requirements of human rights into the principles and assumptions that guide neoclassical/mainstream economics (including neoliberal economics in so far as it is underpinned by the same economic principles and assumptions). neoliberalism as well as capitalism in economics sectors has brought a lot of negative impacts in various countries including indonesia, and even has an impact on multi-sectors including in education, health, and agriculture. in fact, trades and economics—which is currently influenced by liberalism and capitalism—has become one of the important things in terms of growth, which in salvatore’s terminology, trade has become a tool for growth.25 however, in terms of etymology, trade is any form of activity selling and buying goods or services in a place, where there is a balance between the demand curve and supply at one point commonly known as the equilibrium point. while international means a world that is wide and global, not partial or one particular region. thus, international trade can be interpreted, a number of trade/sale transactions between buyers and sellers (which in this case one country with another in the form of exports and imports) on a market, in order to achieve maximum benefits for both parties. several hundred years ago, the mercantilist school thought that international trade was a profit-loss transaction or a win-lose deal. according to this flow, exports are something that is profitable (win) while imports are a detrimental thing (lose) so the state must pursue exports and avoid imports.26 the concept of international trade has emerged since the 17th and 18th centuries regarding the economic philosophy—mercantilism, which is according to the theory that the only way for a country to become rich and strong is to do as much export as possible and as little as possible import.27 furthermore, salvatore explains several theories concerning to international trade. a. absolute excellence theory according to adam smith the trade of two countries is based on absolute advantage, namely if a country is more efficient than other countries in producing a commodity, but less efficient than other countries in producing other commodities, then both countries can benefit by their own way. each specializes and produces commodities that have absolute advantages and exchange for other commodities that have absolute losses. through this process, resources in both countries can be used in the most efficient way. the output produced will also increase.28 b. comparative excellence theory according to david ricardo, even though a country is less efficient than (or has absolute losses) with other countries in producing two commodities, there is still a basis for being able to trade that benefits both parties. the country must specialize in producing and exporting commodities that have smaller absolute losses, and import commodities that have greater absolute losses.29 c. proportion of production factor theory according to ohlin heckscher there are two important conditions as the basis for the emergence of international trade, namely the availability of factors of production and the intensity of the use of factors of production or the proportion of factors of production. a country will trade with other countries because the country has a comparative advantage, namely excellence in technology and excellence in production factors.30 d. competitive advantage theory according to michael e. porter in the competitive advantage of nation theory, that there is no direct correlation between the two factors of production (high natural resources and cheap human resources) owned by a country to be utilized as a competitiveness in trade. there are four main attributes that determine why certain industries in a country can achieve international success, namely: 1) conditions of production factors, 2) demand conditions and domestic quality demands, 3) existence of supporting industries, 4) competitive conditions of strategies and corporate structures in country.31 25 salvatore stated that trade as engine of growth, see dominick salvatore, ekonomi internasional, jakarta, erlangga, 2004, pp. 47-48. 26 ibid., p. 49. 27 ibid 28 dominick salvatore, ekonomi internasional, jakarta, erlangga, 2004, pp. 58-60; tulus tambunan, perekonomian indonesia: teori dan temuan empiris, jakarta, salemba empat, 2001, pp. 34-39; heri setiawan, and sari lestari, perdagangan internasional, yogyakarta, pustaka nusantara, 2011, pp. 56-59. 29 ibid. 30 ibid. 31 ibid. 43journal of private and commercial law 3(1) (2019) 38-49 setiawan and lestari32 also describe that there are several factors that become the cause of the emergence of international trades, such as, information and transportation revolution, interdependent needs, economic liberalization, comparative advantages principle, and also foreign exchange needs. information and transportation, as setiawan and lestari emphasized, that marked by the development of the information age of technology, the use of computer-based systems and advancements in the field of information, the use of satellites and the digitalization of data processing, the development of communication equipment and much more. then, related to interdependent needs stated that each country has advantages and advantages in each aspect, can be analyzed from natural, human, and technological resources. all of that will have an impact on the dependence between countries with each other. further, in the economic liberalization, it is said that freedom in conducting transactions and conducting work together has implications that each country will look for opportunities by interacting through trade between countries. moreover, setiawan and lestari, explained that in the principle of comparative advantage, the uniqueness of a country is reflected in what the country has that is not owned by other countries. this will make the country have an advantage that can be relied upon as a source of income for the country. about foreign exchange needs, setiawan and lestari underlined that international trade is also influenced by factors in the need for foreign exchange of a country. in fulfilling all its needs, every country must have foreign exchange reserves used in carrying out development and one of the sources of foreign exchange is income from international trade.33 various trade agreements in the context of the international economy, are legally binding within the framework of international treaty law. the trade carried out, leads to a free trade practice, in which indonesia has also implemented this practice, for example in several agreements such as the asean free trade area (afta), the indonesia-australia comprehensive economic partnership agreement (cepa), and the china asean free trade area (cafta), has an impact on socio-economic changes in society.34 the various free trade agreements that have been made and agreed upon, basically also emphasize the importance of productivity accompanied by the principle of equality, justice, protection of human rights and the environment, but again when talking about reality, it might be worth reviewing concerning the truth set forth those principles. james petras35 has quite critically said that the discourses that we have always considered normal should be critically scrutinized. this mode of free trade will not only be a mechanism for mastering developed countries towards developing countries. neoliberalism or referred to as an economic notion that prioritizes the capitalist system of free trade, for the inevitability of economic market integration is nothing more than myths and claims that are always built for the benefit of imperialist relations. in line with what was described earlier, it is said that free trade is a form of market fundalism (funding concept) that might destroy the implementation of human rights. the free market has a very critical relationship with human rights, but between free markets and human rights does not have too much contradiction. however, free markets can destroy human rights values and frameworks or assist in implementing fulfillment of human rights in indonesia. in the next section, this paper will analyze at how relations and even human rights issues arise from the practice of indonesian economic and trade policies. as previously mentioned, even free trade and other economic policies indicate the practice of economic policies of liberalism and capitalism, with some experts arguing that such practices can be debilitating and that they exclude basic human rights values. the indonesian political economy and human rights (various contemporary and controversial economic policies) economic policy is the way taken or actions taken by the government with the aim of regulating the national economic life in order to achieve certain goals.36 international economic policies in the broad sense include all economic activities of a country’s government that directly or indirectly affect the composition, direction and activities of export and import of goods and services carried out by the government. therefore, even if a policy is aimed at overcoming domestic problems, if it directly or indirectly influences exports and imports it can be included in international economic policies. 32 heri setiawan, and sari lestari, perdagangan internasional, yogyakarta, pustaka nusantara, 2011, p. 61 33 ibid. pp. 62-63 34 hendra manurung, improving free trade agreement (fta) between indonesia-european union (eu) through comprehensive economic partnership agreement (cepa)”, asia pacific studies, volume 2 no. 1, january-june 2018, pp. 23-44 35 james petras said that overseas economic exploitation has transferred income to ‘buy-off’ the domestic working and middle classes, in the course of consolidating imperial hegemony, see james petras, “us empire: global imperialism and internal colonialism”, online article, 20 march 2018, retrieved from https://petras.lahaine.org/us-empire-globalimperialism-and-internal/ 36 t gilarso, pengantar ilmu ekonomi makro, penerbit kanisius, yogyakarta, 2004, p. 225 https://petras.lahaine.org/us-empire-global-imperialism-and-internal/ https://petras.lahaine.org/us-empire-global-imperialism-and-internal/ ridwan arifin, indonesian political economic policy and economic rights: an analysis of human rights ...44 international economic policy in the narrow sense only covers policies that directly affect exports and imports. international policy in this narrow sense is related to the export of goods and services, therefore the scope is very broad considering the number of goods or services exported or imported, ranging from consumer goods, production to labor.37 on the side of economic policy, human rights are inherent in the form of implementation, where human rights in the economic sector are defined as rights to economy, equality and non-discrimination. further, emphasized that human rights are rights owned by every human being who has been born since and this right cannot be replaced or contested by anyone. indeed, every citizen upholds human rights without differentiating between one citizen and another. in the economic field, economic rights (property rights) are certainly manifested in the form of the right to own, buy, sell and use something. in the economy, equality in its legal economic rights must be protected by the state. of course the mechanism, the state must create a supportive atmosphere through legislation.38 therefore, the state through its government apparatus must not discriminate, favoritism, privilege to certain people and groups, exclusivity, and others. therefore, the state through its government apparatus must not discriminate, favoritism, privilege to certain people and groups, exclusivity, and others. so, economic justice is the first pillar that must be fought for.39 many cases of economic injustice or inequality are visible in front of us. economic injustice, in fact many are produced by the state through their apparatus. the jakarta bay reclamation case, for example, which is unfeasible in academic studies, is forced by the state in consideration of economic benefits. the advantage for big business people with bright lights has discriminated against the environment of the biota and the livelihood of the people, especially the fate of fishermen.40 one example of a case related to economic rights in indonesia, namely, the case of delinquent payment of salaries of employees of the riau governor’s cleaning service by the outsourcing company cv ratu. the chronology of this case is where hundreds of cleaning services at the riau governor’s office and its surroundings have not received salaries so far. the origin of the problem of the workers and the company cv ratu is a four-month paycheck made by the company, workers are trying to ask for confirmation from the company that hired them. the reason for the company is that the company has not received payment by the riau provincial government, but the company continues to make an effort to immediately pay the entire arrears of the workers’ salaries of rp.1,750,000 per month. but on the other hand the riau provincial government asserted that the company cv ratu to immediately pay off the salaries of workers, because given that there is no reason for the company to delay its obligations. until now the workers agreed to be forced to report this problem to the riau regional police.41 that case highlighted that the problems between workers and cv. ratu who is an outsourcing company that employs them is related to salary payments arrears for four months. this is contrary to the rules contained in law number 13 of 2003 concerning labor (or labor act). previously, we can see the definition of workers in article 1 point 3 of the labor act, namely: “workers/labors are everyone who works by receiving wages or other forms of rewards.” and the relation with wages is stated in the provisions of article 88 paragraph (1): “every worker/labor has the right to obtain income that fulfills a decent living for humanity.”42 thus, workers and wages are two things that are interrelated with each other, so that wages are rights that must be fought for while carrying out their duties as workers. meanwhile, in another case, elsam revealed that government policies in the field of economic development did not favor the poor. the brief objectives of systematic economic recovery have weakened the power of the implementation of justice measures and the power of the people’s struggle. the indonesian economy, for its recovery, has chosen the path of economic violence. short economic goals have been fought through the prac37 nia julianti, “kebijakan ekonomi dan perdagangan internasional”, online paper stie dr khiez muttaqien, https:// www.academia.edu/21971951/makalah_kebijakan_ekonomi_dan_perdagangan_internasional 38 idjehar emphasized that economic rights (property rights) are the right to own, buy and economic rights are rights related to economic life. or the right given to be able to own, buy and sell, and utilize something. see muhammad budairi idjehar, ham versus kapitalisme, yogyakarta, insist press, 2003, pp. 45-46. another perspectives, see also muhammad ali masnun, “legal protection of the right to indication of origin in indonesia”, journal of private and commercial law, 2018, vol. 2 no. 2, pp. 113-124, retrieved from https://journal.unnes.ac.id/nju/index.php/jpcl/ article/view/16875 39 bukhaer pakkanna, “hak asasi ekonomi dan inteleransi”, online article, 10 december 2017, retrieved from https:// geotimes.co.id/kolom/ekonomi/hak-asasi-ekonomi-dan-intoleransi/ 40 ibid. 41 lbh pekanbaru, “kasus penunggakan pembayaran gaji karyawan cleaning service kantor gubernur riau oleh perusahaan outsourcing cv. ratu”, online article, retrieved from https://www.lbhpekanbaru.or.id/kasus-penunggakanpembayaran-gaji-karyawan-cleaning-service-kantor-gubernur-riau-oleh-perusahaan-outsourching-cv-ratu/ 42 law number 13 of 2003 concerning labor https://www.lbhpekanbaru.or.id/kasus-penunggakan-pembayaran-gaji-karyawan-cleaning-service-kantor-gubernur-riau-oleh-perusahaan-outsourching-cv-ratu/ https://www.lbhpekanbaru.or.id/kasus-penunggakan-pembayaran-gaji-karyawan-cleaning-service-kantor-gubernur-riau-oleh-perusahaan-outsourching-cv-ratu/ 45journal of private and commercial law 3(1) (2019) 38-49 tice of impoverishment, extortion and violence. furthermore, the state budget shows a smaller general welfare budget from the military budget. this confirms the assumption that indonesia’s economic recovery has been achieved by increasing the ability of the security apparatus rather than increasing the welfare of its citizens.43 economic rights in international conventions and international economic law regime: the relations with human rights article 1 paragraph (1) of law no.39 of 1999 concerning human rights states that “human rights are a set of rights that are inherent in the nature and existence of human beings as god almighty and is a gift that must be respected, upheld high and protected by the state, law, government, and everyone for the sake of respect and protection of human dignity.”44 hendarmin ranadireksa said that human rights are essentially a set of rules or rules to protect citizens from the possibility of oppression, suppression and or limitation of space citizens by the state, which means that there are certain restrictions imposed on the state so that the most essential rights of citizens are protected from the arbitrariness of the power exercised by the government.45 according to mahfud md46 human rights are interpreted as rights inherent in human dignity as creatures of god, and these rights are brought by humans from birth to the face of the earth so that these rights are natural (natural), not human or state gifts. thus it can be concluded that human rights are the basic rights inherent in each individual from birth to the face of the earth and not a gift of humans or authorities that must be protected and cannot be reduced without any reason. in 1948, precisely on december 10, 1948 a general agreement was formed from the international community to guarantee and protect human rights. the general agreement is the universal declaration of human rights (udhr) which contains articles relating to human rights and in 1966 an international legal instrument concerning human rights was agreed, namely: international covenant on civil and political rights (iccpr), the international covenant on economic, social and cultural rights (icescr), and additional protocols covenant on civil and political rights (the optional protocol on civil and political rights). economic and social rights are very strategic human rights to fight for and fulfill, in line with this view expressed by robertson that civil and political right may be fundamental, be they cannot be enjoyed on an empty stomach, talk to holocaust survivors, and they will tell you that racial discrimination, slavery and loss of liberty) were not the immediate concern....but rather an aching and all enveloping hunger. of course, starvation was inflicted as a consequence of an inhuman racist policy, but it endangered their right to life more directly than depriving them of civil liberties.47 in the articles of the two conventions (iccpr and icescr) participated in the 1948 udhr. both set up a monitoring system which according to many scholars was rather weak. this shows the udhr’s important role in human rights in general, and human rights to the economy in particular. in connection with international economic law, the following description emphasizes the convention on economic, social and cultural rights (icescr). a. economic rights (rights to economy) this right to economy is contained in the covenant on rights economics, social and culture. this right, according to henkin48, is known as the second general (second generation) right of human rights. from the articles of the icescr express human rights to the economy, namely: 1) the right to work; 2) the right to a decent salary with his job; 3) the right to join a trade/labor union; 4) the right to rest (leisure); 5) the right to get a decent standard of living (adequate 43 elsam, “laporan hak asasi manusia 2003: melemahnya daya penegakan hak asasi manusia : hutang, kemiskinan dan kekerasan”, research report, elsam, retrieved from http://elsam.or.id/2003/12/melemahnya-daya-penegakan-hak-asasi-manusia-hutang-kemiskinan-dan-kekerasan/, see also ridwan arifin, “revealing the other side of human rights issue: how we look to the existed various problems”, journal of indonesian legal studies (jils), 2017, vol. 2 no. 1, pp. 79-82, retrieved from https://journal.unnes.ac.id/sju/index.php/jils/article/view/16642 44 law no.39 of 1999 concerning human rights (indonesian human rights act) 45 erlina b, “pengaruh globalisasi terhadap perkembangan hak asasi manusia bidang ekonomi, sosial, budaya (hesb) di indonesia”, pranata hukum, 2011, vol. 6 no. 2, pp. 103-116. 46 see moh. mahfud md, dasar & struktur ketatanegaraan indonesia, rineka cipta, jakarta, 2001, pp. 23-25; 47 goeffrey robertson, crimes against humanity: the struggle for global justice, london, penguin books, 2002, pp. 154-155; see also steven freeland, “geoffrey robertson crimes against humanity: the struggle for global justice (2nd edition) 2002 penguin books, london”, australian journal of human rights, 2003, vol. 9 no. 2, 48 louis henkin, the age of rights, new york, columbia university press, 1990, pp. 13-15. http://elsam.or.id/2003/12/melemahnya-daya-penegakan-hak-asasi-manusia-hutang-kemiskinan-dan-kekerasan/ http://elsam.or.id/2003/12/melemahnya-daya-penegakan-hak-asasi-manusia-hutang-kemiskinan-dan-kekerasan/ ridwan arifin, indonesian political economic policy and economic rights: an analysis of human rights ...46 6) standard of living) which includes food, clothing, housing, health, and social services; 7) the right to education, including free basic education, and 8) the right to participate in cultural life in the community. b. right to work the right to work is contained in article 6 of the icescr and this right is an essential part of the human condition. affirmation of this right according to jacquart, is rather difficult to achieve. there are two reasons that support his opinion. first, although the icescr affirms the existence of rights to work, the icescr also recognizes the existence of other rights, namely the right to social security. secondly, the implementation of this right is very dependent on the ability of the government to provide employment to its citizens. therefore, jacquart believes that the right to work is more appropriately referred to as the right of access to work.49 c. right to salary and eligible conditions this right is contained in article 7 of the icescr. this right is closely related to the right to work. this right is also an absolute right. the international labor organization (ilo) has issued various legal instruments to strengthen these rights. these instruments included convention no. 131 and recommendation no. 135 of 1970 which regulated the stipulation of minimum wages.50 d. the right to establish and join a trade union article 8 of the icescr contains the right to form and join with trade unions. the provisions of this article constitute mandatory rights. in a sense, the state must guarantee his citizens or work to join in the trade unions he likes. included in this right is the right to strike. this right has been strengthened by various resolutions and international agreements formulated in the ilo. an example is issued an instrument entitled freedom of association and protection of the right to organize, convention no. 87 dated july 9, 1948. e. right to rest this right is contained in article 7 (d). this article confirms, is the right of everyone to enjoy a break from their work, including enjoying a holiday and vacation (by still getting a salary payment). f. the right to obtain adequate standard of living (includes food, clothing, housing, health and social services) this right is listed in articles 10, 11 and 12 of icescr. this right especially article 11 is the most widespread and general of the articles in the covenant. the rights to obtain a decent standard of living are also included in the right to protection of the family (article 10). article 10 paragraph (3) even requires the state to punish anyone who exploits small children, especially those who make children as workers. in relation to this right, there are also important rights namely the right to food, clothing, housing, health, and social services. the provisions of the right to food are affirmed in article 11 paragraph 2 which states that the fundamental right of everyone to be free from hunger. according to jacquart, the provisions of this article indicate the state either individually or together with other countries to take steps or ways needed to improve food production, conservation and distribution. also included in this case is food distribution that is fair to the world according to their needs.51 it needs to be explained here that the right to a decent standard of living is a prerequisite for the realization of the rights of other lives. according to jacquart,52 the absence of this right would result in economic (and social) rights not being met (fulfilled). this opinion is appropriate, because how can other economic rights be implemented if the basic rights, namely the right to an adequate standard of living are not fulfilled. the ilo has issued various instruments that require countries (members) to respect this right. these instruments include: 1) the universal declaration on the eradication of hunger and malnutrition53; and 2) resolution 41/190 dated 8 december 1986 which affirmed the right to food as fundamental human rights that must be guaranteed for all people. this resolution also states that the provision of these foods should not be used as a suppressing instrument or instrument at the national or international level. regarding the significance or significance of this right, matthew craven stated that there is no doubt that the right to an adequate standard of living, including the rights to food, housing and clothing is of paramount 49 m. jacquart, “economic, social and cultural rights”, in m. bedjaoui (ed.), international law: achievements and prospects, the netherlands, united nations educational, scientific, and cultural organization, 1991, pp. 1083-1104. 50 ilo convention no. 131, recommendation no. 135 of 1970 51 m. jacquart, op.cit. 52 ibid. 53 see ohchr, “universal declaration on the eradication of hunger and malnutrition”, retrieved from https://www. ohchr.org/en/professionalinterest/pages/eradicationofhungerandmalnutrition.aspx 47journal of private and commercial law 3(1) (2019) 38-49 importance not least because at minimum levels it represents a question of survival.54 g. right to education, including free basic education this right is regulated in articles 13 and 14 of the icescr. this right really is the implementation of article 26 of the universal declaration of human rights. paragraph 2 of article 26 confirms the purpose of these rights to education, namely: 1) develop human personality comprehensively; 2) increasing respect for human rights and human rights and fundamental freedoms; 3) increase tolerance; 4) increase understanding and brotherhood among all country, race, religious group; and 5) advance un activities and maintain peace. the right to education is stipulated in articles 13 and 14 icescr. in particular article 14, based on this article the participating countries are required to make an action plan to fully implement the principle of free and compulsory basic education. h. the right to participate in cultural life in the community this right is contained in article 15 of the icescr. according to jacquart, this right will only be enjoyed if the appropriate standard rights beforehand can or have been fulfilled. this right includes the right to participate in cultural life, the right to benefit from scientific progress, the right to protection from artistic objects, writing or other material (which is harmful) originating from science, the right to freedom of research, communication and information.55 the values and principles of economic rights are articulated in the udhr and summarized all the values underlying the modern international human rights system: universality, dignity, independence (or freedom), justice, equality (or fairness, also including distributive justice), accountability (government), participation, empowerment, and a sense of brotherhood (or solidarity) between people.56 rules in trade, also including rules in the wto, are based on the same values as human rights: freedom and individual responsibility, non-discrimination, law enforcement, and welfare through peaceful cooperation between individuals. ernst-ulrich petersmann also stated that the wto regime promotes freedom (in eliminating trade restrictions), discrimination (in the form of most favored nation / mfn and national treatment / nt), rule of law (in relation to wto member countries to be transparent with obligations and implementation according to a system based on international trade), and economic efficiency in improving welfare.57 conclusion economic rights are one of the fundamental rights listed in various international human rights conventions, whether iccpr, icesr, or udhr itself. the economic and trade sectors have a close relationship with the fulfillment of human rights. in many cases in indonesia, both national and international economic policies have an impact on the fulfillment of economic rights which are also included in human rights. the international economic law regime also recognizes in detail about human rights which intersect directly with human rights, one of which is various rules of international trade and wto law. political measures of economic policy, both in the form of austerity, subsidy reduction, tax and salary policies, or investment development, have a direct impact on the fulfillment of basic human rights. bibliography arifin, ridwan, rasdi, riska alkadri. 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the state as a preferent creditor who is declared to have prior rights over the property of the taxpayer to be auctioned in public. the state's preference by taxpayer repayment is in fact not as easy as one might imagine, there are some problems. the purpose of article writing is to know the position of the state as a preferent creditor for the tax debt of the taxpayer declared bankrupt and know the obstacles of the state as a preferent creditor to the repayment of tax debt on taxpayers declared bankrupt. provisions on the state's prior rights include the principal taxes, administrative sanctions in the form of interest, penalties, increases, and tax collection fees. the weakness in the regulation creates an impediment to the application of the state as a preferential creditor who has the preference right, namely the formulation of the preference right itself that is unclear about the notion of the state's position as the preferent creditor, in addition to the overlapping regulation of the preference right (preferent creditor) the civil code, the law on general taxation and bankruptcy laws and postponement of debt payment obligations which not only the state as the preference rights holder's creditors. keywords : preferent creditor, preference right, tax debt introduction bankruptcy is a condition in which the debtor is unable to make payments on debts owed by his creditors. the situation is not able to pay normally due to the difficult financial condition (financial distress) of the debtor business that has ratih damayanti, the state position…., pp. 65 77 been declining. 1 while the bankruptcy is a decision issued by the court that resulted in general confiscation of all the wealth owned and the wealth that will be owned by the debtor in the future. bankruptcy proceedings and bribery shall be conducted by the curator under the supervision of a supervisory judge, the two officials appointed directly at the time of the bankruptcy verdict are read out. 2 bankruptcy under the provisions of article 1 number 1 of code no 37 of 2004 concerning bankruptcy and suspension of debt payment obligation, hereinafter abbreviated as uuk-pkpu, is a general confiscation of all the wealth of the bankrupt debtor whose management and or its ordering is done by the curator under the supervision of the supervisory judge. 3 the purpose of bankruptcy is that all creditors get paid according to the balance of the small accounts receivable each in a fair and orderly not scramble. 4 a debtor holding two or more creditors and not paying off at least one debt that has been matured and collectible shall be declared bankrupt by a court decision, either on his own request or at the request of one or more of his creditors (concursus creditorum). 5 due to the legal consequences from the bankruptcy decision of the judgment of a commercial court declaration will bring the debtor and creditor into certain situation. the legal consequences of the decree of bankruptcy declaration are regulated in article 21 of uuk-pkpu covering the entire wealth of the debtor at the time of the declaration of bankruptcy statement is pronounced and everything that is obtained during bankruptcy. the declared bankrupt debtor loses all his / her rights to administer and control the assets which have been inserted into the bankruptcy but the debtor declared bankrupt can still do legal acts concerning him / her because bankruptcy only results in the assets of the debtor bankrupt, not the personal debtors bankrupt. if a bankrupt debtor is married then 1 m. hadi shubhan, hukum kepailitan: prinsip, norma, dan praktik di peradilan, kencana, jakarta, 2009, p. 1. 2 dedy tri hartono, perlindungan hukum kreditor berdasarkan code kepailitan, jurnal ilmu hukum legal opinion edisi i, volume 4, of 2016, p.1. 3 article 1 number 1 code no 37 of 2004 about bankruptcy and suspension of debt payment obligations 4 abdul r. saliman, hukum bisnis untuk perusahaan teori dan contoh kasus, cet.5, jakarta: kencana, 2010, p.133. 5 jono, hukum kepailitan, jakarta: sinar grafika, 2013, p. 3 67 journal of private and commercial law volume 2 no. 1, mei 2018 the bankruptcy also applies to his wife or married husband on the basis of the unity of property. this provision resulted in the entire property of his wife or husband belonging to the unity of property also exposed to bankruptcy confiscation. but this provision does not apply to the property of the wife or husband and the property which is on a gift or inheritance. 6 debtor's assets are mutual guarantee to creditors and proceeds from sale of debtor's property must be distributed to creditors in accordance with the amount of its receivables, except if among the creditors based on the law must take precedence in its distribution, as regulated in article 1132 civil code. 7 there are 3 kinds of creditors known in civil code namely: (1) the concurrent creditors are the creditors who obtain the settlement based on the amount of the respective receivables. the concurrent creditors have the same position of debt repayment of the debtor's possessions without any precedence. (2) preferent creditors are creditors who by law are granted the privilege of obtaining early repayment of receivables compared to other creditors. this privilege is given based on the nature of the receivables that must take precedence. (3) separatist creditors are creditor holders of material security rights namely mortgage, pledge, mortgage and fiduciary rights. these separatist creditors are separated and not included in the division of bankrupt debtors' property. this creditor may execute his / her right as if there was no bankruptcy. however, the execution rights of such debt guarantees can not be made by the separatist creditors at any time, the creditor must wait for a period of suspension not later than 90 (ninety) days from the date of the decision on the request for the declaration of bankruptcy. the state has the preference right to tax debt on the property of the taxpayer. this means that the position of the state as a preferent creditor who is declared to have prior rights over the property of the taxpayer to be auctioned in public. the state has the right to obtain a repayment of the debts owned by the 6 munir fuady, hukum pailit dalam teori and praktek, jakarta: citra aditya, 2014, p. 71. 7 kartini muljadi & gunawan widjaja, 2004, pedoman menangani perkara kepailitan, pt. raja grafindo persada, jakarta, p. 107. ratih damayanti, the state position…., pp. 65 77 taxpayer, prioritizing the various debts owned against other creditors. payments to other creditors are settled after the tax debt has been paid. uuk-pkpu mentions the existence of a preference (preferent), but in practice the right may be void. this can lead to a tendency for taxpayers to avoid payment of tax debt. the uuk-pkpu explains that under the circumstances of a bankrupt company or delaying its debt service obligations, a higher creditor's position should take precedence over the payment. one of the provisions of the offending uu-pkpu is article 41 paragraph (3) that "exempted from the provisions of paragraph (1) shall be the act of the debtor's law which is obligated under the agreement and or by law." the explanation is the obligatory act act for example, the position of paying taxes. however, uuk-pkpu only focuses on the commercial aspect and does not explicitly mention the taxes but the rights of the former in general. that is, if a company experiencing bankruptcy or postpone the obligation to pay the debt, then the position of the directorate general of taxation should take precedence but with the judge's judgment. while the tax law in accordance with the act expressly provides that the repayment of tax debt has the preference right (preferent) for repayment than other debts, except for repayment provided in article 1139 and article 1149 civil code. 8 regarding such exceptions is logical because it is devoted to the cost of the case and the execution fee which is the first measure to save the debtor's property or the taxpayer. the state's prior rights for tax bills on goods belonging to the tax payer are provided for in article 21 of code no 16 of 2009 concerning general provisions and tax procedures (kup). tax liability is a special rule, therefore the state through the directorate general of taxes has a "right of predecessor" to exercise confiscation of taxpayer goods which make his possessions or assets as collateral for his debts, as stipulated in article 21 of the act the kup. given this debt, the preference right of collecting tax debt is stronger than other debts. that is, if the debtor has more than one debt, then the government as the prior holder of the precedence takes preference. if the guaranteed goods are auctioned then the proceeds will be used 8 sumyar, dasar-dasar hukum pajak dan perpajakan, cet. 1, yogyakarta, universitas atmajaya, 2004, hal 95. 69 journal of private and commercial law volume 2 no. 1, mei 2018 to pay off the debtor's tax debt to the government, then the debts to other creditors. based on the above preliminaries can be formulated problem formulation as follows: (1) how is the position of the state as the preferent creditor of the tax debt of the taxpayer declared bankrupt?; (2) what are the constraints of the state as the preferent creditor to the settlement of tax debt on the taxpayer declared bankrupt? results and discussion state position as preferent creditor on tax debt the position of tax debt is a special privilege, so that the state is domiciled as a preferent creditor having privileges on the property of the taxpayer shall be auctioned in public. 9 article 1134 paragraph (2) of the civil code also provides for the privilege of having higher rank than other indebted persons due to the laws and regulations. the state as the preferent creditor causes the state to have a preference right over the goods of the taxpayer and has a higher position than the separatist lender or the concurrent creditor in the bankruptcy law. 10 the preference right of the state referred to herein shall be in the case of a taxpayer or a taxpayer at the same time in addition to having personal debt (civil), also having a debt to the state (fiscal), in which the property of the taxpayer or the taxpayer is insufficient to pay off all debts, then the state has the right to precede the tax bill on the repayment of tax debt by taxpayers declared bankrupt. payments to other creditors are settled after the tax debt has been paid. provisions on such preference rights include 11 : 1. tax principal 9 article 19 paragraph (6) code ppsp jo. article 21 (1) code kup jo. article 1134 civil code jo. article 60 paragraph (2) bankruptcy code 10 ishak, upaya hukum debitor terhadap putusan pailit, kanun jurnal ilmu hukum no. 65, th. xvii (april, 2015), pp. 189-215. 11 legal provision of state preference right : article 21 code no. 28 of 2007, article 21 paragraph (4) and paragraph (5) code no. 16 of 2000, article 14 paragraph (1), article 18, and article 19 code no. 19 of 2000, code no. 4 of 1996, article 1, article 41 paragraph (1) and (3), article 61, article 113, article 114 and article 115, code no. 37 of 2004, article 47 goverment provision no. 74 of 2011, article 1137 civil code ratih damayanti, the state position…., pp. 65 77 2. administrative sanctions in the form of interest, penalties, increases, and tax collection fees. the preference right to a tax bill exceeds all other prior rights, except to: a. the cost of a case which is solely attributable to a penalty for auctioning of a moving good and / or immovable property; b. costs incurred to rescue the goods concerned; c. the cost of the case, which is solely attributed to the auction and the settlement of an inheritance. 12 in the event that a taxpayer is declared bankrupt, dissolved or liquidated, the curator, liquidator or person or entity assigned to perform the order is prohibited from distributing the taxpayer's property in bankruptcy, dissolution or liquidation to shareholders or other creditors before using the property to pay the tax debt . taxpayers who have been declared bankrupt through the court decision and then the decision which has permanent legal force which has had permanent legal force shall be submitted by the district court to the auction office to be used as the basis for the distribution of auction proceeds. the bankruptcy process is a process of the implementation of the provisions of article 1131 and article 1132 of the civil code which aims to divide the debtor's property fairly, intended for the creditor to obtain the preliminary execution (pari passa) from the other, as well as the creditor obtaining greater repayment for other (protata). 13 state'position as a preferent creditor having prior rights over the property of the taxpayer and the goods of his / her representative. 14 the preference rights are automatically lost, if not used by the tax authorities, after a period of two years from the issuance of stp or skpkb or skpkbt or sk. and correction of sk. objection or appeal unless prior to the fiscal two year period of issuing a letter of force to prevent the expiration of the preference right. the precedence to collect the tax debt by itself disappears, if the tax debt has been fully paid. 12 code no. 19 of 1997 jo code no. 19 of 2000 on tax collection under a warrant, article 19 paragraph 6 , on exception of preference right 13 munif rochmawanto, upaya hukum dalam perkara kepailitan, jurnal independent vol 3 no. 2, p. 25. 14 article 21 paragraph (1) code no. 6 of 1983 jo code no. 9 of 1994 jo code no. 16 of 2000 about kup 71 journal of private and commercial law volume 2 no. 1, mei 2018 weakness of state as preferent creditor against debt repayment an important stage in the bankruptcy process is insolvency that the debtor is unable to pay, as it is at this stage that the bankrupt property is immediately executed and shared, otherwise peace between the bankrupt debtor and the creditors. in performing the division of bankrupt property, must follow the rules contained in code no. 37 of 2004 about bankruptcy and suspension of debt payment obligation (uuk-pkpu), or spread in various other laws and regulations. the position of the creditor is one of the important factors to be considered, whether it is a concurrent creditor, a separatist creditor, a preferent creditor, or a creditor syndicate. the status of the state, as the creditor, and the state's privileges on the payment of tax debt are not clearly regulated in the uukpkpu. 15 concurrent creditors, separatist creditors, preferent creditors, and creditor syndicates are not given a clear understanding. there is an overlaping terms "privileged creditors", which is between the civil code, uukup and uuk-pkpu. 16 moreover, the kpkpu law also uses the terms "right to take precedence" and "pre-existing creditors" which are not translated. the provisions on preferential or special privileges provided for in article 1134 of the civil code, are generalist lex. on the other hand, the civil code still provides an opportunity for other lex specialist provisions, namely tax laws and bankruptcy laws, to further regulate. based on the lex specialis derogat lex generalis principle, tax laws may override the civil code. the problem is, when the tax law states about its "virtue" because it contains the precedence of the state, whereas the law must be related to bankruptcy law, which is also a lex specialis, then which law becomes "more specialist"? if viewed from the philosophical aspect, the tax is the income for the public interest, even the interests of the nation and state, so the tax law will be judged "more specialist". however, when viewed from the juridical aspect, the two laws are legislative products that have the same degree. 15 explanation article 2 paragraph (1) code kpkpu. 16 explanation article 60 paragraph (2) kpkpu code ratih damayanti, the state position…., pp. 65 77 the provisions regarding "privileged creditors" are spread out in several articles. 17 from the point of view of the law in the field of taxation that is in the code no 28 of 2007 about third amendment to code no. 6 of 1983 on general provisions and procedures of taxation (hereinafter referred to as the kup law) states "the status of the state as creditor preferent "and" having the right of predecessor ", among them is stipulated in article 21 18 and elucidation of article 21. 19 similarly to the code no. 19 of 2000 on the amendment to code no 19 of 1997 on the collection of taxes by forced mail (here in after referred to as the ppsp code), "the position of the state as the preferent creditor" and "having the right of precedence" contained in article 19 paragraph (5), 20 article 19 paragraph (6), 21 elucidation of article 19 paragraph (6), 22 and elucidation of article 19 17 kpkpu code: article 118 paragraph (2), article 124 paragraph (2), article 138, article 149 paragraph (1), article 162, article 189 paragraph (5), article 198 paragraph (3), article 199, article 200 paragraph (2), article 212, article 213, explanation article 2 paragraph (1), explanation article 222 paragraph (2), explanation article 228 paragraph (4). 18 article 21 and explanation article 21 kup code regulate : (1) the state has a prior right to the tax debt on the property of the taxpayer. (2) provisions on the preference rights as referred to in paragraph (1) cover the principal taxes, administrative sanctions in the form of interest, penalties, increases, and tax collection fees. (3) the predecessor right to tax debt exceeds all other prior rights, except to: a. the cost of a case which is only caused by a penalty for auctioning a moving good and a fixed item; b. costs incurred to rescue the goods concerned; and or c. the cost of the case, which is only caused by the auction and the settlement of an inheritance. (3a) in the event that a taxpayer is declared bankrupt, dissolved or liquidated, the curator, liquidator or person or baand assigned to perform the order is prohibited from distributing the taxpayer's property in bankruptcy, dissolution or liquidation to the shareholders or other creditor before using the property for pay the tax debt of the taxpayer. (4) initial rights disappear after 5 (five) since the date of issuance of tax collection letters, underpayment tax assessment letters, additional paid tax assessment letters of decision, decision letter, appeal decision, or review judgment causing the amount of tax to be paid increases. (5) the calculation of the timeframe of the preference right shall be stipulated as follows: a. in the case of a forced warrant to pay to be formally notified, the time period of 5 (five) of as referred to in paragraph (4) shall be calculated from the notice of the letter of force; or b. in the case of a delayed payment or payment installment agreement then the time period of 5 (five) of which shall be counted since the deadline of delay is granted 19 explanation article 21 paragraph (1) kup code regulate “this paragraph establishes the position of the state as the preferent creditor who is stated to have prior rights over the goods of the taxpayer to be auctioned in public. payments to other creditors are settled after the tax debt has been paid.” 20 article 19 paragraph (5) code ppsp regulate “the district court or other authorized institution shall determine the distribution of the proceeds of the sale of goods in accordance with the provisions of the state's prior right to the tax bill.” 21 article 19 paragraph (6) code ppsp regulate “the preference rights to tax bills exceed any other prior rights, except to: a. the cost of a case which is solely attributable to a penalty for auctioning of a moving good and a fixed item; b. costs incurred to rescue the goods concerned; 73 journal of private and commercial law volume 2 no. 1, mei 2018 paragraph (7). 23 although the "preference right" in terms of tax debt has been described, but again the term "preferent creditor" is not given a clear understanding. the revision of the 2009 kup code also fails to clarify what constitutes "the state's position as a preferent creditor" and "has a prior right" and the problem between tax law (as part of public law) and civil or private law. weaknesses in regulation create barriers to the application of the state as preferential creditors with prior rights. some of the problems are the first, the term "the status of the state as a creditor" in the tax law (uu kup and uu ppsp) is certainly not the same as what is meant by "creditor" as regulated in civil law namely the party giving the debt or credit to taxpayer. secondly, if the term "preferred" in the two tax laws above is the same as the "privilege" in article 1134 of the civil code, precisely the "preference right" can not be nominated. the civil code regulates certain security holder (ie mortgage and mortgage) for debt repayment, still higher than the privilege, since the tax office does not hold any guarantee from the taxpayer. 24 the existence of a creditor who holds a guarantee on the debtor's property also becomes a separate problem. preferential creditor group, according to article 1149 of the civil code also includes workers and employees of the company on the salary of employees whose rights should be paid immediately. the kpkpu law, which does not clearly define the notion of various creditors, certainly makes it difficult to determine the order of parties entitled to the division of bankrupt property. moreover the term "preferent creditor" to c. the cost of a case which is solely attributable to the auction and the settlement of an inheritance” 22 explanation article 19 paragraph (6) ppsp code regulate : “this paragraph establishes the position of the state as a preferent creditor who is deemed to have a prior right over the goods of the taxpayer to be sold except for the cost of a case which is solely attributable to a penalty for auctioning of a moving good and a fixed item, the cost incurred to save the intended goods, or the cost of a case which is solely attributable to the auction and the settlement of an inheritance. the proceeds of sale of goods belonging to the taxpayer in advance to pay the above costs and the rest is used to pay off the tax debt.” 23 explanation article 19 paragraph (7) ppsp code regulate “as a continuation of the determination of the district court to determine the distribution of proceeds from the sale of confiscated goods with due observance of the preference right to the tax refund, if the said ruling then has a permanent legal force, the district court shall immediately send its decision to the auction office for use as a basis for the distribution of auction proceeds.” 24 y. sri pudyatmoko, pengantar hukum pajak, yogyakarta : andi offset, 2008, p.20. ratih damayanti, the state position…., pp. 65 77 describe the state's position. 25 on the contrary, based on the theory of judgment, the judge is subject only to law and justice, no one (including the government) can influence or direct the judgment to be imposed, and there shall be no consequence to the judge's personal in performing his judicial duties and functions. 26 the reality of the vague norm on the provisions concerning the position of the kpp in the divorce of bankrupt property by the curator, and the state's prior right to tax payment on the commercial court ruling should be examined, as it affects a lot of state revenue sources and also aims to other creditors, curators, and kpp get justice and legal certainty from the division of bankrupt property. the weakness of the application of the state's prior rights is due to the formulation of the preference right itself which is unclear about the notion of the state's position as the preferent creditor. tunggul ansari s.n, declares the legislator should pay attention to the following matters so that the tax law will always provide legal certainty for the taxpayer, namely: 1. the law must be clear, decisive, does not contain double meaning; 2. definitions must be clear and resolute not to be smuggled by law; 3. give an authentic and clear interpretation of article 1, do not give an interpretation of the explanation because it can still be interpreted again; 4. the limitative description takes precedence over the "enunsiatif". verbs such as, among other things, should be avoided; 5. the existence of a legal guarantee in the form of protection of the taxpayer; 6. there is a definite understanding of the tax object; 7. there is certainty about the subject of the tax; 8. there is certainty about the amount of tax to be paid. when tariffs are made by groups, it must be certain; 9. there is certainty about how and when to pay taxes. 27 conclusion 1). the state as the preferent creditor has the preference right to tax debt on the property of the taxpayer. the provisions on the preference rights include the 25 tunggul ansari s.n., pengantar hukum pajak, malang : bayumedia, 2006, p. 36. 26 gerhard robbes, dalam ahmad rifai, penemuan hukum oleh hakim dalam perspektif hukum progresif, jakarta : sinar grafika, 2014, p. 102. 27 tunggul ansari s.n, pengantar hukum pajak, (malang : bayumedia, 2006), p. 29 75 journal of private and commercial law volume 2 no. 1, mei 2018 principal taxes, administrative sanctions in the form of interest, penalties, increases, and tax collection fees. the preference right to tax debt exceeds all other predecessor rights, except to: a. the cost of a case which is only caused by a penalty for auctioning of a moving good and / or immovable property; b. costs incurred to rescue the goods concerned; and or c. the cost of the case, which is only caused by the auction and the settlement of an inheritance. 2). the weakness in the regulation creates an impediment to the application of the state as a preferential creditor who has the preference right, namely the formulation of the preference right itself that is unclear about the notion of the state's position as the preferent creditor, in addition to the overlapping regulation of the preference right (preferent creditor) the civil code, the law on general taxation and bankruptcy laws and postponement of debt payment obligations which not only the state as the preference rights holder's creditors. recomendation there is a need for revamping of regulations related to preferent creditors who have a prior right in bankruptcy. in this regard, it is necessary to consider the equality of formulation and perception of the preference right in the regulations on taxation and bankruptcy, besides that the regulation must provide a clear explanation, as complete as possible, if necessary accompanied by an example. it should be remembered that in law science there are many methods of interpretation of the law, so it is feared to emerge also diverse diverse interpretation results. in the end, the results of such interpretations impair the state's precedent over the payment of the tax debt itself, which is not really applicable when faced with other debts in the bankruptcy procedure. bibliography book literature: ratih damayanti, the state position…., pp. 65 77 fuady, munir, hukum pailit dalam teori dan praktek, jakarta: citra aditya, 2014. jono, hukum kepailitan, jakarta: sinar grafika, 2013. muljadi, kartini & gunawan widjaja, 2004, pedoman menangani perkara kepailitan, pt. raja grafindo persada, jakarta. pudyatmoko, y. sri, pengantar hukum pajak, yogyakarta : andi offset, 2008. ansari, tunggul s.n., pengantar hukum pajak, malang : bayumedia, 2006. rifai, ahmad, penemuan hukum oleh hakim dalam perspektif hukum progresif, (jakarta : sinar grafika, 2014). saliman, abdul r. hukum bisnis untuk perusahaan teori dan contoh kasus, cet.5, jakarta: kencana, 2010. shubhan, m. hadi, hukum kepailitan: prinsip, norma, dan praktik di peradilan, jakarta: kencana, 2009. sumyar, dasar-dasar hukum pajak dan perpajakan, cet. 1, yogyakarta, universitas atmajaya, 2004 journal: hartono, dedy tri, perlindungan hukum kreditor berdasarkan undang-undang kepailitan, jurnal ilmu hukum legal opinion edisi i, volume 4, tahun 2016. ishak, upaya hukum debitor terhadap putusan pailit, kanun jurnal ilmu hukum no. 65, th. xvii (april, 2015), pp. 189-215. munif rochmawanto, upaya hukum dalam perkara kepailitan, jurnal independent vol 3 nomor 2, hlm. 25. provisions: kitab undang-undang hukum perdata. undang-undang republik indonesia nomor 19 tahun 2000 tentang perubahan atas undang-undang republik indonesia nomor 19 tahun 1997 tentang penagihan pajak dengan surat paksa. 77 journal of private and commercial law volume 2 no. 1, mei 2018 undang-undang republik indonesia nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. undang-undang republik indonesia nomor 16 tahun 2009 tentang penetapan peraturan pemerintah pengganti undang-undang nomor 5 tahun 2008 tentang perubahan keempat atas undang-undang nomor 6 tahun 1983 tentang ketentuan umum dan tata cara perpajakan. jpcl 3(1) (2019) 8-19 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl venture capital regulation reform: revitalization of venture capital as an alternatives financing mentorship and partnership based lastuti abubakar2 and tri handayani2 1,2padjadjaran university received february 23 2019, accepted april 23 2019, published may 31 2019 doi 10.15294/jg.v16i1.18531 abstract the growth of venture capital company (pmv) in indonesia is progressive although not significant. the characteristics of venture capital, which is temporary in equity participation, caused venture capital financing being highly risky financing. to anticipate this risk, pmv seeks the investee company (ppu) as a debtor who is obliged to return capital. this is to secure this investment by using the concept of financing by venture capital. in addition, a guarantee agreement can be executed if investee company did not carry out obligations. this research aims to examine and analyze the essence of venture capital as an alternative financing mentorship and partnership based. in addition, it examines the position of collateral in financing venture capital. this study uses a normative juridical approach with descriptive analytical research specifications and qualitative juridical analysis. the initial concept financing of venture capital as equity participation that using mentorship and partnership turns into loan based financing with collateral. the regulations reform of venture capital through ojk regulation is aim to expand the objectives of venture capital as an effort to anticipate the development of technology based and start up business. in addition, regulation reform of on venture capital aims to strengthen venture capital through the authority of pmv/pmvs to manage venture fund. legal reform of venture capital must be interpreted and implemented in line with the purposes of venture capital as an alternative financing that prioritizes mentorship and partnership between pmv/pmvs and ppu. beside the supervision by the ojk, the venture capital agreement is an instrument to empower venture capital for msmes financing optimally. keyword: revitalization of venture capital; law reform of venture capital; financing mentorship based introduction venture capital is one of the alternative financing companies that shows a positive development although it is not significant. based on statistical data published by the financial services authority (ojk) during the period of october 2016 to august 2018, the numbers of venture capital companies increase from 62 conventional venture capital companies to 65 venture capital companies. assets managed by a venture capital company from rp. 10,946 billion rise to rp. 11,226 billion (ojk, 2018). however, the contribution of venture capital as one of the non-bank financial industries (iknb) is still relatively small compared to all financial services sectors. banks still dominate the financial services sector by 74%, financing companies at 6% and iknb at 2%1 if regarded from the history of the regulation of financing institutions in indonesia, venture capital was born as an initiative of the government to provide the means for providing the funds needed by the society, especially those of micro, small and medium enterprises (msmes) who do not have banking access. one of the obstacles faced by msmes to obtain banking access is the absence of collateral and fulfillment of other administrative requirements such as npwp, business license or bpom label for food businesses. this causes the msmes to be constrained to obtain financing through banks (not bankable), especially if it is related with 1 otoritas jasa keuangan, roadmap iknb syariah 2015-2019, jakarta, ojk,2016, p. 24, https://www.ojk.go.id/id/kanal/ iknb/data-dan-statistik/lembaga-pembiayaan/pages/statistik-lembaga-pembiayaan-periode-agustus-2018.aspx p-issn 2599-0314 e-issn 2599-0306* e-mail : lastuti.abubakar@unpad.ac.id address : jl. dipati ukur no.35, lebakgede, coblong, bandung, west java 40132 jp cl https://www.ojk.go.id/id/kanal/iknb/data-dan-statistik/lembaga-pembiayaan/pages/statistik-lembaga-pembiayaan-periode-agustus-2018.aspx https://www.ojk.go.id/id/kanal/iknb/data-dan-statistik/lembaga-pembiayaan/pages/statistik-lembaga-pembiayaan-periode-agustus-2018.aspx 9journal of private and commercial law 3(1) (2019) 8-19 the bank’s obligation to implement the prudential banking principle.2 the government’s initiative to increase the source of financing of msmes through this venture capital can be seen in article 22 of law no. 20 of 2008 concerning micro, small and medium enterprises (law on msmes).3 in 1988 presidential decree number 61 of 1988 was issued concerning financing institutions, which revoked presidential decree number: 39 of 1988 concerning financing institutions (decree of financing institutions). based on article 2 of the decree of the financing institutions, venture capital is one of the financing institutions, besides business lease, securities trading, factoring, credit card business and consumer financing. furthermore, based on article 1 number 11 of the presidential decree of the financing institution, the venture capital company is a “business entity that undertakes business to receive financing assistance (investee company) for a certain period of time”. based on the decree of the financing institution, the supervision to that institution, including venture capital companies is under the ministry of finance. since the enactment of the decree of the financing institution, the province government has initiated many venture capital companies, thus the regional venture capital company (pmv) dominates pmv up to the present time. from 65 pmv, local governments own more than 25 pmvs. the development of regulation on venture capital underwent a significant change since the enactment of law number 21 of 2011 concerning the financial services authority (ojk), which gave authority to oversee all financial services sectors, including iknb to ojk. article 1 number 9 of the law on ojk regulates financing institutions, which are business entities conducting financing activities in the form of provision of funds or capital goods as referred to in legislation concerning financing institutions. the regulations governing the financing institution are set forth in the presidential regulation number: 9 of 2009 concerning financing institutions as general provisions. based on article 1 number 3 of the presidential regulation of the financing institution, which is meant by a venture capital company, is a “business entity that carries out a financing/capital participation business in a company that receives financing assistance (investee company) for a certain period of time in the form of equity participation, participation through the purchase of convertible bonds, and/or financing based on division or business result”. based on the definition of pmv according to the presidential regulation of the financing institution, it can be concluded that the elements of venture capital are: 1) financing / equity participation; 2) for a certain period of time, it means that the equity participation is temporary; 3) in the form of equity participation, participation through the purchase of convertible bonds (quasi equity participation), and/ or financing based on division or business results. looking from the elements of venture capital financing, the fundamental difference between venture capital and other financing alternatives are especially bank credit, which based on loans. the development of venture capital as an alternative financing can be concluded from the financial services authority regulation (pojk). based on pojk no. 35/pojk.05/2015 concerning the implementation of venture capital enterprises (pojk no. 35/pojk.05/2015) there are several improvements in venture capital arrangements. there are three new things arranged in the pojk, namely first, the expansion of the pmv business; second, regulation of sharia venture capital business (umvs); third, fund venture management. this regulation reform aims to develop the pmv industry so that it can contribute more to the national economy. expansion of pmv business is regulated in article 2 paragraph (1) pojk no. 35/pojk.05/2015, which includes: 1. equity participation; 2. participation through the purchase of convertible bonds (quasi equity participation); and/or 3. financing through the purchase of debt securities issued by the business partner at the start-up stage and/or business development. 4. financing productive businesses. in addition to venture capital business above, based on article 2 paragraph (3) pojk no. 35/ pojk.05/2015 and the explanation of article 2 paragraph (3), pmv can conduct other business activities in the form of: 1. fee-based service activities; among others in the fields of administrative, accounting, management and/ or marketing services; and/or marketing of financial services products such as insurance and/or mutual funds; 2. and/or other business activities with ojk approval. intended by other business activities are business activities that can be carried out by pmv however it could not be classified in the category of equity participation, private equity, participation through the purchase of convertible bonds (quasi equity par2 lastuti abubakar, telaah yuridis perkembangan lembaga dan objek jaminan (gagasan pembaruan hukum jaminan nasional ), vol.12, no.1, buletin hukum kebansentaralanbank indonesia, 2015,p. 3 3 susiana and yunita, efektivitas penyaluran modal ventura sebagai alternatif modal bagi umkm, kanun jurnal ilmu hukum, no.61,th xv, desember 2013, p. 505-518, www.jurnal.unsyiah.ac.id/kanun/article/download/6194/5090 lastuti abubakar and tri handayani ,venture capital regulation reform: revitalization of venture capital ...10 ticipation), debt securities purchases, and productive business financing. other business activities create additional assets in the form of financing receivables and/or participation in the pmv financial position report. in the regulation of the financing institution, one of the venture capital businesses is financing based on the division of business results (profit/revenue sharing), which are no longer included in the venture capital business scope. based on article 64 pojk 35/pojk.05/2015, the financing agreement based on the division of business results (profit/revenue sharing) that has been carried out before the enactment of this pojk still can remain until the expiration of the term of the financing agreement. the expansion of pmv business based on pojk no. 35/pojk.05/2015 provides space for the practice of pmv to use the scheme to purchase debt securities. purchase of debt securities is purchasing and selling, which the object is debt recognition, not the debt. in contrast to the previous arrangement, pmv cannot use the scheme to buy bonds, except convertible bonds, namely bonds in which the conditions listed can be exchanged for share ownership at the request of the convertible bond.4 as part of the non-bank financial industry (iknb), venture capital is expected to be one of the alternative financial services that can be utilized by business partner and/or debtors in funding their business activities. the existence of pmv and the sharia venture capital company (pmvs) is expected to have a positive impact on national economic growth. venture capital is an attractive financing for businesses that cannot approach to banks. the concept of venture capital financing rests on the strength of business concepts and business prospects that is feasible to be financed. in global economic activity, venture capital functions as an important source of economic development, wealth and job creation, and also innovation. the investment unique form is improving the prospects of entrepreneur companies by replacing the general alternatives financing (conventional). the companies supported by venture capital companies grow faster and create far greater value than companies that are not supported by venture capital. it serves to bring new capital and provide operational and strategic support for the company financed. therefore, venture capital is perfect for a growing or high-tech company.5 besides the advantages of the concept of venture capital as an alternative financing, the obstacles also have been found in the implementation of venture capital. first, financing through venture capital is highly risks financing, considering the concept of pmv is temporary equity participation. this means that the position of pmv is a shareholder if the ppu is in the form of limited liability company if the ppu is in the form of firm or cv. the legal consequences, pmv will obtain profit sharing from ppu while at the same time bear losses if the ppu suffers a loss. therefore, it is rather excessive if the agreement includes the object of the guarantee, given the position of the parties as partners, not as creditors and debtors. secondly, venture capital has not been popular among the indonesian people, especially when it compared to the banks, capital markets and other non-bank financial industries. third, the legal base of relationship between pmv and ppu is a contract. in practice, the determination of the rights and obligations of pmv and ppu is set forth in a standard contract whose clause is determined by pmv. in the venture capital contract, must have a divestment clause or a clause about withdrawal of the equity participation that invested by ppu. in practice, found a divestment clause at any time or accelerating the divestment in a venture capital contract that has the potential to make ppu unable to build its business optimally in accordance with the original plan. therefore, a strong regulatory framework and optimal supervision is needed to encourage the growth of venture capital as an alternative financing, especially for (msmes) and cooperatives. fourth, the practice of venture capital financing as outlined in the venture capital agreement is essentially no longer “temporary equity participation”, but rather the essence of a loan or debt agreement. this can be concluded, among others, in the decision of the supreme court of indonesia concerning civil claim cases no 20/pdt.g/2015/pn plk, between pt sarana kalteng ventura and cv bina sarana as ppu. therefore, this study intends to look at the development of regulations and the concept of venture capital in indonesia as an investment alternative that promotes mentorship and partnerships between pmv and ppu. research method this research is descriptive analytical, namely making a systematic, factual, and accurate regarding the facts. therefore, this study has the character of reviewing and describing the legal aspects of the problems relating to the development of regulations and the concept of venture capital as a business financing alternative, es4 otoritas jasa keuangan, ojk-pedia, jakarta, ojk, without year, https://www.ojk.go.id/id/ojk-pedia/default.aspx 5 mateo rossi, the role of venture capital funds in financing innovation in italycontrains and challenges for innovative small firms, internasional journal of globalisation and small business, 7 (2), august 2015. https://www.researchgate.net/publication/281550724_the_role_of_venture_capital_funds_in_financing_innovation_in_italy_constraints_and_challenges_for_innovative_small_firms https://www.ojk.go.id/id/ojk-pedia/default.aspx 11journal of private and commercial law 3(1) (2019) 8-19 pecially as an alternatives financing mentorship and partnership based. this research is use normative juridical approach, which prioritizes secondary data in the form of primary legal material such as laws and regulations, secondary legal materials, such as relevant journals and results of previous studies, and tertiary legal materials. furthermore, all secondary data are analyzed by qualitative juridical, means that conclusions are not based on statistical figures, but are based on the relationship between legal principles, legal rules and legal interpretation. result and discussion venture capital as an alternatives financing the concept of venture capital in developing countries and developed countries as part of the financial services industry sector, venture capital has a distinctive characteristic, which is a distinction between venture capital and banking, capital markets and other non-bank financial industries such as leasing, factoring, or consumer financing. in developing countries, the concept of a venture model refers to equity participation in a growing company by taking shares in the ppu. usually the equity participation is the initial capital for companies that have the potential to develop. this concept was adopted by indonesia in regulating venture capital at first. in a broad sense, venture capital refers to the commitment of capital and knowledge to form and regulate ppu especially for companies that offer new ideas or new technologies. thus, equity participation is not only in the form of funds, but can be in the form of skills needed to manage the company, design marketing strategies and manage the company. venture capital in this broad sense seems to develop in developed countries. in contrast to developing countries, in the united states and the united kingdom, venture capital is not only capital participation as a financing technique, however the provision of capital and skills to encourage growth and development of the company. venture capital is widely used to help develop new management. this role of venture capital is what makes venture capital a force in industrial development. the concept of venture capital in developed countries seems to be a reference in renewing the regulation of venture capital in indonesia. in china, the development of venture capital as an alternatives financing of msmes has grown significantly since the end of 1999. this was triggered due to strict requirements for business actors to enter the stock exchange. therefore, the chinese government promotes venture capital to fill the financing gap for msmes. economic growth in china has attracted many foreign investors and large amounts of foreign capital. an area of interest to foreign investors in recent years is venture capital investment. china is one of the fastest growing markets for venture capital in the world. venture capital investment comes from several sources, namely the government, state-owned companies, private companies, public companies, non-bank financial institutions, multinational companies and foreign venture capital funds. about 90% of venture capital companies in china specialize in investing in high-tech companies that are widely available in the eastern and southeastern coastal industries of china. there are differences in investment in venture capital markets in western countries with those in asia (especially china). western investors are more concerned with profit maximization, efficiency and public information disclosure. venture capital companies in countries with established economies use ways to reduce risks associated with new businesses. efforts made are due diligence and thoroughness, providing management and personal assistance, careful monitoring of investments, well-planned divestment strategies, and good regulation. in contrast, in china, culture plays an important role in venture capital activities. network maintenance or connection, government intervention, high tolerance and information on asymmetry between insiders and external investors still play a role. in contrast to the growth of venture capital in indonesia, venture capital in china plays an important role in the development of a region. based on the results of research, venture capital in china is a driver for the development of high-tech industries that become a tool for regional economic development.6 1. venture capital characteristics as an alternatives financing, venture capital has distinctive characteristics that are different from other, that are: (suraj b gupta, without years: 2) a. venture capital is commonly intended for financing new businesses through equity participation. however, investments can take the form of long-term loans, purchasing options or convertible bonds. b. the main purpose of venture capital investment through equity participation is to make a profit when the 6 yonghong jin,et.al, characteristic of venture capital network and its correlation with regional economy : evidence from china, journal.plos.org, september, 2015., p.1, https://journals.plos.org/plosone/article?id=10.1371/journal. pone.0137172 https://doi.org/10.1371/journal.pone.0137172 lastuti abubakar and tri handayani ,venture capital regulation reform: revitalization of venture capital ...12 business partner company gains; c. venture capital requires investment or capital participation in a potential business, so that returns can be made in the long term (5-10 years); d. venture capital is not limited to the participation of equity capital, however can be in the form of skills to encourage growth and development of the company. venture capital companies ensure active participation in management by providing marketing, technology, and planning and management expertise within the company; e. venture capital financing is high risk financing. in certain business activities, the return obtained can exceed the losses suffered. referring to the characteristics above, it can be said that venture capital is a financial intermediary between investors who seek optimal returns and entrepreneurs who need capital that does not have access to obtain financing from banks or go public in the capital market. 2. dimensions (gatra) and stages in venture capital financing through venture capital is linked to the stages of ppu development. there are 4 stages of company development, namely idea development, start up, beginner and formation (suraj b gupta, without years: 3) a. the first stage of company development is the development of ideas to describe the exact specifications for new products or services and business plans. business partner companies need financing to start a business. in terms of pmv, this stage is the most severe stage. in practice, most projects are left in this phase. b. the start-up phase is the second stage of the development of the ppu. at this stage ppu formed a company to implement a business plan to produce products or services. at this stage the ppu faces financial problems that cannot be overcome with corporate funds, so external funding sources are needed. c. in the third stage, ppu has entered the stage of making a product or service, but faces financial problems. to overcome financial problems, pmv plays a role in capital participation in the ppu. d. in this last stage ppu began to stabilize and in some cases still needed financing to capture an open opportunities. this whole stage takes 5 to 10 years. in global developments, venture capital is increasingly popular because of its important role in encouraging the development of potential industries that have not been touched by other financial institutions. sharia venture capital opportunities as an alternatives financing mentorship and partnership based. ojk regulation no. 35/pojk.05/2015 concerning the implementation of venture capital company enterprises regulates the definition of sharia venture capital company (pmvs) and sharia venture capital business (umvs). based on article 1 number (3) pojk 35/2015, what is meant by pmvs is a business entity that conducts umvs activities, management of venture funds, and other business activities with ojk approval, all of which are carried out based on sharia principles. furthermore, article 1 number (4) pojk 35/2015 provides that umvs is a financing business through investment activities and/or service services carried out within a certain period of time in the context of developing business partners carried out based on sharia principles. furthermore, the understanding of sharia principles is the provision of islamic law based on a fatwa and/or sharia conformity statement from the national sharia council of the indonesian ulema council (dsn-mui). based on the 3 articles, the important element that must be obeyed by pmvs in running umvs is sharia principles compliance. based on article 6 pojk 35/2015, sharia venture capital companies can have a sharia business unit (uus), which is a work unit from the pmv head office that functions as the parent office of the office that carries out umvs activities. analogous to banking regulations, hence pmv can have sharia business unit (uus). 1. the sharia venture capital business with sharia principles based the fundamental difference between venture capital and sharia venture capital lies in the underlying principle. the implementation of pmvs and uus business activities must complied the principles stated in article 5 pojk 35/2015, namely: a. the principle of justice (adl) is to put something in its place, and give something only to those who are entitled and treat something according to their position. 13journal of private and commercial law 3(1) (2019) 8-19 b. balance (tawazun) includes the balance of material and spiritual aspects, private and public aspects, the financial sector and the real sector, business and social, and the balance of aspects of utilization and sustainability. c. benefit (maslahah) is all forms of goodness that have worldly and eternity dimensions, material and spiritual as well as individual and collective and must fulfill 3 elements namely sharia compliance (halal), useful and bring good (thoyib) in all aspects as a whole which does not cause harm. d. universalism (alamiyah) is can be done by, with, and for all parties concerned (stakeholders) without distinguishing ethnicity, religion, race and class, in accordance with the universality of the universe (rahmatan lil alamin) e. does not contain gharar maysir, usury, zhalim, risywah, and illicit objects. based on the explanation of article 5 pojk 35/2015, gharar is a transaction whose object is unclear, not owned, unknown, or cannot be delivered when the transaction is carried out unless otherwise stipulated in sharia; whereas maysir is a speculative transaction that is not directly related to productivity in the real sector. furthermore, what is meant by usury is ensuring the addition of illegal income, among others, in the exchange of similar goods that are not of the same quality, quantity and delivery time (fadhl), or in lending transactions that require recipient customers to return funds that received above the main loan due to the passage of time (nasiah). zhalim is defined as a transaction that causes injustice to other parties; while risywah is a bribe in the form of money, facilities, or other forms that violate the law as an effort to obtain facilities or easiness in a transaction. the object transacted in sharia venture capital contract is that goods or services are not prohibited in sharia. 2. the scope of the sharia venture capital business referring to sharia principles as the foundation of pmvs business activities, the business scope of pmvs will certainly be different from conventional pmv. this difference can be seen in article 6 pojk 35/2015, which regulates the scope of pmvs business activities, namely: a. investment; including in the form of medium-term investments based on sharia principles (medium term note). investment by pmvs consists of: a) equity participation (investment) in the form of equity participation. intended by equity participation activities including equity participation through private equity, which is equity participation through the purchase of shares in target companies that have not been traded on the stock exchange with the aim of generating added value when the sale of shares returns; b) purchase of sukuk or convertible islamic bonds; c) purchase of islamic securities, namely sukuk or sharia bonds issued by ppu at the start-up stage and/or business development; and d) financing based on the profit sharing principle using mudharabah, musyarakah, and/or mudarabah musytarakah contract. b. services; what is meant by service is, among others, the transfer of debt from the ppu in the form of, among others, micro, small and medium enterprises and/or businesses at the start-up stage. these service activities are pmvs and uus business activities that generate additional income in the form of fees (ujrah/fee) or fee based income, these services include consulting services and management services in the fields of administration, accounting, and/or business feasibility. in the framework of the initial consultation or when assisting the ppu; and marketing of financial services products such as insurance or mutual funds. c. other business activities based on ojk approval, namely business activities that can be carried out by pmvs and uus but cannot be classified in the investment category. other business activities cause additional assets in the form of certain financing receivables, participant and/or investments (such as temporary syirkah) in the pmvs and uus financial position reports. furthermore, in conducting umvs, both pmvs and uus can manage venture funds based on sharia principles. ojk regulation no. 35/pojk.05/2015 prohibits pmvs and uus from sale and purchase financing except for ppu who have previously received investments from pmvs or uus. thus, sale and purchase financing is permissible provided that it has previously received investment from pmvs or uus. what sale and purchase financing mean is financing in the form of the supply of goods through buying and selling transactions in accordance with sharia financing agreements agreed upon by the parties. the sale and purchase is carried out, among others, by using murabahah, salam, ishtisna’ contracts, and/or other sale and purchase agreements in accordance with sharia principles. 3. types of contracts used in sharia venture capital business activities a contract (akad) is a legal base that determines the rights and the obligations of the parties in the aclastuti abubakar and tri handayani ,venture capital regulation reform: revitalization of venture capital ...14 tivities of sharia venture capital. based on the explanation of article 6 paragraph (1) letter a number 4 and article 6 paragraph (3) pojk 35/pojk.5/2015, the contracts that can be used by pmvs in conducting umvs refer to several fatwa of dsn-mui, namely: table 1. some of the contracts used by pmvs and uus. no. fatwa of dsn-mui pertaining to 1 fatwa of dsn-mui no. 115/dsn-mui/ix/2017 mudharabah contract 2 fatwa of dsn-mui no. 114/dsn-mui/ix/2017 syirkah contract 3 fatwa of dsn-mui no. 111/dsn-mui/ix/2017 sale and purchase of murabahah contract 4 fatwa of dsn-mui no. 09/dsn-mui/iv/2000 ijarah financing 6 fatwa of dsn-mui no. 6/dsn-mui/iv/2000 sale and purchase of istishna 7 fatwa of dsn-mui no. 5/dsn-mui/iv/2000 sale and purchase of salam source: processed by the author in addition to the above contracts, the development of sharia venture capital does not rule out the possibility of using other related contracts, whether those governing the types of contracts, forms of contracts or sharia products as pmvs investment instruments. this is based on article 38 pojk 34/pojk.05/2015 that pmv and pmvs must report every new business activity that will be carried out to ojk. 4. challenges and opportunities in the development of sharia venture capital the opportunities to develop the pmvs in indonesia are widely open. beside the regulation support is going strong and increasingly for the existence of pmvs or uus, there are several reasons that have the potential to encourage the development of sharia venture capital in indonesia, namely: a. the basic principle of venture capital as financing alternative that is essentially “temporary equity participation”. this is in line with the concept of islamic financing, which prohibits usury and prioritizes mentorship and partnerships between pmvs/uus and ppu, and cooperation are mutually beneficial therefore it is not difficult for pmvs to implement or comply the principle of venture capital. the following contracts used by pmvs/uus proved that pmvs is more likely to develop the venture capital industry. equity participation with profit sharing patterns can use the mudharabah contract as stipulated in the fatwa of dsn-mui no. 115/dsn-mui/ix/2017 concerning mudharabah contract. this contract places pmvs as the capital owner (malik/shahib al-mal),which provides all capital and ppu as capital managers (amil/mudharib) and business profits are divided among them according to the agreed ratio in the contract. beside the mudharabah contract, mudharabah musytarakah contract can be applied; it is a mudharabah contract by the manager (mudharib) to participate his equity in business cooperation. in addition to the mudharabah contract, equity participation in pmvs can use the islamic financing mechanism based on the fatwa of dsn-mui no. 114/dsn-mui/ix/2017 concerning syirkah contract, namely “the contract of cooperation between two or more parties for a particular business in which each party contributes funds/business capital (ra’s al-mal) provided that the profit is divided according to the ratio agreed or proportionally, while losses are borne by the parties proportionally”. based on the two contracts, the essence are close to the essence and the basic principle of venture capital, namely equity participation with profit sharing. b. with the existence of pmvs, the financing market through venture capital is getting larger. as of july 2018 there were 65 venture capital companies registered in ojk, and 4 of them were pmvs. this means greater msmes opportunities, start up and innovative businesses to obtain financing. c. the development of the global sharia financial industry from year to year shows a graph that increased with an estimated us $ 2,431 trillion at the end of 2017 or increased by around 6%, down from the growth of 7.41% in 2016 (gifr, 2017: 36). the development of the global sharia financial industry shows that investment has begun to shift from conventional to sharia. thus, the potential of pmvs to attract sharia-based global investment is getting greater. the development of the sharia financial industry can be seen from the contribution of the indonesian sharia financial industry to around 4% for the global financial industry and ranks tenth with 56.06% growth among 2016 to 2017 (gifr, 2017: 46). thus, the opportunity for pmvs to get investors in the management of venture funds is widely open. in addition to having the opportunity to develop, pmvs indonesia faces challenges, especially in the era of free markets, namely (amran suadi, 2018: 10) a. the sharia financial industry, including sharia venture capital, must be able to provide products that 15journal of private and commercial law 3(1) (2019) 8-19 meet market needs both regionally and globally; b. sharia venture capital companies must be healthy, have sufficient capital, and have good performance; c. business efficiency and able to operate effectively; d. competitiveness of human resources that is reliable, professional and trustworthy, as well capable e. maintain business interests and national interests. in addition, another challenge faced by pmvs is how to maintain compliance with sharia principles in running umvs. sharia compliance is an important part of the islamic finance industry in both management and operations. this is supported by the obligation to have a sharia supervisory board (dps) for every sharia-based financial institution (luqman nurhisam, 2016: 79). the existence of dps in pmv or pmvs has been regulated under article 1 number 14 pojk no. 34/pojk.05/2015 concerning licensing and institutional venture capital companies. the sharia supervisory board is an pmv or pmvs organ that has the duty and function of supervision of the conduct of business activities to be in accordance with sharia principles. in addition to compliance with sharia principles, pmvs must pay attention to good governance for pmv or pmvs regulated in pojk no. 36/pojk.05/2015. intended by good corporate governance for pmv/pmvs is the structure and process used and implemented by pmv or pmvs organs to improve achievement of business objectives and optimize the value of pmv or pmvs for all stakeholders accountably and based on legislation and ethical values. venture capital contract: a tool of empowering venture capital as a financing mentorship based another strategic legal issue in venture capital business is the venture capital contract. this agreement creates legal relations and determines the position of the parties (pmvs and ppu), and regulates the rights and obligations of the parties. as a developing agreement in the financial services sector, the venture capital contract is an on-the-spot agreement (onbenoende overeenkomst) which remains subject to the general provisions in book iii of the civil code concerning on obligation and all applicable provisions, particularly ojk regulations. article 26 pojk no. 3/pojk.05/2015 requires a venture capital contract to be made in written form and must fulfill the provisions for the arrangement of contract stipulated in pojk no. 1/pojk.07 /2013 concerning the protection of consumer financial services sector. thus, the venture capital contract must fulfill the balance, and fairness in making a contract with ppu. in addition, if the venture capital contract uses a standard contract, it must pay attention to the prohibitions stipulated in article 22 paragraph (3) of the pojk no. 1/pojk.07/2013. in addition, article 27 pojk 35/pojk.05/2015 provides guidance on substance which must be included in the venture capital contract which are as follows: type of business activity; number and date of agreement; identity of the parties; amount of investment and/or financing; period of participation and/or financing; financing rate of return (if any); object of guarantee (if any); breakdown of costs related to participation/financing provided; the rights and obligations of the parties; fines and mechanisms in the event of a dispute and a place for resolving disputes. when looking at the substance contained in the venture capital contract above, it can be concluded that in the venture capital contract can be contained about the return of financing and the object of guarantee. these two substances are commonly found in the contract that places the parties in the position of creditors and debtors, for example in bank credit contract. furthermore, the clause in the venture capital contract is left to the consent of the parties. there are 2 things that play a role in determining the contents of the venture capital contract. first, venture capital contract are commonly made in the form of standard contracts whose clauses are determined by pmv or pmvs as financing institutions. typically a standard contract, a clause is determined by one party that has a higher position or bargaining position, so that often one party feels that its interests cannot be negotiated properly. second, venture capital financing is high risk financing for pmv or pmvs, whose returns or profits are largely determined by the success of the ppu business. therefore, the venture capital contracts are often found in clauses whose purpose is to avoid pmv or pmvs from losses due to ppu failure. the two reasons above cause venture capital to emerge from the essence of venture capital as temporary capital participation characterized by mentorship and partnerships between pmv / pmvs and ppu. the first legal issue in the venture capital contract is the obligation to include a divestment clause, namely the sale of pmv or pmvs shares that are in the ppu. based on article 15 paragraph (5) pojk 35/2015, this divestment obligation is in accordance with the period agreed upon with ppu. the period of capital participation by pmv at the ppu is 10 years at the latest and can be extended twice with a total extension time of at least 10 years. this divestment obligation is a feature of venture capital as financing through temporary capital lastuti abubakar and tri handayani ,venture capital regulation reform: revitalization of venture capital ...16 participation. if seen in the arrangements in pojk, the divestment is only regulated regarding the time period and the method of divestment. the rest is left to the agreement of the parties. in practice the inclusion of this divestment clause is possible at any time or the acceleration of divestment according to agreed reasons. pmv can divest before the period expires if the ppu does not show a positive development. inclusion of a divestment clause like this has the potential to cause ppu which is already in an unprofitable position to experience liquidity difficulties and lead to business failure. in addition, the substance of the venture capital contract was found to lead to a loan agreement with collateral, which placed the ppu as a debtor who was obliged to return all funds invested by pmv. in the event that the ppu fails to carry out a refund obligation, pmv can execute the collateral object. in a venture capital contract like this, it is as if pmv is a creditor who has the right to refund and the ppu as a debtor who has the obligation to pay or repay the loan. this is not in line with the concept of venture capital with financing mentorship based or temporary equity participation which is essentially requires the active role of pmv or pmvs to achieve the ppu’s goals by prioritizing partnerships in the legal relations of the parties. in terms of pmv, this can be understood as an effort to minimize investment risk, given that venture capital is a relatively high risk financing. the legal relationship of the parties in the venture capital contract is not the same as the legal relationship between the bank and the debtor, but rather is similar to the partnership relationship in a business entity, whether it is legal or not. venture capital is a type of financing and is intended for ppu who have potential ideas, technology and innovative concepts without the obligation to provide collateral (safrina, 2013: 109). this is very clear with the use of equity participation schemes. although participation is possible through the purchase of convertible bonds (quasi equity participation) or financing through the purchase of debt securities, this is totally different from banking credit or loans. in other words, pmv is expected together with ppu to develop and generate profits for ppu. therefore, the venture capital agreement plays an important role in determining the rights and obligations of the parties. the form of venture capital contract, which is a standard contract in practice, has the potential to create asymmetric relationships, which can sometimes cause harm to one party. therefore, it is not only compliant with all applicable provisions, however it should contain substances that reflect the essence of venture capital financing. for this reason, supervision is needed on standard contracts used by pmv, specifically to reinstate the function of venture capital as an alternative financing mentorship and partnership based. the arrangement of venture capital regulations in indonesia: the efforts of revitalization venture capital. venture capital regulation in indonesia has developed from time to time following the development of the financial services sector, both nationally and globally. this can be seen from institutional developments and the principles set out in the regulation of venture capital. indonesia’s positive law that can be used as a legal basis for venture capital activities can be mapped as follows: table 2. legal basis of business activities and venture capital contract no. regulation substance 1 law no. 21 of 2011 financial services authority (ojk) 2 civil code book iii on obligation 3 pojk no. 34/pojk.05/2015 business licensing and institutional venture capital companies 4 pojk no. 35/pojk.05/2015 regarding the organization of venture capital company businesses 5 pojk no. 36/pojk.05/2015 regarding the good corporate governance for venture capital companies. 6 pojk no. 37/pojk.05/2015 regarding the direct examination of changes in venture capital 7 pojk no. 1/pojk.07/2013 regarding financial services sector consumer protection 8 minister of finance regulation no. 48/pmk.010/2018 regarding tax treatment of equity participation in venture capital companies in micro, small and medium enterprises. 9 venture capital contract the substance of the contract between pmv and ppu. source: processed by authors referring to all regulations governing venture capital, there are several improvements in regulatory substances whose purpose is to develop venture capital companies in order to contribute more to the national economy. some substantial developments in regulation of venture capital that provide opportunities to 17journal of private and commercial law 3(1) (2019) 8-19 improve venture capital business activities include sharia capital business activities, expansion of venture capital businesses that involve custodian banks and trustees and management of venture funds as a source of financing for venture capital. the arrangement regarding the existence of the sharia venture capital company (pmvs) at the same time responds to the constraints of sharia non-bank financial industry (iknb) activities that still do not have complete regulation.7 it is expected that with comprehensive regulation, the strategic issues that must be faced by the sharia financial industry can be faced by industry, including by pmvs. in addition to incomplete regulatory support, several strategic issues faced by the sharia iknb are as follows8: a. the business scale is relatively small compared to conventional. in addition to the number of entities that control the market, the capital of iknb business actors is relatively small. the limited capital of sharia iknb has caused the capacity of the sharia iknb to develop a relatively small business; b. the level of interdependence between sharia iknb and other sharia financial sectors is quite high, especially in marketing and distributing products to consumers. c. product innovation and diversity of sharia iknb services are seen as still limited and have not been able to meet the needs of all levels of society. the sharia aspect is an added value offered by sharia financial institutions, however the quality of services, benefits, costs and product features remains an important factor that is considered by the public in choosing sharia financial products. d. the quantity and quality of the resources needed by the sharia iknb that are not limited to the technical field but include the field of sharia. the need for human resources that have qualification standards equipped with adequate levels of capacity and competence is needed so that the practice of sharia business can be more optimal. e. literacy levels and people’s preferences. the development of sharia iknb product is highly dependent on the level of community literacy on its product, which includes an understanding of the functions, types and characteristics of the sharia financial products. the reforming of regulation on venture capital is an effort to anticipate developing strategic issues to encourage venture capital as a financing alternative. when looking at the substance of venture capital law reform, the authors conclude some strategic issues that are now included in the renewal of venture capital regulations, namely: a. venture capital is encouraged to be a complement to other financing alternatives, particularly banking and capital markets while still emphasizing financing through equity participation, by providing opportunities to conduct other financing such as securities purchases, which still require pmv/pmvs to divest according to term promised time (article 15 number 5 pojk 35/2015). the longest period to divest is 10 years (article 15 number 4 pojk 35/2015); b. venture capital is encouraged to capture opportunities for information technology utilization, especially as an alternative financing for start-up and technology-based activities. the development of the financial technology industry in indonesia in particular, and globally in general, has become a potential market for venture capital. article 9 pojk no. 35/pojk.05/2015 seems to have anticipated the growth of startup and technology-based businesses, as well as innovative efforts in expanding the business purposes of pmv and pmvs, namely the development of a recent invention; development of research and engineering projects; development of various uses of latest technology and technology transfer both from within and outside the country. c. through the enactment of pojk no. 13/pojk.02/2018 concerning digital financial innovation in the financial services sector, venture capital has become one of the financing alternative as part of the financial technology ecosystem that supports the economy, especially for fin-tech start-ups whose business model is market ready product so that potential the return is elevated. venture capital as an alternative financing for fin-tech start-up promotes mentorship and financial sector networks9 d. reforming of venture capital regulations provides opportunities for venture capital companies to manage venture funds sourced from investors both domestic and foreign funds. optimal and professional venture fund management will accelerate the growth of venture capital as an alternative financing. the strategic legal issue in managing venture fund is how to optimize the mechanism of fund management while paying attention to investors as fund owners and the development of the venture capital industry. it is important to consider the idea of using a trust agreement (safekeeping with management) such as that carried out by the banking system through custody activities under agreement. in indonesia, adapting 7 otoritas jasa keuangan, roadmap iknb syariah 2015-2019, jakarta, ojk,2016, p. 7 8 ibid, p. 6 9 bank indonesia, peranan finansial technology dalam perekonomian indonesia, jakarta, departemen kebijakan sistem pembayaran, 2018, p. 7. lastuti abubakar and tri handayani ,venture capital regulation reform: revitalization of venture capital ...18 and adopting the concept of trust that comes from a common law system use this trust agreement. going forward, the idea of establishing trust regulations as a general provision for the management of third party funds is relevant to the number of institutions authorized to manage funds, including pmv and pmvs that can manage venture fund based on pojk no. 35/pojk.05/2015, venture funds are based on joint investment contracts made between pmv or pmvs and custodian banks, which pmv or pmvs are authorized to manage funds from investors that will be used to carry out umv or umvs activities. e. venture capital regulation extends the venture capital market by regulating pmvs in an effort to attract third party funds that want funds to be managed based on sharia principles. thus, the contribution of financing through venture capital will be even greater. in addition to anticipating developments and global business opportunities, regulatory regulation on venture capital as an alternative financing also increasingly creates a competitive financing business by allowing pmv or pmvs to be owned by foreigners or foreign legal entities. in addition, the change in the financing target, which was originally intended for msmes, became open to other business actors, would make venture capital as financing that could finance a large-scale companies. the venture capital regulations reform as outlined in several pojk above requires interpretation and implementation in line with the objectives of venture capital as an alternative financing intended for businesses that find it difficult to obtain banking access or absorb funds through mechanisms in the capital market. therefore, the existence and management of effective and efficient pmv is urgent to make venture capital an alternative financial service that has a positive impact on economic growth. the reform of venture capital regulations which include expansion of business activities, risk mitigation, management of funding sources with the regulation of venture funds, pmv/pmvs financial strength, guidelines for venture capital standards contract and arrangements should be a legal framework to strengthen the existence of pmv in line with other financing alternatives. the overall regulation of venture capital remains with the characteristics of venture capital as financing through equity participation that prioritizes mentorship and partnerships between pmv/ pmvs and ppu. conclusion based on the analysis described above, several things can be concluded are as follows: 1. venture capital is an alternative financing through temporary equity participation which emphasizes the principle of mentorship and partnership that aims to provide business actors with access to a business model that prospects for success however it has not made a profit (business start-up) yet, innovative business with high technology based, businesses with ready products are to be accepted in the market and give benefits, including for msmes. through temporary equity participation, pmv or pmvs are expected to actively provide assistance, among others, to strengthen management, marketing and accelerate, build and solve ppu problems during the agreed period of time. 2. the reform of venture capital regulation is intended to encourage the growth of the venture capital industry by expanding pmv/pmvs business activities, regulating aspects needed to create venture capital activities that are effective and efficient and well targeted, and provide a strong legal basis for venture capital management. some aspects of regulatory reform are an attempt to capture global opportunities, especially to attract investors through the arrangement of venture funds by involving custodian banks as a means of increasing investor confidence. in addition, the regulation reform on venture capital provides guidance in the preparation of venture capital contract with an emphasis on consumer protection. 3. implementation of venture capital regulations requires interpretation that is in line with the characteristics of venture capital as a financing that prioritizes mentorship and partnerships so that it becomes a complementary source of financing in addition to banking, capital markets and other financing industries. 4. venture capital standard contract guidelines required as a reference thus its implementation is in line with the concept of venture capital financing. in addition, it is necessary to initiate the establishment of trust regulations as lex generalis for the management of third party funds, which can be used as a legal basis for industries in the financial services sector, including venture capital for managing venture funds. 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(2015). characteristic of venture capital network and its correlation with regional economy: evidence from china, journal.plos.org. _goback 1 journal of private and commercial law volume 1 no. 1, november 2017 tinjauan hukum terhadap hukum acara persaingan usaha dalam perspektif due process of law donny w. tobing advokat di kantor hukum joan & partners (www.joanandpartners.com) email : donnytobing.sh@gmail.com. abstrak tulisan ini menguraikan prinsip due process of law dalam hukum beracara di komisi pengawas persaingan usaha (“komisi”), dan menggunakan teori hukum progresif untuk menganalisis dan memberikan saran terhadap peraturan komisi nomor 1 tahun 2010 tentang tata cara penanganan perkara. kesimpulan dari tulisan ini adalah pengaturan mengenai prosedur beracara di komisi baik dalam peraturan komisi nomor 1 tahun 2010 maupun peraturan komisi sebelumnya yakni peraturan komisi nomor 1 tahun 2006, telah mendasarkan pada prinsip due process of law. adapun saran dalam tulisan ini adalah dilakukan perubahan terhadap peraturan komisi nomor 1 tahun 2010 mengenai batas waktu pemeriksaan, dimana perlu dibedakan antara pemeriksaan yang melibatkan pelaku usaha asing dengan pemeriksaan yang hanya melibatkan pelaku usaha dalam negeri. terhadap perkara yang melibatkan para terlapor dari luar wilayah negara indonesia dan memperhatikan sifat keadaan perkara yang permasalahannya cukup sulit atau kompleks untuk diputuskan, maka ada baiknya, peraturan mengenai tata cara penanganan perkara di komisi merujuk pada sema ri no 6/1992. kata kunci : hukum acara persaingan usaha, prinsip due process of law, hukum progresif pendahuluan undang-undang republik indonesia nomor 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat (“uu antimonopoli”) tidak mengatur secara rinci mengenai hukum acara yang dijadikan acuan untuk beracara di komisi pengawas persaingan usaha (“komisi”). uu antimonopoli hanya memerintahkan agar pengaturan mengenai http://www.joanandpartners.com/ mailto:donnytobing.sh@gmail.com 2 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 hukum acara penanganan perkara praktek monopoli dan persaingan usaha tidak sehat, diatur lebih lanjut oleh komisi. sejak pertama kali berdiri, hukum acara di komisi telah mengalami dua kali pergantian yakni dari sk nomor 05/kppu/kep/ix/2000 tentang tata cara penyampaian laporan dan penanganan dugaan pelanggaran terhadap uu antimonopoli (“sk 5/2000”), menjadi peraturan komisi nomor 01 tahun 2006 tentang tata cara penanganan perkara di komisi yang mulai berlaku pada tanggal 18 oktober 2006 (“perkom 1/2006”), kemudian dari perkom 1/2006 diganti menjadi peraturan komisi nomor 1 tahun 2010 tentang tata cara penanganan perkara (“perkom 1/2010”). sebelum terbitnya perkom 1/2006 dan perkom 1/2010, tidak ada penjelasan bahwa apabila dalam prakteknya ketentuan di dalam uu antiomonopoli dan sk 5/2000 tidak memadai, maka komisi dapat menggunakan undang-undang republik indonesia nomor 8 tahun 1981 tentang hukum acara pidana (“kuhap”). 1 komisi menggunakan kuhap karena fungsi penyelidikan dan pemeriksaan tidak dikenal dalam hukum acara perdata. disamping itu, komisi melakukan penyelidikan dan pemeriksaan untuk memperoleh kebenaran materiil, dimana dalam hukum acara perdata yang akan dicari adalah kebenaran formil. pada dasarnya hukum persaingan usaha merupakan sengketa perdata, akan tetapi pelanggaran terhadap hukum persaingan mempunyai unsur-unsur pidana dan administrasi. hal tersebut dikarenakan pelanggaran terhadap hukum persaingan memberi dampak kerugian kepada masyarakat dan perekonomian negara. dalam konteks itulah ranah hukum privat menjadi hukum publik. 2 penegakan hukum persaingan usaha yang dilakukan antarpelaku usaha tidak akan menjadi efektif dikarenakan tidak adanya alat pemaksa. berdasarkan hal tersebut, maka negara dibutuhkan untuk melakukan pemaksaan dengan sistem perundang-undangan yang dibentuk oleh negara itu sendiri. di dalam ketentuan pasal 30 sampai dengan pasal 37 uu antimonopoli dengan tegas mengamanatkan 1 lubis, andi fahmi, dkk, hukum persaingan usaha antara teks dan konteks, komisi pengawas persaingan usaha, jakarta, 2009, hal. 325. 2 kamal rokan, mustafa, hukum persaingan usaha (teori dan praktiknya di indonesia), pt rajagrafindo persada, jakarta, 2010, hal. 263. 3 journal of private and commercial law volume 1 no. 1, november 2017 berdirinya suatu komisi yang independen yaitu komisi, dimana di dalam ketentuan pasal 30 uu antimonopoli menyatakan “untuk mengawasi pelaksanaan undang-undang ini dibentuk komisi pengawas persaingan usaha.”, sehingga komisi berdiri berdasarkan keputusan presiden ri nomor 75 tahun 1999. komisi sebagai lembaga yang diamanatkan untuk menyelesaikan persoalan persaingan usaha memiliki kewenangan yang sangat luas meliputi wilayah eksekutif, yudikatif, legislatif, dan konsultatif. dalam menjalankan fungsinya, komisi mempunyai kewenangan yang terkesan tumpang tindih, sebab komisi dapat bertindak sebagai investigator, penyidik, pemeriksa, penuntut, pemutus, dan konsultatif. 3 dalam menjalankan tugasnya komisi bertanggung jawab kepada presiden ri, sebagaimana diatur dalam ketentuan pasal 30 ayat (3) yang menyebutkan bahwa “komisi bertanggung jawab kepada presiden”. sehubungan dengan penanganan perkara, sebelum lahirnya perkom 1/2010, ketua komisi mempunyai tugas untuk memfasilitasi seluruh kegiatan penanganan perkara dengan berpegang pada prinsip-prinsip transparansi, efektifitas, dan due process of law. 4 prinsip due process of law tersebut kemudian tidak tercantum di dalam perkom 1/2010, sehingga ketua komisi mempunyai tugas untuk memfasilitasi seluruh kegiatan penanganan perkara dengan berpegang pada prinsip-prinsip efektifitas dan transparansi. 5 meskipun di dalam perkom 1/2010 prinsip due process of law tidak dicantumkan secara jelas, namun nilai-nilai dari prinsip due process of law tersebut terakomodir di dalam perkom 1/2010. sehubungan dengan hal-hal tersebut di atas, maka penulis ini akan menguraikan tinjauan hukum terhadap hukum acara persaingan usaha dalam perspektif due process of law. 3 ibid, hal. 264. 4 peraturan kppu nomor 1 tahun 2006 tentang tata cara penanganan perkara di kppu, pasal 2 ayat (1). 5 peraturan kppu nomor 1 tahun 2010, tentang tata cara penanganan perkara, pasal 3 ayat (1). 4 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 hasil dan pembahasan pengaturan tentang prosedur beracara di komisi dalam perspektif due process of law uu antimonopoli tidak mengatur mengenai hukum acara yang dipergunakan sebagai acuan untuk beracara di komisi. hal ini berbeda dengan undang-undang ri nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, dan undang-undang ri nomor 2 tahun 2004 tentang pengadilan hubungan industrial, dimana kedua undang-undang tersebut selain mengatur hukum materil juga mengatur tentang hukum acara yang berlaku untuk penyelesaian perkara. dikarenakan uu antimonopoli tidak mengatur tentang hukum acara yang berlaku di dalam penyelesaian perkara di komisi, maka dasar hukum untuk beracara di kppu dapat ditemukan dalam beberapa peraturan perundang-undangan, sebagai berikut: (1) pasal 34 sampai dengan pasal 46 uu antimonopoli; (2) keputusan presiden ri nomor 75 tahun 1999 tentang komisi pengawas persaingan usaha; (3) peraturan mahkamah agung ri nomor 3 tahun 2005 tentang tata cara pengajuan upaya hukum keberatan terhadap putusan komisi pengawas persaingan usaha; (4) peraturan mahkamah agung ri nomor 1 tahun 2008 tentang prosedur mediasi di pengadilan; (5) perkom 1/2010; (6) herziene indonesisch reglement (“hir”) / hukum acara perdata, s.1848 nomor 16, s.1941 nomor 44; (7) undang-undang ri nomor 8 tahun 1981 tentang kitab undang-undang hukum acara pidana (“kuhap”) penanganan perkara di komisi dapat dilakukan berdasarkan: (1) laporan pelapor; (2) laporan pelapor dengan permohonan ganti rugi; (3) inisiatif komisi. 6 terhadap penanganan perkara berdasarkan laporan pelapor, maka tahap penanganan perkaranya dimulai dari adanya laporan, kemudian dilakukan klarifikasi, penyelidikan, pemberkasan, sidang majelis komisi, dan putusan majelis komisi. 7 terhadap penanganan perkara berdasarkan laporan pelapor dengan permohonan ganti rugi, maka tahap penanganan perkaranya dimulai dari adanya laporan, kemudian dilakukan klarifikasi, sidang majelis komisi, dan 6 lihat peraturan komisi nomor 1 tahun 2010, op.cit., pasal 2 ayat (1) 7 ibid., pasal 2 ayat (2) 5 journal of private and commercial law volume 1 no. 1, november 2017 putusan majelis komisi. 8 terhadap penanganan perkara berdasarkan inisiatif komisi, maka tahap penanganan perkaranya dimulai dari kajian, penelitian, pengawasan terhadap pelaku usaha, penyelidikan, pemberkasan, sidang majelis komisi, dan putusan majelis komisi. 9 terkait dengan adanya laporan mengenai dugaan pelanggaran, pihak yang berhak untuk membuat laporan kepada komisi tidak harus mempunyai kepentingan, sehingga pihak yang mengetahui mengenai adanya dugaan pelanggaran terhadap uu antimonopoli dapat membuat laporan kepada kppu. 10 berdasarkan hal tersebut, maka pelapor adalah setiap orang yang menyampaikan laporan kepada komisi mengenai telah terjadi atau patut diduga telah terjadi pelanggaran, baik yang melakukan tuntutan ganti rugi maupun tidak. 11 adapun laporan tersebut disampaikan kepada ketua komisi secara tertulis dengan menggunakan bahasa indonesia yang baik dan benar, dengan ketentuan paling sedikit memuat: (1) menyertakan secara lengkap identitas pelapor, terlapor, dan saksi; (2) menerangkan secara jelas dan sedapat mungkin lengkap dan cermat mengenai telah terjadi atau dugaan terjadinya pelanggaran terhadap uu antimonopoli; (3) menyampaikan alat bukti dugaan pelanggaran; (4) menyampaikan salinan identitas diri pelapor; dan (5) menandatangani laporan; (6) khusus terhadap laporan dengan permohonan ganti rugi, selain memuat halhal tersebut di atas, menyertakan nilai dan bukti kerugian yang dideritanya. 12 dengan adanya laporan dari pelapor tersebut, komisi akan menindaklanjuti laporan tersebut dengan melakukan klarifikasi untuk: (1) memeriksa kelengkapan administrasi laporan; (2) memeriksa kebenaran lokasi alamat pelapor; (3) memeriksa kebenaran identitas terlapor; (4) memeriksa kebenaran alamat saksi; (5) memeriksa kesesuaian dugaan pelanggaran dengan ketentuan uu antimonopoli yang dilanggar dengan alat bukti yang diserahkan oleh pelapor; dan (6) menilai kompetensi absolut terhadap laporan. 13 8 ibid., pasal 2 ayat (3) 9 ibid., pasal 2 ayat (4) 10 ibid., pasal 11 ayat (1) 11 ibid., pasal 1 angka 12 12 ibid., pasal 11 ayat (2) dan (3) 13 ibid., pasal 12 ayat (2) 6 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 berdasarkan klarifikasi tersebut, maka hasil yang diperoleh paling sedikit memuat: (1) menyatakan laporan merupakan kompetensi absolut komisi; (2) menyatakan laporan lengkap secara administrasi; (3) menyatakan secara jelas dugaan pelanggaran dengan ketentuan uu antimonopoli yang dilanggar; dan (4) menghentikan proses penanganan laporan atau merekomendasikan kepada atasan untuk dilakukan penyelidikan. 14 hasil klarifikasi tersebut digunakan untuk menemukan bukti awal sebagai bahan penyelidikan. dalam hal ditemukan laporan yang belum memenuhi ketentuan yaitu laporan disampaikan kepada ketua komisi dengan menggunakan bahasa indonesia yang baik dan benar, maka unit kerja yang menangani laporan memberitahukan dan mengembalikan kepada pelapor paling lama 10 (sepuluh) hari sejak diterimanya laporan. sehubungan dengan hal tersebut maka pelapor dapat melengkapi laporan tersebut paling lama 10 (sepuluh) hari sejak dikembalikan laporan. apabila dalam tenggang waktu 10 (sepuluh) hari, pelapor tidak melengkapi laporan yang belum lengkap tersebut, maka laporan dinyatakan tidak lengkap dan penanganannya dihentikan. hal tersebut tidak mengurangi hak pelapor untuk mengajukan laporan baru apabila menemukan bukti baru yang lengkap. komisi dapat melakukan pemeriksaan terhadap pelaku usaha berdasarkan data atau informasi tentang adanya dugaan mengenai terjadinya pelanggaran terhadap uu antimonopoli walaupun tanpa adanya laporan. 15 pemeriksaan terhadap perilaku pelaku usaha ini disebut dengan monitoring. kegiatan monitoring dilakukan berdasarkan data atau informasi yang bersumber paling sedikit dari: (1) hasil kajian; (2) berita di media; (3) hasil pengawasan; (4) laporan yang tidak lengkap; (5) hasil dengar pendapat yang dilakukan komisi; (6) temuan dalam pemeriksaan; atau (7) sumber lain yang dapat dipertanggungjawabkan. 16 berdasarkan data atau informasi tersebut di atas, komisi melakukan kajian terhadap sektor industri yang memenuhi kriteria paling sedikit berupa industri 14 ibid., pasal 12 ayat (3) 15 undang-undang ri nomor 5 tahun 1999, tentang larangan praktek monopoli dan persaingan usaha tidak sehat, pasal 40 ayat (1). 16 peraturan komisi nomor 1 tahun 2010, op.cit., pasal 15 ayat (2). 7 journal of private and commercial law volume 1 no. 1, november 2017 yang menguasai hajat hidup orang banyak, industri strategis yang penting bagi negara, industri dengan tingkat konsentrasi yang tinggi, dan/atau industri unggulan nasional atau daerah. hasil dari kajian tersebut dapat berupa rekomendasi yang isinya paling sedikit memuat tentang saran dan pertimbangan kepada pemerintah untuk menerbitkan atau mengubah kebijakan dan/atau melanjutkan ke tahap penyelidikan. adapun hasil dari kajian tersebut dapat masuk dalam tahap penyelidikan apabila memenuhi kriteria paling sedikit adalah terdapat dugaan pelanggaran uu antimonopoli dan pasal yang dilanggar dan/atau terdapat dugaan kinerja industri, pasar yang menurun atau dugaan potensi kerugian konsumen. monitoring terhadap pelaku usaha, komisi melalui unit kerjanya melakukan penelitian untuk memperoleh bukti awal mengenai adanya dugaan pelanggaran yang dilakukan oleh pelaku usaha, dengan serangkaian kegiatan antara lain berupa pengumpulan data-data dari pelaku usaha, pemerintah dan/atau pihak lain, melakukan survey pasar, melakukan survey setempat, dan/atau melakukan penerimaan surat-surat tembusan dan/atau informasi yang berkaitan dengan adanya dugaan pelanggaran terhadap uu antimonopoli. berdasarkan kegiatan penelitian tersebut, unit kerja dari komisi akan melakukan laporan hasil penelitian yang memuat paling sedikit tentang: (1) identitas pelaku usaha; (2) struktur pasar; (3) potensi atau dugaan perilaku yang melanggar uu antimonopoli; (4) potensi atau dugaan kinerja industri atau pasar yang menurun; (5) rekomendasi dilanjutkan atau tidak ke tahap pengawasan atau penyelidikan. 17 berdasarkan laporan hasil penelitian tersebut, maka komisi akan menetapkan tindaklanjut pengawasan terhadap pelaku usaha apabila memenuhi kriteria paling sedikit, sebagai berikut: (1) 1 (satu) pelaku usaha atau 1 (satu) kelompok pelaku usaha memiliki pangsa pasar lebih dari 50% (lima puluh persen); (2) 2 (dua) atau (3) pelaku usaha atau kelompok pelaku usaha memiliki pangsa pasar lebih dari 75% (tujuh puluh lima persen); dan/atau (3) berpotensi melakukan pelanggaran uu antimonopoli. 18 17 ibid., pasal 22 ayat (2) 18 ibid., pasal 22 ayat (3) 8 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 adapun komisi akan menetapkan tindaklanjut penyelidikan apabila berdasarkan laporan hasil penelitian memenuhi kriteria, paling sedikit sebagai berikut: (1) dugaan perilaku yang melanggar uu antimonopoli; dan/atau (2) dugaan kinerja industri atau pasar yang menurun. 19 terkait dengan penetapan komisi untuk melakukan pengawasan terhadap pelaku usaha, maka kegiatan pengawasan yang dilakukan oleh komisi adalah monitoring harga dan pasokan, wawancara, pertemuan dengan pelaku usaha yang bersangkutan, laporan berkala dari pelaku usaha setiap 6 (enam) bulan, meminta informasi dari pelaku usaha pesaing, dan/atau meminta keterangan dari pemerintah. apabila dari kegiatan pengawasan diperoleh rekomendasi bahwa dilakukan penyelidikan, maka unit kerja komisi di bidang investigasi akan menugaskan investigator untuk melakukan penyelidikan. berdasarkan hasil dari kegiatan penyelidikan, maka unit kerja komisi yang menangani pemberkasan dan penanganan perkara akan melakukan penilaian layak atau tidaknya laporan hasil penyelidikan untuk dilakukan gelar laporan. terhadap laporan hasil penyelidikan yang dinilai layak untuk dilakukan gelar laporan, maka disusun rancangan laporan dugaan pelanggaran. unit kerja yang menangani pemberkasan dan penanganan perkara akan menyampaikan rancangan laporan dugaan pelanggaran dalam rapat komisi untuk dilakukan gelar laporan, sehingga berdasarkan rancangan laporan dugaan pelanggaran tersebut, ketua komisi menetapkan pemeriksaan pendahuluan. proses penanganan perkara persaingan usaha dalam tahap laporan memiliki beberapa kesamaan dengan proses penanganan perkara menurut hukum acara pidana, dimana pihak pelapor tidak harus sebagai pihak yang dirugikan namun laporan tersebut dapat dilakukan oleh pihak yang mengetahui telah terjadi atau dugaan pelanggaran terhadap ketentuan hukum yang berlaku (dalam hal ini ketentuan hukum pidana materil). berdasarkan adanya laporan dari pelapor kepada pihak kepolisian, maka pihak kepolisian akan melakukan penyelidikan berupa serangkaian tindakan untuk mencari dan menemukan suatu peristiwa yang diduga sebagai tindak pidana guna menentukan dapat atau tidaknya dilakukan 19 ibid., pasal 22 ayat (4) 9 journal of private and commercial law volume 1 no. 1, november 2017 penyidikan 20 . berbeda halnya dengan hukum acara perdata, dimana ada atau tidaknya suatu perkara harus diambil oleh seseorang atau beberapa orang yang merasa bahwa haknya dilanggar, dalam hal ini inisiatif berasal dari penggugat atau para penggugat. adapun penanganan perkara persaingan usaha berdasarkan inisiatif dari komisi memiliki kesamaan dengan penanganan perkara dalam hukum acara pidana, dimana dalam hukum acara pidana suatu perkara ditangani karena adanya perbuatan melanggar hukum baik berupa kejahatan maupun pelanggaran, sehingga tanpa adanya pengaduan atau laporan dari pihak yang merasa dirugikan, pihak yang berwajib akan terus menindak perbuatan melanggar hukum tersebut. selain itu, tahap penyelidikan dalam hukum acara pidana memiliki kemiripan dengan tahap klarifikasi dalam hukum acara persaingan usaha, dimana dari tahap penyelidikan dalam hukum acara pidana akan diperoleh hasil apakah suatu peristiwa diduga sebagai tindak pidana, yang kemudian akan ditindaklanjuti ke dalam tahap penyidikan, sedangkan tahap klarifikasi dalam hukum acara persaingan usaha akan diperoleh hasil apakah terdapat dugaan pelanggaran terhadap ketentuan uu antimonopoli, yang kemudian akan ditindaklanjuti ke dalam tahap penyelidikan. selain itu terdapat beberapa kemiripan istilah yaitu gelar perkara dalam hukum acara pidana yang berfungsi untuk menetapkan apakah perkara tersebut dapat ditindaklanjuti ke tahap penuntutan atau tidak, sedangkan dalam hukum acara persaingan usaha disebut gelar laporan, yang berfungsi untuk menetapkan apakah perkara tersebut dapat ditindaklanjuti ke tahap pemeriksaan pendahuluan atau tidak. proses pemeriksaan dan pembuktian berdasarkan persetujuan rapat komisi terhadap rancangan laporan dugaan pelanggaran, maka ketua komisi menetapkan pemeriksaan pendahuluan. tujuan dari pemeriksaan pendahuluan adalah untuk mendapatkan pengakuan dari terlapor dan atau bukti permulaan yang cukup tentang terjadinya pelanggaran uu antimonopoli. 21 majelis komisi wajib melakukan pemeriksaan pendahuluan 20 undang-undang ri nomor 8 tahun 1981 tentang hukum acara pidana, pasal 1 angka (5) 21 binoto, nadapdap, hukum acara persaingan usaha, hal. 42. 10 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 paling lama 7 (tujuh) hari setelah ditetapkannya keputusan komisi mengenai pembentukan majelis komisi. 22 majelis komisi memanggil terlapor untuk hadir dalam pemeriksaan pendahuluan berdasarkan surat panggilan yang patut. dalam pemeriksaan pendahuluan tersebut, investigator membacakan laporan dugaan pelanggaran yang dituduhkan kepada terlapor, dan terlapor dapat mengajukan tanggapan terhadap dugaan pelanggaran, nama saksi dan nama ahli, dan surat dan/atau dokumen lainnya, dalam tenggang waktu 7 (tujuh) hari sejak pembacaan laporan dugaan pelanggaran oleh investigator. berbeda halnya apabila pemeriksaan pendahuluan berdasarkan laporan dengan kerugian, dimana majelis komisi memanggil pelapor dan terlapor dalam pemeriksaan pendahuluan. majelis komisi memberikan kesempatan kepada pelapor untuk laporan dugaan pelanggaran yang dituduhkan kepada terlapor dan kerugian yang dialami pelapor. adapun terlapor dapat mengajukan tanggapan terhadap dugaan pelanggaran, nama saksi dan nama ahli, dan surat dan/atau dokumen lainnya, dalam tenggang waktu 7 (tujuh) hari sejak pembacaan laporan dugaan pelanggaran oleh pelapor. dalam hal pelapor yang mengajukan laporan dengan kerugian dan terlapor tidak hadir dalam sidang pertama, maka majelis komisi melakukan pemanggilan 1 (satu) kali lagi secara patut. apabila pelapor tersebut tidak hadir dalam sidang kedua, maka majelis komisi akan melakukan pemanggilan kembali untuk terakhir kalinya secara patut. bilamana pelapor tetap tidak hadir, maka majelis komisi dalam rapat komisi mengusulkan laporan dugaan pelanggaran tidak dapat diterima. dalam hal terlapor tidak hadir dalam sidang kedua, maka majelis komisi akan melakukan pemanggilan kembali untuk terakhir kalinya secara patut. apabila terlapor tetap tidak hadir, maka majelis komisi dalam rapat komisi mengusulkan untuk dilakukan pemeriksaan lanjutan. laporan hasil pemeriksaan pendahuluan memuat setidak-tidaknya tentang dugaan pelanggaran yang dilakukan oleh terlapor, tanggapan terlapor terhadap dugaan pelanggaran, nama saksi, nama ahli dan/atau surat dan/atau dokumen yang diajukan oleh terlapor dan investigator, serta perlu atau tidaknya dilakukan pemeriksaan lanjutan. dalam hal rapat komisi memutuskan untuk dilakukan 22 peraturan komisi nomor 1 tahun 2010, op.cit., pasal 49 ayat (1). 11 journal of private and commercial law volume 1 no. 1, november 2017 pemeriksaan lanjutan, maka ketua komisi menetapkan pemeriksaan lanjutan. adapun pemeriksaan pendahuluan wajib telah selesai dilakukan dalam jangka waktu 30 (tiga puluh) hari sejak tanggal pemeriksaan pendahuluan dimulai. 23 berdasarkan penetapan ketua komisi untuk dilakukan pemeriksaan lanjutan, maka majelis komisi akan menetapkan jadwal pemeriksaan lanjutan. pemeriksaan lanjutan wajib dilakukan oleh majelis komisi paling lama 7 (tujuh) hari setelah penetapan ketua komisi mengenai pemeriksaan lanjutan. adapun tujuan dari pemeriksaan lanjutan adalah untuk mendapatkan bukti yang cukup tentang adanya pelanggaran terhadap uu antimonopoli. 24 bukti dianggap cukup apabila ditemukan setidak-tidaknya dua alat bukti yang saling mendukung. adapun kegiatan pemeriksaan lanjutan meliputi antara lain memeriksa dan meminta keterangan terlapor, saksi, ahli, dan instansi pemerintah, meminta, mendapatkan dan menilai surat, dokumen, atau alat bukti lain, dan melakukan penyelidikan terhadap kegiatan terlapor atau pihak lain terkait dengan dugaan pelanggaran terhadap uu antimonopoli. pemeriksaan lanjutan berakhir dalam jangka waktu paling lama 60 (enam puluh) hari sejak tanggal pemeriksaan lanjutan dimulai dan dapat diperpanjang oleh majelis komisi dalam tenggang waktu paling lama 30 (tiga puluh) hari. 25 memutus suatu perkara persaingan usaha, majelis komisi akan melakukan pemeriksaan terhadap para pihak yang berperkara dan menilai bukti-bukti yang diajukan dalam proses pembuktian. membuktikan dalam hukum acara mempunyai arti yuridis. 26 membuktikan dalam arti yuridis tidak lain berarti memberi dasar-dasar yang cukup kepada majelis komisi yang memeriksa perkara yang bersangkutan guna memberi kepastian tentang kebenaran peristiwa yang diajukan. membuktikan secara yuridis tidak hanya memberi kepastian kepada majelis komisi, tetapi juga mengenai terjadinya suatu peristiwa, yang tidak tergantung pada tindakan para pihak, seperti pada persangkaan-persangkaan, dan tidak tergantung pada keyakinan majelis komisi atas keterangan terlapor 23 ibid., pasal 49 ayat (2). 24 binoto, nadapdap, op.cit., hal. 42. 25 peraturan komisi nomor 1 tahun 2010, op.cit., pasal 57 sampai dengan pasal 59 26 binoto, nadapdap, op.cit., hal. 55. 12 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 misalnya. membuktikan ialah menyakinkan majelis komisi tentang kebenaran dalil atau dalil-dalil yang dikemukakan dalam suatu laporan mengenai dugaan pelanggaran terhadap uu antimonopoli. 27 pembuktian secara yuridis tidak lain adalah pembuktian secara historis. 28 pembuktian secara historis mencoba menetapkan apa yang telah terjadi secara nyata (konkreto). salah satu tugas dari majelis komisi adalah menyelidiki apakah suatu hubungan hukum yang menjadi dasar dari laporan dugaan pelanggaran terhadap uu antimonopoli, benar-benar melanggar atau tidak melanggar ketentuan dari uu antimonopoli. 29 adanya hubungan hukum inilah yang harus dibuktikan apabila pelapor menginginkan laporannya dikabulkan oleh komisi. dalam proses pembuktian di perkara persaingan usaha, tidak semua dalil yang menjadi dasar laporan harus dibuktikan kebenarannya, sebab apabila terlapor tidak menyangkal atau mengakui dalil-dalil yang disampaikan oleh pelapor, maka dalil tersebut tidak perlu dibuktikan kembali. dalam proses pembuktian di perkara persaingan usaha, majelis komisi akan menentukan siapa di antara pihak-pihak yang berperkara yang diwajibkan untuk memberikan bukti, baik dari pihak pelapor atau sebaliknya dari pihak terlapor, sehingga yang berkepentingan dalam proses pembuktian bukan hanya pelapor semata. dengan demikian, maka majelis komisi yang akan menentukan pihak mana yang akan memikul beban pembuktian. 30 selain hal-hal yang telah diakui atau setidak-tidaknya tidak disangkal oleh terlapor, masih terdapat satu hal lagi yang tidak perlu atau tidak harus dibuktikan yaitu berupa hal-hal atau keadaan-keadaan yang telah diketahui oleh khalayak ramai, atau dalam hukum disebut fakta notoir. yang dimaksud dengan fakta notoir contohnya adalah bahwa pada hari minggu, seluruh kantor pemerintah tutup, dan bahwa harga tanah di kota-kota besar seperti dki jakarta, surabaya, dan medan, lebih mahal daripada harga tanah di desa. berdasarkan hal tersebut, 27 ibid., hal. 56. 28 sudikno mertokusumo, hukum acara perdata indonesia, edisi kelima, liberty, jogjakarta, 1998, hal. 109. 29 menurut ketentuan pasal 36 huruf d, undang-undang ri nomor 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat, salah satu wewenang komisi adalah menyimpulkan hasil penyelidikan atau pemeriksaan tentang ada atau tidak adanya praktek monopoli dan atau persaingan usaha tidak sehat. 30 sutantio, retnowulan, dan oeripkartawinata, iskandar, op.cit., hal. 58-59. 13 journal of private and commercial law volume 1 no. 1, november 2017 maka fakta notoir merupakan hal atau keadaan yang sudah diketahui dengan sendirinya oleh majelis komisi. sesuai dengan asas hukum audi et alteram partem, maka di dalam menjatuhkan beban pembuktian, majelis komisi harus bertindak arif dan bijaksana, serta tidak boleh berat sebelah, sehingga peristiwa dan keadaan yang nyata harus diperhatikan secara seksama oleh majelis komisi. hal tersebut dikarenakan, pembuktian dalam perkara persaingan usaha adalah mencari kebenaran tentang hubungan hukum apakah terlapor terbukti melakukan pelanggaran terhadap ketentuan tertentu dari uu antimonopoli. apabila majelis komisi menerima dan membenarkan laporan pelapor, maka hal ini mengandung arti majelis komisi sampai pada satu kesimpulan bahwa laporan pelapor tentang dugaan pelanggaran terhadap uu antimonopoli adalah benar terjadi. dengan demikian, membuktikan dalam arti luas adalah memperkuat kesimpulan majelis komisi dengan syarat-syarat bukti yang sah. 31 dalam arti yang terbatas, pembuktian hanya diperlukan apabila laporan pelapor itu dibantah oleh pelaku usaha terlapor, sehingga apa yang tidak dibantah oleh terlapor tidak perlu dibuktikan. untuk menentukan terbukti tidaknya pelanggaran terhadap uu antimonopoli berdasarkan laporan atau hasil monitoring, alat-alat bukti yang dipergunakan oleh tim pemeriksa atau majelis komisi adalah: (a) keterangan saksi; (b) keterangan ahli; (c) surat dan/atau dokumen; (d) petunjuk; (e) keterangan terlapor. 32 majelis komisi menentukan sah atau tidak sahnya suatu alat bukti. 33 saksi menurut perkom 1/2010 adalah setiap orang atau pihak yang mengetahui terjadinya pelanggaran dan memberikan keterangan guna kepentingan pemeriksaan di komisi. saksi-saksi tersebut ada yang secara kebetulan melihat atau mengalami sendiri peristiwa yang harus dibuktikan di muka majelis komisi, ada pula yang memang sengaja diminta untuk menyaksikan suatu perbuatan hukum yang sedang dilakukan, seperti menyaksikan pembuatan akta 31 binoto, nadapdap, op.cit., hal. 55. 32 undang-undang ri nomor 5 tahun 1999, op.cit., pasal 42. 33 peraturan komisi nomor 1 tahun 2010, op.cit., pasal 72 ayat (2). 14 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 penggabungan atau merger di suatu perusahaan. seorang saksi diminta untuk menerangkan tentang apa yang diketahui, dilihat, dan dialaminya sendiri, dan tiap kesaksian itu harus disertai dengan alasan-alasan bagaimana ia mengetahui hal-hal yang diterangkan itu. pendapat maupun perkiraan-perkiraan yang diperoleh dengan jalan pikiran bukanlah suatu kesaksian. 34 seorang saksi juga tidak boleh memberikan keterangan yang merupakan suatu kesimpulan. sebab yang berwenang untuk menarik kesimpulan adalah majelis komisi. contohnya, seorang saksi tidak dapat menerangkan bahwa pada waktu pelapor sedang berkunjung ke salah satu hotel berbintang lima, pada saat itu saksi melihat dua orang pengusaha yang diduga melakukan persekongkolan tender sedang makan malam bersama. beberapa saat setelah acara makan malam tersebut, kemudian salah satu dari perusahaan pelaku usaha terlapor dinyatakan sebagai pemenang tender yang dilarang oleh uu antimonopoli. hanya berdasarkan adanya makan malam bersama tersebut, kemudian saksi berkesimpulan bahwa yang dibicarakan pada makan malam bersama tersebut pasti mengenai persekongkolan tender. sebelum saksi memberikan keterangan, saksi yang bersangkutan terlebih dahulu wajib mengangkat sumpah sesuai dengan agama dan kepercayaannya. 35 dikarenakan saksi sudah mengangkat sumpah di hadapan majelis komisi, maka keterangan di depan majelis komisi inilah yang akan dipertimbangkan bilamana terhadap putusan majelis komisi ada keberatan dari pihak yang ditolak atau tidak diterima permohonannya. ahli menurut perkom 1/2010 adalah orang yang memiliki keahlian di bidang terkait dengan dugaan pelanggaran dan memberikan pendapat guna kepentingan pemeriksaan. di dalam kuhap, yang dimaksud dengan ahli adalah keterangan yang diberikan oleh seorang yang memiliki keahlian khusus tentang hal yang diperlukan untuk membuat suatu terang perkara pidana guna pemeriksaan. 36 apabila membaca dari struktur keterangan ahli dalam hukum positif, maka fungsi keterangan ahli bersifat tentatif. hal tersebut dikarenakan, 34 lihat kitab undang-undang hukum perdata, pasal 1907. 35 peraturan komisi nomor 1 tahun 2010, op.cit., pasal 52 ayat (4). 36 undang-undang ri nomor 8 tahun 1981, op.cit., pasal 1 angka 28. 15 journal of private and commercial law volume 1 no. 1, november 2017 pertama, keterangan ahli bukanlah merupakan keterangan yang final dikarenakan sebagai salah satu alat bukti perlu atau tidaknya digunakan sebagai dasar memutus laporan dugaan pelanggaran terhadap uu antimonopoli sepenuhnya menjadi kewenangan dari majelis komisi. kedua, keterangan ahli merupakan penjelasan yang bersifat transisional, dengan maksud sebagai argumentasi antara pembuktian dengan penilaian perkara. 37 hal ini dikarenakan keterangan ahli merupakan keterangan yang diberikan oleh seseorang atas dasar pengetahuannya dan berhubungan dengan perkara yang sedang diperiksa. apabila keterangan yang diberikan berbentuk pendengaran, penglihatan, atau pengalamannya sehubungan dengan peristiwa yang terjadi, maka sekalipun diberikan oleh ahli, keterangan tersebut tidak bernilai sebagai bukti keterangan ahli, melainkan berubah menjadi bukti keterangan saksi. adapun alat bukti surat adalah segala sesuatu yang memuat tanda-tanda bacaan yang dimaksudkan untuk mencurahkan isi hati atau menyampaikan buah pikiran seseorang dan dipergunakan sebagai pembuktian. 38 dengan demikian, maka potret atau gambar yang tidak memuat tanda-tanda bacaan atau buah pikiran, demikian juga dengan denah atau peta, meskipun ada tanda-tanda bacaannya, tetapi tidak mengandung suatu buah pikiran atau isi hati seseorang. sebaliknya, sebuah surat yang berisi curahan hati yang diajukan di muka majelis komisi ada kemungkinan tidak merupakan alat bukti tertulis atau surat, tetapi sebagai sebuah benda untuk meyakinkan saja, dikarenakan bukan kebenaran atas isi surat tersebut yang harus dibuktikan atau digunakan sebagai bukti, melainkan eksistensi surat tersebut menjadi bukti sebagai barang yang diperdagangkan atau tidak. 39 alat bukti petunjuk menurut perkom 1/2010 adalah pengetahuan majelis komisi yang olehnya diketahui dan diyakini kebenarannya. 40 alat bukti berupa keterangan terlapor adalah apa yang terlapor nyatakan di depan majelis komisi 37 binoto, nadapdap, op.cit., hal. 62. 38 ibid., hal. 65. 39 ibid., hal. 65. 40 peraturan komisi nomor 1 tahun 2010, op.cit., pasal 72 ayat (3). 16 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 mengenai perjanjian, perbuatan yang terlapor lakukan sendiri, yang diketahui sendiri atau dialami sendiri. 41 putusan majelis komisi dan upaya hukum majelis komisi memutuskan telah terjadi atau tidak terjadi pelanggaran berdasarkan penilaian hasil pemeriksaan lanjutan dan seluruh surat dan/atau dokumen atau alat bukti lain yang disertakan di dalamnya termasuk pendapat atau pembelaan terlapor. keputusan majelis komisi disusun dalam bentuk putusan komisi. apabila terbukti telah terjadi pelanggaran, majelis komisi dalam putusannya menyatakan terlapor telah melanggar ketentuan undang-undang dan menjatuhkan sanksi administratif sesuai dengan ketentuan undang-undang. sanksi administratif yang dapat dikenakan oleh komisi terhadap pelaku usaha yang terbukti melakukan pelanggaran adalah: (1) penetapan pembatalan perjanjian sebagaimana dimaksud pada pasal 4 sampai dengan pasal 13, pasal 15, dan pasal 16 uu antimonopoli; dan/atau (2) perintah kepada pelaku usaha untuk menghentikan integrasi vertikal sebagaimana dimaksud dalam pasal 14 uu antimonopoli; dan/atau (3) perintah kepada pelaku usaha untuk menghentikan kegiatan yang terbukti menimbulkan praktek monopoli dan atau menyebabkan persaingan usaha tidak sehat dan atau merugikan masyarakat; dan/atau (4) perintah kepada pelaku usaha untuk menghentikan penyalahgunaan posisi dominan; dan/atau (5) penetapan pembatalan atas penggabungan atau peleburan badan usaha dan pengambilalihan saham sebagaimana dimaksud dalam pasal 28 uu antimonopoli; dan/atau (6) penetapan pembayaran ganti rugi; dan/atau (7) pengenaan denda serendah-rendahnya rp 1.000.000.000,00 (satu miliar rupiah) dan setinggi-tingginya rp 25.000.000.000,00 (dua puluh lima miliar rupiah). pengambilan keputusan oleh majelis komisi dilakukan melalui musyawarah untuk mufakat. apabila musyawarah tidak mencapai mufakat, maka putusan majelis komisi diambil melalui pemungutan suara berdasarkan mayoritas suara anggota majelis komisi. apabila terdapat perbedaan pendapat (dissenting opinion) di antara anggota majelis komisi, maka anggota majelis komisi yang dimaksud dapat meminta agar pendapatnya dimasukkan dalam pertimbangan 41 binoto, nadapdap, op.cit., hal. 69. 17 journal of private and commercial law volume 1 no. 1, november 2017 putusan. adapun dissenting opinion tersebut disertai dengan alasan-alasan dan disampaikan kepada anggota majelis komisi lainnya dalam musyawarah majelis komisi sebelum dibacakannya putusan majelis komisi. 42 majelis komisi wajib untuk melakukan musyawarah majelis komisi paling lama dalam jangka waktu 7 (tujuh) hari setelah pemeriksaan lanjutan berakhir. musyawarah majelis komisi wajib menyepakati telah terjadi atau tidak terjadi pelanggaran terhadap uu antimonopoli dalam jangka waktu paling lama 15 (lima belas) hari setelah pemeriksaan lanjutan berakhir. adapun putusan majelis komisi dibacakan dalam suatu sidang majelis komisi yang terbuka untuk umum, paling lama 30 hari terhitung setelah berakhirnya pemeriksaan lanjutan. 43 berdasarkan ketentuan peraturan mahkamah agung ri nomor 3 tahun 2005, keberatan terhadap putusan majelis komisi dapat diajukan ke pengadilan negeri ditempat kedudukan hukum usaha terlapor. 44 upaya hukum keberatan ini hanya diajukan oleh terlapor, dimana komisi merupakan pihak dalam perkara tersebut. pelaku usaha yang tidak menerima putusan pengadilan negeri dalam perkara keberatan dapat mengajukan upaya hukum kasasi kepada mahkamah agung ri dalam waktu 14 (empat belas) hari sejak diterimanya putusan pengadilan negeri. mahkamah agung ri wajib memberikan putusan dalam jangka waktu 30 (tiga puluh) hari sejak permohonan kasasi diterima. disamping upaya hukum kasasi tersebut, upaya hukum yang pernah diajukan dalam perkara persaingan usaha adalah peninjauan kembali. adapun ketentuan hukum acara dari upaya hukum peninjauan kembali sama dengan ketentuan hukum acara yang berlaku dalam peradilan umum. 45 prinsip due process of law sebagaimana telah disinggung sebelumnya bahwa terdapat keterkaitan yang erat antara due process of law dengan sistem penanganan perkara persaingan 42 peraturan komisi nomor 1 tahun 2010, op.cit., pasal 60 ayat (1) dan (2). 43 ibid., pasal 63 ayat (1), (2), dan (3). 44 peraturan mahkamah agung ri nomor 3 tahun 2005 tentang tata cara pengajuan upaya hukum keberatan terhadap putusan komisi pengawas persaingan usaha, pasal 2 ayat (1). 45 sirait, ningrum natasya, dkk, (penyusun), ikhtisar ketentuan persaingan usaha, the indonesia netherlands national legal reform program (nlrp), jakarta, 2010, hal. 278. 18 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 usaha di komisi. dapat dikatakan bahwa, antara due process of law dengan sistem penanganan perkara persaingan usaha di komisi ibarat du sisi mata uang yang tidak dapat dipisahkan antara yang satu dengan yang lainnya. sehubungan dengan konsep due process of law, tobias dan petersen menerangkan bahwa due process of law merupakan constitutional guaranty ... that no personwill be deprived of live, liberty of property for reason that are arbitrary ... protecs the citizen against arbitrary actions of the government”, sehingga unsur-unsur minimal dari due process of law adalah hearing, counsel, defence, evidence, and a fair and impartial court. 46 unsur-unsur due process of law tersebut harus dijalankan secara seimbang, artinya pendekatannya benar-benar tidak memihak, menganggap sama dalam prinsip, dan menemukan penyesuaian yang tepat antara bukti-bukti dengan fakta-fakta yang terjadi. menurut mardjono reksodiputro, makna dan hakikat dari due process of law tidak hanya penerapan hukum atau perundang-undangan yang diasumsikan adil secara formal, tetapi mengandung jaminan hak atas kemerdekaan dari setiap orang atau pihak yang berperkara dalam peradilan. 47 dalam rangka mewujudkan due process of law, maka diperlukan suatu penegakan hukum. penegakan hukum yang dimaksud tidak hanya sebagai penegakan terhadap norma-norma hukum yang berkaitan dengan pelanggaran suatu pihak, melainkan juga penegakan terhadap norma-norma yang berkaitan dengan perlindungan hak-hak bagi pihak yang berperkara selama proses penanganan perkara berlangsung. menurut satjipto rahardjo, pemikiran hukum perlu kembali kepada filosofi dasarnya, yaitu hukum untuk manusia. 48 dengan filosofi tersebut, maka manusia menjadi penentu dan titik orientasi hukum, dimana hukum bertugas melayani manusia bukan sebaliknya. bagi hukum progresif, proses perubahan tidak lagi berpusat pada peraturan, tetapi pada kreativitas pelaku hukum dalam mengaktualisasi hukum dalam ruang dan waktu yang tepat. 46 tahir, heri, proses hukum yang adil dalam sistem peradilan pidana di indonesia, hal. 22-23. 47 mardjono reksodiputro, bunga rampai permasalahan dalam sistem peradilan pidana, kumpulan karangan buku ke lima, pusat pelayanan keadilan dan pengabdian hukum (d/h lembaga kriminologi universitas indonesia), jakarta, 1997, hal. 1. 48 tanya, bernard. l, dkk, teori hukum strategi tertib manusia lintas ruang dan generasi, hal. 212. 19 journal of private and commercial law volume 1 no. 1, november 2017 implementasi prinsip due process of law dalam peraturan komisi tabel 1 : implementasi prinsip due process of law dalam peraturan komisi menurut perkom 1/2006 dan perkom 1/2010, dalam perspektif terlapor no unsur-unsur prinsip due process of law perkom 1/2006 perkom 1/2010 1 hearing pasal 65 ayat (1) huruf b, yang berbunyi: “dalam setiap tahapan pemeriksaan dan sidang majelis komisi, terlapor wajib memberikan keterangan dihadapan tim pemeriksa terkait dengan dugaan pelanggaran.” pasal 65 ayat (2) huruf f, yang berbunyi: “dalam setiap tahapan pemeriksaan dan sidang majelis komisi, terlapor berhak menyampaikan tanggapan atau pembelaan atas tuduhan dugaan pelanggaran.” pasal 8 ayat (1) huruf b, yang berbunyi: “dalam pemeriksaan, terlapor wajib memberikan keterangan terkait dengan dugaan pelanggaran.” pasal 8 ayat (2) huruf g, yang berbunyi: “dalam pemeriksaan, terlapor berhak menyampaikan tanggapan atau pembelaan atas tuduhan dugaan pelanggaran.” pasal 23, yang berbunyi: “apabila diperlukan komisi dapat melakukan dengar pendapat dengan pelaku usaha berdasarkan laporan hasil penelitian atas usul dari unit kerja yang menangani monitoring pelaku usaha.” 2 counsel pasal 65 ayat (2) huruf i, yang berbunyi:“dalam setiap tahapan pemeriksaan dan sidang majelis komisi, terlapor berhak didampingi oleh kuasa hukum atau advokat dalam setiap tahap pemeriksaan dan sidang majelis.” pasal 8 ayat (2) huruf j, yang berbunyi: “dalam pemeriksaan, terlapor berhak didampingi oleh advokat dalam tahap klarifikasi, pemeriksaan dan sidang majelis.” 3 defence pasal 65 ayat (2) huruf f, yang berbunyi: “dalam setiap tahapan pemeriksaan dan sidang majelis komisi, terlapor berhak menyampaikan tanggapan atau pembelaan atas tuduhan dugaan pelanggaran.” pasal 8 ayat (2) huruf g, yang berbunyi: “dalam pemeriksaan, terlapor berhak menyampaikan tanggapan atau pembelaan atas tuduhan dugaan pelanggaran.” 4 evidence pasal 65 ayat (2) huruf e, yang berbunyi: “dalam setiap pasal 8 ayat (2) huruf e dan f, yang berbunyi: “dalam 20 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 tahapan pemeriksaan dan sidang majelis komisi, terlapor berhak melakukan pemeriksaan alat-alat bukti yang dijadikan dasar dalam kesimpulan pemeriksaan.” pemeriksaan, terlapor berhak:  mengajukan alat bukti termasuk saksi dan/atau ahli.  memeriksa alat-alat bukti sebelum menyusun kesimpulan.” pasal 51 ayat (1), yang berbunyi: “atas permintaan investigator, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4), atau terlapor, atau karena jabatan, ketua majelis komisi dapat memerintahkan saksi untuk hadir dan didengar keterangannya dalam persidangan.” pasal 54 ayat (2), yang berbunyi: “investigator, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4) dan/atau terlapor dapat mengajukan pertanyaan kepada saksi setelah majelis komisi selesai dengan pertanyaan-pertanyaannya.” pasal 56 ayat (1), yang berbunyi: “atas permintaan investigator, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4) dan/atau terlapor, atau karena jabatannya, ketua majelis dapat menunjuk seorang atau beberapa orang ahli.” tabel 2 : implementasi prinsip due process of law dalam peraturan komisi menurut perkom 1/2006 dan perkom 1/2010, dalam perspektif pelapor no unsur-unsur prinsip due process of law perkom 1/2006 perkom 1/2010 1 hearing pasal 66 ayat (1) huruf b, yang berbunyi: “dalam setiap tahapan pasal 6 ayat (1) huruf b, yang berbunyi:“dalam pemeriksaan, pelapor wajib memberikan 21 journal of private and commercial law volume 1 no. 1, november 2017 pemeriksaan, pelapor wajib memberikan keterangan dihadapan tim pemeriksa terkait dengan dugaan pelanggaran.” keterangan terkait dengan dugaan pelanggaran pada tahap klarifikasi dan penyelidikan.” pasal 7 ayat (1) huruf b, yang berbunyi: “dalam pemeriksaan, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4), wajib memberikan keterangan terkait dengan dugaan pelanggaran.” 2 counsel pasal 66 ayat (2) huruf e, yang berbunyi: n“dalam setiap tahapan pemeriksaan, pelapor berhak didampingi oleh kuasa hukum atau advokat dalam setiap tahap pemeriksaan.” pasal 6 ayat (2) huruf e, yang berbunyi: “dalam pemeriksaan, pelapor berhak didampingi oleh advokat dalam tahap klarifikasi dan penyelidikan.” pasal 7 ayat (2) huruf h, yang berbunyi: “dalam pemeriksaan, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4) berhak didampingi oleh advokat dalam setiap tahap pemeriksaan.” 3 defence lazimnya, hak untuk mengajukan pembelaan diberikan kepada terlapor atau pihak yang dituduh melakukan pelanggaran. pasal 7 ayat (2) huruf d, yang berbunyi:“dalam pemeriksaan, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4) berhak menyampaikan laporan dugaan pelanggaran beserta perhitungan kerugian yang dialami dalam pemeriksaan pendahuluan.” 4 evidence pasal 66 ayat (1) huruf c, yang berbunyi: “dalam setiap tahapan pemeriksaan, pelapor wajib menyerahkan surat dan/atau dokumen yang diminta oleh tim pemeriksa.” pasal 7 ayat (2) huruf c dan e, yang berbunyi: “dalam pemeriksaan, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4) berhak:  mengajukan alat bukti termasuk saksi dan/atau ahli.  memeriksa alat-alat bukti sebelum menyusun kesimpulan.” pasal 51 ayat (1), yang berbunyi:“atas permintaan investigator, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4), atau terlapor, atau karena jabatan, ketua majelis komisi dapat memerintahkan saksi untuk 22 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 hadir dan didengar keterangannya dalam persidangan.” pasal 54 ayat (2), yang berbunyi:“investigator, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4) dan/atau terlapor dapat mengajukan pertanyaan kepada saksi setelah majelis komisi selesai dengan pertanyaan-pertanyaannya.” pasal 56 ayat (1), yang berbunyi:“atas permintaan investigator, pelapor sebagaimana dimaksud dalam pasal 11 ayat (4) dan/atau terlapor, atau karena jabatannya, ketua majelis dapat menunjuk seorang atau beberapa orang ahli.” terkait dengan prinsip a fair and impartial court, maka sebagaimana telah dikemukakan sebelumnya bahwa, pengertian dari peradilan yang jujur dan tidak memihak adalah majelis hakim / majelis komisi dalam menjalankan profesinya tidak membeda-bedakan pihak yang berperkara. hal tersebut mengandung makna, bahwa hakim harus selalu menjamin pemenuhan perlakuan sesuai hak-hak asasi manusia terutama bagi untuk pihak-pihak yang berperkara. berdasarkan hal tersebut di atas, maka pengaturan tentang prosedur beracara di komisi baik perkom 1/2006 maupun perkom 1/2010, telah mendasarkan pada prinsip due process of law, dikarenakan pengaturan tentang tata cara penanganan perkara di komisi tersebut telah mengakomodir hak-hak dari pelapor dan terlapor menurut prinsip due process of law. usulan revisi terhadap perkom 1/2010 tentang jangka waktu penyelesaian perkara terkait dengan keterbatasan waktu untuk memeriksa bukti-bukti surat dan mempelajari berkas di komisi, ada baiknya dipandang sebagai suatu masukan bagi komisi yang memiliki kewenangan di bidang pembuat peraturan untuk menyempurnakan peraturan mengenai tata cara penanganan perkara yang berlaku 23 journal of private and commercial law volume 1 no. 1, november 2017 saat ini, yaitu perkom 1/2010. sebagaimana terjadi di komisi dalam perkara dengan nomor register 07/kppu-l/2007, terdapat beberapa para terlapor yang berkedudukan di luar wilayah negara indonesia, yang menyampaikan bahwa para terlapor tersebut memerlukan waktu tambahan untuk menunjuk advokat di indonesia dan diperlukannya waktu untuk menerjemahkan dokumen-dokumen dari bahasa indonesia ke dalam bahasa inggris sehingga terjemahan tersebut dapat membantu para terlapor dalam mengambil keputusan yang dituangkan ke dalam pembelaannya. terhadap perkara yang melibatkan para terlapor dari luar wilayah negara indonesia dan memperhatikan sifat keadaan perkara yang permasalahannya cukup sulit atau kompleks untuk diputuskan, maka ada baiknya, peraturan mengenai tata cara penanganan perkara di komisi merujuk pada surat edaran mahkamah agung ri nomor 6 tahun 1992 (“sema ri no 6/1992”). di dalam sema ri no 6/1992, pada pokoknya mengatur bahwa jangka waktu penyelesaian perkara baik di pengadilan negeri maupun di pengadilan tinggi dapat diselesaikan dalam waktu 6 (enam) bulan. namun dengan memperhatikan sifat keadaan perkara tertentu dimungkinkan penyelesaiannya memakan waktu lebih dari 6 (enam) bulan, dan dalam keadaan demikian, ketua pengadilan negeri atau ketua pengadilan tinggi diharuskan untuk melaporkan hal tersebut dengan menyebutkan alasan-alasannya kepada ketua pengadilan tinggi dan ketua mahkamah agung ri. merujuk pada sema ri no 6/1992 tersebut, majelis komisi yang memeriksa dan mengadili perkara tertentu diberikan waktu untuk menyelesaikan perkara tersebut, namun dalam hal tertentu dengan memperhatikan sifat perkaranya, majelis komisi dapat memeriksa dan mengadili perkara tersebut lebih dari jangka waktu yang ditentukan dengan syarat, memberikan laporan kepada pimpinan di institusinya. sema ri no 6/1992 ini memberikan kewenangan bagi majelis hakim untuk menggunakan diskresi terhadap perkara yang ditanganinya. hal ini sejalan dengan teori hukum progresif yang digagas oleh satjipto rahardjo. bagi hukum progresif, proses perubahan tidak lagi berpusat pada peraturan, tetapi pada kreativitas pelaku hukum dalam mengaktualisasi hukum dalam ruang dan waktu yang tepat. para pelaku hukum progresif dapat melakukan perubahan dengan 24 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 melakukan pemaknaan yang kreatif terhadap peraturan yang ada, tanpa harus menunggu perubahan peraturan, sehingga peraturan yang kurang memadai tidak menjadi penghalang bagi para pelaku hukum untuk menghadirkan keadilan untuk masyarakat dan pencari keadilan, karena para pelaku hukum dapat melakukan interpretasi secara baru setiap kali terhadap suatu peraturan. pada dasarnya, diskresi ditempuh karena sarana hukum dirasakan kurang efektif dan terbatas dalam mencapai tujuan hukum dan sosial, oleh karena itu diskresi yang dilakukan oleh penyelenggara hukum, semata-mata atas dasar pertimbangan tentang kegunaan dan kefungsian tindakan itu dalam mencapai tujuan yang lebih besar demi menjaga kewibawaan hukum itu sendiri. 49 berdasarkan hal tersebut, maka perlu dipertimbangkan untuk melakukan penyempurnaan terhadap perkom 1/2010 dalam hal jangka waktu pemeriksaan dan penyelesaian perkara di komisi, dimana diberikan ruang bagi majelis komisi untuk memeriksa dan mengadili perkara berdasarkan jangka waktu yang ditetapkan di dalam peraturan komisi, namun dalam keadaan tertentu dan mengingat sifat keadaan perkara yang tingkat penyelesaian perkaranya cukup sulit atau kompleks, maka perlu diberikan kewenangan berupa diskresi bagi majelis komisi untuk memperpanjang jangka waktu pemeriksaan dan penyelesaian perkara dengan memberikan laporan disertai dengan alasan-alasannya kepada pimpinan di institusinya. simpulan menegakkan hukum di perkara persaingan usaha, komisi perlu memperhatikan prinsip-prinsip yang disebut prinsip due process of law, dikarenakan terdapat keterkaitan yang erat antara due process of law dengan sistem penanganan perkara persaingan usaha di komisi. hal tersebut dikarenakan, sistem penanganan perkara persaingan usaha di komisi merupakan wadah dari due process of law, sehingga tidak mungkin membicarakan due process of law dalam hukum persaingan usaha tanpa adanya sistem penanganan perkara persaingan usaha di komisi. demikian sebaliknya, due process of law pada 49 ibid. hal. 217 25 journal of private and commercial law volume 1 no. 1, november 2017 hakikatnya merupakan roh dari sistem penanganan perkara persaingan usaha di komisi, yang ditandai dengan adanya perlindungan terhadap hak-hak bagi pihak yang berperkara. sehubungan dengan konsep due process of law, tobias dan petersen menuliskan bahwa unsur-unsur minimal dari prinsip due process of law adalah hearing, counsel, defence, evidence, and a fair and impartial court. sehubungan dengan adanya keterkaitan antara prinsip due process of law dengan aturan mengenai sistem atau tata cara penanganan perkara di komisi, maka diperoleh simpulan bahwa unsur-unsur minimal dari prinsip due process of law tersebut telah terakomodir baik di dalam perkom 1/2006 maupun di dalam perkom 1/2010. adapun saran di dalam tulisan ini adalah perlunya dilakukan penyempurnaan di dalam perkom 1/2010, khususnya mengenai batas waktu pemeriksaan pendahuluan dan pemeriksaan lanjutan. hal tersebut dikarenakan, adanya permintaan dari para terlapor dalam perkara nomor 07/kppu-l/2007, dimana terdapat beberapa para terlapor yang berkedudukan di luar wilayah negara indonesia, yang menyampaikan bahwa para terlapor tersebut memerlukan waktu tambahan untuk menunjuk advokat di indonesia dan diperlukannya waktu untuk menerjemahkan dokumen-dokumen dari bahasa indonesia ke dalam bahasa inggris sehingga terjemahan tersebut dapat membantu para terlapor dalam mengambil keputusan yang dituangkan ke dalam pembelaannya. terhadap perkara yang melibatkan para terlapor dari luar wilayah negara indonesia dan memperhatikan sifat keadaan perkara yang permasalahannya cukup sulit atau kompleks untuk diputuskan, maka ada baiknya, peraturan mengenai tata cara penanganan perkara di komisi merujuk pada sema ri no 6/1992. di samping itu, untuk memperoleh kebenaran materil dalam perkara persaingan usaha, maka diperlukan waktu yang cukup untuk memeriksa alat-alat bukti sehingga dapat meyakinkan majelis komisi sebelum menjatuhkan putusan dalam perkara persaingan usaha di komisi. apabila memperhatikan sifat keadaan perkara tertentu dimungkinkan penyelesaiannya membutuhkan waktu lebih daripada yang diatur di dalam perkom 1/2010, maka dalam keadaan demikian, kiranya majelis 26 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 komisi yang memeriksa dan mengadili perkara tersebut diberikan kewenangan untuk memperpanjang jangka waktu pemeriksaan perkara tersebut. merujuk pada sema ri no 6/1992 tersebut, majelis komisi yang memeriksa dan mengadili perkara persaingan usaha diberikan waktu untuk menyelesaikan perkara tersebut sesuai dengan jangka waktu yang diatur di dalam uu antimonopoli dan/atau perkom1/2010, namun dalam hal tertentu dengan memperhatikan sifat perkaranya, majelis komisi dapat memeriksa dan mengadili perkara tersebut lebih dari jangka waktu yang ditentukan dalam peraturan yang berlaku, dengan syarat memberikan laporan disertai alasan-alasannya kepada pimpinan di institusinya. daftar pustaka binoto, nadapdap, hukum acara persaingan usaha, jala permata aksara, jakarta, 2009. lubis, andi fahmi, dkk, hukum persaingan usaha antara teks dan konteks, komisi pengawas persaingan usaha, jakarta, 2009. kamal rokan, mustafa, hukum persaingan usaha: teori dan praktiknya di indonesia, rajawali pers, jakarta, 2010. mardjono reksodiputro, bunga rampai permasalahan dalam sistem peradilan pidana, kumpulan karangan buku ke lima, pusat pelayanan keadilan dan pengabdian hukum (d/h lembaga kriminologi universitas indonesia), jakarta, 1997. sirait, ningrum natasya, dkk, (penyusun), ikhtisar ketentuan persaingan usaha, the indonesia netherlands national legal reform program (nlrp), jakarta, 2010. sudikno mertokusumo, hukum acara perdata indonesia, edisi kelima, liberty, jogjakarta, 1998. sutantio, retnowulan, dan oeripkartawinata, iskandar, hukum acara perdata dalam teori dan praktek, mandar maju, bandung, 1997. tahir, heri, proses hukum yang adil dalam sistem peradilan pidana di indonesia, laksbang pressindo yogyakarta, 2010. 27 journal of private and commercial law volume 1 no. 1, november 2017 tanya, bernard. l, dkk, “teori hukum strategi tertib manusia lintas ruang dan generasi”, genta publishing, yogyakarta, 2010. aturan perundang-undangan: keputusan presiden republik indonesia nomor 75 tahun 1999 tentang komisi pengawas persaingan usaha. kitab undang-undang hukum perdata. peraturan komisi nomor 1 tahun 2006 tentang tata cara penanganan perkara di komisi pengawas persaingan usaha. peraturan komisi nomor 1 tahun 2010 tentang tata cara penanganan perkara. peraturan mahkamah agung ri nomor 3 tahun 2005 tentang tata cara pengajuan upaya hukum keberatan terhadap putusan komisi pengawas persaingan usaha. surat edaran mahkamah agung ri nomor 6 tahun 1992. undang-undang republik indonesia nomor 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat. undang-undang republik indonesia nomor 8 tahun 1981 tentang hukum acara pidana. 28 donny w. tobing, tinjauan hukum terhadap hukum……, pp. 1-28 sitta saraya, the civil law review...…., pp. 101 -112 the civil law review of the role of joint villageowned business entities (bum desa bersama) as the subject of civil law sitta saraya faculty of law, bachelor degree program universitas selamat sri (uniss) kendal jawa tengah, indonesia sitta@uniss.ac.id sittalaw@gmail.com abstract village development in indonesia demands a growing system of regulations both in the field of village development and its economy so that since the enactment of law number 6 of 2014 concerning villages, village-owned enterprises (bum desa) have emerged to support economic development and development of a village in indonesia . bum desa is a legal entity that can carry out legal actions to manage capital and assets owned, provide general public services in the form of drinking water management, village waste management, management of barns, making ponds, managing plantation products and livestock products, utilizing tourism potential into villages tourism and other business activities that involve the active role of independent village communities, establish partnerships and cooperation with other parties, both individuals and other legal entities such as limited liability companies, cvs and so on. the purpose of this study is to find out the role of the role of the joint village business entity as the subject of civil law in carrying out various legal actions including cooperating in various fields with other business entities incorporated. . keywords : civil law, joint village owned enterprises (bum desa bersama), subjects of civil law introduction the existence of a village-owned enterprise (bum desa), which is one of the economic institutions of rural communities, is expected to be able to provide useful contributions to the village and increase the village's income sources. the existence of a village-owned enterprise needs to get legal legality. in law no. 6 of 2014 concerning the village and its implementing regulations, namely government regulation no. 43 of 2014 (pp concerning villages) states that village-owned enterprises (bum desa) are business entities whose entire or part mailto:sitta@uniss.ac.id mailto:sittalaw@gmail.com journal of private and commercial law volume 2 no. 2, november 2018 102 of their capital is owned by the village through direct participation originating from separated village assets to manage assets, services, and businesses. others for the greatest welfare of the village community. 1 in this research, analyzing the formation of bum desa bersama which is a combination of several bum desa, also the role of bum desa and bum desa bersama as legal subjects in carrying out civil law actions in this case agreements with other business entities incorporated. civil law is a series of legal regulations that regulate the relationship of legal subjects (people and legal entities) one with another legal subject by emphasizing the personal interests of the legal subject. 2 discussing about bum desa and bum desa bersama, based on permendesa no. 4 of 2015 article 6, it was said that two or more villages could establish a bum desa together with the one agreed upon through inter-village consultation facilitated by inter-village cooperation bodies consisting of: 3 (1) village government; (2) bpd member; (3) village community institutions (lkmd); (4) other village institutions; (5) public figure. based on the provisions of article 6 of permendesa number 4 of 2015, it can be concluded that several villages can make one bum desa managed jointly or commonly called a joint village owned enterprise (bum desa bersama). with the existence of bum desa and bum desa bersama, it is necessary empowering village communities. village community empowerment is an effort to develop community independence and prosperity by increasing knowledge, attitudes, skills, behaviors, abilities, awareness, and utilizing resources through the establishment of policies, programs, activities, and assistance that are in accordance with the essence of the problem and priority needs of the village community. 4 for more details, here there are several regulations or legal basis for the establishment of village-owned enterprises (bum desa): 1 article no 1 point 6 law number 6 of 2014 concerning villages (uu desa) 2 komariah, 2002, hukum perdata, malang: umm press. page 4 3 article 6 permendesa nomor 4 year 2015 4 article 1 point 12 law number 6 of 2014 concerning villages (uu desa) sitta saraya, the civil law review...…., pp. 101 -112 information : chart 1 legal basis of village-owned enterprises (bum desa) and joint village owned enterprises (bum desa bersama) research methods the type of research method in this study is normative juridical. normative juridical law research is a process to find a rule of law, legal principles, and legal doctrines faced. 5 in this research the law was identified as a rule norm or law (uu), government regulation (pp). the legal approach is carried out by examining all the rules of the law and regulations relating to the legal issues being addressed. 6 the legal materials used in this research are in the form of primary legal material and secondary legal material. primary legal materials consist of the civil code, law no 6 of 2014 concerning villages (uu desa) and law number 40 of 2007 concerning limited liability companies (uupt), government regulation number 43 of 2014 ( pp desa), village minister 5 peter mahmud marzuki. 2015. penelitian hukum, surabaya. kencana. page 35 6 ibid journal of private and commercial law volume 2 no. 2, november 2018 104 regulation, development of disadvantaged regions, and transmigration of the republic of indonesia number 4 of 2015 concerning establishment, management and management, and dissolution of village-owned enterprises. secondary legal material is obtained by means of library research through books, journals, research results that are relevant to the research of the author. primary legal materials were collected by interviewing the joint village owned enterprise (bum desa with "sari plasma petik") and pt fruit ing indonesia tbk surabaya. results and discussion a. the position of joint village owned enterprises (bum desa bersama) in civil law in studying civil law concerning the subject of civil law is known 2 (two) civil law subjects namely: 7 1) person. in law, orang (persoon) means the bearer of rights or subjects in the law. as we say, a person is said to be a legal subject (carrier of rights), starting from his birth and ending when he dies. in fact, if needed (such as in terms of inheritance), it can be counted since he was in the womb, provided he was born alive. 2) legal entity. subekti said that in addition to people, bodies or associations also have rights and carry out legal actions like a human being. the bodies or associations have their own wealth, participate in legal traffic with their management intermediaries, can be sued, and can also sue before the judge. in this study, the existence of a village-owned business entity or a joint village-owned business entity (bum desa bersama) needs to obtain legal legality. in law no. 6 of 2014 concerning villages and its implementing regulations, namely government regulation no. 43 of 2014 (pp concerning village) states that village-owned enterprises (bum desa) are business 7 subekti. 1992. pokok-pokok hukum perdata. jakarta. internusa. page 19-21. sitta saraya, the civil law review...…., pp. 101 -112 entities whose entire or part of their capital is owned by the village through participation directly from the village's separated wealth to manage assets, services and other businesses for the greatest welfare of the village community. 8 in the provisions of chapter x article 87 of law number 6 year 2014 concerning villages it is regulated that: 9 (1) villages can establish a villageowned business entity called bum desa;(2) bum desa is managed with a spirit of kinship and mutual cooperation; (3) bum desa can run a business in the economic sector and / or public services in accordance with the provisions of the legislation. in article 88 of law number 6 year 2014 concerning juncto village. article 132 of the pp concerning the village states that a village-owned business entity (bum desa) is established based on village meetings, which is then determined by the village head and the formation of bum desa with the local village regulation. furthermore, in article 135 of the pp concerning the village, it is also stated that the initial capital of bum desa comes from the village expenditure budget (apb desa) which is the wealth of the village which is separated and not divided into shares. the capital owned by bum desa consists of: (1) participation of village capital, which originates from apb desa and others; (2) capital participation of village communities. the position of village-owned enterprises (bum desa) and joint village-owned business entities (bum desa bersama) is a legal entity that must have a regular organizational structure. this regular organizational structure can be seen in article 132 of the pp concerning the village, stating that the manager of a village-owned enterprise (bum desa) must at least consist of advisors and operational executors. advisers in bum desa's organizational structure are held by the local village head, while operational executors are individuals who are appointed and dismissed by the village head. as for the organizational structure of the joint village owned enterprise 8 articlel 1 point 6 law number 6 of 2014 concerning villages (uu desa) 9 ibid. journal of private and commercial law volume 2 no. 2, november 2018 106 (bum desa bersama), it consists of a managing director appointed based on collective meetings from several bum desa representatives, then other administrators, both secretaries and treasurers and coordinators of the units also discussed together. 10 unlike the case with other legal entities such as limited liability companies, foundations or cooperatives, where all of them get their legal status or legal justification as legal entities when getting approval from the ministry. 11 in law no. 6 of 2014 concerning villages and the pp on villages it is not explicitly stated that when the bum desa or bum desa bersama are legitimate, they become a legal entity. but when viewed from article 88 of law number 6 year 2014 concerning the village of juncto article 132 pp concerning the village which states that “the establishment of bum desa is carried out through a village meeting and stipulated by village regulations ", it can be concluded here that when it was ratified and a joint agreement took place at the village consultation then the agreement was stipulated in a village regulation, then the business entity was formed legally. village-owned (bum desa) as a legal entity in the subject of civil law. from the explanation above, it can be concluded that village-owned enterprises (bum desa) and joint village owned enterprises (bum desa bersama) are legal entities that must have characteristics as legal entities including: (1) the separation of assets between the body and the founder or member or shareholder; (2) having wealth in his own name; (3) having certain goals; (4) having their own interests; (5) can sue and be sued in court on his own behalf and (6) there is a regular organization. from several characteristics of bum desa and bum desa together with the above as legal entities, the wealth of bum desa and bum desa bersama is a separate village asset, for bum desa bersama, its wealth consists of the apb desa of each village where bum desanya joins bum desa from the 10 organizational structure bum desa bersama “ plasma petik sari “ kecamatan sukorejo, kabupaten kendal, jawa tengah. 11 http://business-law.binus.ac.id erni herawati. village-owned business entity, status and position sitta saraya, the civil law review...…., pp. 101 -112 village others become bum desa bersama. bum desa and bum desa bersama have the objectives and interests set by law no. 6 of 2014 concerning villages, namely to develop the village economy and increase village income. bum desa and bum desa bersama also have regular organizations that can be seen from the presence of operational advisors and implementers. edy afandi direktur utama mundiyana wati bendahara samidi kabid unit bejo turimin ka unit jambu karyadi ka unit perdagangan sutrimo ka unit baru dwi heru prasetyo sekretaris struktur organisasi bum desa bersama “plasma petik sari” kec. sukorejo, kab kendal information: chart 2 examples of organizational structure of bum desa together in plasma petik sari, sukorejo district and patean district b. the differences between bum desa, bum desa bersama and bumn as a public society, we need to know that bum desa, bum desa bersama and bumn are both legal entities. however, there are several things that distinguish between bum desa and bum desa together with other business entities which are both legal entities, in this case can be compared with state-owned enterprises. no differences bum desa as well as bum desa bersama bumn 1. legal basis 1) law number 6 of 2014 concerning villages; 2) government regulation number 43 of 2014 (pp desa); 3) regulation of the minister of village, development of disadvantaged regions, and transmigration of the republic of indonesia number 4 of 2015 concerning establishment, law no. 19 of 2003 concerning state-owned enterprises journal of private and commercial law volume 2 no. 2, november 2018 108 management and management, and dissolution of villageowned enterprises. 2. definition bum desa is a business entity whereby all or part of its capital is owned by the village through direct participation originating from separated village assets in order to manage assets, services and other businesses for the greatest welfare of the village community. bum desa bersama is a combination of several bum desa which later became a unit. state-owned enterprises (bumn) are business entities whose capital is wholly or partly owned by the government. 3. capital and assets village revenue and expenditure budget (apb desa) state 4. objectives to increase the village's income source and strengthen the economic sector in the village, improve the welfare of the village community (profit-oriented, namely obtaining profits and benefits) by opening opportunities for the village community to take part in the progress of the village and the economic welfare of the community itself). profit oriented, earn profit 5. person in charge the director or can be referred to as the chair with the assistance of the advisor in this case the village head director of bumn information: table the differences between bum desa, bum desa bersama and bumn c. the role of joint village owned enterprises (bum desa bersama) as subjects of civil law in law no. 6 of 2014 concerning villages and its implementing regulations, namely government regulation no. 43 of 2014 (pp concerning village) states that village-owned enterprises (bum desa) are business entities whose entire or part of their capital is owned by the village through participation directly from the village's separated wealth to manage assets, sitta saraya, the civil law review...…., pp. 101 -112 services and other businesses for the greatest welfare of the village community. 12 definition of civil law subjects is a person or party whether a legal entity or a legal entity that carries out legal actions. legal actions here that give rise to legal relations if they are related to civil law are engagement laws as listed in book iii of the civil code (kuh perdata) concerning engagement. sutoro eko et al. have stated that 6 (six) types of businesses that can be held by bum desa can be classified as follows: 13 1. serving bum desa runs a "social business" that serves citizens, which is able to do public services to the community. an example of a type of serving business is the village water supply business, both clean water management and management of drinking water (distilled), village electricity business, food storage, etc. some villages also provide services in the form of waste management. 2. banking bum desa runs a "money business". for example, forming a cooperative or village bank and also a village community credit institution. this business is very popular among rural people who need loan funds for business capital with low interest loans from individuals who work as loan sharks or other conventional banks. some villages also implement banking business by establishing a waste bank. 3. renting bum desa runs a rental business. among them are tractor rentals, party buildings, party utensils, houses, shops etc. 4. brokering bum desa is an intermediary institution or term broker that connects agricultural commodities with markets, or some other services such as electricity services, pdam payments, telephone credit and several others. 12 articlel 1 point 6 law number 6 of 2014 concerning villages (uu desa) 13 policy paper “membangun badan usaha milik desa yang mandiri, kokoh dan berkelanjutan” published by fppd and acces at january 2014 journal of private and commercial law volume 2 no. 2, november 2018 110 5. trading bum desa runs certain businesses and produces certain items to meet people's needs, including the production of ice cubes, agricultural products etc. in some bum desa produces processing coffee, tea and some processed foods that are packaged for souvenirs. 6. holding bum desa as a joint venture or as a parent of units in the village, where the units of each stand alone are regulated and synergized by bum desa to grow a joint business. the holding business that is currently developing is a tourism village in various tourist destinations which is a tourist attraction of a village or raises the potential of a village. in connection with the activities and roles carried out by the jointlyowned village enterprises, the authors conducted a study on the role of bum desa bersama in bum desa bersama "plasma petik sari" consisting of 7 (seven) bum desa. the study consisted of several joint bum desa. bum joint sari plasma village located in sukorejo subdistrict, kendal regency, becomes bum desa bersama, a pilot that is considered successful in developing the getas merah guava business and cooperating with a collective labor agreement with private companies with legal entities, namely pt. fruit ing indonesia tbk surabaya. the following is a table of several villages incorporated in bum desa bersama "plasma petik sari" sukorejo and patean subdistricts, as well as management planning of red brittle guava horticulture plants: sitta saraya, the civil law review...…., pp. 101 -112 the collective labor agreement between bum desa and sari plasma with pt fruit ing is an agreement on management of red getas guava horticulture with agreement number: 019.2 / 003 / bumdesma / p2s / iii / 2018 or number: fi / 02 / iii / 2018 / pks. this signing was held on wednesday, march 7, 2018 by the director of bum desa with mr. edy afandi as the first party and director of pt fruit ing indonesia mr. dr. drs. ec. iwan winardi mm as the second party. while as a witness is the regent of kendal, mrs. dr. mirna annisa, m.sc and ceo pt fruit ing mr. calvin andryan. the collective labor agreement in the above research contains several articles and is in accordance with the legal requirements of the agreement 14 of course, both parties agreed on the agreement elements: 15 (1) there is an agreement from two parties or more; (2) the agreement reached depends on the parties; (3) the wishes or goals of the parties for the emergence of legal consequences; (4) legal consequences for the interests of one and at the expense of the other party or reciprocity; (5) made by observing statutory provisions conclusion from the description above, bum desa bersama is a legal entity in accordance with law number 6 of 2014 concerning villages, although it is explicitly not explained, but because bum desa and bum desa are formed by the local village based on village consultations and then strengthened by village regulation, so that legally that bum desa or bum desa bersama are legal entities. bum desa and bum desa bersama are also subjects of civil law who are capable of carrying out legal actions so as to produce legal relations in this case the engagement law. as the subject of a civil law, bum desa bersama has the right to enter into an agreement with the source of the civil code. 14 article 1320 civil code : (a) both parties are agree; (b) having competenty to do the law;(c) a certain thing; and; (d) reason that is lawful 15 herlien budiono. 2015.peran badan usaha di luar perseroan terbatasdalam memberikan kontribusi bagi peningkatan ekonomi nasional dalam kumpulan tulisan hukum perdata di bidang kenotariatan.citra aditya bhakti. bandung. page. 120 journal of private and commercial law volume 2 no. 2, november 2018 112 bibliography budiono herlien, 2015, kumpulan tulisan hukum perdata di bidang kenotariatan. bandung: citra aditya bhakti marzuki, peter mahmud, 2011, penelitian hukum, surabaya : kencana mulyoto,2012, perjanjian teknik, cara membuat dan hukum perjanjian yang harus dikuasai. yogyakarta: cakrawala media mulyoto, 2016, legal standing. yogyakarta: cakrawala media subekti henricus dan mulyoto, 2017, badan usaha pengertian,bentuk dan tata cara pembuatan akta-aktanya. yogyakarta: cakrawala media eko suroto, etc. januari 2014, policy paper “membangun badan usaha milik desa yang mandiri, kokoh dan berkelanjutan” jakarta: kerjasama fppd dengan acces suteki and galang taufani, 2017, metodologi penelitian hukum (filsafat,teori dan praktik), depok: raja grafindo persada regulations civil code (kuh perdata) law number 6 of 2014 concerning villages (uu desa) government regulation number 43 of 2014 (pp desa); regulation of the minister of village, development of disadvantaged regions, and transmigration of the republic of indonesia number 4 of 2015 concerning establishment, management and management, and dissolution of village-owned enterprises. law no. 19 of 2003 concerning state-owned enterprises internet http://business-law.binus.ac.id erni herawati. village-owned business entity, status and position http://business-law.binus.ac.id/ rini fidiyani, building the competency..., pp. 134 140 building the competency of dialogue in managing the problem solving of freedom of religion and belief conflict in indonesia rini fidiyani faculty of law universitas negeri semarang email fidiyani.rini@gmail.com erni wulandari law doctoral program student universitas sebelas maret – solo email erniwulandari.006@gmail.com abstract higher education law has a long history in indonesia from the colonial era of the dutch east indies to the present. laying the foundation of higher education law starts with secondary law education rechtscholl for the workforce of bumi putera who are made into low-paid ambtenaar employees. the task of the rechtscholl graduate is to help the work of the law apparatus of the european population, especially the netherlands. as ethical and political demands echoed nationalist concept of an independent state of all forms of colonialism, dutch east indies colonial government opened higher education law that continues today. now we have entered a higher education law that intersects with the complexity of globalization concerning various needs and society and the area. the demands of legal higher education today are not just printing legal scholars who are adept at arranging legal documents as hard skill skills and even extending to soft skills in managing conflict resolution regarding social sensitivity, empathy, discipline and equality in communicating with parties in conflict. conflict of freedom of religion and belief in indonesia is prone to occur because our society is heterogeneous and cases of conflict have been proven to spread in indonesia. like the conflict between the free aceh movement, papua, poso. the profile of having competency in dialogue is soft skills that must be mastered for graduates of legal higher education in managing the settlement of legal disputes and / or conflicts that are now easily emerging in various sectors of life, one of which is freedom of religion and belief. dialogical personal competency requires capital and specific training that is directed and continuous in building these skills. one of them is in mailto:fidiyani.rini@gmail.com 135 journal of private and commercial law volume 2 no. 2, november 2018 managing the conflict resolution of freedom of religion in indonesia as well as new opportunities in the profession for graduates of legal higher education. keywords: conflict, freedom of religion, personal dialogue introduction political awareness of reciprocity from the dutch east indies colonial government for the indonesian people and the spirit of nationalism had grown greatly towards legal education in indonesia at that time (1908). (soetandjo w,2014,p.102). the development of legal education continued to change as the demands of the indonesian people towards the spirit of independence up to higher education law were more inclined to the historical legacy of hard skill proficiency in the higher education version of dutch law. today's soft skill is needed for legal higher education in the form of skill in dialogue in overcoming conflict eradication. general conflict in the sociological aspect is a situation where two or three actors struggle to get rare contributions in the same time (wallensteen 2002 quoted by sandy nur ikfal rahardjo, 2015, p.36). especially concerning natural resources and human resources which often occur outside java, the distribution of superior human resources in the form of education, health and other experts in the outermost islands such as the papau border, southeast sulawesi and so on, so that local residents have difficulty gaining access fluent education, health and others. religion in the study of anthropological perspectives is part of the form of community culture that teaches goodness and glory, but other hidden secrets convey violence in the name of religious militants who focus more on the problem of understanding narrow religious teachings (see rini fiidyani, 2018, p. 104), just like war cross. meanwhile, the current riot is discussed by the conflict between the myanmar government and the rakhinea tribe which is seen as an inferior citizen in all aspects of life. (see sandy nur ikfal rahardjo, 2015, p. 35) conflict concerning sara (ethnicity, religion and race) and in the realm of democracy today is easy to occur in multicultural societies, especially in indonesia. this can be observed closely from the reports of the kbb conflict rini fidiyani, building the competency..., pp. 134 140 human rights commission in 2016 stretching from eastern indonesia to the west including menado, belitung, denpasar, kendal, rembang, west java (bogor, kuningan, bandung, cianjur, tasikmalaya, bekasi) tangerang, dki jakarta, aceh, singkil. kbb complaints in 2016 were 97 cases while in 2015 there were 87 cases. an increase in the number of kkb complaint cases indicates that residents of the community are aware of reporting complaints of cases, especially conflicts of the kbb. the main causes of the kbb conflict include the first; restriction or prohibition of places of worship (44 complaints), second; restrictions and prohibitions on religious services or activities (19 elders). (report of the national commission on human rights in 2016, pp. 13-15) kbb conflict can be pursued through litigation, non-litigation and quasi litigation. the parties involved can be from state actors and legal institutions as well as government institutions but can also involve community leaders, religious leaders and other community members as well as personal dialogue as facilitators of conflict. in the text of this article will be discussed professional opportunities for observers or legal experts to explore and hone soft skill skills in the form, the ability to dialogue into a dialogue person. personal logistic is easy to adapt and can be trusted in good faith and has the ability to provide alternative directions concrete solutions for parties in conflict based on the basics of the conflict that occurred. research methods the research method used is a juridical empirical and anthropological qualitative approach. law is seen as non-doctrinal in social life or law in human interaction ethnographically. primary data is obtained from observations and interviews while secondary data in the form of the results of previous studies and tertiary data obtained from the contents of literature such as documentation and previous archives. then the data is processed using interactive and non-interactive methods, and then analyzed using an interactive analysis model. results and discussion 137 journal of private and commercial law volume 2 no. 2, november 2018 religion or the flow of belief is a necessity of human life that is often fulfilled when humans in the womb of the mother, birth, childhood, adulthood, marriage, life death in the world. religion or belief sets the details understood by its adherents not only as rites, sites but as a moral order from the almighty for their followers or followers. according to fox and sandlerr (quoted by sandy nur ikfal rahardjo, 2015, p.37), several definitions of religion are inherent to adherents or humanity for the influence of society and politics, the first dimension; religion as the basis of identity both regarding history, location, language; second; a system of beliefs about the patterns of behavior of the adherents, because the greater the pattern of behavior, the less likely it is to make compromises and accommodations; third; religious or theological doctrine as a guide to the behavior patterns of followers and making decisions; fourth, religion becomes a tool of legitimacy in justifying policies and other actions, such as suicide bombings; fifth, religion is associated as an institution that is accepted by the community and has the authority to mobilize the masses. kbb conflict conditions that occur in indonesia reap the form of violations that are both physical and psychological in nature, while victims of both individuals and groups since 2014 appear tables of forms of violations and intolerance by non-state actors no form of violation total 1. physical / property attacks 16 2. spread of hatred 15 3. misdirection towards other groups 10 4. intimidation and threat of violence 9 5. restrictions / prohibitions on religious activities 9 6. rejection / sealing of the church 7 7. limitation / coercion of expression 5 8. mosque / musala rejection 2 9. discrimination on the basis of religion 2 10. coercion of conviction 2 11. hindu temple destruction 1 while the table of victims of violations and intolerance by non-state actors in 2014 is as follows: rini fidiyani, building the competency..., pp. 134 140 no victim group individual 1. church 5 2. student 1 3. groups / flow are accused of being heretical 12 7 4. mta 1 5. islamic boarding school 1 6. shiite institutions / citizens 7 7. temple 1 8. believers 1 9. baha'i 1 10. jai leaders & members 6 11. christian and catholic congregations 9 2 12. radio media 1 13. mosque / musala management 3 14. fpi leaders / members 1 15. artists and public figures 11 16. cross faith activist 1 2 17. journalist 1 18. general public 2 3 19. employee 22 total 52 29 kbb violations related to intolerance and discrimination were spread throughout indonesia in west java with a total of 55 cases, diy yogyakarta with 21 cases, north sumatra with 18 cases, jakarta with 14 cases while central java and south sulawesi each with 10 cases. the means to resolve the kbb conflict include dialogue. the word dialog comes from greek from the word dia-logos meaning between two parties or dual speech to exchange views, opinions and values of ideas. unlike the case with the monologue, only one active party speaks. the dialogue process requires time to listen to one another, listen to, observe gesture, express opinions and trust the opinions of conflicting parties with facilitators from the dialogue dialogues. this is not necessarily guaranteed to be final because it can occur there is a process of a priori cultural interaction and incomprehension of the language of the parties in conflict. 139 journal of private and commercial law volume 2 no. 2, november 2018 substantially the path of dialogue can free itself from the slavery of selfinterest and become an independent human being. through the dialogue channel can create a harmonious life without having to sacrifice each other's intrinsic identity (victor l tanya, 1998: p.65) theoretically mapping there are 4 (four) psychological principles based on true dialogue containing the first; openness to other parties, second; willingness to speak and respond to others, third; mutual trust both parties provide correct information in their own way. (d. hendropuspito, 1983, pp. 172-173). the condition of proficiency in dialogue needs to be built together with the power of social capital made by a dialogical person to explore and map the hidden will of the conflicting parties. terms that are fulfilled privately (d. hendropuspito, 1983, pp. 174-175) 1. the whole person because he is truly present and full of respect for the person who speaks at the same time authentic means trusting and not manipulating for his own sake 2. personal who are open to being willing to hear and accept other people's expressions, including criticism, 3. a disciplined person means holding fast to the context of the problem to obtain creativity. these four conditions can be attached to the proficiency of legal science as a means of sharpening the ability to dialogue. in addition to the requirements to be fulfilled and prepared mature for the personal diologal (ibid, 1983.hlm.176-181), first; the same foundation as god's creatures that teach the goodness of behaving and special beings because they have reason; second; the purpose of dialogue means deliberation and consensus is that there are fundamental differences that are shared with each other for mutual understanding. third; material for mature dialogue includes a. problems of da'wah and religious approaches, toleration versus fanaticism, c. living together in pluralistic religious area d. cooperation between religious communities e. ethical code of association between religious groups. conclusion the above explanation can be summarized as follows: rini fidiyani, building the competency..., pp. 134 140 1. competency in dialogue for observers or graduates of legal higher education is a fundamental matter that is controlled to be a dialogue person; 2. the kbb conflict is vulnerable to the multicultural community of indonesia and the skill of reliable dialogue to be a personal dialogue is an additional professional opportunity for legal higher education. bibliography fidiyani, rini, 2018, batas-batas kemampuan hukum dalam mengatasi konflik antar umat beragama, saraswati nitisara, semarang hendropuspito, d, 1983, sosiologi agama, yogyakarta, kanisius nur ikfal rahardjo, sandy, 2015, peran indentitas agama dalam konflik rakhie dan pemerntah myanmar tahun 2012-2013, jurnal kajian wilayah, vol.6 no.1 laporan komnas ham, 2016 l. tanya, victor, 1998, pluralisme agama dan probelema sosial, diskurus teologi tenatng isu-isu kontemporer, pt pustaka cidesindo, jakarta wijgsoebroto, soetandjo, dari hukum kolonial ke hukum nasional, 2014, rineka cipta, bandung the wahid institute , 2014 laporan tahunan kebebasan beragma berkeyakinan dan intolerenasi 2014, utang warisan pemerintahan baru, jakarta: the wahid institute 1 journal of private and commercial law volume 2 no. 1, mei 2018 the identification of green banking concept and bank liability (a study of act number 10 of 1998 with extensive interpretation and progressive legal approach) anitalia kusuma dewi student of graduate program of master of legal science, faculty of law, universitas gadjah mada. sosio justitia street. bulaksumur yogyakarta. anitaliakusumadewi@yahoo.com. phone 08179609845. paripurna lecturer at the business law department. faculty of law, universitas gadjah mada. sosio justitia street. bulaksumur yogyakarta. abstract the purposes of this research are to analyze the identification of green banking concept in the act number 10 of 1998 with extensive interpretation and progressive legal approach and to analyze how banks should be held liable for based on applicable law in view of the extensive interpretation and progressive legal approach. this research is a normative legal research that has analyzed green banking concept using act number 10 of 1998 concerning banking, bank indonesia regulation number 14/15/pbi/2012 concerning asset quality of commercial banks, act number 32 of 2009 concerning environmental protection and management and the financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies, and then presented as prescriptive research. the result of this study is that banks are reluctant to further examine the amdal of financed projects and do not oversee such projects until the termination of the contract. extensive interpretation and progressive legal approach can be used to provide bank a deep insight regarding the concept of green banking contained in the banking law and the extent to which banks (creditors) are subject to the terms of the lender liability. keywords: green banking, bank liability, extensive interpretation, progressive legal approach. underlying background and context bank as a financial institution and one of the pillars of indonesian economy 2 anitalia , paripurna, the identification ……, pp. 1-16 that provides funds for development shall also support sustainable and environmentally sound development as set forth in act number 10 of 1998 concerning banking. with such significant bank position, banks should be selective in channeling funds into non-destructive business activities. one of the business activities is oil palm plantation which has recently been highlighted because of getting involved in deforestation, land clearing, peat burned, the extinction of biodiversity, violation of local society’s rights, illegally planting on the burned peat lands that should be restored, social conflict with local communities are not being addressed, as the company promised they would be, violating the agreement and policy by the company itself, and so on. some further questions are, who should bear the risks of such business activities that have committed to burning peatland for monoculture plantations, building factories, disposing of waste, pollution, etc.? is the defendant who has engaged in such business activity whose impact is pervasive and dangerous? is the bank as the financier or lender also responsible because the bank knows the risks of its client's business activities as it has been proven with amdal, ukl, upl, klhs before making a decision to finance)? is the risk borne by the plaintiff who has suffered a loss? based on the data from forests and finance, 2016 1 , there are so many banks indirectly involved through their significant role as financier, lender, and/or shareholder in case of financing the oil palm plantation company that expanding its concession by developing palm oil on prohibited areas such as peat lands, destructing environment, and allowing forest fires. it shows that the voluntary policies (such as ndpe no deforestation, no peat and no exploitation) of the company and its financier cannot be trusted. they are, among others, of the stateowned banks, private banks, and foreign banks as follows: (1) cimb (malaysia); (2) hsbc (united kingdom); (3) mizuho financial (japan); (4) dbs (singapore); (5) ocbc (singapore); (6) standard chartered (united kingdom); (7) jp morgan chase (united states); (8) credit suisse (switzerland); (9) deutsche bank 1 forests and finance. the banks and investors exposed to deforestation risks in southeast asia, 2010-2015. http://forestsandfinance.org/ accessed on january 24, 2017. http://forestsandfinance.org/ 3 journal of private and commercial law volume 2 no. 1, mei 2018 (germany); (10) bank mandiri (indonesia); (11) morgan stanley (united states); (12) sumitomo mitsui (japan); (13) bni (indonesia); (14) citigroup (united states); (15) rabobank (netherlands); (16) bri (indonesia); (17) anz (australia). whereas, some of those banks are members of equator principles. 2 they are among others, mizuho (japan), sumitomo mitsui (japan), hsbc (united kingdom), standard chartered (united kingdom), jp morgan chase (united states), abn amro (the netherlands), credit suisse (switzerland), citigroup (united states), australia and new zealand banking group limited (australia), 3 and so on. in the context of sustainable finance, financial institutions are the main and determining sector for sustainability itself. bank financing is still slightly concerned with environmental issues and tends to ignore legal risks, environmental risks, credit risks, and reputation risks that could threaten the sustainability of bank itself. in this research, the author cited lender liability under cercla (as has been amended to sara) that has been applied in the united states. this is not to compare with but in order to strengthen the lender liability theory in indonesia because so far the bank as a lender to the company getting involved in environmental destruction cannot be held liable due to the reasons of bank secrecy, no court decision, and so on. regrettably, in 2015, the losses have impinged on the environment and society such as forest fires on peat lands, therefore, the imposition of lender liability on banks should be reaffirmed in order to force the financial institutions to take environmental impact into account in making an investment and financing decisions. based on the aforementioned description, the research questions are focused on as follows: (1) how does the identification of green banking 2 the equator principles is a risk management framework, adopted by financial institutions, for determining, assessing, and managing environmental and social risk in projects. cited from http://www.equator-principles.com/. accessed on april 11, 2017. 3 see the banks and investors exposed to deforestation risks in southeast asia. 2016. http://forestsandfinance.org/ and equator principles association members and reporting. 2011. http://www.equator-principles.com/index.php/members-and-reporting. accessed on april 12, 2017. http://www.equator-principles.com/ http://forestsandfinance.org/ http://www.equator-principles.com/index.php/members-and-reporting. 4 anitalia , paripurna, the identification ……, pp. 1-16 concept in the act number 10 of 1998 in view of extensive interpretation and progressive legal approach? (2) based on such identification, how should the bank be held liable for based on the applicable law in view of extensive interpretation and progressive legal approach? research methods 1. type of research focusing on research questions, then this research is a normative legal research. according to soerjono soekanto 4 that processing, analysis, and construction of normative legal research data including research on legal principles, analyze on systematic of legislation, research on the standard of legislation synchronization, legal comparison, and legal history. legal research studies the applicable rules, through analysis of treaties, legislation, case law, and literature. it employed several approaches, i.e. conceptual approach 5 and statutory approach, then presented as prescriptive research 6 . as a prescriptive science, the legal science studies the purpose of law, values of justice, the validity of the legal regulation, the concepts of law, and legal norms. 7 2. scope of the research this research will analyze the identification of green banking concept and bank liability due to the environmental destruction caused by its clients, such as some oil palm plantation companies. both concepts will be analyzed by using the legal perspective of act number 10 of 1998 concerning banking, bank indonesia regulation number 14/15/pbi/2012 concerning assessment of commercial bank asset quality, financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for 4 soerjono soekanto. 1986. pengantar penelitian hukum. penerbit universitas indonesia (ui-press). jakarta. page 252-256. 5 although not explicitly, the concept of law can also be found in the regulation. only in identifying the principle, the researcher first understands the concept through existing views and doctrines. (see peter mahmud marzuki. 2007. penelitian hukum. kencana. jakarta. page 138). 6 according to peter mahmud marzuki, for the purpose of writing academic work, the output of a legal research is prescriptions in the form of recommendations or suggestions. ibid. page 41. 7 ibid. page 171. 5 journal of private and commercial law volume 2 no. 1, mei 2018 financial services institutions, issuer companies and public companies and act number 32 of 2009 concerning environmental protection and management in view of extensive interpretation and progressive legal approach. the extensive interpretation and progressive legal approach are used in this research because the act number 32 of 2009 concerning the environmental protection and management in article 1 point 32 states that “everybody shall be individual or business entity whether in the form of legal entity or not.” it is clear that such provision includes the bank as well. 3. source of legal materials according to this type of research, as a library-based research, it will be sourced and collected from publicly available information including legislation and/or regulations, scientific articles, literature, annual reports, journal, and official documentation of various organizations and projects. a) primary law materials, which are legally binding and authoritative existing national laws of the republic of indonesia, such as act number 10 of 1998 concerning banking, bank indonesia regulation number 14/15/pbi/2012 concerning assessment of commercial bank asset quality, financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies and act number 32 of 2009 concerning environmental protection and management, act number 12 of 2011 concerning formulation of regulatory legislation, and financial service authority regulation number 18/pojk/03/2016 concerning implementation of banking risk management. b) secondary law materials, literary documents concerning with recent knowledge of facts or materials providing explanations for the primary law materials (primary legal documents) sourced from books, journals, progress report, working paper, black’s law dictionary, and any kind of publications related to the subject matter. 4. analysis of legal materials this research aims for a legal discovery which has been analyzed by using the 6 anitalia , paripurna, the identification ……, pp. 1-16 extensive interpretation and progressive legal approach. analyzing the legal materials in this study, beginning with: 1. identifying the legal facts to determine the legal issues to be solved, 2. collecting legal materials (primary and secondary), 3. conduct a review of legal issues submitted based on legal materials that have been collected, 4. formulate conclusions in the form of arguments to answer legal issues, 5. provide prescriptions based on conclusions. research result and discussion 1. the extensive interpretation and progressive judge decision of mandalawangi case, precautionary principle, and strict liability one of the implementations of a progressive legal theory was conducted by the judge of bandung district court in the case of compensation caused by the landslide of mount mandalawangi in 2004. the judge decision of the bandung district court in adjudicating the compensation case due to landslide of mount mandalawangi in 2004 long before the enactment of act number 32 of 2009, whereas the act number 23 of 1997 concerning environmental management limited strict liability only to the management of hazardous and toxic materials and wastes. this proves that judges have extended the implementation of strict liability by classifying the management of protected forests as extra hazardous or unusual. in understanding the law, the judge should not only read the legal texts but must pay attention to the causes (history), the intent and purpose of the legal regulation, as well as the interconnection of one legal regulation with the other legal regulations. 8 in their judgment, the judges base the implementation of strict liability contained in the principle 15 of 1992 rio declaration. 9 8 imammulhadi. perkembangan prinsip strict liability dan precautionary dalam penyelesaian sengketa lingkungan hidup di pengadilan. mimbar hukum. volume 25, no.3. october 2013. page 426-427. https://jurnal.ugm.ac.id/jmh/article/viewfile/16070/10616. accessed on july 13, 2017. 9 rio declaration on environment and development in principle 15 stipulates that “in order to protect the environment, the precautionary approach shall be widely applied by states according to their capabilities. where there are threats of serious or irreversible damage, lack of full scientific certainty shall not be used as a reason for postponing cost-effective measures to prevent environmental degradation.” report of the united nations https://jurnal.ugm.ac.id/jmh/article/viewfile/16070/10616. 7 journal of private and commercial law volume 2 no. 1, mei 2018 previously defendants often escaped from the demands of compensation, because judges when confronted with doubt always apply the principle of in dubio pro reo as a guide. along with the paradigm shift from homo-centric to ecocentric then in the environmental justice, the principle of in dubio pro reo changed into the principle of in dubio pro natura. 10 the progressive court decision of the mandalawangi case had been an impetus for the development of new legal rules and more precise principles. one of the solutions to environmental law reform is the enactment of act number 32 of 2009 concerning environmental protection and management. with the enactment of act number 32 of 2009 can the banking law be getting more pro-environment in running the banking business? this is why we need to apply an extensive interpretation of act number 10 of 1998 which is still vague when it comes to adjusting to the latest developments, particularly those related to a high-risk project financing and the large-scale impact on the environment. with the extensive interpretation than simply grammatical insights, it remains within the law itself, does not ignore the legal regulation, legal justice, the purposiveness, and legal certainty. an extensive interpretation is carried out because the existing laws or regulations are obscure and obsolete to fulfill the values that live in society. 2. the concept of green banking and lender liability under the indonesian banking law through extensive interpretation and progressive legal approach in order to improve the significant role of the lender (bank) in mitigating environmental destruction that may be committed by its client, the following provisions should be interpreted extensively and progressively: 1. elucidation of the act number 10 of 1998 concerning banking at the fifth conference on environment and development. rio de janeiro, 3-14 june 1992. general assembly. united nations. a/conf.151/26 (vol.i). http://www.un.org/documents/ga/conf151/aconf15126-1annex1.htm. accessed on july 14, 2017. 10 imammulhadi. op.cit. page 429. in dubio pro natura means that if in doubt, decide in favor of the environment. this philosophy or doctrine was made by ancient roman thinkers in the field of law. cited from leonard tiopan panjaitan. 2015. bank ramah lingkungan. penebar plus. jakarta. page 25-26. http://www.un.org/documents/ga/conf151/aconf15126-1annex1.htm. 8 anitalia , paripurna, the identification ……, pp. 1-16 paragraph explained that, “prudential principles must have adhered consistently, meanwhile the regulations on bank activities have to be improved especially those relating to the extension of funds, including the increasing role of an analysis on the environmental impact (amdal) for big scale company or high-risk company.” 2. act number 10 of 1998 concerning banking in article 29 paragraph 2 states that: a bank shall maintain its soundness in accordance with the provisions concerning the adequacy of capital, quality of assets, quality of management, liquidity, profitability, solvency, and other aspects related to the operations of a bank, and shall be required to conduct operations in accordance with the prudential principle. 3. the last paragraph of elucidation of article 8 paragraph 1 of act number 10 of 1998 concerning banking, states that, “in addition, in the extension of credit or financing based on sharia principles, the bank shall take into account the result of analysis concerning the environmental impact (amdal) for big scale companies and/or high risk, so that the project being financed protects the sustainability of the environment.” 4. elucidation of article 8 paragraph 2b of act number 10 of 1998 concerning banking stated that, “bank shall have confidence in the capability and capacity debtor customer which, among others, obtained by an accurate appraisal of the character, capability, capital, collateral, and the business prospect of debtor customer.” 5. relating to this provision, bank indonesia had issued the bank indonesia regulation namely pbi number 14/15/pbi/2012 concerning assessment of commercial bank asset quality in article 10 states that, “credit quality is determined based on assessment factor as follows: a. business prospect, b. debtor performance, c. repayment capability.” 6. pbi number 14/15/pbi/2012 concerning assessment of commercial bank 9 journal of private and commercial law volume 2 no. 1, mei 2018 asset quality in the article 11 states that: 1. assessment of business prospect as referred to in article 10 letter a covers assessment on the following components: a. potential of business growth; b. market condition and debtor’s position in competition; c. management quality and human resource problems; d. support from group or affiliation; and e. efforts undertaken by the debtor in the framework of environment conservation. 2. assessment of debtor performance as referred to in article 10 letter b covers assessment on the following components: a. earnings; b. capital structure; c. cash flow; and d. sensitivity to market risk. 3. assessment of repayment capability as referred to in article 10 letter c covers assessment on the following components: a. timeliness of payments of principals and interests; b. availability and accuracy of debtor’s financial information; c. completeness of credit documentation; d. compliance with the credit agreement; e. appropriateness of the use of funds; and f. reasonableness of source of payment for obligation.” 7. elucidation of bank indonesia regulation number 14/15/pbi/2012 concerning assessment of commercial bank asset quality, at the article 11 paragraph 1 letter e stated that, “in this letter, debtor means debtor that is obliged to make efforts to maintain the living environment in accordance with prevailing legislation.” 8. the financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies, and public companies. in the considering 10 anitalia , paripurna, the identification ……, pp. 1-16 part, letter c states that, “whereas the development of an environmental-friendly financial institution system has been mandated in act number 32 of 2009 regarding environmental protection and management.” 9. article 1 point 8 of the regulation of financial services authority number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies states that, “sustainable finance shall be comprehensive support from the financial services sector to create sustainable economic growth by harmonizing economic, social, and environmental interests.” 10. article 1 point 11 of the regulation of financial services authority number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies states that, “sustainable finance action plan shall be a written document illustrating short-term (one year) and long-term (five year) fso business activity plan and work program that is in accordance with the principles used for applying sustainable finance, including strategies for realizing the aforementioned plan and work program in accordance with the stipulated targets and time, by consistently observing compliance with the provisions on prudential principle and the application of risk management.” 11. article 1 point 13 of the regulation of financial services authority number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies states that, “sustainability report shall be a report announced to public containing the economic, financial, social and environmental performance of fsi, issuer company or public company in running sustainable business.” 12. article 2 paragraph (2) of the regulation of financial services authority number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies states that, “the sustainable finance application as referred to in paragraph (1) shall be performed by using: a. accountable investment principle; 11 journal of private and commercial law volume 2 no. 1, mei 2018 b. sustainable business strategy and practice principle; c. social and environmental risk management principle; d. management principle; e. informative communication principle; f. inclusive principle; g. priority prime sector development principle; and h. coordination and collaboration principle.” 13. article 10 paragraph (1) of the regulation of financial services authority number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies states that, “fsis, issuer companies, and public companies shall be obligated to prepare a sustainability report.” furthermore in paragraph (2) states that, “the sustainability report as referred to in paragraph (1) shall be prepared separately from the annual report or as an inseparable part of the annual report.” 14. article 12 paragraph (3) of the regulation of financial services authority number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies states that, “for the fsis not yet having websites, the sustainability report must be published through a printed media or any other publication media easily read by public by no later than april 30 of the subsequent year.” although the bank has appraised amdal of its client before the financing approved as regulated in the prevailing laws, the bank is not liable in relation to the business activity of the client which is being financed. as reported by ngos (among others: greenpeace, walhi, and wwf) as explained in the background of this research, many banks fund palm oil companies involved in burning peatlands and forest degradation regardless they should implement the environmentally sound policy, such no deforestation, no peat, and no exploitation (ndpe). the ngos compel the banks to take responsibility for environmental damage caused by their clients because the banks are deemed to 12 anitalia , paripurna, the identification ……, pp. 1-16 know the client's business activities based on the amdal required by the bank before the loan application is approved. after ngos compel the banks to take responsibility, they promised to be more selective, stop financing, and improve their funding and credit policies. conclusion and recommendation 1. conclusions a. based on the aforementioned discussion, the identification of green banking concept and bank’s liability can be found in the act number 10 of 1998 concerning banking, act number 32 of 2009 concerning environmental protection and management, the bank indonesia regulation number 14/15/pbi/2012 concerning assessment of commercial bank asset quality, and the financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies, and public companies. by using extensive interpretation and progressive legal approach actually, there are several provisions (in the act number 10 of 1998 concerning banking, bank indonesia regulation number 14/15/pbi/2012 concerning assessment of commercial bank asset quality, financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies, and public companies, and act number 32 of 2009 concerning environmental protection and management) that have been regulated regarding green banking concept and bank’s liability, substantially derived from prudential principle. b. so far, the concept of green banking and the bank's liability as lender for client's company involved in the environmental destruction is still difficult to be implemented by the banking sector in indonesia, in other words, depending on the ability of the bank itself. the burden of bank's liability will be even greater when it is subject to environmental risks and the adverse impact of the client's business, while at the same time, the bank must maintain its safety and soundness by maintaining the capital adequacy that 13 journal of private and commercial law volume 2 no. 1, mei 2018 buffers such risk. if the bank is responsible for the risk of environmental damage committed by its client, then it drastically reduces bank's capital adequacy, which ultimately affects the soundness of the bank. c. most of the banks have no willingness to further scrutinize and supervise environmental impact assessment (amdal) in financing significant risky businesses such as some oil palm plantation companies recently sued by many ngos due to deforestation, other environmental and social issues. such amdal is insufficient for helping mitigate the environmental destruction. the voluntary environment, social, and governance (esg) standards that banks have adopted to prevent exposure to environmental destruction caused by their borrowers are clearly ineffective. by taking into force the financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies that promulgated on july 27, 2017, is hoped for realizing the concept of green banking and the scope of bank’s liability as lender in pursuit of sustainable finance. d. it remains unclear to what extent bank liability as financier (lender) involved in the environmental damage caused by their clients. if the bank only requires amdal without further supervision, then the liability of the bank to be limited when applying credit only. meanwhile in cercla (sara) applied in the united states, the liability of the lender may be imposed on the bank if the bank has the role of owner, operator and/or participate in the management of the client company. 2. recommendations a. implementing the existing provisions in act number 10 of 1998 concerning banking, bank indonesia regulation number 14/15/pbi/2012 concerning assessment of commercial bank asset quality, financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies and public companies, and act number 32 of 2009 concerning environmental protection and management should be done by extending the understanding 14 anitalia , paripurna, the identification ……, pp. 1-16 of green banking concept and bank’s liability by means of extensive interpretation and progressive legal approach. b. short term solution: the financial services authority (ojk) and the banking sector together with the ministry of environment and forestry improve soft law such as road map or guidelines on green banking into hard law. with the enactment of the financial services authority regulation no.51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuers companies and public companies, all parties involved in the business chain must comply with the prudential principle and precautionary principle for sustainability itself. strengthening cooperation between the financial services authority (ojk) and the ministry of environment and forestry to monitor the efforts of bank clients in preserving the environment, they must deliver the accuracy of data and public transparency. data transparency is a prerequisite for the development of green banking. c. conventional media and websites should inform the green banking implementation procedures and feedback from customers and the public, for example about tax schemes for institutions with good environmental performance. by incorporating and announcing the gradual implementation of green banking that has been carried out by a number of banks to ojk and bank indonesia website pages and other conventional media, this progress will be a boost for banks and other financial institutions. green banking practices, especially those involving large-scale and high-risk projects, have a wide-ranging impact on society and environmental sustainability in which their survival depends on nature conservation, and this can be supported by the bank's important role as a financier or lender. d. medium term solution: legislative review of act number 10 of 1998 in order to implement environmentally sound banking law. whether the banks are responsible for environmental damage caused by their clients, therefore banks are responsible for minimizing risks. another driving forces are the changing public expectations, market demand challenges and opportunities which move 15 journal of private and commercial law volume 2 no. 1, mei 2018 towards sustainability such as wind energy, solar energy, forests conservation, smart villages, and so forth. e. long term solution: integrated monitoring and evaluating among relevant stakeholders such as banks and other financial institutions, financial service authority (ojk), bank indonesia, ministries, non-government organizations, corporations, consumers, competitors, media, suppliers, and widely communities. it can be increasing consumers awareness to use their rights as customers for getting more information about their savings, deposits, and other usages of public funds held in banks whether those are still used for financing companies that are not environmentally friendly. from here, we can measure what the extent of bank’s commitment to apply the concept of green banking. bibliography 1. laws, and regulations act number 7 of 1992 concerning banking (state gazette of the republic of indonesia number 31 of 1992, supplement to the state gazette of the republic of indonesia number 3472) as amended by act number 10 of 1998 (state gazette of the republic of indonesia number 182 of 1998, supplement to the state gazette of the republic of indonesia number 3790) act number 32 of 2009 concerning protection and environmental management. supplement to the state gazette of republic of indonesia number 5059. act number 12 of 2011 concerning formulation of regulatory legislation. (supplement number 5234 to the state gazette of the republic of indonesia number 82 of 2011). bank indonesia regulation number 14/15/pbi/2012 concerning assessment of commercial bank asset quality. supplement to the state gazette of the republic of indonesia number 5354. financial services authority regulation number 51/pojk.03/2017 concerning the application of sustainable finance for financial services institutions, issuer companies, and public companies. (state gazette of the republic of indonesia year 2017 number 169). 16 anitalia , paripurna, the identification ……, pp. 1-16 2. books marzuki, peter mahmud. 2007. penelitian hukum. kencana. jakarta. soekanto, soerjono. 1986. pengantar penelitian hukum. penerbit universitas indonesia (ui-press). jakarta. 3. journal, report and article general assembly. united nations. a/conf.151/26 (vol.i). “report of the united nations conference on environment and development.” rio de janeiro, 3-14 june 1992. http://www.un.org/documents/ga/conf151/aconf15126-1annex1.htm. accessed on july 14, 2017. imammulhadi. “perkembangan prinsip strict liability dan precautionary dalam penyelesaian sengketa lingkungan hidup di pengadilan.” mimbar hukum. volume 25, no.3. october 2013. page 430. https://jurnal.ugm.ac.id/jmh/article/viewfile/16070/10616. accessed on july 13, 2017. 4. internet equator principles association members and reporting. 2011. http://www.equator-principles.com/index.php/members-and-reporting. accessed on april 12, 2017. forests and finance. “the banks and investors exposed to deforestation risks in southeast asia, 2010-2015.” http://forestsandfinance.org/ accessed on january 24, 2017. “the banks and investors exposed to deforestation risks in southeast asia.” 2016. http://forestsandfinance.org/ 5. dictionary black’s law dictionary. eight edition. editor in chief. bryan a. gardner. 2004. thomson west. united states of america. http://www.un.org/documents/ga/conf151/aconf15126-1annex1.htm. https://jurnal.ugm.ac.id/jmh/article/viewfile/16070/10616. http://www.equator-principles.com/index.php/members-and-reporting. http://forestsandfinance.org/ http://forestsandfinance.org/ 47 journal of private and commercial law volume 2 no. 1, mei 2018 dissemination of copyright law in digital products in semarang city andry setiawan lecturer in faculty of law universitas negeri semarang gedung k kampus sekaran gunungpati semarang email : andry_style@yahoo.co.id abstract a creative work created by its creator based on his sense and intention which is supported by his creativity will become an intellectual work with a high economic value. such creators are like book and song writers who have an ability and idea to produce a work that can be enjoyed by everyone. based on the principle of justice, it is understood that to produce such work is not an easy task because it requires sacrifice. therefore, the creator is entitled to economic benefits for his work. an intellectual work having a very high economic value is supposed to get adequate legal protection supported by a sense of justice as the reward of the creator’s intellectual products. in addition to physical copyrighted work products, there are also digital products on which the creator owns a copyright. there are examples of digital products which follow the development of technology such as song files, e-books, software, etc. one of the problems that exists in the community is that the digital product becomes easier to be pirated or illegally downloaded through the internet. how is copyright protection in digital products as the embodiment of the creator's creative works. copyright protection against creators and copyright holders pursuant to act no. 28 of 2014 on copyright. article 1 number 1 and article 24 paragraph (1) and (2). the creator or copyright holder has rights to be protected by the government, namely economic rights and moral rights. the existence of economic rights and moral rights is then someone's creative work will have its own values, so it is not easy to use his property for commercial purposes by the parties who are not responsible. keywords: copyright, digital product protection 48 andry setiawan, dissemination of copyright …., pp. 47-54 introduction since an intellectual property is part of property law, the creator is principally entitled absolute freedom to do anything with it according to his will and to give its desired contents in terms of its legal aspect. being exclusive and absolute mean that these rights can be defended against anyone else. in other words, the right owner is able to file a lawsuit for any violation conducted by any irresponsible parties. in indonesia, copyright is stipulated in the copyright act, i.e., the one which is currently applicable, act no. 28 of 2014. it is defined in the act that copyright is "an exclusive right for the creator or the recipient of the right to announce or multiply his creation or hence to grant permission without removing restrictions under applicable legislation" (article 1 point 1). copyright in indonesia also embodies the concept of "economic rights" and "moral rights". the economic right is the right to obtain the economic benefit of a creation. therefore, the creator will gain an economic benefit from the results of his efforts in creating his work. the creator's economic rights can be obtained by multiplying and distributing his or her works both physically and in the form of digital products through the internet. the moral right which is inherent to the creators or workers of arts, recording, broadcast cannot be removed for any reason, even its copyright or the related rights have been transferred. for example, the implementation of moral rights is the inclusion of the creator’s name in his creation, although the object’s copyright has been sold for other’s uses. the moral rights are set forth in the article 24-26 of copyright act. consequently, there is a protection for the creator’s economic rights and moral rights over his creations. the current technological advancement, especially that in the information and communication technology in which the internet technology is globally increasing is inevitable. the internet poses either positive or negative impacts for the society. its positive impact is that makes people easier get information more quickly and efficiently. meanwhile, the negative impact is the rampant uses of copyrighted works like digital products such as songs or digital books (e-books), software etc. without permission. this brings about to negative impacts to the intellectual works creators such as songwriters and digital book writers. such 49 journal of private and commercial law volume 2 no. 1, mei 2018 digital products, like other physical products, are also protected by a copyright. the low level of public knowledge about copyright protection makes them easily download the digital products regardless of their copyrights. this condition also makes them consider the acts of illegal download and usage are common things. people are already accustomed to using illegal digital products without feeling they have infringed the copyright and economic rights of the creators. in fact, there are already official digital or paid products over the internet which people can utilize when using a creator’s work. this kind of usage will surely provide economic benefits for the creator as royalties. digital technology today has certainly made a new civilization in indonesia even in other countries. digital technology has established a new civilization that can change the social, economic, cultural, political, and security orders. there are a handful of people who will benefit from the presence of digital products that are generally preferred by people nowadays, for example, the creators of digital products, digital product marketers, etc. results and discussions the review of copyright on digital products in the current globalization era, we are experiencing a very rapid development, especially in the field of science and technology which effect on human activities. media-based digital technology that becomes one of the indications of the advancement of information technology since there is the internet. the internet is no longer a taboo among the people and is essential for human life as it is considered a basic necessity in everyday life, as well as in the national and international businesses. the internet as a modern technology that is growing rapidly is inseparable from human life, even it has become a lifestyle (riswandi, 2004: 133). these developments have created a new paradigm along with the widespread globalization whether in social, economic, or cultural fields which involves products which are produced on the basis of human intellectual capabilities such as creative works in the science, art and literature. 50 andry setiawan, dissemination of copyright …., pp. 47-54 act no. 28 of 2014 on copyrights in article 1 paragraph 1 and article 24 paragraphs (1) and (2), state that the creator or the copyright holder owns rights that must be protected by the government i.e. the economic and moral rights. the existence of the economic and the moral rights of someone's creative work will then have its own values. therefore, his rights are not seized easily by someone who is not responsible. for example, a book author, with his ability and idea to produce a work that can be enjoyed by everyone, he is entitled to get legal protection for his creative works. creativity and ideas are expressed in a work of a person. the creator has inherent natural rights to control what he has created. thus, he is acknowledged with every of his published works. the creative works circulating in society currently are commonly duplications of copyrighted works which are taken without the creator’s knowledge. there has been a shift in the duplication forms of a copyrighted work like a song which is transferred into a tape or a compact disc, a book which is physically copied (printed). nowadays, works like songs and books are transformed into digital products supported by technological developments. digital products also known as e-products are non-physical products or usually electronic are usually traded online through the media of the internet. digital products are stored, shipped and used in electronic format and the sale process is through a digital marketing. digital products are intangible, impalpable and have no tradeable physical forms. generally, these products are traded through the internet or online media whose selling, transactions, delivery processes are conducted electronically. the examples of creative works that have been digitized are songs in in mp3 format files and books in e-books formats. along with the development of an increasingly advancing internet world, digital products are now commonly traded and have their own customers. in addition, the development of digital products itself is closely linked with the efficiency and the practicality compared with that of physical products that requires special treatments such as storage space, packaging and delivery which are done conventionally. it is quite different from digital products that do not require physical space to store and whose delivery is usually conducted through 51 journal of private and commercial law volume 2 no. 1, mei 2018 digital download via the internet. the followings are some examples of other digital products: e-books (usually in pdf or kindle formats), videos (usually in mp4 or flv formats), software (usually in exe or air formats), mp3 music (in the mp3 format), online tickets (in code or email formats), applications (android apps or iphone apps). here are some marketplaces that specifically sell digital products: play store, apps store, itunes, spotify and joox. if you are selling a digital product, you will benefit from its sales. however, these benefits are under piracy threats that occur to digital products. there are some examples of intellectual property in the digital products which are easily stolen, like music, designs, e-books, software, etc. the article 40 paragraph (1) of copyright act states that there are works which are protected in indonesia like those in the field of science, art, and literature, consisting of: (a) books, pamphlets, writings of published papers, and all other written works; (b) sermons, lectures, speeches, and other similar creations; (c) props made for the purposes of education and science; (d) songs and/ or music which is with or without lyrics; (e) dramas, musical dramas, dances, choreography, puppetry, and pantomime; (f) artworks such as paintings, drawings, carvings, calligraphy, sculptures, statues, or collages; (g) applied artworks; (h) architectural works; (i) maps; (j) batik artworks or other motifs; (k) photography works; (l) portraits; (m) cinematographic works; (n) translations, commentaries, data base, adaptations, arrangements, modifications and other transformation works; (o) translations, adaptations, arrangements, transformations, or modifications of traditional cultural expressions; (p) compilations of creations or data, either in a format that is readable by a computer program or by other media; (q) compilations of traditional cultural expressions as long as they are the original works; (r) video games; and (s) computer programs. the violations against the economic rights of authors like the activities of reprinting, reproduction, translation, adaptation, paraphrasing or transformation of the work, and the distribution of the creations or copies without the consent of the author shall be subject to imprisonment and fines. the perpetrator of this 52 andry setiawan, dissemination of copyright …., pp. 47-54 copyright infringement is a complaint offense until the creator files a lawsuit in order to get his right. protecting digital products from copyright infringement the advancement of the current globalization era makes efforts of copyright protection, especially digital copyrights not easy tasks to do. the technological advancement is even exploited by irresponsible parties by committing piracy which surely will harm creators. piracy in the digital world or other fields is principally an act of multiplying products without the permission from the people or parties who own the copyright. it is very disturbing if digital products which are painstakingly created by the creators are so easily stolen or pirated by irresponsible people. if the creator sells his or her digital products without protecting them then it opens the opportunity widely for the pirates. although the pirates may or may not take economic advantage from the digital product of the creator, they still harm the creator economically. when facing new music, consumers like to spend time getting recommendation from music magazines, listening to music on the radio or in record store before making their purchase decision. the traditional way for record companies to provide information to consumers on the existence and the genre of new cds and artists is to spend large costs on advertising and promotion. however, after the napster experience, it has become clear that there is a cheaper way for consumers to obtain this information, by searching, downloading and testing digital music files made available through p2p or other file-swapping technologies. this information transmission technology is rather different from traditional ads/promotions, as consumers not the firms are spending time and resources. in a sense, it is information-pull against information-push technologies. to sum up, digital copies of music files can be expected to have a strong informational role. 1 1 martin peitz and patrick waelbroeck, piracy of digital products: a critical review of the economics literature, september 2003, see at http://citeseerx.ist.psu.edu. 53 journal of private and commercial law volume 2 no. 1, mei 2018 the piracy of digital products cannot just be avoided. if the legal measures have been done, it's necessary that the creator also perform concrete actions to protect his digital products. there is a need for concrete steps other than registering the digital products by the creator, like: (1) performing a file security system which automatically "hides" the download page or creates a download key; (2) using a password on the download page of the digital product. it provides an automatic setting when the buyer has made payment and the creator sends a password to perform the downloading process. access controls and laws may yet enable the content industry to assert its control over audiences’ eyes and ears, once it does get its encrypted content online. or, the industry may need to return to the bargaining table and try to achieve yet another law to plug the perceived leak. there are noises being made in that direction already. 2 conclusion the copyright regulation in indonesia is found in the act no. 28 of 2014 on copyright. it is a protection for authors for his copyrighted works he created. the copyrighted works are not only physical works such as cassettes, compact disks, physical books but also technological developments can be mp3 song files, ebooks, software, etc. the embodiment of the digital copyrighted works can be used in digital media such as the internet which is increasingly used by the community. due to the low level of public knowledge about copyright and appreciation of copyrighted works, there are many illegal downloads of the digital products. thus, it is hoped that the community will appreciate the creator's creative work more by understanding the copyright act and not committing illegal downloads of the digital products. the public should use a paid digital product so there is royalty for the creators as an economic benefit for his work. piracy in digital products will harm their creators economically and morally. in addition to legal protection, the creator must also take the necessary measures 2 see, e.g., shane ham and robert d. atkinson, napster and online piracy: the need to revisit the digital millennium copyright act, progressive policy institute policy report (may 2000). 54 andry setiawan, dissemination of copyright …., pp. 47-54 to prevent piracy. these steps are according to their respective digital product types, for example, by hiding digital products from the pirates and securing the download area. the other step is by using a password (password) or create a license key for each copy of a digital product. bibliography bently , lionel and brad sherman, 2009, intellectual property law (third edition), new york: oxford university press inc. eissman, robert, 2004, wto/ trips agreement and access to medicines: appropriate policy responses, malaysia: twn hilman , herlianti , and ahdiar romadoni, 2001, the management and protection intellectual property assets, jakarta: the british council lindsey, tim, et al, 2006, the rights of intellectual property: an introduction, bandung: alumni martin peitz and patrick waelbroeck, piracy of digital products: a critical review of the economics literature, september 2003, see at http://citeseerx.ist.psu.edu purba , achmad zen umar, 2005, post trips intellectual property rights, bandung: alumni shane ham and robert d. atkinson, napster and online piracy: the need to revisit the digital millennium copyright act, progressive policy institute policy report (may 2000). 33 journal of private and commercial law volume 2 no. 1, mei 2018 the existence of a company in the society and its legality in indonesian law m. shidqon prabowo fakultas hukum universitas wahid hasyim semarang menoreh tengah x22 sampangan semarang phone number : +6281228666685 shidqonhamzah@yahoo.com yurida zakyy umami fakultas hukum universitas wahid hasyim semarang menoreh tengah x22 sampangan semarang yuridazu@gmail.com phone number : +6285640651195 abstract the existence of a company, being an economic institution which has a multiplayer function, has become one of the main aspects of the societal and national lives because of the business activity conducted by the company. this situation has enabled the society to fulfil their needs, to conduct their economic activities, including the absorption of employment by the company which leads to the necessity of the legality of law in the law in indonesia. keywords: the company’s existence, the legality of law, indonesia introduction the society has recognized the existence of companies. a company can be considered to be one of the society’s organs. the society plays an active role and interact in their relationship with the company. the company actively provides the necessity of the society and in turn the society expects the products from the company. consequently, the company becomes more productive, thus decreasing unemployment. companies can be considered as the centers of the activities of the society. their existence in the society is governed by corporate law. the law derives from each party that creates its principles and rules. corporate law consists of principles or rukes which are found in regulations, contracts, jurisprudences, and conventions in business activities. mailto:shidqonhamzah@yahoo.com 34 m. shidqon praboeo, yurida zakyy umami, the existence…., pp. 33 46 the regulations included in the corporate law are any regulation governing everything which is related with companies, like those found in civil codes, commercial codes, and other regulations. the contracts included in the corporate law are those produced by parties involved in the company’s business. the company’s contracts are at all times related to the regulations in the laws based on the complementary principle. the principle comprises the agreements among parties. 1 however, if there are items which are not regulated in the contract, the regulations in the law will be applied. 2 jurisprudences that are included in the corporate law are those stipulated by the judges when making verdicts from cases which are related with disputes involving companies. they can be viewed as fair grounds for resolving disputes of rights and obligations between the conflicting parties. 3 customs which are included in the corporate law are those meeting the following requirements: 1) civil conducts which involve rights and obligations which are ideally fulfilled; 2) customs which do not conflict with the applicable laws and decency; 3) customs which are voluntarily accepted by the parties since they are logical and have tendency to create desired legal outcomes by both parties. when there are items regarding the rights and obligations which are not yet regulated in the laws and agreements, both parties can refer to applicable and developed customs among the businesspeople in order to proceed to the agreeable ends. from the economic perspective, a company is regarded as an organization. earnest dale defines an organization as a planning process which includes organizing, developing, maintaining a structure or work relationship patterns of the people involved in a working unit. therefore, an organization is a clear and fixed collection of roles, relationships, and responsibilities, although at least in a 1 ricardo simanjuntak, teknik perancangan kontrak bisnis (the techniques of business contract designs). pt. gramedia, jakarta, page 172. 2 ibid, page 27. 3 ridwan khairandy, 2009, perseroan terbatas: doktrin, peraturan perundang-undangan, dan yurisprudensi (limited liability: doctrines, regulations, and jurisprudences), kreasi total media, yogyakarta. 35 journal of private and commercial law volume 2 no. 1, mei 2018 short term. it is established not only to regulate the members, but also to form and modify a structure in which there are tasks they need to perform. in this case, there must be a role division to achieve a certain communal goal. cyril soffer offers a clearer definition of organization for the matter which states that an organization is a union of people who possess different roles in a given work system and work division in which the work is divided into tasks, distributed among the role holders which are then combined into several result forms (an organization as a role system). the position of law is in the role distribution, work system and work division. the law governs the occurring relationship patterns and sets sanctions to the existing violations. the corporate law is an important precept in supporting the economic growth of a country. the corporate legal regulation basically regulates the economic subjects considering that a company is one of the economic subjects. the types of company which are especially regulated in the civil codes book iii are limited liability and civil fellowships. those regulated in the commercial codes (kuhd) in article 16 are firms and limited partnerships, and the remaining is governed in the limited liability act which governs companies in the form of limited liability, in the cooperative act which governs companies in the form of cooperatives. 4 basically, there are clear criteria to determine whether civil fellowships a company or not, besides categorized based on their names, the most important thing is that they are categorized based on their functions and goals. the act no 3 of 1982 on corporate mandatory registration has given clear borders to determine if a civil fellowship a company. therefore, the objective of naming the company beside to ease the management is to enable the society to recognize them based on their characteristics. in addition, the most important thing is their responsibility consequences towards their founders. the positive law recognizes several forms of companies like sole proprietor (business venture), civil fellowship, firms, limited partnerships, limited liabilities, and cooperatives. 4 gunawan widjaya, 2006, seri aspek dalam hukum bisnis (the aspects of business law series), frenada media, jakarta, page 203 36 m. shidqon praboeo, yurida zakyy umami, the existence…., pp. 33 46 companies are categorized according to their founders, capital mechanisms, and responsibilities, as well as working systems. basically, the corporate law subjects to the law of engagement which derives from an agreement as stipulated in the law of agreement of book iii of civil codes that whatever the form of a company is the result of an agreement of the civil code subjects in establishing a business. 5 even though the founders of a company are entitled to manage their own rights and responsibilities in the articles of association of the company, they must not conflict with the existing laws, regulations, and decency. 6 considering that the articles of association are forms of an agreement, they have to abide by the terms of legal agreement in article 1320 of civil codes. the article 1319 of civil codes gives a clearer view since it states that “any agreement, either it has a specific name and is recognized with a certain name or not, must subject to general regulations stated in this chapter and the previous ones”. as stated earlier, the forms of companies are regulated in the civil codes, commercial codes, limited liability acts, cooperative acts. thus, the provisions found in the codes and acts remain to be the legal sources for the management of companies according to their types. as an instance, it is not agreeable to determine the capital of a limited liability as much as rp. 30.000.000 in the articles of association because the act no 40 of 2004 article 32 on limited liability has mentioned that the minimum capital of a limited liability is as much as rp. 50.000.000. therefore, when a limited liability is unable to fulfill the initial capital of rp. 50.000.000, the agreement is annulled by law. in the company’s business, businesspeople prefer to establish a limited liability, especially after having studied from the point of view of responsibility over the risk of the business as well as the ability of the company to grow fast and bring a huge profit. 7 entrepreneurs having considerable money tend to opt to a limited 5 agus budiarto, 2002, kedudukan hukum dan tanggung jawab pendiri perseroan terbatas (the position of law and responsibilities of the founders of limited liabilities), ghalia indonesia, jakarta, page 37. 6 ridwan khairandy, 2009, perseroan terbatas: doktrin, peraturan perundang-undangan, dan yurisprudensi (limited liability: doctrines, regulations, and jurisprudences), kreasi total media, yogyakarta. 7 agus budiarto, s.h., m.hum., op cit., pages 13-14 37 journal of private and commercial law volume 2 no. 1, mei 2018 liability and not other forms of business. this condition is not only done by domestic investors but also by foreign investors. it leads to some questions like why it happens and what underlies it. in order to answer those questions, the writer tries to elaborate the strongpoints of a limited liability in comparison with other business forms. however, it is better to discuss the specific characteristics of the company and its classifications before going to a comprehensive understanding. a company has acquired its existence within a society and its legality before the law in indonesia. a company is also the center of society’s activity. a. the juridical analysis of a company 1. the characteristics/ natures of company’s activities to understand the characteristics/ natures of an activity to be considered a company, the writer makes use of the definition of a company proposed by molengraaff, polak, and bill no 3 of 1982 on corporate mandatory registration and act no 8 of 1997 on company’s documents. a. molengraaff’s formulation according to molengraaff (1966), a company is an entire behavior which is repeatedly conducted, extensively, to gain profit, by trading or handing over goods or making a trade agreement. he perceives the company’s definition from the economic point of view since the company gains profits through: 1) trading goods, which means that they purchase goods and resell them in order to earn in the forms of benefit and profit. 2) handing over goods, which means that they release their possessions over the goods in order to earn like in a lease of goods. 3) making a trade agreement, which relates one party with other parties in order to earn in the form of benefit and profit for the endorser and a wage for the endorsee like a broker, commissioner, company’s agents. the objectives of the company’s activities here are to gain profits. the company’s activities which are run to achieve these objectives are trading goods, handing over goods, or making a trade agreement. these activities are conducted 38 m. shidqon praboeo, yurida zakyy umami, the existence…., pp. 33 46 continuously, extrinsically, making legal relationships not only within the company but also with outside parties. b. polak’s formulation polak (1935) viewed a company from the commercial point of view, which means that an entity can be considered as a company if there is a a record of profit and loss in the bookkeeping. polak added a “bookkeeping” element to other elements proposed by molengraaff. polak recognized the other elements as seen in his explanations about what a company is and if it does not operate clandestinely. if there are some elements absent, the nature of the company from the company’s law is dismissed. a company activity, in this case based on polak’s idea, is the making a bookkeeping which contains calculation of profits and loss. the bookkeeping element is an absolute element in order that a company can exist according to the provision of the act no 8 of 1997 on company’s documents. c. the formulation based on the law in the article 1 letter (b) of act no 3 of 1982 on corporate mandatory registration is mentioned that “a company is any form of business venture running any business which is fixed and continuous, established, working, and located in the indonesia’s territory aiming to gain benefits and profits”. based on the article’s provision, there are two main elements found in the definition of the company, they are: a) a form of business like an organization or a business entity, which is established, working and situated in the indonesia’s territory is called a company. b) a type of business like an economic activity (industrial, trade, service, finance) which is run continuously by a business entity is called business. c) a company’s activity is done by a form of business entity or is run by a business entity in an economic sector. based on the applicable law, even though there is an activity which is done continuously, explicitly, involving a third party, having a goal of earning benefits and or profits, when there is no business entity, it cannot be called as a company but only 39 journal of private and commercial law volume 2 no. 1, mei 2018 a work. any individual running a company is called an entrepreneur. entrepreneurs can be an individual, a collection of people called a fellowship, or a legal entity (corporate body). d) in the article 1 number 1 of act no 8 of 1997 on corporate document, it is mentioned that: “a company is a form of business which acts in a fixed time and continuously, aiming to earn benefits and profits, either run by an individual or by a legal entity, which is established and situated in the territory of the republic of indonesia”. the elements of a company found in the definition are a form of business run by a legal entity or by individual, which is established and situated in the territory of the republic of indonesia. the company’s activities are conducted by a business entity. they are continuous and fixed, aiming to earn benefits or profits. we can say that both law’s formulations substantially have similar meanings, but they use different wordings. based on the definition of a company stated by molengraaff, polak, and policy makers, we can understand and discuss the characteristics/ natures of am activity in order to be called a company’s activity. they are as follows: a. a business entity an activity can be said as a company’s activity if it is done by an economic business entity. a business entity running an economic activity can be in the form of a firm, a limited partnership, a limited liability, a public company, a limited liability company, and a cooperative. the form of business can be seen through the deed of incorporation of the company (a business entity). molengraaff and polak did not complicate the element of “business entity”. in fact, in the reality a business entity is required for a business activity to be called a company. otherwise, it is just a work. b. an economic activity this activity covers industrial, trade, service, and financial activities. the details are as follows: 40 m. shidqon praboeo, yurida zakyy umami, the existence…., pp. 33 46 1) industry includes activities like oil explorations and drillings, fishing, timber, handicraft, canned foods, medicine, vehicles, recordings and filming, as well as printing and publishing, 2) trade includes activities like buying and selling export and import, stock exchange, restaurants, supermarkets, foreign exchange, and rentals. 3) service includes activities like transportation, banking, machinery, clothing, consultation and beauty. in molengraaff’s definition, economic activities include a trade (buying and selling, rentals) and service (connecting one party to another). c) continuous the economic company’s activity is done continuously. molengraaff, polak, or the policy makers agree on this aspect. it means that the activity serves as a means of earning a living, not incidental and not a side job. d) fixed a company’s activity must be fixed. it means that the activity does not change or alternate in a short time but in a long period of time. the range of time depends on the deed of incorporation or the enterprising permit. e) explicit a company’s activity is done explicitly. being explicit means that the activity is understood and recognized by the public. the company is able to make relationship with others. it is acknowledged and confirmed by the government based on the regulations. this condition can be seen from the deed of incorporation, enterprising permit, business site permit, and corporate registration certificate. molengraaf used a term “act outside” which means that a company involves another party (a third party), but he did not necessarily mention which form of business is being used. if this element is absent, the company is said to a rogue one and violating the law. f) benefits and profits molengraaff mentioned a term “income”. polak preferred using a term “profits”, while the policy makers opt to using a term “benefits and profits”. 41 journal of private and commercial law volume 2 no. 1, mei 2018 these three terms and economic ones which show a plus value (outcome) which is gained from using the capital (capital gain). every activity which is run by the company is supported by its capital. using its capital, a company can gain profits and benefits. this is usually the main objective of a company. therefore, a company’s activity is aimed at gaining benefits or profits. g) bookkeeping this company’s activity is related with the keeping a book. molengraaff, in his company’s definition, did not mention this element, but polak added bookkeeping in his definition of a company. a bookkeeping is a record about the company’s right and obligation which are related with its activities. the article 8 paragraph (1) of act no 8 of 1997 on corporate document mentions that it is mandatory for a company to make a record as stated in the article 5. the article states that the record can be an annual balance, an annual profits and loss record, accounts, daily transaction journals, or any record which is related with the obligation and right as well those related with the business of the company. all of the characteristics and nature of the company’s activity are done/ possessed by the company in its existence in the society. a company will interact with many parties in the society. in addition, the interaction should be done under the applicable law. the society will always get involved in the company’s activities, either as the producers, distributors, or even consumers. 2. the company’s activity from the economic point of view in the introduction of this paper, it is stated that from the economic point of view, a company can be seen as an organization. a company is one of forms of organization. to be more precise, it is a production organization which covers several functions coordinated to produce certain goods and services and its economic goal depends on the comparison of the power in the organization. from this definition, the emphasis of a company’s activity is on the production of certain goods and services. this results to a narrower scope of company’s activity than what has been discussed earlier using the definitions of molengraaf, polak, 42 m. shidqon praboeo, yurida zakyy umami, the existence…., pp. 33 46 and other policy makers. the activity of producing certain goods and services can be included in the fore mentioned industrial, trade, service, financial activities. while the role of law here is to regulate the activity of producing the goods and services, preventing crimes and conflicts from taking place. b. the characteristics and types of a company to find out what the characteristics of a company are, we can see from the definition of a company as stated in the general provision of act no 3 of 1982 on corporate mandatory registration that a company is “any form of business which conducts fixed and activity continuously, fixed, established, working, also situated in the territory of the republic of indonesia aiming to gain benefits and profits”. based on the company’s characteristics, all business entities except cooperatives differ in their profit seeking goals. in addition, a foundation which works for social purposes cannot be called a company. moreover, to understand the characteristics of each company, the writer briefly elaborates its characteristics as follows 8 : 1) private corporation it is grouped based on the number of its founders. it can be established by a person. this type of company does not necessarily require any agreement with other parties since it is founded by one person. the example of this type of company is a home industry which has a small capital, is situated in its founder’s house. this type of company is governed in the civil codes. 2) civil fellowship developed from a private corporation, a civil fellowship is established using an agreement. in a private corporation, there is only one founder, while in a civil fellowship, there are more than one founders. a civil fellowship is the pioneer of the emergence of companies like a limited partnership, a limited liability, and a cooperative. like a private corporation, a company like a civil fellowship is governed in the civil codes. 3) a firm 8 gunawan widjaya, 2006, seri aspek hukum dalam bisnis (legal aspects in business series), prenada media, jakarta 43 journal of private and commercial law volume 2 no. 1, mei 2018 a firm is a type of company with a shared name which functions to run the company as defined in commercial codes article 16 that “a firm is a company which is founded to operate under a shared name”. the specifics of this company are that it has a shared name and its functions as a firm makes it different from other forms of company. 9 a shared name is usually taken from its founders, like safe which consists of its founder’s names: satriawan, fachrudin, edo” or lhs which is “lubis, haryanto, suwarno”. with its name, the founders’ existence in the firm is very important, because a firm will be dismissed automatically if one of the founders is not a part of the firm anymore. 4) a limited partnership a limited partnership is in indonesian translated into a passive fellowship and uses an acronym of cv (comanditair venounschaap). this company owns certain characteristics like the founders are known as a fellowship, and the existing fellowships can be divided into active and passive fellowships. there was no difference between active and passive fellowship in this type of company. an active fellowship is one responsible for the company’s management. the company is called active fellowship since it acts on behalf of the company’s name. a passive fellowship is different. in this fellowship, the founders just invest their money in the company. they are not responsible for the company’s loss or they don’t have any responsibility to the third party beyond their amount of investment. 5) a limited liability a limited liability is previously known as naamloze vennootschap in dutch or nameless fellowship. 10 it is translated into a limited liability. perseroan is another word for share and terbatas means that the responsibility of the shareholders is limited. the company used to be governed in the commercial codes. however, in order to fulfil the business demand, the company is also governed in the act no 1 of 1995 which is amended with act no 40 0f 2007 9 ibid, page 224. 10 ridwan khairandy, op cit. p. 1 44 m. shidqon praboeo, yurida zakyy umami, the existence…., pp. 33 46 on limited liability. as regulated in limited liability act, a limited liability is a company with a legal entity which makes it a legal subject separated from its founders. 11 the legal entity characteristics adhered to the limited liability are that it has separated wealth from that of the founders, it has specific goals and interests, it has management, it is capable before the law and of other consequences. 12 the responsibility of the founders which is limited basically becomes the distinctive factor between a limited liability from a private corporation, a civil fellowship, a firm. in addition, a limited partnership recognizes a personal responsibility and shared responsibility, which means that the responsibility of the founders is not limited since they are fully responsible for their personal wealth. in the limited liability, the founders’ responsibility is limited to how much investment he or she has invested except in several cases which cause them to be accountable for their own wealth as stated in the article 3 paragraph 2 of limited liability act. the conditions which require the founders to perform unlimited responsibility are when the company’s requirement as a legal entity has not been fulfilled, the shareholders must not make use of the company for personal interest(s) either directly or indirectly, the shareholders are involved in a crime which is committed individually, the shareholder either directly or indirectly makes use of the company’s assets which makes the company unable to pay its debts. in the capital cases, limited liability’s characteristics are different from other types of business. a limited liability uses a share which has certain nominal values by considering the authorized capital, paid-up capital, and the issued capital. 6) cooperatives beside a limited liability, there is another well-known company having a legal entity namely a cooperative. a cooperative is included as a company since it suns a business, either in the form of trade of goods or in providing 11 agus budiarto, s.h., m.hum., 2002. kedudukan hukum dan tanggung jawab pendiri perseoran terbatas (the legal position and the responsibility of limited liability founders), ghalia indonesia, jakarta, p. 29 12 ibid 45 journal of private and commercial law volume 2 no. 1, mei 2018 services. what differs a cooperative from other types of business is that a cooperative is based on mutual cooperation (gotong royong) principle in which the profits are not shared in the form of dividend or profit sharing but in deposits of business results. when compared with a limited liability, a cooperative has weaknesses in their capital because its capital is not in the form of a share which can be transacted in the stock exchange. transactions in the stock exchange may boost the company’s capital and it is the most supporting factor for the company’s development. conclutions 1. summary it can be summed up from this paper that: a. the characteristics/ natures of a company in the economic aspect include trades, services, finance, which are done continuously, explicitly, aiming to gain benefits and profits. in addition, there must be a bookkeeping. b. from the economic aspect, the characteristics and natures of a company are focused on the activities of producing goods or certain services. 2. suggestions the activities of a company are supposed to be conducted by focusing on the existing provisions of regulations and other theories so that, in one hand, the company’s activities which are conducted are legal before the law and, on the other hand, they can play their roles as expected. bibliography budiarto agus., 2002, kedudukan hukum dan tanggung jawab pendiri perseroan terbatas (the legal position and the responsibility of limited liability founders), ghalia indonesia, jakarta. khairandy ridwan, 2009, perseroan terbatas doktrin, peraturan perundangundangan, dan yurisprudensi (limited liability: doctrines, regulations, and jurisprudences), kreasi total media, yogyakarta. 46 m. shidqon praboeo, yurida zakyy umami, the existence…., pp. 33 46 simanjuntak ricardo, teknik perancangan kontrak bisnis (the techniques in designing business contracts), pt. gramedia, jakarta. widjaja gunawan, 2006, seri aspek hukum dalam bisnis (legal aspects in the business series), frenada media, jakarta. siti dhurotun muniroh, the indication of unfair…., pp. 78 93 the indication of unfair business competition practice in the implementation of public procurement auction using e-tendering siti dhurotun muniroh law officer at cv banjarsari in banyumas regent central java, indonesia, 50229 email: dhurotunsiti@yahoo.com ubaidillah kamal faculty of law state university of semarang building k sekaran, gunungpati, semarang central java, indonesia, 50229 email: ubaidillahkamal@mail.unnes.ac.id abstract public procurement or e-procurement is one of the efforts to improve the quality of public services. implementation of public procurement electronically at auctions is conducted through e-tendering. though it has been arranged with clear legal rules, there were still deviations in conducting the auctions of public procurement. one of the ministry that organizes the auctions of public procurement through e-tendering is the regional office of ministry of justice and human rights of central java. the researcher conducted a juridical study on the auctions of public procurement through e-tendering with the research questions as follows: (1) how is the implementation of auctions of public procurement through e-tendering at the regional office of ministry of justice and human rights of central java? (2) how is the indication of unfair competition practice done in the auction of public procurement through etendering at the regional office of ministry of justice and human rights of central java? this research was qualitative research based on empirical-juridical legal research approach. the results showed that the implementation process of the auctions of public procurement through e-tendering in procurement services unit (ulp) regional office of ministry of justice and human rights of central java has been in accordance with the presidential regulation number 54 years 2010 along with the changes and with the chief of department of public procurement policies (lkpp) regulation number 1 year 2015 about etendering. besides, the implementation of auctions of public procurement through e-tendering on procurement services unit (ulp) regional office of ministry of justice and human rights of central java has ever happened a horizontal conspiracy. keywords: indication of unfair competition practice, auctions of public procurement, e-tendering. mailto:dhurotunsiti@yahoo.com mailto:ubaidillahkamal@mail.unnes.ac.id 79 journal of private and commercial law volume 2 no. 2, november 2018 introduction the organization of public procurement is done electronically or so-called e-procurement. it is in accordance with the presidential regulations number 54 of the year 2010 as a manifestation of the reformation in organizing the public procurement. the system of e-procurement or public procurement electronically is believed as an instrument for the realization of good governance and public services as it will increase cost-efficiency, effectiveness, faster cycle time, improve the transparency of auction packages, provide better public monitoring, improve healthy competition, and increase government accountability. after the establishment of this system, the country's expenditure in terms of public procurement is predicted that it can be pressed until forty trillion per annum 1 . besides, these regulations are used to reduce the country’s losses in the process of public procurement 2 . public procurement electronically or e-procurement is required by agency/ government institution that use partially or wholly sources is obtained from state budget (apbn) or local government budget (apbd) in the implementation of the public procurement. e-procurement is essentially created as a system of prevention of the occurrence of fraud in the public procurement. however, the regulation has undergone refinement and improvement of the system of auctions on the public procurement, there are still opporunity to engage in the practice of fraud that can lead to unhealthy business competition. it is in the form of conspiracy. conspiracy is a partnership between two or more parties which act together to violate the law 3 . 4 it is contrary to the presidential regulations number 54 of the year 2010 on the public procurement which mandates that one of the purposes of public procurement electronically is to increase healthy business competition. 1 hardiyansyah, 2011, kualitas pelayanan publik (konsep, dimensi, indikator dan implementasinya), yogyakarta: gava media, page 12. 2 http://www.bppk.kemenkeu.go.id/publikasi/artikel/147-artikel-anggaran-dan-perbendaharaan/ 19919-persekongkolan-dalam-perspektif-pengadaan-barang-jasa-pemerintah on 9th march 2018, 09.00 wib. 3 pedoman pasal 22 tentang larangan persekongkolan dalam tender, (komisi pengawas persaingan usaha, 2009), page 16. siti dhurotun muniroh, the indication of unfair…., pp. 78 93 due to the existence of conspiracy either horizontally or vertically in the implementation of auctions through e-tendering held among agency/government institutions, there should be anticipation or prevention efforts undertaken by the procurement services unit (ulp) as the government organizational units who has duty in carrying out public procurement. it is also done by the regional office of the ministry of justice and human rights of central java as one of the agencies/government institutions using state budget (apbn) in financing the public procurement. based on the backgrounds above, the research problems are as follows: (1) how the process of auction implementation of public procurement through e-tendering on the procurement services unit at the regional office of the ministry of justice and human rights of central java? (2) how is the indication of unhealthy business competition practice at the auction of public procurement through e-tendering on the procurement services unit at the regional office of the ministry of justice and human rights of central java? research methods the research methods used were empirical juridical legal research methods. empirical legal research is a legal research to obtain data from primary data or directly from the community 4 . the types and source of data that used are primary and secondary data. the data sources used in this research was the primary data obtained from interviews with respondents and informants, and secondary data used was documentation and library research. technique examination of data validity in this research use technique triangulation. techniques of data analysis use qualitative analysis techniques with interactive models owned by miles and huberman. results and discussion the implementation of public procurement auction through e-tendering on the procurement services unit (ulp) at the regional office of the ministry of justice and human rights of central java in 2010, the regional office of the ministry of justice and human rights of central java has been implementing e-procurement. it has just been run on the 4 soemitro r. hanitijo, 1985, metode penelitian hukum, jakarta: ghalia indonesia, page. 24. 81 journal of private and commercial law volume 2 no. 2, november 2018 stage of the election announcement of the goods and services provider, while the whole stages of public procurement is still done manually. it can implement the public procurement electronically or e-procurement for the whole stages in 2011. it is due to the period of transition from the manual to electronic process of public procurement or e-procurement which is still limited for the ability of human resources, technology, and infrastructure owned. each ministry/agency/regional work unit/institution are required to have a procurement services unit (ulp) which can provide services/coaching in the areas of public procurement. up to now, the procurement services unit (ulp) at the regional office of ministry of justice and human rights of central java is still ad hoc in nature. as a result, the staff of procurement services unit (ulp) is still under the other divisions of the agency. it is because the lack of human resources and budget which makes it rather difficult to be permanent. public procurement electronically or e-procurement can be done with etendering or e-purchasing. e-tendering is used to select the goods and services provider which is being performed openly and followed by all goods and services provider listed in the electronic procurement system by way of conveying one time deals in specified time. e-purchasing is used to purchase goods/services through electronic catalog system. the selection of goods and services provider through e-tendering is done by the procurement services unit (ulp) division. for the permanent procurement services unit (ulp), the staffs are divided into some divisions such as goods procurement, construction work procurement, consultation service procurement, and other service procurement. the functional staffs of public procurement who own competencies of procurement could gather in a place with special auth related to each division and can concentrate on the process of public procurement services according the their competencies. hence, the staffs of procurement services unit (ulp) are not bothered by the events outside each auth respectively. whereas, on the non-permanent procurement services unit (ulp), the staffs have not been divided. in addition, for ad-hoc procurement services siti dhurotun muniroh, the indication of unfair…., pp. 78 93 unit (ulp) staffs, they are still under the other divisions on related institutions, so that the public procurement functional staffs can focus to take care of the public procurement activities and the other activities related. although the ad hoc procurement services unit (ulp) staffs in nature are allowed to double the post, they cannot fill the position of commitment maker official (ppk) (treasurer/verifier/payment instruction signatory officer) in either one same procurement package or another procurement package. it is in accordance with the provisions of article 17 paragraph (7) presidential regulations number 54 of the year 2010. the system changes on the process of public procurement from manual to electronic process can be associated with the theory of law as a tool of social engineering conceived by roscue pounds. according to pound, law is created and used as a tool/instrument of social engineering to encourage and create changes in the community. therefore, law is required to modify the behaviors/attitudes of the community in order to behave in accordance with the goals set. with the existence of the presidential regulations number 54 of the year 2010 along with the changes aims to change the behavior of the parties involved in the auction of the public procurement in order to reach the proper purposes of public procurement electronically. in article 107 of presidential regulations number 54 of the year 2010 along with the changes, there are five purposes of the existence of public procurement electronically as the following: a. increase transparency and accountability b. improve market access and healthy business competition c. improve the level of efficiency of the procurement process d. support the process of monitoring and audit e. fulfill the needs of real time access to information these purposes are realized by the existence of spse applications which is connected to all ministries/agencies/local governments/agencies that do an auction of public procurement through e-tendering. the initial step of the auction implementation process is by uploading a general draft of public procurement 83 journal of private and commercial law volume 2 no. 2, november 2018 (rup) through sirup by budget user (pa) or proxy of budget user (kpa) until the contract of the auction results are also uploaded on the spse application based on the specified schedule. in addition, spse application is accessible publicly at all times. in line with the implementation of public procurement through e-tendering can be associated with social justice theory expressed by john rawls. he declares that there are 2 (two) principle of justice, namely the difference principle and the principle of fair equality of opportunity. the different principle means that the social and economic differences should be set up to provide the most benefit to those who are most disadvantaged 5 . while, the principle of fair equality of opportunity means that everyone has the same rights to the most widespread basic freedom and be compatible with the other similar freedoms 6 . if the implementation of public procurement auction is associated with the theory of social justice expressed john rawls, it creates opportunities and access for the implementation of public procurement auction through e-tendering toward all goods and services provider to participate in the auction of public procurement that exists in all regions of indonesia. it is proved by the existence of spse application as a means for spse auction organizers and goods and services provider to implement the auction in accordance with the stages that have been arranged, so the goods and services provider located outside the areas/regions where an agency held auctions can get information and be able to register without having to come first to the agencies concerned. it proves that the auction implementation of the public procurement through e-tendering manifests the principle of fair equality of opportunity where any competent goods/services goods and services provider can follow the auction without the any discrimination. in addition, the implementation of public procurement auction through etendering embodies the difference principle. before the existence of presidential 5 damanhuri fatah, teori keadilan menurut john rawls, jurnal tapis volume 9 no.2 julidesember 2013, page. 35. 6 pan mohammad faiz, teori keadilan john rawls. jurnal konstitusi, volume 6, nomor 1, april 2009, page. 141 . siti dhurotun muniroh, the indication of unfair…., pp. 78 93 regulations number 54 of the year 2010, the implementation of public procurement auction is still done manually so that access to information on the implementation of public procurement auction is still limited, which makes the participants are only those parties who have extensive connections in some government institutions. as for providers that have no or few connections will rarely get information about the implementation of the auction. hence, the opportunity to participate in the public procurement is minimal. the implementation of public procurement auction through e-tendering is surely with obstacles or constraints. the biggest obstacle being experienced is still a bit number of the procurement services unit (ulp) staffs and electronically procurement services (lpse) staffs who has already been competent and had certification. in addition, ad-hoc procurement services unit (ulp) staffs, they are still under the other divisions on related institutions so that almost all the staffs have double post, which makes the procurement services unit (ulp) staffs cannot only focus on the public procurement. electronically procurement services (lpse) is also still temporary because the staffs are still under the other divisions on related institutions. it causes not all disruption on a spse and lpse network applications can be fixed though there are some disruption on spse application can be fixed by electronically procurement services (lpse) available. so it is expected that the change of system in public procurement auction that were previously done through manual and become through electronic ought to be offset by the changes in abilities and capabilities of the parties involved in auction of public procurement through electronic especially the staffs on procurement services unit (ulp) and electronically procurement services (lpse) divisions. in addition, the implementation of auction of public procurement through e-tendering needs to be supported by adequate infrastructure and facilities. it is expected to support the auction of public procurement and can minimize the presence of constraints, obstacles and irregularities which may happen. 85 journal of private and commercial law volume 2 no. 2, november 2018 indication of unhealthy business competition in the implementation of public procurement auction in procurement services unit (ulp) of regional office of ministry of justice and human rights central java government through national procurement board (lkpp) is trying to improve the equitable procurement systems through e-procurement method, but still found the procurement of goods and/or services in collusive way either vertical which involving committee or horizontal among participants of the tender (bidder). one form of action that may lead to unhealthy competition is a conspiracy in the tender. the conspiracy in public procurement auction can be distinguished into three types, as follows: 8 a. horizontal conspiracy, is a conspiracy that happen between the provider of goods and services with fellow rival provider of goods and services. this conspiracy can be categorized as a conspiracy by creating artificial competition among bidders. b. vertical conspiracy, is a conspiracy that happen between one or more providers of goods and services with the auction committee. c. joint conspiracy, is a conspiracy combined vertical conspiracy and horizontal conspiracy. a joint conspiracy is a conspiracy between the auction committee and the providers of goods and services. one of the efforts to prevent tender conspiracy is to keep the objectivity of division of procurement services unit (ulp) in doing the evaluation of the bid. on the page of spse application, it is just only written 1 st provider, 2 nd provider and so on and without mentioning the name or address of the bidder. it is done so that the results of the evaluation of the bid is \ in accordance with the applicable provisions. division of procurement services unit (ulp) of regional office of the ministry of justice and human rights central java and division of procurement services unit (ulp) of universitas negeri semarang detect that there is an indication of unhealthy business competition on the implementation of auction procurement of goods/services at the time they did the evaluation of the bid with the based on the explanation of article 83 of presidential regulation number 70 siti dhurotun muniroh, the indication of unfair…., pp. 78 93 year 2012 that explains that the indication of conspiracy among providers of goods/services must be complied at least 2 (two) of the indications below: a. there are similarities in common technical documents, such as: working method, materials, tools, technical approach analysis, unit price, and/or specification of goods offered (brand/type) and/or technical support; b. the entire bid is from the providers approcaching owner estimate (hps); c. there is participation of some goods/services providers that are within 1 (one) control; d. there are similarities/errors in content of bid document, such as similarity/error in typing, arrangement, and writing format; e. warranty of bid is removed from the same guarantor with consecutive serial numbers. on the presidential regulation number 54 of the year 2010 just regulates forms of indication of indication of horizontal conspiracy only. this is because at the explanation of section 83 subsection (1) letter e presidential regulation number 70 year 2012 only mention conspiracy between goods/services providers only. whereas if it is viewed from the elaboration of section 22 of constitution no. 5 of year 1999 mentioned that the tender conspiracy can be in form of horizontal conspiracy, vertical, conspiracy and joint conspiracy. so it is needed the existence of arrangement which set up the indication of vertical conspiracy and joint conspiracy. in addition, related to guarantees of bid in the implementation of e-tendering is no longer needed. this is in accordance with section 109 subsection (7) presidential regulation number 4 year 2015 and section 4 subsection (1) letter a regulation of national procurement board (lkpp) principal number 1 year 2015 about e-tendering. so the point of indication of conspiracy related guarantee of the bid could not be imposed on auction of public procurement through e-tendering. indication of an unhealthy business competition above can only be found when division of procurement services unit (ulp) is doing bid evaluation. if division of procurement services unit (ulp) have known that there is any indication of conspiracy between providers of goods/services, then division of 87 journal of private and commercial law volume 2 no. 2, november 2018 procurement services unit (ulp) will do clarification to the providers of goods/services that was indicated having conspiracy. if the provider of the goods/services is proved for having conspiracy, then the division of procurement services unit (ulp) will dismiss their offer in the process of auction procurement of goods/services. in addition, division of procurement services unit (ulp) can propose goods/services providers that were proved for having conspiracy, to the proxy of budget user (kpa) to be included into black list. the dropping of the sanctions to the blacklist to the providers of goods/services that do conspiracy with other goods/services providers under section 3 subsection (2) letter b regulation of national procurement board (lkpp) principal number 18 years 2014 about blacklisting in the procurement of goods/services of the government. but in fact, division of procurement services unit (ulp) only dismissed their bid alone and rarely proposed goods/services providers that the conspiracy proven to proxy of budget user (kpa) to be included into black list. the reason is if the goods/services providers have admitted their mistakes, apologize and have good intention, it is enough for them to only dismiss the bid. in addition, the providers of the goods/services are looking for income through their participation in the procurement of goods/services. if the providers of the goods/services are on the blacklist, then it just closes their livelihood. but if the goods/services providers proved fro having conspiracy do not admit their fault, no apologize and do not have good intention, then the new division of procurement services unit (ulp) will propose the imposition of a black list to proxy of budget user (kpa) . sanction of the inclusion in the blacklist is done during the 2 (two) years, so for 2 (two) years the goods/services providers, which are subjected to sanction of the inclusion in the blacklist, are not allowed to follow the process of procurement of goods/services in all ministries/institutions/local government/agencies that exists throughout indonesia. on general provisions in conducting bid evaluation listed in attachments of regulation of national procurement board (lkpp) principal no. 6 year 2012 about technical guide of the implementation of presidential regulation no. 70 siti dhurotun muniroh, the indication of unfair…., pp. 78 93 year 2012 mentions that if in the evaluation is found evidence of unhealthy business competition and/or shared settings (collusion/conspiracy) between the participants, the procurement service unit (ulp) and/or commitment maker official (ppk), in order to win one of the participants, then: a. the participant who is designated as the prospective winner and other participants involved are included into the black list; b. members of the procurement service unit (ulp) and/or commitment maker official (ppk) involved in conspiracy is replaced, punished of administrative sanction and/or criminal; c. evaluation process is still continued by setting of other participants which is not involved (if any); d. if there are no other participants as it means in number (2), then the auction is declared failed. further, in section 118 subsection 1 letter (c) presidential regulation number 70 year 2012 mentions that one of the deeds or actions of the goods/services providers which are penalized is doing conspiracy with other providers of goods/services to set the bid price beyond the procedures of implementation of the procurement of goods/services, so as to reduce/inhibit/minimize and/or exclude the healthy competition and/or harm others. sanctions imposed on the conspiracy laid out in section 118 presidential regulation no. 70 of the year 2012 which stated that conspiracy horizontal is penalized as follows: a. administrative sanctions, done by commitment maker official (ppk)/ division of procurement service unit (ulp) /procurement officials. b. the sanction of the inclusion in the blacklist, performed by budget user (pa)/proxy of budget user (kpa) after gaining input from commitment maker official (ppk)/ division of procurement service unit (ulp)/procurement officials. c. in the civil lawsuit. d. criminal reporting to the authorities. 89 journal of private and commercial law volume 2 no. 2, november 2018 the above statement has indeed listed sanctions on both horizontal conspiracy and vertical, conspiracy, and also joint conspiracy. but on presidential regulation number 70 year 2012 just set an indication of the occurrence of an unhealthy business competition in the form of horizontal conspiracy as a benchmark of division of procurement services unit (ulp) to know of any indication of the occurrence of an unhealthy business competition at the time of the auction procurement of goods/services through e-tendering. in addition, the overthrow of the sanctions to the members of procurement service unit (ulp) and/or commitment maker official (ppk) involved in conspiracy has not been regulated in detail. so there have been no clear parties determined by the designated constitution to impose sanctions to the persons of members of procurement service unit (ulp) and/or commitment maker official (ppk). on the early implementation of e-procurement, there was happened a case of irregularities in the form of a conspiracy carried out by some providers of goods/services in the regional office of justice and human rights central java. at the time, there is a provider of goods/services that are proven to do conspiracy with other providers of goods/services. the conspiracy was discovered by auditors of bpk while doing an audit towards the implementation of auction procurement of goods/services. in that case, the audit of indonesian supreme audit institution (bpk) finds the existence of serial number of warranty quote consecutively and the same ip address between the goods/services provider with other goods/services provider used in log access to spse application on 1 (one) the auction package at the time of the auction stages are still ongoing. it is also ever experienced by the universitas negeri semarang where in the early of timplementation of the auction procurement of goods/services electronically, there was a horizontal conspiracy happened. the case that experienced is similar to the case of the regional office of justice and human rights central java, namely equality ip address between one provider of goods/services with other providers of goods/services used in log access to spse application. in this case, the providers of goods/services were indicated having siti dhurotun muniroh, the indication of unfair…., pp. 78 93 conspiracy namely the participation of some goods/services providers that are within one (1) control. so the conspiracy that is ever happened at the regional office of justice and human rights central java is horizontal conspiracy. the effect of the conspiracy, the participation of such goods/services providers was dismissed by division of procurement services unit (ulp) . however, it is just dismissed not included in the blacklist. in the concept of law as tool of social engineering that is addressed by roscoe pound, law is tasked to organize interests that exist within the community in order to achieve a proportional balance, although there is varied interest in the community among human groups so that the details of the uncertain interests can not be done 9 . setting up the interests manifested in renewing the law related auction procurement of government goods/services. if the setting related to the indication of unhealthy business competition associated with the concept of law as tool of social engineering, then it is needed more detailed rules related to the indications of vertical conspiracy and joint conspiracy. because at the presidential regulation number 54 year 2010 along with the changes just set horizontal conspiracy indications only and do not set indication of vertical conspiracy and joint conspiracy that is used as a benchmark the existence of an unhealthy business competition on the implementation of public procurement auction. so it is expected not only the participants of the auction which followed the implementation of the public procurement auction according to the rules, but the auction committee behavior also follows the the implementation of the public procurement auction according to existing rules. in addition, it needs for more decisive and detailed arrangements related the imposition of sanctions to the person of auction committee who did the vertical conspiracy or joint conspiracy. because at the presidential regulation number 54 year 2010 along with the changes has not yet set up the sanctions that would be imposed and authorities who give sanctions in case of vertical conspiracy or joint conspiracy. with the rules concerning the indication of the horizontal conspiracy, vertical conspiracy, and joint conspiracy will certainly change the behavior and 91 journal of private and commercial law volume 2 no. 2, november 2018 mindset of the bidder and the auction committee in order to promote professionalism and leave the behavior and mindset used to be that still do everything with collusion, corruption and nepotism (kkn). conclusion the implementation of public procurement auction of procurement service unit (ulp) of ministry of justice and human rights central java office held through e-tendering is in accordance with presidential regulation number 54 year 2010 along with the changes and regulation of national procurement board (lkpp) principal no. 1 year 2015 about e-tendering. the implementation of the public procurement auction through e-tendering changes the pattern of stages of procurement of goods/services that were previously done manually into electronic applications by utilizing the spse application as the facility. on the implementation of public procurement auction through e-tendering, division of procurement services unit (ulp) has detected indications of unhealthy business competition at the time of the bid evaluation with the explanation based on article 83 of presidential regulation number 70 year 2012. during the implementation of public procurement auction through e-tendering is conducted in regional offices of the ministry of justice and human rights central java has ever detected any indication of conspiracy in the form of the existence of the participation of some goods/services providers within 1 (one) the control and bid guarantee of the same guarantor with consecutive serial numbers. bibliography books hardiyansyah, 2011, kualitas pelayanan publik (konsep, dimensi, indikator dan implementasinya), yogyakarta: gava media. kppu. 2009. pedoman pasal 22 tentang larangan persekongkolan dalam tender, jakarta: komisi pengawas persaingan usaha republik indonesia. lkpp, 2010, modul 1: pengantar 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http://www.bppk.kemenkeu.go.id/publikasi/artikel/147-artikel-anggaran-danperbendaharaan/19919-persekongkolan-dalam-perspektif-pengadaanbarangjasa-pemerintah (11/8/2017, 18:30 wib). http://www.bppk.kemenkeu.go.id/publikasi/artikel/147-artikel-anggaran-dan-perbendaharaan/19919-persekongkolan-dalam-perspektif-pengadaanbarang-jasa-pemerintah http://www.bppk.kemenkeu.go.id/publikasi/artikel/147-artikel-anggaran-dan-perbendaharaan/19919-persekongkolan-dalam-perspektif-pengadaanbarang-jasa-pemerintah http://www.bppk.kemenkeu.go.id/publikasi/artikel/147-artikel-anggaran-dan-perbendaharaan/19919-persekongkolan-dalam-perspektif-pengadaanbarang-jasa-pemerintah jpcl 3(2) (2019) 82-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl corruption prevention model based on mobile banking rina arum prastyanti1; margaretha evi yuliana 2; s. andi sutrasno3 1,2faculty of computer science, universitas duta bangsa surakarta, 3faculty of law universitas soerja ngawi, indonesia received april 8 2018, accepted july 1 2019, published november 30 2019 doi 10.15294/jg.v16i1.18711 abstract the advancement of internet technology and the rapid sales of smartphones in indonesia become the third highest in the pacific after china and india also have an impact on increasing mobile banking usage by 80% of bank customers in indonesia. kenya which is a poor and corrupt country in the world has made changes to the banking system, namely using an electronic platform called m-pesa. m pesa provides mobile-based payment and transfer services that can reduce corruption in the public sector. in africa, mobile phone signals and reach determine the success of corruption prevention using mobile banking. this study aims to obtain a corruption prevention model using mobile banking. this research is descriptive qualitative. the approach of this research is sociolegal study which is a study of law by using a legal science approach and social sciences. data collection techniques using virtually research and library research the validity technique of the data used is data triangulation. data analysis techniques in using technical qualitative analysis interactive models. the conclusion of this study is that the government must be able to take advantage of technological advances to combat corruption even though technology cannot replace a valid and evidence-based anti-corruption strategy, but technology can be used to help reduce corruption through mobile banking transactions. keyword: mbanking, mobile banking, corruption, transparency introduction the advancement of internet technology and the rapid sales of smartphones in indonesia become the third highest in the pacific after china and india (emarketer, 2019) also have an impact on increasing mobile banking usage by 80% of bank customers in indonesia (mefmobile.org). kenya which is a poor and corrupt country in the world has made changes to the banking system, kenya using an electronic platform called mpesa (mobile money). m pesa provides mobile-based payment and transfer services that can reduce corruption in the public sector (isabel, 2014). in africa, mobile phone signals and coverage determine the success of corruption prevention using mobile banking (catie, 2009). the aims of this research is to obtain a corruption prevention model using mobile banking. the notion of corruption corruption is often defined as an activity carried out by bureaucrats in using their positions to gain personal benefits. this does not only happen to bureaucrats, but the private and non-profit sectors can also experience corruption, the definition must include illegal sales in these sectors as well. in general, every criminal behavior has several aspects including social, economic, racial, psychological, political, legal, moral, religious, sexual, and medical. it is generally agreed that free market competition and democracy will bring peace and prosperity. however, bringing competition in traditional societies in poor countries is not easy. corruption and unfair law enforcement are very detrimental to honest entrepreneurs. equality of opportunity for all entp-issn 2599-0314 e-issn 2599-0306* e-mail : rina_arum@udb.ac.id address : st. bhayangkara 55, tipes, serengan, surakarta city, central java 57154 jp cl rina arum prastyanti et.al., corruption prevention model based on mobile banking 83 repreneurs and good governance is needed so that true competition can take root (vinod, 1999). corruption is seen as a social phenomenon in traditional economic theory. according to the public choice approach and the neo-institutional model, the lack of transparency and information is a major factor in economic crime such as bribery and grants (morawczynski and pickens: 2009). corruption is a broad and complex term and a widespread phenomenon in the world, especially in developing countries. evidence states that corruption is one of the most dangerous phenomena for the state because corruption influences a country’s social, political and economic factors and includes the prevalence of illegal behavior. more specifically, corruption not only stole resources from the population but also undermined economic growth, justice and also reduced trust among the public sector (lambert, 2007). corruption is also defined as a conflict of interest and misuse of entrusted power by authorities, institutions and the government. in particular, corruption includes accepting bribes in terms of payments or gifts for assistance and obtaining unfair benefits or benefits that stand alone for others. this useful service is generally related to position, power, and individual work assignments (sida). corruption is generally classified into three different levels: small and bureaucratic corruption, large and recent political corruption. these divisions are based in part on the size of transactions and the volume of money lost, and some in institutions or sectors where corruption occurs (hechler, 2011). corruption is a complex economic, social and political problem and also one of the most destructive phenomena. countries characterized by corruption face many different challenges because corruption undermines democratic authority and the financial system (ec, 2008). poverty and corruption are significantly related. some countries postpone aid to corrupt countries; assistance is given to improve the conditions and conditions of life of individuals. in addition, corruption reduces foreign investment, limits access to basic public services and increases the cost of shipping services. furthermore, this in turn can lead to a decline in state growth and human development (transparency international, 2004). figure 1. indonesia’s corruption eradication commission data source: indonesia’s corruption eradication commission, 2018 based on the data from indonesia’s corruption eradication commission above, eradicating corruption based on the number of investigations of corruption cases in 2017 from 123 cases decreased 38.2% to 76 cases. in 2018 there was a decrease of 29.8% from 121 to 85 cases. (luthfia, 2018). corruption will not be easily lost by eradication. the large impact of corruption has caused the state to reduce its obligation to provide welfare to the people. people who are victims of corruption. for this reason, the role of the community in preventing corruption is a form of social control. the high social control network is expected to be able to reduce of corruption and expand the prevention and handling of corruption. mobile phone market in indonesia the development of mobile phones in indonesia communication information technology (ict) has played an important role in human life and affects the places, how to work, study, shop, eat, play, live and travel (moktarian, 2013). today everyone can enjoy new freedoms in space and time that allow them to carry out activities and interact with ot84journal of private and commercial law 3(2) (2019) 84-88 her people using ict devices, mobile adoption around the world continues to show significant growth. the mobile phone market starts from the need to simplify the business segment (rim, 2013). in fact, the growth of the mobile phone market is not only to meet the business but the needs of the community. more specifically, mobile phones help access financial services easily. several opportunities arise in the use of mobile phones to create a platform of ideas, business models and methods of communication (usaid, 2014). in addition, the use of mobile phones as a financial service can have an impact on reducing corruption (us agency, 2012). figure 2. active smartphone user in indonesia 2019 data source: emarketer, 2019 in 2016 smartphone users is two billion and indonesia is the country that dominates smartphone growth under china and india. indonesia, india and china have consistently increased smartphone users by 400 million by 2018. figure 3. active smartphone user in indonesia 2018 data source: emarketer, 2018 smartphone sales increase in indonesia is a positive indicator for e-commerce growth, which is mostly accessed via smartphones. indonesia is expected to surpass brazil in terms of sales and smartphone use in the next few years. regulation of mobile banking in indonesia banking is one sector that cannot be separated from internet usage. customers with self service facilities provided by banks through the internet provide easy transactions. the self service currently also provides mobile facilities or often called mobile banking. mobile banking or commonly called m-banking is a banking service provided by banks to support the smoothness and ease of banking activities. as well as the effectiveness and efficiency of customers to carry out various transactions. mobile banking is a banking service using mobile communication devices such as cellphones, with facirina arum prastyanti et.al., corruption prevention model based on mobile banking 85 lities to transact banking through applications on mobile phones. the mobile banking services include conducting banking transactions, transfers between accounts, bill payments and top up. mobile banking is divided into three, among others (novita and nadya, 2017): 1. informational. mobile banking system that only contains information about products and services owned by a bank. the risk of this system is low, because this system is not at all connected to the main server and bank network, but only connected to the site hosting server. the risk that might occur is changing the contents of the site on the internet (or often known as deface). it does not endanger the entire system of the bank, but will be able to disrupt the information on the site of the bank concerned. 2. communicative. this system allows interaction between customers and the bank system. the interaction can be in the form of balance information, transaction reports, changes in the customer’s personal data, or service membership forms from the bank concerned. the risk of this system is greater than the informative type. this is due to the relationship between the customer and several servers on the network at the bank. 3. transactional. in this system, customers are able to make transactions directly. because this system has a direct line to the main server and the network in the bank, the risk of this system is large. transactions that can be carried out in this system include direct access to bank accounts, such as balance information or recent transactions, bill payments, fund transfers, credit top-ups, and so on. figure 4. growth in indonesia mobile banking buoys the global market data source: mefmobile.org, 2018 based on the data above, 80% of respondents in indonesia stated that they had used mobile banking facilities. in 2013, mobile banking usage reached 58% and was only used to check balances and transfer funds. mobile banking users only reach 70 million or a quarter of the population, meaning that residents who are not bank customers still dominate. the program held by bank indonesia to increase customers spread across various islands in indonesia is to use branchless banking and mobile banking to accommodate the needs of modern society. from previous research examining mobile banking in indonesia, some researchers only conducted research on certain banks or universally covered all of indonesia. like research conducted by lin (2011) who examined customers using mobile banking. similarly, research conducted by hanafizadeh et al. (2014) which examined mobile banking users in iran. each customer has their own reasons in deciding to use the mobile banking service facilities provided by the bank. the reasons for each customer will be different or can be the same with each other. due to the many different factors that can affect customers in using mobile banking services, several categories of factors are needed in order to see which factors will become the majority as the main influence of customers using mobile banking services. banks definitions according to article 1 of act number 7 of 1992 concerning banking as amended by act number 10 of 1998 (bank indonesia, 2013) is: “banks are business entities that collect funds from the public in the form of deposits, and distribute them to the community in the form of credit and other forms in order to improve the standard of living of the people “. legal basis for using mobile banking is a bank indonesia decree, no. 27/164 / kep / dir dated march 31, 1995 concerning the use of the information technology system by the bank. fill in the letter regarding the obligation to report by the bank to bank indonesia, if the bank concerned uses or develops information system 86journal of private and commercial law 3(2) (2019) 86-88 technology. bank indonesia undertook various programs to support supervision of bank activities, including activities that utilize information technology, including intensive surveillance programs (special surveillance) and on-site supervisor presence (osp) in several banks that have a considerable influence on the economy. (syahril, 2001). research method this research is descriptive qualitative. descriptive research is a method of researching groups of people, objects, conditions, a system of thought or events in the present. descriptive research aims to make a description, describe systematically, factually and accurately of the facts, the characteristics and relationships between phenomena investigated. the approach of this research is empirically used to analyze the law not merely as a set of normative legislation, but to see the law more towards the behavior of the people in people’s lives, always interacting and dealing with social aspects such as politics, economics , social, and culture (maria, 1997). data collection techniques use virtually research, technical library research and questionnaires given to bank customers who use mobile banking in transactions. the sampling technique used is judgment sampling. the validity of the data in this study is data triangulation. data analysis techniques in using technical qualitative analysis interactive models (sutopo, 2002). corruption prevention model based on mobile banking small and large scale corruption causes financial losses to the state (plummer and cross, 2006; aicd, 2010). practices such as bribery, theft and collusion continue to develop without adequate mechanisms to identify and reduce illegal activities. increased cellular telephone penetration and cellular networks in indonesia support the potential of this technology to be used in dealing with corruption. figure 5. smartphone sucription penetratin versus electronic banking platform penetration mobile banking penetration because it is supported by the need to use mobile payments that are often used by customers in the highest go-pay and tcash transactions. other services that are beginning to get significant user growth are paypro and ovo. these players have many users because of the wider range of services. this condition is optimistic that mobile banking technology can be used to help reduce corruption. the penetration of mobile banking in tanzania has begun since dar es salaam, launching the first mobile-capable payment system for urban water services in 2009. the application of this cellular communication technology, and especially new payment instruments for water bill transactions, includes proof of transactions recorded on the mobile system banking. this transaction has helped reduce corruption during the water collection and payment process (mwanza, 2005). in a study of water sellers throughout dar es salaam, tanzania the focus of this study kjellen (2000) suggests that political interference and poor collection and collection systems are the main contributors to corruption. incorporating cellular technology and innovations related to water service provision is a growing trend that has produced significant optimism to suppress corruption (georgiadou et al., 2011; hope et al., 2012; foster et al., 2012; hutchings et al. , 2012). basically the government has an important role for the mobile market in terms of regulations and porina arum prastyanti et.al., corruption prevention model based on mobile banking 87 licies. at present the government support in the use of mobile banking is contained in the financial services authority regulation number 19 / pojk.03/2014 concerning officeless financial services in the context of inclusive finance. the ojk rules aim to increase and expand access to financial services, so that they can provide more benefits to all levels of indonesian society, especially those who do not know, use and / or obtain banking services and other financial services. with the increasingly inclusive financial services, it is expected that it will have an impact on the increasing number of parties involved besides the government and the private sector as well as the community, which can encourage economic growth so that welfare is more evenly distributed throughout indonesia, and ultimately can play a role in poverty alleviation in indonesia. in implementing the financial services authority regulation number 19 /pojk.03/2014 concerning financial services without offices in the context of inclusive finance mentioned in article 10 (1) banks that will submit applications for approval to become laku pandai operators as referred to in article 3 must meet the following requirements: a. incorporated in indonesia; b. has a risk profile rating, operational risk level and compliance risk with a rating of 1, 2, or rank 3; c. has a network of offices in the eastern indonesia region and / or east nusa tenggara province; and d. already has supporting infrastructure to provide electronic transaction services for bank customers in the form of: 1. short message service (sms) banking or mobile banking, and 2. internet banking or host to host. (2) the financial services authority can conduct periodic evaluations related to the requirements of the bank office network area as referred to in paragraph (1) c. article 41 (1) in the event that it is needed, the financial services authority can request reports, information, and / or data, including checking on site supervision of the agent. (2) the financial services authority, based on certain considerations, may order the organizing bank laku pandai to terminate cooperation with the agent. the rapid growth of the mobile market and the cellular money market should be used to help reduce corruption. nevertheless the adoption of cellphones for this purpose is relatively slow despite the potential. one example of how mobile banking reduces corruption is people who live in isiolo, a city in kenya, where m-pesa simplifies the process of financial transactions. an agreement with the kenyan government has been formed to make it easier to pay bills and collect revenues. with this agreement residents in isiolo can pay their bills using their cellphones. this system includes public transactions, for example when buying or renting land and selling and buying livestock. before isiolo implemented the m-pesa as an alternative method for this service, most transactions in these sectors were marred by corruption, because there was no transparency benefiting individuals dealing under the table and hence committing corruption activities. through mobile money transactions, the system becomes more transparent in business activities, and when other sectors also start using the platform can also reduce corruption in these sectors (okpamen, 2012). in this study a questionnaire was used to gather information to make a model, which was related to mobile banking and its impact on prevention of corruption based on questions related to individuals and society. questions to some extent are based on questions to measure corruption in indonesia. questions related to mobile banking such as how respondents use mobile banking include how often someone uses it and when someone starts using mobile banking. questions relating to corruption in the community and one’s involvement in corruption activities. the questions below this theme concern social trust, loyalty, and also hope. the results of the study are many opportunities for corruption activities created in various sectors because lack of synchronization of institutional rules and transparency in accounting provides opportunities for corruption. the importance of transparent and integrated financial statements with the banking system is expected to reduce the space for corruption. in addition, the indonesian government still needs to prepare infrastructure that supports internet-based information systems across the island to support the mobile banking program. increase the confidence of bank customers to use the mobile banking system. although the government will later make a mobile banking platform to suppress corruption, if it is not supported by facilities and infrastructure as well as public trust, efforts to suppress corruption will be difficult. conclusion the government of indonesia, through several regulations and policies, has given the world a chance to develop transaction methods that can provide convenience to customers. in addition, banking transactions 88journal of private and commercial law 3(2) (2019) 88-88 using mobile are also useful to prevent corruption through transparency and evidence recorded on mobile banking. indonesia can be optimistic about using the model based on the results of previous studies such as the use of m pesa in kenya which has helped the kenyan government suppress corruption in the country. the indonesian government must continue to improve and innovate to improve the supporting structure of the use of mobile banking in indonesia. references emarketer. indonesia is the 3rd-largest smartphone market in the asia pacific mobile phone diffusion and corruption in africa. www. tandfonline.com european commission, 2008, budget supportthe effective way to finance development?, european communities, http://ec.europa.eu/ hb sutopo, 2002. metodologi penelitian kualitatif dasar teori dan praktek dalam penelitian. uns press, surakarta h.d. vinod. study of corruption data and using the internet to reduce 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wulandari, nadya novandriani karina moeliono. analisis faktor-faktor penggunaan layanan mobile banking di bandung. sekolah tinggi ilmu ekonomi pasundan bandung 2017 rim, blackberry target market, overview, research in motion limited, u.s., 2013. okpamen, h., (2014), m-pesa to ease bills remittance for kenyan community, http://www.ventures-africa.com/2014/03/m-pesa-toease-bills-remittance-forkenyan-community/ syahril sabirin, urgensi regulasi dalam internet banking, disampaikan pada seminar sehari aspek hukum internet banking dalam kerangka hukum teknologi informasi, diselenggarakan oleh universitas padjadjaran, bandung 13 juli 2001, hlm. 2 swedish international development and cooperation agency, how we work against corruption, http://www.sida.se/english/about-us/ how-we-operate/ourwork-against-corruption transparency international,2006. faqs on corruption, http://www.transparency.org transparency international, (2004), transparency international annual report 2003, http://issuu.com/transparencyinternational/docs/ ti_annual_report_2003?e=2496456/316 us agency for international development and citi group, (2012), 10 ways to accelerate mobile money, http://www.citigroup.com/citi/ news/data/120612a.pdf us agency for international development, digital finance, http://www.usaid.gov/ http://www.cmi.no/publications/file/4226-can-uncac-address-grand-corruption http://www.cmi.no/publications/file/4226-can-uncac-address-grand-corruption https://nasional.kompas.com/read/2018/12/10/15314821/data-kpk-angka-penindakan-korupsi-pada-2018-turun-412-persen https://nasional.kompas.com/read/2018/12/10/15314821/data-kpk-angka-penindakan-korupsi-pada-2018-turun-412-persen https://openknowledge.worldbank.org/bitstream/handle/10986/9492/503060bri0box31mpesa1brief01public1.pdf?sequence=1 https://openknowledge.worldbank.org/bitstream/handle/10986/9492/503060bri0box31mpesa1brief01public1.pdf?sequence=1 http://www.ventures-africa.com/2014/03/m-pesa-to-ease-bills-remittance-forkenyan-community/ http://www.ventures-africa.com/2014/03/m-pesa-to-ease-bills-remittance-forkenyan-community/ http://www.sida.se/english/about-us/how-we-operate/ourwork-against-corruption http://www.sida.se/english/about-us/how-we-operate/ourwork-against-corruption http://www.transparency.org http://issuu.com/transparencyinternational/docs/ti_annual_report_2003?e=2496456/316 http://issuu.com/transparencyinternational/docs/ti_annual_report_2003?e=2496456/316 http://www.citigroup.com/citi/news/data/120612a.pdf http://www.citigroup.com/citi/news/data/120612a.pdf jpcl 3(1) (2019) 30-37 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl community empowerment through optimization of geographic indication (a study on local products in tambakroto village, sayung district, demak regency ) m shidqon prabowo1 1faculty of law, universitas wahid hasyim semarang received january 01 2018, accepted april 22 2019, published may 31 2019 doi 10.15294/jg.v16i1.17748 abstract geographical indication is a sign used on goods that have a specific geographical origin and has the quality or reputation is based on place of origin. in general, geographical indications is the name of the place of origin of such goods. agricultural products typically have qualities that are formed from the place of production and are influenced by local factors are specific, such as climate and soil. sub tambakroto sayung is one of the district in the city of demak, which has the potential for geographical indications. the potential of geographical indications which are owned by the city of demak district tanbakroto sayung has geographic conditions, natural resources, agricultural products, crops, and cultural traditions. this article is based on research which aims to record the superiority of geographical indications held by demak regency and to analyzing supporting and inhibiting factors in empowering the advantages of geographical indications. keyword: community empowerment; geographical indications introduction geographical indication is a sign that is used on goods that have a specific geographical authenticity and have a quality or reputation based on the place of origin. in general, the geographical indication is the place name of the origin of the items. agricultural products usually have qualities that are formed from their production sites and are influenced by specific local factors, such as climate and soil. based on this provision, it is understood that the origin of an item (of course, actually including services) that is attached to a reputation, the characteristics and quality of an item associated with a particular area are legally protected. agricultural and food products have been associated with unique quality attributes associated with agroecological characteristics and culinary traditions of their origin1. products that can be characterized by geographical indication protection are: a) agricultural products (due to natural factors including weather, soil texture, temperature, etc.). for example, brasmati rice, delanggu rice, brebes salted egg, west sumatra gambir, etc., b) handicrafts and certain industrial products (related to hr who have special expertise that is crucial in the production and manufacturing process). examples of jepara carved furniture, juwana brass crafts, and others. the existence of geographical indication rights in an area cannot be ignored, or even considered to have no direct benefits for welfare, but on the contrary, it must be protected and empowered optimally because it turns out has great potential to improve the welfare of the community2. with the presence of ig products, the 1 deselnicu, et al., 2013, a meta-analysis geographical indication food valuation studies: what drives the premium for origin-based labels?, journal of agricultural and resource economics, page 216. 2 sumiyati, yeti, ect., 2008, kajian yuridis sosiologis mengenai indikasi geografis sebagai sumber pendapatan asli daerah p-issn 2599-0314 e-issn 2599-0306* e-mail : shidqonhamzah@yahoo.com address : jl. menoreh tengah vii no.x no 22, sampangan, gajahmungkur, semarang city, central java 50232 jp cl 31journal of private and commercial law 3(1) (2019) 30-37 reputation of an ig region will naturally be lifted, on the other hand ig can also preserve the beauty of nature, traditional knowledge, and biological resources, and this will have an impact on the development of agrotourism, with ig also stimulating the emergence of other activities related ones such as further processing of a product. all economic activities due to the geographical indications will automatically contribute to the economy of the ig and the protection itself (yessiningrum, 2015: 47). in addition, through optimal ig protection not only is environmental sustainability expected to be maintained, but the empowerment of natural and human resources in the areas expected can also be maximized3 basically, geographical indications protect agricultural products, processed products, handicrafts, or other goods whose qualities and characteristics are influenced by the geographical environment as soon as possible. that is, there is a relationship or link between the product where the product originates. the area of tambakroto village sayung district of demak has a huge potential to geographical indications. potential regarding geographical indications held by tambakroto village, sayung district, demak regency this is found in geographical conditions, natural wealth, agricultural products, plantation products and cultural traditions that exist. therefore, it is appropriate if the researcher tries to explore and record the geographical indications possessed by tambakroto village, sayung subdistrict, demak regency by conducting a study. research methods the method used in this research is the socio-economic juridical method. the use of this method is related to the specifications that would be revealed by researchers in this study. the researcher in searching the research data was conducted in a socio-economic juridical starting from the primary data obtained in the field based on legislation, a socio-cultural community in the research area and the impact of the subject of economic research for the community at the research location. the specifications in this study are to explore and reveal and record local products that are on tambakroto village sayung subdistrict demak regency has the potential as a product that has geographical indications so that these products will be empowered so that they have strong competitiveness with products from other similar regions. this study regarding geographical indications was carried out at tambakroto village, sayung district, and demak regency. selected tambakroto village, sayung district, demak regency as the location of the study based on various considerations from the research team. one consideration for conducting research in tambakroto village, sayung district, demak regency is that tambakroto village, sayung district, demak regency has the potential for natural wealth, the potential for agriculture, plantations, potential fisheries and small and medium enterprises that process natural wealth. the method used in this study is purposive sampling method, which is taking samples with certain considerations that are in accordance with the criteria that have been determined and always basing themselves on information and knowledge that has been obtained or checked with specific characteristics of a population4. in retrieving data, researchers took interview techniques and literature studies. to guarantee the validity of the data obtained in this study, the collected data will be checked for truth through triangulation methods5. this triangulation method is used with the aim of comparing the same data from different sources or at different times from the same source. result and discussion tambakroto village, sayung district is the conservation area for demak district. therefore the development carried out in the area of tambakroto village, sayung district must be based on the tatak room of the demak regency. in general, tambakroto village, sayung district, demak regency can be seen in the administrative data obtained by the research team. based on the results of the study obtained data until april 2016, the administrative village of tambakroto with an area 405,7150 ha with a population reaching 2,814 or 794 households collected from 10 rws and 20 rts. based on the topographical conditions, tambakroto village at the time of 259 m above sea level. so with this condition, the majority of tambakroto village areas function as conservation land. tambakroto village is the village area of the state is, where the tambakroto village has an area bordering on other districts in the district of sayung regency demak. the boundaries of the batakroto (pad), mimbar journal, vol. 24, no. 1, page 87. 3 asfiyah, 2015, perlindungan hukum potensi indikasi geografis di kabupaten brebes guna pengembangan ekonomi masyarakat lokal, jurnal idea hukum, vol. 1, no. 2, page 113. 4 soemitro, ronny hanitijo, 1988, metodologi penelitian hukum ddan jurimetri, jakarta: ghalia indonesia, page 116. 5 nasution, 1992, metode penelitian naturalistik. bandung: tarsito, page 115; miles, matthew b dan a. michael huberman. 1992. analisis data kualitatif. terjemahan tjetjep rohendy rohidi. jakarta: ui press., page 434. m shidqon prabowo, community empowerment through optimization of geographic indication 32 village in sayung regency, demak are as follows: west side: sayung village /village, north side: loireng village /village, east side: pilangsari village /village, south side: prampelan village /village. based on the condition of the region, the tambakroto village in sayung district is very suitable for the plantation, agriculture and industrial areas. with these conditions, the business in the field of agriculture and agriculture became the main foundation as a source of community income. based on data obtained during the conduct of research activities, data can be obtained from 4 (four) a large majority of the livelihoods of residents in the village of tambakroto kecamayan sayung . the data is buruh tani as many as 6,636 residents or as much as 24.69%, building labor as many as 5,541 people or 20.61%, then landowners farmers as many as 4,856 people or 18.07% and farmers as many as 3,725 people or 13, 86%. data obtained from these data that the majority of the population in district village sayung tambakroto is as laborers, both farm laborers, and industrial workers and as landowners and only 18.07% only. complete information on population livelihood data in tambakroto will be presented in full in table 1 below. table 1. population according to job no job number of people) percentage (%) 1 landowner farmers 4.856 18,07 2 farmworkers 3.725 13,86 3 fisherman 15 0,06 4 medium / large entrepreneurs 462 1,72 5 small craftsmen / industries 193 0,72 6 industrial workers 6.636 24,69 7 construction workers 5.541 20,61 8 mining workers 16 0,06 9 plantation workers (large + small) 298 1,11 10 traders 1.693 6,30 11 transportation 246 0,92 12 civil servants (pns) 1.919 7,14 13 abri 308 1,15 14 retired (pns / abri) 453 1,69 15 dairy cow farmers 135 0,50 16 ordinary cow farmers 75 0,28 17 buffalo breeders 95 0,35 18 goat farmers 197 0,73 19 sheep breeders 15 0,06 total 26.878 100 source: monograph data of tambakroto village, sayung district, semester ii, 2018 from the data obtained, cassava and corn plants are the main crops planted by residents in the village of tambakroto, sayung district, followed by fruit trees. regarding the types of plants or types of plants that are planted as livelihoods, they will be presented in the following table 2. table 2. main plant production area no type plant area harvested area (ha) production average (ha) total 1 corn 20,50 11,90 12 100 2 cassava 340,50 35 28 135 3 sweet potatoes 35 25 24 125 4 fruits 290 30 16,50 115,40 source: monographical data of tambakroto village, sayung district, semester ii, 2018 sayung subdistrict territory tambakroto village has a dominant plantation crop, is guava plant. based on the monograph data that has been obtained, then the data obtained is only data about guava plants only, while the other plants have no empirical data. planting guava in rural areas tambakroto sayung district, as in table 3. here. 33journal of private and commercial law 3(1) (2019) 30-37 table 3. area and yield of guava no plant names not yet production / young produce no production total production 1 guava 40 260 160 260 source: monographical data of tambakroto village, sayung district, semester ii, 2018 the above table gives the data that guava plant water in the village of tambakroto, sayung district has not reached its optimal point. this can be seen in the table, where the number of guava plants those producing only 260 trees out of 260 existing guava trees. from this data, we can also get a picture of 160 guava trees no longer producing. the production of this guava plant, according to the information provided by mr. jumali, one of the community members stated that the production of guava could not be caused by the guava plant is very old, or exposed to pests and diseases so that it could not produce. in addition, the production of guava can also be caused by changes in seasons or seasons, so that many of the guava flowers or fruit fall out from the ground6. whereas the young guava plants that have not yet produced are the result of rejuvenation of even new guava plants planted by the community. therefore, if the whole plant guava contained in the village tambakroto, sayung as a whole can be fruitful in optimization, the village tambakroto subdistrict sayung may be regions with the biggest guava planting in the area of sayung, although for the district demak they last other areas that produce guava. the potential of geographical indications owned by tambakroto village, sayung district, demak regency sayung subdistrict is one of the districts in demak regency which has potential in developing geographical indications. this potential can be seen with the types of fruits that are famous in demak regency and centered on sayung subdistrict, namely guava and corn fruit. these plants can be regarded as geographical indications because they are well-known and they are guava sayung and guava sayung. the mention indicates that the guava and corn originated from the sayung district of demak regency. with the advantage in plantation, which is pretty much potential of guava plants in the area of sayung district, then the water can be used as a potential guava geographical indications. tambakroto village district territory of sayung that as a guava plant still be evenly demak regency is an area potential l guava plantation. even the tambakroto area of sayung subdistrict is an area of guava production for demak regency. from the results of this information, the research team conducted secondary data excavation, namely in the form of library data. based on the search of library data conducted by the research team, there is no single literature that can provide information that tambakroto has the potential for geographical indications. the data obtained during the research only stated that the plants that mostly grow in tambakroto are guava plants. the geographical indication potential in the form of guava is supported by the fact on the ground that the entire area in the sayung district has guava trees. the existence of guava trees in each of this village is supported by statements from each community leader in each village. guava is the main cash crop. the number of guava plants in tambakroto is because the area is very suitable for guava plants. the dominant safe plant in tambakroto in the form of guava plant and corn is inseparable from the condition of the area from the tambakroto in the district of sayung in general, which in the past was a community-owned plantation area in the form of guava and corn. the current time development, in which the tambakroto region has transformed into a fairly rapid residential area along with the existence of factories and small housing estates, so many guava and j agung plantations have changed function to become residential housing areas. the change in land in this class will have an impact on the reduced potential possessed by tambakroto village in the field of geographical indication. the dominant threat in the prampelan urban area is guava and corn. sub-village committees pilangsari, have specific characteristics that are different from other villages in the district sayung. a distinctive feature possessed by the pilangsari village is the potential for natural and cultural potential to improve the welfare of its people. these natural potentials are then developed and become assets to improve the welfare of the community in addition to plantation crops in the form of guava and corn. sub-village committees pilangsari already developed a natural potential possessed by processing natural products owned into products that have added value such as molten metal processing of wood tuber, the hood of food manufacture of signs, etc. the development of the pilangsari village has been set based on existing natural conditions. besides that, the community here also develops mango trees to increase people’s income. the utilization of natural potential to improve community 6 has an interview, dated 18 april 2018 m shidqon prabowo, community empowerment through optimization of geographic indication 34 welfare has been carried out for a long time. this regional election is different from other villages, so the community has long been optimizing the existing natural potential, namely kreo cave as a tourism asset that can improve the welfare of the community. loireng village subdistrict of sayung still has wider guava and corn plants than other villages. the vast extent of guava and corn plantations is due to the slow development of the village so that not many lands owned by residents change function. the slowness in the development of the loireng village is due to the fact that the area is far from factories and small housing estates so that the village did not experience very significant changes as to what happened in the villages of tambakroto village and its surroundings. a large number of guava and corn fruit plants in the loireng village. had difficulties n in selling the crop more than guava, if the harvest comes the guava produced numerous and abundant, but the fruit is not durable with corn so that if it is not sold then more of their own consumption than will a lot of rot and loss. guava originating from the sayung subdistrict area is not as big as guava semarang but guava sayung is sweet and very legit. water apple sayung has an advantage that is not inferior to guava semarang. the guava plant can last a long time when compared to the semarang guava plant. besides guava plants sayung also produces a lot of fruit when compared to guava semarang. therefore, it is necessary to preserve and develop guava which ultimately makes the guava in the sayung district able to become a superior product in enhancing the welfare of the community. in addition, this guava is expected to be a product of the geographical indications owned by sayung district. with a variety of potential geographical indications to increase economic growth in the community, the government should provide protection, with the intention of providing a way to avoid the use of geographical indications in any way, by giving signs or displaying items that can indicate or portray the goods being traded as originating from geographical area that is not from the actual place of origin (ramli & sumiyati, 2015: 35). the protection of geographical indications has a variety of benefits, both for producers and for consumers. for producers, the benefits of geographical indications from the economic side include: (1) preventing the transfer of ownership rights to the use of product distinctiveness from the local community to other parties, (2) maximizing value-added products for local communities, (3) providing protection from product counterfeiting , (4) increase marketing typical products, (5) increasing the supply of employment, (6) supporting the development of agrotourism, (7) ensuring business sustainability, (8) strengthening regional economy, (9) accelerating regional development, (10) improving community welfare. in terms of ecology, geographical indications provide benefits including (1) maintaining and preserving nature, (2) enhancing regional reputation, (3) maintaining the sustainability of plasma nullah. whereas from the socio-cultural side, geographical indications provide benefits including (1) strengthening relations between planters, (2) improving regional dynamics, (3) preserving customs, knowledge and local wisdom of the community. if viewed from a legal aspect, the geographical indication provides benefits including (1) providing quality assurance in accordance with consumer expectations of geographical indication products, (2) providing legal guarantees to consumers that protection against geographical indications is recognized and applies internationally. geographical indication as part of intellectual property has economic potential to provide added value to the region and will significantly impact the increase in product selling prices who obtain geographical indication protection7. geographical indications can protect and utilize natural wealth for the welfare of local communities. because in geographical indications it contains economic rights for local people. economic rights are the right to manage and utilizing geographical indications which has a purpose for the welfare of the local community8. seeing the benefits that can be obtained from the geographical indication in an area, it is expected that the regions in indonesia can take advantage of the advantages of the geographical indications they have. as one of the districts in demak regency that has the potential for geographical indications, it is proper that the potential in sayung district in the form of guava is worked out seriously, both physically and in terms of legal protection. to be able to take advantage of their profit potential of a geographical indication, then there are some important things that must be prepared, namely: (1) an understanding on the protection of geographical indications include benefits, processes, requirements, and challenges. this is done by the government, governors and regents/mayors to all related actors, (2) policies and consistency of government support, governors, regents/ mayors to provide protection for geographical indications for their regional specialty products, (3) prepare groups of officers and personnel experts to a) identify a typical product, b) recognize market inquiry perms for a typical product, c) recognize the causes of product distinctiveness, d) develop product specificity techniques, 7 ayup suran ningsih, 2019, indikasi geografis atas carica dieng sebagai strategi penguatan ekonomi daerah, suara hukum journal, vol. 1, no. 1, page 116. 8 yuli prasetyo adhi, etc., 2019, membangun kesejahteraan masyarakat lokal melalui perlindungan indikasi geografis, meta-yuridis journal, vol. 2., no.1, page 1. 35journal of private and commercial law 3(1) (2019) 30-37 e) determine the boundaries of typical product producing areas, f ) increase farmers’ knowledge to guarantee product distinctiveness, g) grow and improve farmer institutions to be able to manage products typical, h) produce a typical product specification book and boundary book, i) promote and market geographical indication products, j) protect geographical indication products and protect geographical indications. (4) increase farmers’ knowledge, as well as grow and strengthen farmer groups by working groups and related work units, (5) request geographical indication protection to the ministry of law and human rights, (6) promote and market geographical indication protection and geographical indication products by owners geographical indications are assisted by related work units and officers and experts, (7) protect the geographical indication protection and geographical indication products by geographical indication owners assisted by related work units and groups of officers and experts. the need to develop and protect the geographical potential potential is to: (1) maintain a product-specific identity; (2) is one of the marketing strategies in global competition; (3) protect the specific identity of the product from imitation. the strategy for developing and protecting bro can be done by : (1) strengthening the ikm / ukm9 so that a cluster is formed ; (2) confirms the specific identity of the product ; (3) agree on protection whether owned by the regional government or cluster; (4) seek the existence of a trademark/label that shows the community/cluster; (5) attach the pig label if it has been obtained. policy in opportunizing geographical indications five factors that are the strengths for the development of guava agribusiness are: (a) the availability of land supported by comparative advantage of agroecological conditions, (b) the superior nature of guava for regional and national markets, (c) the availability of human resources and community support superior guava, (d) facilities / infrastructure and supporting institutions whose commitment is high to guava forestry and its processing industry, (e) very large market potential. some of the weaknesses that stand out are: (a) the gap results of research with commercial application, (b) position “lembaga marketing” is very dominant, (c) has not been established linkages unequal partnership between principals of community forests cashew water distribution system guava , (d) marketed products are still limited to fresh fruit, (e) the high component of transportation costs in the structure of production costs. some of the opportunities that can be identified are: (a) domestic (local, regional and national) markets are very open, (b) diversification of potential guava processed products, (c) the need to develop linkages between production clusters and distribution clusters in guava institutions integrated water, (d) the need to empower the institutional production system. threats are taken seriously are (a) the constraints of distribution/trade guava system, (b) competition with products imported fruits, especially fruits guava, (c) the competition with other commodities in land use, (d) barriers to the guava processing industry system. regarding the policies carried out by the village of tambakroto, sayung subdistrict, in developing potential geographical indications in the tambakroto village area, sayung subdistrict, even though they have been slightly mentioned in writing in the vision and mission, but the policy has not fully led to the concrete development of potential geographical indications. in the region tambakroto village sayung district. tambakroto village, sayung subdistrict has not taken a more serious step in developing and optimizing the potential of geographical indications in the region tambakroto village sayung subdistrict itself because previously understanding of the potential of geographical indications was not yet fully understood by tambakroto village, sayung subdistrict community. this is the biggest obstacle to the development of these geographical indications. based on these provisions, the policy in the village of tambakroto, sayung district can be made with the intention of facilitating the registration of geographical indication products and supporting their registration. the policy adopted in optimizing geographical indications is by building facilities and infrastructure needed by the community and accommodating the aspirations that develop in the community. aspirations and proposals from the developing community are proposals to collaborate with investors and the government in demak district. based on the results of the study, it was obtained information that one form of cooperation undertaken by the community in sayung district was to plant 5 ha of monthong guava in the prampelan village. this collaboration was carried out between the government of demak district and the government of semarang city. cooperation between the government district of semarang demak with his government has been implemented since 2003. in addition to these policies, the other policies pursued by the government of the districts demak, especially by the department of agriculture the districts demak is the rejuvenation of the trees that have guava old by replacing it with new guava seeds and optimizing the existing guava plants. besides that, the 9 indonesia term for small entreprises m shidqon prabowo, community empowerment through optimization of geographic indication 36 village in the sayung district also has its own program in an effort to improve the welfare of the community by looking at excellence from each village area. especially for prampelan villages, besides planting guava seeds as well as encourage the planting of other fruit trees such as mangoes and guava as secondary plants. crop growers of mango and guava to anticipate when the water cashew crops they have not d a pat fruitful optimally, therefore, can not provide revenue as expected. with this replacement plant, it is expected that the community will still be able to obtain income from their plantation. in addition to mango plants and water herbs, the prampelan village also developed longan plants as secondary plants besides guava with the same purpose. while the village pilangsari further optimizes the potential of entrepreneurs in their area existing frame, which will be developed. meanwhile, the tambakroto urban village is running a regional structuring program with the narrower area of fruit trees in its area. regarding the policy in accordance with the commitment of sayung subdistrict that the vision of sayung subdistrict is to rely on agriculture and can also be seen in the sayung subdistrict mission where efforts to preserve the environment and sayung subdistrict strive to provide superior types of seeds, empower the community for technical/correct and good way of planting. the policy taken in efforts to empower the community through optimization of geographical indications was realized from the efforts of sayung subdistrict to facilitate the community by providing various kinds of superior seeds and not only that but the sayung subdistrict also tried to do empowerment through related institutions to empower the community for technical or ways good immersion. the sayung district policy has not yet reached the level of making the public understand the potential geographical indications possessed by gungungpati subdistrict itself but merely providing seeds and empowering them by means of good planting. the existing seeds are not synchronized with the potential geographical indications that have been owned by the sayung subdistrict so that this will kill the potential. the seeds that are not necessarily able to be planted in the sayung subdistrict area because they have to be adjusted according to the structure of the land from sayung subdistrict whether it is suitable or not with the seeds. conclusion the geographical indication potential that has been owned by the village of tambakroto, sayung subdistrict can now be said to be almost extinct. the near extinction of this potential geographical indication is caused by various factors. one factor is that the community no longer maintains and develops these potential indications for various reasons, especially economic factors. besides that, the change in land function also triggers the near extinction of potential geographical indications in the tambakroto village area of sayung district. the policy taken in an effort to improve the welfare of the community is by cooperating with investors or third parties who have attention to the existence of potential geographical indications in the village of tambakroto, sayung district. in addition to cooperating in developing potential geographical indications, it also supports a rejuvenation policy for plants that have the potential of geographical indications such as guava. another policy that can be taken is to carry out diversification of plants, especially fruit plants such as guava plants, lo, and mango. this policy of diversifying fruit trees is in accordance with the policies of the village of tambakroto, sayung district government who tried to make the tambakroto village in sayung district as a conservation area, especially the fruit gun plant to improve the welfare of the community. recommendations : (1) the need to carry out accurate and comprehensive data collection on potential geographical indications in the village of tambakroto, sayung district ; (2) an accurate database is made on all potential indications in the village of tambakroto, sayung subdistrict ; (3) the need for consistent and continuous policies in the development of geographical indications in the tambakroto village of sayung district in particular the demak district in general. bibliography books: ashsofa, burhan, 2001, metode penelitian hukum, jakarta: rineka cipta fauzan, achmad, 2004, perlindungan hukum hak kekayaan intelektual, bandung: yrama widya lindsey, tim., dkk, 2006, hak kekayaan intelektual (suatu pengantar), bandung: alumni miru, ahmadi, 2005, hukum merek: cara mudah mempelajari undang-undang merek, jakarta: rajagrafindo persada miles, matthew b and a. michael huberman, 1992, analisis data kualitatif. translation by tjetjep rohendy rohidi, jakarta: ui press. nasution, 1992, metode penelitian naturalistik. bandung: tarsito purwaningsih, endang, 2005, perkembangan hukum intellectual property rights, bogor : ghalia indonesia purba, achmad zen umar, 2005, hak kekayaan intelektual pasca trips, bandung: alumni 37journal of private and commercial law 3(1) (2019) 30-37 saidin, ok., 1995, aspek hukum hak kekayaan intelektual, jakarta: rajagrafindo persada sjahputra, iman, 2007, hak atas kekayaan intelektual (suatu pengantar), jakarta: harvindo soemitro, ronny hanitijo, 1988, metodologi penelitian hukum ddan jurimetri, jakarta: ghalia indonesia usman, rachmadi, 2003, hukum hak atas kekayaan intelektual perlindungan dan dimensi hukumnya di indonesia, bandung: alumni journal : adhi, y. p., and d. sulistianingsih and v.n.s.putri, 2019, membangun kesejahteraan masyarakat lokal melalui perlindungan indikasi geografis, meta-yuridis journal, 2(1). asfiyah, siti, 2015, perlindungan hukum potensi indikasi geografis di kabupaten brebes guna pengembangan ekonomi masyarakat lokal, jurnal idea hukum, 1(2): 111-124. deselnicu, et al., 2013, a meta-analysis geographical indication food valuation studies: what drives the premium for origin-based labels?, journal of agricultural and resource economics, 38 (2): 204–219. ningsih, a. s., waspiah, w., & salsabilla, s., 2019, indikasi geografis atas carica dieng sebagai strategi penguatan ekonomi daerah, suara hukum journal, 1(1): 105-120. ramli, teti a., and yeti sumiyati, 2009, model integrasi lembaga perwakilan untuk pendaftaran sebagai alternatif pendaftaran untuk memperoleh perlindungan hukum indikasi geografis ubi cilembu, jurnai hukum dan pembangunan, 39(1): 14-37. ramli, teti a., and yeti sumiyati, 2015, penyuluhan tentang perlindungan hukum indikasi geografis beras pandanwangi cianjur jawa barat sebagai wujud sumbangsih unisba dalam meningkatkan indeks pembangunan manusia (lpm), dharmakarya: jurnal aplikasi ipteks untuk masyarakat, 4(1): 27 – 36 sumiyati, yeti, ect., 2008, kajian yuridis sosiologis mengenai indikasi geografis sebagai sumber pendapatan asli daerah (pad), mimbar journal, 24(1): 79-88. yessiningrum, winda risna, 2015, legal protection on geographical indication as a part of intellectual protection rights, jurnal ius, 3(7): 42-53. _goback 125 journal of private and commercial law volume 2 no. 2, november 2018 legal certification in electronic credit agreement dita perwitasari surabaya state university ditaperwitasari@unesa.ac.id abstract today's business development is very advanced. no longer developing only business that leads conventionally but also leads to technology-based business. the business of trade and services that lead to this technology also eventually also requires assistance from the financial services sector in the context of developing its business. financial technology or better known as fintech is innovation in the field of financial services. fintech is better known in recent years in the business world. this happens because technology evolves with the times. the development and evolution of this technology can make individuals today become easier in doing business. one service from fintech that is currently popular is often also called peer-to-peer (p2p) lending, or a company that brings lenders with loan seekers in one container, which financing or credit agreement is carried out with an online system and with the form of a standard agreement electronically. the financing or credit agreement is signed with an electronic signature and no stamp. this will cause problems if there is a default when the loan payment cannot be paid. what legal certainty can be given to creditors and debtors in the loan agreement. the research method used in this paper is a normative juridical legal research method. where normative legal research is carried out by examining legislation and other literary materials. keywords: business, technology, agreement on lending and borrowing money, peer to peer lending introduction technology has become a familiar thing heard by us today. technology can help a person or group work more efficiently, easily and quickly. technological advancements make any activity easier and faster, including in terms of economic activities. however, it does not rule out the possibility that these fast-paced activities can have an impact on the perpetrators. as from legal certainty if there is a default on the parties or one of their parties. financial technology or what is called fintech, which stands for finacial technology, is a term that we can often hear today. as one of the facilities to carry dita perwitasari, legal certification…., pp. 125 133 out technology-based economic activities. if further interpreted, fintech is an innovation that develops in the field of financial services in order to carry out these economic activities. it can also be said that it is currently developing and making one's life seem easier, especially in the field of financial services. in the present time the development of information technology is very rapid and has been realized. dissemination of information has exceeded regional boundaries and time differences have no longer been an obstacle for humans to communicate with each other. unlimited advances and developments in multimedia telecommunications and increased cross-border speeds, now there is a need for law in the use of the relevant information. if without law, information technology will be used without the widest limits without the existence of rules that limit and maintain. even the use of this technology has driven business growth very rapidly, this is caused by various information that can be presented through long-distance relationships easily can be obtained. they or those who wish to enter into transactions do not have to meet directly as in traditional economic activities, only through computer equipment and telecommunications. therefore we need law in the use of information technology, with the existence of laws and regulations the parties or people who will use technology no longer immediately use unlimited and rule-free technology. the concept of fintech is an adaptation of technological developments combined with the financial or financial fields so that it can present a more efficient, safe and modern process of financial transactions. basic forms of fintech include payments (digital wallets, p2p payments), investments (equity crowdfunding, peer to peer lending), crowdfunding, micro-loans, credit facilities), insurance (risk management), cross-process (big data analysis , predicitive modeling), infrastructure (security). 1 the more established financial companies in the field of information technology-based money lending services or so-called peer-to-peer or p2p lending, the more they get a place and attention from the public and of course also 1 nofie iman, financial technology andfinancial institutions, gathering mitra linkage bank syariah mandiri, yogyakarta, 2016, page 7. 127 journal of private and commercial law volume 2 no. 2, november 2018 from regulators, the financial services authority (ojk) and bank indonesia. this is stated in the financial services authority regulation number 77 / pojk.01 / 2016 concerning information technology based lending and borrowing services. this service is a way out and a new innovation in the financial sector where there are many indonesian people who have not been touched by banking services (unbanked people), but these communities have used and are familiar with technology. fintech service based on p2p lending is one solution to the limited access to financial services in the country and to realize financial inclusion through synergy with financial institutions and other technology companies. 2 research methods the research method used in writing this journal is a normative juridical legal research method. normative legal research is carried out by examining laws and regulations, regulatory regulations and other literary materials. this normative research uses a statute approach and regulations from the regulator, namely the financial services authority and the conceptual approach. the data used is secondary data which is legal material. legal material is information or correct information about the object of research consisting of primary legal material, secondary legal material, and tertiary legal material. 3 even this normative juridical study is carried out by studying books, reading materials and legislation that support and are related to legal review of the rules deemed to be in accordance with written legal research. this normative research is carried out on theoretical matters of legal principles, legal basis, and legal concepts. 4 results and discussion p2p (peer to peer) lending is a technology platform that brings together digital borrowers (smes) who need venture capital with lenders who expect competitive returns. 5 p2p lending is the implementation of financial services to 2 http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud. baru.inklusi.keuangan, akses 17/11/2018, time 16.47 wib. 3 soerjono soekanto & sri mamuji, normative legal research. jakarta: pt. raja grafindo persada, 2012. 4 a. k. muhammad, law and legal research. bandung: pt. citra aditya bakti, 2004. 5 http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud. baru.inklusi.keuangan, akses 17/11/2018, time 16.50 wib. http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud.baru.inklusi.keuangan http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud.baru.inklusi.keuangan http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud.baru.inklusi.keuangan http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud.baru.inklusi.keuangan dita perwitasari, legal certification…., pp. 125 133 bring lenders and loan recipients together in an agreement to borrow and borrow money through an electronic system using internet networks and of course information technology. this p2p lending service is the organizer of indonesian legal entities that provide, manage and operate information technology-based money lending services. loan recipients (borrowers) are people and / or legal entities that have debts due to information technology based lending and borrowing services agreements. lenders (investors) are people, legal entities, and / or business entities that have receivables because of information technologybased lending and borrowing services agreements. the regulations regarding p2p lending have been mentioned previously as regulated in pojk number 77 / pojk.01 / 2016. whereas in bank indonesia regulation no.19 / 12 / pbi / 2017 concerning the implementation of financial technology (pbi tekfin), the definition used by bi concerning fintech has been confirmed to its categories and criteria. definition of financial / fintech technology article 1: “financial technology is the use of technology in the financial system that produces new products, services, technology and / or business models and can have an impact on monetary stability, financial system stability, and / or efficiency, smoothness, security and reliability of the payment system”. financial / fintech technology implementation category. article 3 paragraph 1: (1) payment system; (2) market support; (3) investment management and risk management; (4) loans, financing, and provision of capital; and (5) other financial services. financial / fintech technology criteria. article 3 paragraph 2: (1) innovative; (2) can have an impact on existing products, services, technology and / or financial business models; (3) can provide benefits to the community; (4) can be used widely; and (5) other criteria stipulated by bank indonesia. on pojk no.77 / pojk.01 / 2016 concerning information technology based lending and borrowing services. information technology based lending 129 journal of private and commercial law volume 2 no. 2, november 2018 and borrowing service is the implementation of financial services to bring lenders and loan recipients together in order to enter into a loan and loan agreement in rupiah directly through an electronic system using the internet network. so it can be said that the parties involved in p2p lending-based fintech services are the provision of information technology-based lending services (start up or platform), lenders, and loan recipients. the mechanism of the fintech operator system will bring together the borrower and the party giving the loan. whereas in fintech services based on p2p lending is a marketplace for online or electronic money-lending activities. p2p lending is also more in demand by the community because it can accommodate unsecure loans because they are provided without collateral. p2p lending can bridge credit worthy smes to become bankable by providing loans without collateral. 6 of course this is different from the nature of loans from banks that apply the 5c principle (character, capacity, capital, collateral, condition) as a reference for eligibility. peer to peer lending that is known in society today or often in social languages is referred to as "online debt" is part of crowdfunding which has been known in america and europe since 2006. 7 the platform of p2p lending is now commonly accessed by the public, both by loan seekers and the people who want to invest to make loans. people can access p2p lending through market place lending as a means of meeting lenders and loan recipients (online). however, in determining the feasibility of loans for the p2p lending model to date there is no clear standard of effect. so this can open up the possibility for the escape of a risky loan, which is a risk of default, where the borrower or borrower cannot pay off the debt, which in turn will harm the community or other borrowers and lender investors. 6 http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud. baru.inklusi.keuangan, akses 17/11/2018, time 17.58 wib. 7 http://id.beritasatu.com/home/perlindungan-konsumen-peer-to-peer-lending/178314,akses 17/11/2018. atime 18.01 wib. http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud.baru.inklusi.keuangan http://nasional.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wujud.baru.inklusi.keuangan http://id.beritasatu.com/home/perlindungan-konsumen-peer-to-peer-lending/178314,akses dita perwitasari, legal certification…., pp. 125 133 so with the changing era, from the conventional era to the digital era, which will certainly affect the legal design that supports the business needs of the community. legal certainty if we talk about the legal certainty of p2p lending, of course we will talk and discuss legal certainty in general. whereas according to gustav radbruch there are three basic values (grundwerten), namely legal certainty (rechtssicherheit), benefit (zweckmassigkeit) and justice (gerechtigkeit). 8 to achieve legal certainty, namely so that there is certainty about what is allowed and what should not be done by members of the community. 9 legal certainty is actually an idea that cannot be formally defined grammatically. the language used in formulating the provisions in the law (the law) cannot be formulated rigidly. because language has its own limitations first. besides that, the texts in the law (law) actually has certain intents which of course are difficult to interpret in a standard manner. 10 legal certainty is the protection of the judiciary against arbitrary actions, which means that someone will be able to obtain something expected in certain circumstances. 11 it is expected by the community that a legal certainty is the main goal so that the community can be more orderly in social life. justice is an important thing and must be considered in every implementation and law enforcement. law is not synonymous with justice. the law is general, binding on everyone, generalizing. 12 legal certainty is basically an implementation of the law in accordance with what is and develops in the community, so that the community can ensure that the law can be implemented properly. finally it relates to one another that, legal 8 sudikno mertokusumo dan pitlo, chapters on the discovery of law the second print,, citra aditya bakti, bandung, 2013, page 1. 9 wirjono prodjodikoro, violating acts seen from the angle of civil law, mandar maju, bandung, 2000, page 11. 10 e. fernando m. manullang, legism, legal legality and certainty of law, kencana prenamedia group, jakarta, 2016, page 179. 11 sudikno mertokusumo, know the law of the second preface, liberty, yogyakarta, page.160. 12 peter mahmud marzuki, introduction to law sciences, kencana predana media group, jakarta, 2008, page 161. 131 journal of private and commercial law volume 2 no. 2, november 2018 certainty is related to law enforcement. without a legal certainty a person will not know what he has done, causing anxiety towards the community concerned. normative legal certainty is when a regulation is made and promulgated in a certain way because it regulates clearly and logically. obviously in the sense that it does not cause doubt (multi-interpretation) and is logical in the sense that it becomes a norm system with other norms so that it does not clash or cause norm conflicts. the norm conflict resulting from rule uncertainty can be in the form of norm contestation, norm reduction or norm distortion. 13 legal certainty can be seen from two angles, namely certainty in the law itself and certainty due to law. certainty in law means that every legal norm must be formulated with the sentences in it not containing different interpretations. the result will bring obedient behavior or non-compliance with the law. and when faced with the substance of legal norms that regulate it, sometimes with the substance of legal norms that regulate it, sometimes it is unclear or imperfect so different interpretations arise. this will certainly result in legal uncertainty. while certainty because the law meant that because the law itself was a certainty. 14 furthermore, if we describe the concrete events that occur, namely by the existence of a p2p lending agreement, where there is a lender, investor and borrower, a borrower of money that enters his party, meaning that the parties have agreed on the agreement that was held. this can mean that legal certainty has been fulfilled, but in terms of the platform that provides meeting facilities in this virtual world, whether it is the establishment of a business or the legalization of business, as well as other regulations that discuss this there is no higher legal umbrella. up to now, p2p lending has only taken place in the regulatory regulations, namely bank indonesia regulations and the financial services authority regulations. even this is stated in article 18 paragraph (1) of the uuite that "electronic transactions that are poured into electronic contracts bind the parties", which means that if one of the parties to the contract cannot fulfill the agreement that occurs in an electronic transaction which results in a loss, the party who is harmed 13 van apeldoorn (eds), introduction to law, translation of oetarid sadino, pradnya paramita, jakarta, 1990, page 109. 14 ibid, page 111. dita perwitasari, legal certification…., pp. 125 133 due to the electronic transaction has the right to file a compensation claim. the words "all agreements made legally apply as laws for those who make them" as article 1338 of the civil code above, contain the intention that book iii of the civil code adheres to the principle of freedom of contract, meaning that: "any person may enter into any agreement, even though he has not or not regulated in law. although this principle applies, freedom of contract is limited by three things, namely not prohibited by law, not contrary to morality and public order ". 15 it can also be interpreted that electronic transactions carried out in the context of borrowing and borrowing information technology-based money are legal and have legal certainty. where the agreement made is valid, with the fulfillment of article 1320 of the civil code, where it states the legal terms of the agreement, both subjective conditions (skills and agreements) and objective conditions (certain causes and reasons that are lawful). conclusion in terms of legal certainty for credit agreements electronically it can be said to be fulfilled due to the fulfillment of the terms of the agreement contained in article 1320 of the civil code, then in article 1338 of the civil code "all agreements made legally apply as laws for those who make them", followed by arrangements the law regarding electronic transactions in indonesia, especially in the scope of private law based on the provisions in book iii of the civil code concerning engagement which adheres to an open principle or contractual freedom, which can be interpreted that the parties are given the freedom to make agreements as long as there is an agreement, capable of acting in the law, a certain matter and a reason that is lawful. the agreement itself occurs when both parties reach an agreement on the main things agreed upon. bibliography books and other sources faith, profession, 2016, financial technology and financial institutions, yogyakarta: gathering of linkage partners at bank syariah mandiri 15 abdulkadir muhammad, engagement law, citra aditya bakti, bandung, 2003, hlm. 84. 133 journal of private and commercial law volume 2 no. 2, november 2018 e. fernando m. manullang, 2016, legism, legal legality and certainty of law, jakarta: kencana prenamedia group sukanto, soerjono & sri mamuji, 2012, normative legal research. jakarta: pt. raja grafindo persada marzuki, peter mahmud, 2008, introduction to law sciences, jakarta: kencana predana media group mertokusumo, sudikno and pitlo, 2013, chapters on the discovery of law the second print, bandung: citra aditya bakti, bandung mertokusumo, sudikno, know the law of the second preface, yogyakarta: liberty muhammad, abdulkadir, 2003, engagement law, bandung: citra aditya bakti muhammad, a.k., 2004, law and legal research, bandung: pt. citra aditya bakti prodjodikoro, wirjono, 2000, violating acts seen from the angle of civil law, bandung: mandar maju van apeldoorn (eds), 1990, introduction to law, translation of oetarid sadino, jakarta: pradnya paramita http://national.kompas.com/read/2016/11/26/060000226/.p2p.lending.sebagai.wuj ud.baru.inklusi.keuangan, http://beritasatu.com/home/perlindungan-konsumen-peer-to-peer-lending/178314. regulations code of civil law electronic information and transaction law bank indonesia regulation no.19 / 12 / pbi / 2017 concerning the implementation of financial technology (pbi tekfin) pojk number 77 of 2016 29 journal of private and commercial law volume 1 no. 1, november 2017 analisis putusan pailit nomor: 02/pailit/2009/pn.niaga.smg terhadap undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang fransman ricardo tamba jaksa di cabang kejaksaan negeri tana toraja di rantepao email: fransmantamba@gmail.com abstrak perseroan terbatas memiliki hak melakukan perbuatan hukum didalam pengadilan. salah satunya adalah mengajuakn permohonan pailit terhadap dirinya sendiri kepada pengadilan niaga untuk masalah insolvensi dan kesulitan kondisi keuangan. undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang memberikan solusi. terbukti dengan adanya putusan pailit nomor : 02/pailit/2009/pn.niaga.smg. peneliti membahas mengenai dasar permohonan pailit yang diajukan oleh pemohon pailit dan pertimbangan yang diberikan oleh majelis hakim dalam memeriksa dan memutus perkara pailit nomor : 02/pailit/2009/pn.niaga.smg. peneliti menggunakan metode penelitian kualitatif dengan metode yuridis normatif dan metode pendekatan analitis (analytical approach). teknik pengumpulan data yang digunakan, yaitu studi dokumen dan wawancara. sumber data yang digunakan adalah data primer dan data sekunder. keabsahan data yang dipergunakan dalam penelitian ini menggunakan triangulasi data yang memanfaatkan penggunaan sumber. hakim yang memeriksa dan mengadili perkara pailit nomor : 02/pailit/2009/pn.niaga.smg menerima dan mengabulkan permohonan pemohon pailit berdasarkan pasal 2 ayat (1) dan pasal 8 ayat (4) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. namun, undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang tidak memperinci masalah syarat perimbangan anatar aktiva dan pasiva, keadaan insolvensi dan kesulitan kondisi keuangan yang membuat dapat dimintakan permohonan pailit, serta tidak memperinci alasan dan mekanisme permohonan pailit terhadap dirinya sendiri, permohonan pailit oleh kreditor, dan permohonan oleh pihak ke tiga. kata kunci: pailit, pengadilan, permohonan, putusan. mailto:fransmantamba@gmail.com 30 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 pendahuluan perseroan terbatas memiliki hak dan kewajiban layaknya orang-perorangan yang dapat melakukan perbuatan hukum sendiri, baik didalam maupun diluar pengadilan. bentuk perbuatan hukum yang dapat dilakukan perseroan terbatas di dalam pengadilan adalah mengajukan permohonan pailit kepada pengadilan niaga guna menyelesaikan masalah insolvensi (insolvency) yang dihadapi oleh perseroan terbatas. insolvensi (insolvency) merupakan keadaan dimana perseroan terbatas sebagai debitor tidak lagi memiliki kemampuan untuk menjalankan kewajibannya pada kreditor. insolvensi (insolvency) merupakan kejadian yang terjadi sebagai akibat perseroan terbatas mengalami kesulitan kondisi keuangan (financial distrees). kesulitan kondisi keuangan (financial distrees) merupakan hasil dari tindakan yang diputuskan untuk diambil oleh perseroan terbatas sebelumnya, sehingga menimbulkan ketidakpastian dan mengarah pada suatu hal yang bersifat negatif, yaitu kebangkrutan. untuk mengatasi masalah kebangkrutanya kepada kreditor dan pihak ketiga, undang-undang memberikan solusi untuk menggunakan undang-undang no. 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, yang mana kepailitan adalah sita umum atas semua kekayaan debitor pailit yang pengurusan dan pemberesannya dilakukan oleh kurator di bawah pengawasan hakim pengawas. selain kepailitan, undang-undang memberikan solusi untuk menggunakan upaya permohonan penundaan kewajiban pembayaran utang (surseance van betaling) yang disingkat dengan pkpu. putusan pailit nomor : 02/pailit/2009/pn.niaga.smg, yang menyatakan bahwa debitor sebagai pihak yang mengajukan sendiri permohonan pailit guna menyelesaikan masalah insolvensi (insolvency) yang sedang dihadapinya dengan para kreditor. putusan pailit nomor : 02/pailit/2009/pn.niaga.smg juga memberikan gambaran mengenai hal apa yang didasarkan oleh debitor sebagai pemohon dalam mengajukan permohonan pailit terhadap dirinya sendiri dan juga mengenai dasar pertimbangan yang diberikan oleh majelis hakim dalam memutus 31 journal of private and commercial law volume 1 no. 1, november 2017 permohonan pailit terhadap debitor sebagai pemohon pailit, serta akibat hukum yang timbul bagi debitor guna memecahkan masalah insolvensi (insolvency) yang dihadapinya. selain itu, dalam putusan tersebut tidak ada upaya permohonan penundaan kewajiban pembayaran utang (surseance van betaling) yang disingkat dengan pkpu. berdasarkan paparan di atas maka perlu untuk dianalisis apakah dasar permohonan pailit yang diajukan oleh pemohon pailit dalam putusan pailit nomor : 02/pailit/2009/pn.niaga.smg telah sesuai dengan undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. selain itu apakah pertimbangan yang diberikan oleh majelis hakim dalam putusan pailit nomor : 02/pailit/2009/pn.niaga.smg telah sesuai dengan undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. metode penelitian penelitian ini menggunakan jenis penelitian kualitatif. moleong berpendapat metode penelitian kualitatif berusaha menjelaskan suatu gejala dengan data deskriptif yang wujudnya adalah kata-kata tertulis maupun lisan dari suatu objek yang diteliti (moleong 2013:4). peneliti menggunakan penelitian yuridis normatif dengan metode pendekatan analitis (analytical approach) yang bertujuan untuk menemukan kebenaran berdasarkan logika keilmuan hukum dari segi normatifnya. menurut johnny ibrahim pendekatan analitis (analytical apprroach) merupakan pendekatan yang berusaha menemukan makna dari suatu undangundang yang dilihat dalam praktik dan putusan-putusan hakim. hal tersebut dilakukan dengan dua metode pengujian, yaitu pengujian dalam hal memperoleh makna baru dalam undang-undang dan menguji istilah baru tersebut dalam praktik melalui analisi terhadap putusan hakim (ibrahim 2008-310). lokasi yang dijadikan tempat penelitian oleh peneliti yaitu di pengadilan niaga semarang, kantor advokat dan legal konsultan wardana and partners, perpustakaan pusat universitas negeri semarang, perpustakaan fakultas hukum 32 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 universitas negeri semarang, serta media elektronik dengan menggunakan media internet sebagai pendukungnya. fokus masalah dalam penelitian ini adalah dasar permohonan pailit yang diajukan oleh pemohon pailit dalam putusan pailit nomor : 02/pailit/2009/pn.niaga.smg telah sesuai dengan undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang dan pertimbangan yang diberikan oleh majelis hakim dalam putusan pailit nomor : 02/pailit/2009/pn.niaga.smg telah sesuai dengan undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. untuk mendukung proses penelitian yang dilakukan oleh peneliti, sumber data yang digunakan peneliti dalam melakukan penelitian ini, yaitu data primer dan data sekunder. sumber bahan hukum primer ini berupa putusan pailit nomor: 02/pailit/2009/pn.niaga.smg, catatan-catatan resmi atau risalah terkait putusan pailit nomor: 02/pailit/2009/pn.niaga.smg, baik yang ada di pengadilan niaga semarang maupun yang ada di kantor advokat dan legal konsultan wardana and partners, undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, undang-undang nomor 40 tahun 2007 tentang perseroan terbatas, undang-undang nomor 13 tahun 2003 tentang ketenagakerjaan. sedangkan data sekunder merupakan data berupa hasil wawancara dan publikasi tentang hukum yang bukan merupakan dokumen resmi berupa buku-buku yang berkaitan dengan hukum kepailitan, skripsi yang berkaitan dengan hukum kepailitan, tesis yang berkaitan dengan hukum kepailitan, desertasi yang berkaitan dengan hukum kepailitan dan jurnal-jurnal yang berkaitan dengan hukum kepailitan. selain itu kamus-kamus hukum dan komentar-komentar atas putusan pengadilan juga merupakan bagian dari data sekunder yang digunakan oleh peneliti. data sekunder itu merupakan dukungan data yang diperoleh langsung dari responden prisma w. sasmita, sh., mm., m.hum. merupakan advokat yang mewakili pt. uniqwood karya sebagai pemohon pailit dalam putusan pailit nomor: 02/pailit/2009/pn.niaga.smg dan arief setiawan, sh., mh. merupakan rekanan dari prisma w. sasmita, sh., mm., m.hum, sekaligus kuasa dari pt. uniqwood karya setelah adanya putusan pailit nomor: 02/pailit/2009/pn.niaga.smg. sedangkan informan adalah dr. ifa 33 journal of private and commercial law volume 1 no. 1, november 2017 sudewi, sh., m.hum. merupakan wakil ketua pengadilan negeri semarang hingga desember 2014, yang merupakan hakim dibidang kepailitan, siti jamzan, sh., mh. merupakan hakim pengadilan negeri semarang yang membidangi masalah kepailitan dan dr. m. hadi shubhan, sh., mh., cn. merupakan ahli hukum dari universitas airlangga surabaya yang membidangi masalah kepailitan. metode pengumpulan data yang digunakan, yaitu metode dokumen dan wawancara (interview). peneliti menggunakan teknik pemeriksaan data triangulasi yang memanfaatkan penggunaan sumber dengan cara membandingkan hasil wawancara dengan isi suatu dokumen yang berkaitan. langkah-langkah yang dilakukan oleh peneliti dalam melakukan analisi data, yaitu pertama-tama peneliti sebelumnya memahami putusan pailit nomor : 02/pailit/2009/pn.niaga.smg. selanjtnya peneliti melakukan identifikasi masalah terhadap putusan pailit nomor : 02/pailit/2009/pn.niaga.smg, dengan cara membandingkan putusan pailit nomor : 02/pailit/2009/pn.niaga.smg dengan undang-undang nomor 37 tanun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. selanjtnya peneliti menentukan rumusan masalah dari prosesn identifikasi masalah putusan pailit nomor : 02/pailit/2009/pn.niaga.smg. selanjtnya peneliti berusaha membaca dan memahami undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, undang-undang nomor 40 tahun 2007 tentang perseroan terbatas, undang-undang nomor 13 tahun 2003 tentang ketenagakerjaan, buku-buku hukum, skripsi hukum, tesis hukum, desertasi hukum dan jurnal-jurnal hukum. selanjtnya peneliti melakukan wawancara dengan responden dan mengumpulkan semua hasil wawancara. selanjtnya peneliti melakukan wancara dengan informan dan mengumpulkan semua hasil wawancara. selanjtnya peneliti melakukan analisis terhadap putusan pailit nomor : 02/pailit/2009/pn.niaga.smg, yang dilihat dari sudut pandang undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, undang-undang nomor 40 tahun 2007 tentang perseroan terbatas, undang-undang nomor 13 tahun 2003 tentang 34 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 ketenagakerjaan, buku-buku hukum, skripsi hukum, tesis hukum, desertasi hukum dan jurnal-jurnal hukum serta hasil wawancara terhadap responden dan informan. akhirnya peneliti memperoleh simpulan dan memberikan saran. hasil penelitian dan pembahasan dasar permohonan pailit yang diajukan oleh pemohon pailit dalam putusan pailit nomor : 02/pailit/2009/pn.niaga.smg telah sesuai dengan undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang pt. uniqwood karya merupakan suatu perseroan terbatas yang didirikan menurut akta pendirian no. 33 tanggal 11 agustus 1990 yang dibuat oleh silvia veronika, sh dan telah mendapat status badan hukum dengan pengesahan menteri hukum dan perundang-undangan nomor : c.2-1144.ht.0i.0i.th.1991 tanggal 25 april 1991. pt. uniqwood karya bergerak di bidang industri kayu lapis laminasi, dan decorative plywood dan memiliki 41 karyawan untuk mendukung produksinya. melalui surat permohonan tertanggal 19 januari 2009, pt. uniqwood karya mengajukan permohonan pailit di kepaniteraan pengadilan niaga pada pengadilan negeri semarang, dalam register no. 02/pailit/2009/pn.niaga.smg. permohonan tersebut diajukan dan wakili oleh seorang advokat bernama prisma w. sasmita, sh, mm, m.hum, berdasarkan surat kuasa khusus tertanggal 3 januari 2009. pemohon pailit menjelaskan bahwa beberapa tahun terakhir pesanan terhadap hasil produksi mengalami penurunan dan usaha mengalami kerugian. pemohon pilit berusaha bertahan untuk aktivitas sehari-hari dengan menggunakan dana pinjaman dari beberapa kreditor. setelah mempertimbangakan kondisi keuangan dari pemohon pailit yang semakin buruk dan sudah tidak memungkinkan lagi untuk melanjutkan aktivitas perseroan terbatas, maka pemohon pailit mengajukan permohonan pailit a quo secara sukarela. permohonan pailit tersebut telah disetujui dalam rapat umum pemegang saham luar biasa sebagaimana tertuang dalam akta pernyataan keputusan rapat no. 38 35 journal of private and commercial law volume 1 no. 1, november 2017 tanggal 23 desember 2008, dibuat oleh notaris theresiana pusvita dewi, sh yang telah telah memenuhi ketentuan kuorum jumlah pemegang saham yang hadir dan memberikan persetujuan sebagimana diputuskan dalam penetapan pengadilan negeri wates no. 33/pdt.p/2008/pn.wt tanggal 10 desember 2008 dikeluarkan oleh pengadilan negeri wates. pemohon pailit yang berkedudukan di kulonprogo mengajukan permohonan pailit a quo secara sukarela ke pengadilan niaga pada pengadilan negeri semarang, sesuai dengan pasal 3 ayat (1) juncto ayat (5) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang juncto pasal 2 ayat (4) keputusan presiden nomor 97 tahun 1999 tentang pembentukan pengadilan niaga pada pengadilan negeri ujung pandang, pengadilan negeri medan, pengadilan negeri surabaya, dan pengadilan negeri semarang. dikarenakan pemohon pailit tidak sanggup lagi membayar cicilan utang-utangnya kepada para kreditor. pemohon pailit menggunakan pasal 2 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang sebagai dasar hukum permohonan pailitnya. putusan pailit nomor : 02/pailit/2009/pn.niaga.smg menyebutkan bahwa debitor memiliki beberapa kreditor yang diakui dan memiliki utang yang telah jatuh tempo, yaitu kreditor karywan dalam bentuk gaji dan uang pesangon dengan nilai nominal rp. 2.531.596.211, kreditor pribadi iswanti dengan nilai nominal rp. 939.648.688, kreditor pribadi wieke ayati dengan nilai nominal rp. 116.100.000, kreditor koperasi unit desa sido subur sami galuh, koperasi serba usaha surya parama arta sentolo dan koperasi unit desa makmur lendah dengan total nominal rp. 63.130.200. cukup dengan memenuhi syarat yang termuat dalam pasal 2 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, seorang debitor, kreditor atau pihak ke tiga dapat mengajukan permohonan pailit. pemohon pailit juga mendalilkan permohonannya dengan adanya pembuktian secara sederhana (sumir), berdasarkan pasal 8 ayat (4) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan 36 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 kewajiban pembayaran utang. untuk memperkuat alasan permohonan pailitnya, pemohon pailit mengajukan alat bukti surat, berupa dasar pendirian dan tempat kedudukan perseroan terbatas, penyelesaian masalah kepailitan telah disetujui melalui rapat umum pemegang saham (rups), dasar penetapan kuorum kehadiran dan pengambilan keputusan rapat umum pemegang saham (rups) sebesar 65%, kondisi keuangan terakhir perseroan terbatas, baik aktiva maupun pasiva, identitas para kreditor serta nilai hutang yang dimiliki. alat bukti ini menerangkan bahwa perseroan terbatas memiliki lebih dari 2 orang kreditor dan memiliki 1 kreditor yang telah jatuh tempo, p-6, menerangkan pemutusan hubungan kerja (phk) terhadap karyawan perseroan terbatas, daftar karyawan serta besaran gaji dan uang pesangon yang menjadi hak para karyawan, dengan total nilai rp. 2.513.596.211, dengan jatuh tempo 9 januari 2009, kesepakatan pembayaran gaji dan uang pesangon karyawan, perseroan terbatas memiliki hutang kepada iswanti sebesar rp. 939.648.688, p-10, menerangkan nilai kewajiban yang disanggupi perseroan terbatas dan disetujui iswati senilai rp. 116.100.000, dengan jatuh tempo 31 desember 2008, perseroan terbatas telah menerima dana dengan total rp. 116.100.000, dari wieke ayati hartana dan kesemuanya telah jatuh tempo, perseroan terbatas mempunyai pinjaman pada kud sido subur, ksu mbt surya parama artha, dan kud makmur lendah dengan nilai pinjaman pokok sebesar rp. 53.500.000, dan bunga sebesar 1,5% per bulan dengan total pinjaman hingga saat ini sebesar rp. 63.130.200, dan angsuran pertama telah jatuh tempo pada november 2008, kurator yang ditunjuk oleh pemohon telah terdaftar pada departemen hukum dan ham dirjen hukum umum, menerangkan kurator tidak mempunyai benturan kepentingan dan tidak sedang menangani kepailitan lebih dari tiga perkara, pemohon dengan status perseroan terbatas telah terdaftar pada dinas perindustrian perdagangan koperasi dan pertambangan kabupaten kulon progo, dan aset-aset yang dimiliki oleh perseroan terbatas. selain alat bukti surat, pemohon pailit juga mengajukan satu orang saksi, yang telah disumpah sebelum diambil keterangannya. saksi bernama suparyanto. saksi merupakan karyawan sekaligus ketua serikat pekerja pt. uniqwood karya, yang bernama serikat pekerja manunggal karya, yang 37 journal of private and commercial law volume 1 no. 1, november 2017 menaungi 200 orang pekerja pt. uniqwood karya. saksi menjelaskan bahwa telah dilakukan pemutusan hubungan kerja (phk) melalui surat keputusan direksi pt. uniqwood karya tertanggal 24 desember 2009, dan dilanjutkan dengan kesepakatan bersama antara pt. uniqwood karya dengan karyawan pt. uniqwood karya pada tanggal 2 februari 2009, yang pada pokoknya disepakati bahwa pt. uniqwood karya akan melakukan pembayaran kewajiban kepada karyawan pada tanggal 9 januari 2009 sebesar rp. 2.513.596.211. hingga waktu yang telah disepakati, pihak pt. uniqwood karya belum dapat melakukan kewajibannya kepada karyawan. pemohon pailit juga meminta agar diangkat seorang hakim pengawas dan kurator kepailitan dalam perkaranya. pemohon pailit memohon kepada majelis hakim agar berkenan menunjuk hakim pengawas secara langsung dan menunjuk andrian kusumawardana. sh, kurator kepailitan no. c.ht.05.5-05 yang berkantor di ysa law office, jalan setiabudi vi jakarta. kurator yang dimohonkan oleh pemohon pailit tersebut telah menyampaikan surat pernyataan bahwa kurator bersikap independen, tidak mempunyai benturan dengan debitor atau kreditor, dan tidak sedang menangani perkara kepailitan dan penundaan kewajiban pembayaran utang lebih dari tiga perkara. pemohon pailit mendalilkan hal tersebut berdasarkan pasal 15 ayat (1) juncto ayat (3) juncto pasal 16 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. dari hasil penelitian diatas, dapat ditemukan fakta bahwa pemohon pailt mendasarkan permohonannya atas: (1) pasal 2 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, yang menjelaskan bahwa debitor yang mempunyai dua atau lebih kreditor dan tidak membayar lunas sedikitnya satu utang yang telah jatuh waktu dan dapat ditagih, dinyatakan pailit dengan putusan pengadilan, baik atas permohonannya sendiri maupun atas permohonan satu atau lebih kreditornya. (2) pasal 8 ayat (4) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, untuk membuktikan dalil-dalilnya terkait adanya fakta dan keadaan atau pembuktian secara sederhana (sumir). hal tersebut 38 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 didukung oleh adanya alat bukti surat p-1 sampai denga p-20 dan adanya satu orang saksi dibawah sumpah, yaitu saksi suparyanto. (3) pasal 3 ayat (1) juncto ayat (5) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang juncto pasal 2 ayat (4) keputusan presiden nomor 97 tahun 1999 tentang pembentukan pengadilan niaga pada pengadilan negeri ujung pandang, pengadilan negeri medan, pengadilan negeri surabaya, dan pengadilan negeri semarang. pemohon pailit mengajukan permohonan pailit terhadap dirinya sendiri secara sukarela ke pengadilan niaga pada pengadilan negeri semarang. (4) pasal 7 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, yang menjelaskan bahwa permohonan pailit tersebut harus diajukan oleh seorang advokat. (5) pasal 104 ayat (1) undang-undang nomor 40 tanun 2007 tentang perseroan, dimana direksi tidak dapat mengajukan permohonan pailit tanpa persetujuan rapat umum pemegang saham (rups). (6) pasal 15 ayat (1) juncto ayat (3) juncto pasal 16 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang terakit pengangkatan seorang hakim pengawas dan kurator kepailitan. pertimbangan yang diberikan oleh majelis hakim dalam putusan pailit nomor : 02/pailit/2009/pn.niaga.smg telah sesuai dengan undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang atas permohonan pt. uniqwood karya, dalam putusannya majelis hakim memberikan pertimbangan bahwa pemohon pailit mengajukan permohonan pailit untuk dirinya sendiri dengan dalil-dalil bahwa selaku badan hukum yang berbentuk perseroan terbatas, pemohon pailit sudah tidak dapat membayar lunas gaji dan uang pesangon para karyawan yang telah jatuh tempo. selain itu, karena keadaan pemohon pailit sedang mengalami kesulitan pembayaran utangnya, pemohon pailit juga tidak dapat membayar lunas utangnya yang telah jatuh tempo kepada beberapa kreditornya. dengan ditemukannya fakta dan dan keadaan tidak dapat membayar utangnya tersebut dapat dibuktikan secara sederhana, maka 39 journal of private and commercial law volume 1 no. 1, november 2017 syarat-syarat untuk dinyatakan pailit bagi pemohon pailit yang ditentukan dalam undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang telah terpenuhi dengan di ajukan bukti surat bertanda p-1 sampai dengan p-20 dan juga adanya seorang saksi dibawah sumpah, yaitu saksi suparyanto. majelis hakim yang memeriksa dan mengadili perkara permohonan pailit pemohon memberikan pendapat bahwa prinsip dasar hukum kepailitan sebenarnya mengatur bagaimana halnya jika seorang debitor tidak dapat membayar utang-utangnya, serta bagaimana pertanggungjawaban debitor tersebut dalam kewenangannya terhadap harta kekayaan yang masih atau akan dimilikinya. selain itu, maksud kepailitan pada dasarnya membagi-bagi hasil penjualan semua harta kekayaan debitor secara seimbang kepada semua kreditor, maka lembaga kepailitan hanya akan ada apabila debitor memiliki lebih dari seorang kreditor. keberadaan lebih dari seorang kreditor ini dikenal dengan prinsip concursus creditorium. debitor hanya dapat dinyatakan pailit, jika memiliki lebih dari seorang kreditor. dengan adanya prinsip hukum yang demikian, maka dalam undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang diharapkan ada suatu mekanisme hukum yang jelas dan dapat dijamin kepentingan hukum para kreditor, khususnya tentang tata cara dan hak kreditor untuk memperoleh kembali pembayaran piutangnya dari seorang debitor yang dinyatakan pailit. mempertimbangkan keadaan dimana permohonan pailit ini diajukan oleh dan atau untuk pemohon pailit sendiri, yaitu pt. uniqwood karya, suatu perseroan terbatas yang didirikan menurut dan berdasar hukum negara republik indonesia, dengan akta pendirian no. 33 tanggal 11 agustus 1990, dibuat oleh silvia veronika, sh., notaris di yogyakarta, yang telah mendapat status badan hukum dengan pengesahan menteri hukum dan perundang-undangan nomor c.2-1144.ht.0i.0i.th.1991 tanggal 25 april 1991, berkedudukan di gunung godang margosari 65 pengasih, kulonprogo. dalam kualitas dan kedudukan hukumnya yang demikian, maka untuk memutuskan perkara ini pertama-tama perlu dipertimbangkan subjek hukum pemohon pailit telah tepat dan benar 40 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 menurut hukum untuk bertindak mengajukan permohonan pailit atas dirinya sendiri tersebut. subjek hukum pemohon pailit harus dikaji dengan menelaah syarat formal subjek hukum pemohon pailit berdasarkan ketentuan dalam undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang dalam relevansinya dengan ketentuan-ketentuan dalam undang-undang nomor 1 tahun 1995 tentang perseroan terbatas sebagaimana telah diubah dengan undang-undang nomor 40 tahun 2007 tentang perseroan terbatas. permohonan pailit ini diajukan oleh pemohon pailit untuk dirinya sendiri, maka pihak yang berkedudukan sebagai pemohon pailit harus orang yang benar-benar memiliki kedudukan dan kapasisitas yang tepat menurut hukum. keliru dan salah bertindak sebagai pemohon pailit mengakibatkan permohonan pailit mengandung cacat formil. perkara kepailitan sesungguhnya harus diupayakan untuk mengatasi keengganan debitor untuk memenuhi kewajibannya, dengan cara menentukan tingkatan kreditor serta prioritas pembayaran terhadap piutang-piutangnya, dengan cara mengadakan tindakan-tindakan untuk mencegah debitor menyingkirkan harta kekayaannya, dengan mengadakan pengaturan tentang pemberesan terhadap harta kekayaan hingga rehabilitasi debitor. oleh karena itu, didalamnya juga harus terdapat suatu jaminan agar debitor diperlakukan secara tidak semena-mena karena sesungguhnya lembaga kepailitan merupakan suatu sistem yang mengatur bagaimanakah hukum harus bertindak manakalah seorang debitor tidak dapat membayar hutang-hutangnya, dan bagaimanakah pertanggungjawaban debitor tersebut, dalam hubungannya dengan harta kekayaan yang masih atau akan dimilikinya. badan hukum sebagai persoon dalam hukum acara perdata juga adalah sebagai subjek hukum. artinya badan hukum itu juga dapat menjadi pihak yang berperkara. dalam hukum acara perdata, badan hukum selalu diwakili, dan yang mewakilinya adalah organ yang berhak menurut undang-undang atau anggaran dasarnya (statuten) (pasal 1655 kuh perdata). majelis hakim memberikan contoh, didalam perseroan, direksi merupakan organ perseroan terbatas yang menjadi wakil badan hukum itu sendiri. badan hukum perseroan terbatas dapat 41 journal of private and commercial law volume 1 no. 1, november 2017 mengajukan dan atau diajukan sebagai pihak dalam permohonan pailit sesuai dengan tempat kedudukan hukumnya sebagaimana ditentukan dalam anggaran dasarnya. undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang mengatur bahwa permohonan pailit tersebut dapat juga diajukan di tempat kedudukan hukum terakhirnya, atau di tempat perseroan terbatas tersebut menjalankan profesi atau aktifitas usahanya (pasal 3 undangundang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang). setelah memperhatikan surat-surat bukti pemohon pailit terutama bukti p-1, p-2 dan p-3, maka telah dapat dibuktikan kebenaran kualitas subjek hukum pemohon pailit dalam relevansinya dengan kewenangan pengadilan niaga pada pengadilan negeri semarang untuk memeriksa dan mengadili perkara ini. kualitas pemohon pailit yang dipandang telah dapat dan benar berdasarkan pertimbangan hukum, sebagai berikut: (1) bahwa dalam hukum acara perdata indonesia telah ditentukan suatu badan hukum berhak bertindak sebagai penggugat atau tergugat dalam suatu perkara perdata. (pasal 2 ayat (2) rv). akan tetapi perlu dimengerti, bahwa dalam hukum acara perdata terdapat dua pengertian mengenai apa yang disebut process partij yaitu materieele partij, yaitu orang yang hak nya diperkarakan, dan formeele partij yaitu orang yang harus bertindak sebagai wakil dalam suatu perkara. dalam badan hukum organ yang mewakilinya adalah adalah formeele partij. jadi sudah terang kepribadian hukum (rechtspersoonlijkheid) dalam badan hukum itu, hal ini dalam hukum acara perdata sudah merupakan suatu pengertian (begrip) yang sudah ada sebagaimana majelis hakim melakukan pengutipan dari buku karangan chaidir asli halaman 178. hal tersebut juga dijelaskan oleh m. yahya harahap terkait para pihak dalam suatu gugatan perdata di dalam bukunya yang berjudul hukum acara perdata (harahap 2011:111-136). (2) bahwa dalam kedudukannya sebagai subyek hukum yang mandiri, maka keberadaan perseroan terbatas, lain dengan suatu firma, karena kedudukannya tersebut tidak bergantung dari keberadaan para pemegang sahamnya, para anggota direksi dan dewan komisaris. oleh karena itu pergantian 42 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 organ perseroan terbatas tersebut tidak akan memperngaruhi keberadaan perseroan terbatas selaku “persona standi in judicio” (subyek hukum yang cakap dan dapat bertindak dalam hukum). (3) bahwa memperhatikan bukti penggugat tertanda p-1 s/d p-3, ternyata pemohon pailit telah dapat membuktikan tentang dasar pendirian dan permohonan pailit telah dapat membuktikan tentang dasar pendirian dan tempat kedudukan perseroannya. disamping itu, penyelesaian masalah utangnya melalui lemabaga kepailitan dalam perkara ini, telah disetujui rapat umum pemegang saham (rups) (pasal 104 ayat (1) undang-undang nomor 40 tahun 2007 tentang perseroan terbatas). hal ini, perlu dipertimbangkan karena suatu perbuatan perdata suatu badan hukum perseroan terbatas, harus berdasarkan undang-undang dan atau dengan undang-undang (de gesloten syateem van rechtspersonen). oleh karena itulah dalam suatu perseroan terbatas ada pengurus perseroan terbatas yang lazim disebut “direksi”, merupakan salah satu organ perseroan terbatas yang harus ada dengan tugas melakukan kepengaurusan serta mewakili perseroan terbatas, baik didalam maupun diluar pengadilan. menurut teori organisme dari otto von gierke seperti dikutip suyling, pengurus adalah organ atau alat perlengkapan dari badan hukum, sehingga pengurus adalah personifikasi dari badan hukum itu sendiri. menurut paul scholten dan brengstein, pengurus mewakili badan hukum. berdasarkan analog pendapat hierke dan paul scholten meupun brengstein tersebut, direksi bertindak mewakili perseroan sebagai badan hukum. hakikat dari perwakilan, bahwa seorang melakukan sesuatu perbuatan hukum untuk kepentingan orang lain atas tanggung jawab dari orang itu (usman 2004:146). (4) bahwa sesuai ketentuan pasal 92 undang-undang nomor 40 tahun 2007 tentang perseroan terbatas menyatakan “kepengurusan perseroan dilakukan oleh perseroan”. kemudian penjelasan pasal tersebut menegaskan “ketentuan ini menugaskan direksi untuk mengurus perseroan terbatas yang antara lain meliputi pengurusan sehari-hari daro perseroan”. pasal 1 ayat (5) undang-undang nomor 40 tahun 2007 tentang perseroan terbatas dinyatakan “direksi adalah organ perseroan terbatas yang bertanggung jawab penuh atas pengurusan perseroan untuk lepentingan dan tujuan perseroan serta mewakili perseroan baik didalam maupun 43 journal of private and commercial law volume 1 no. 1, november 2017 di luar pengadilan sesuai dengan ketentuan anggaran dasar”. (5) bahwa berdasarkan pertimbangan hukum tersebut diatas, maka kalaulah dalam permohonan pailitnya pemohon pailit telah meyebutkan status/kualitasnya sebagai suatu badan hukum perseroan terbtas in casu pt. uniqwood karya, yaitu suatu badan yang ada karena hukum, dan memang diperlukan keberadaannya sehingga disebut legal entity atau rechtspersoon, artinya orang buatan yang diciptakan oleh hukum. oleh karena itu dapat bertindak menurut hukum dan memiliki kewenangan – legitimata persona standi in juditio sehingga tindakannya mengajukan permohonan pailit ini telah tepat dan benar berdasarkan hukum. dalam substansi (materi) permohonan pailit, bahwa berdasarkan ketentuan pasal 2 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang telah diatur syarat-syarat untuk sahnya debitor dapat dinyatakan pailit adalah sebagai berikut: (1) debitor mempunyai dua atau lebih kreditor, dan (2) tidak dapat membayar lunas setidaknya satu utang yang telah jatuh waktu dan dapat ditagih. disamping itu untuk dapat dinyatakan pailit, bersangkut paut dengan acara pemeriksaan permohonan pailit yaitu dengan berlandasan pemeriksaan cepat (speedy trial) sebagaimana dengan tegas diatur pasal 8 ayat (4) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang yang menyatakan “permohonan pernyataan pailit harus dikabulkan apabila terdapat fakta atau keadaan yang terbukti secara sederhana bahwa persyaratan untuk dinyatakan pailit sebagaimana dikasud dalam pasal 2 ayat (2) telah dipenuhi”. diharapkan dalam pemeriksaan permohonan pailit seyogyanya harus bebas dari unsur sengketa yang rumit, karena jika terdapat sengketa yang tidak dapat dibuktikan adanya suatu fakta atau keadaan utang yang terbukti secara sederhana, maka sesungguhnya pengadilan niaga tidak berwenang untuk mengadilinya. hal tersebut dikarnakan dalam suatu fakta atau keadaan utang yang tidak sederhana, tidak dapat diputuskan dengan menggunakan sarana lembaga hukum kepailitan, akan tetapi harus diadili melalui gugatan ke pengadilan negeri di wilayah hukum para pihak yang bersengketa. 44 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 dalam permohonannya, pemohon pailit menyatakan bahwa pemohon pailit tidak dapat membayar gaji maupun pesangaon karyawannya dan juga membayar kembali utangnya kepada para kreditornya tersebut. di persidangan pada pokoknya pemohon pailit juga menerangkan hal tersebut semata-mata murni karena adanya masalah bisnis karena sepinya permintaan (ordir) dari produknya dan kesalahan management serta tidak ada unsur pedanya. dengan demikian, majelis hakim yang memeriksa dan mengadili perkara berpandangan bahwa esensi permohonan pailit trsebut diatas tidak mengindikasikan adanya suatu perkara atau sengketa dalam permohonan pailit yang sedang diperiksa saat ini, akan tetapi permohonan tersebut pada dasarnya semata-mata didasarkan pada suatu fakta dan keadaan tidak dibayarnya gaji dan pesangon karyawannya dan kewajiban pemohon pailit kepada para kreditor, yang akhirnya melahirkan adanya utang telah jatuh tempo dan dapat ditagih untuk dapat dijadikan sebagai dasar dalam mengajukan permohonan pailit. agar lembaga kepailitan tidak disalahgunakan oleh pihak yang tidak beritikat baik, untuk kepentingan dirinya semata, dan atau pun juga untuk melindungi kepentingan kreditor lainnya, maka majelis hakim tetap memandang perlu untuk mempertimbangkan bukti-bukti yang diajukannya, terutama untuk membuktikan apakah keseluruhan syarat-syarat untuk dijatuhkannya putusan pailit terhadap diri pemohon pailit tersebut telah sesuai dengan berjalannya hukum, kebenaran dan keadilan. dalam pasal 1925 kuh perdata telah diatur siapa saja yang berwenang untuk memberi pengakuan, yaitu dilakukan oleh diri sendiri atau orang prinsipal sendiri atau oleh orang yang diberikan kuasa oleh orang lain bagi kepentingan prisipal dengan suatu suart kuasa khusus dan pada prinsipnya dalam hukum acara perdata yang berlaku di indonesia sebagimana diatur dalam 174-176 hir (bandingkan dengan pasal 311 rbg-313rbg) dan juga pasal 1923 -1928 kuh perdata mengatur bahwa pengakuan dari salah satu pihak kepada pihak lain dalam pemeriksaan di persidangan yang diberikan secara sukarela harus dianggap selamanya, karenanya hakim terikat dan harus menerimanya. suatu pengakuan yang diberikan di persidangan pengadilan merupakan suatu buktiyang bersifat sempurna yang mengikat dan menentukan 45 journal of private and commercial law volume 1 no. 1, november 2017 (bindende dan beslissende). pengakuan pemohon pailit tentang adanya utang yang belum dapat dibayarkan kembali ketika sudah jatuh tempo tersebut, ternyata berseuaian dengan dalil-dalil permohonan pemohon pailit tersebut dan bukti-bukti yang diajukan di persidangan (bukti p-4 s/d p-16), maka pengakuan pemohon pailit itu bersifat mutlak karena diajukan sesuai dengan yang sebenarnya dan didasarkan dengan alasan yang kuat (met redenen omkleed), maka menurut hukum haruslah dipercaya. pengertian utang dalam undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang bukan lah pengertian utang dalam arti sempit dan terbatas hanya pada perikatan pinjam meminjam uang, akan tetapi pengertian utang meliputi setiap kewajiban yang dinyatakan atau dapat dinyatakan dalm jumlah uang baik dalam mata uang indonesia maupun mata uang asing, baik secara langsung maupun yang akan timbul dikemudia hari atau kontijen, yang timbul karena perjanjian atau undang-undang dan yang wajib dipenuhi oleh debitor dan bila tidak dipenuhi memberi hak pada kreditor untuk mendapatkan pemenuhannya dari harta kekayaan debitor (pasal 1 angka 6 undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang). berdasarkan bukti surat p-4 yang menerangkan kondisi keuangan pemohon pailit menakalah dihubungkan dengan bukti p-5 s/d p-16 dan seorang saksi yang bernama suparyanto yang telah diajukan pemohon pailit, telah dapat dibuktikan bahwa pemohon pailit memiliki kewajiban untuk membayar gaji dan pesangon karyawan yang telah diputuskan hubungan kerjanya maupun utang pemohon pailit kepada beberapa kreditor yang sudah jatuh tempo dan harus dibayarkan. semua kewajiban atau liability tersebut dapat diniai dengan sejumlah uang dan wajib dipenuhi oleh pemohon pailit. dengan demikian, telah terbukti bahwa pemohon pailit sudah memenuhi syarat untuk dikategorikan sebagai seorang debitor sebagaimana dirumuskan dalam pasal 1 angka 4 undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang yaitu : “debitor adalah orang yang memiliki utang karena perjanjian atau undang-undang yang pelunasannya dapat ditagih di muka pengadilan”. dengan demikian, adanya kewajiban-kewajiban untuk membayarkan 46 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 sejumlah tang yang telah jatuh tempo dan dapat ditagih tersebut, telah terbukti dan telah nyata pemohon pailit memiliki lebih dari dua orang kreditor. berdasarkan hal-hal tersebut diatas, telah didapati adanya prima facie kepailitan dalam pemohonan ini yaitu dapat dibuktikan adanya suatu fakta atau keadaan yang terbukti secara sederhana bahwa persyaratan untuk dinyatakan pailit sebagaimana dimaksud dalam pasal 2 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang juncto pasal 8 ayat (4) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang telah terpenuhi. oleh karena itu, permohonan pailit dari pemohon pailit yang memohon agar pemohon pailit dinyatakan pailit dengan segala akibat hukumnya adalah layak dan patut untuk dikabulkan. pasal 15 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang telah diatur bahwa dalam putusan pernyataan pailit harus diangkat seorang kurator untuk mengurus dan membereskan budel pailit. pemohon pailit sudah menentukan dan memilih sendiri agar mengangkat andrian kusumawardana. sh, kurator kepailitan no. c.ht.05.5-05 yang berkantor di ysa law office, jalan setiabudi vi jakarta, sebagai kurator dalam perkara kepailitan ini. berdasarkan bukti p-17 dan p-18 yang bersangkutan ternyata tidak berkepentingan dengan diajukannya perkara ini dan tidak memiliki konflik kepentingan, sehingga diharapkan dapat bersikap independen serta tidak sedang menangani 3 (tiga) perkara kepailitan yang sedang berlangsung, maka yang bersangkutan patut diangkat menjadi kurator dalam kepailitan. guna mengawasi jalannya pengurusan dan pemberesan dari budel pailit tersebut perlu ditunjuk seorang hakim pengawas dari salah seorang hakim niaga pengadilan niaga pada pengadilan negeri semarang. didalam putusan drs. amin sembiring, sh., mh, diangkat dan ditunjuk sebagai hakim niaga pengadilan niaga pada pengadilan negeri semarang untuk menjadi hakim pengawas dalam perkara kepailitan pt. uniqwood karya. 47 journal of private and commercial law volume 1 no. 1, november 2017 berdasarkan keseluruhan pertimbangan hukum yang diberikan oleh majelis hakim yang memeriksa dan mengadili perkara, maka permohonan pailit patut dan layak untuk dikabulkan seluruhnya. hal ini mengakibatkan pt. uniqwood karya dinyatakan pailit dengan segala akibat hukumnya dan biaya permohonan pailit dibebankan kepada pemohon pailit untuk seluruhnya. dasar pertimbangan hukum majelis hakim dalam memeriksa dan mengadili perkara tersebut, yaitu: (1) pasal 2 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, yang menjelaskan bahwa debitor yang mempunyai dua atau lebih kreditor dan tidak membayar lunas sedikitnya satu utang yang telah jatuh waktu dan dapat ditagih, dinyatakan pailit dengan putusan pengadilan, baik atas permohonannya sendiri maupun atas permohonan satu atau lebih kreditornya. (2) pasal 8 ayat (4) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, untuk membuktikan dalil-dalilnya terkait adanya fakta dan keadaan atau pembuktian secara sederhana (sumir). hal tersebut didukung oleh adanya alat bukti surat p-1 sampai denga p-20 dan adanya satu orang saksi dibawah sumpah, yaitu saksi suparyanto. (3) pasal 3 ayat (1) juncto ayat (5) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang juncto pasal 2 ayat (4) keputusan presiden nomor 97 tahun 1999 tentang pembentukan pengadilan niaga pada pengadilan negeri ujung pandang, pengadilan negeri medan, pengadilan negeri surabaya, dan pengadilan negeri semarang. pemohon pailit mengajukan permohonan pailit terhadap dirinya sendiri secara sukarela ke pengadilan niaga pada pengadilan negeri semarang. (4) pasal 7 ayat (1) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, yang menjelaskan bahwa permohonan pailit tersebut harus diajukan oleh seorang advokat. (5) pasal 15 ayat (1) juncto ayat (3) juncto pasal 16 ayat (1) undangundang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang terakit pengangkatan seorang hakim pengawas dan kurator kepailitan. (6) pasal 104 ayat (1) undang-undang nomor 40 tanun 2007 tentang perseroan, dimana direksi tidak dapat mengajukan permohonan pailit 48 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 tanpa persetujuan rapat umum pemegang saham (rups). (7) pasal 92 juncto pasal 1 angka 5 undang-undang nomor 40 tahun 2007 tentang perseroan terbatas yang menyatakan bahwa pengurusan perseroan terbatas dilakukan oleh direksi. (8) pasal 1655 kuh perdata yang menjelaskan para pengurus badan hukum, bila tidak ditentukan lain dalam akta pendiriannya, dalam surat perjanjian atau dalam reglemen berkuasa untuk bertindak demi dan atas nama badan hukum itu, untuk mengikatkan badan hukum itu kepada pihak ke tiga atau sebaliknya, dan untuk bertindak dalam sidang pengadilan baik sebagai penggugat maupun sebagai tergugat. (9) pasal 2 ayat (2) reglement op de rechtsvordering terkait badan hukum berhak bertindak sebagai penggugat atau tergugat dalam suatu perkara perdata, yaitu orang yang harus bertindak sebagai wakil dalam suatu perkara (formeele partij). (10) pt. uniqwood karya merupakan suatu badan yang ada karena hukum, dan memang diperlukan keberadaannya sehingga disebut legal entity atau rechtspersoon, artinya orang buatan yang diciptakan oleh hukum. oleh karena itu dapat bertindak menurut hukum dan memiliki kewenangan – legitimata persona standi in juditio sehingga tindakannya mengajukan permohonan pailit ini telah tepat dan benar berdasarkan hukum. (11) pasal 1925 kuh perdata terkait pengakuan yang diberikan di hadapan hakim, merupakan suatu bukti yang sempurna terhadap orang yang telah memberikannya, baik sendiri maupun dengan perantaraan seseorang yang diberi kuasa khusus untuk itu. simpulan dasar permohonan pailit yang diajukan oleh pemohon pailit dalam putusan pailit nomor : 02/pailit/2009/pn.niaga.smg tidak bertentangan dengan undangundang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang mengingat tidak adanya batasan antara permohonanan pailit terhadap dirinya sendiri dengan permohonan yang diajukan oleh kreditor dan pihak ke tiga. dengan memenuhi syarat yang ada pada pasal 2 ayat (1) dan pasal 8 ayat (4) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, maka permohonan pailit dapat dikabulkan. 49 journal of private and commercial law volume 1 no. 1, november 2017 pertimbangan yang diberikan oleh majelis hakim dalam putusan pailit nomor : 02/pailit/2009/pn.niaga.smg tidak bertentangan dengan undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang mengingat tidak adanya batasan antara permohonanan pailit terhadap dirinya sendiri dengan permohonan yang diajukan oleh kreditor dan pihak ke tiga. dengan memenuhi syarat yang ada pada pasal 2 ayat (1) dan pasal 8 ayat (4) undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, maka permohonan pailit dapat dikabulkan. daftar pustaka buku darmawi, herman. 2010. manajemen resiko. jakarta: bumi aksara. fuady, munir. 2001. pengantar hukum bisnis. bandung: citra aditya bakti. harahap, m. yahyah. 2011. hukum acara perdata tentang gugatan, persidangan, penyitaan, pembuktian, dan putusan pengadilan. jakarta: sinar grafika. hartini, rahayu. 2007. hukum kepailitan. malang: umm pers. hartono, sri rejeki. 2001. hukum asuransi dan perusahaan asuransi. jakarta: sinar grafika. hernoko, agus yhuda. 2011. hukum 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37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang. 51 journal of private and commercial law volume 1 no. 1, november 2017 undang-undang nomor 4 tahun 1998 tentang penetapan peraturan pemerintah pengganti undang-undang nomor 1 tahun 1998 tentang perubahan atas undang-undang tentang kepailitan menjadi undang-undang. undang-undang nomor 40 tahun 2007 tentang perseroan terbatas. 52 fransman ricardo tamba, analisis putusan pailit…….., pp. 29-52 derita prapti rahayu, formulation of minerba…., pp. 94 100 formulation of minerba law enforcement policy against unconventional mine floating category (study of socio legal in bangka district) derita prapti rahayu, yokotani, toni law faculty of bangka belitung university e-mail: deritapraptir@yahoo.com abstract the floating ti problem will also have an impact on policies on environmental conservation, fisheries and cultural change. subjectivity of policy issues. this research approach is socio-legal. research with such an approach, views the law in its complex face, not only stops at the norm, but also targets how the process of formation is up to its implementation. ti floating problems must be identified related to issues of authority, economic and environmental issues. with this concept, this research was carried out by conducting a step review of norms for the first stage. in the next stage, a search for certain norms related to floating ti is carried out the act of number 4 ‘ 2009 on minerals and coal. it was only analyzed by offering how floating law enforcement related to it in the bangka regency area. policy problems are only possible when humans make judgments about the desire to change some problem situations. the policy problem is the result / product of human subjective assessment, the policy problem can also be accepted as legitimate definitions of objective social conditions and hence policy problems are understood, maintained and changed socially; and there are many solutions to a problem as there are many definitions of the problem. problems and solutions are in constant changes. keywords : formulation of minerba law enforcement policy, unconventional mine floating category, study of socio legal introduction unconventional tin miners or timah inkonvensional (ti), is a term that exists in the people of bangka regency to mention people's mining. ti floating category is one of the categories of community mining in bangka regency whose mining area is on the coast and river or in the former mine area of pt.timah. 1 bangka regency which is one of the districts in the province of bangka belitung 1 derita prapti rahayu, rekonstruksi kelembagaan dalam penetapan wilayah pertambangan rakyat (wpr) berbasis kearifan lokal untuk membangun ecoliteracy di kabupaten bangka, desertasi program doktor ilmu hukum universitas diponegoro, semarang, 2018, page. 218 mailto:deritapraptir@yahoo.com 95 journal of private and commercial law volume 2 no. 2, november 2018 islands, 2 experiencing serious environmental damage that can be seen from the destruction of forest areas, water sources, human settlements, silting of rivers, various river biota and dead sea. wide-open pits were scattered in abandoned mining areas. a research by sriwijaya university in 1998/1999 found 887 exmining pits in bangka belitung, namely 544 kolong in bangka with area of 1,035.51 ha and 343 others in belitung with an area of 677.14 ha. the existence of the pits has implication of forest damage. based on the report of critical land review of bangka belitung islands province in 2013, land categorized as moderately critical reached 987,739 hectares. this number equals three times of the critical land area of 2010. currently, the land categorized as critical one reaches 155,389 hectares and the very critical land reaches 60,720 hectares 3 . the cause of environmental damage in bangka regency was dominated by it activities. ti is different from peti (mining without permission), peti is a mining carried out by parties in the mining company category, while it or illegal people's mining is only carried out by parties with the category of the people, not in the form of companiesthe impact of environmental damage due to the mine is now starting to shift to the coastal area. this phenomenon not only negatively impacts the marine ecosystem, but also decreases the catch of fishermen because the catchment area is in the mine. on the other hand, the phenomenon of tin mining has also influenced the mindset of fishermen who later turned professions into miners. sporadic mining in coastal areas is also a problem for the world of tourism which has relied on the beauty of the coast 4 and coral reefs. therefore special attention is needed to the 2 precisely in 2000 the bangka belitung islands province was established independently of south sumatra and was the 31st province in indonesia, based on law no. 27 of 2000 concerning the establishment of the bangka belitung islands province. 3 joko susilo and siti maemunah, 2002, tiga abad melayani (potret tambang timah di bangka belitung), jakarta, jatam, page 99. 4 almost all beaches in sungailiat city have floating it. according to local residents the regional government through the satpol pp has carried out prosecution and confiscation. but keep repeating and cat-mouse with the authorities. dini wulansari. 2011. keindahan pantai di antara banyak masalah. yogyakarta. khomsa. hlm. 44-45, see disertation of dwi haryadi, page 13. derita prapti rahayu, formulation of minerba…., pp. 94 100 formulation of mineral and coal law enforcement policies on unconventional mining in the floating category from a socio-legal perspective in bangka regency. research methods this research approach is socio-legal. research with such an approach, views the law in its complex face, not only stops at the norm, but also targets how the process of formation is up to its implementation. in the process, this approach involves a number of interdisciplinary sciences. 5 law cannot be separated from the political, socio-cultural and economic context. thus, legal analysis cannot be limited to norm analysis, but must target how the relations and interactions with various political and economic, social and cultural subsystems. 6 with this concept, this research was carried out by conducting a step review of norms for the first stage. in the next stage, a search for certain norms related to floating ti is carried out the act of number 4 ‘ 2009 on minerals and coal. it was only analyzed by offering how floating law enforcement related to it in the bangka regency area. results and discussion perimping river in bangka regency is now increasingly squeezed due to activity ti floating which has been operating in the local river fishermen affected by ti float have been out of fishing and shrimp nets for the past month. shrimp and fish disappear from the river, due to the floating it, it's useless to go down because the fish is gone. the result is not enough to eat a day, even often go home without any results. as a result of this, it is really sad the fate of fishermen on the perimping river, because many are unemployed, due to not being able to go down the river because of the ti float impact. ti float on perimping has been operating in the river for years, as if left unchecked or has been maintained until now, but no fisherman is concerned about 5 brian z. tamanaha, 1997, realistic socio-legal theory: pragmatism and a social theory of law, oxford, clarendon press, page 2. 6 satjipto rahardjo, 2009, lapisan-lapisan dalam studi hukum, malang, bayumedia, page. 811. 97 journal of private and commercial law volume 2 no. 2, november 2018 his fate, people care more about ti floating, fishermen are left clamped by ti apung. 7 the illegal floating ti efforts have been carried out through law enforcement, but the results have not been optimal. community involvement in ti floating because the economic demands and lack of environmental awareness make law enforcement which is partly carried out only by giving warnings and coaching. actions like this turned out to be not entirely successful because the miners still returned to mining and moving places, so that illegal ti floating continues to occur and is difficult to prevent. when the miners' raid was hiding and when the raid was finished, the illegal floating ti was rife again. 8 improvements in all fields need to be carried out simultaneously so that law enforcement can run smoothly. mutual support from miners, communities and government is needed towards the creation of a harmonious atmosphere in realizing increased protection and welfare through regulatory enforcement formulations regarding ti float so that in this study will contribute and hope in the search for solutions to problems with all the limitations of alternative policies. the steps that need to be taken in taking a public policy by the government are: 9 1. agenda setting (agenda setting), which is a process so that a problem can get attention from the government; 2. policy formulation (policy formulation), namely the process of formulating policy choices by the government; 3. policy making (decision making), which is a process when the government chooses to take action or does not take action; 4. policy implementation, namely the process to implement policies to achieve results; 7 http://bangka.tribunnews.com/2018/01/31/akibat-dampak-ti-apung-sudah-sebulan-nelayan-takmenjaring-di-sungai-perimping, accessed may, 25, 2018. 8 preliminary observations of researchers at the research site. 9 michael hoelet and m.ramesh in ag. subarsono, 2006, analisis kebijakan publik : konsep, teori dan aplikasi, penerbit pustaka pelajar, yogyakarta, page 13. http://bangka.tribunnews.com/2018/01/31/akibat-dampak-ti-apung-sudah-sebulan-nelayan-tak-menjaring-di-sungai-perimping http://bangka.tribunnews.com/2018/01/31/akibat-dampak-ti-apung-sudah-sebulan-nelayan-tak-menjaring-di-sungai-perimping derita prapti rahayu, formulation of minerba…., pp. 94 100 5. policy evaluation, namely the process to monitor and assess the results or performance of policies. problem formulation in the setting agenda stage can help find hidden assumptions, diagnose the causes, map possible goals, integrate conflicting views, and design new policy opportunities. 10 the formulation of the problem begins with the existence of a problem situation that is a series of situations that cause a sense of dissatisfaction and feels something is wrong, then the analysts involved in the search for the next problem is born what is called a meta problem that is a problem that is not neatly arranged. at the meta-stage of the problem, the analyst defines the problem in the most common and basic terms, a substantive problem will arise. the problem specification process is a stage that changes the substantive problem into a formal problem, namely a problem that has been formulated specifically and clearly. stages of formulation of problems in policy preparation 10 william n.dunn, 2000, pengantar analisis kebijakan publik, gadjah mada university press, yogyakarta, 1994, page. 26 meta problem problem definition problem search introduction to problems spesifikasi problem substantive problem situation problem formal problem 99 journal of private and commercial law volume 2 no. 2, november 2018 problem formulation is an important phase in analyzing policy, because in formulating the problem is done the sorting of suitable problems to get the right solution. william n. dunn 11 provide a description to explain the important characteristics of the policy problem: 1. interdependence of policy problems. policy problems in one area sometimes affect policy problems in other fields. the reality is that policy problems are not independent entities, they are part of the whole system of problems. an interdependent problem system requires a holistic approach, an approach that views parts as inseparable from the whole system that binds them; 2. subjectivity of policy issues. external conditions that cause a problem are defined, classified, selectively explained and evaluated. policy problems are a result of thinking made in a particular environment. the problem is an element of a problem situation abstracted from the situation by the analyst. that way, what we experience is actually a problem situation, not the problem itself; 3. artificial nature of the problem. policy problems are only possible when humans make judgments about the desire to change some problem situations. the policy problem is the result / product of human subjective assessment, the policy problem can also be accepted as legitimate definitions of objective social conditions and hence policy problems are understood, maintained and changed socially; 4. dynamics of policy problems. there are many solutions to a problem as there are many definitions of the problem. problems and solutions are in constant changes. conclusion formulation of mineral law enforcement policies on unconventional mines in the floating category in bangka regency by taking into account the important characteristics of policy problems. interdependence of policy issues. policy problems in one area sometimes affect policy problems in other fields. the floating ti problem will also have an impact on policies on environmental conservation, fisheries and cultural change. subjectivity of policy issues. ti 11 ibid, page 214-216. derita prapti rahayu, formulation of minerba…., pp. 94 100 floating problems must be identified related to issues of authority, economic and environmental issues. third is the artificial nature of the problem. policy problems are only possible when humans make judgments about the desire to change some problem situations. the policy problem is the result / product of human subjective assessment, the policy problem can also be accepted as legitimate definitions of objective social conditions and hence policy problems are understood, maintained and changed socially; and there are many solutions to a problem as there are many definitions of the problem. problems and solutions are in constant changes. bibliography act no. 27 0f 2000 about the formation of the bangka belitung islands province. joko susilo and siti maemunah. 2002. tiga abad melayani (potret tambang timah di bangka belitung), jakarta: jatam dini wulansari. 2011. keindahan pantai di antara banyak masalah. yogyakarta: khomsa brian z. tamanaha. 1997. realistic socio-legal theory: pragmatism and a social theory of law. oxford: clarendon press satjipto rahardjo. 2009. lapisan-lapisan dalam studi hukum. malang: bayumedia. http://bangka.tribunnews.com/2018/01/31/akibat-dampak-ti-apung-sudah-sebulannelayan-tak-menjaring-di-sungai-perimping ag. subarsono. 2006. analisis kebijakan publik : konsep, teori dan aplikasi. penerbit pustaka pelajar: yogyakarta william n. dunn. 1994. pengantar analisis kebijakan publik edisi kedua, terjemahan samodra wibawa dkk,, 2000. yogyakarta: gadjah mada university press. http://bangka.tribunnews.com/2018/01/31/akibat-dampak-ti-apung-sudah-sebulan-nelayan-tak-menjaring-di-sungai-perimping http://bangka.tribunnews.com/2018/01/31/akibat-dampak-ti-apung-sudah-sebulan-nelayan-tak-menjaring-di-sungai-perimping 101 journal of private and commercial law volume 2 no. 2, november 2018 53 journal of private and commercial law volume 1 no. 1, november 2017 juridical reviews on branchless banking toward the potential of fraud due to the using of agent winarsih the graduate student of law faculty, university of indonesia, email: winarsih.winnn@gmail.com abstract branchless banking is a new system which is implemented by banks in indonesia with aims to provide services to rural communities in order to access banking services such as lending or deposit money in the bank through an intermediary agent. at first the rural communities are hard to obtain banking facilities such as micro-credit whereas economic activities are largely actuated by lower-class sector therefore the financial services authority or otoritas jasa keuangan (ojk) issued the regulation number. 19/pojk.03/2014 about the financial services without office in the framework of financial inclusion on november 18, 2014 to face it. in this regulation, there are several things that need to be reviewed such assessment accountability arrangements of agent as a third party who is not clearly regulated whereas according to some research there are some risk in the mechanism of implementation like as potential of fraud due to the using of agent in this system. though basically branchless banking is one of the strategic national strategies to provide financing to small businesses in rural areas in order to increase the competitiveness of products to compete in the asean economic community. therefore, a legal instrument that can ensure and provide legal certainty in branchless banking system is a very important thing, more over branchless banking is the strategic of government to develop the quality of the rural economy to face the asean economic community. key words: regulation, branchless banking, agent, fraud introduction globalization in the asean economic community is something that is inevitable again. in this regard indonesia as the country with the largest population in asean has a challenge to improve economic development through the improvement of product quality. in line with it, banks that have a strategic mailto:winarsih.winnn@gmail.com 54 winarsih, juridical reviewa o branchless banking…., pp. 53-68 position in the field of financing required to play an active role and support this goal by providing financing services to the entire community in indonesia, including rural communities need funds to develop their business. however, indonesia is an archipelago and based on geographic conditions have some areas which is difficult to reach by the banking system. therefore, there are many people that are difficult to access banking facilities such as saving and credit or borrowing to finance their business activities. based on the survey results of the world bank, as cited in pungky purnomo 1 , less than 50% of indonesia's population has a bank account at a formal financial institution, and only 17% of the population have access to credit. furthermore, the results of a household survey conducted by bank indonesia shows that 62% of households have no savings at all. number of account ownership society indonesia is still low even in asean. it certainly result in difficult rural communities to access banking facilities provided by indonesia. though economic activity is largely driven by lower-class economic sectors such as micro-enterprises which are still carried out through the mechanism of cash. based on data from approximately 300 trillion rupiah in cash transacted through this segment. if the number is entered into the banking system and banks channeled back in the form of a credit to them, of course, will be a stimulus for economic growth is very large. efficiency in the management of cash by bank indonesia will be improved by the use of branchless banking transactions through 2 . further banking services provided in the branchless banking system in form of the savings, credit or financing for micro customers, micro-insurance or other financial products based on the approval of the fsa 3 . this is one of the national strategy of inclusive finance to reach rural communities who do not get banking facilities. this policy is considered strategic, especially for micro, small and medium enterprises (smes) which has been experiencing barriers include lack of 1 pungky purnomo wibowo, branchless banking setelah multilicense: ancaman atau kesempatan bagi perbankan nasional, (papers in terms of educational staff chairman of bank indonesia (sespibi) force xxxi, bank indonesia), p. iv 2 academic manuscript draft law on restriction of cash transactions compiled by the national law center development planning, the ministry of justice and human rights 2013, p. 30 3 see article 4 of the ojk regulation no. 19 / pojk.03 / 2014 on the financial services without office in the framework of financial inclusive 55 journal of private and commercial law volume 1 no. 1, november 2017 capital and makes it difficult to develop 4 . whereas the role of smes in the growth of the economy of a country is very important 5 . the existence of branchless banking is one of its facilities is to provide credit to rural entrepreneurs also will indirectly improve the quality of products produced by businesses in the countryside. this is a positive impact especially considering entry into force of the asean economic community which automatically indonesia as the country with the largest population is expected to compete by improving product quality. therefore, branchless banking has a strategic role in facing the asean economic community. in the implementation of the branchless banking using information technology and requires cooperation with the agency as a third party who mediates between the bank and its customers. the agent became a representative of the bank to provide the facilities provided by the bank to its customers that was not initially familiar with and access to banking facilities. to support the implementation of branchless banking, fsa issued regulation no. 19/ pojk.03/2014 about the financial services without office in the framework of inclusive finance on november 18, 2014. in the fsa rules one of which regulates the relations of cooperation between the organizers of the agent bank, but not mention the exact provisions or criminal sanctions to be applied to an agent if one day commit criminal acts such as fraud, the opening of bank secrecy or other criminal acts. the regulation sanctions only apply to the bank if one does not perform reporting and some of the prohibitions contained in article 42 of the fsa regulation no. 19/pojk.03/2014. though there are some legal risks for the implementation of branchless banking as a result of the violations committed by agents of intermediaries such as the fraud committed against customers or violation of bank secrecy for misusing confidential data belonging to customers, eliminating the assets and transactions, errors intermediary agents convey customer complaints to the bank, a customer asked by the agent to pay the costs, which in principle does not exist, the data recording errors committed by agents and poor financial management resulting 4 fitri nuraini, rieska maharani, andrianto, the strategy of enhancing competitiveness and cooperation in dealing smes aec (asean economic community): a litarature based study, on national seminar journal of economics and business and the call for papers umsida feb 2016 p. 482 5 center of trade policy in the state, analisis pera lembaga pembiayaan dalam pengembangan umkm, (jakarta: ministry of commerce, 2013), p, i 56 winarsih, juridical reviewa o branchless banking…., pp. 53-68 customer can not make a cash withdrawal transactions because the agent does not have sufficient cash 6 . furthermore the agents are not employees of the bank, but the parties who cooperate with the bank and become the representative of the bank to provide banking services to the public in accordance contracted 7 . under these conditions, the legal provisions concerning the protection of clients and accountability agents in branchless banking system is necessary to ensure legal certainty and can be used as a standard implementation of branchless banking. this is a problem that is interesting to study because branchless banking has a strategic role in facing the asean economic community. under these conditions, the author is interested to do an analysis entitled "juridical reviews on branchless banking toward the potential of fraud due to the using of agents" with two problem are: the first, how are the protections afforded to clients of the legal risks in the system of branchless banking? secondly, how are the analysis if the agent liability offenses that resulted in the bank and customers suffered losses. method in compiling the writer uses the method of writing in the form of the literature by collecting secondary data by conducting a literature study. literature study was conducted by collecting the relevant literature in the form of books, journals, scientific articles, thesis or dissertations, legislations, ministerial regulations, the fsa regulations and other materials related to writing. furthermore, the authors perform data analysis based on the results of the literature that has been acquired to obtain the results of the relevant conclusions. result and discussion customer protection against legal risks in branchless banking systems the development of branchless banking system in indonesia the bank is a financial institution whose the existence depends on the trust customers who trust funds and other services that they have done through banks 8 . 6 zhaskia ajeng secioktaviany and hudi asrori, “optimaliasasi manajemen resiko sebagai upaya preventif resiko hukum pada bank penyelenggara branchless banking di indonesia”, journal of private law vol. iv no. 2 july to december 2016, p 90. 7 see article 1 paragraph 4 of the ojk regulation no. 19/pojk.03/2014 on the financial services without office in the framework of inclusive finance 8 adrian sutedi, hukum perbankan suatu tinjauan pencucian uang, merger, likuidasi dan kepailitan, (jakarta: sinar grafika, 2007), p 1. 57 journal of private and commercial law volume 1 no. 1, november 2017 furthermore the role and functions of banks in the economy is very strategic, making the position of banks is very important to encourage economic activity. banks can influence and determine all aspects of economic activity in a country. the inability of banks to provide optimal service will cause disrupted economic activity and can lead to all sectors of the economy can not work optimally 9 . therefore, banks are required to provide optimum service and can be reached by the public. in its development banking in the delivery of services and increase the financial services sector in the period of last 5 years expanded widespread, it indicates that financial services being the most important thing in order to improve the welfare for the middle who are not familiar with banking access (unbanked). banking sector more competitive in the innovation of the products they offer to customers. it also makes access and geographical conditions of the region and become a target of banks to be closer to the people, also in order not to suggest that the financial services only belong to a group of people in the urban areas only 10 . in addition there are many members of the public who do not know, use, and or get banking services and other financial services, such as residing in a location away from the office or the bank and their costs or burdensome requirements. therefore, the fsa, the banking industry and other financial services industry is committed to support the realization of inclusive finance. furthermore, the indonesian government launched a program of the national strategy for inclusive finance in june 2012, which is one of the program is branchless banking 11 . the implications of such national strategies fsa issued a regulation as the basis of the implementation of the branchless banking fsa regulation no. 19/pojk.03/2014 on the financial services without office in the framework of 9 pungky purnomo wibowo, op, cit, p. iii 10 triana fitriastuti, dhina mustika sari, ike purnamasari, implementasi keuangan inklusif bagi masyarakat perbatasan (studi kasus pada kutai timur, kabupaten kutai kartanegara dan kota samarinda, kalimantan timur, indonesia, (proceedings of the national seminar on economic management and accounting, faculty economic padang state university isbn: 978-602-17129-5-5), p 1. 11 see the booklet published by the financial services authority, regarding financial information service without office in the framework for inclusive finance) which includes the need for intelligent behavior in the banking system 58 winarsih, juridical reviewa o branchless banking…., pp. 53-68 inclusive finance on 18 november 2014 12 . interest fsa publishes this regulation is to support the creation of an inclusive financial so that people can use banking services 13 . at the level of implementation of branchless banking is a term unfamiliar to most people of indonesia 14 . but internationally, particularly in emerging markets, branchless banking practice is not new. from various studies literature there are more than 100 (one hundred) countries to implement branchless banking. meanwhile, in the context of indonesia, branchless banking is a new thing for the banking industry in indonesia. therefore, the implementation of branchless banking needs to be done carefully considering the expansion of banking services through intermediary financial services unit and technology can increase risks, especially operational risk, legal risk and reputation risk for banks and telecommunications companies 15 . legal risks in branchless banking system brachless banking is a new term in the development of products using the technology of information and cooperation from the other party that the agent to provide banking services to people who are not familiar with banking or other financial services. the existence of branchless banking is believed to have the potential to reduce costs and improve services on the contrary branchless banking and can extend the range of the new market, which is a segment of society that were previously not or has not been served by the bank 16 . the services entrusted to the agent as a party representing the bank 17 . furthermore the use of agents as intermediaries between banks and customers in providing financial services may pose greater risks both for the bank and the customer. this can be seen from the model implementation, which uses the agent in serving customers in areas difficult to reach by the office of the bank, 12 reports third quarter-2014 issued by the financial services authority, p. 49 13 aster kusumawati, tanggungjawab agen kepada nasabah penyimpan dan simpananya terhadap layanan perbankan baranchless banking (ditinjau dari peraturan otoritas jasa keuangan nomor 19/pojk.03/2014 tanggal 19 november 2014 tentang layanan keuangan tanpa kantor dalam rangka keuangan inklusif), (thesis on masters notary brawijaya university, faculty of law, 2015), p 4. 14 nurtjipto, aspek hukum penggunaan agen dalam kegiatan branchless banking di perbankan indonesia, (thesis at faculty of university of indonesia, 2012), p. 5 15 yesi hendriani supartoyo, op,cit, p. 11 16 hidayati sarah, dampak branchless banking terhadap kinerja keuangan pt bank muamalat indonesia tbk, jurnal al-muzara’ah 136 (p issn: 2337-6333; e: 2355-4363), p 140. 17 see article 1 paragraph 4 of the fsa regulation no. 19 / pojk.03 / 2014 on the financial services without office in the framework of inclusive finance 59 journal of private and commercial law volume 1 no. 1, november 2017 it is certain level of security and the security service bank client assets in the implementation methods stake. besides, the bank in this case can not supervise the performance of agents in providing services 18 . another problem is the involvement of third parties in this case the agent is taken from the public can pose its own risks for our customers and the bank, it is when the agent to commit fraud. in this case the customers who feel aggrieved will certainly blame the banks and the implication is to reputation banking itself. though the bank's main capital is the trust its clients 19 . furthermore if viewed from the implementation of branchless banking risks that can occur on organizers bank is large enough, it is because the operational risks caused by external factors, namely the use of agents as intermediaries between banks and customers. legal risks can occur when an agent does not carry out its obligations in providing services as determined by the bank 20 . besides the risk of external factors other than the one the client can sue the bank as a result of a breach by the intermediary agents who commit criminal acts such as theft or fraud, breach of confidential customer errors in the delivery of customer complaints to the bank or the customer asked to pay a some money, recording errors by agents that could harm customers or some other crimes that may occur in brachless banking activities 21 . because of legal risks that may result in the selection of branchless banking activities as party agents who will work clearly non-negotiable, it is to prevent fraud or irregularities 22 . in further to ensure the legal relationship between the agent and the bank set of laws on the procedure of cooperation relations between the bank organizers of behavior intelligent agent and obligations for banks organizer of exercising due diligence process to an agent and formed a cooperation agreement and are responsible for deeds and actions agents are included in the scope of services according to the agency specified in the agreement 23 . 18 zhaskia ajeng sucioktaviany, op, cit, p. 88 19 khanan and pujiyono, “aspek yuridis keberadaan agen dalam model branchless banking di sistem perbankkan indonesia”, privat law journal vol. iv no. 1 january-june 2016 , p. 1415. 20 zhaskia ajeng sucioktaviany , op, cit. p. 90 21 ibid, p. 90 22 primitiva febriarti, agen sang ujung tombak, the gerai info bank indonesia magazine published by bank indonesia issue 39, june 3013, year 4 23 see article 19 of the ojk regulation no. 19/pojk.03/2014 on the financial services without office in the framework of inclusive finance, in addition to the liability of banks also have an 60 winarsih, juridical reviewa o branchless banking…., pp. 53-68 it is the responsibility of both banks should be done with the fsa as a supervisor or to the agent as the parties work together. to ensure the implementation of branchless banking, fsa well performed includes rules on sanctions given to the bank if it violates the provisions 24 . violation of the provisions of these terms shall be liable to a written warning and freezing operations and downgrading of the bank 25 . if analyzed on the sanctions provisions in the fsa or ojk regulation no. 19/pojk.03/ 2014, the sanctions were aimed at organizing bank only in the sense that there are no sanctions provisions granted to the agent if the agent doing things that are not in accordance with the provisions. though in this case the agency is a party involved in branchless banking and not included as a bank clerk 26 in accordance with the provisions of article 1 paragraph 4 of this rule so it is not covered by the provisions of the fsa. whereas the provisions of the sanctions is essential to minimize legal risks. it is urgent to protect the customers, which can cause problems in the future, especially in terms of who should be responsible in case the demands of the customer on open data and stash or anything else that is done by the agent, because it could be, agents evasive or refuse to responsible if the customer makes demands of him, and ended up throwing this error to the bank 27 . to anticipate this, and given the high risk of legal and may be incurred by the bank as an agency relationship and organizer of the branchless banking necessary rules covering the legal consequences received by the agent if committing a crime such as fraud, disclosure or misuse of confidential customer obligation to believe the source of the funds did not originate agent and the result of money laundering or terrorist financing, provides education to agencies, impose sanctions for violations of agent, ensure continuity of the branchless banking implementation responsibility in the event of certain circumstances that resulted agent can not operate and supervise the agency as well as some other obligations. 24 the provision intended are article 5 paragraph (9), article 8, article 19 paragraph (6) and (7), article 22, article 23 paragraph (4), article 24 paragraph (2), article 26 paragraph (2) , article 28, article 30 paragraph (3) and (4), article 31 paragraph (2), article 32, and the institute of financial services who violate the provisions of article 3 (1), 25 see article 42 of the ojk regulation no. 19/pojk.03/2014 on the financial services without office in the framework of inclusive finance. 26 what is meant by bank employees are all officials and employees of the bank. this is consistent with the elucidation of article 47 paragraph 2 of act no. 10 of 1998 on the amendment of law no. 7 of 1992 concerning banking 27 aster kusumawati, op, cit, p. 21 61 journal of private and commercial law volume 1 no. 1, november 2017 becomes the central issue of branchless banking problems and some potential criminal act occurred. importance of customer protection in branchless banking system based on the risks that may arise in the implementation of branchless banking in on the legal protection of the customer is very important. moreover who become goal customers of branchless banking is the people who live in remote areas 28 . besides the purpose of branchless banking is providing financial products that are simple, easy to understand and appropriate to the needs of people who have not been able to reach today's financial services 29 . the legal protection can be provided through regulations that set out clear on the parties involved in branchless banking system. especially if one of the parties to commit fraud that representative others. in addition to legal protection should be provided by regulation, in this case the bank is run branchless banking should also focus on the protection of customers. customers who feel protected by the bank it will be the cause confidence in the bank 30 . if explored juridical protection in branchless banking customers under article 34 in conjunction with article 3 paragraph (3) regulation no.19/pojk.03/2014. based on this article can be analyzed that the financial services authority requires the bank to provide protection to customers while implementing risk management and prudential principles that emphasize only those obligations apply only to the bank, but in this case the agency as an representative of the bank in the service branchless banking especially in providing services to the public deposits should also be required to provide protection to customers while implementing risk management and the precautionary principle. besides considering the potential fraud or a criminal offense that can be committed by an agent in providing services is huge which can not be directly supervised by the bank 31 . especially considering the demographic conditions of indonesia are very different so that access to finance community, especially in the rural areas is very 28 hidayati sarah, op, cit, p 137 29 see the pocket book of ojk "seputar informasi mengenai layanan keuangan tanpa kantor dalam rangka keuangan inklusi (laku pandai)” issued by the financial services authority p.1. 30 khanan and pujiyono, op, cit, p. 15 31 aster kusumawati, op, cit, p. 8 62 winarsih, juridical reviewa o branchless banking…., pp. 53-68 necessary supervision mechanisms and regulation. mechanisms and clear regulations concerning the establishment or designation uplk requirements, related to risk management, as well as consumer protection both at the level of banking customers, users of telecommunications services as well as uplk expected to make the implementation of branchless banking and provide legal protection for customers 32 . based on these descriptions, the customer protection in branchless banking system becomes a very important thing because the targets are rural communities untouched by the service office of the bank and financial services have not been able to reach. moreover, linked to the possible risks undertaken by the bank because the agency does not oversee the implementation of the agency in providing services that have the potential for the occurrence of some of the fraud and crime. based on these two things, the regulations on implementation risks everything possible to branchless banking, including acts committed by agents of the customer is very necessary. agent accountability assessment if the causes violations bank and customers experiencing losses based on the risks that may arise from the implementation of the regulation of branchless banking and sanctions can not be given to agents if doing some fraud or a criminal offense in performing its duties and its obligations under the fsa regulations it is interesting to discuss is about accountability agent if a time of the offense which can result in losses for the bank as a customer and who worked with the agent. if discuss the responsibilities of the agent is necessary to understand the position of the agent and the bank within the framework of branchless banking. regarding the position of the party's own bank branchless banking providers and agents have a different position. agent is an representative or a representative of the bank in providing branchless banking services as listed in the agreement made between the agent and the bank 33 . as a representative of the bank in providing services to customers who previously have not received access to banking facilities or agencies themselves at 32 yesi hendriani supartoyo, op, cit, p. 17 33 aster kusumawati, op, cit, p 15 63 journal of private and commercial law volume 1 no. 1, november 2017 risk to commit fraud or a crime in carrying out its duties and its obligations as described above. therefore, the accountability mechanism is set out in the fsa regulation of branchless banking even though there are still some problems in it. regarding the responsibility of agents in branchless banking system itself in the regulation of the fsa stated that in cooperation with the agency, bank organizers shall be responsible for the actions and the actions agents are included in the scope of services according to the agency specified in the agreement 34 . based on this provision then everything done by the agent in the provision of services included in the responsibilities of the bank. further accountability made by banks against the agent if explored in more then closely related to agreements to be mutually agreed. the agreement between the bank and the agent is the basis of the respective responsibilities of each. if the provisions on liability are not included in an agreement then in this case will apply the provisions of article 1367 of civil code which states that "everybody is not only responsible for the losses caused by themselves, but also for the losses loss caused by the actions of people who become their responsibilities or caused goods under their controling ". based on the provisions governing the liability of agents in listed in the regulation of the fsa, the civil code as well as things that must be contained in the agreement between the agent and the bank then basically the responsibility was specifically contained in the agreement that has been agreed upon and if it is not listed, the bank participated responsible for losses suffered by customers. but based on research it is possible to throw the responsibility between banks and agents. so that clear regulations on the rights and responsibilities of both are considered very important to avoid this. besides regulate about the clarity of customer protection and accountability agents also to maintain customer confidence. it is considering the characteristics of different banks with other companies that have had repercussions on society simply lost confidence in the bank. the loss of trust in the community carries serious implications for the survival of a bank which in turn led to a severe economic crisis 35 . 34 see article 22 paragraph 1 letter (f) of ojk regulation no. 19/pojk.03/2014 on the financial services without office in the framework of inclusive finance 35 zulkarnain sitompul, perlindungan dana nasabah bank suatu gagasan tentang pendirian lembaga penjamin simpanan di indonesia, (jakarta: graduate faculty of law, university of indonesia, 2002), p. 42-43. 64 winarsih, juridical reviewa o branchless banking…., pp. 53-68 based on the bank function that is crucial for a country, then the existence of the bank's assets in the form of customer confidence is critical to guarded 36 . customer confidence is closely related to the protection provided to customers. the importance of clarity regarding accountability agent is one form of customer protection. it is considering a major development of this service is unbanked communities that have potential as economic actors in the territories "remote", which most do not have access to financial services and the lack of experience in financial transaction 37 . besides the existence of regulatory and agents resposibility in branchless banking system will accelerate the penetration strategy with regard to things: the first, legal certainty for users of branchless banking agents in the system to provide a conducive environment for the development of banking services utilization. the second, the safety factor to protect agents from the risk of a lack of system physical safety of customer funds and the possibility of fraud, data loss, data leakage, physical or electronic security is inadequate to prevent banks and customers from loss or fraud. the third, the customer protection in the event of adverse things including fraud, embezzlement and runaway funds when they use agents to save money and conduct other banking transactions 38 . based on the description above, it is basically responsibility and customer protection agency in the implementation of branchless banking has a close connection. clear regulations on agency accountability to clients if wrongdoing or criminal act is a form of legal certainty, which is given to the agent in order to protect the interests of customers. with the implementation mechanism, the regulation provides legal certainty and accountability of each party against all possibilities that occur in the implementation of branchless banking is expected that the implementation of branchless banking can be realized well. further regulations concerning it is judged too important especially the position of branchless banking is a strategic national strategies in the face of asean economic community. through the implementation of branchless banking rural communities untouched by banking facilities can access funds from 36 paul aanawalt " russia's siberbank and a fresh look at the glass-steagall act" in zulkarnain sitompul perlindungan dana nasabah bank suatu gagasan tentang pendirian lembaga penjamin simpanan di indonesia, (jakarta: graduate faculty of law, university of indonesia, 2002), p. 2 37 yesi hendriani, op,cit, p 7 38 nurtjipto, op, cit, p. 88 65 journal of private and commercial law volume 1 no. 1, november 2017 the bank to develop its business products. with this mechanism indirectly production community businesses become more qualified and are expected to compete in the era of the asean economic community. conclusions the protection that given to customers against legal risks in branchless banking system fully submitted to the bank. bank in this case is obliged to apply the principles of consumer protection and apply risk management as well as the precautionary principle. while agents are not required to provide protection to customers based on the provisions of the fsa. in this case the only agent who worked with a bank and a representative of the bank to provide services to clients. the legal protection through the application of regulations that certainly was considered very important because customers are people who have access to banking facilities and the lack of public knowledge as well as the potential risks arising the implementation of branchless banking system, especially in terms of potential fraud committed by agents. accountability agents if the offense that resulted in the bank and customer losses are fully transferred to the bank organizers in accordance with the agreement in the agreement. if the bank does not specify agents responsibility in the agreement shall apply article 1367 of civil code and the bank is responsible for everything done by the agent. such liability depends on the agreement that has been agreed upon. though it is possible to throw the responsibility between banks and agents. therefore, regulation by the fsa considered important to ensure and provide the legal certainty first branchless banking has a strategic position in the era of the asean economic community references books aanawalt, paul "russia's siberbank and a fresh look at the glass-steagall act" in zulkarnean sitompul, perlindungan dana nasabah bank suatu 66 winarsih, juridical reviewa o branchless banking…., pp. 53-68 gagasan tentang pendirian lembaga penjamin simpanan di indonesia. jakarta: graduate faculty of law, university of indonesia. simanjuntak, ricardo. 2015. the dispute settlement mechanisms under the asean legal frameworks: a collective commitment creating the rulesbased asean economic community. jakarta: kontan publishing sitompul, zulkarnain. 2002. perlindungan dana nasabah bank suatu gagasan tentang pendirian lembaga penjamin simpanan di indonesia. jakarta: graduate faculty of law, university of indonesia. sutedi, adrian. hukum perbankan suatu tinjauan pencucian uang, merger, likuidasi dan kepailitan. jakarta: sinar grafika. journals and thesis febriarti, primitiva. agen sang ujung tombak, the gerai info bank indonesia magazine published by bank indonesia issue 39, june 2013, year 4 fitriastuti, triana, dhina mustika sari, ike purnamasari. implementasi keuangan inklusif bagi masyarakat perbatasan (studi kasus pada kutai timur, kabupaten kutai kartanegara dan kota samarinda, kalimantan timur, indonesia). proceedings of the national seminar on economic management and accounting (snema) faculty of economics, university of padang isbn: 978-602-17129-5-5). khanan and pujiyono. 2016. “aspek yuridis keberadaan agen dalam model branchless banking di sistem perbankkan indonesia”, privat law journal vol. iv no. 1 from january to june, 2016. kusumawati, aster. 2015. tanggungjawab agen kepada nasabah penyimpan dan simpananya terhadap layanan perbankan baranchless banking (ditinjau dari peraturan otoritas jasa keuangan nomor 19/pojk.03/2014 tanggal 19 november 2014 tentang layanan keuangan tanpa kantor dalam rangka keuangan inklusif). notary master thesis at faculty of law brawijaya university. nuraini, fitri, rieska maharani, andrianto. 2016. the strategy of enhancimg competitiveness and cooperation in dealing smes aec (asean economic community): a litarature based study, on journal semiar nasional ekonomi dan bisnis and call for paper feb umsida. nurtjipto. 2012. aspek hukum penggunaan agen dalam kegiatan branchless banking di perbankan indonesia. thesis at the faculty of law, university of indonesia 67 journal of private and commercial law volume 1 no. 1, november 2017 sarah, hidayati, “dampak branchless banking terhadap kinerja keuangan pt bank muamalat indonesia tbk”, journal al-muzara'ah 136 (p issn: 23376333; e: 2355-4363). secioktaviany, zhaskia maya and hudi asrori. 2016. “optimaliasasi manajemen resiko sebagai upaya preventif resiko hukum pada bank penyelenggara branchless banking di indonesia”, privat law journal vol. iv no. 2 july to december, 2016. simatupang, richard burton. 2015. “aspek hukum dalam bisnis, dalam aster kusumawati, tanggungjawab agen kepada nasabah dan simpananya terhadap layanan perbankan branchless banking (ditinjau dari peraturan otoritas jasa keuangan nomor 19/pojk.03/2014 tanggal 19 november 2014 tentang layanan keuangan tanpa kantor dalam rangka keuangan inklusif)”. journal of the master of notary. supartoyo, yesi hendriani and kasmiati. branchless banking mewujudkan keuangan inklusif sebagai alternatif solusi inovatif menanggulangi kemiskinan: review dan rekomendasi wibowo, pungky purnomo. branchless banking setelah multilicense: ancaman atau kesempatan bagi perbankan nasional, (papers in terms of educational staff chairman of bank indonesia (sespibi) force xxxi, bank indonesia). regulations indonesia, the act on banking as amended by act number 10 of 1998. act number 7 of 1992. ln. no 31, tln no. 3472. ------------, the act on amendment of act number 7 of 1992 on banking. law no. 10 of 1998, ln. 1998/182, tln no. 3790. ------------, the act on amendment of act of the republic of indonesia number 23 of 1999 concerning bank indonesia as amended by act no. 6 of 2009. act number 3 of 2004. ln. no. 7, tln no. 4357. ------------, the act on the financial services authority, act number 21 of 2011. ln. no 111, tln no.5253. ojk regulation no 19/pojk.03/2014 on the the financial services without office in the framework of inclusive finance. other sources pocket book issued by the financial services authority, seputar informasi mengenai layanan keuangan tanpa kantor dalam rangka keuangan inklusif (laku pandai). 68 winarsih, juridical reviewa o branchless banking…., pp. 53-68 quarterly report iii-2014 issued by the financial services authority. quarterly report iv-2014 issued by the financial services authority. academic paper bill on restriction of cash transactions compiled by the national law center development planning, ministry of law and human rights, 2013. selilit fraud in mps, adi novita, infobank published in november 2013. 55 journal of private and commercial law volume 2 no. 1, mei 2018 protection in retail investors disadvanted by fake transaction practice (cornering the market) destu argiyanto supervising society at purwokerto penitentiary pasukan pelajar imam street no. 7 purwokerto mahapatihdestarata@gmail.com abstract the practice of fake transaction is a stock trading practice that incurs many losses, especially for retail investors who basically do not control the market in majority on the floor of the stock. this practice may threaten the liquidity and credibility of capital market activities in indonesia. pseudo transaction is one of the crimes prohibited in capital market law which fall into the category of market manipulation. in simple terms, market manipulation is an activity undertaken by a person either directly or indirectly creating a false or misleading image of a trading activity, market situation, or price of securities at a stock exchange or giving a statement, or an improper, or misleading statement so that the price of the securities in bursa affected. provisions on market manipulation are provided in articles 91, 92 and 93 of law number 8 of 1995 concerning the capital market. keywords : concerning the market, ritel investors, protection introduction the capital markets bring together the owner of funds with the user of funds for medium term investment purposes. both parties do the buying and selling of capital in the form of securities. the owner of the fund handed over a number of funds and the recipient of the fund (open company) submitted proof of ownership in the form of securities. the financial services authority (ojk) as the institution with the highest authority in the capital market is expected to avoid indonesia from economic difficulties. one example of ojk authority in supervision in the field of capital market is ojk can take action that is preventive and repressive in order to smooth 56 destu argiyanto, protection in retail.., pp. 55-64 the implementation of capital market in indonesia. law number 21 year 2011 also authorizes ojk as an investigator for capital market actors who commit violations and criminal actions and may impose sanctions as stipulated in law. investments in capital markets especially stocks have high return but also high risk. due to the existence of such high risk, the law is required to provide security and security to share investors in transacting in the world of capital markets. looking at the facts so far, the protection provided by law has not fully guaranteed the security of investors in investing in the capital market, particularly the protection of the fake-transaction practices carried out by a group or part of people who can certainly harm retail investors. fake transaction or known by the term fried stock (cornering the market) is one of the actions that fall into the category of prohibited market manipulation in act no. 8 of 1995. 1 transactions of this type are usually done by bandar or manipulator who have more funds which in principle the dealers will conduct transactions on the floor of the exchange with various models that can attract other investors into the stock transactions. in practice the process of raising the stock price can be done by cooperating among securities firms in this case acting as a broker where the securities companies in cooperation with the dealer or manipulator to buy stocks fried at a certain price, then prices are made continuously rising so that the market reacts with increasing demand for these shares. then at a given price level, the manipulator will sell or release all shares held and done on a large scale. if the company has no good foundation or fundamentals then the stock price that has been fried will drop significantly. so far, the role of the financial services authority (ojk) in providing protection to investors is considered quite lacking, this is evidenced by the handling of cases of fake transactions or fried stocks against the manipulators who have not been sentenced to the maximum. the role of the financial services 1 act no 91 uupm: "any party engaging in capital market activities is prohibited from taking action, directly or indirectly, in order to create a false or misleading picture of trading activities, market conditions or securities prices on the stock exchange." 57 journal of private and commercial law volume 2 no. 1, mei 2018 authority (ojk) is needed to protect the interests of investors in order to create a regular, fair and efficient capital market. research methods the type of research used is qualitative research. the research approach used is empirical juridical or non-doctrinal research (socio-legal research). research character used descriptive analytical. the descriptive analytical of the descriptive research will provide as accurate data as possible about the role of the financial services authority (ojk) as well as the factors that hinder it in providing protection to related retail investors who are harmed as a result of the fake-transactional practices in stock trading on the exchange. the types and sources of data that will be used are primary and secondary data. the data collections techniques used were interviews, observation and documentation. technique examination of data validity in this research use technique triangulation. triangulation technique is a technique of checking the validity of data that utilizes something other than that data for checking purposes or as a comparison against that data. 2 triangulation with sources means comparing and checking both the degree of confidence of information acquired through time and tools that are in the way of a researcher’s qualified method. techniques of data analysis in research are the most important thing for the data that has been collected can be accounted and can generate answers from the problems studied. researchers use qualitative analysis techniques with interactive models owned by miles and huberman, namely component data reduction and data presentation performed together with data collection, and then after the data collected then the three components interact and if the conclusion is felt less, then there needs to be verification and re-research by collecting data field. results and discussion the ojk role in providing legal protection to retail investor related losses due to fake transaction (cornering the market) 2 moeleong, op. cit. page 178. 58 destu argiyanto, protection in retail.., pp. 55-64 financial services authority (ojk) in performing the task of regulating and supervising the capital market sector has an organizational structure that works in accordance with their respective duties and functions. the tle directorate of its therapeutic side is conducting monitoring of stock transactions of listed companies traded on the exchange; we have our own monitoring system just like the stock exchange. in case of any indication of violation of articles 91 and 92 of the capital market law, we shall enter into a review stage involving external data from (exchange members, idx and ksei). we are tasked to find the parties who are involved in the trade, if it has found at least 2 kinds of strong indications we bestowed to dpkm. the directorate of securities transaction supervision is a part of surveillance or supervision of trading transactions on the stock for either type of equity, bonds or derivatives. this means that ojk also has its own monitoring system as what is done in indonesia stock exchange. if there is any indication of any violation of the capital market, particularly violation of fake transactions (article 91 uupm) and fried stock/cornering (article 92 uupm), the surveillance will monitor the shares for several periods, which will then progress to the review stage. the review stage serves to find the parties to anyone involved in the trade, involving data from members of the securities exchange, indonesia stock exchange, and indonesia central securities depository. the directorate of securities transaction coordinates with the indonesian securities exchange in performing its duties and functions if it finds any suspicious transactions or leads to violations of the capital market, particularly for violations of articles 91, 92 and 95 uupm. the deadline set for monitoring and reviewing the directorate of securities transaction will take 1-3 months. in conducting supervision of directorate surveillance will make report in the form of technical inspection result report (lhp) which will later be submitted to dpkm. processed stages of review we can allow directly delegated to dpkm but not in the form of lhp but using the office notes abundant if we already have strong evidence of early indications of violations. the technical lhp contains the results of an examination of an existing report on the request of the result of the 59 journal of private and commercial law volume 2 no. 1, mei 2018 examination result while the office note only describes the information supported by strong data there is an early indication of violation. furthermore, the ojk stages in handling capital market violation cases after the directorate of transaction and securities institution supervision completed the technical review result report (lhp) is delegated to the directorate of capital market inspection (dpkm). the directorate of capital market inspection in performing its duties and functions shall obtain an abundance of the indonesia stock exchange and the directorate of transactions and the ojk securities institution in the form of reports of indications of violations of the capital market. ojk does not provide standardization related to reports from indonesia stock exchange, bei delegate to ojk if found an indication of violation of capital market conducted by investor. this is because the authority of the stock is only at the level of examination of the securities exchange member. the indonesia stock exchange has the authority to audit the securities exchange member. the inspection conducted by bei is a series to search, collect and process data and other information conducted by the exchange to prove or indicate whether or not there is a violation of stock exchange rules and regulations in the field of capital market. idx can not conduct check up to investor level, therefore if there is any indication of violation by investor, bei transferred to directorate of capital market ojk inspection. the directorate of capital market inspection (dpkm) of ojk has a period of time to complete a check of the violation in the capital market for a maximum of 12 (twelve) months. outcome/output of the directorate of capital market inspection is recommendation, whether from examination of the violation case will go into investigation stage or will be subject to administrative sanction. furthermore, after the directorate of capital market inspection issues recommendation result, if the case which has been examined recommend to be subject to administrative sanction it will be transferred to directorate of sanction and objection of capital market (dskp). 60 destu argiyanto, protection in retail.., pp. 55-64 directorate of ojk sanctions and capital market objection (dskp) in performing its duties and functions to impose administrative sanctions to parties that violate the provisions of laws and regulations in the field of capital market is based on the provision of government regulation (pp) no 45 year 1995 act 6165. dpsk ojk has a deadline for determining administrative sanctions to parties proven to violate laws and regulations in the capital market must be completed within 3 (three) months. if the directorate of capital market inspection ojk recommends a case of capital market violation to enter the investigation stage it will be delegated to the directorate of investigation ojk. the directorate of inquiry follows up the examination process of the capital market, banking and iknb, this is because each sector of ojk has its own section of examination. terms of a violation in the field of capital market to be able to enter the stage of investigation must have at least 2 evidences, as specified in the indonesian criminal procedure code. if there is a foreign party who becomes one of the perpetrators of violation of the laws and regulations in the field of capital market ojk step is to cooperate with the supervisory authority of financial services institutions in other countries. ojk has been a signatory of the international organization of securities commissions (iosco) of multilateral memorandum of understanding (mmou) since january 2014. it is an acknowledgment from iosco as global standards setter for the world capital market industry that the indonesian capital market regulation has equaled the members other iosco in the context of law enforcement. one of the benefits obtained by ojk as a signatory of the mmou is the recognition of ojk's right to request information from the state capital market authorities in the event of an indication of the involvement of an individual or a foreign business entity in violation or crime in the indonesian capital market. consumers if they feel disadvantaged related to transactions activities in the capital market can report to ojk through education and consumer protection. violations perpetrated by market actors, especially those related to violations of fake or cornering transactions as regulated in articles 91 and 92 of the capital market law may cause injustice to other market participants. 61 journal of private and commercial law volume 2 no. 1, mei 2018 barriers and efforts that can be provided by stock authorities and financial services authorities (ojk) in providing legal protection to retail investors related losses due to fake transactions (cornering the market) indonesian stock exchange has barriers to the system used in an effort to maintain market liquidity in capital market violations. further, constraints or obstacles experienced by the directorate of capital market inspection (dpkm) ojk related to the examination of the parties that are in violation of the provisions of capital market laws and regulations are those in the region that can not fulfill the ojk call due to constrained transportation cost problems. ojk oversight of the capital market sector is still concentrated in jakarta, so it is this that makes each party that is indicated to be a violation must come to jakarta to fulfill ojk's call. efforts made by the ojk to overcome the obstacles of parties indicated by the violation of the capital market are to go directly to the parties. the next obstacle found in the inspection process is a fake transactions or cornering conducted by foreign parties or investors, where ojk has difficulty to detect transactions conducted by foreign investors. efforts are made to overcome this, the examiner to call the securities company that resides in indonesia to convey to overseas branches that ojk requires data of foreign investors. the next obstacle experienced by the ojk capital market examiner is the difference of opinion between the ojk investigator sections with the investigator; this is because the ojk’s invertigator comes from the police. efforts made by ojk examiners to overcome the above are to convince the ojk investigator by providing sufficient accurate evidences. conclusion indonesia stock exchange in indicating a violation of fake transaction or cornering make preventive efforts to maintain liquidity of capital market trading in indonesia to stay orderly, reasonable and efficient. these efforts include the issuance of unusual market activity (uma) as well as the suspension of securities trading activities (suspension). in addition to preventive efforts, bei will also conduct repressive efforts in the form of inspection and imposition of 62 destu argiyanto, protection in retail.., pp. 55-64 sanctions against the securities exchange members involved in violation of capital market laws and regulations. the role of the financial services authority (ojk) in providing protection to investors is done by repressive efforts against all parties suspected of violating article 91 (fake-transactions) and article 92 (cornering) of uupm. such repressive efforts include monitoring and reviewing of unusual stock transactions, examination of indications of violations of capital market regulations, administrative sanctions, and investigations in the event of a criminal offense in violation of transactions as well as cornering. obstacles and efforts faced by bei and ojk in providing legal protection to investors include: (1) the obstacle faced by bei as a provider of securities trading is a supervisory system that has not been able to stop automatically trading unfair trading activities. efforts made by idx are to apply price restrictions and auto rejection as well as suspension of shares that are indicated unnatural. (2) obstacles faced by ojk: first, the parties examined can not fulfill the call on the grounds due to transportation costs. efforts made are ojk examiner go directly to the parties concerned. second, ojk can not detect transactions conducted by foreign investors individually. the efforts made are the ojk examiner notifying the members of the joint venture exchange domiciled in indonesia to request the data of foreign investors conducting transactions to the branch of a joint stock exchange member domiciled in the country of residence of the foreign investor. third, the differences of opinion between ojk examiner and ojk investigator in determining the elements of fake transactions violation. efforts made by the ojk examiner are clearly convinced to the ojk investigator by providing sufficiently accurate evidences that has been found at the time of examination. suggestion given that the system used by the exchange members is very diverse and has not been standardized, pt bursa efek indonesia as the provider of securities trading is expected to standardize the remote trading or online trading system used by the exchange members. this is done so that the overall trading of securities 63 journal of private and commercial law volume 2 no. 1, mei 2018 conducted by the exchange members produces accurate data output and minimizes the misuse of the system by the exchange members. ojk has not provided a preventive legal protection against violation of fake transaction as well as cornering as regulated in article 91 and article 92 of capital market law. therefore, ojk is expected to make an implementing regulation relating to market manipulation, especially regulations for fake transactions and cornering. related to the difference of opinion between ojk inspector and ojk investigator (police of ri and pns of ministry of finance) in determining the element of violation in capital market area, need enough effort of coordination between ojk institutions and supported enough by capital market knowledge adequate. bibliography fathul ah, lucky. 2016. ojk consumer service press release apply trackable and traceable facilities. jakarta: ojk fuady, munir. 1996. modern capital market (legal review). bandung: citra aditya bakti halim, abdul. 2005. investment analysis. jakarta: salemba four hartanto, arif. et. al. 2015. awaiting the new concept of derivative trade pension fund 64 th edition magazine. jakarta: pt jagatmedia & business. p. 12. hazen, thomas lee. 1990. the law of securities regulation. st. paul minnesola: west publishing co. husnan, suad. 1993. the basics of portopolio theory and analysis of securities. yogyakarta: upp-amp ykpn pramono, nindyo. 2013. law of pt go public and capital market. yogyakarta: andi rahardjo, budi. 2009. jelly investments in ala warren buffet stock: a profittaking strategy in the crisis. yogyakarta: andi 64 destu argiyanto, protection in retail.., pp. 55-64 shook rj and shook, robert l. the wall street direct dictionary, p. 234 usman, marzuki. et. al . 1990. abc capital market indonesia . jakarta: lppi and isei scientific journals: balfas, hamud m. 1998. criminal acts of the capital market and trade supervision at the exchange. journal of law and development edition january-june 1998 p. 15. lestari, hesty d. 2012. financial services authority: the new system in the regulation and supervision of financial services sector. journal of legal dynamics vol. 12 no. 3 of 2012, p. 558. safitri, indra. 2008. the role of capital market law in the development of indonesia's economy. indonesian legislation journal vol. 5 no. 2 june 2008, p. 6. 17 journal of private and commercial law volume 2 no. 1, mei 2018 online buying and selling transactions under international private law muhammad ikhsan lubis faculty of sharia and law, uin sumatera utara, medan – indonesia email: milubis16@gmail.com abstract development of business transactions especially buying and selling has globally impact to daily activities, and in modern era it disrupted by technology. distance and time was no longer an obstacle in terms of getting the desired goods or services. the buying and selling transaction is then called online buying and selling transaction, a term commonly used by business actors in indonesia and even the world. civilizations and actions of a person change drastically in fulfilling his desire to get something what he wants. the online buying and selling transaction is even considered the 5th industrial revolution for the order of trade and industrial civilization in the world today. this paper will see and examine online buying and selling transactions from the perspective of the international private law, because it is not impossible this online buying and selling transactions cross the border of the country. it is hoped that this paper will give different insight and perspective for readers about online transaction. keywords: buying and selling online transactions, international private law, trade introduction the world conditions as well as indonesia greatly facilitated by the internet networks. almost all human activities always related to internet and technology. since the internet began to penetrate the world, then as if distance does not become a reason in a trade transaction. pramono (2006) emphasized that all that condition is due to the advancement of technology and the availability of information quickly. with the advancement of information technology, then the legal requirement on sale and purchase transactions increasingly needed. in international trade, the function of an agreement becomes very important because every sale and purchase transactions are contained in an agreement (adolf, 2007: mailto:milubis16@gmail.com 18 muhammad ikhsan lubis, online buying …….., pp. 17-32 1-2). the most drastic change in international trade agreements is to use online media as a container in conducting transactions between business actors. the current situation is very different from the old concept contained in the civil code (supami, 2009: 63). every online buying and selling transaction there is no uniformity (badrulzaman, 2001: 283). in the positive law of indonesia, the term and definition of online sale and sale contained in law no. 11 year 2008 on information and electronic transactions. if the parties to a trade transaction are from one country and are subject to the same legal system, to this matter there will be no problem for the settlement of the law. this situation is different if one of the parties is a foreign party who has a legal system different from the law applicable in indonesia. moreover, according to suparni (2009) until now indonesia does not yet have a legal instrument that specifically regulates the sale and purchase transactions online. although at present we have law no 11 of 2008 concerning information and electronic transaction (uu ite), the electronic transaction only very limited stipulated on chapter v article 17-22. the regulation is not yet complete and has not been able to answer various juridical issues concerning the implementation of electronic transactions conducted by the parties, in the case of one party is from a foreign party subject to its own laws (sardjono, 2008: 11). likewise, concerning to the execution of electronic transactions made outside the country of indonesia, as well as how the legal settlement of the juridical issue of the electronic transaction. the information and electronic transactions act, in article 18 paragraphs (3) and (4), only determines if the parties do not determine the choice of law and the choice of forum to be applied to the parties, the international civil law principles will apply in the implementation electronic transactions, including dispute resolution among the parties. the problems arising from the choice of law and choice of forums in electronic transactions in the field of international trade were not clearly and firmly stipulated in the law. general overview of selling and buying transactions 1. understanding selling and buying transactions 19 journal of private and commercial law volume 2 no. 1, mei 2018 indonesian civil code of article 1457 explained that the sale is an agreement with which one party binds himself to surrender an object and the other party pays the promised price. article 1313 of the civil code, stated that of an agreement is an act whereby one or more persons commit themselves to one or more persons. if the buyer agrees a deal with the seller then there was the sale. the terms of the sale and purchase agreement are also contained in article 1458 of the civil code which reads “the sale and sale is deemed to have occurred as soon as the persons have reached agreement on the goods and the price, even though the goods have not been delivered and the price has not been paid.” understanding online buying and selling transactions in online buying and selling transactions, related parties therein conduct legal relations facilitated through a form of agreement made electronically and in accordance with article 1 clause 17 of the electronic information and transaction law (uu ite) as defined by the electronic contract namely the agreement contained in electronic documents or other electronics media. sellers in offering goods or services electronically obliged to provide relevant information about what the terms of the agreement to the consumer and product details are sold completely and correctly. based on this understanding, it can be drawn elements of the online trading, namely: a. there is a trade contract; b. the contract is executed by electronic media; c. the physical presence of the parties is not necessary; d. the contract takes place in a public network; and e. the system is open, ie with the internet. the terms of online sale and purchase transactions are different from the terms of the agreement known in the civil code (ibrahim, 2004: 31). however, online transactions can be classified as an unlawful agreement (onbenoemde contract) in book iii of the civil code. can be applied general teachings in chapters i to vi of the civil code against an online sale and purchase transactions (badrulzaman, 2001: 283). even if the online buying and selling arrangements are made analogously from the provisions of the civil code, then the provisions of 20 muhammad ikhsan lubis, online buying …….., pp. 17-32 book iii of tort may also be applied to online transactions. some provisions of the civil code, which includes it under article 1313 on the understanding of the agreement; chapters 1320, 1332, 1333, 1334, 1317, 1341 on the terms of the validity of the agreement; article 1347 on the contents of a treaty; chapters 1244, 1243, 1245 on broken promises and restitution (badrulzaman, 2001: 37). the definition of a contract is a written agreement. the covenant form is free, can be written and oral. according to this principle, it is accepted by our agreement law electronic form, internet, email, fax and others (badrulzaman, 2001: 37). the contract of an online sale and purchase transaction is one of the aspects of cyber law, which lies within the scope of civil law, which has the same principles as the treaty law. these principles include: the principle of freedom of contract, the consensual principle, the principle of good faith, the principle of equilibrium, the principle of propriety, the principle of custom, the principle of compensation, the principle of coercive state, the principle of legal certainty, the principle of trust, the principle of binding force, the principle of equality of law, balance principle, moral principle, propriety principle, international principle, jurisdiction principle in cyberspace, information principle, secrecy principle, security principle, contract standard principle, electronic principle, domain principle, power principle and submission principle (badrulzaman, 2001: 281282). in the law on information and electronic transactions, the definition of electronic transactions is defined as legal acts committed by using computers, networks or other electronic media. while the online sale and purchase transaction, is an agreement contained in electronic documents or other electronic media. electronic documents are defined as any electronic information created, transmitted, transmitted, received or stored in analog, digital, electromagnetic, optical or the like (law no. 11 of 2008, art. 1(16)). from the description, it can be concluded that online trading transactions are all legal acts that use electronic media as the ingredients. electronic transactions set forth in the form of an agreement or contract made through electronic media are called online buying and selling. in 21 journal of private and commercial law volume 2 no. 1, mei 2018 comparison, according to julian ding, electronic commerce transaction is a trading transaction between a seller and a buyer to provide goods, services or take over rights. this contract is done through online media (digital medium), where the parties are not present physically. this medium is contained in a public network with an open system ie the internet or the world wide web. transactions occur regardless of national boundaries and conditions (badrulzaman, 2000: 284). huala adolf (2005) argued that e-commerce is transactions in international trade conducted through electronic data exchange and other means of communication. the exchange of information is done through various technologies, one of which is electronic data interchange (edi). the electronic information and transaction act determined the use of online sale and purchase transactions used in national and international trade activities, which use the online system. an online sale and purchase transaction occurs when an offer of a transaction sent by the sender has been received and approved by the recipient, unless otherwise specified. approval of the offer of the transaction shall be done by a statement of acceptance of online sale and purchase transactions. parties in the sale and purchase transactions online are senders, recipients, online buying agents, and other parties authorized by the sender and the recipient. the sender in the online sale and purchase transaction is a legal subject that transmits information on online sale and purchase transactions and/or online trading documents, while the recipient is a legal subject who receives information on online sale and purchase transactions and / or online trading documents. law no 11 of 2008, art. 1 (8), (18), and (19), art. 20, art. 21(1) and (2), emphasized that agent of online buying and selling transaction is a device from an online system that is made to do something action against a certain online selling and selling information automatically held by person. there is no explicit explanation of anyone who can be authorized by the sender or recipient in an online sale and purchase transaction, only to the authorized party shall be written in a power of attorney. art. 18 (1) stated that the online sale and purchase transactions set forth in the online sale contract bind the parties. the contract 22 muhammad ikhsan lubis, online buying …….., pp. 17-32 format used in online buying and selling transactions is standard or standard. this is in accordance with the needs of online transactions that want transactions done quickly (adolf, 2005: 40, 163). in article 1313 of the civil code, it is stated that: “a covenant is an act by which one or more persons bind themselves to one or more persons” (ibrahim, 2004: 29-30). from such an explanation, then an agreement must meet the subjective requirements (the person) and the objective conditions (object) (see art. 1320 civil code). the non-fulfillment of subjective conditions, the treaty may be void (vernietigbaar), and if the objective conditions are not met, then the agreement is null and void. if this provision is linked to the manufacture of an online sale and purchase transaction, then the parties shall first agree on the use of certain online systems in conducting online buying and selling transactions. subjective and objective requirements must be met in the manufacture of online trading transactions. if it is not eligible, then the online sale and purchase transaction is null and void or cancellation can be done. an online sale and purchase agreement is a default agreement that is designed, manufactured, assigned, duplicated, and digitally disseminated via a website on a unilateral website by contract makers (in this case the undertaking), to be closed digitally by contract closing (in this is the consumer). as a standard agreement, it also contains distinctive features, namely: online sale and purchase agreements can be done remotely, past the boundaries territorial state through the internet; online buying and selling agreements do not need to be done by face-toface (faceless nature); an online sale and purchase agreement is used for transactions in goods, such as moving goods, immovable goods, immovable goods and services in the form of commercial services and professional services (ibrahim, 2006: 46). the related rules regarding liability for any legal consequences of an online sale and purchase transaction specify that: "all legal consequences of the conduct of electronic transactions shall be the responsibility of the parties making such online transactions, in this case the sending and receiving parties". if the transaction is authorized, then the responsibility lies with the authorizer, as well as 23 journal of private and commercial law volume 2 no. 1, mei 2018 if the online sale and purchase transaction is done through an online agent, it is responsible for all legal consequences. likewise, if the emergence of losses online selling and buying transactions due to failed operation of online agents due to third-party action. if it fails to operate due to negligence of the service user, the legal consequences become the responsibility of the service user. the exclusion of liability and legal consequences in the execution of online sale and purchase transactions by the parties or the authorizing parties or agents online shall not be applicable in the event of a state of coercion and any adverse or negligence of the user of the online transaction trading system (see art. 21 law no 8 of 2011). parties in the online selling and buying transactions online sale agreement is known 2 (two) actors are merchant (business actor who do the selling) and buyer/costumer (consumers who act as buyer). in addition to both parties, in an online sale transaction also involves providers as internet service providers and banks as a means of payment transactions. online buying and selling transactions under international trade law concept international trade agreement is an agreement or transaction in which contains foreign elements (widjaja, 2008: 24). the basic principles of the international trade agreement, according to huala adolf (2007), include: a. the fundamental principle of the supremacy of national law; b. the principle of freedom of contract; c. principle of pacta sunt servanda; and d. the principle of good faith. the fundamental principle of the rule of law is a national law that cannot be inviolable in its absolute existence. any object, legal subject, acts or legal event, including any trade transaction contained in the contract, which occurs within the territory of a country are subject to national law. the principle of freedom of contract is the parties free to make and determine the contents of a contract that binds them without any coercion from any party. the parties freely determine the form and content of the contract based on the agreement of both parties. the principle of pacta sunt servanda is the agreement or agreement made by the 24 muhammad ikhsan lubis, online buying …….., pp. 17-32 parties as well as the laws that bind the parties to the agreement. the principle of good faith must exist at the time of negotiation, contract implementation, to dispute resolution. the sale and purchase transactions online have a multidisciplinary scope and field, covering the technical areas of network and telecommunication, security, storage and retrieval of data from multimedia; field of marketing, sales, payment, billing; as well as other aspects of information privacy , taxation, intellectual property rights, the making of agreements and other legal settlements (badrulzaman, 2001: 283). in a legal event or its relationship to civil law, its parties are subject to the same legal system, it creates little legal matters, but if one party is from a foreign party, there are often difficulties for the parties in determining the rule of law to be applied to them or the means of settlement in the event of a dispute. legal acts or legal relationships in which that one of the elements contains of foreign element become an area of international civil law (hardjowahono, 2006: 3). some of the juridical issues that arise in the electronic transaction are the use of the domain name; evidences in evidence; acknowledgment of "e-mail notification" as written notice, internet taxation in respect of intellectual property rights (ipki); protection for consumers in online buying and selling transactions; the relationship of parties conducting an online sale transaction; legal protection of the right of privacy ; the choice of law is the choice of which country's laws are enacted in the case of an online sale transaction is an inter-state transaction; the jurisdiction of the judiciary (choice of forum) , which is the choice of which courts are authorized to resolve disputes between parties conducting online transactions (syahdeini, 2008: 17). the electronic information and transaction act does not specify the fields or types of online sale and purchase transactions. the use of online buying and selling transactions is used for trading activities, both nationally and internationally, using online systems (online commerce). the use and utilization of information technology can also be done by state organizers for the benefit of central and local government, as well as by people, business entities, and 25 journal of private and commercial law volume 2 no. 1, mei 2018 communities to provide benefits to the wider community (see art 17, law no. 11 of 2008). in comparison, according to the united nations convention on the use of electronic communications in international contracts 2005, among others regulated: the convention applies to: (1) contracts made by electronic communication by parties whose place of business is located in a different country. this provision determines the national factor of the parties. fields, types of transactions, and contract forms are not the decisive factors for the entry into force of this convention. (2) consumer transactions or transactions for household purposes. (3) exchange transactions related to banking activities. (4) the convention also does not apply to transactions related to the transfer of warranty rights, debt transfers, sale and purchase of collateral and the like, as well as securities transactions, debt securities, sea freight, sea transport documents (adolf, 2007: 410-41). 1. online selling and buying transactions on international private law perspective in the information and electronic transactions act, it has been determined in relation to the use of international civil law principles for the parties to the use of online sale and purchase transactions, ie if the parties do not make a choice of law from a particular legal system or if the parties do not make a choice of forum, the determination of the competence of the courts, arbitration or alternative dispute settlement institutions (art 20 law 11/2008). in relation thereto, the parties in the manufacture of online buying and selling transactions shall first establish a particular legal choice in the manufacture of electronic transactions among them, then set the forum option in the dispute settlement that may occur in the future of the online sale and purchase transactions. the subject indicates the interrelated relationship between online sale and purchase transactions with international civil law, especially in the determination of the law 26 muhammad ikhsan lubis, online buying …….., pp. 17-32 applicable to the parties conducting transactions and determining the competence of the forum to solve legal problems arising from the parties. in the cross border transaction, it does not matter if one party does not have cyber law in the country, since the seller of the developed countries has a tendency to enforce the law of the seller as a choice of law and choice of forum. for high value transactions it is necessary to specialize in lex causae and competence forums. in this regard, there are 2 (two) principles of the competence forum, namely: the principle of basic of presence , that is, the jurisdiction of the court for judgment is determined where the defendant is located; and the principle of effectiveness , which is determined by where the defendant's property is located so that it is very likely to be executed. this competency plays a role in determining the jurisdiction of the court forum or arbitration in the settlement of cases relating to private international law in the activities of online sale and purchase transactions (ramli, 2002: 15). 2. choice of law the principles used in the choice of law include: a. the principle of the parties' freedom is the agreement of the parties in determining which law shall apply to the parties to the settlement of the dispute; b. the bonafide principle is the choice of law based on good faith; c. the principle of real connection, that is, the choice of law must have a relationship or relationship with the parties. in addition there is also a legal choice clause function which is to: a. determine what law to use or substitute the terms of the contract or law that will determine and regulate the contract; b. avoiding legal uncertainties applicable to contracts during the execution of contractual obligations of the parties; and c. as a source of law when the contract does not regulate it. in addition there are also various legal options. the various options of the law include: the explicit legal choice prescribed in the legal choice clause 27 journal of private and commercial law volume 2 no. 1, mei 2018 contained in the contract; the choice of law in secret. in the case that the parties do not specifically make the choice clause of law in an agreement; the choice of law submitted to the court, if the parties submit their dispute cases in court and there is no choice of law, in the sense that the parties do not include the legal choice clause in the contract. the exclusion of the choice of law will not affect the status and validity of the agreement, only such agreements are incomplete or defective (adolf, 2007: 140-147). in an online buying and selling transaction in which there is a foreign element or one of the parties of a foreign citizen or a place of manufacture of transactions is outside indonesia, then to determine which law will be applied to the sale and purchase transactions online (dirdjosisworo, 2006: 5). legal agreement or term on online selling and buying stipulated on indonesian or foreign law. the principal principle in international civil law of treaties is the law chosen and agreed upon by the parties to the treaty (hardjowahono, 2006: 2). the choice of law according to gautama (2005) recognized as the embodiment of the principle of freedom of contract is limited by public policy and the choice of law is not about the rule of force (dwigen recht). the choice of law in cross border transactions is necessary when conflict of law arises, when the dispute arises from different parties of the legal system (sardjono, 2008: 10). restrictions on the choice of law are also adapted to the socio-economic conditions of modern life, such as consumer protection, the prevention of abuse of authority from the economic authorities as well as maintaining a fair business climate of competition in the market economy (khairandy, 2008: 42). the choice of law should be clear and resolute in the contract made, usually by the clause "governing law” (widjaja, 2008: 32) or "applicable law ". the validity of the contract is based on the legal options agreed upon by the parties to the contract. similarly, if a dispute exists between the parties, the judge or arbitrator who will decide the case shall refer to the law chosen by the parties. if the choice of law is not specified in the contract or transaction, this is where various juridical issues will arise. to answer the question of the law that will apply to a contract or transaction that does not firmly determine the choice of law, in the theories of international civil law 28 muhammad ikhsan lubis, online buying …….., pp. 17-32 known theory lex loci contractus, mail box theory, theory of declaration, lex loci solutionis, the proper law of contract, the most characteristic connection. to determine which theory will be used in determining a law that will apply to a very diverse contract from each of the respective international civil law of each country, depends on the points of affinity it embraces (khairandy, 2008: 43). in order to avoid various legal issues concerning the arising of the execution of the treaty, the interpretation of the agreement or the dispute of agreement between the parties, the choice of law is the most appropriate way of determining the law applicable to a contract made (khairandy, 2008: 43). for indonesia itself, in relation to international trade agreements use the legal provisions chosen in a treaty. however, if there is no such provision, it is only permissible to use the link point of the party having the most characteristic achievement for the contract (the most characteristic connection) (gautama, 1991: 468). 3. choice of forum choice of forum clause , choice of jurisdiction, choice of court, are terms used for the choice of the parties forum in contracting, to determine the certainty of which forum to use in the settlement of its contract dispute. the principles adopted in the choice of this forum include the freedom of the parties in determining the forum to be used in the settlement of the disputes that occur, what bona fide principles agreed upon by the parties should be respected and implemented in good faith, the principle of predictability and effectiveness the choice of forum should be based on consideration whether the forum handling the dispute of a contract will be predictable in its discretion in deciding upon a dispute and the effectiveness of adhering to or enforcing a forum decision, the principle of exclusive jurisdiction, in which case the choice of forum shall be strict, exclusive, non-jurisdictive (adolf, 2007: 163-168). in order to anticipate the possibility of a juridical issue from the parties with regard to the execution of a contract or the arising of differences in the interpretation of a contract, it may be arranged in accordance with the agreement 29 journal of private and commercial law volume 2 no. 1, mei 2018 of the parties to enter the clause of choice of jurisdiction or choice of forum. contracting parties have the freedom to make choices in the forum they agree upon. they can deviate from the relative competence by choosing another judge. the parties shall not be allowed to make a judiciary unlawful if, according to the internal law of the country concerned, it becomes unauthorized (see convention on the choice of court 1965). the choice of jurisdiction or arbitrate may be committed either to one party or to an agreed-upon country. court or arbitration before prosecuting a case then first determine whether he or she is authorized to hear or not. one way of knowing the jurisdiction's authority is to look at the choice clause of jurisdiction or the choice of forum specified in the agreement between the parties (syahdeini, 2001: 356). in this regard, the choice of the forum also has some restrictions on the choice of the forum should not be done by fraud by the parties, the choice of forum relating to the principal authority of the case by the court, the limitation of the court's authority over the parties to the dispute. non convenience forums are ineffective or malfunctioning of selected forums and do not violate public order (adolf, 2007: 166-172). thus, if a judge who adjudicates a case in which there is a foreign element, finds a choice of forum referring to other judicial bodies or other arbitration bodies, then the judge shall declare him-self not authorized to adjudicate the case. likewise, if the parties have determined the choice of forum in a particular arbitration, then the court is not authorized to adjudicate the case. in practice, the parties have a tendency to exercise their jurisdictional preferences on a particular arbitration. the choice on the arbitration forum was arranged in the convention on the recognition and enforcement of foreign arbitral awards 1958. in this regard, in indonesia there has been law no. 30 of 1999 on arbitration and alternative dispute resolution, in article 3 it is determined that the court is not authorized to adjudicate disputes of the parties concerned in the arbitration agreement. regarding the choice of forum in connection with the occurrence of disputes between parties in the electronic transaction of buying and selling online, it is 30 muhammad ikhsan lubis, online buying …….., pp. 17-32 necessary to consider the provisions regarding the jurisdiction of the application of the information and electronic transactions act, which is applicable in the territory of the republic of indonesia and outside the territory of the republic of indonesia if the sale and purchase transaction online has legal consequences in the territory of indonesia and/or outside indonesia and harms the interests of indonesia. thus, the jurisdiction of the coming into force of this act includes: legal acts prevailing in indonesia and outside indonesia; the legal act is committed by indonesian citizens, indonesian legal entities, foreign citizens, foreign legal entities; the legal act has legal consequences in indonesia and is detrimental to the interests of indonesia, namely national economic interests, strategic data protection, defense and security of the state, sovereignty of the state, citizens and indonesian legal entities (art 21, law 11/2008). the provision does not expressly define the authority of the judiciary or arbitration under indonesian law, but may serve as a basis for judges or the judiciary to settle any case in conjunction with electronic transactions occurring within or outside the territory of the indonesian state by citizens the indonesian state, indonesian legal entities, foreign citizens and foreign legal entities that have legal consequences and harm the interests of indonesia. conclusion based on the results of the above discussion, it can be concluded that online selling and buying transactions, parties from 2 (two) different countries are subject to their respective laws, have the freedom to expressly define the choice of legal clause or choice of forums in the sale and purchase transactions made online. it is necessary to avoid legal issues that may arise in the implementation of online sale and purchase transactions and in legal settlement through a defined judicial or arbitration body. regarding the choice of law or forum choice clause is not specified in the online buying and selling transactions made by the parties, then for the settlement of legal issues arising in respect of determining the law to be applicable and determining the judicial or arbitration bodies in dispute settlement, the principles of international private law such as: the proper law of contract, lex loci contractus, lex loci solutionis, party outonom, the most 31 journal of private and commercial law volume 2 no. 1, mei 2018 characteristic connection, theory of declaration, mail box theory. which principle is used by the parties, depends on the connection points that have the most close to characteristics of the electronic transaction. for the choice of forum, the principles used are principles of parties' freedom, bona fide principles, predictability and effectiveness principles and exclusive jurisdiction principles. there is also a principle: the principle of basic of presence, that is, the jurisdiction of the courts to judge the place where the defendant is located; and the principle of the principle of effectiveness, which is determined by the place where the defendant's possessions are so highly probable to be executed. in indonesia, the choice of law tends to adhere to the principle of the most characteristic connection. for the choice of forum, the judiciary in examining or dispensing disputes is still guided by article 2 of law no. 11 of 2008. as for the settlement through arbitration, done in accordance with article 3 of law no. 30 of 1999 on arbitration and alternative dispute resolution. bibliography books adolf, huala, hukum perdagangan internasional, raja grafindo persada, jakarta, 2005. ___________, dasar-dasar hukum kontrak internasional, refika aditama, jakarta, 2007. agus riswandi, budi, aspek hukum internet banking, raja grapindo persada, jakarta, 2005. dirdjosisworo, soedjono, pengantar hukum dagang internasional, refika aditama, bandung, 2006. darus badrulzaman, mariam, kontrak dagang elektronik tinjauan dari aspek hukum perdata dalam kompilasi hukum perikatan, citra aditya bakti, bandung, 2001. ___________, e-commerce tinjauan dari hukum kontrak di indonesia, majalah hukum bisnis, vol. 12, 2001. ibrahim, johanes, kartu kredit dilematis antara kontrak dan kejahatan, refika aditama, bandung, 2004. pramono, nindyo, bunga rampai hukum bisnis aktual, citra aditya bakti, bandung, 2006. remy syahdeini, sutan, e-commerce tinjauan dari presfektif hukum dalam kompilasi hukum perikatan, citra aditya bakti, bandung, 2001. 32 muhammad ikhsan lubis, online buying …….., pp. 17-32 ____________, e-commerce tinjauan dari persfektif hukum, majalah hukum bisnis, vol 12, 2001. suparni, niniek, cyberspace problematika dan antisipasi pengaturannya, sinar grafika, jakarta, 2009. sardjono, agus, prinsip-prinsip hukum kontrak dalam cross border transaction: antara norma dan fakta, jurnal hukum bisnis, vo. 27 no. 4 tahun 2008. sudargo gautama, hukum dagang dan arbitrase internasional, citra aditya bakti, bandung, 1991. _____________, indonesia dan konvensi-konvensi hukum perdata internasional, alumni, bandung, 2005. setyo hardjowahono, bayu, dasar-dasar hukum perdata internasional, buku i, citra aditya bakti, bandung, 2006. article, journal, research report ibrahim, johanes, reorientasi hukum kontrak di indonesia, jurnal hukum bisnis vol. 22 no. 6 tahun 2006. m. ramli, ahmad, perlindungan hukum terhadap konsumen dalam transaksi ecommerce, jurnal hukum bisnis, vol. 18 maret 2002. ridwan khairandy, tiga problema hukum dalam transaksi bisnis internasional di era globalisasi ekonomi, jurnal hukum bisnis, vol. 27 no. 4 tahun 2008. widjaja, gunawan, aspek hukum dalam kontrak dagang internasional: analisa yuridis terhadap kontrak jual beli internasional, jurnal hukum bisnis, vol. 27 no. 4 tahun 2008. laws and regulation indonesian civil code (kitab undang-undang hukum perdata) kitab undang-undang hukum dagang undang-undang no. 11 tahun 2008 tentang informasi dan transaksi elektronik undang-undang no. 30 tahun 1999 tentang arbitrase dan alternatif penyelesaian sengketa online source http://jurnal.untan.ac.id/index.php/civika/article/view/396/399. diakses pada tanggal 15 januari 2018 http://jurnal.untan.ac.id/index.php/civika/article/view/396/399 85 journal of private and commercial law volume 1 no. 1, november 2017 penggunaan hak cipta sebagai objek jaminan fidusia lutfi ulinnuha legal staf pd bpr bank jepara artha email : lutfiulinnuha81@gmail.com abstrak perkembangan ekonomi dan hukum hak cipta dalam undang-undang nomor 28 tahun 2014 tentang hak cipta memberikan pengaturan baru mengenai hak cipta dapat dijadikan sebagai objek jaminan fidusia. tujuan penelitian ini adalah untuk mengetahui dan menganalisis prinsip hak cipta sebagai objek jaminan fidusia dalam undang-undang nomor 28 tahun 2014 tentang hak cipta? bagaimana kesesuaian antara hak cipta sebagai objek jaminan fidusia dengan undang-undang nomor 42 tahun 1999 tentang jaminan fidusia? prinsip hak cipta sebagai objek jaminan fidusia dalam undang-undang nomor 28 tahun 2014 tentang hak cipta tidak lepas dari teori hukum alam yang menghargai setiap hasil akal pikiran manusia. selain itu dalam undang-undang nomor 28 tahun 2014 tentang hak cipta terdapat nreward teory, recovery theory, incentive theory, risk theory dan teori kepentingan makro sehingga pasal hak cipta sebagai objek jaminan fidusia dicantumkan dalam undang-undang nomor 28 tahun 2014 tentang hak cipta. pada prinsipnya hak cipta dapat dijadikan sebagai objek jaminan fidusia karena hak cipta merupakan benda bergerak yang tidak berwujud dan hak ekonomi yang dapat dijaminkan. pengaturan mengenai hak cipta sebagai objek jaminan fidusia sudah sesuai dengan ketentuan pembebanan, pendaftaran dan pengalihan jaminan fidusia pada undang-undang nomor 42 tahun 1999 tentang jaminan fidusia. kata kunci : hak cipta, benda immateriil, hak ekonomi, jaminan fidusia pendahuluan kekayaan intelektual (ki) merupakan kekayaan yang timbul atau lahir dari kemampuan intelektual manusia. kekayaan intelektual merupakan hak untuk 86 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 menikmati hasil kreativitas intelektual manusia secara ekonomis. oleh karena itu, objek yang diatur dalam ki adalah karya yang timbul atau lahir dari kemampuan intelektual manusia (sudaryat, 2010:15). kekayaan intelektual menjadikan karyakarya yang timbul atau lahir karena adanya kemampuan intelektual manusia yang harus dilindungi. kemampuan intelektual manusia dihasilkan oleh manusia melalui daya, rasa dan karyanya yang diwujudkan dengan karya-karya intelektual. karya-karya intelektual juga dilahirkan menjadi bernilai, apalagi dengan manfaat ekonomi yang melekat sehingga akan menumbuhkan konsep kekayaan terhadap kekayaan intelektual. kekayaan intelektual mengalami perubahan nomenklatur sebanyak 4 kali, dari hak cipta, paten, dan merek (hcpm) kemudian diubah menjadi hak atas kekayaan intelektual (haki), kemudian diubah lagi menjadi hak kekayaan intelektual (hki) dan yang sekarang ini berubah menjadi kekayaan intelektual (ki) setelah ditandatanganinya perpres no. 44 tahun 2015 tentang kementerian hukum dan ham. alasan diubahnya nama hak kekayan intelektual menjadi kekayaan intelektual adalah menyesuaikan pada negara-negara lain dengan nama institusi yang sama dengan tanpa menggunakan kata hak. terdapat dua kategori besar, yakni kekayaan yang sifatnya komunal dan kekayaan yang privat atau individu. biasanya kekayaan yang sifatnya individu ini terdiri dari proses menghasilkan atau melahirkan karya sendiri, proses untuk mendapatkan perlindungan serta komersialisasi dan perlindungan hukum. atas sejumlah alasan tersebut istilah ki digunakan dan tepat untuk dicantumkan di lingkungan kemenkumham. kekayaan intelektual merupakan hak yang diperoleh dari hasil intelektual seseorang yang dituangkan dalam bentuk yang nyata, tidak hanya sekedar ide/gagasan tetapi ada bentuk fisiknya. kekayaan intelektual didapatkan seseorang dengan penuh pengorbanan dilihat dari segi biaya, tenaga, dan waktu maka hasil dari ki perlu mendapatkan perlindungan. ki terdiri dari hak cipta dan hak milik industri seperti paten, merek, rahasia dagang, desain industri, dan desain tata letak sirkuit terpadu. 87 journal of private and commercial law volume 1 no. 1, november 2017 hak cipta adalah hak eksklusif pencipta yang timbul secara otomatis berdasarkan prinsip deklaratif setelah suatu ciptaan diwujudkan dalam bentuk nyata tanpa mengurangi pembatasan sesuai dengan ketentuan perundangundangan. hak cipta adalah hak eksklusif bagi pencipta untuk mengumumkan atau memperbanyak ciptaanya dalam bidang ilmu pengetahuan, seni dan sastra antara lain dapat terdiri dari buku, program komputer, ceramah, kuliah, pidato, ciptaan lain yang sejenis dengan itu, serta hak terkait dengan hak cipta. rekaman suara dan/atau gambar pertunjukan seorang pelaku (performer), merupakan hak terkait yang dilindungi hak cipta. seorang pencipta mempunyai hak eksklusif untuk menikmati sendiri hasil ciptaannya atau memberikan ijin kepada orang lain untuk menggunakan ciptaannya. pencipta juga mempunyai hak moral dan hak ekonomi dari ciptaannya. hak moral dari si pencipta akan selalu melekat abadi meskipun ciptaan itu beralih kepada orang lain, sedangkan hak ekonomi dapat beralih kepada orang lain apabila si pencipta memberikan ijin kepada orang lain untuk melakukan perbanyakan atau penggandaan ciptaan tersebut. biasanya hal ini ditandai dengan adanya perjanjian lisensi. hak cipta diatur dalam undang-undang nomor 28 tahun 2014 tentang hak cipta selanjutnya disebut uuhc tahun 2014, pengaturan hak cipta di indonesia sendiri telah beberapakali mengalami perubahan. undang-undang nomor 28 tahun 2014 tentang hak cipta merupakan hasil perubahan dari undang-undang nomor 19 tahun 2002 tentang hak cipta. sedangkan undangundang nomor 19 tahun 2002 tentang hak cipta merupakan perubahan dari undang-undang nomor 12 tahun 1997, sedangkan undang-undang nomor 12 tahun 1997 merupakan perubahan dari undang-undang nomor 7 tahun 1987. sementara itu undang-undang nomor 7 tahun 1987 tentang hak cipta merupakan pengganti undang-undang nomor 6 tahun 1982 tentang hak cipta yang menggantikan undang-undang hak cipta tahun 1912, yaitu undangundang hak cipta peninggalan pemerintah kolonial belanda yang pada masa penjajahan jepang dinyatakan masih berlaku (sudaryat, 2010:41). 88 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 perkembangan hak cipta dengan adanya undang-undang nomor 28 tahun 2014 tentang hak cipta memberikan perlindungan hukum bagi pencipta karya cipta, selain itu hak cipta juga dapat dijadikan sebagai objek jaminan fidusia, hal ini menunjukan bahwa hak cipta sekarang ini sangat bermanfaat bagi pencipta karya cipta karena dengan hasil ciptaan dapat digunakan sebagai agunan dalam memperoleh utang. ketentuan mengenai hak cipta dapat dijadikan sebagai jaminan fidusia tertuang dalam pasal 16 ayat 3 uuhc tahun 2014. hal ini tentunya sangat berarti pencipta karya cipta dapat mengakses kredit dengan cara menjaminkan karya ciptaanya kedalam jaminan fidusia. pasal 16 ayat 3 uuhc tahun 2014 mempertegas bahwa pencipta dapat menjaminkan karya ciptaannya melalui jaminan fidusia. selain hal pencipta dapat memfidusiakan hasil ciptaanya, hal ini diharapkan pencipta karya cipta mampu untuk meningkatkan kwalitas suatu ciptaan. selain itu dengan dikeluarkanya uuhc tahun 2014 diharapkan mampu untuk meningkatkan kualitas bagi usaha mikro kecil dan menengah (umkm), sehingga kesiapan diharapkan indonesia mampu bersaing di era mayarakat ekonomi asean terutama dalam bidang ekonomi. kegiatan utang-piutang yang sering dilakukan oleh masyarakat sekarang ini, salah satunya adalah menggunakan lembaga jaminan fidusia. lembaga fidusia dinilai efektif dalam mengatasi laju perkembangan ekonomi. jaminan fidusia telah digunakan di indonesia sejak zaman penjajahan belanda yang semula berasal dari romawi sebagai salah satu bentuk jaminan yang lahir dari yurisprudensi. di negeri asalnya tersebut, selain bentuk jaminan, juga sebagai lembaga titipan. dalam hukum romawi lembaga fidusia ini dikenal dengan nama fiducia cum creditore contracta (artinya janji kepercayaan yang dibuat oleh kreditor). pada awalnya benda yang menjadi objek jaminan fidusia dibatasi dengan benda bergerak berwujud dalam bentuk peralatan, akan tetapi dengan kemajuan zaman benda yang menjadi objek jaminan fidusia meliputi benda bergerak tak berwujud ataupun benda bergerak. jaminan fidusia berasal dari kata fiduciair atau fides, yang artinya adalah kepercayaan, penyerahan hak milik atas benda. pengertian mengenai jaminan 89 journal of private and commercial law volume 1 no. 1, november 2017 fidusia dalam undang-undang nomor 42 tahun 1999 tentang jaminan fidusia selanjutnya disebut uujf adalah jaminan atas benda bergerak baik yang berwujud maupun yang tidak berwujud dan benda tidak bergerak khususnya bangunan yang tidak dapat dibebanani hak tanggungan sebagaimana dimaksud undang-undang nomor 4 tahun 1996 tentang hak tanggungan yang tetap berada dalam penguasaan pemberi fidusia, sebagai agunan bagi pelunasan utang tertentu, yang memberikan kedudukan yang diutamakan kepada penerima fidusia terhadap kreditur lainnya. penggunaan hak cipta sebagai jaminan fidusia tidak lepas dari karakteristik objek dari jaminan fidusia. karakteristik benda yang dapat dijaminkan sebagai objek jaminan fidusia adalah benda yang mempunyai nilai ekonomis dalam artian suatu saat apabila debitur tidak dapat melunasi utangnya benda itu dapat menutup utang tersebut. dalam kaitanya dengan hak cipta, hak cipta memiliki hak moral dan hak ekonomi sehingga dapat dimungkinkan untuk digunakan sebagai jaminan fidusia. hak moral adalah hak yang melekat secara abadi pada diri pencipta untuk tetap mencantumkan namanya pada salinan sehubungan dengan pemakaian ciptaannya untuk umum. hak ekonomi adalah hak eksklusif pencipta atau pemegang hak cipta untuk mendapatkan manfaat ekonomi atas ciptaan. metode penelitian penelitian ini merupakan penelitian hukum (penelitian yuridis) yang memiliki suatu metode yang berbeda dengan penelitian lainnya. penelitian hukum normatif selalu mengambil isu dari hukum sebagai sistem norma yang digunakan untuk memberikan “justifikasi” preskripsif tentang suatu peristiwa hukum. sehingga penelitian hukum normatif menjadikan sistem norma sebagai pusat kajianya. bagi penelitian untuk kegiatan akademis, peneliti perlu mencari ratio legis dan dasar ontologis lahirnya undang-undang tersebut. dengan mempelajari ratio legis dan dasar ontologis suatu undang-undang, peneliti sebenarnya mampu mengungkap kandungan filosofis yang ada di belakang undang-undang itu. memahami kandungan filosofis yang ada di belakang undang-undang itu, peneliti 90 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 tersebut akan dapat menyimpulkan mengenai ada tidaknya benturan filosofis antara undang-undang dengan isu yang dihadapi. pendekatan penelitian adalah metode atau cara mengadakan penelitian. dari ungkapan konsep tersebut jelas bahwa yang dikehendaki adalah suatu informasi dalam bentuk deskripsi dan menghendaki makna yang berada di balik bahan hukum. sesuai dengan jenis penelitiannnya yakni penelitian hukum normatif (yuridis normatif), maka dapat digunakan pendekatan yang pertama adalah perundang-undangan (statute approach). pendekatan perundang-undangan dilakukan untuk meneliti aturan perundang-undangan yang mengatur mengenai jaminan fidusia suatu karya cipta/ciptaan. dalam penelitian hukum tidak dikenal adanya data, sebab dalam penelitian hukum khususnya yuridis normatif sumber penelitian hukum diperoleh dari kepustakaan bukan dari lapangan, untuk itu istilah yang dikenal adalah bahan hukum (marzuki, 2005:133) dalam penelitian hukum normatif bahan pustaka merupakan bahan dasar yang dalam ilmu penelitian umumnya disebut bahan hukum sekunder. dalam bahan hukum sekunder terbagi bahan hukum primer dan sekunder. adapun bahan hukum primer dalam penelitian ini terdiri dari: (1) kitap undang-undang hukum perdata; (2) undang-undang nomor 28 tahun 2014 tentang hak cipta; (3) undang-undang nomor 42 tahun 1999 tentang fidusia; (4) peraturan pemerintah nomor 21 tahun 2015 tentang tata cara pendaftaran jaminan fidusia dan biaya pembuatan akta jaminan fidusia; (5) perpres no. 44 tahun 2015 tentang kementerian hukum dan ham. merupakan bahan hukum yang bersifat membantu atau menunjang bahan hukum primer dalam penelitian yang akan memperkuat penjelasan di dalamnya. di antara bahan-bahan hukum sekunder dalam penelitian ini adalah buku-buku, jurnal, artikel hukum, dokumen-dokumen yang berkaitan dengan hak cipta sebagai jaminan fidusia. bahan hukum sekunder berguna untuk memberikan petunjuk kepada peneliti ke arah mana peneliti akan melangkah. tulisan artikel dan jurnal hukum mengenai hak cipta sebagai fidusia dapat memberikan aspirasi peneliti untuk menjadi titik anjak dalam memulai penelitian. selain itu wawancara 91 journal of private and commercial law volume 1 no. 1, november 2017 juga termasuk dalam bahan hukum sekunder guna menunjang bahan hukum primer. pengumpulan bahan hukum dalam penelitian library research atau pengumpulan kepustakaan adalah teknik dokumenter, yaitu dikumpulkan dari telaah arsip atau studi pustaka seperti buku-buku, makalah, artikel, jurnal, atau karya para pakar yang berkaitan dengan hak cipta sebagai objek jaminan fidusia. selain itu, wawancara juga merupakan salah satu dari teknik pengumpulan bahan hukum yang menunjang teknik dokumenter dalam penelitian ini serta berfungsi untuk memperoleh bahan hukum yang mendukung penelitian jika diperlukan. hasil dan pembahasan prinsip hak cipta sebagai objek jaminan fidusia dalam undang-undang nomor 28 tahun 2014 tentang hak cipta hak cipta menurut ketentuan pasal 1 ayat (1) uuhc tahun 2014 adalah “hak cipta adalah hak eksklusif pencipta yang timbul secara otomatis berdasarkan prinsip deklaratif setelah suatu ciptaan diwujudkan dalam bentuk nyata tanpa mengurangi pembatasan sesuai dengan ketentuan peraturan perundang-undangan”. hukum kekayaan intelektual bertujuan untuk melindungi para pencipta dan produser barang dan jasa intelektual lainya melalui pemberian hak tertentu secara terbatas untuk mengontrol penggunaan yang dilakukan produser tersebut. hak cipta dewasa ini telah menjadi masalah internasional yang bertujuan untuk menentukan arah politik hubungan antar bangsa, politik ekonomi, politik pertahanan, dan politik budaya. hak cipta, dan juga hak hak lain seperti paten, dan merek dipakai sebagai alat ukur untuk menentukan status negara maju, berkembang atau terbelakang, terutama dalam hal penentuan tinggi rendahnya royalti. hak cipta dewasa ini telah mampu menyumbangkan sesuatu yang bernilai budaya, nilai ekonomi, nilai estetik, nilai kreatifitas, dan nilai sejarah sehingga mampu menambah pendapatan negara. nilai ekonomi dari hak cipta pada hakikatnya memberikan perlindungan bagi si pencipta untuk menikmati secara materiil jerih payahnya dari karya cipta tersebut. benda hasil karya cipta dianggap sebagai benda bergerak yang dapat diperjual belikan, diwariskan, dan dihibahkan. 92 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 perkembangannya karya cipta yang bersumber dari hasil kreasi akal dan budi manusia tersebut telah melahirkan suatu hak yang disebut hak cipta (copy right). hak cipta tersebut melekat pada diri seorang pencipta atau pemegang hak cipta, sehingga lahirlah dari hak cipta tersebut hak-hak ekonomi (economic rights) dan hak-hak moral (moral rights). hak ekonomi merupakan hak untuk mengeksploitasi yaitu hak untuk mengumumkan dan memperbanyak suatu ciptaan, sedangkan hak moral merupakan hak yang berisi larangan untuk melakukan perubahan terhadap isi ciptaan, judul ciptaan, nama pencipta, dan ciptaan itu sendiri. adapun standar agar dapat dinilai sebagai hak cipta (standart of copyright ability) atas karya cipta di bidang ilmu pengetahuan, seni dan sastra yaitu: (1) perwujudan (fixation), yaitu suatu karya diwujudkan dalam suatu media ekspresi yang berujud manakala pembuatannya ke dalam perbanyakan atau rekaman suara oleh atau berdasarkan kewenangan pencipta, secara permanen atau stabil untuk dilihat, direduksi atau dikomunikasikan dengan cara lain, selama suatu jangka waktu yang cukup lama; (2) keaslian (originality), yaitu karya cipta tersebut bukan berarti harus betul-betul baru atau unik, mungkin telah menjadi milik umum akan tetapi masih juga asli; dan (3) kreatifitas (creativity), yaitu karya cipta tersebut membutuhkan penilaian kreatif mandiri dari pencipta dalam karyanya yaitu kreativitas tersebut menunjukkan karya asli. dikeluarkannya uuhc tahun 2014 memberikan ketentuan baru terkait dengan hukum hak cipta, beberapa ketentuan yang ada dalam uuhc tahun 2014 yaitu menganai hak ekonomi yang ada pada hak cipta dimana didalamnya mengatur mengenai hak cipta merupakan benda bergerak tidak berwujud, kemudian di ayat selanjutnya hak cipta dapat dijadikan sebagai objek jaminan fidusia. hal ini merupakan ketentuan yang baru dalam undang-undang hak cipta. efektifnya penegakan hukum sebuah undang-undang dalam suatu negara bukan merupakan kewajiban dari masyarakat yang diatur oleh undang-undang, melainkan pada pembuat undang-undang (antony, 1981:229). dalam membuat undang-undang, cenderung berdasarkan kemajuan yang dicapai di negara lain, umumnya pada kemajuan yang dicapai negara-negara maju. 93 journal of private and commercial law volume 1 no. 1, november 2017 efektifitas undang-undang dalam sebuah negara diukur melalui tiga derajat penerapan undang-undang tersebut: (1) ketika undang-undang menjadi pencegah (preventive), apakah undang-undang tersebut berhasil mencegah subyek hukumnya dari perbuatan yang dilarang; (2) ketika undang-undang menjadi penyelesaian dari sengketa (currative) yang timbul antara subyek hukumnya, apakah undang-undang berhasil memberikan penyelesaian yang adil; (3) ketika undang-undang menjadi penyedia kebutuhan subyek hukumnya untuk melakukan perbuatan hukum (facilitative), apakah undang-undang berhasil menyediakan aturan-aturan yang memfasilitasi kebutuhan mereka. tidak efektifnya sebuah undang-undang menurut allott dalam naskah akademik undang-undang hak cipta tahun 2013 adalah: (1) penyampaian maksud dari undang-undang tersebut yang tidak berhasil. bentuk dari undangundang umumnya berupa peraturan-peraturan berbahasa baku yang sulit dimengerti oleh masyarakat awam serta kurangnya badan pengawasan dari penerimaan dan penerapan undang-undang tersebut. (2) terdapat pertentangan antara tujuan yang ingin dicapai oleh pembuat undangundang dengan sifat dasar dari masyarakat. (3) kurangnya instrumen pendukung undang-undang seperti peraturan pelaksana, institusi-institusi atau proses yang berkaitan dengan pelaksanaan dan penerapan undang-undang tersebut. dilihat dari filosofisnya uuhc tahun 2014 dibentuk untuk tercapainya kesejahteraan rakyat dan secara sosilogis menjadi sarana untuk tercapainya keadilan dak ketertiban masyarakat. tujuan dari hukum tidak saja hanya tercapainya keadilan, akan tetapi juga terciptanya ketertiban (order). hukum harus berfungsi menciptakan keteraturan sebagai prasyarat untuk dapat memberikan perlindungan bagi rakyat dalam memperoleh keadilan, keteraturan dan ketenangan dan bukan untuk menyengsarakannya. sejalan dengan filosofi diatas maka pemikiran tentang ciptaan atau karya cipta maka sewajarnya apabila negara menjamin sepenuhnya perlindungan segala macam ciptaan yang merupakan karya intelektual manusia sebagai produk olah pikirnya baik di bidang ilmu pengetahuan, maupun seni dan sastra. dasar pemikiran diberikannya kepada seorang individu perlindungan hukum terhadap 94 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 ciptaannya tidak terlepas dari dominasi pemikiran madzhab hukum alam yang menekankan pada faktor manusia dan penggunaan akal seperti yang dikenal dalam sistem hukum sipil (civil law system). secara sosiologis suatu ciptaan mempunyai manfaat bagi kehidupan manusia (life worthy) dan mempunyai nilai ekonomi sehingga menimbulkan adanya tiga macam konsepsi, yaitu : (1) konsepsi kekayaan; (2) konsepsi hak; dan (3) konsepsi perlindungan hukum. kehadiran tiga konsepsi ini lebih lanjut menimbulkan kebutuhan adanya pembentukan hukum, antara lain di bidang hak cipta. mochtar kusumaatmadja dalam naskah akademik rancangan undangundang hak cipta tahun 2013 mempunyai pemikiran bahwa hukum adalah sebagai sarana bagi pembangunan dan sarana pembaharuan masyarakat. selanjutnya dikatakannya bahwa tanpa kepastian hukum ketertiban masyarakat yang dijelmakan olehnya tidak mungkin mengembangkan bakat-bakat dan kemampuan yang diberikan tuhan kepadanya secara optimal di dalam masyarakat tempat ia hidup. relevan dengan hal tersebut, pengembangan bakat-bakat dan kemampuan manusia memerlukan adanya upaya-upaya untuk mewujudkannya termasuk melalui pembentukan pelbagai aturan yang medukungnya sehingga tercapai suatu kepastian hukum. pembentukan atau penyempuranaan aturan tentang hak cipta akan menimbulkan penghormatan dan perlindungan terhadap bakat-bakat dan kemampuan seseorang yang diwujudkan dalam berbagai karya. pengaturan mengenai hak cipta di indonesia merupakan bagian dari hukum perdata yang merupakan bagian dari hukum benda. karakteristik hak cipta sebagai bagian dari hukum benda dapat dilihat dari pasal 499 kuhperdatayang menyatakan bahwa tiap tiap barang dan tiap-tiap hak yang dapat dikuasai dengan hak milik. didalam hak cipta mempunyai hak ekonomi dan hak moral yang melekat didalamnya. hak cipta menjadi faktor penting sebuah negara dalam hal hubungan antar bangsa terutama di bidang ekonomi, hak cipta dewasa ini juga dapat menentukan status negara maju, berkembang atau terbelakang, terutama dalam hal penentuan tinggi rendahnya royalti. hak cipta juga menyumbangkan sesuatu yang bernilai budaya, nilai ekonomi, nilai estetik, nilai kreatifitas, dan nilai sejarah sehingga mampu menambah pendapatan negara. nilai ekonomi dari 95 journal of private and commercial law volume 1 no. 1, november 2017 hak cipta pada hakikatnya memberikan perlindungan bagi si pencipta untuk menikmati secara materiil jerih payahnya dari karya cipta tersebut. perlindungan hak cipta muncul ketika karya cipta telah diwujudkan dalam bentuk yang nyata atau secara materiil. seorang pencipta berhak untuk memonopoli ciptaanya baik mengumumkan atau memperbanyak ciptaanya. hak cipta tidak perlu didaftarkan karena hak cipta menganut rezim deklaratif. walaupun hak cipta tidak perlu didaftarkan sudah mendapat perlindungan hukum karena rezimnya adalah deklaratif. rezim deklaratif mengandung makna bahwa perlindungan hukum mulai berlaku sejak kali pertama mengumumkan. tetapi untuk kepentingan pembuktian hak cipta perlu didaftarkan ke dirjen kekayaan intelektual kementerian hukum dan ham. prinsip-prinsip dalam undang-undang nomor 28 tahun 2014 tentang hak cipta tidak lepas tidak lepas dari madzab hukum alam yang menekankan pada faktor pengguna akal untuk menghormati dan menghargai setiap karya intelektual seseorang. penghargaan tersebut diberikan karena sebuah ciptaan merupakan hasil pemikiran “intelektual” yang mengandung nilai ekonomi. secara sosiologis suatu ciptaan mempunyai manfaat bagi kehidupan manusia sehingga menimbulkan konsepsi harta kekayaan, konsepsi hak dan konsepsi perlindungan hukum. dengan adanya undang-undang hak cipta dapat memberikan kepastian hukum untuk melindungi dan mengembangkan bakat-bakat dan kemampuan manusia sehingga dapat mewujudkan karya intelektual yang mempunyai manfaat ekonomi. undang-undang no 28 tahun 2014 tentang hak cipta terdapat reward teory yang mempunyai makna berupa pengakuan terhadap kekayaan intelektual yang telah dihasilkan oleh pencipta harus diberikan penghargaan sebagai imbalan atas upaya-upaya kreatifnya dalam menemukan atau menciptakan karya cipta. kedua adalah recovery theory, teori ini sejalan dengan prinsip yang menyatakan bahwa pencipta yang telah mengeluarkan waktu, biaya serta tenaga dalam menghasilkan karya intelektualnya harus memperoleh kembali apa yang telah dikeluarkannya tersebut. ketiga adalah incentive theory, dimana teori yang sejalan dengan teori reward, yang mengkaitkan pengembangan kreativitas dengan memberikan insentif bagi pencipta. berdasarkan teori ini insentif perlu diberikan 96 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 untuk mengupayakan terpacunya kegiatankegiatan penelitian berikutnya dan berguna. teori yang keempat adalah risk theory, yang mengakui bahwa kekayaan intelektual merupakan suatu hasil karya yang mengandung resiko untuk itu pencipta harus mendapat perlindungan, penghargaan atas karya yang telah diwujudkanya. teori yang terakhir adalah teori kepentingan makro dimana teori ini sebagai upaya untuk menumbuhkan kreatifitas masyarakat sehingga hak cipta dapat membantu dalam pembangunan teknologi dan pembangunan ekonomi. apabila dikaitkan dengan teori-teori tersebut dengan ketentuan mengenai hak cipta dapat dijadikan sebagai objek jaminan fidusia maka ketentuan mengenai pasal 16 ayat 3 uuhc tahun 2014 merupakan wujud kongkret untuk mengembangkan perekonomian bagi para pencipta. karena dengan adanya pasal tersebut pencipta dapat menambahkan modalnya dengan menjaminkan karya ciptaanya. selain itu dengan ketentuan pasal 16 ayat 3 juga mendorong agar pencipta lebih kreatif dan mengembangkan kwalitas terhadap ciptaannya. ketentuan baru mengenai hak cipta dapat dijadikan sebagai objek jaminan fidusia dalam uuhc tahun 2014 merupakan bentuk facilitative dari pemerintah terhadap masyarakat dalam menyediakan wadah pengembang ekonomi untuk meningkatkan kesejahteraan masyarakat sebagai bentuk penghargaan atas karya yang telah diwujudkan dalam bentuk yang nyata. hal ini sejalan dengan asas reward theory/incentive theory/recovery theory yakni diberikannya hak eksklusif berupa perlindungan hukum dengan jangka waktu tertentu agar pencipta dapat mengeksploitasi kreasi yang dihasilkannya sebagai suatu penghargaan atas jerih payah serta pengorbanan yang telah dilakukan dalam menciptakan kreasinya. reward/incentive/recovery yang diperoleh berdasarkan undang-undang nomor 19 tahun 2002 tentang hak cipta, antara lain berupa:. (1) dicantumkannya kata “hak eksklusif” pada definisi hak cipta; (2) diberikannya jangka waktu sesuai trip’s yaitu seumur hidup ditambah 50 tahun setelah pencipta meninggal; (3) ditetapkannya royalti sebagai hak dari pencipta; (4) diterapkannya norma bahwa adalah pelanggaran hukum apabila memperbanyak/mengumumkan ciptaan milik orang lain tanpa izin. melalui norma ini maka dapat ditempuh upaya hukum secara perdata atau pidana atau arbitrase dalam menyelesaikan sengketa; (5) 97 journal of private and commercial law volume 1 no. 1, november 2017 meskipun diterapkan lisensi wajib dibidang hak cipta namun dengan tetap memberikan royalti. undang-undang nomor 28 tahun 2014 tentang hak cipta menjelaskan bahwa hak cipta adalah hak eksklusif pencipta yang timbul secara otomatis berdasarkan prinsip deklaratif setelah suatu ciptaan diwujudkan dalam bentuk nyata tanpa mengurangi pembatasan sesuai dengan ketentuan perundangundangan. undang-undang ini juga mencantumkan ketentuan baru dimana hak cipta dapat dijadikan sebagai objek jaminan fidusia. pasal 16 ayat 3 menyatakan bahwa “hak cipta dapat dijadikan sebagai objek jaminan fidusia”. adanya ketentuan ini berawal dari perlindungan hak cipta yang melindungi hak setiap ciptaan yang telah diwujudkan dan hak cipta juga mempunyai hak moral dan hak ekonomi yang ada dalam karya cipta. hak moral adalah yang melekat secara abadi pada diri pencipta untuk tetap mencantumkan atau tidak mencantumkan namanya pada salinan sehubungan dengan ciptaan untuk umum. hak moral tidak dapat dialihkan selama pencipta masih hidup tetapi pelaksanaan hak tersebut dapat dialihkan dengan wasiat atau sebab lain sesuai dengan ketentuan peraturan perundang-undangan setelah pencipta meninggal dunia. selain dengan hak moral hak cipta juga mempunyai hak ekonomi, hak ekonomi merupakan hak eksklusif pencipta atau pemegang hak cipta untuk mendapatkan manfaat ekonomi atas ciptaan. adanya hak moral dan hak ekonomi pada hak cipta membuat hak cipta dapat dijadikan sebagai objek jaminan fidusia, selain itu hak cipta merupakan benda bergerak tidak berwujud hal ini diatur dalam pasal 16 ayat 1 uuhc tahun 2014. ketentuan tersebut sejalan dengan pengertian jaminan fidusia dimana fidusia adalah fidusia adalah pengalihan hak kepemilikan suatu benda atas dasar kepercayaan dengan ketentuan bahwa benda yang hak kepemilikannya dialihkan tersebut tetap dalam penguasaan pemilik benda. jaminan fidusia adalah hak jaminan atas benda bergerak baik yang berwujud maupun yang tidak berwujud dan benda tidak bergerak khususnya bangunan yang tidak dapat dibebani hak tanggungan sebagaimana dimaksud dalam undang-undang nomor 4 tahun 1996 tentang hak tanggungan yang tetap berada dalam penguasaan pemberi fidusia, 98 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 sebagai agunan bagi pelunasan utang tertentu, yang memberikan kedudukan yang diutamakan kepada penerima fidusia terhadap kreditur lainnya. objek jaminan fidusia adalah benda bergerak baik berwujud atau tidak berwujud dan benda tidak bergerak khususnya yang tidak dapat dibebani hak tanggungan. benda bergerak berwujud contohnya sepeda motor, mobil, laptop serta benda bergerak berwujud lainya yang sesuai dengan objek jaminan lainya. sedangkan benda bergerak tidak berwujud contohnya adalah piutang, kekayaan intelektual, pitang, surat berharga. pengertian benda menurut uujf “benda adalah segala sesuatu yang dapat dimiliki dan dialihkan, baik yang berwujud maupun yang tidak berwujud, yang terdaftar maupun yang tidak terdaftar, yang bergerak maupun yang tak bergerak yang tidak dapat dibebani hak tanggungan atau hipotek”. pengaturan mengenai hak cipta dapat dijadikan sebagai objek jaminan fidusia terdapat dua hal pokok yang pertama adalah hak cipta merupakan hak kebendaan yang immateriil kemudian yang kedua adalah nilai ekonomi hak cipta sebagai jaminan. nilai ekonomi pada hak cipta digunakan untuk mengantisipasi apabila debitur tidak dapat memenuhi prestasi kepada kreditur. selain itu hak cipta juga mempunyai perlindungan. hal ini semula bersalah dari teori hukum alam yang menekankan pada faktor manusia dan pengguna akal seperti yang dikenal dalam sistem hukum sipil (civil law system). hak ekonomi pada hak cipta sebagai jaminan untuk menanggung atau menjamin pembayaran atau pelunasan utang tertentu, debitur umumnya diwajibkan menyediakan jaminan berupa agunan (kebendaan tertentu) yang dapat dinilai dengan uang, berkualitas tinggi yang nilainya minimal sebesar jumlah utang yang diberikan kepadanya. untuk itu seharusnya pihak perbankan dan lembaga keuangan lainnya atau bahkan perseorangan meminta kebendaan jaminan dengan maksud jika debitur tidak dapat melunasi utangnya atau dinyatakan pailit, maka kebendaan jaminan tersebut dapat dicairkan atau diuangkan guna menutupi pelunasan atau pengembalian uang tersisa. 99 journal of private and commercial law volume 1 no. 1, november 2017 kaitan dengan kekayaan inteleltual sebagai collateral (jaminan), dalam hukum jaminan secara sederhana dapat diartikan sebagai hukum yang mengatur tentang jaminan utang, baik yang berbentuk jaminan kebendaan maupun perorangan. menurut r. subekti dalam bukunya (junaidi 2011:133) jaminan dapat dibedakan dalam jaminan kebendaan dan jaminan perorangan. jaminan perorangan adalah suatu perjanjian antara seorang kreditur dengan orang ketiga yang menjamin dipenuhinya kewajiban debitur. perjanjian jaminan perorangan bahkan dapat diadakan tanpa sepengetahuan debitur tersebut. jaminan kebendaan dapat diadakan antara kreditur dengan debitur, atau antara kreditor dengan orang ketiga yang menjamin dipenuhinya kewajiban-kewajiban debitur. kekayaan intelektual sebagai jaminan fidusia, dalam prosesnya pasti akan dilakukan penilaian (appraisal, valuation). untuk melakukan hal tersebut, penilaian kekayaan intelektual dapat melakukan komparasi dengan berbagai penilaian dilakukan perbankan diantaranya: (1) nilai pasar (market value); (2) biaya penggantian baru (reproduction cost); (3) nilai wajar (depreciated replacement cost); (4) nilai likuidasi (liquidation value); (5) nlai asuransi (insurable value/actual cost value) 1 . untuk melakukan penilaian terhadap terhadap kekayaan intelektual, dapat mempertimbangkan beberapa model penilaian asset yang dikembangkan saat ini. salah satunya menurut sveiby dalam jurnal volume 6 ada tiga jenis asset intangible, yaitu employee competence, internal structure, dan external structure. yang termasuk dalam jenis internal structure antara lain adalah paten, konsep, model, dan sistem komputer dan sistem administrasi. dengan demikian, hak cipta dan kekayaan intelektual juga merupakan asset intangible, lebih rinci lagi termasuk internal structure sebuah perusahaan. menurut sri mulyani dalam jurnal dinamika hukum 2 (2012:573) ada beberapa pendekatan untuk menilai kekayaan intelektual sebagai objek jaminan. 1 junaidi akhmad dan muhammad joni. 2011. pemanfaatan sertifikat hki sebagai collateral kredit. jurnal volume 6, halaman 135. 2 mulyani, sri. 2012. pengembangan hak kekayaan intelektual sebagai collateral (agunan) untuk mendapatkan kredit perbankan di indonesia. jurnal fh untag semarang 100 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 penentuan nilai ekonomi suatu ciptaan dapat dilihat dari beberapa pendekatan. pendekatan yang pertama adalah pendekatan pasar (market approach) pendekatan pasar menyediakan kerangka yang sistematis untuk memperkirakan nilai asset tidak berwujud berdasarkan analisis penjualan aktual dan/atau transaksi lisensi berwujud yang sebanding dengan objek. kedua, pendekatan pendapatan (income approach). pendekatan pendapatan menyediakan kerangka kerja yang sistematis untuk memperkirakan nilai aset tidak berwujud berdasarkan kapitalisasi pendapatan ekonomi atau nilai sekarang atau nilai masa depan. nilai pendapatan ekonomi akan berasal dari penggunaan, lisensi atau penyewaan atas benda tidak berwujud tersebut. ketiga pendekatan biaya (cost approach). pendekatan biaya menyediakan kerangka kerja sistematis untuk memperkirakan nilai asset tidak berwujud berdasarkan prinsip ekonomi subtituti yang sepadan dengan biaya yang akan dikeluarkan sebagai pengganti yang sebanding sebagaimana fungsi unilitas. kaitanya dengan hak cipta sebagai objek jaminan fidusia, nilai ekonomi pada suatu ciptaan berpengaruh terhadap kategori jaminan fidusia. pembebanan benda menggunakan fidusia harus memuat : (1) identitas pemberi dan penerima fidusia; (2) data perjanjian pokok yang dijamin fidusia; (3) uraian mengenai benda yang menjadi objek jaminan fidusia; (4) nilai penjamin; dan (5) nilai penjamin dan nilai benda yang menjadi objek jaminan fidusia. karya cipta sebagai objek jaminan fidusia karya cipta termasuk kategori sebuah benda yang sifatnya immateriil seperti yang sudah diuraikan sebelumnya. nilai ekonomi sebuah karya cipta menimbulkan konsepsi bahwa karya cipta dapat digunakan sebagai objek jaminan. dalam kerangka ekonomi kelahiran suatu karya cipta telah begitu melibatkan tenaga, waktu dan biaya. kalau faktor faktor tersebut dikonversikan ke dalam angka-angka, maka semua itu akan menunjukan nilai karya tesebut karena adanya kegunaan atau nilai ekonomi pada suatu karya cipta. apabila ditinjau dari kebutuhan negara untuk mewujudkan tatanan kehidupan ekonomi, tetap memberikan penghormatan terhadap hak-hak perseorangan secara seimbangdengan kepentingan masyarakat. berdasarkan hal tersebut suatu ciptaan merupakan suatu produk pikir manusia yang mempunyai 101 journal of private and commercial law volume 1 no. 1, november 2017 nilai, dan dianggap sebagai kekayaan tidak berwujud 3 . nilai ekonomi yang ada dalam hak cipta dapat dihitung dengan beberapa model seperti apa yang telah diuraikan diatas. tentunya bank atau lembaga keunganan mempunyai tim penilai khusus untuk menentukan besarnya nilai benda yang hendak akan dijadikan sebagai objek jaminan dalam perbankan atau lembaga keuangan yang menerima benda bergerak tidak berwujud seperti hak cipta. nilai ekonomi pada suatu ciptaan menentukan besaran nilai jaminan semakin tinggi nilai ciptaan semakin tinggi pula nilai jaminan yang akan didapat oleh debitur atau pemberi fidusia. nilai ekonomi suatu ciptaan juga dipengaruhi oleh hak moral pencipta, semakin terkenal pencipta, semakin tinggi juga nilai ekonomi yang didapatkan. kesesuaian hak cipta sebagai objek jaminan fidusia dengan undangundang nomor 42 tahun 1999 tentang jaminan fidusia hak cipta adalah hak eksklusif pencipta yang timbul secara otomatis berdasarkan prinsip deklaratif setelah suatu ciptaan diwujudkan dalam bentuk nyata tanpa mengurangi pembatasan sesuai dengan ketentuan peraturan perundang-undangan. perlindungan hak cipta tidak diberikan kepada ide atau gagasan karena karya cipta harus memiliki bentuk yang khas, bersifat pribadi dan menunjukkan keaslian sebagai ciptaan yang lahir berdasarkan kemampuan, kreativitas, atau keahlian sehingga ciptaan itu dapat dilihat dibaca, atau didengar. pencipta adalah seorang atau beberapa orang yang secara sendiri-sendiri atau bersama-sama. pemegang hak cipta adalah pencipta sebagai pemilik hak cipta, pihak yang menerima hak tersebut secara sah dari pencipta, atau pihak lain yang menerima lebih lanjut hak dari pihak yang menerima hak tersebut secara sah. sedangkan ciptaan adalah setiap hasil karya cipta di bidang ilmu pengetahuan, seni, dan sastra yang dihasilkan atas inspirasi, kemampuan, pikiran, imajinasi, kecekatan, keterampilan, atau keahlian yang diekspresikan dalam bentuk nyata. menghasilkan suatu ciptaan yang bersifat khas dan pribadi. 3 suyud margono, hukum hak cipta indonesia, (bogor : ghalia indonesia, 2010), halaman 2627. 102 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 perkembangan hak cipta saat ini dengan dikeluarkanya uuhc tahun 2014 memberikan kepastian hukum mengenai hak cipta dapat digunakan sebagai jaminan fidusia. ketentuan mengenai hal tersebut diatur dalam pasal 16 ayat 3 uuhc tahun 2014. penggunaan hak cipta sebagai objek jaminan fidusia sendiri tidak lepas dari hukum perjanjian. prinsip hukum perjanjian yang menggunakan hak cipta sebagai objek jaminan fidusia terdapat prinsip kebebasan berkontrak, pacta sunt servanda, dan itikad baik. ketentuan mengenai hak cipta dapat dijadikan sebagai objek jaminan fidusia tidak lepas dari ketentuan hukum pada hak cipta yang mengatakan bahwa hak cipta merupakan benda bergerak yang tidak berwujud hal ini diatur dalam pasal 16 ayat 1 uuhc tahun 2014. selain itu hak cipta juga mempunyai hak moral dan hak ekonomi pada ciptaan dan memiliki perlindungan berdasarkan rezim hak cipta. ketentuan mengenai benda dan nilai ekonomi pada sebuah ciptaan membuat hak cipta dapat dijadikan sebagai objek jaminan fidusia. pembebanan hak cipta sebagai objek jaminan fidusia harus didasarkan atas perjanjian yang dibuat pencipta atau pemegang hak cipta dengan pemberi kredit atas dasar kebebasan berkontrak. perjanjian yang telah dibuat oleh para pihak tersebut bersifat mengikat karena itu harus ditaati (prinsip pacta sunt servanda). selanjutnya, kedua belah pihak (pencipta atau pemegang hak cipta dengan pemberi kredit) harus mempunyai itikad baik, dalam arti melaksanakan perjanjian sesuai dengan apa yang telah disepakati. prinsip-prinsip hukum perjanjian kebebasan berkontrak merupakan awal mula atau dasar terjadinya perjanjian. apabila dikaitkan dengan jaminan fidusia, kebebasan berkontrak merupakan pertemuan awal bagi pemberi dan penerima fidusia. penerapan prinsip kebebasan berkontrak berkaitan dengan kebebasan debitur (pemberi fidusia) dan kreditur (penerima fidusia) untuk melakukan perjanjian. namun setelah perjanjian disepakati berlakulah sebagai undangundang bagi para pihak, sehingga harus ditaati (prinsip pacta sunt servanda). ketaatan terhadap perjanjian tersebut berkaitan dengan unsur kepercayaan bahwa pemberi fidusia akan melakukan kewajibannya sesuai dengan yang telah disepakati, antara lain memelihara barang jaminan dan melunasi utangnya. 103 journal of private and commercial law volume 1 no. 1, november 2017 sebaliknya penerima fidusia berjanji akan mengembalikan penguasaan secara yuridis kepada pemberi fidusia setelah utangnya dilunasi. kesepakatan tersebut harus dilaksanakan dengan itikad baik (prinsip itikad baik), dalam arti pemberi fidusia dan penerima fidusia berkewajiban melaksanakan kesepakatan tersebut tanpa ada maksud untuk melakukan kecurangan, misalnya apabila debitur wanprestasi, kreditur baru dapat melakukan eksekusi barang jaminan. kemudian apabila terdapat kelebihan harga barang yang dilelang harus dikembalikan kepada debitur (pemberi fidusia). pembebanan jaminan fidusia diatur dalam pasal 4-10 uujf. dalam pasal 4 undang-undang jaminan fidusia menjelaskan bahwa “jaminan fidusia merupakan perjanjian ikutan dari suatu perjanjian pokok yang menimbulkan kewajiban bagi para pihak untuk memenuhi suatu prestasi”. kemudian benda dengan jaminan fidusia dibuat dengan akta notaris dalam bahasa indonesia dan merupakan akta jaminan fidusia. terhadap pembuatan akta jaminan fidusia tersebut, dikenakan biaya yang besarnya diatur lebih lanjut dengan peraturan pemerintah. mengenai nilai benda yang menjadi objek jaminan fidusia, dalam pembahasan sebelumnya telah dijabarkan bagaimana cara menghitung nilai pada hak cipta yaitu dengan menggunakan cara model cost-based, model marketbased, model income-based, model option. dengan menggunakan salah satu metode tersebut maka akan diketahui nilai ekonomi dalam suatu ciptaan. berdasarkan apa yang sudah diuraikan oleh peneliti maka mengenai pendaftaran karya cipta sebagai objek jaminan fidusia dapat dilaksanakan dengan ketentuan bahwa karya cipta tersebut harus didaftarkan terlebih dahulu. sertifikat jaminan fidusia sebagaimana dimaksud dicantumkan kata-kata “demi keadilan berdasarkan ketuhanan yang maha esa”. sertifikat jaminan fidusia tersebut mempunyai kekuatan eksekutorial yang sama dengan putusan pengadilan yang telah memperoleh kekuatan hukum tetap. apabila debitur cidera janji, penerima fidusia mempunyai hak untuk menjual benda yang menjadi objek jaminan fidusia atas kekuasaannya sendiri. mengenai tata cara pendaftaran jaminan fidusia sendiri telah diatur dalam peraturan pemerintah nomor 21 tahun 104 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 2015 tentang tata cara pendaftaran jaminan fidusia dan biaya pembuatan akta jaminan fidusia. apabila kaitanya dengan hak cipta sebagai objek jaminan fidusia maka ketentuannya mengacu pada pasal 16 ayat 2 uuhc tahun 2014 bahwa hak cipta ipta dapat beralih atau dialihkan, baik seluruh maupun sebagian karena pewarisan, hibah, wakaf, wasiat, perjanjian tertulis; atau sebab lain yang dibenarkan sesuai dengan ketentuan peraturan perundang-undangan. pengalihan benda yang menjadi objek jaminan fidusia yang berupa hak cipta bisa berupa perjanjian tertulis dimana dalam hal perjanjian harus menganut syarat sahnya perjanjian pasal 1320 kuhperdata. pemberi fidusia dapat mengalihkan benda persediaan yang menjadi objek jaminan fidusia dengan cara dan prosedur yang lazim dilakukan dalam usaha perdagangan. ketentuan tersebut tidak berlaku, apabila telah terjadi cidera janji oleh debitur dan/atau pemberi fidusia pihak ketiga. ketentuan ini dapat juga diberlakukan terhadap jaminan fidusia berupa hak cipta, karena hak cipta sebagai hak kebendaan mempunyai ciri-ciri, salah satunya adalah droit de suit, artinya pemegang hak cipta tetap mengikuti dalam tangan siapapun hak cipta yang melekat pada benda tersebut berada. ketentuan pasal 25 sampai dengan pasal 26 uujf mengatur tentang hapusnya jaminan fidusia. jaminan fidusia hapus karena hapusnya utang yang dijamin dengan fidusia, pelepasan hak atas jaminan fidusia oleh penerima fidusia, atau musnahnya benda yang menjadi obyek jaminan fidusia. musnahnya benda yang menjadi objek jaminan fidusia tidak menghapuskan klaim asuransi apabila objeknya adalah benda bergerak berwujud, apabila objeknya adalah hak cipta maka hak cipta tidak dapat dihapuskan karena hak cipta tetap melekat pada pencipta. selanjutnya, penerima fidusia memberitahukan kepada kantor pendaftaran fidusia mengenai hapusnya jaminan fidusia dengan melampirkan pernyataan mengenai hapusnyanutang, pelepasan hak, atau musnahnya benda yang menjadi objek jaminan fidusia tersebut. dengan hapusnya jaminan fidusia, kantor pendaftaran fidusia mencoret pencatatan jaminan fidusia dari buku 105 journal of private and commercial law volume 1 no. 1, november 2017 daftar fidusia dan menerbitkan surat keterangan yang menyatakan sertifikat jaminan fidusia yang bersangkutan tidak berlaku lagi. hapusnya jaminan fidusia kantor pendaftaran fidusia mencoret pencatatan jaminan fidusia dari buku daftar fidusia. kemuadian kantor pendaftaran jaminan fidusia menerbitkan surat keterangan yang menyatakan sertifikat jaminan fidusia yang bersangkutan tidak berlaku lagi. ketentuan tentang eksekusi jaminan fidusia diatur dalam pasal 29 sampai dengan pasal 34 uujf. apabila debitur atau pemberi fidusia cidera janji, eksekusi terhadap benda yang menjadi objek jaminan fidusia dapat dilakukan dengan cara: (1) pelaksanaan titel eksekutorial oleh penerima fidusia; (2) penjualan benda yang menjadi objek jaminan fidusia atas kekuasaan penerima fidusia sendiri melalui pelelangan umum serta mengambil pelunasan piutangnya dari hasil penjualan; (3) penjualan di bawah tangan yang dilakukan berdasarkan kesepakatan pemberi dan penerima fidusia jika dengan cara demikian dapat diperoleh harga tertinggi yang menguntungkan para pihak. pelaksanaan penjualan dilakukan setelah lewat waktu satu bulan sejak diberitahukan secara tertulis oleh pemberi dan penerima fidusia kepada pihak-pihak yang berkepentingan dan diumumkan sedikitnya dalam dua surat kabar yang beredar di daerah yang bersangkutan. pemberi fidusia wajib menyerahkan benda yang menjadi objek jaminan fidusia dalam rangka pelaksanaan eksekusi jaminan fidusia. dalam hal benda yang menjadi objek jamiman fidusia terdiri atas benda perdagangan atau efek yang dapat dijual di pasar atau di bursa, penjualannya dapat dilakukan di tempattempat tersebut sesuai dengan peraturan perundangundangan yang berlaku. setiap janji untuk melaksanakan eksekusi terhadap benda yang menjadi objek jaminan fidusia dengan cara yang bertentangan dengan ketentuan, batal demi hukum. setiap janji yang memberi kewenangan kepada penerima fidusia untuk memiliki benda yang menjadi objek jaminan fidusia apabila debitur cidera janji, batal demi hukum. dalam hal hasil eksekusi melebihi nilai penjaminan, penerima fidusia wajib mengembalikan kelebihan tersebut kepada pemberi fidusia. apabila hasil eksekusi tidak mencukupi untuk pelunasan utang debitur tetap bertanggung jawab atas utang yang belum terbayar. 106 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 hak cipta tidak dapat disita karena melekat pada diri pemegang hak cipta. hal ini berarti hukum melindungi kepemilikan seseorang sesuai dengan teori hukum alam yang menghargai dan menghormati hasil karya intelektual manusia. selain itu, perlindungan hak cipta tidak ditujukan kepada bendanya, tetapi kepada hak cipta atas benda tersebut. dengan demikian tidak dapat dilakukan eksekusi hak ciptanya sebagai dasar pengakuan hak asasi manusianya. hal yang mungkin dapat dilakukan adalah mengeksekusi nilai ekonomi dari hak cipta tersebut atau penjualan nilai ekonomi yang menjadi objek jaminan fidusia atas kekuasaan penerima fidusia sendiri melalui pelelangan umum serta mengambil pelunasan piutangnya dari hasil penjualan, atau penjualan di bawah tangan yang dilakukan berdasarkan kesepakatan pemberi dan penerima fidusia, dengan menggunakan perjanjian tertulis sebagaimana aturan pengalihan hak cipta pada pasal 16 ayat 2 uuhc tahun 2014 sehingga nantinya pihak penerima fidusia dapat diperoleh harga tertinggi yang menguntungkan bagi para pihak. sehingga ketentuan dalam uuhc tahun 2014 mengenai penggunaan hak cipta dapat dijadikan sebagai objek jaminan fidusia telah sesuai dengan uujf. simpulan hak cipta adalah hak eksklusif pencipta yang timbul secara otomatis berdasarkan prinsip deklaratif setelah suatu ciptaan diwujudkan dalam bentuk nyata tanpa mengurangi pembatasan sesuai dengan ketentuan peraturan perundang-undangan. prinsip hak cipta sebagai objek jaminan fidusia dalam undang-undang nomor 28 tahun 2014 tetang hak cipta tidak lepas dari teori hukum alam yang menghargai setiap hasil akal pikiran manusia. selain itu juga dalam undang-undang no 28 tahun 2014 tetang hak cipta menganut reward teory, recovery theory, incentive theory, risk theory dan teori kepentingan makro. ketentuan mengenai hak cipta dapat dijadikan sebagai objek jaminan fidusia dikarenakan hak cipta mempunyai hak moral yang melekat pada pencipta dan hak ekonomi yang digunakan untuk kepentingan pencipta untuk menggandakan, memperbanyak hasil ciptaan. hak cipta dapat dijadikan sebagai objek jaminan fidusia karena hak cipta merupakan benda bergerak yang tidak berwujud sebagaimana dijelaskan pada pasal 16 ayat 1 undang-undang nomor 28 tahun 107 journal of private and commercial law volume 1 no. 1, november 2017 2014 tentang hak cipta. pasal 16 ayat 3 undang-undang nomor 28 tahun 2014 tentang hak cipta mempertegas bahwa hak cipta dapat dijadikan sebagai objek jaminan fidusia. hak cipta sebagai objek jaminan fidusia telah sesuai dengan undangundang nomor 42 tahun 1999 tentang jaminan fidusia dimana hak cipta dapat dibebani jaminan dalam bentuk fidusia, tetapi bukan pada benda yang dibebani hak cipta tersebut, melainkan nilai ekonomi yang melekat pada hak cipta tersebut. selain itu, hak cipta tersebut harus didaftarkan terlebih dahulu ke direktorat jenderal kekayaan intelektual kementerian hukum dan ham sebelum dapat dijaminkan. hal ini penting karena sebagai bukti bahwa pemberi fidusia adalah pemegang hak cipta tersebut. namun demikian, beberapa ketentuan di dalam undang-undang jaminan fidusia sulit diberlakukan terhadap jaminan fidusia yang berupa hak cipta. penentuan nilai ekonomi pada hak cipta dapat dihitung dengan beberapa model perhitungan benda yang sifatnya immateriil, tentunya pihak bank atau lembaga keuangan yang menerima hak cipta sebagai objek jaminan fidusia mempunyai tim khusus untuk menilai besaran nilai ekonomi pada suatu ciptaan. nilai ekonomi akan ditentukan oleh pengetahuan dan keyakinan pejabat penilai yang diberi tugas bank untuk menaksir atau menilai hak cipta. seperti juga jaminan fidusia, yang mengedepankan aspek kepercayaan antara debitur (pemilik hak cipta) dan kreditur. perlu adanya sosisalisasi dari pemerintah khususnya kementerian hukum dan ham dan kementerian koperasi dan usaha kecil dan menengah atas dikeluarkanya undang-undang nomor 28 tahun 2014 tentang hak cipta khususnya pasal 16 ayat 3 mengenai hak cipta dapat dijadikan sebagai objek jaminan fidusia kepada masyarakat, sehingga masyarakat mengetahui bahwa sebuah karya cipta dapat dijadikan sebagai objek jaminan fidusia. adanya ketentuan tersebut pencipta tidak perlu khawatir dalam mengkreasikan karyakaryanya dan pencipta akan dituntut lebih kreatif dalam membuat karya cipta karena hak cipta dapat dijadikan sebagai objek jaminan fidusia. perlu adanya peraturan pemerintah mengenai aturan pelaksanaan hak cipta sebagai objek jaminan fidusia; bagi lembaga fidusia perlu adanya tim khusus 108 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 yang menghitung hak ekonomi pada hak cipta sehingga hak cipta dapat diketahui nilai ekonominya. adanya tim khusus yang menilai hak ekonomi pada suatu hak cipta dituntut agar lebih terbuka, pangsa pasar juga turut menentukan penilaian terhadap hak cipta, sehingga nantinya akan berguna bagi kreditur apabila debitur terjadi wanprestasi. daftar pustaka buku ali, h.zainudin. 2009. metode penelitian hukum. jakarta : sinar grafika arthur, r. miller dan michael h. davis. 1983 intellectual property patents, trademarks, and copyright in a nutshell. st. paul, minnesota : west publishing co atmadja, hendra tanu. 2003. hak cipta musik atau lagu. jakarta : ui fakultas hukum burhan, bungin. 2007 metodologi penelitian kualitatif: aktualisasi metodologi ke arah ragam varian kontemporer. jakarta : raja grafindo persada damian, eddy. 2002. hukum hak cipta. bandung : alumni ------------------1999. hukum hak cipta menurut beberapa konvensi internasioanal, uu hak cipta 1997, dan perlindungannya terhadap buku serta perjanjian penerbitan. bandung, alumni djumhana, muhamad dan djubaedillah. 2003. hak kekayaan intelektual sejarah, teori dan prakteknya di indonesia. bandung : citra aditya bakti fajar, mukti dan yulianto akhmad. 2013. dualisme penelitian hukum normatif dan empiris. yogyakarta : pustaka pelajar fuady, munir. 2000. jaminan fidusia. citra aditya bakti : bandung hendra, tanu atmadja. 2003. hak cipta musik atau lagu. jakarta : ui fakultas hukum johnny, ibrahim. 2006. teori dan metodologi penelitian hukum normatif. malang : bayu media 109 journal of private and commercial law volume 1 no. 1, november 2017 lindsey, tim, dkk. 2013. hak kekayaan intelektual suatu pengantar. bandung : alumni margono, suyud. 2010. hukum hak cipta indonesia.bogor : ghalia indonesia marzuki, peter mahmud marzuki. 2005. penelitian hukum. jakarta: kencana prenada media group mayana, ranti fauza. 2004. perlindungan desain industri di indonesia dalam era perdagangan bebas. jakarta: gramedia widiasarana indonesia muhammad, abdulkadir. 2004. hukum dan penelitian hukum. bandung: citra aditya bakti nasution, rahmi jened parinduri. 2013. interface hukum kekayaan intelektual dan hukum persaingan (penyalahgunaan hki). jakarta : raja grafindo persada riswandi, a. 2009. hak cipta di internet aspek hukum dan permasalahnnya di indonesia. yogyakarta : fh uii press robert, m. sherwood. 1990. intellectual property and economic development: westview special studies in science technology and public policy, (san fransisco : westview press inc saidin, ok. 2006. aspek hukum hak kekayaan intelektual (intelektual property rights). jakarta : grafindo persada salman, h.r otje dan anton f. susanto. 2005. teori hukum mengingat, mengumpulkan dan membuka kembali. bandung : refika utama sanusi, bintang dan dahlan. 2000. pokok-pokok hukum ekonomi dan bisnis. bandung : citra aditya bhakti satrio, j. 2000. hukum jaminan hak jaminan kebendaan fidusia. bandung : citra aditya bakti soelistyo, henry. 2011. hak cipta tanpa hak moral. jakarta : rajawali pers soekanto, soerjono. 2001 pengantar penelitian hukum, jakarta : ui press sofwan, sri soedewi m. 1997. hukum indonesia : pokok-pokok hukum jaminan dan jaminan perorangan. jakarta : badan pembinaan hukum nasional sudaryat, dkk. 2010. hak kekayaan intelektual memahami prinsip dasar. cakupan dan undang-undang yang berlaku. bandung : oase media 110 lutfi ulinuha, penggunaan hak cipta sebagai….., pp. 85-110 tiong, oey hoey. 1983. fidusia sebagai jaminan hukum unsur-unsur perikatan. jakarta : sinar grafika usman, rachmadi. 2009. hukum jaminan keperdataan. jakarta : sinar grafika utomo, tomi suryo. hak kekayaan intelektual (hki) di era global (sebuah kajian kontemporer).yogyakarta : graha ilmu peraturan perundang-undangan: kitap undang-undang hukum perdata undang-undang nomor 19 tahun 2002 tentang hak cipta undang-undang nomor 28 tahun 2014 tentang hak cipta undang-undang nomor 42 tahun 1999 tentang fidusia peraturan pemerintah nomor 21 tahun 2015 tentang tata cara pendaftaran jaminan fidusia dan biaya pembuatan akta jaminan fidusia peraturan presiden nomor 44 tahun 2015 tentang kementerian hukum dan ham artikel dan jurnal antony allott, the effectiveness of law, valparaiso university law review volume 15, 1981 junaidi akhmad dan muhammad joni. 2011. pemanfaatan sertifikat hki sebagai collateral kredit. jurnal volume 6 kusumaningtyas, rindia fanny. 2015. perkembangan hukum jaminan fidusia berkaitan dengan hak cipta sebagai objek jaminan fidusia. artikel ilmiah perdata dagang fakultas hukum unnes mulyani, sri. 2012. pengembangan hak kekayaan intelektual sebagai collateral (agunan) untuk mendapatkan kredit perbankan di indonesia. jurnal fh untag semarang sudjana, 2012. hak cipta sebagai jaminan kebendaan bergerak dikaitkan dengan pengembangan objek fidusia. jurnal fakultas hukum universitas padjadjaran bandung jpcl 3(1) (2019) 1-7 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl urgency of licensing restriction in joint venture companies related to tkdn toebagus galang windi pratama1 1universitas pgri semarang received february 17 2018, accepted april 22 2019, published may 31 2019 doi 10.15294/jg.v16i1.18179 abstract most companies that market their products in indonesia in order to pass tkdn using the concept of joint venture agreements (pma) often the parties working together are unbalanced in real terms the shares of foreign owners are greater than domestic shareholders. in such conditions the strong parties tend to impose their will on the weaker party. the restrictions in regulating technology transfer from advanced countries to developing countries are there to protect the interests of countries that divert technology because the inventor of the technology is considered to have made maximum efforts to find related technology but on the other hand the state is also obliged to protect and improve the welfare of its citizens from that, restrictions on patent licenses are needed so that the tkd is truly “real” and does not reduce the incoming fdi. based on this, the authors formulated a number of issues discussed in this article namely: why are restrictions on patent licenses needed and what are the legal consequences of limiting patent licenses. the results of the discussion show that there is a dilemmatic situation on the one hand the acceleration of mastery of technology including the acceleration of development needs to be done by being open to the owners of capital and technology (which generally comes from developed countries), while on the other hand we still have to maintain national interests. here is related to the authority of the state to regulate the process of technology transfer. in this global era, after the wto agreement was reached, which was linked to 2 (two) technology transfer agendas, namely trims and trips. foreign technology protection was very much needed in the context of foreign investment. keyword: licensing restriction; joint venture; tkdn introduction in this industrial age 4.0, the technology industry holds a very important role. indonesia, as a developing country, also does not escape the need for technology in various sectors. in developing countries technology transfer has proven to be a strategic means to complement the availability in the field of technology to face competition with other countries. in the software sector, indonesia should be proud, because until the beginning of 2019 in indonesia it was recorded that there were 4 companies with investment value above 1 million dollars, namely bukalapak, gojek, tokopedia and traveloka but what about the hardware sector? in this regard, the ministry of communication and information together with the ministry of industry applies the domestic content level (tkdn) policy as stipulated in minister of industry regulation no.65 / m-ind / pe / 7/2016 which requires foreign companies to market their 4g smartphone products in indonesia to have domestic content of 30 percent.1 the impact of the presence of tkdn of 30 percent is quite significant in improving the economy in indonesia. because as can be seen from the fact that domestic mobile phones continue to grow 36% from 2015 to 68 million units. then in 2017, cellphone imports fell to 11.4 million units, while domestic cellphone production was 60.5 million units.2 tkdn regulation is indeed a solution in improving the quality of indonesian technology, but this should continue to receive attention from the government because this sector is very important in facing economic 1 https://selular.id/2018/11/empat-tahun-rudiantara-kebamanan-setengah-matang-tkdn-smartphone-bagian-tiga/accessed on 17/01/2019 2 https://inet.detik.com/law-and-policy/d-3876005/berkah-tkdn-ponsel-made-in-indonesia-tembus-605-juta-unit accessed on 17/01/2019 p-issn 2599-0314 e-issn 2599-0306* e-mail : galangsnowfield@yahoo.co.id address : jl. sidodadi timur no.24, karangtempel, semarang timur, semarang city, central java50232 jp cl mailto:galangsnowfield@yahoo.co.id toebagus galang windi pratama, urgency of licensing restriction in joint venture companies related to tkdn 2 competition with other countries. one of the interesting problems to be studied is in the case of patent transfer. as is known that until now in indonesia there has not been a law that clearly regulates patent licenses. we can find limited regulations regarding patent licenses in law no. 14 of 2001 concerning patents regulated in article 69 to article 73. the regulations in this article do not cover all aspects, so that in article 73 it is stated that the provisions regarding patent license agreements are further regulated by government regulations. until now there are no government regulations governing patent licenses, then the making of patent licenses is still based on article 1338 of the civil code. this article is the basic legal basis for freedom of association after the fulfillment of the conditions specified in article 1320 of the civil code concerning the validity of the agreement. this is certainly dangerous because most companies that market their products in indonesia in order to escape tkdn use the concept of a joint venture agreement (pma) often the parties working together are in an unbalanced position in real terms of the owner’s shares foreigners are greater than domestic shareholders. in such conditions the strong parties tend to impose their will on the weaker party. therefore, according to the principle of freedom of contact in relation to the free market, in fully contracting is an affair of the parties, however legal protection and public interest are therefore required from government interference in the form of regulation or restrictions. restrictions that exist in the regulation of technology transfer from developed countries to developing countries aims to protect k e’s interest states that transfer of technology for the state inventor of the technology is considered to have done the maximum effort to find related technologies, but on the other hand the state is also obliged to protect and improve the welfare of citizens the country therefore requires restrictions on patent licenses so that tkds that are truly “real” and do not reduce the incoming fdi. based on this, the authors formulate a number of issues namely: (1) why are restrictions on patent licenses needed? (2) what are the legal consequences of limiting patent liabilities? results and discussion why the restrictions on patent licenses are needed ? the development of information technology (it) has spurred new ways for organizations to conduct business. it has made business activities faster, easier and more efficient. various economic reports in various countries increasingly recognize the importance of technology in increasing productivity. various experts in the field of technology have predicted that in the future technology will play an important role especially after many industries recapitulate costs and other matters related to their business using technology. not only in large-scale industry, many small and medium-sized companies have emerged with the use of technology. technology as part of intellectual property rights (ipr) is important in increasing economic growth and industrialization. the technology needed is controlled by and dominated by large companies in developed countries, such as japan, the united states, britain, and germany3. technology, for all countries in the world, has changed from experimental and research facilities to commodities. the assumption that no country in the world does not need technology4. technology and easy and inexpensive access to market a business change the way organizations and individuals in various countries do business. costs for cheaper business transactions, government regulations in global business, and improved communication infrastructure among various countries also support a business practice called globalization. this globalization in the future will be increasingly complex along with the increasing public demand for high-specification applications. the high demand for digital devices in various aspects of human life has indirectly created a giant industry in the field of digital technology that involves almost all the major nations of the world, with business value increasing exponentially. various studies and research concluded that there is a positive relationship between the development of the ict industry and the economic growth of a country, one of which is represented by a relation or positive contribution between the growth of the ict industry and an increase in gdp ( gross domestic product ). this increasingly shows how important and strategic the role of the industry is in improving the quality of life for a country’s people. so it is not surprising that almost all countries always put ict as one of the important pillars of development to pay attention to its performance 3 see erisa ardika prasada, 2016, politik hukum pengaturan alih teknologi dalam perjanjian lisensi paten luar negeri, jurnal hukum uniski, 5(2), p. 161. 4 siti zulaekhah, 2008, peranan negara dalam pengawasan pelaksanaan alih teknologi di indonesia, pena justisia, 7(13), p. 71. 3journal of private and commercial law 3(1) (2019) 1-7 the development and acceleration of information technology in each of the world’s countries also affects industrial competition globally. developing countries must be able to catch up in the use of information technology to be able to compete with developed countries. technology becomes a new paradigm to determine the quality of a nation. the expression that “whoever masters the technology will hold the world in his hands”, therefore cannot be doubted even though it must be addressed wisely. technology related to industrialization has become a benchmark for economic growth that reflects the success of a nation’s development. but in reality there is a gap in the mastery of technology between developed countries and developing countries, such as indonesia. by karana it is a matter of technology transfer between advanced countries and developing countries becoming a central issue in decades, especially after reaching an international community agreement in the world trade organization (wto) licensing re striction is one way to protect the national interest ( host country ) in the context of a technology transfer program through foreign investment in indonesia in the context of foreign investment, the licensing contract is the main basis for cooperation that regulates the terms and conditions of transfer of technology from foreign parties to the licensing companies in indonesia. the licensing contract is generally held at joint ventures in indonesia with parent companies abroad that have or hold the rights to the relevant technology.5 the basic rules regarding technology transfer are stated in article 12 of the uupma. in this article it is affirmed that foreign capital companies are obliged to provide facilities and education in and / or abroad on a regular and directed basis for indonesian citizens with the aim of gradually expatriate personnel being replaced by citizen personnel indonesia. technology transfer is urgent to be carried out immediately so that there is no discrepancy between the capital owners and the recipient of the capital and there is no prolonged dependence on foreign parties. in the first ndonesia patent license stipulated in law no. 14 of 2001 concerning patents, which is regulated in article 69 through article 73. however, the material law of patent licenses specifically has not been regulated. patent licenses are one channel for technology transfer from technology owners to technology recipients, because the pate license is basically a license to use the right to technology that is protected by law by technology owners to technology recipients. for the benefit of host country, indonesia, the patent license must be specifically regulated so that a local partner can carry out a technology transfer program that is consciously supported by a home country. some reasons behind the urgency of regulating (limiting) patent licenses are as follows: a. the importance of the role of patent licenses in the implementation of technology transfer technology can be transferred through several ways or channels, both commercial and non-commercial. the transfer of technology carried out on a non-commercial basis usually involves the government in the form of programs: (1) delivery of labor abroad to learn a knowledge; (2) utilization of technological information that is included in foreign publications to the government; (3) use of expertise from abroad; and (4) technical cooperation program between countries. while the transfer of technology carried out commercially can be done in various forms. the unctc and unctad noted that there are several ways to transfer technology commercially, namely: 1) foreign direct investment; 2) joint venture; 3) license; 4) franchising; 5) management contract; 6) marketing contract; 7) technical service contract; 8) turn key contract; 9) international sub-contracting.   in this paper what is discussed is the transfer of technology through a joint venture and through a license. in common practice, technology transfer is carried out through licensing agreements in the context of foreign investment, especially joint ventures. through this patent license contract, the technology owner can transfer the technology by giving certain rights to other people or legal entities to implement (exploit) the technology with a license. 5 soemantoro, economic law , ui press, 1989, p. 119 toebagus galang windi pratama, urgency of licensing restriction in joint venture companies related to tkdn 4 b. the importance of restricting the principle of freedom contracting in a patent license contract. until now, in indonesia the license contract is based on “contract freedom”. there is no rule that limits the parties involved d only that all contracts are carried out in good faith. with the license agreement. the parties have the right to damage any agreement based on the civil code; the only conditions needed are that all contracts are carried out in good faith. thus there is no rule what percentage of the royalty must be paid by the licensee to the licensor. the importance of patent licensing regulations can also be viewed from the existence of this principle of freedom of contract, especially in making patent license contracts. the principle of contracting freedom is one of the well known principles in the contract law. based on this principle, one party can promise what is desired and / or not desired by the other party. in other words, the parties are free to determine what is desired to be stated in this agreement and what is signed by the agreement (article 1338 civil code). in the opinion of etty susilowati, recipients of technology provide certain restrictions or restriction listed in article 1320 paragraph 2 and article 1338 paragraph 3 of the civil code and limitation of article 78 of the patent law, which aims to reduce the restrictions desired by technology owners. however, the contracts held by technology owners also provide certain restrictions in order to protect licensed technology, so that the technology remains safe as long as it is used by technology recipients. given the restrictions that are asked by the owners and recipients of technology, in reality it is evident that each party wants to protect the substance of the contract held to reduce risk to a minimum . according to amirizal, the principle of freedom can contribute to some elements , namely:6 1)  individuals are free to enter into or not enter into an agreement; 2) individuals are free to enter into agreements with anyone too; 3) regarding the content, terms and extent of the agreement people are free to determine it. regarding the patent license contract, the licensor and licensee are also free to promise or do not promise anything they want. this principle cannot be applied freely. this principle is limited by public order, propriety, and decency. patent licenses are also limited by the provisions of article 71 of law no. 14 of 2001 as mentioned earlier.7 the freedom of parties in technology transactions in the philippines, one of the asean member countries, is limited. a number of requirements must be met in the technology transfer agreement :8 1) the agreement may not contain restrictions or business practices that limit the violation of technology recipients to export products made under the contract or restrict the licensee to export abroad only through foreign licensors as exclusive distributors. 2) the amount of royalties for technology transfer must not exceed five (5) percent of the total sales price of the licensed commodity to be made according to the agreement. the agreement of the philippine government towards licensees by limiting freedom to contract through legislation should be imitated by the indonesian government. if the parties have only basing on the principle of freedom of contract and is not limited in detail in legislation that specifically regulates the patent license, then clauses trade restrictions (restrictive business practices) is still a lot of patents included in the licensing contract.9 of the several sounds of the patent license contract article in a pt it has been seen that freedom of contract is not limited by any provision, for example the stipulation of article 71 of the patent law which prohibits patent licensing contracts containing restrictions that are detrimental to the national economy, even though this clearly exists through the export ban and the grant-back clause. these limitation clauses can only be removed through restrictions that are detailed in the laws and regulations or provide detailed explanations of article 71 of the patent law. with the limitation of the principle of freedom of contract through the applicable laws and regulations and the limitation of article 71 of the patent law, these restrictions can be reduced. c. the importance of efforts to balance the position of parties efforts to balance the position of the parties in the patent license contract, namely between licensors and licenses also urged the need to hold specific arrangements regarding patent licenses. in practice, the license has a weak position compared to the licensor (technology owner). this has been started from the application of the principle of freedom of contract in the manufacture of patent license contracts as a result of not specifying 6 amirizal, business law, deregulation and joint venture in indonesia, theory and practice, djambat: jakarta, 1996. p.36 7 suteki. law and technology transfer a sociological struggle, thafa media: yogyakarta, 2013 p.166 8 budi budi maulana. patent license, pt. citra aditya bakti: bandung, 1996, p.16-17 9 soekirno, 1995, technology transfer constraints and solution alternatives, read: journal of documentation and information, doi 10.14203 / j. read.v20i5.38 ,p.138 5journal of private and commercial law 3(1) (2019) 1-7 patent licenses specifically. through this principle of freedom of contract, the strong party (licensor) will dominate some power over the weak party (licensor). the position of the recipient of this weak license can be proven through the inauguration of several trade restrictions articles or commonly referred to as restrictive business practice (rbp) in patent license contracts. licensee is usually not able to refuse the contents and requirements other than just accept and approve all the contents and requirements proposed by the patent licensor. this occurs as a result of share ownership ratios which are mostly owned by licensors, company management (directors) as policy makers dominated by licensors, transferred technology is usually also owned by foreign investors and there is no adequate protection for licensee parties by the government. d. restrictions on freedom of contract the holder or license owner ( licensor ) can make an agreement with the licensee (licensee) regarding anything in accordance with their wishes based on the principle of freedom of contract. what is clear, the licensor has monopoly rights and can prohibit, permit or transfer their iprs based on agreements to third parties. if so, does it mean that there are no restrictions or restrictions can be made on the application of the principle of freedom of contract in a licensing agreement the principle of freedom of contract is regulated in article 1338 paragraph (1) of the civil code which states that every agreement made legally applies as a law for the parties who make it . whether the article above must be interpreted as if the parties can make an agreement on anything in accordance with the wishes of both parties in making an agreement the parties may not make agreements that are prohibited by law, contrary to decency or public order. so, however, the principle of freedom of contract stipulated in article 1338 paragraph (1) of the civil code still has limits. this is because morality and law cannot be separated from each other. therefore in article 1337 of the civil code it is stated that a cause is prohibited if prohibited by law , or if it is contrary to morality or public order.10   the legal consequences of limiting patent licenses technology when associated with science includes: (a) products; (b) process and (c) ethical paradigm. technology as ‘ the application of science’ is based on science which is the ‘ enlarging international pool of knowledge and equally valid every where ‘. initial knowledge originated from knowledge that gradually became an independent scientific discipline when branches the branch of science breaks away from the ‘stem’ of its philosophy and develops according to its methodology. the law is part of the technology because the technology guessed it with constitutional issues and legal functions as a fundamental structure. in the constitution of a country covered by various human considerations and decisions which are positioned as technicians, bureaucrats and politicians. law determines advanced technology, intermediate technology or populist technology. in the 1945 constitution, the basis and direction of economic development are laid down which certainly includes the problem of technology transfer. in article 33 it is stipulated : “the indonesian economy is arranged by ... branches of production ... earth, water and natural wealth ... are used as much as possible by the prosperity of the people”. economic development is intended to achieve the national goals, it is realized that the indonesian people have shortcomings in terms of capital, expertise and technology. for this reason, a series of policies and rules are needed that can meet those needs, among others, through technology transfer policies. the policy of technology transfer is put in place by law no. 1/1967 regarding foreign investment. in article 2 of law no. 1/1976 states that “... foreign capital includes ... inventions of foreigners ... “. further in article 12 of law no. 1/1976 stipulated: “foreign capital companies must provide facilities and education ... for indonesian citizens”. the purpose of this provision is to gradually replace foreign workers with indonesian labor. one more important thing to watch out for is not to have the company’s tools or new inventions ‘something’ that it actually owns (house country) obsolete or even be banned because it pollutes the environment, but with the calculation that the investment in meng produce the tool can be returned, then the tools of the company are brought along in the framework of investment in the country of investment (host country) which relatively has a weaker bargaining position.11 still with regard to company tools and discoveries, often foreign investors forbid local partners to make development improvements. this is what has often been criticized that 10 http://www.hukumonline.com/berita/baca/hol13761/klausula-hitam-dan-pembatasan-kebebasan-berkontrak-dalamperjanjian-laktik accessed on 17/01/2019 11 tony hanoraga, niken prasetyawati, obligatory patent license as one of the signs of limiting exclusive patent rights , jurnal sosial humaiora, doi 10.12962 / j24433527.v8i2.1250 , p.156 http://www.hukumonline.com/berita/baca/hol13761/klausula-hitam-dan-pembatasan-kebebasan-berkontrak-dalam-perjanjian-laktik http://www.hukumonline.com/berita/baca/hol13761/klausula-hitam-dan-pembatasan-kebebasan-berkontrak-dalam-perjanjian-laktik toebagus galang windi pratama, urgency of licensing restriction in joint venture companies related to tkdn 6 for many years pma companies in indonesia “our nation has only a limited capacity”. in law no. 1/1967 technology transfer is actually arranged in 3 (three) terms: a. transfer of knowledge or skill b. transfer of share (divestment) c. transfer of employee  regarding transfer of knowledge , article 12 of law no. 1/1967 requires investors to educate indonesian workers as an effort to develop the quality of human resources. this education is ideally, becoming a means of technology transfer. however, we must be careful when participating in foreign parties’ education, do not let us be fooled, meaning that we get knowledge from them, in fact we are the object of research to develop their knowledge or technology in order to maintain their determinant and dominant position in developing countries as company are the forefront of one’s country.12 the purpose of transfer of share or indonesianization of shares (divestment) is to accelerate the control of the company (including software, information and technology ). in an effort to achieve these objectives before the enactment of pp no. 20/1994 regarding the ownership of foreign shares in companies founded in investment, the government’s policy stipulates that within 15 (fifteen) or 20 (twenty) years since the commercial production of indonesia’s partner position must become a majority of 51%: 49% in ownership shares in a pma company. in fact, even though indonesia’s partners are in a majority position whose assumption is to control the company, we must still recognize the superiority of foreign partners who are very good at ‘playing’ in legal gaps, for example, their control is held through various agreements such as technical assistant management, management agreement and others. this fact actually contradicts the principles of national treatment and the most favored nation which are the basic principles of the wto. transfer of employee is determined based on article 11 which stipulates that “ foreign workers can be used in companies, pma, as long as these positions cannot be filled by indonesian employers”. there are records here in the practice of foreign workers for the same position can get wages of 10 (ten ) times even more than indonesian workers. based on this fact, it appears that what happens is that the sell is not a share, especially the transfer of technology that can be used as a means of technology transfer. indeed, in origin 11 it is possible to employ foreign workers, but their expertise must be transferred to indonesian workers. the method of technology transfer also differs as referred to in the reading backgroud material on intellectual property published by wipo, saying there are three types of basic legal formats that can be taken to implement technology transfer:13 1)  in the form of sales or transfer of technology transfer 2)  through licensing 3)   with know how agreements, while for developing countries, according to the same issue, there are at least five other types of ways that developing countries can do technology transfer; 1)  through the importation of capital goods 2)   with the franchise (franchising) and distribution program (distributorship) 3) management agreement and consultation ( consultation agreements ) 4)    turn key project in the form of manufacturing cooperation that involves substantial capital participation with one technology source that is fully responsible for the success of the project 5)    joint venture agreements . if in consultation agreements, developing countries must play an active role so that they obtain the optimum technology they want to absorb, and in the turn key project , the burden is transferred to technology owners, so that agreement agreements are expected to be role balance occurs between them up to results can be obtained more optimum for technology  conclusion from the description above, some conclusions can be drawn as follows, including : 1. the transfer of technology is needed for developing countries to advance their products in the era of globalization so that arrangements for them are needed so that in case of cooperation there is no inequality. 2. the legal role in technological policies is to transform agrarian societies into industrialist societies. here there is a dilemmatic situation on the one hand the acceleration of mastery of technology including the 12 m.shidqon and yurida zakky umami, the existence of a company in the society and its legality in indonesian law, journal of private and commercial law, vol 2 no1. year 2018, p.36. 13 gunawan wijaya, license , issue 1, 1st printing (jakarta: pt. grafindo persada, 2001), p.98 7journal of private and commercial law 3(1) (2019) 1-7 acceleration of development needs to be done by being open to the owners of capital and technology (which generally comes from developed countries), while on the other hand we still have to maintain national interests. here is related to the authority of the state to regulate the process of technology transfer. in this global era, after the wto agreement was reached, which was linked to 2 (two) technology transfer agendas, namely trims and trips. foreign technology protection was very much needed in the context of foreign investment.  bibliography books amirizal. business law, (1996). deregulation and joint venture in indonesia, theory and practice. jakarta: djambat soemantoro. (1989). economic law. depok: ui press. suteki. (2013). law and technology transfer a sociological struggle. yogyakarta: thafa media budi budi maulana. (1996). patent license. bandung: pt. citra aditya bakti gunawan wijaya. (2001). license, issue 1. 1st printing. jakarta: pt. grafindo persada journals: erisa ardika prasada, 2016, politik hukum pengaturan alih teknologi dalam perjanjian lisensi paten luar negeri, jurnal hukum uniski, 5(2), 161-170 m.shidqon p., yurida zakky umami. (2018). the existence of a company in the society and its legality in indonesian law. journal of private and commercial law, 2(1), 33-46. soekirno. (1995). technology transfer constraints and solution alternatives, read: journal of documentation and information, 20(5), doi 10.14203 suran ningsih, ayup. (2019). the doctrine of product liability and negligence cannot be applied to malware-embedded software. journal of indonesian legal studies, 4(1), 7-20. siti zulaekhah. (2008). peranan negara dalam pengawasan pelaksanaan alih teknologi di indonesia, pena justisia, 7(13), 70-80. tony hanoraga, niken prasetyawati. (2015). obligatory patent license as one of the signs of limiting exclusive patent rights, jurnal sosial humaniora, 8(2), 160-180, doi 10.12962 / j24433527.v8i2.1250. _ftnref1 _ftnref2 _ftnref3 _ftnref4 _ftnref5 _ftnref6 _ftnref7 _ftnref8 _ftnref9 _ftnref10 _ftn1 _goback 69 journal of private and commercial law volume 1 no. 1, november 2017 konstruksi perlindungan konsumen jasa pengobatan alternatif (studi kasus di kota semarang) ubaidillah kamal pengajar di fakultas hukum universitas negeri semarang gedung k kampus sekaran gunungpati semarang email : hakam_ubai@yahoo.com abstrak semakin berkembangnya jenis penyakit, penyembuhan secara medis yang tidak selalu menjanjikan kesembuhan dan mengandung resiko, serta keinginan masyarakat untuk dapat sembuh dari penyakitnya secara instan mendorong semakin menjamurnya praktek-praktek jasa pengobatan alternatif di masyarakat termasuk di kota semarang. cara pengobatan dan obat yang digunakan dalam jasa pengobatan alternatif sangat berfariasi dan sering tidak bisa diukur berdasarkan standar-standar medis bahkan banyak yang bersifat “klenik”. banyak kasus menunjukkan jaminan kesembuhan dan garansi bila terjadi hal-hal yang lebih parah bahkan kematian masih jarang diberikan atau ditemukan dalam praktek jasa pengobatan alternatif, bahkan beberapa muncul sebagai kasus pidana penipuan. tulisan membahas tentang pengaturan jasa pengobatan alternatif di kota semarang dan bentuk perlindungan konsumen jasa pengobatan alternatif di kota semarang serta tanggung jawab pelaku usaha jasa pengobatan alternatif terhadap konsumennya. penelitian ini adalah penelitian kualitatif dengan tipe yuridis-sosiologis. maka pendekatan yang dilakukan adalah pendekatan perundang-undangan (statute approach), pendekatan konsep (conceptual approach), dan pendekatan kasus teknik pengumpulan data yang digunakan adalah (1) wawancara, (2) observasi, (3)dokumentasi dan (4) tinjauan pustaka. analisis menggunakan analisis kualitatif. pengaturan pengobatan alternatif di kota semarang didasarkan kepada peraturan perundangan yang ada, tetapi belum diterapkan secara komprehensif. 70 ubaidillah kamal, konstruksi perlindungan konsumen…., pp.69-84 bentuk perlindungan kepada konsumen dilakukan secara preventif dan represif bekerjasama antara dinkes kota semarang dengan ikni, lsm, dan penegak hukum. ada tiga pola tanggungjawab yang muncul dari pelaku usaha pengobatan alternatif terhadap konsumen, yaitu tanggungjawab etis, tidak bisa memberikan ganti kerugian, dan sengaja tidak mau bertanggungjawab. (4)kontruksi perlindungan konsumen berbasis pembinaan dan pengawasan kepada pelaku usaha agar menjadi dapat diukur, jelas, profesional dan dapat dipertanggungjawabkan sehingga dapat memberikan pelayanan yang terbaik bagi masyarakat sebagai konsumen dengan pelayanan kesehatan yang aman, bermanfaat dan ilmiah. kata kunci: konstruksi perlindungan konsumen, jasa pengobatan alternatif pendahuluan undang-undang dasar 1945 pasal 28 (h) menyatakan bahwa setiap orang berhak hidup sejahtera lahir dan batin, bertempat tinggal, dan mendapatkan lingkungan hidup yang baik dan sehat serta berhak memperoleh pelayanan kesehatan. ketentuan tersebut mengatur secara jelas bahwa setiap orang memiliki hak untuk hidup sehat serta mendapatkan pelayanan kesehatan. upaya memenuhi dan memajukan tingkat kesehatan dilakukan dengan menjamin ketersediaan tenaga kesehatan yang memadai dan merata, tersedia dan semakin meningkatnya fasilitas kesehatan termasuk obat serta kemudahan masyarakat untuk dapat mengakses semua itu. ketidakmampuan negara untuk memberikan pelayanan dan jaminan kesehatan yang baik dan terjangkau bagi seluruh warga negara juga menyebabkan masyarakat mencoba jasa pengobatan alternatif. hal tersebut diperkuat dengan semakin berkembangnya jenis penyakit yang diderita oleh masyarakat dan keinginan masyarakat untuk dapat sembuh dengan cepat dengan cara yang instan. lebih lagi di kalangan masyarakat indonesia juga masih mempercayai bahwa sakit yang diderita bukan hanya disebabkan oleh sebab yang biasa tetapi disebabkan oleh hal yang “tidak biasa”, sehingga mereka mencari cara-cara penyembuhan yang tidak biasa. 71 journal of private and commercial law volume 1 no. 1, november 2017 bila dikaitkan dengan adanya prinsip partisipatif, maka fasilitas pelayanan kesehatan juga dapat diselenggarakan melalui cara konvensional maupun tradisional. prinsip partisipatif dalam upaya pelayanan kesehatan dapat dilakukan dengan kuratif yang melibatkan pengobatan konvensional dan tradisional. pengobatan tersebut bertujuan untuk penyembuhan penyakit, pengurangan penderitaan akibat penyakit, pengendalian penyakit, atau pengendalian kecacatan agar kualitas penderita dapat terjaga seoptimal mungkin realitas masyarakat memperlihatkan, pengobatan alternatif dapat bahkan sering digunakan sebagai pilihan lain dalam mengupayakan kesehatan, kesembuhan atau keselamatan seseorang. tren menunjukkan semakin bertambahnya jumlah, jernis dan cara penyembuhan dengan jasa pengobatan alternatif. pengobatan alternatif cenderung lebih mengacu pada pengalaman dan ketrampilan yang turun temurun, dengan ramuan bahan obat berasal dari tumbuhan, hewan, mineral dan lain-lain. dirjen bina kesehatan masyarakat depkes menyebutkan, jumlah pengobat tradisional di indonesia yang tercatat cukup banyak, yaitu 280.000 pengobat tradisional dengan 30 keahlian/spesialisasi. sejumlah 30.000 jenis tanaman yang ada di indonesia 950 jenis diantaranya memiliki fungsi penyembuhan yang sudah selayaknya bisa dikembangkan bagi kesejahteraan masyarakat indonesia. survei sosial ekonomi nasional tahun 2001, 57,7% penduduk indonesia melakukan pengobatan secara medis, 31,7% menggunakan obat tradisional, dan 9,8% memilih cara pengobatan tradisional (www.depkes.go.id/seberapa-besar-manfaatpengobatan-alternatif/4-10-2012). banyak kasus menunjukkan, bahwa jaminan kesembuhan dan garansi bila terjadi hal-hal yang lebih parah bahkan kematian masih jarang diberikan atau ditemukan dalam praktek jasa pengobatan alternatif, bahkan beberapa muncul sebagai kasus pidana penipuan. kasus salah obat, salah penanganan, penipuan, pemaksaan, bahkan sampai pencabulan mewarnai dinamika maraknya jasa pengobatan alternatif di indonesia termasuk juga di kota semarang. ditengarai banyak pasien jasa pengobatan alternatif yang dirugikan tetapi karena ketidak tahuan atau alasan psikologis yang lain mereka tidak berani menyampaikan ke 72 ubaidillah kamal, konstruksi perlindungan konsumen…., pp.69-84 pihak yang berwenang. sehingga kepentingan konsumen sangat potensial untuk dirugikan. pengaturan secara khusus terhadap jasa pengobatan alternatif serta perlindungan konsumen menjadi hal mendasar yang harus diperhatikan dan diberikan oleh negara. kasus ustad guntur bumi “ugb” salah satu jasa pengobatan alternatif yang pernah praktik di kota semarang dan kemudian pindah praktik di jakarta, kasus pengobatan alternative gus muh di kawasan duren sawit yang dilaporkan ke polda metro jaya (kompas.com), dan beberapa kasus yang lain paling tidak membuka mata kita betapa jasa pengobatan alternatif masih sangat digemari oleh masyarakat walaupun dengan cara dan standar yang tidak jelas. betapa konsumen banyak yang dirugikan secara psikologis, materi dan kesehatan yang semakin memburuk. praktik yang diduga banyak melakukan penipuan terhadap konsumen. dan disisi lain konsumen tidak berdaya untuk menyampaikan pelanggaran atas hak mereka. kelalaian yang dilakukan oleh pengobatan alternatif tersebut, tentu saja merugikan “pasien” yang dalam hal ini disebut sebagai “konsumen”. pengertian konsumen itu sendiri adalah setiap orang pemakai barang dan/atau jasa yang tersedia dalam masyarakat, baik bagi kepentingan diri sendiri, keluarga, orang lain, maupun makhluk hidup lain dan tidak untuk diperdagangkan (pasal 1 angka 2 undang-undang no.8 tahun 1999). konsumen secara mendasar jelas membutuhkan perlindungan hukum yang bersifat universal. perlindungan itu dapat kita temukan dalam hukum perlindungan konsumen, karena sifatnya yang internasional sehingga semua orang mempunyai kepentingan yang sama. mengingat kedudukan konsumen yang relatif lebih lemah dibandingkan dengan kedudukan produsen yang bisa diartikan relatif lebih kuat. maka pembahasan konsumen akan selalu terasa aktual dan selalu penting untuk dikaji ulang (kristiyanti 2008:5). berkaitan dengan hal-hal tersebut, maka konsumen perlu dilindungi secara hukum dari kemungkinan adanya kerugian yang muncul karena praktik bisnis curang. berbeda pula dengan kelompok masyarakat sebagai pelaku usaha. perlindungan yang mereka perlukan adalah bagaimana agar dalam menjalankan 73 journal of private and commercial law volume 1 no. 1, november 2017 bisnis tidak disaingi secara tidak wajar, tidak jujur ataupun praktek bisnis lain yang dapat menghambat usaha mereka, perlindungan itu adalah bagi kelangsungan perusahaan (bisnis) dan/atau pendapatan/penghasilan mereka (nasution 2006:23). berdasarkan analisis singkat diatas sangat penting dan strategis untuk melihat kembali bagaimana pengaturan yang dilakukan oleh negara terkait jasa pengobatan alternatif sehingga keberadaannya dapat dirasakan sebagai bagian dari alternatif masyarakat untuk mendapatkan kesembuhan yang mungkin tidak atau belum bisa tertangani secara baik dalam pengobatan “medis” kedokteran, tetapi sekaligus memberikan perlindungan kepada konsumen. demikian juga terkait dengan bentuk-bentuk tanggungjawab pelaku usaha jasa pengobatan alternatif terhadap konsumen. permasalahan yang dikaji adalah (1)bagaimana pengaturan jasa pengobatan alternatif di kota semarang;(2)bagaimana bentuk perlindungan konsumen jasa pengobatan alternatif di kota semarang.;(3)bagaimanakah tanggung jawab pelaku usaha jasa pengobatan alternatif terhadap konsumennya? metode penelitian tipe penelitian yang dilakukan adalah yuridis normatif-empiris dengan pertimbangan bahwa tolak penelitian ini akan menganalisis peraturan perundangundangan dan kebijakan lainnya terkait dengan pengaturan jasa pengobatan alternatif dan bentuk-bentuk perlindungan konsumen jasa pengobatan alternatif ini. sehubungan dengan tipe penelitian yang digunakan yakni kombinasi normatif-empiris, maka pendekatan yang dilakukan adalah pendekatan perundang-undangan (statute approach), pendekatan konsep (conceptual approach), dan pendekatan kasus (marzuki, 2005 dan ibrahim, 2005). pendekatan kasus digunakan untuk mengkaji penerapan norma-norma atau kaidah hukum yang mengatur jasa pengobatan alternatif dan perlindungan konsumen. data yang diambil dalam penelitian ini adalah data primer dan data sekunder. data yang dihasilkan dari lapangan baik data primer maupun data sekunder terlebih dahulu diorganisasikan ke dalam suatu pola, kategori, dan satuan uraian 74 ubaidillah kamal, konstruksi perlindungan konsumen…., pp.69-84 dasar. kemudian data tersebut dianalisis secara deskriptif kualitatif, sehingga ditemukan hubungan diantara dimensi-dimensi yang menjadi pertanyaan dalam penelitian ini (moleong, 2001). analisa data yang dipergunakan adalah analisa kualitatif dengan model interaktif (interctiv model analysis). hasil dan pembahasan kota semarang sebagai wilayah penelitian secara geografis memiliki luas 373,70 km 2 dan secara administratif kota semarang terbagi menjadi 16 kecamatan dan 177 kelurahan dengan jumlah penduduk menurut profil kependudukan kota semarang oleh bps sampai dengan akhir desember tahun 2016 sebesar 1.765.396 jiwa, yang terdiridari 880.257 jiwa penduduk laki-laki dan 885.139 jiwa penduduk perempuan. pemerintah sangat memperhatikan dan berupaya meningkatkan kesehatan masyarakat dengan alasan kemanusiaan, dan karena keuntungan positif dari kesehatan baik bagi individu masyarakat maupun untuk tujuan lain yang diinginkan masyarakat. usaha tersebut dilakukan dengan berbagai progam baik yang sifatnya promotif, preventif maupun kuratif antara lain melalui pendidikan kesehatan, imunisasi, pemberantasan penyakit menular, penyediaan air bersih dan sanitasi, dan pelayanan kesehatan (indikator kesejahteraan rakyat kota semarang tahun 2010: 18). fasilitas kesehatan tertinggi di kota semarang adalah praktek dokter/poliklinik yang mencapai 52,5 %, berikutnya adalah puskesmas yang mencapai 31,4 % dan rumah sakit dengan sekitar 13,6% (statistik kota semarang 2011). berikut adalah tabel banyaknya sarana dan prasarana kesehatan di kota semarang untuk tahun 2015-2016: tabel 1: jumlah sarana dan prasarana kesehatan no sarana dan prasarana tahun 2015 2016 1 rumah sakit umum: a. rumah sakit swasta 10 10 b. rumah sakit umum daerah 2 2 c. rumah sakit umum pusat 1 1 75 journal of private and commercial law volume 1 no. 1, november 2017 d. rumah sakit umum tni/polri 3 3 e. rumah sakit khusus 9 9 2. rumah sakit bersalin/bkia 6 6 3. puskesmas 37 37 4. puskesmas pembantu 34 34 5. puskesmas keliling 37 37 6. posyandu yang ada 1.529 1.533 7. posyandu yang aktif 1.529 1.055 8. apotik 369 9. lab. kesehatan swasta 30 10. klinik spesialis 14 11. optik 90 95 12. klinik 24 jam 9 13 13. toko obat 65 20 14. bp umum 159 139 15. bp gigi 8 24 16. pbds/klinik utama 7 23 17. dokter umum praktek swasta 1.176 1.327 18. dokter spesialis swasta 649 645 19. dokter gigi swasta 294 328 20. bidan praktek swasta 50 323 sumber: profil kesehatan kota semarang 2011 jumlah sarana dan prasarana diatas jika dinilai dari neath death rate (ndr)atau mutu pelayanan/perawatan di rumah sakit, pencapaian ndr di kotasemarang pada tahun 2016 sebesar 16,6 permil, mengalami penurunan jikadibandingkan tahun 2015 yang sebesar 24,8 permil dengan demikian secarakeseluruhan pelayanan rumah sakit di kota semarang masih tergolong baik (profil dinas kesehatan kota senarang 2016). persebaran fisik tersebut diakui pula belum diikuti sepenuhnya dengan peningkatan mutu pelayanan (rencana dan strategi dinkes kota semarang 2010-1015). peningkatan sumber daya manusia 76 ubaidillah kamal, konstruksi perlindungan konsumen…., pp.69-84 (sdm) dibidang kesehatan sangat diperlukan, agar mampu bekerja secara profesional sehingga dapat mengembangkan kemampuannya dalam rangka mewujudkan pelayanan kesehatan yang optimal pada masyarakat. profil pengobat tradisional tahun 2015 di kota semarang menjelaskan terdapat beberapa jenis pengobatan alternatif berikut adalah tabel jumlah pengobatan alternatif/tradisional di kota semarang untuk tahun 2015: tabel 2 : jumlah pengobatan tradisional kota semarang no. jenis pengobatan alternatif jumlah ketrampilan ramuan 1. dukun bayi 18 2. ceragem 8 3. salon 6 4. pijat urut 31 5. paranormal 3 6. alternatif 2 7. alternatif pijat/pijat 42 8. pijat terapi 1 9. pijat bayi 3 10. jamu/jamu gendong 34 11. akupuntur/tusuk jarum 20 12. shinse 3 13. pijat refleksi 2 14. shiatu 7 15. aromaterapis 2 16. bekam 3 17. message 3 18. sangkal putung 2 19. sunat 7 20. gurah 1 77 journal of private and commercial law volume 1 no. 1, november 2017 pengaturan jasa pengobatan alternatif di kota semarang pemerintah telah menerbitkan peraturan menteri kesehatan ri nomor 1109 tahun 2007 tentang penyelenggaraan pengobatan komplementer-alternatif di fasilitas pelayanan kesehatan. menurut aturan itu, pelayanan komplementeralternatif dapat dilaksanakan secara sinergi, terintegrasi, dan mandiri di fasilitas pelayanan kesehatan. pengobatan itu harus aman, bermanfaat, bermutu, dan dikaji institusi berwenang sesuai dengan ketentuan berlaku. selain itu, dalam permenkes ri no 1186/menkes/per/xi/1996 diatur tentang pemanfaatan akupunktur di sarana pelayanan kesehatan. di dalam salah satu pasal dari permenkes tersebut menyebutkan bahwa pengobatan tradisional akupunktur dapat dilaksanakan dan diterapkan pada sarana pelayanan kesehatan sebagai pengobatan alternatif di samping pelayanan kesehatan pada umumnya. sementara itu, keputusan menkes ri no 1076/menkes/sk/vii/2003 mengatur tentang penyelenggaraan pengobatan tradisional. di dalam peraturan tersebut diuraikan caracara mendapatkan izin praktek pengobatan tradisional beserta syaratsyaratnya. khusus untuk obat herbal, pemerintah mengeluarkan keputusan menkes ri nomor 121 tahun 2008 tentang standar pelayanan medik herbal. untuk terapi spa (solus per aqua) atau dalam bahasa indonesia sering diartikan sebagai terapi sehat pakai air, diatur dalam permenkes ri no. 1205/ menkes/per/x/2004 tentang pedoman persyaratan kesehatan pelayanan sehat pakai air (spa). saat ini, pengawasan pada penyelenggaraan praktik terapi komplementer di masyarakat baru berupa pendaftaran saja oleh pemerintah daerah. bahkan, dari hasil penelusuran terbaru oleh dinas kesehatan di berbagai daerah, banyak sarana/tenaga terapi komplementer tidak terdaftar di dinas kesehatan setempat, sehingga hal ini sangat dikhawatirkan banyak merebak pengobatan palsu yang berkedok terapi kompelementer/ alternatif yang dijalankan oleh tenaga yang tidak berkompeten, yang pada akhirnya dapat membahayakan masyarakat. legalisasi pengobatan tradisional pengobatan tradisional dapat berperan sebagai salah satu bentuk kebijakan pemerintah daerah yang berbasis kearifan lokal demi terciptanya kesejahteraan masyarakat. dalam pelaksanaan kebijakan 78 ubaidillah kamal, konstruksi perlindungan konsumen…., pp.69-84 pelayanan kesehatan melalui pengobatan tradisional, pemerintah daerah juga harus menyusun regulasi yang relevan dengan konteks kebijakan tersebut demi terwujudnya kesejahteraan masyarakat di daerahnya. penyelenggaraan kebijakan pelayanan kesehatan melalui pengobatan tradisional juga harus mempunyai dasar hukum di setiap tingkatan yang menjamin terwujudnya asas kepastian, keadilan dan juga kemanfaatan. penyelenggaraan dari pengobatan tradisional dimulai dari perizinan. sebagai pelaksanaan dari hal tersebut, seluruh pengobat tradisional di indonesia harus melampaui beberapa tahapan untuk mendapatkan pengakuan dan legalisasi dari pemerintah. tahap pertama adalah melalui perizinan yang berfungsi untuk memperoleh surat terdaftar pengobat tradisional dengan cara mendaftarkan dirinya ke kepala dinas kesehatan kabupaten/kota. surat terdaftar pengobat tradisional yang selanjutnya disebut stpt adalah bukti tertulis yang diberikan kepada pengobat tradisional yang telah melaksanakan pendaftaran. stpt dikeluarkan oleh kepala dinas kesehatan kabupaten/kota selambat-lambatnya satu bulan setelah permohonan dan seluruh kelengkapan dipenuhi. setelah pengobat tradisional memiliki stpt, pengobat tradisonal dapat diberikan surat izin pengobat tradisional. surat izin pengobat tradisional (sipt) adalah bukti tertulis yang diberikan kepada pengobat tradisional yang metodenya telah dikaji, diteliti dan diuji terbukti aman dan bermanfaat bagi kesehatan. keberadaan pasal tersebut secara tidak langsung pemerintah melarang pendirian usaha dibidang pelayanan jasa atau pengobatan altermatif tanpa seizin dari pemerintah atau dalam hal pengobatan alternatif tanpa seizin dinas kesehatan dan rekomendasi dari ikni (ikatan neuropati indonesia). seperti perkatakan bp. tjandra wijaja selaku direktur dari ikni yang mengatakan jika ditemukannya pengobatan alternatif yang tidak berizin membuktikan jika kesadaran pelaku usaha untuk mendaftarkan usahanya masih kurang padahal dengan izin pelaku usaha akan lebih mendapatkan pembinaan dan pengawasan untuk kegiatan usahanya. ikatan neuropati indonesia juga memberikan pelatihan kepada masyarakat yang tertarik pada pengobatan tradisional, dengan pelatihan 79 journal of private and commercial law volume 1 no. 1, november 2017 tersebut masyarakat dapat secara langsung mendapat rekomendasi untuk membuka usaha praktik pengobatan tradisional secara pribadi. bentuk perlindungan konsumen jasa pengobatan alternatif di kota semarang bentuk perlindungan konsumen pengguna jasa pengobatan alternatif di kota semarang terdiri dari banyak ragam dan penanganannya. pihak yang bertanggungjawab langsung adalah dinas kesehatan kota semarang yang dalam pelaksanaannya dibantu oleh instansi, badan, organisasi, lembaga swadaya masyarakat serta anggota masyarakat itu sendiri. dinas kesehatan dan ikni memberikan penjelasan, jika memang ditemukan pengobatan sangkal putungyang melakukan malpraktek itu seatau kelalaian, pasien dapat melaporkannya pada dinas kesehatan, kemudian dinkes bersama ikni akan melakukan sidak langsung ke pengobatan alternatif tersebut dan langsung menanyakan pada pengobatnya. hal tersebut juga tidak secara langsung memberikan jaminan jika pengobatan alternatif tersebut akan memenuhi tanggung jawabnya sebagai pelaku usaha yang merugikan konsumen. direktur ikni bapak tjandra widjaja juga mengatakan jika ada yang merasa dirinya menjadi korban malpraktek atau kelalaian pengobat alternatif dapat melaporkan langsung ke kepolisian. kenyataan tersebut menunjukkan bahwa ada upaya perlidungan kepada konsumen jasa pengobatan alternatif yang dilakukan oleh dinas kesehatan dan ikni, bahkan termasuk laporan langsung ke kepolisian jika dianggap telah terjadi mal praktek. bentuk perlindungan kepada konsumen jasa pengobatan alternatif juga dilakukan dengan cara : (1) pemberlakuan peraturan perundang-undangan yang berlaku tentang pengobatan tradisional/pengobatan alternatif; (2) pembentukan dan peran serta ikni (ikatan neuropati indonesia) di kota semarang; (3) pembentukan dan pengoptimalan sentra pengembangan dan penerapan pengobatan tradisional (p3t), balai kesehatan tradisional masyarakat (bktm) dan loka kesehatan tradisional masyarakat (lktm); (4) pembinaan, pengawasan dan sosialisasi dinkes kepada pelaku usaha pengobatan alternatif.dan konsumen; (5) upaya dan anjuran penyusunan sop (standar 80 ubaidillah kamal, konstruksi perlindungan konsumen…., pp.69-84 operational procedure) bagi masing-masing jasa pengobatan alternatif; (6) pemberdayaan lembaga perlindungan konsumen swadaya masyarakat (lpksm). dan badan penyelesaian sengketa konsumen (bpsk). tanggungjawab pelaku usaha pengobatan alternatif pelaku usaha dengan mudah berkelit dan lepas dari jerat hukum. adanya tanggung jawab yang dibebankan pada pelaku usaha, diharapkan pelaku usaha lebih berhati-hati dan lebih optimal dalam melakukan produksi dan pengawasan produksi barang/jasanya agar tetap menguntungkan pihak konsumen maupun pelaku usaha itu sendiri. tanggung jawab produk dalam penelitian ini terfokus pada tanggung jawab pelaku usaha pengobatan alternatif atas pengaduan dari pengguna jasa usaha tersebut. dinas kesehatan sebagai badan yang berwenang mengatasi masalah kesehatan juga mengatakan jika sebagai besar pengobatan tradisional tidak dapat memberikan ganti rugi atas pengobatannya karena proses pembuktiannya yang sulit. hasil penelitian ditemukan jika memang belum ada standar untuk tata cara dan/atau ilmu yang ditetapkan oleh pemerintah atau setidaknya batasan dari cara yang boleh dan tidak boleh dilakukan oleh pengobat. keselamatan pasien sebagai konsumen dari pengobatan sangkal putung disini belum dijamin sepenuhnya karena bisa saja apa yang dilakukan oleh pengobat melukai atau bahkan sampai menyakiti pasien. kelalaian terjadi akibat suatu tindakan yang tanpa diduga dan disengaja oleh seseorang. tentu saja tidak hanya dokter yang memiliki kode etik yang harus bertanggung jawab atas malpraktek atau kelalaian, pengobat alternatif sebagai pelaku usaha juga berkewajiban terhadap hal tersebut. sebagian besar para pelaku usaha tidak memberikan informasi yang jelas tentang tindakan pengobatan yang mereka lakukan, ketika pasien datang mereka langsung melakukan proses pengobatan. padahal kewajiban tersebut seperti yang sudah dijelaskan diatas tidak hanya dinyatakan pada pasal 8 undang-undang nomor 36 tahun 2009 tentang kesehatan namun juga tercantum pada sk menteri kesehatan ri no. 1076/menkes/sk/vii/2003 81 journal of private and commercial law volume 1 no. 1, november 2017 hal tersebut juga tidak secara langsung memberikan jaminan jika pengobatan alternatif tersebut akan memenuhi tanggung jawabnya sebagai pelaku usaha yang merugikan konsumen. direktur ikni bapak tjandra widjaja juga mengatakan jika ada yang merasa dirinya menjadi korban malpraktek atau kelalaian pengobat alternatif dapat melaporkan langsung ke kepolisian. ketidakjelasan pelaksanaan tanggung jawab para pengobat alternatif disini dapat sangat merugikan konsumen. konsumen sebagai pihak yang lemah disini pun juga tidak mendapatkan kejelasan dan kepastian, pihak-pihak yang terkait mungkin memberikan solusi namun banyak juga dari solusi tersebut yang tidak jelas ujungnya. kewajiban pelaku usaha untuk memberikan jaminan kepada konsumen jelas dikatakan pasal 26 undang-undang nomor 8 tahun 1999 tentang perlindungan konsumen sebagai berikut: “ pelaku usaha yang memperdagangkan jasa wajib memenuhi jaminan dan/atau garansi yang disepakati dan/atau yang diperjanjiakan ”. pelaku usaha bisa jadi harus bertanggung jawab secara hukum, yang sering terjadi pelaku usaha dengan mudah berkelit dan lepas dari jerat hukum. tanggung jawab produk yang dibebankan pada pelaku usaha, diharapkan pelaku usaha lebih berhati-hati dan akan optimal dalam melakukan produksi dan pengawasan produksi barang/jasanya agar tetap menguntungkan pihak konsumen maupun pelaku usaha itu sendiri. pemerintah sebagai pihak yang juga memiliki peranan penting dalam upaya penyelenggaraan pelayanan kesehatan yang bermutu seharusnya lebih aktif dalam melakukan pembinaan dan pengawasan terhadap perkembangan pengobatan alternatif.. tanggungjawab yang muncul sebagian besar adalah tanggungjawab etis atau moral dari pelaku usaha jasa pengobatan alternatif, atas dorongan benarbenar ingin membantu kesembuhan pasien dengan keterampilan atau obat yang dimiliki, sehingga bila belum ada kesembuhan atau keluhan makan akan diusahakan kembali. masyarakat cenderung jarang yang melakukan upaya tuntutan, gugatan atau sejenisnya, karena ada hubungan unik antara pengobat dan pasien pengobatan alternatif yaitu hubungan “kemakluman”. ada perasaan “sembuh berarti jodoh, nggak sembuh berarti belum jodoh”. 82 ubaidillah kamal, konstruksi perlindungan konsumen…., pp.69-84 konstruksi perlindungan konsumen pengobatan alternatif di kota semarang struktur, pola atau sistem dalam perlindungan konsumen secara umum masih mendasarkan diri kepada hak dan kewajiban pelaku usaha dan konsumen. sehingga perlu dibangun sebuah konstruksi baru perlindungan konsumen yang tidak hanya mendasarkan diri kepada hak dan kewajiban mereka tetapi juga berbasis kepada pembinaan dan pengawasan yang baik kepada pelaku usaha. dalam hal ini adalah pelaku usaha jasa pengobatan alternatif. oleh pemerintah daerah dapat dijelaskan dengan diagram berikut ini. skema 1 : konstruksi perlindungan konsumen berbasis pembinaan dan pengawasan pelaku usaha jasa pengobatan alternatif simpulan pengaturan pengobatan alternatif di kota semarang didasarkan kepada peraturan perundangan yang ada, tetapi belum diterapkan secara komprehensif. bentuk perlindungan kepada konsumen dilakukan secara preventif dan represif bekerjasama antara dinkes kota semarang dengan ikni, lsm, dan penegak hukum. ada tiga pola tanggungjawab yang muncul dari pelaku usaha pengobatan alternatif terhadap konsumen, yaitu tanggungjawab etis, tidak bisa memberikan ganti kerugian, dan sengaja tidak mau bertanggungjawab. kontruksi perlindungan konsumen berbasis upaya pengawasan dan pembinaan kepada pelaku usaha pengobatan alternative agar menjadi terukur, jelas, profesional dan dapat konsumen/masyarak konsumen/masyarak 83 journal of private and commercial law volume 1 no. 1, november 2017 dipertanggungjawabkan sehingga dapat memberikan pelayanan yang terbaik bagi masyarakat sebagai konsumen dengan pelayanan kesehatan yang aman, bermanfaat dan ilmiah. sehingga pengobatan alternative bergerak menjadi mitra negara untuk mewujudkan jaminan kesehatan aman, bermanfaat, ilmiah dan terjangkau menuju indonesia sehat 2020. kepada pemerintah kota semarang agar membentuk satu unit tersendiri di struktur dinas khusus untuk membina, mengelola dan mengawasi praktek pelaku usaha jasa pengobatan alternatif, memberikan sanksi yang tegas, memberikan penyuluhan kepada konsumen melalui berbagai media tentang tentang prkatik yang terdaftar dan tidak terdaftar dan mengenai konsumen cerdas. kepada masyarakat/konsumen agar senantiasa cermat memilih atau menggunakan jasa pengobatn alternatif dengan semua jenisnya. apabila terjadi hal yang dianggap merugikan, malpraktek atau penipuan langsung menyampaikannya kepada dinas kesehatan, lembaga perlindungan konsumen atau kepolisian secara langsung. daftar pustaka amirudin dan h. z. asikin. 2004. pengantar metode penelitian hukum. jakarta: raja grafindo persada. bungin, burhan. 2001. metodologi penelitian sosial : format-format kantitatif dan kualitatif. surabaya: airlangga university press brannen, julia.1997. memadu metode penelitian kualitatif dan kuantitatif. terjemahan nuktah arfawie kurde,dkk. yogyakarta: pustaka pelajar. kristiyanti, c. t. s. 2008. hukum perlindungan konsumen. jakarta: sinar grafika miru, a. dan s. yodo. 2010. hukum perlindungan konsumen. jakarta: raja grafindo persada. milles, mattew dan huberman, michael. 1992. analisis data kualitatif.jakarta: universitas indonesia. moleong, l.j. 2007. metodologi penelitian kualitatif. bandung: remaja rosdakarya. 84 ubaidillah kamal, konstruksi perlindungan konsumen…., pp.69-84 nasution, az. 2006. hukum perlindungan konsumen. jakarta: diadit media. rajaguguk, erman, dkk. 2000. hukum perlindungan konsumen. bandung mandar maju. samsunjaya, sagita. 2007. mengenal pengobatan modern dan pengobatan alternatif. jakarta: cv. visindo media persada. sarwono, j. 2006. metode penelitian kuantitatif dan kualitatif. yogyakarta: graha ilmu. shidarta. 2000. hukum perlindungan konsumen. jakarta: grasindo. sidabalok, j. 2006. hukum perlindungan konsumen di indonesia. bandung: pt. citra aditya bakti. peraturan perundang-undangan : undang-undang perlindungan konsumen nomor 8 tahun 1999. undang-undang nomor 36 tahun 2009 tentang kesehatan. sk menteri kesehatan ri no.1076/menkes/sk/vii/2003 tentang penyelenggaraan pengobatan tradisional (batra) . 111 journal of private and commercial law volume 1 no. 1, november 2017 implementasi prinsip corporate social responsibility (csr) berdasarkan undang-undang nomor 40 tahun 2007 tentang perseroan terbatas marthin marthen b. salinding inggit akim fakultas hukum universitas borneo tarakan jl. amal lama no.1, kel. pantai amal, kec. tarakan timur, pantai amal, tarakan tim., kota tarakan, kalimantan utara email : mhukum@ymail.com abstrak corporate social responsibility (csr) merupakan salah satu kewajiban yang harus dilaksanakan oleh perusahaan sesuai dengan isi pasal 74 undangundang nomer 40 tahun 2007 tentang perseroan terbatas (uupt). tujuan penelitian ini adalah untuk merumuskan alternatif bentuk-bentuk kegiatan csr bagi perusahaan perseroan terbatas (pt) yang mengelola sumber daya alam di kabupaten malinau dan tanah tidung dan untuk mengetahui apa saja kendalakendala yang dihadapi oleh perusahaan dalam implementasinya. data dalam penelitian ini dianalisis secara kualitatif , yaitu data skunder yang berupa teori, definisi dan substansinya dari berbagai literatur, dan peraturan perundang-undangan, serta data primer yang diperoleh dari wawancara, observasi dan studi lapangan, kemudian dianalisis dengan undang-undang, teori dan pendapat pakar yang relevan, sehingga didapat kesimpulan tentang pelaksanaan tanggungjawab sosial perusahaan yang berkaitan dengan pengentasan masalahmasalah sosial kemasyarakatan. berdasarkan hasil penelitian ditemukan bahwa norma kewajiban csr bagi perseroan terkesan tidak tegas, karena tidak memuat sanksi bagi perseroan yang melanggarnya. pelaksanaan csr dalam pelaksanaannya selama ini mengalami kendala karena hanya didasarkan kepada kesadaran dan komitmen perusahaan. padahal komitmen dan kesadaran setiap perusahaan tidak sama dan sangat tergantung kepada kebijakan perusahaan masing-masing kata kunci : corporate,responsibility, perseroan terbatas 112 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 pendahuluan corporate social responsibility (csr) merupakan salah satu kewajiban yang harus dilaksanakan oleh perusahaan sesuai dengan isi pasal 74 undangundang nomer 40 tahun 2007 tentang perseroan terbatas (uupt) . melalui undang-undang ini, industri atau koprasi-koprasi wajib untuk melaksanakanya, tetapi kewajiban ini bukan suatu beban yang memberatkan. perlu diingat pembangunan suatu negara bukan hanya tangungjawab pemerintah dan industri saja, tetapi setiap insan manusia berperan untuk mewujudkan kesejahteraan sosial dan pengelolaan kualitas hidup masyarakat konsep csr itu sendiri pertama kali dikemukakan oleh howard r.bowen pada tahun 1953 yang menyatakan bahwa, “it refers to the obligations of businessmen to pursue those policies, to make those decisions, or to follow those lines of action which are desireable in terms of the objectives and values of our society” 1 secara sederhana, jhonatan sofian menyebutkan csr sebagai suatu konsep yang mewajibkan perusahaan untuk memenuhi dan memperhatikan kepentingan para stakeholder dalam kegiatan operasinya mencari keuntungan. stakeholder yang dimaksud di antaranya adalah para karyawan (buruh), kostumer, masyarakat, komunitas lokal, pemerintah dan lembaga swadaya masyarakat (lsm). 2 meningkatnya tingkat kepedulian kualitas kehidupan, harmonisasi sosial dan lingkungan ini juga mempengaruhi aktivitas dunia bisnis, maka, lahirlah gugatan terhadap peran perusahaan agar mempunyai tanggungjawab sosial. disinilah salah satu manfaat yang dapat dipetik perusahaan dari kegiatan csr. dalam konteks inilah aktifitas csr menjadi menu wajib bagi perusahaan, di luar kewajiban yang digariskan undang-undang. 3 1 ismail solihin, corporate social responsibility: from charity to sustainability,salemba empat, jakarta, 2009, h.16 2 jonathan sofian lusa, 2007, mencari bentuk ideal tanggung jawab sosial perusahaan, http://jsofian.wordpress.com/2007/06/10/, diakses pada tanggal 22 maret 2012 3 a.b. susanto, corporate social responsibility, the jakarta consulting group, jakarta, 2007, h. 7 113 journal of private and commercial law volume 1 no. 1, november 2017 perusahaan tidak hanya dihadapkan pada tanggung jawab yang berpijak pada perolehan keuntungan/laba perusahaan semata, tetapi juga harus memperhatikan tanggung jawab sosial dan lingkungannya. jika masyarakat (terutama masyarakat sekitar) menganggap perusahaan tidak memperhatikan aspek sosial dan lingkungannya serta tidak merasakan kontribusi secara langsung bahkan merasakan dampak negatif dari beroperasinya sebuah perusahaan maka kondisi itu akan menimbulkan resistensi masyarakat atau gejolak sosial. komitmen perusahaan untuk berkontribusi dalam pembangunan bangsa dengan memperhatikan aspek finansial atau ekonomi, sosial, dan lingkungan itulah yang menjadi isu utama dari konsep corporate social responsibility. pengaturan bagi perusahaan terhadap tanggung jawab sosial dan lingkungan (csr) yang diatur dalam pasal 74 uu no. 40 tahun 2007 tentang perseroan terbatas, bertujuan untuk mewujudkan pembangunan ekonomi berkelanjutan guna meningkatkan kualitas kehidupan dan lingkungan yang bermanfaat bagi perseroan itu sendiri, komunitas setempat, dan masyarakat pada umumnya. ketentuan ini dimaksudkan untuk mendukung terjalinnya hubungan perseroan yang serasi, seimbang, dan sesuai dengan lingkungan, nilai, norma, dan budaya masyarakat setempat, maka ditentukanlah bahwa perseroan yang kegiatan usahanya di bidang dan/atau berkaitan dengan sumber daya alam wajib melaksanakan tanggung jawab sosial dan lingkungan. untuk melaksanakan kewajiban perseroan tersebut, maka kegiatan tanggung jawab sosial dan lingkungan harus dianggarkan dan diperhitungkan sebagai biaya perseroan yang dilaksanakan dengan memperhatikan kepatutan dan kewajaran. kegiatan tersebut harus dimuat dalam laporan tahunan perseroan. dan dalam hal perseroan tidak melaksanakan tanggung jawab sosial dan lingkungan, maka perseroan yang bersangkutan akan dikenai sanksi sesuai dengan ketentuan peraturan perundang-undangan. namun demikian kenyataan menunjukkan bahwa pelaksanaan csr sebagai kewajiban hukum perseroan masih terkesan asal-asalan, dan belum menyentuh kepentingan masyarakat secara optimal. ke depan tanggung jawab sosial perusahaan, apabila dilaksanakan dengan benar, akan memberikan dampak positif 114 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 bagi perusahaan, lingkungan, termasuk sumber daya manusia, sumber daya alam dan seluruh pemangku kepentingan dalam masyarakat. perusahaan yang mampu sebagai penyerap tenaga kerja, mempunyai kemampuan memberikan peningkatan daya beli masyarakat, yang secara langsung atau tidak, dapat mewujudkan pertumbuhan lingkungan dan seterusnya. mengingat kegiatan perusahaan itu sifatnya simultan, maka keberadaan perusahaan yang taat lingkungan akan lebih bermakna. pentingnya penelitian ini dilakukan dengan keutamaan untuk dapat menggali lebih dalam dan mengetahui masalah-masalah yang dihadapi dalam mengimplementasi csr oleh perusahaan di kabupaten malinau sehingga manfaatnya belum maksimal bagi masyarakat dan lingkungan. identifikasi masalah-masalah tersebut menjadi bahan evaluasi prioritas yang berkaitan dengan penerapan csr. berdasarkan penjelasan di atas maka penelitian ini akan membahas pengaturan csr dalam undang-undang no. 40 tahun 2007 tentang perseroan terbatas (pt) terhadap perseroan yang mengelola sumber daya alam dan kendala dalam mengimplementasikan ketentuan pasal 74 undang-undang no. 40 tahun 2007 tentang perseroan terbatas. hasil dan pembahasan substansi keberadaan prinsip tanggung jawab sosial dan lingkungan bagi perusahaan (corporate social responsibility; selanjutnya disebut csr), adalah dalam rangka memperkuat kemampuan perusahaan untuk beradaptasi dengan lingkungannya, komunitas dan stakeholder yang terkait dengannya, baik lokal, nasioal, maupun global. di dalam pengimplementasiaannya, diharapakan agar unsur-unsur perusahaan, pemerintah dan masyarakat saling berinteraksi dan mendukung, supaya csr dapat diwujudkan secara komprehensif, sehingga dalam pengambilan keputusan, menjalankan keputusan, dan pertanggungjawabannya dapat dilaksanakan bersama. penerapan kegiatan csr di indonesia baru dimulai pada awal tahun 2000, walaupun kegiatan dengan esensi dasar yang sama telah berjalan sejak tahun 1970-an, dengan tingkat yang bervariasi, mulai dari yang paling sederhana seperti 115 journal of private and commercial law volume 1 no. 1, november 2017 donasi sampai kepada yang komprehensif seperti terintegrasi ke dalam strategi perusahaan dalam mengoperasikan usahanya. menyadari pentingnya suatu tanggung jawab sosial (csr), maka dalam penerapan csr diperlukan suatu law enforcement untuk mengatur bagaimana ketentuan penerapannya. berikut adalah peraturan yang mendukung pelaksanaan csr di indonesia, yakni : a. undang-undang nomor 40 tahun 2007 tentang perseroan terbatas (uupt) tanggung jawab sosial dan lingkungan perseroan diatur dalam pasal 74 yang menjelaskan sebagi berikut; (1) perseroan yang menjalankan kegiatan usahanya di bidang dan/atau berkaitan dengan sumber daya alam wajib melaksanakan tanggung jawab sosial dan lingkungan; (2) tanggung jawab sosial dan lingkungan sebagaimana dimaksud pada ayat (1) merupakan kewajiban perseroan yang dianggarkan dan diperhitungkan sebagai biaya perseroan yang pelaksanaannya dilakukan dengan memperhatikan kepatutan dan kewajaran; (3) perseroan yang tidak melaksanakan kewajiban sebagaimana dimaksud pada ayat (1) dikenai sanksi sesuai dengan ketentuan peraturan perundang-undangan; (4) ketentuan lebih lanjut mengenai tanggung jawab sosial dan lingkungan diatur dengan peraturan pemerintah. namun dalam pengaturan dan ketentuan dari csr ini dianggap masih terdapat kerancuan jika kita menelaah lebih lanjut pasal 74. hal ini dapat dilihat pada kalimat “wajib bagi perseroan yang menjalankan kegiatan usahanya dalam mengelola atau yang berkaitan dengan sumber daya alam”, disini csr cenderung dianggap hanya sebuah kewajiban bagi perseroan yang berkegiatan usaha mengolah atau yang berkaitan dengan sumber daya alam saja, sedangkan perseroan diluar usaha tersebut tidak diwajibkan. persoalan berikutnya, mengenai anggaran csr yang dilakukan dengan memperhatikan kepatutan dan kewajaran sedangkan nilai patut dan wajar suatu perusahaan tidak sama dengan perusahaan lain, maka batasan nilai patut dan wajar ini belum bisa dijadikan acuan konkrit perusahaan dalam mengimplementasikan program csr. kerancuan ketiga yaitu adanya ketidakjelasan sanksi bagi yang tidak melaksanakannya, ketentuan sanksi yang dimaksud itu tidak dijelaskan 116 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 mengacu pada peraturan yang mana. hal ini mengakibatkan terjadinya pro dan kontra pada kalangan pengusaha. kerancuan yang terjadi pada pasal 74 ini sudah pernah diajukan oleh berbagai organisasi pengusaha di indonesia seperti kadin, iwapi untuk uji material (judicial review) kepada mahkamah konstitusi (mk). mengenai hal ini mk sendiri memberikan penolakan uji material terhadap pasal 74 ayat 1,2, dan 3. alasan mk menolak adalah karena program csr tidak bertentangan dengan pasal 33 uud 1945 dan majelis melindungi hak kontitusional warga yang berada di lingkungan perusahaan dengan mewajibkan perusahaan yang diuntungkan untuk membagi kekayaan untuk kemakmuran rakyat. 4 b. undang-undang nomor 25 tahun 2007 tentang penanaman modal (uupm) pengaturan csr dalam uupm, terdapat dalam beberapa pasal yaitu : 1) pasal 15 huruf (b),”setiap penanam modal berkewajiban untuk melaksanakan tanggung jawab sosial perusahaan” 2) pasal 16 huruf (d),” setiap penanam modal bertanggung jawab menjaga kelestarian lingkungan hidup” 3) pasal 16 huruf (e), setiap penanam modal bertanggung jawab menciptakan keselamatan, kesehatan, kenyamanan, dan kesejahteraan pekerja 4) pasal 17, penanam modal yang mengusahakan sumber daya alam yang tidak terbarukan wajib mengalokasikan dana secara bertahap untuk pemulihan lokasi yang memenuhi standar kelayakan lingkungan hidup, yang pelaksanaannya diatur sesuai dengan ketentuan peraturan perundangundangan adanya undang-undang nomor 25 tahun 2007 di dalam asas-asasnya disebutkan mengenai asas akuntabilitas, yaitu di dalam penyelenggaraan penanaman modal harus dipertanggung jawabkan kepada masyarakat atau rakyat sebagai pemegang kedaulatan negara. disebutkan juga mengenai asas 4[ rosady ruslan, “permasalahan corporate social responsibility di indonesia”, www.rosadyruslan-humas.blogspot.com,akses januari 2013. http://www.rosadyruslan-humas.blogspot.com,akses/ 117 journal of private and commercial law volume 1 no. 1, november 2017 keberlanjutan yaitu mengenai penanaman modal untuk menjamin kesejahteraan dan kemajuan dalam segala aspek kehidupan untuk masa kini dan masa yang akan datang. ada juga mengenai asas berwawasan lingkungan yaitu investor harus memperhatikan dan mengutamakan perlindungan dan pemeliharaan lingkungan hidup. sejalan dengan hal tersebut, maka ketentuan mengenai csr sudah merupakan kewajiban bagi investor yang ingin menanamkan modalnya pada sektor pertambangan mineral dan batubara di indonesia. tanggung jawab sosial perusahaan terhadap masyarakat hukum adat berkaitan dengan teori utilitarisme sebagaimana yang diutarakan oleh jeremy bentham, dikutip ahmad ali mengatakan, adanya negara dan hukum semata-mata hanya demi manfaat sejati, yaitu kebahagiaan mayoritas rakyat. 5 curzon mengatakan bahwa: utilitarianism is a moral philosophy that defines the rightness of an action in terms of its contribution to general happines and considers ultimate good to be the greatest happinest of the greatest number. 6 pada dasarnya doktrin tersebut menganjurkan the gretatest happines principle atau prinsip kebahagiaan semaksimal mungkin. 7 menurut teori ini masyarakat yang ideal adalah masyarakat yang mencoba kebahagiaan dan memperkecil ketidakbahagiaan atau masyarakat yang mencoba memberi kebahagiaan yang sebesar mungkin kepada rakyat pada umumnya dan agar ketidakbahagiaan di usahakan sesedikit mungkin oleh rakyat pada umumnya tadi. kebahagiaan berarti kesenangan atau tidak sengsara, dan ketidak bahagiaan berarti kesengsaraan atau ketiadasenangan. 8 utilitarisme disebut juga sebagai teori teleologis (dari kata yunani, telos =tujuan), sebab menurut teori ini kualitas etis suatu perbuatan diperoleh dengan 5 achmad ali, menguak tabir hukum (suatu kajian filosofis dan sosiologis). toko gunung agung jakarta, 2002, h. 76. 6 l.b. curzon, jurisprudence, m & e. hard book, 1997, h. 93-94. 7 achmad ali, op.cit. h. 76 8 ibid, h. 76-77. 118 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 dicapainya tujuan perbuatan. perbuatan yang memang bermaksud baik tetapi tidak menghasilkan apa-apa, menurut utilitarisme tidak pantas disebut baik. 9 menurut teori ini perbuatan yang sempat mengakibatkan paling banyak orang merasa senang dan puas adalah perbuatan yang terbaik. mengapa melestarikan lingkungan hidup, misalnya, merupakan tanggung jawab moral kita? utilitarisme menjawab karena hal itu membawa manfaat paling besar bagi umat manusia sebagai keseluruhan, termasuk juga generasi-generasi sesudah kita. menurut utilitarisme sebagai upaya pembangunan berkelanjutan (sustainable development) menjadi tanggung jawab moral kita. 10 berdasarkan uraian tentang konsep perusahaan maka paradigma tradisional perusahaan sudah dianggap tidak relevan lagi. perusahaan modern sebagai suatu perusahaan yang menjaga keseimbangan antara kepentingan ekonomi dan kepentingan sosial serta lingkungan merupakan prinsip utama saat ini. hal ini secara tidak langsung telah mempengaruhi kedudukan csr itu sendiri di mata pengusaha. pergeseran paradigma tanggung jawab perusahaan dan perkembangan tentang penerapan csr dewasa ini semakin menunjukan pentingnya peranan perusahaan dalam menjaga kelestarian lingkungan dan kesejahteraan masyarakat, selain kewajibannya kepada pemegang saham. perusahaan merupakan keluarga besar yang memiliki tujuan dan target yang hendak dicapai, yang berada di tengah lingkungan masyarakat yang lebih besar. sebagai warga masyarakat, perusahaan membutuhkan apresiasi dan interaksi anggota masyarakat dalam setiap aktivitasnya. gambaran mengenai kedudukan perusahaan sebagai bagian dari masyarakat yang lebih luas (stakeholders) dapat dilihat dari bagan yang dijelaskan oleh nor hadi yang sejalan dengan pendapat archie b. caroll. 11 perusahaan dalam menjalankan operasionalnya mempunyai empat tanggung jawab terhadap masyarakat luas 9 k. bertens, pengantar etika bisnis (seri filsafat atmajaya, kanisius, yogyakarta, 2000. h. 67 10 ibid. h.. 66 11 archie b. carrol berpendapat bahwa konsep csr memuat komponen-komponen sebagai berikut: economic responsibilities, legal responsibilities, ethical responsibilities dan discretionary responsibilities. lihat dwi kartini, corporate social responsibility: transformasi konsep sustainability management dan implementasi di indonesia, refika aditama, 2009, bandung, h 14. 119 journal of private and commercial law volume 1 no. 1, november 2017 yaitu 12 ; (a) tanggung jawab ekonomis; (b) tanggung jawab legal; (c) tanggung jawab etis; (d) tanggung jawab filantropis tanggung jawab ekonomi, keberadaan perusahaan yang selama ini hanya ditujukan untuk memperoleh keuntungan dalam menjaga keberlangsungan perusahaan, serta meningkatkan kesejahteraan bagi para pemilik (shareholders). untuk itu, perusahaan memiliki tanggung jawab menjamin dan meningkatkan kesejahteraan bagi pemegang saham. tanggung jawab legal, perusahaan sebagai bagian dari masyarakat yang lebih luas memiliki kepentingan untuk memenuhi aturan formal, sebagaimana yang diisyaratkan oleh pemerintah. operasional perusahaan hendaknya dilakukan sesuai dengan kaidah peraturan perundangan. c. undang-undang nomor 4 tahun 2009 tentang pertambangan mineral dan batubara (minerba). pada undang-undang minerba ini penjelasan yang berkaitan dengan csr terdapat pada : (1) pasal 95 huruf (d), pemegang izin usaha pertambangan (iup) dan iupk wajib melaksanakan pengembangan dan pemberdayaan masyarakat setempat; (2) pasal 106, pemegang iup dan iupk harus mengutamakan pemanfaatan tenaga kerja setempat, barang, dan jasa dalam negeri sesuai ketentuan perundang-undangan; (3) pasal 107, dalam melakukan kegiatan operasi produksi, badan usaha pemegang iup dan iupk wajib mengikutsertakan pengusaha lokal yang ada di daerah tersebut sesuai dengan peraturan perundang – undangan. dalam undang-undang minerba, csr ditunjukkan dalam bentuk pengembangan dan pemberdayaan masyarakat setempat, pemanfaatan tenaga kerja dan pengikutsertaan pengusaha lokal. keberadaan perusahaan pertambangan idealnya bermanfaat tidak hanya bagi perusahaan secara internal, melainkan membawa dampak positif bagi masyarakat hukum adat . prinsip dasar csr adalah memberdayakan masyarakat sekitar yang notabene miskin agar terbebas dari kemiskinan. harapan dari pelaksanaan csr selain memberdayakan masyarakat, dari sisi perusahaan, agar operasional berjalan lancar tanpa gangguan. jika 12 nor hadi, corporate social responsibility, graha ilmu, yogyakarta, 2011, h. 35. 120 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 hubungan antara perusahaan dan masyarakat hukum adat tidak baik, maka dapat dipastikan akan timbul masalah dalam aktivitas perusahaan, terutama dalam pelaksanaan csr yang hingga saat ini pengetahuan serta perhatian masyarakat masih minim. idealnya adalah bahwa tujuan dan manfaat penerapan csr oleh perusahaan pertambangan mineral dan batubara adalah membawa dampak yang positif bagi masyarakat hukum adat atau komunitas setempat melalui berbagai program pemberdayaan, sedangkan secara tidak langsung, keberhasilan pelaksanaan csr akan berdampak positif pada citra perusahaan sehingga keuntungan pun akan meningkat, walaupun tidak secepat yang diinginkan. dengan demikian dapat dijelaskan bahwa prinsip csr merupakan bentuk pengelolaan mineral dan batubara yang berpihak kepada masyarakat hukum adat. a. pelaksanaan csr di dalam prakteknya, penerapan csr disesuaikan dengan kemampuan masing-masing perusahaan dan kebutuhan masyarakat. oleh karena itu, kegiatan csr sangat beragam. hal ini bergantung pada proses interaksi sosial, bersifat sukarela didasarkan pada dorongan moral dan etika, dan biasanya melebihi dari hanya sekedar kewajiban memenuhi peraturan perundang-undangan. perusahaan yang termasuk dalam subjek penelitian ini ialah pt bara dinamika muda sukses (bdms)dimana kegiatan usahanya adalah eksplorasi dan eksploitasi batubara di desa loreh dan desa langap, keamatan loreh kabupaten malinau provinsi kalimantan utara. untuk menindaklanjuti pelaksanaan csr maka perusahaan telah melakukan berbagai upaya dalam pengelolaan lingkungan. penelitian ini menitikberatkan kepada beberapa bentuk csr sebagai wujud tanggung jawab sosial dab lingkungan hidup yang dilakukan oleh perusahaan terhadap masyarakat di desa loreh dan desa langap sebagai agent of development, perusahaan merupakan bagian dari masyarakat atau warga negara. dengan menjadi bagian dari warga negara suatu bangsa (corporate citizenship),8 maka perusahaan juga mempunyai kewajiban dalam pembangunan. beberapa bentuk csr yang telah dilakukan oleh perusahaan 121 journal of private and commercial law volume 1 no. 1, november 2017 dalam rangka pemenuhan tanggung jawab sosial dan lingkungan hidup di desa loreh dan dan desa langap yang akan diuraikan sebagai berikut: 1) peluang usaha bagi masyarakat pada saat dilakukan penelitian ini, diketahui adanya peluang usaha di sekitar lokasi operasional perusahaan. salah satunya adalah adanya usaha lokal masyarakat sekitar dalam penyediaan jasa dan pemenuhan kebutuhan sehari-hari pekerja, seperti; membuka rumah kos-kosan bagi karyawan, penginapan, rental mobil,tukang ojek, tukang kayu dan beberapa warung di sekitar lokasi kegiatan. se;ain itu masyarakat menjual langsungsung hasil kebun seperti buah-buahan dan syur-sayuran kepada perusahaan. 2) membuka akses jalan jalan sebagai bagian sistem transportasi nasional mempunyai peranan penting terutama dalam mendukung ekonomi, sosial budaya, lingkungan, politik, serta pertahanan dan keamanan. dari aspek ekonomi, jalan sebagai modal sosial masyarakat merupakan katalisator di antara proses produksi, pasar, dan konsumen akhir. dari aspek sosial budaya, keberadaan jalan membuka cakrawala masyarakat yang dapat menjadi wahana perubahan sosial, membangun toleransi, dan mencairkan sekat budaya. dari aspek lingkungan, keberadaan jalan diperlukan untuk mendukung pembangunan berkelanjutan 13 sebelum perusahaan pt.bdms dibuka di desa loreh dan langap sekitar tahun 1993, satu-satunya akses transportasi yang menhubungkan desea loreh dengan daerah lain seperti kota malinau adalah transportasi sungai. tentunya hal ini membutuhkan waktu yang lama dan biaya yang besar. disamping itu transportasi tersebut diprngaruhi oleh alam. ada kalah kalahnya masyarakat setempat tidak bisa keluar kareana banjir ataupun karena debit air terlalu kering sehing tidak dimungkinkan dilalui transportasi sungai. akibatnya harga kebutuhan pokok sangat mahal, seterusnya mempengaruhi tingkat kesejahteraan masyarakat. setelah eksplorasi dan eksploitasi sumber daya mineral dan batubara oleh pt. bdms, perusahaan membuka akses jalan darat yang menghubungkan kota 13 alinea ke-4 penjelasan undang-undang nomor 38 tahun 2004 tentang jalan (lembaran negara republik indonesia tahun 2004 nomor 132tambahan lembaran negara republik indonesia nomor 132). 122 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 malinau dengan drsa loreh dan desa langap merubah secara total keadaan geografis kedua desa tersebut yang sebelumnya terisolir kini telah dilalui kendaraan roda empat dan roda dua. dengan adanya akses jalan darat, masyarakat dikedua desa dengan leuasa pergi ke malinau membeli kebutuhan pokok dan bahan bangunan< harga kebutuhan pokok telah terjangkau oleh masyarakat. tentunya mempengaruhi tingkat kesejahteraan masyarakat, hali dapat dilihat dengan jelas dengan bangunan-bangunan masyarakat besar-besar dan cantikcantik. sesuai dengan pakta yang dilihat oleh penelitih dikedua desa tersebut tidak terlihat adanya rumah kumuh. bahkan terlihat banyak rumah beton. disamping itu sebagai bentuk kepedulian perusahaan kepada masyarakat perusahaan juga membuat akses jalan ke kebun masyarakat. menurut kepala desa loreh, mika jalai 14 dengan adanya jalan ke kebun, jelas mempermudah masyarakat pergi ke kebun dengan menggunakan kendaraan, namun demikian adanya akses jalan darat yang dilalui oleh kendaraan perusahaan dan kendaraan umum membawah dampak negatif bagi lengkungan dan masyarakat. jika hujan tidak turun dalam satu hari saja, maka sedua desa tersebut diselimuti oleh debu. menururt salah seorang tokoh masyarakat desa langap, aran alang 15 bahwa dalam rangkah mengurangi dampak dari debu, pihak perusahaan melakukan penyiraman jalan, namun hal tersebut tidak rutin dilakukan. tentunya implikasinya terhadap kualitas kesehatan masyarakat dan kualitas lingkungan hidup. 3) pemberian fasilitas kesehatan masyarakat dalam rangka meningkatkan derajat kesehatan masyarakat, perlu dilaksanakan berbagai upaya kesehatan termasuk pengawasan kualitas air yang di konsumsi oleh masyarakat. kebutuhan masyarakat terhadap air yang semakin meningkat mendorong lebih menguatnya nilai ekonomi air dibanding nilai dan fungsi sosialnya. kondisi tersebut berpotensi menimbulkan konflik kepentingan antar sektor, antar wilayah dan berbagai pihak yang terkait dengan sumber daya air. 14 mika jalai kepala desa loreh, wawancara tanggal 20 juni 2016 15 arang alang tokoh masyarakat desa langap, wawancara tanggal juni 2016 123 journal of private and commercial law volume 1 no. 1, november 2017 kualitas air yang digunakan masyarakat untuk memasak, minum, mandi dan kebutuhan sehari-hari lainnya harus memenuhi syarat kesehatan agar terhindar dari gangguan kesehatan yang artinya kualifikasi air yang digunakan tersebut harus bersih. dalam peraturan menteri kesehatan no. 416 tahun 1990 disebutkan bahwa air bersih adalah air yang digunakan untuk keperluan seharihari yang kualitasnya memenuhi syarat kesehatan dan dapat diminum apabila telah dimasak. kualitas air juga harus memenuhi syarat kesehatan yang meliputi persyaratan mikrobiologi, fisika kimia, dan radioaktif. kehadiran pertambangan batubara di desa loreh dan desa langap tentunya mempengaruhi kualitas air khusunya air sungai yang ada disekitar wilayah pertambangan yang sebelumnya merupakan sumber air minum, mandi dan cuci masyarakat setempat. sebagai bentuk tanggung jawab sosial dan lingkungan, maka pt bdms membuat pipanisasi di kedua desa tersebut dengan mengambil air dari sumber mata air yang tidak tercemar oleh dampak pertambangan batubara. selanjutnya air tersebut disalurkan ke kesetiap rumah di desa loreh dan desa langap. disamping itu setiap rumah diberikan propil tank sebagai tempat penampungan air bersih. 16 bantuan sumber air bersih, membantu masyarakat untuk mendapatkan akses sumber air bersih untuk keperluan sehari-hari. air bersih menjadi kebutuhan masyarakat untuk keperluan sehari-hari seperti mandi, memasak, dan mencuci. selama ini desa lore mengalami kesulitan mendapatkan sumber air bersih karena air yang selama ini digunakan adalah air sungai yang tidak layak oleh karena itu perusahaan memberikan bantuan berupa sumber air bersih kepada masyarakat. untuk itu kualitas air yang berhubungan dengan kesehatan yang telah ada perlu disesuaikan dengan perkembangan teknologi. 4) rekrutmen tenaga kerja lokal sebagai tenaga kerja kehadiran perusahaan haruslah mampu memberikan dampak yang baik kepada masyarakat, kepedulian perusahaan terhadap masyarakat tidak hanya sebatas pemberdayaan masyarakat yang terbatas hanya pada satu aspek saja, tetapi 16 dharma azrevi rangkuti, kabag departement csr pt.bdms, wawancara tanggal 20 juni 2016 124 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 juga perusahaan ikut serta dalam menyukseskan pembangunan daerah, termasuk memberdayakan tenaga kerja lokal. pt. bdms wajib mengutamakan pemanfaatan tenaga kerja setempat dan bertanggung jawab dalam mengembangkan lingkungan dan masyarakat setempat. dengan kata lain perusahaan wajib mempekerjakan tenaga kerja setempat dalam jumlah dan kualitas tertentu, serta meningkatkan lingkungan hunian masyarakat, agar tercipta keharmonisan antara perusahaan dengan masyarakat sekitarnya. menurut kepalah desa loreh, mika jalai 17 tenaga kerja lokal yang tidak memiliki skil tertentu di kirim oleh perusahaan ke balikpapan selama waktu tertentu untuk menjalani training. dalam hal perekrutan tenaga kerja lokal pihak perusahaan sudah menunjukkan ke arah komitmen dalam merekrut tenaga kerja di desa loreh dan desa langap . kesempatan kerja yang diberikan kepada masyarakat sekitar pada umumnya berasal dari jenis pekerjaan yang bersifat non skill, seperti: tenaga keamanan, helper, cleaning service, catering, dan sebagainya yang direkrut oleh perusahaan outsourcing yang merupakan sub-kontraktor dari perusahaan. sementara untuk tenaga kerja yang membutuhkan tenaga skill sebagian besar telah disediakan oleh kontraktor sendiri. 5) bantuan fasilitas pendidikan setiap perusahaan dalam menjalankan kelangsungan perusahaannya tidak hanya memaksimalkan laba yang diperolehnya, tetapi diperlukan sebuah tanggung jawab sosial berupa kewajiban – kewajiban terhaap pihak lain. keberadaan csr (corporate social responsibility) di indonesia memperoleh respon yang positif dari pemerintah. tanggung jawab sosial dan lingkungan perusahaan (csr) di bidang pendidikan selain dapat meningkatnya citra sebuah perusahaan, juga dapat membuktikan bahwa perusahaan tersebut turut memikirkan nasib generasi bangsa, dan mampu menjadi warga negara yang baik. arah implementasi csr pada bidang pendidikan makin terasa diwujudkan oleh berbagai perusahaan dewasa ini. alasan manajemen perusahaan ndms memfokuskan program csr nya ke dunia pendidikan dikarenakan fakta bahwa sarana dan prasarana pendidikan masih 17 mika jalai, kepala desa loreh, wawancara tanggal 20 juni 2016 125 journal of private and commercial law volume 1 no. 1, november 2017 memprihatinkan, dan kesadaran tentang diperlukannya sdm handal yang dari pendidikan yang memadai. dalam pelaksanaan pemberian fasilitas pendidikan bagi masyarakat, perusahaan memberikan buku buku pelajaranan bagi anak-anak sekolah dasar setempat guna memperkaya ilmu pengetahuan umum mereka yang juga dimaksudkan sebagai penunjang pelajaranpelajaran inti sekolah. selain itu perusahaan juga menyumbangkan buku tulis untuk dibagikan di sekolah-sekolah sekitar wilayah operasi di desa lore dan desa langap, selain bantuan buku, menurut sekdes desa langap samuel bilung 18 pt. bdms juga membangun rumah belajar di desa langap (rumah bio) dan desa loreh(rumah tio). hal yang senada dikemukakan juga oleh kepala desa loreh rumah belajar dikelola oleh karyawan pt. bdms bekerja sama dengan pemuda desa. 6) pemberian bahan bakar solar kekurangan daya listrik dari perusahaan listrik negara (pln), merupakan salah satu masalah utama di wilayah pedalaman indonesia, termasuk di kabupaten malinau, provinsi kalimantan utara. termasuk dalam hal ini adalah desa loreh dan desa langap hingga saat ini belum terjangkau layanan litrik dari pln. menyadari listrik merupakan salah satu kebutuhan dasar masyarakat, pt bdms, sebuah perusahaan tambang batu bara yang beroperasi di desa loreh dan desa langap kabupaten malinau, turut berperan menyediakan bahan bakar solar untuk bahan bakar genset sebesar 4.000 liter per bulan bagi masing-masing desa kabag departement csr bdms dharma azrevi rangkuti mengatakan, hal itu merupakan salah satu dukungan perusahaan untuk meningkatkan kualitas hidup masyarakat sekitar perusahaan. “perusahaan menyadari, listrik sangat bermanfaat dan telah menjadi kebutuhan dasar masyarakat.jadi, kepedulian akan kebutuhan ini kami wujudkan dengan turut menyediakan daya listrik bagi peningkatkan kualitas hidup masyarakat,” 19 18 samuel bilung, sekdes desa langap, wawancara tanggal 20 juni 2016 19 dharma asrevi rangkutikabag depertement csr pt bdms, wawancara tanggal 20 juni 2016 126 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 sekeretaris desa langgap secara khusus menyampaikan terimakasih kepada bdms atas kepeduliannya menyediakan bahan bakar lolar bagi mesin genset lengkap dengan fasilitas pendukungnya, sehingga warga di desa loreh dan desa langap bisa merasakan listrik. 20 “ 1. hal-hal yang menjadi kendala dalam mengimplementasikan ketentuan pasal 74 undang-undang no 40 tentang perseroan pelaksanaan csr selama ini hanya didasarkan kepada kesadaran dan komitmen perusahaan. padahal komitmen dan kesadaran setiap perusahaan tidak sama dan sangat tergantung sekali kepada kebijakan perusahaan masing-masing. menggantungkan pelaksanaan csr kepada kesadaran dan komitmen perusahaan mempunyai beberapa kelemahan. kelemahan paling mendasar adalah tidak adanya sanksi yang tegas bagi perusahaan yang tidak melaksanakan csr. kondisi ini tidak akan mendorong pelaksanaan csr di indonesia. selama ini juga, bagi perusahaan yang melaksanakan csr tidak memilki arah yang jelas. padahal ada banyak sekali manfaat yang diperoleh apabila csr dilaksanakan dengan aturan dan arahan yang jelas baik pasal 74 ayat (3) uu pt maupun pasal 2 pp nomor 47 tahun 2012 tidak secara tegas menentukan wujud dan sanksi hukum bagi sebuah perusahaan yang dengan sengaja tidak melaksanakan kewajiban csr. kedua peraturan tersebut mengatur mengenai kewajiban hukum bagi perusahaan untuk menjalankan tanggung jawab sosial (csr) yang berkaitan dengan sumber daya alam. adapun ketentuan pasal 74 ayat (1) uu pt menyatakan, perseroan dalam menjalankan kegiatan usahanya di bidang dan/ atau berkaitan dengan sumber daya alam wajib melaksanakan tanggung jawab sosial dan lingkungan. ketentuan pasal ini mengatur mengenai kewajiban hukum yang harus dilaksanakan oleh sebuah perusahaan karena csr dalam ketentuan pasal 74 ayat (1) uu pt telah ditetapkan sebagai kewajiban hukum. hal ini disebabkan banyaknya sorotan terhadap dunia usaha dalam menjalankan bisnisnya, seperti etika yang harus dijalankan dalam berbisnis, memperhatikan keseimbangan lingkungan terhadap lingkungan di sekitarnya adalah merupakan suatu upaya penting bagi pelaku bisnis agar 20 samuel bilung sekdes desa langap wawanvara tanggal 20 juni 2016 127 journal of private and commercial law volume 1 no. 1, november 2017 melaksanakan csr ini bukan sebagai kewajiban moral semata yang pelaksanaannya bersifat sukarela. dimasukkannya csr dalam pasal 74 ayat (1) uu pt sebagai kewajiban hukum merupakan suatu langkah maju. akan tetapi ketentuan tersebut uupt dan pp tidak ada artinya apabila tidak mengatur sanksi hukum yang dapat memaksa terhadap perusahaan yang tidak melaksanakan pasal tersebut. kedua aturan tersebut tidak mengatur sanksi atas tidak dilaksanakannya csr akan berimbas pada banyaknya perusahaan yang akan mengabaikan ketentuan csr ini apabila tidak ada aturan yang memaksanya dan akan menjadi kendala dalam mengimplementasikan ketentuan csr ini dalam praktik. dari ketentuan tersebut diatur mengenai sanksi hukum bagi perusahaan yang tidak melaksanakan kewajiban tanggung jawab sosial dan lingkungan. namun, ketentuan tersebut tidak mengatur secara tegas apa wujud dari sanksi dalam pasal 74 ayat (3) uu pt tersebut. apabila dicermati, pasal 74 ayat (4) uu pt menyatakan bahwa ketentuan lebih lanjut mengenai tanggungjawab sosial dan lingkungan diatur dengan peraturan pemerintah. adapaun pp yang dimaksud peraturan pemerintah nomor 47 tahun 2012. dalam pp tersebut tidak mengatur secara tegas apa wujud dari sanksi hukumnya. dalam pasal 2 pp nomor 47 tahun 2012 menyatakan setiap perseroan selaku subjek hukum mempunyai tanggung jawab sosial dan lingkungan. pasal 3 ayat (1) menyatakan tanggung jawab sosial dan lingkungan sebagaimana dimaksud dalam pasal 2 menjadi kewajiban bagi perseroan yang menjalankan kegiatan usahanya di bidang dan/atau berkaitan dengan sumber daya alam berdasarkan undangundang. kewajibannya dilaksanakan baik di dalam maupun di luar lingkungan. dalam pasal 4 ayat (1) menyebutkan, tanggung jawab sosial dan lingkungan dilaksanakan oleh direksi berdasarkan rencana kerja tahuna perseroan setelah mendapat persetujuan dewan komisaris atau rups sesuai dengan anggaran dasar perseroan, kecuali ditentukan lain dalam peraturan perundang-undangan ayat (2) rencana kerja tahunan perseroan sebagaimana dimaksud pada ayat (1) memuat rencana kegiatan dan anggaran yang dibutuhkan untuk pelaksanaan tanggung jawab sosial dan lingkungan. pasal 5 ayat (1) 128 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 perseroan yang menjalankan kegiatan usahanya di bidang dan/ atau berkaitan dengan sumber daya alam, dalam menyusun dan menetapkan rencana kegiatan dan anggaran sebagaimana dimaksud dalam pasal 4 ayat (2) harus memperhatikan kepatutan dan kewajaran. ayat (2) realisasi anggaran untuk pelaksanaan tanggung jawab sosial dan lingkungan yang dilaksanakan oleh perseroan sebagaimana dimaksud pada ayat (1) diperhitungkan sebagai biaya perseroan. pasal 6 pelaksanaan tanggung jawab sosial dan lingkungan dimuat dalam laporan tahunan perseroan dan dipertanggungjawabkan kepada rups. pasal 74 uu pt jo pp 47 tahun pasal 1 angka 3 uu pt menyatakan, setiap perusahaan wajib menerapkan prinsip tata kelola perusahaan yang baik dan melaksanakan tanggungjawab sosial perusahaan, sehingga merupakan komitmen dari perseroan untuk berperan serta dalam pembangunan ekonomi berkelanjutan. pengaturan masalah sanksi hukum atas pelaksanann csr ini di satu sisi merupakan suatu kemajuan karena aturan tentang tanggungjawab sosial dan lingkungan ini merupakan hal yang baru yang bersifat memaksa para pelaku usaha untuk melaksanakan csr ini. adanya ketentuan sanksi hukum ini perusahaan dituntut untuk memiliki tanggungjawab sosial yang tidak hanya berdasarkan kedermawanan perusahaan tersebut atau berdasarkan moralkegiatan dilaksanakan bersama-sama dengan masyarakat dan pihak lain yang memiliki kompetensi yang tepat; semata, tetapi sudah merupakan kewajiban bagi perusahaan dalam menjalankan kegiatan bisnisnya untuk menjaga terjadinya relasi sosial yang harmonis dan menjaga agar lingkungan tidak menjadi rusak, dan apabila tidak dilaksanakan akan dikenai sanski sesuai dengan ketentuan pasal 74 ayat (3) uu pt. konsep csr oleh pasal 74 ayat (1) uu pt telah ditetapkan sebagai kewajiban hukum dan harus dilaksanakan. dimasukkannya konsep csr dalam ketentuan pasal 74 uu pt tersebut merupakan suatu langkah maju bagi kepentingan masyarakat, bangsa dan negara walaupun ketentuan pasal tersebut diberlakukan secara terbatas bagi perusahaan yang menjalankan kegiatan usahanya di bidang sumber daya alam. adanya ketentuan pasal 74 uu pt dan pp 129 journal of private and commercial law volume 1 no. 1, november 2017 yang mengatur tentang tanggungjawab sosial dan lingkungan ini (csr) ini tidak akan berhasil apabila tidak diatur mengenai sanksinya. mengingat dalam kedua aturan tersebut tidak diatur mengenai sanksi atas tidak dilaksanakannya csr tersebut yang akan berimbas pada banyaknya perusahaan yang akan mengabaikan ketentuan csr ini apabila tidak ada aturan yang memaksanya. oleh karena itu, ketentuan pasal 74 ayat (3) uu pt ini tidak akan mempunyai arti apabila belum adanya peraturan yang mengatur secara tegas apa wujud dari sanksi ketentuan tersebut, begitu pula ketentuan pp 47 tahun 2012 yang tidak mengatur secara jelas ketentuan tentang wujud sanski atas tidak dilaksanakannya csr ini akan menjadi masalah dalam mengimplementasikan ketentuan csr ini dalam praktek.. tentang hal ini menurut penulis penyerahan csr kepada pemerintah daerah untuk dikelola dan integrasikan dalam apbd daerah adalah merupakan hal yang bertentangan dengan hakekat csr itu sendiri. program csr dimaksud untuk membantu masyarakat disektar wilayah perusahaan yang mengelolah sumber daya alam yang tentunya dalam hal ini terkena dampak langsung d ari kegiatan tersebut. disanping itu dimaksudkan agar masyarakat disekitar wilayah perusahaan merasah turut memiliki terhadap perusahaan tersebut.pemahaman bahwa csr merupakan hak penuh dari pemerintah daerah merupakan suatu intervensi pemerintah daerah terhadap perusahaan yang ada di wilayahnya. jika csr dikelolah oleh pemda, maka besar kemungkinan sasaran dari csr tidak tercapai, dan rentan penyalagunaan dana csr oleh pemeritah daerah. selain itu, usulan mengintegrasikan csr dalam apbd sedikit bertentangan dengan program csr sebagai strategi bisnis perusahaan. meski terdengar negatif, program csr yang diselenggarakan perusahaan di indonesia bermanfaat bagi masyarakat. praktik di berbagai negara, csr merupakan program kesukarelaan yang saling menguntungkan antara perusahaan dan masyarakat. menurut penulis langkah yang paling bijaksana adalah csr sebenarnya bisa dikoordinasikan oleh pemerintah asal perencanaannya jelas. pemerintah atau pemda harus punya rencana strategis yang terukur. “ini program pengentasan kemiskinan di daerah a. dana dari pajak sekian, dari pemerintah pusat sekian, 130 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 perusahaan diminta menutupi kekurangannya,” dengan cara seperti itu, penulis yakin perusahaan akan senang bekerja sama dengan pemerintah. “tidak perlu diwajibkan pun perusahaan akan berpartisipasi aktif. tapi sifatnya koordinasi,” terkait dengan pertanggungjawaban hukum atau liability terhadap perusahaan yang tidak melaksanakan csr sebagaimana diatur dalam pasal 74 uu pt, tidak dicantumkan secara eksplisit pertanggungjawaban hukum seperti apa yang akan dibebankan kepada perusahaan. namun demikian, dalam undangundang itu pula dijelaskan bahwa perusahaan dapat dipertanggungjawabkan secara hukum berdasarkan peraturan perundang-undangan terkait misalnya; kuh perdata, uu lingkungan hidup, uu perlindungan konsumen, uu pertambangan, dan sebagainya. kewajiban atas tanggung jawab sosial dan lingkungan bagi perusahaan yang telah ditetapkan sebagai kewajiban hukum oleh uu pt ini mempunyai implikasi agar kewajiban perusahaan atas lingkungan sekitarnya tidak hanya sebatas dalam tataran moralitas yang pelaksanaannya bersifat sukarela semata, tetapi perlu diatur dalam suatu norma hukum sebagai suatu kewajiban hukum agar tercapai suatu kepastian hukumnya. implementasi csr ini seyogyanya memberikan manfaat yang sebesarbesarnya baik bagi internal maupun eksternal perusahaan, sehingga filosofi pemberian csr itu sendiri tercapai. menurut sutan remy sjahdeini, terkait dengan tujuan atau manfaat pelaksanaan csr menyatakan, pelaksanaan csr telah meningkatkan reputasi perusahaan, reputasi yang baik itu memudahkan perusahaan untuk dapat melakukan rekrutmen pegawai yang berkualitas dan bereputasi baik, para pegawai lebih betah untuk bekerja di perusahaan yang melaksanakan csr sehingga perusahaan dapat mengurangi biaya yang timbul karena harus melakukan rekrutmen baru dan melakukan pelatihan bagi pegawai pegawai baru itu dan sebagainya 21 21 ibid, h.64. 131 journal of private and commercial law volume 1 no. 1, november 2017 simpulan pengaturan konsep csr oleh pasal 74 ayat (1) uu pt telah ditetapkan sebagai kewajiban hukum dan harus dilaksanakan. dimasukkannya konsep csr dalam ketentuan pasal 74 uu pt tersebut merupakan suatu langkah maju bagi kepentingan masyarakat, bangsa dan negara walaupun ketentuan pasal tersebut diberlakukan secara terbatas bagi perusahaan yang menjalankan kegiatan usahanya di bidang sumber daya alam. hal-hal yang menjadi kendala dalam pelaksanaan csr selama ini karena hanya didasarkan kepada kesadaran dan komitmen perusahaan. padahal komitmen dan kesadaran setiap perusahaan tidak sama dan sangat tergantung sekali kepada kebijakan perusahaan masing-masing. daftar pustaka departemen hukum dan ham, 2010, “tanggung jawab sosial perusahaan (corporate social responsibility) dan iklim penanaman modal”, available from: http://www.djpp.depkumham.go.id/index.php/jurnal-legislasi fuady, munir 2002, doktrin-doktrin modern dalam corporate law dan eksistensinya dalam hukum indonesia, citra aditya bakti, bandung i gusti ngurah anom “pengembangan tanggung jawab sosial perseroan (corporate social responsibility) dikaitkan dengan konsep tri hita karana (studi di provinsi bali)” prasetya, rudhi, 1996, kedudukan mandiri perseroan terbatas, citra aditya bakti, bandung renny syahdeni, sutan, 2006: pertanggungjawaban pidana korporasi, grafiti pers, jakarta septina basani, christin, 2007, peran perusahaan sebagai agen perubahan pelaksanaan tanggung jawab sosial (corporate social responsibility), tesis pada program magister kenotariatan universitas gadjah mada yogyakarta solihin, ismail, 2009, corporate social responsibility: from charity to sustainability,salemba empat, jakarta, http://www.djpp.depkumham.go.id/index.php/jurnal-legislasi 132 marthin, et.al., implementasi prinsip corporate social…., pp.111-132 supasti, ni ketut dharmawan, 2009, a hybrid framework, suatu alternative pendekatan csr (corporate social responsibility) di indonesia, makalah pada diseminasi tentang rekomendasi bagi pembaharuan hukum di indonesia, denpasar, susanto, a.b, 2007, corporate social responsibility, the jakarta consulting group, jakarta, 113 journal of private and commercial law volume 2 no. 2, november 2018 legal protection of the right to indication of origin in indonesia muh ali masnun law department universitas negeri surabaya surabaya, indonesia alimasnun@unesa.ac.id abstract the purpose of this study is to analyze the form of legal protection rights for indications of origin in indonesia based on law number 20 of 2016 concerning trademarks and geographical indications (trademark and gi law). legal protection rights for indications of origin are inseparable from consideration of the economic value inherent in a property. indications of origin are different from geographical indications, indications of origin are signs that indicate the origin of goods or services that are not identical to natural (geographical) factors. this research is a normative juridical using primary legal materials and secondary legal materials, as well as using prescriptive analysis methods. the results of the study show that legal protection can be provided in the form of preventive and repressive legal protection, however, the legal protection regulation of rights for indications of origin in indonesia are still relatively very low. protection of rights for indications of the origin arises with a declarative system that cannot be separated from the rights to the trademark. the right to the trademark is a prerequisite for being able to declare the right to an indication of origin. the period of protection of rights for indications of the following ten years of protection of trademark and can be extended again. transfer of rights to indications of origin is impossible to do because it is attached to the rights to the trademark and is different from the non-transferability as a geographical indication. violation of rights for indications of origin can be in the form of use of indications of origin by non-registered users of trademark has been registered with indication of origin. the firmness of the government to provide legal protection in the form of statutory rights for indications of origin is an absolute necessity. the government must be present to provide a regulation as a consequence of the legal state, which means that in carrying out all tasks and activities, it must be based on applicable law. keywords: legal protection, indication of origin, indonesia mailto:alimasnun@unesa.ac.id muh. ali masnun, legal protection of the right…., pp. 113-124 introduction the activity of trading goods and / or services is an absolute requirement for every human being to complement each other. trade arises since humans were not able to fulfill their needs by bartering, using a medium of exchange commonly known as money to the level of development of trade using bitcoin. the development of trade activities has undergone a dynamic change, this is an implication of the increasingly widespread impact of globalization, especially in the fields of technology and information. the global trade era can develop well if there is a good business competition. in this context the sign of origin of goods and / or services is relatively enough crucial when there is the potential for unhealthy business competition to emerge, including in this case indonesia as an archipelago that has products of goods and / or services from regions of various types which shows where the goods and / or services originated from. protection of the origin of goods and / or services is regulated in law number 20 of 2016 concerning trademarks and geographical indications (trademark and gi law). the basic arrangements for protection are contained in the consideration that to further improve services and provide legal certainty for the world of industry, trade and investment in facing local, national, regional and international economic developments. the trademark and gi laws regulate geographical indications and rights to indications of origin which are distinguished in terms of the act. the terminology of geographical indications seems to be more familiar in various conversations or references in indonesia. geographical indications in the general provisions of article 1 point 6 of the trademark and gi law are defined as "a sign indicating the origin of an item and / or product due to geographical factors including natural factors, human factors or a combination of these two factors giving reputation, quality, and certain characteristics of the goods and / or products produced." these definitions provide several characteristics which are highlighted, among others: signs, origin of goods, natural factors, human factors, reputation, quality, and certain characteristics. signs as geographical indications usually consist of the 115 journal of private and commercial law volume 2 no. 2, november 2018 name of the product origin, but can also consist of symbols or naming directly pointing to the place of origin of the product. 1 how is the system of protection, scope, subject of the applicant, the period of protection, the possibility of transferring rights, violations of geographical indications set out in the trademark and gi law which contradict the arrangement of indications of origin. the indications of origin in the trademark and ig law are not clearly defined as geographical indications, however, some indications of origin can be found in article 63 and article 64: "indication of origin is protected without going through registration obligations or declaratively as a sign indicating the origin of goods and / or services that are correct and used in trade." "indication of origin is a characteristic of the origin of goods and / or services that are not directly related to natural factors." these characteristics include signs, the origin of an item and / or service, not related to natural factors. indications of origin arrangement in the opinion of the author is still relatively very limited to provide protection from legal aspects. the definition of origin is not explained in general provisions, even though the regulation provides guidance in interpreting the following articles in the trademark and gi law. the scope of protection, protection systems, protection periods, subjects who can have rights to the indications of origin, some potential emergence of other questions related to the arrangement of indications that will have implications arise a big question how the legal protection rights for indications of origin in indonesia. there is a possibility that the right of original indication is more from the quantitative side than the geographical indication which indeed requires that there must be registration and there are geographical (natural) factors. 2 protection of this matter is inseparable from consideration of the economic value inherent in a 1 daniel f aling, sistem perlindungan indikasi geografis sebagai bagian dari hak kekayaan intelektual di indonesia, karya ilmiah, universitas sam ratulangi, manado, 2016 p.1 2 the geographical indication has been registered in indonesia per september 2018 67 gi. muh. ali masnun, legal protection of the right…., pp. 113-124 property. 3 these economic values can improve welfare and profits for the local community. 4 table 1.1 comparison arrangement rights protection of geographical indications and rights to indication of origin no about indication of geographical indication of origin 1. definition a sign which indicates the origin of goods and / or products because of the geographical environment, including natural factors, human factors or a combination of both factors it gives reputation, quality and certain characteristics to the goods and / or products produced. indication of origin is a characteristic of the origin of goods and / or services that are not directly related to natural factors. 2 scope of goods, can be: 1. results of natural resources 2. handicrafts; 3. industrial products. goods and / or services 3 protection system constitutive system/first to file system, meaning that the right to geographical indication / legal protection will be given when the geographical indication has been registered. declarative system, meaning that the right of origin / legal protection arises in line with the manifestation of the object and not through registration. 4 subjects/ applicants a. institutions that represent the community b. government provincial or district / city not regulated yet (who can declare) 3 trias palupi kurnianingrum, perlindungan hak ekonomi atas indikasi geografis, jurnal negara hukum, vol 7, 2016 p. 1 4 winda risma yessiningrum, perlindungan hukum indikasi geografis sebagai bagian hak kekayaan intelektual, jurnal kajian hukum dan keadilan ius, p.43 117 journal of private and commercial law volume 2 no. 2, november 2018 5 period unlimited as long as the quality or reputation is still intact. not regulated yet 6 transfer of nontransferable rights non transferable not regulated yet 7 violations a. use of geographical indications that do not requirement the gi description document b. use of gi signs that can mislead the public in connection with the geographical origin of the item; c. use of gi by registered gi users not regulated yet research methods the type of research in this study is normative juridical. normative legal research is a process to find a rule of law, legal principles, and legal doctrines faced. 5 this study uses the statue approach. the legal approach is carried out by examining all the rules and regulations that relate to the legal issues being addressed. 6 legal materials used are in the form of primary legal material and secondary legal material. primary legal material consists of trademark and gi law. secondary legal material consists of books, journals, research results that are relevant to the research of the author. the legal material analysis technique used in this study is to analyze prescriptive legal materials, namely to formulate and submit guidelines and rules that must be obeyed by legal and dogmatic practices of law. results and discussion the existence of law cannot be separated from society, because law is a means to create a sense of peace and security (protection). law is protection of human interests in the form of norms or rules. law as a set of rules or rules containing content that is general and normative, general and applies to everyone, 5 peter mahmud marzuki, penelitian hukum, surabaya: kencana, 2011 p. 35 6 ibid muh. ali masnun, legal protection of the right…., pp. 113-124 and normative because it determines what may and may not be done, and determine how to implement compliance with the rules. 7 satjipto rahardjo said that legal protection is an effort to protect one's interests by allocating a power to him to act in the context of his interests. 8 furthermore, satjipto rahardjo gave the opinion that legal protection is to provide protection for human rights that are harmed by others and that protection is given to the community in order to enjoy all the rights granted by law. 9 thus legal protection can be interpreted that the law must have a role in providing protection for human interests, especially human rights (ham). the right to indication of origin as one of the declarative inherent rights should be able to provide protection to people who have interests, community / public, especially in relation to aspects of business (business). this is in line with nathan roscoe pound's idea that to fulfill his role classify the interests that must be protected by law, namely: 10 a. public interest b. public interest (social interest), which is divided into five, namely: 1. the importance of peace and order; 2. protection of social institutions; 3. prevention of moral decline; 4. prevention of rights violations; 5. social welfare. c. private interest based on the theory of legal protection, legal protection consists of 2 (two) namely preventive legal protection and repressive legal protection. preventive legal protection can be interpreted as a form of protection in the form of efforts to prevent from occurring a violation of a law. repressive legal protection can be interpreted as a form of protection as an effort to prevent violations. 7 sudikno mertokusumo, mengenal hukum suatu pengantar, liberty, yogyakarta, 2010 p. 39 8 satjipto rahardjo, sisi-sisi lain dari hukum di indonesia, kompas, jakarta, 2003, p. 121 9 satjipto rahardjo, ilmu hukum, citra aditya bakti, bandung, 2000, p. 55 10 sudikno mertokusumo, op. cit, p. 44 119 journal of private and commercial law volume 2 no. 2, november 2018 preventive legal protection in this context, the author will analyze how the formulation of regulatory indications as long as it is able to provide legal protection (both formally and material). the arrangement of indications of origin in the trademark and gi law is only regulated in 3 articles, namely: article 63: “indications of origin are protected without going through registration obligations or declaratively as a sign indicating the origin of an item and / or service that is correct and used in the trade”. article 64: “indication of origin is a characteristic of the origin of goods and / or services that are not directly related to natural factors”. article 65: “further provisions regarding indications of origin as referred to in article 63 and article 64 are regulated by ministerial regulation”. definitions relating to indications of origin are not found at all from the trademark and gi law, so that the arrangement seems half-centered, only with article 64 helping to interpret that indications of origin are characteristic of goods and / or services not directly related to natural factors. in the explanation of article 64 of the trademark and gi law, the indication of origin is not the same as the geographical indication because the indications of origin only identify the origin of the goods produced that are not related to natural factors. examples of nikon-the trademark cameras originating from japan were also given by their factory in china through a license and the chinese product was written in made in china. this made in china label is an indication of origin. can the label (indication of origin) only be interpreted in the context of the license? in the opinion of the author, this is not absolutely valid, moreover the explanation in legislation is not binding as the norm in articles which do have binding powers. the use of an indication label (sign) as long as it is very open may not have to go through the transfer of license rights, especially seeing the condition of indonesia as a large country, has the potential to produce which shows the origin of goods and / or services. this context, the law can be used to realize protection that is not only adaptive and flexible, but also predictive and anticipatory. muh. ali masnun, legal protection of the right…., pp. 113-124 furthermore, the indication of origin is always attached to the existing trademark, whether the trademark must be registered first or not, which in turn arises the right to the trademark so that it can make an indication of origin (declarative system). this regulation needs to be emphasized so that there is legal certainty, because maybe the trademark has not been registered, but indicates the origin of the goods and / or services produced. regarding these problems, the solution to this problem is by using an analogy to the arrangement of geographical indications. arising of the right to a geographical indication is to register the geographical indication or commonly known as a constitutive system. in principle, the right to an indication of origin is in line with the manifestation of the object rather than through registration, different from protecting constitutive geographical indications and requiring registration, however, needs to be noted that the right to indication of inherent rights to the trademark, so that the right to indications of origin are always preceded by the rights to the trademark or otherwise the rights to the trademark are risen, could be followed (not always) rights to the indication of origin. if the right to indicate the origin of the trademark that has not been registered, it is likely that there will be difficulties in obtaining legal protection, mainly related to proof at the trial if there is a dispute in the future. other problems that are related to subjects who have the right to indication of origin, in the trademark and gi law, have not been regulated by anyone / subject who can retain the right to indication of origin when there is another person who passing off. that problem could be given a solution using the previous discussion, that the arising of the right to an indication of the inherent origin of the right to the trademark so that the person who has / the subject who can retain the right to indicate the origin is a registered legal subject. the basic concept in intellectual property rights generally provides guidance that protection is given to intellectual property with the provision that there is a limitation of time (period). the right to the trademark has a protection limit for 10 years, then it can be extended to the extent that it can meet the provisions of the legislation. protection of geographical indications with unlimited, with 121 journal of private and commercial law volume 2 no. 2, november 2018 prerequisite still can maintain the quality and reputation of the goods produced. trademark and gi law is not regulate yet right to indication of origin about period, simple logic that could be used as the basis for determining the period of protection is as the right to the trademark, due to the rising of the right to indication of inherent rights to the trademark, so that the legal protection period for the right to indication origin is 10 years and can be extended as long as the brand is registered or in other words the period of protection of rights for indications of following protection given rights to the trademark, the difference is that in the declarative system. a declarative system that arises in line with the object's embodiment needs to be carried out techniques how to prove that having right to geographical indication is a certain law, then in the right of indication there are several techniques used as the basis of the use, including through a self delivery box (sdb). it means that we send a sign of the right to the indication of origin by attaching to the goods and / or products produced then sending by expedition to our own address. this delivery date mark / stamp could be used as our basis as the date of birth of the right to an indication of origin. the package does not need to be opened but is stored properly as a basis if one day there is a dispute over the right to indication of origin, then the package of shipment is used as proof of when the right to indicate that we have started using the goods and / or products we produce. the transfer of rights in intellectual property rights is the transfer of the right to produce, use, duplicate the rights inherent in the goods and / or services. intellectual property rights generally state that these rights can be transferred for example through licenses, endowments or grants. the right to the indication of origin that is inherent where the location of the production of goods and / or services is made, it is not possible for the right to the indication of origin to be transferred by any method and method. this reason is quite strong, because the inherent right to the indication of origin with the right to the trademark that could be transferred is the right to the trademark. the right to indication of origin is not transferable different with the right to geographical indication because it is muh. ali masnun, legal protection of the right…., pp. 113-124 influenced by natural factors in an area, so that if it is transferred potential / may have quality / reputation that is not the same as where the original geographical indication originated produced. violations about indication of origin are possible carried out by other parties who have interests. the lack of regulation on violation of rights for indications of origin in the trademark and gi law, in the opinion of the author, is a matter that needs to be considered as an important concern when the law is born to protect the rights inherent in legal subjects. these violation provisions can be used as a basis in the (formal) process. in connection with this, the categorization of rights violations for indications of origin can use the parameter "usage indication of origin of non-registered user of trademark registered with indication of origin". repressive legal protection in the context of this study the author analyzes how the legal remedies if there has been a violation of the right to an indication of origin. article 108 of the trademark and gi law which stipulates that the implementing regulations of this law must be stipulated no later than 2 (two) years from the promulgation of this law, including in this case the ministerial regulation related to the original indication as ordered by article 65 of the trademark and gi law. the trademark and gi law was promulgated on november 25, 2016, if there are 2 (two) years limit of implementing regulations (beleid) until the author composes this article means just a few days. originally the regulation contained in full all matters relating to indications of origin. thus, in general of results of the analysis set out in table 1.2 table 1.2 protection arrangement rights to indication of origin no. about indication of origin 1 definitions indication of origin is characteristic of the origin of goods and / or services that are not directly related to natural factor 2 scope goods and / or services 123 journal of private and commercial law volume 2 no. 2, november 2018 3 system protection system declarative, means the right indication of origin / legal protection arising in accordance with the embodiment of the object and not through registration, be 4 subject / applicant following the rights holder for the brand attached to the indication of origin 5 period in accordance with the rights to the brand registered 6 transfer of rights cannot be transferred 7 violations use of indications of origin by nonregistered users of brands registered with indication of origin in general, the legal protection of rights for indications of origin in indonesia is still relatively limited. legal protection as conveyed by satjipto rahardjo as a form of protection of human rights has become a necessity that needs to be immediately regulated comprehensively. the firmness of the government to provide legal rights protection for indications of origin is an absolute necessity. the government must present to provide a regulation as a consequence of a legal state which means that in all matters carrying out its duties and activities must be based on applicable law, so that legal protection as roscoe pound's opinion says that the law must protect public interest, public interest and private interest. conclusion legal protection could be given in the form of preventive and repressive legal protection, however the legal protection arrangements of rights for indications of origin in indonesia are still relatively very subtle. protection of rights for indications of the origin of being born with a declarative system that cannot be separated from the rights to the trademark. the right to the trademark is a prerequisite for being able to declare the right to an indication of origin. the period of protection of rights for indications of the following ten years of protection of trademark rights and can be extended again. transfer of rights to muh. ali masnun, legal protection of the right…., pp. 113-124 indications of origin is impossible to do because it is attached to the rights to the trademark and is different from the non-transferability as a geographical indication. violation of rights for indications of origin can be in the form of use of indications of origin by non-registered users of trademark registered with indication of origin. the firmness of the government to provide legal rights protection for indications of origin is an absolute necessity. the government must present to provide a regulation as a consequence of a legal state which means that in all matters carrying out its duties and activities must be based on applicable law, so that legal protection as roscoe pound's opinion says that the law must protect public interest, public interest and private interest. the most concrete assertiveness is to issue implementing regulations (beleid) regarding the right to an indication of origin as soon as possible, without reducing the substance of the regulation. bibliography f aling, daniel, 2016 sistem perlindungan indikasi geografis sebagai bagian dari hak kekayaan intelektual di indonesia, karya ilmiah, universitas sam ratulangi, manado kurnianingrum, trias palupi, 2016, perlindungan hak ekonomi atas indikasi geografis, jurnal negara hukum, vol 7. marzuki, peter mahmud, 2011, penelitian hukum, surabaya: kencana. mertokusumo, sudikno, 2010, mengenal hukum suatu pengantar, liberty, yogyakarta. rahardjo, satjipto, 2000 ilmu hukum, citra aditya bakti, bandung. _______, 2003 sisi-sisi lain dari hukum di indonesia, kompas, jakarta. yessiningrum, winda risma, perlindungan hukum indikasi geografis sebagai bagian hak kekayaan intelektual, jurnal kajian hukum dan keadilan ius. jpcl 3(2) (2019) 50-59 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl the implementation of the indonesia regulation in supervising the indonesia national standard (sni) for baby cloting on small and medium industries ubaidillah kamal1; safira ardha nawiswari2 1faculty of law universitas negeri semarang, indonesia 2legal practicion in tangerang indonesia received april 8 2018, accepted july 1 2019, published november 30 2019 doi 10.15294/jg.v16i1.19695 abstract this study aims to determine the factors that causes the spread of baby clothes which are not sni labelled, in the city of semarang and to find out the extent of the regulation’s implementation. the legal research that the writer use is qualitative research, with the type of juridical empirical research, in this method the primary data was obtained from the department of industry and trade of central java province and the sekawan putra trade business. secondary data was obtained from library sources as well as from respondents namely baby clothing sellers and baby clothes consumers. the results of the study (1) internal factors that are not required to apply sni on the use of baby products of ikm, the number of ikms that still produce infant clothing that are not sni labelled yet, the low awareness of consumers that is caused by less intensive socialization from the government, and external factors that come from dependence of business actors with laboratory tests, which makes it difficult for business actors to obtain sni certificates. (2) no special supervision has been carried out as a follow up to the results of periodic supervision. conclusions from this study (1) there are still many baby clothes of ikm products that are not sni labelled yet (2) there is still a mismatch of the minister of trade regulation of the republic of indonesia number 47 / m-dag / per / 7/2016 carried out by the department of industry and trade of central java province. suggestions from this research are for consumers to be more selective in choosing and buying baby clothes, for businesses to comply with sni regulations for baby clothes, for the government to improve socialization to consumers and fostering business actors and conducting special supervision also increasing the frequency of monitoring. keyword: baby clothes; trade business; consumer; supervision; indonesian national standard introduction indonesia is a country with a very dense population, all influenced by the ever-increasing birth rate. as the birth rate increases, the need for baby clothes also increases. according to a unicef report, approximately 90 percent of babies are born in developing countries. uniquely, indonesia was ranked fifth as the country that contributes to the birth of babies which coincides with the new year 2018. of the 386,000 babies born on this special day, indonesia globally contributed 13,370 babies. above indonesia, there are india which reached 69,070 babies and china with 44,760 babies, in the third and fourth positions are occupied by nigeria with 20,210 and pakistan with 14,910. and the fifth rank is occupied by indonesia.1 the body condition of babies aged one to three years who are still vulnerable is recognized to be protected from hazardous chemicals, one of which is baby clothes. it has become one of the products that must meet the health, safety and security aspects for its users. in broad terms, products are all goods and services 1 htpps://www.goodnewsfromindonesia.id/ p-issn 2599-0314 e-issn 2599-0306* e-mail : ubaidillahkamal@mail.unnes.ac.id; safiraardha97@gmail.com address : k1 building, 1st floor, unnes, sekaran, gunungpati, semarang central java, indonesia, 50229 jp cl mailto:ubaidillahkamal@mail.unnes.ac.id mailto:safiraardha97@gmail.com ubaidillah kamal & safira ardha nawiswari, the implementation of the indonesia regulation in supervising... 51 produced by a process so that products are closely related to technology. products consist of goods and services. on the other side of the advantages of using increasingly good technology, the use of technology enables the production of products that are not in accordance with the requirements of the safety and safety of the user, causing losses to consumers.2 this refers to the condition that although basic material garment fabrics are used the same for making clothes, but if it is intended for babies, it must be regulated further in the threshold of substance content, especially because the sewing process is still according to the model made. according to kristiyanti, consumers basically need universal legal protection. we can find such protection in the consumer protection law, because of its international nature so that everyone has the same interests. though babies as consumers should be protected, given the relative weaker position of consumers compared to the position of producers who can be interpreted relatively stronger. then the discussion of consumers will always be actual and always important to be reviewed.3 raw materials used by the company are ensured that they meet the requirements and pass the test for the content of hazardous substances. it is hoped that the producers will always use suppliers who have passed the test, even though there is no standardized management system guide in the procurement of raw materials. on this occasion bsn provided input on the importance of implementing a quality management system in the company environment, especially to ensure the consistency of the products produced will always be able to meet the requirements set. this is partly due to the fact that the test sample taken must have been in the form of a child’s clothes that are made according to the current market tastes, while the validity period of the certification is only given for a period of six months from the issuance of the certificate. causes of producers in semarang have not yet managed their sni products and among others, the factor is that the producers expect their registration of goods (nrb), and the cost of certification and testing, so that the company will not overload it in production costs for consumers, which directly impacts on products becoming less competitive. because there are still many who decide to spend the old stock or waste goods before the regulation of baby clothes including mandatory indonesian national standard (sni). it is said to be related to safety, security, health and the environment. based on data from the department of industry and trade of central java province, even though there are regulations that prohibit it, up to now there are still many baby clothes that does not have sni standards yet. this can be very worrying, because there are still many baby clothes that contain azo dyes, formaldehyde levels, and levels of extracted metals in fabrics for baby clothes. in the city of semarang itself, there are still many domestic products, especially small and medium-sized industrial products (ikm) that do not yet have sni certificates. the percentage is only about 1% that has sni. in addition to focusing on supervising the large number of imported baby clothes that enter indonesia, based on the above, the government also needs to supervise domestic baby clothes including one of them on ikm products. the application of sni to baby clothing is an obligation, both for foreign and domestic clothing, so that the implementation of the absolute sni obligation to protect babies in indonesia from the effects that can affect health because clothing is used every day and directly in contact with the baby’s body. the purpose of this paper is as follows: (1)to analyze and explain how baby clothes that are not yet sni can be circulated in semarang city; (2)to find out the extent of the implementation of the regulation of the minister of industry of the republic of indonesia number 47 / m-ind / per / 7/2016 on the supervision of the indonesian national standard (sni) on baby clothes of small and medium industrial products (ikm) in semarang city. methods research that will be used by researchers using a qualitative approach. a qualitative approach according to moleong is that this study uses a qualitative research approach, where qualitative research is research that produces analytical procedures or other quantification methods.3 the type of research used is empirical juridical. empirical juridical or non-doctrinal research, namely research in the form of empirical studies to find theories about the process of occurrence and the process of working the law in society. the last typology of research is often referred to as socio legal research.4 2 janus sidabalok, 2014. hukum perlindungan konsumen di indonesia. bandung: citra aditya bakti, hlm 15. 3 kamal, ubaidillah. ’’konstruksi perlindungan konsumen jasa pengobatan alternatif (studi kasus di kota semarang)’’. journal of private and commercial law vol 1 no 1, 2017, 72 3 moleong, 2009, metode penelitian hukum, bandung : pt remaja rosdakarya, hlm. 6 4 bambang sunggono, 2016, metodologi penelitian hukum , jakarta: raja grafindo persada, hlm. 42 52journal of private and commercial law 3(2) (2019) 50-59 the data sources used are primary data and secondary data. primary data is research material in the form of empirical facts as behavior and results of human behavior. both in the form of verbal behavior, real behavior, and behavior that is driven in a variety of behavioral results or notes / records.5 secondary data is legal material in research taken from library studies consisting of primary legal materials, secondary legal materials and nonlegal materials.6 secondary data was obtained from documentation studies and literature searches relating to law enforcement and theories that supported it. data collection techniques used in writing include arguing that, observation is a complex process, a process that is composed of various processes of observation and memory.7 data collection techniques with observations are used when, research relating to human behavior, work processes, natural 6phenomena and if the respondents observed are not too large, the interview is a conversation carried out with a specific purpose carried out by two parties, namely the interviewer who asks the question and interviewees who provide answers to these questions.8 documentation, namely the method used to find data on things or variables in the form of notes, transcripts, books, newspapers, magazines, inscriptions, minutes of meetings, briefs, agendas, etc.9 the validity of the data used is data triangulation according to patton, in source triangulation, the authors compare and check the degree of trust in information obtained through different time and tools, in qualitative research that can be achieved by road.10 analysis of data used in writing includes data collection, data reduction, data presentation, and conclusion or verification. result and discussion factor of baby clothing that have not sni can be circulated usaha dagang (ud) is an individual business entity that is still small-scale, so it is included in the small and medium industry (ikm) based on article 2 of the regulation of the minister of industry of the republic of indonesia number 64 / m-ind / per / 7/2016 concerning the amount of labor and investment value for the classification of industrial business. industry itself according to law number 3 of 2014 concerning industry is all forms of economic activity that processes raw materials and / or utilizes industrial resources to produce goods that have added value or higher benefits, including industrial services baby clothes are clothes that are directly in contact with the skin, made of woven fabrics and knit fabrics of various types of fibers and mixed fibers used for babies aged 36 (thirty six) months. fabrics for baby clothes are those used for baby clothes that have undergone bleaching, dyeing, printing, and / or finishing, in the form of sheets used as proof of clothing. in the semarang city there are a number of baby clothing industries, one of which is ud sekawan putra. ud sekawan putra is engaged in the field of textiles which manufactures baby clothes which are located on jalan udan riris iii no. 25 tlogosari, tlogosari village / district, semarang ud business activities sekawan putra, among others, ud. sekawan putra carries out business activities in the form of production and sale of baby clothing such as all types of clothes, pants, and everything that is directly in contact with the baby’s body. meanwhile, to facilitate the production process, ud. sekawan putra obtained its raw materials, namely fabrics purchased from producers with quality in accordance with the required production needs, namely sni, then cooperating with distributors who would submit them to shops in the java and surrounding areas. the ud sekawan putra cooperates directly by the baby clothing sales shop located in jakarta. baby clothes shop is a form of business that is engaged in retail, especially in the field of apparel sales, especially in selling baby clothes the data obtained for the city of semarang 7 of 11 manufacturers of baby clothes are still not sni and obtained 4 of 11 manufacturers of baby clothes have sni, so that from the results that can 5 peter mahmud marzuki, 2014. penelitian hukum, jakarta: kencana prenada media group, hlm. 141. 6 ibid 7 sugiyono, 2013. metode penelitian kuantitatif, kualitatif dan r&d. banddung : alfabeta, hlm. 145. 8 arikunto suharsimi, 2002. prosedur penelitian suatu pendekatan praktek. jakarta : rineke cipta, hlm.135. 9 ibid, hlm 236. 10 zainuddin ali, 2014. metode penelitian hukum, jakarta : sinar grafika, hlm. 330. ubaidillah kamal & safira ardha nawiswari, the implementation of the indonesia regulation in supervising... 53 be seen more entrepreneurs who make baby clothes are not sni than those already sni. this is one of the causes that still often does not have sni clothes for babies in semarang city. the department of industry and trade (disperindag) of central java province has conducted sampling and found that around 82% have not sni and 18% have sni for all those included in mandatory sni within the scope in central java, especially semarang. sni was implemented since the presidential decree no. 13 of 1997 which was perfected by presidential decree no. 166 of 2000 concerning the position, duties, functions, authorities, organizational structure and work procedures of the last non-departmental government institution stipulated in presidential decree. 103 of 2001 regulates the main task of developing and fostering standardization activities in indonesia replacing the national standardization council (dsn) which is guided by government regulation no. 102 of 2000 concerning national standardization. evidence that can be owned by a business actor is a product certificate using the sni mark, hereinafter referred to as sppt-sni issued by a product certification body on baby clothes in accordance with sni, product certification institution, hereinafter abbreviated as lspro, an institution appointed by the minister to carry out certification activities product user sni mark for baby clothes. the application of sni 7617: 2013 must be excluded for imported baby clothes with the type of product and hs code as referred to in article 2 paragraph (2) which contains “product certificates using sni mark azo dye requirements, formaldehyde levels, and extracted metal content on the fabric for baby clothes, hereinafter referred to as sppt-sni, are certificates issued by product certification institutions to producers who are able to produce baby clothes according to sni requirements” if used as an example of testing sppt-sni applications. for consumers who are less aware of the dangers of the chemicals contained in baby clothes that are not yet sni labelled, their only concern is concerning with the issue of price and not the safety or comfort of babies who use it, hence it is difficult to inform that sni on baby clothes is important because it concerns the safety of babies in the future. as for those who believe in quality based on price and brand, even though actual security can be seen from the quality of the fabric used and also the sni logo found on baby clothes sold, as it is not necessarily the expensive ones that are sni. it can be distinguished from the color of the fabric that is not striking because the ammonia content in the ink to dye the fabric has been neutralized, resulting in light colors. generally consumers who do not know sni for baby clothes make brands, neat and attractive packaging as a consideration in buying baby clothes. and many consumers complain of difficulties in finding baby clothes that meet standards, are feasible, and have been tested to be safe for baby use, because the market does not meet the safety criteria, because there are shops or markets that still sell baby clothing products that do not meet standards and are not worth to wear. the lack of consumer knowledge about sni for baby clothes also makes it difficult for consumers to choose materials, because usually babies will have an effect like itching if the material used is not good and it is difficult to find products that are already sni outside a large shopping center or shop, so that it definitely affects the price. usually those sold in large shopping centers sell branded baby clothes, so that the brand for most parents is used as a reference in buying and gives confidence in the quality of products sold. based on the results of the study, it was found that several factors that caused the baby’s use of sni were still circulating in the city of semarang, the first factor that came from the non-mandatory sni regulations for baby clothes as run by the central java provincial office of industry and trade. the new government has implemented the regulations as an appeal for ongoing socialization on the road to implementing sni standardization in central java province due to budget constraints to help ikms who want to register sni. the second factor is, lack of understanding of consumers with the sni for baby clothing products caused by the incessant socialization of the government to disseminate related sni for baby clothes on tv, radio, magazines, and other information media which are likely to invite the attention of parents, especially mothers. the third factor is that there are still many producers selling baby clothes that are not sni due to concerns about the decrease in the number of buyers because the prices of sni products are more expensive due to sni registration costs as well as production costs and the public is not aware, so clothing that is not sni is still in demand in the market at a low price. the fourth factor is that it is difficult to get an sni certificate due to the small costs for laboratory tests. the cause of this difficulty is because to register sni the requirements are to have complete documents related to companies that want to register like siup, tdp, npwp. and lab tests that cannot be done, because they really need to make sure the materials used to make baby clothes are harmless and in accordance with the prescribed standards since they are tested in laboratories that 54journal of private and commercial law 3(2) (2019) 50-59 have received direct appointment from the national accreditation committee (kan) this is what makes business people, especially ikms feel heavy and queuing their turn to get help from the government. the term consumer comes from the language conversion from the word consumer (english-american), or consumer / konsument (dutch). the definition of the consumer or consument depends on the position where it is located. literally the meaning of the consumer word is (the opposite of the producer) of everyone who uses the item. the purpose of using goods or services will include including which group of consumers the user is. next also the indonesian-indonesian dictionary gives the meaning of the word consumer as a user or consumer it is expected that people will more easily understand and understand the importance of the indonesian national standard (sni) on baby clothes and can protect their babies by using baby clothing products that are already indonesian national standards (sni) so that consumers can avoid baby clothes that can harm their babies. because parents are the only means that can protect babies from things that can endanger baby’s safety. implementation of regulation of the minister of industry of the republic of indonesia number 47 / m-ind / per / 7/2016 on the supervision of the indonesian national standard (sni) in baby clothes for small and medium-sized industrial products (ikm) in semarang. standards actually have become part of our daily lives, although often we do not realize it, without ever thinking about how these standards are created or the benefits that can be obtained. in indonesian the standard word is basically a document that contains certain requirements which are prepared by consensus by interested parties and approved by an institution that has been jointly recognized. standard is a technical specification or something standardized including procedures and methods compiled based on the consensus of all parties concerned by paying attention to the requirements of safety, security, health, environment, development of science and technology, as well as experience, present and future developments. will come to get the true benefits. the indonesian national standard (sni) is a standard set by the national standardization agency (bsn) and applies nationally. until now, the national industry has been able to produce various types of products in accordance with domestic and foreign needs. national industry together with the government and the community must continue to push themselves to improve the quality of the products produced. the role of quality becomes very important and will be very prominent in the future because the relationship of the indonesian economy to the global economy will be stronger, which itself is required to follow and comply with international standards and the requirements of each country. it is inevitable that the globalization of trade also has consequences for the entry of foreign products into the country. to prevent the entry of low-quality products, the indonesian government applies technical regulations by enforcing the application of several compulsory snis, as one of the measures to protect consumers and protect domestic industries. (eddy herjanto, 2011: 122) the indonesian national standard (sni) on baby clothing itself is regulated in the minister of industry regulation number 07 / m-ind / per / 2/2014 concerning mandatory enforcement of national standards (sni) for baby clothing, minister of industry regulation 97 / m-ind / per / 11/2015 concerning changes to regulation of the minister of industry number 07 / m-ind / per / 2/2014. the regulation is the legal basis for the obligation to apply the indonesian national standard (sni) to baby clothes. where the regulation in it regulates the requirements of the indonesian national standard (sni) which is required to be fulfilled in the fabric for making baby clothes, types of baby clothes that are required to have the indonesian national standard (sni), how to apply for the indonesian national standard (sni), the obligation to implement the indonesian national standard (sni) for baby clothing manufacturers, conduct testing, and violate sanctions. baby clothes with postal tariff number / hs code ex. 9619.00 is a product intended for babies up to the age of 36 months. the application of mandatory indonesian national standard (sni) for baby clothes according to mr. mukti sarjono, was carried out because it was feared that babies up to 36 (thirty six) months do not a strong enough endurance and are still very susceptible to diseases especially chemicals that are harmful to baby’s skin, even if inhaled can endanger the respiratory organs in infants, this is what is feared will endanger, and bring disease to the baby in the future the department of industry and trade in carrying out the supervisory function of the indonesian national standard (sni) for baby clothing for small and medium industries (ikm), is carried out through market traders and large and small shops that sell baby clothes. but the target is for producers who make supervision so that it can be effectively carried out before products that have not been circulated widely in the indonesian ubaidillah kamal & safira ardha nawiswari, the implementation of the indonesia regulation in supervising... 55 national standard (sni) in the market. concerning the form of consumer protection supervision is concretely carried out jointly by the government, community and lpksm by conducting research, testing or surveys of goods or services that are allegedly not meeting the elements of security, health, comfort, and safety of consumers and the results are disseminated to the public. ( st nurjannah, 2013: 6). the large number of baby clothes for small and medium industries (ikm) products that do not yet have the indonesian national standard (sni) certificate, according to mr. mukti sarjono, one of which is caused by the high costs required to register products for the indonesian national standard (sni) certification they produce. on the other hand, the income generated from sales obtained by baby clothing manufacturers of small and medium industries (ikm) products is also not too large, so that producers with the scale of small and medium industries (ikm) have difficulty paying the certification costs of the indonesian national standard (sni ) the big one. as a follow up to this, the central java provincial office of industry and trade opened the opportunity for producers with a small and medium scale industry (ikm) to be able to obtain a free indonesian national standard (sni) certificate without a penny to be paid. however, due to the insufficient amount of the available budget, according to mr. mukti sarjono not all baby clothing products of small and medium industries (ikm) can be facilitated by the indonesian national standard (sni) for free by the central java provincial office of industry and trade. in one year the office of industry and trade of central java province has a target of 8 business actors to be guided for 3 (three) months to get a certificate of indonesian national standard (sni) which then within one year the company will be evaluated and an extension of three years for review by the central java provincial office of industry and trade the standard conformity to its products is still appropriate or not. in addition, producers who wish to obtain these facilities must also make an application proposal for the indonesian national standard (sni) which is then sent to the office of industry and trade of central java province. the indonesian national standard (sni) is the only nationally valid standard in indonesia, sni is formulated by a technical committee (formerly called a technical committee) and determined by bsn (national standardization body). the tasks and functions of the national standardization body in the field of accreditation are carried out by the national accreditation committee (kan) the own standard according to article 1 paragraph 3 of act number 20 of 2014 concerning standardization and conformity assessment is a technical requirement or something standardized, including procedures and methods compiled based on the consensus of all parties / government / international decisions related to regard to safety requirements, security, health, the environment, the development of science and technology, experience, and the development of the present and future to get great benefits. standard implementation is an activity using standards as a reference (technical specifications, rules, guidelines) for an activity or result, which is basically voluntary (voluntary), to ensure the acceptance and utilization of sni widely, all stakeholders should, among other things, apply the openness norms, transparency, and impartiality. if a standard related to health, safety, safety, the interests of national economic development and the preservation of environmental functions, the standard can be referred to in a technical regulation which is subsequently mandatory, in this case activities and products that do not meet sni requirements are prohibited. therefore the implementation of sni that is applied compulsorily needs to be done carefully to avoid a number of impacts as follows: (1) inhibiting healthy competition, (2) inhibiting innovation, (3) inhibiting the development of small and medium enterprises (smes). however, the application of compulsory sni needs to be carried out on products with high risk for the sake of health, safety and public safety. the application of sni that is applied compulsorily needs to be supported by market supervision, both pre-market supervision, post-market supervision to supervise or correct products that do not meet sni. meanwhile, to maintain sni conformity, it requires continuous “updating” to attract business actors and interested parties. therefore, sni must also be studied, among others : 1. does sni provide a significant contribution to business actors in the fields of production, trade and market efficiency; 2. does sni contribute to health, safety, security and the environment of the community; 3. does sni contribute to aspects of consumer protection, 4. is sni still in accordance with the development of science and technology 56journal of private and commercial law 3(2) (2019) 50-59 regarding sni that is already irrelevant it is necessary to do corrections, revisions, amendments, or remain unchanged (except the notation of the year of publication). the application of the indonesian national standard (sni) is an exception, where for goods and or services that are included in the list of mandatory indonesian national standards (sni), sni must be binding which must be met by all relevant parties, namely producers, distributors of goods / services or users other standards because they relate to safety, security, health, and environmental functions, while voluntary sni is based on the initiative of the organization / personnel themselves, only to build names or images. then the goods and or services are required to fulfill the terms and conditions set out in the indonesian national standard (sni). goods and or services that are included in the list of goods and / or services of the indonesian national standard (sni) are mandatory, but do not apply the indonesian national standard (sni), so this is a violation. baby clothes are included in one that is required to apply the indonesian national standard (sni). in carrying out the supervisory duties delegated from the director general, ppsp industrial supervisors supervise the supervised objects including domestic producers, importers, and baby equipment. the scope of supervision of the application of sni consists of supervision in the production warehouse, supervision outside the production warehouse. the results of the examination and testing of samples are set forth in the minutes of supervision by ppsp and submitted to the director of industrial development for evaluation. evaluation of the results of supervision from the director of industry coaches was reported to the director general of taxes. then the central java provincial office of industry and trade must refer to these regulations, namely the minister of trade regulation of the republic of indonesia number 47 / m-ind / per / 7/2016 concerning the assessment of conformity in the implementation and supervision of indonesian national standards for azo dyestuffs, formaldehyde levels , and mandatory metal extraction of the cloth for baby clothes. where in this study the objects of supervision are baby clothes for small and medium industries (ikm) products. while the legal basis for the obligation to apply the indonesian national standard (sni) for baby clothes has been arranged in the three rules below : 1. regulation of the minister of industry no. 72 / m-ind / per / 7/2012 concerning enforcement of indonesian national standards (sni) requirements for azo dyes, formaldehyde levels, and levels of metal extracted on the fabric for baby clothes. 2. regulation of the minister of industry number 07 / m-ind / per / 2/2014, this regulation is a change in regulation of the minister of industry no. 72 / m-ind / per / 7/2012 regarding mandatory national standard (sni) for baby clothes. 3. director general of manufacturing industry base regulation number 07 / bim / per / 5/2014 the second incompatibility is the office of industry and trade of central java province as the executing element of government affairs in the field of industry and trade in this research has the duty to ensure and guarantee the implementation of the indonesian national standards (sni) for goods and services produced and traded in java province central including semarang city. in this study, the central java provincial office of industry and trade is tasked with supervising to ensure that the indonesian national standard (sni) has been applied to baby clothes circulating in semarang, but supervision has not been maximized so there are still baby clothing manufacturers who sell baby clothes that do not yet have indonesian national standard (sni). if a fake sni logo is found on the department of industry and trade, search will be taken after a new action has been taken to evaluate the company concerned. if it has been circulating in the market and does not meet the provisions of the indonesian national standard (sni), it must be withdrawn from circulation by the producer concerned. baby clothes that have been thrown in the market before the ministerial regulation which regulates indonesian national standards (sni) of baby clothes and do not meet the provisions of the indonesia national standard (sni) must be withdrawn from the circulation no later than 3 (three) months after the enactment of indonesian national standard (sni) regulation of baby clothes. guidance and supervision in the framework of applying sni for azo dyes requirements, formaldehyde levels, and the level of metal extracted on cloth for baby clothes must be carried out by the director general of industrial development. the director general of industrial development can delegate guidance and supervision to the director of industrial development. coaching is done to improve the capability of the industry in applying sni mandatory through the implementation of mandatory sni and / or changes, verification and evaluation of factors related to the application of sppt-sni and / or providing technical and consultation in the application of sni. the third non-conformity is the low supervision carried out by the central java provincial office of industry and trade not in accordance with article 13 paragraph (5) of the minister of industry regulation numubaidillah kamal & safira ardha nawiswari, the implementation of the indonesia regulation in supervising... 57 ber 97 / m-ind / per / 11/2015 amendments to the regulation of the minister of industry of the republic of indonesia number 07 / m-ind / per / 2/2014 concerning the application of the indonesian national standard (sni) requirements for azo dyes, formaldehyde levels, extracted metal content on cloth for baby clothes compulsorily in the contents of the position of the office of industry and trade as provincial service coordinate with the director general of industrial development. technical guidance is carried out through training in increasing human resources in improving product quality, socializing the implementation and application of compulsory sni, and technical guidance on product quality. verification and evaluation of factors related to the application of sni are carried out through inventory and verification of producer data related to the implementation of monitoring the implementation of sni, inventory data of conformity assessment institutions and related parties in implementing sni, impact analysis of mandatory sni application for domestic producers, and issuance of registration letters (registration) sppt-sni as one of the requirements for issuing sppt-sni. the application for the sppt-sni registration letter submitted by the business actor is addressed to the director of industrial development using the prescribed form, the letter must be signed by the director of the company or the director-level official as the person in charge. domestic producers are required to inform product certification institutions (lspro) who will carry out certification equipped with a registration application (registration), company data for registration (registration), copy of sppt-sni application form that has been filled in by the applicant and legalized by the lspro concerned , copy of npwp, copy of industrial business permit (iui), industrial registration certificate (tdi) or similar license with the scope of the apparel industry, and a list of types of products to be certified. the director of industrial development can verify the ability and feasibility of the applicant in applying sni. based on the results of the research and / or verification of the correctness of the application, the director of industrial development issues a sppt-sni registration certificate no later than 5 (five) working days after the application for the sppt-sni registration letter is received completely and correctly in carrying out mandatory supervision of sni, the directorate general of industrial development assigns ppsp and / or officers from the industrial development directorate to carry out company checks and quotes. the directorate general of industrial development assigns the product standard supervisory officer (ppsp) based on the letter of assignment using a predetermined form to supervise the implementation and mandatory application of sni at least once a year. the ppsp object consists of domestic producers, importers, and baby clothes. supervision can be done 3 (three) months after mandatory sni is applied or after august 17, 2014. the scope of supervision of the application of sni consists of supervision in the production warehouse which includes the first, the validity check of licensing documents consisting of inspection of industrial business licensing documents, inspection of sppt-sni, and examination of certificates / reports on testing laboratory test results. second, verification of sni marking on products and packaging consists of sni mark, lspro name, and name / trademark. third, examination of the results of the quality test of goods in accordance with sni quality requirements. fourth, the conformity assessment of product quality according to sni is carried out through taking sample test, with random sampling method. in addition to supervision in the production warehouse, supervision is also carried out outside the production warehouse including first, the object of supervision, namely baby clothes found in distributors, traders / stores, and warehouses of importers, importers and shop owners. second, supervision of importing companies is done by verifying the validity of licensing documents and / or sppt-sni. third, monitoring the conformity of product quality with sni that is enforced compulsorily is carried out by testing product samples in the test laboratory appointed by the minister. fourth, the method of sampling outside the production warehouse is done by buying products at the distributor, warehouse importer, randomly store in the market as evidenced by proof of purchase. fifth, product samples are tested according to sni in the testing laboratory appointed by the minister. sixth, ppsp and / or officers appointed by the director general of industrial builders supervise product quality and marking sni on products. in implementing sni supervision ppsp can have the authority to search the marking process on baby clothes as a whole. ppsp is obliged to prepare a supervisory document consisting of a supervisory task for the implementation of sni in production warehouses and outside production warehouses, minutes of sampling, sample test labels, monitoring reports on sni implementation in production warehouses and outside production warehouses. in the production warehouse and outside the production warehouse, attendance list, and cover letter to the test laboratory from the directorate of industrial development. supervision of the application of sni requirements for azo dyes, formaldehyde levels, and levels of ex58journal of private and commercial law 3(2) (2019) 50-59 tracted metal on the fabric for mandatory baby clothes. in the production warehouse, the director of industrial development can coordinate with the head of office in charge of industry in the province and district / city, and if outside the production warehouse, by purchasing products from distributors or sellers. the supervision is carried out by ppsp both at the central and regional levels based on the sni supervision assignment letter from the director general of industrial development. supervision of baby clothing is carried out by quality inspection through sampling by ppc in the production warehouse and outside the production warehouse. the results of examination and testing of samples are set forth in the minutes of supervision by ppsp and submitted to the director of industrial development for evaluation. evaluation of the results of supervision from the director of industrial development is reported to the director general of industrial development. if the results of supervision by ppsp are not in accordance with sni requirements, the director general of industrial builders gives written warnings to business actors who commit violations, the warning contains a request to improve product quality in accordance with the provisions of compulsory sni and product withdrawal requests that are not in accordance with sni producers of domestic products or importers of imported products. in the event that a violation is carried out by the conformity assessment agency (lpk), the director general of industrial development shall submit a report on the results of supervision and ppsp to the head of the climate policy and industrial quality assessment section (bpkimi) to be followed up in accordance with applicable regulations. in fostering the director general of industrial fostering, he can coordinate with the head of the climate policy and industrial quality assessment agency or with the industrial development advisory service at the provincial and or regency / city government, lspt, sppt-sni publishers and related institutions. publication actions are carried out to provide socialization, information, and understanding of the community on mandatory application of sni. publication is carried out on compliance with the application of sni by producers or other business actors and related parties or violations of the provisions of compulsory sni implementation by business actors and related parties in order to provide a deterrent and shame effect. publication can be done through giving awards and / or loading news in print or electronic media. the action on circulating baby clothes and not fulfilling sni starts 6 (six) months after the enactment is done or starts on november 17, 2014 after. supervision and guidance are carried out. provision of sanctions based on statutory provisions. after special supervision and guidance steps have been taken on the business actor, the business actor in question is still committing a violation, the director general of industrial development coordinates with the head of the climate policy and industrial quality assessment agency, and the head of industrial development advisory service at the provincial and or regency / city government , lspro publishers sppt-sni and local law enforcement officers enforce the law in accordance with law no. 3 of 2014 concerning industry, law no. 8 industry no. 86 / m-in / per / 9/2009 or its revision regarding indonesian national standards in the industrial sector. the fourth non-conformity is the obligation to implement the indonesian national standard (sni) for baby clothing manufacturers of small and medium industries (ikm) products, according to mr. mukti sarjono, head of the standardization and consumer protection division. ) to implement and have the indonesian national standard (sni) on fabrics for baby clothes they produce. the discrepancy applied by the central java provincial office of industry and trade is not in accordance with article 2 paragraph 1 of the minister of industry regulation number 07 / m-ind / per / 02/2014 concerning amendment to regulation of the minister of industry number 72 / m-ind / per / 7 / 2012 which requires all baby clothing manufacturers without exception to fulfill and implement the indonesian national standard (sni). the fulfillment and application must be proven by the ownership of product certificates the use of indonesian national standard signs (sppt-sni) on the types of baby clothes they produce and producers are also required to affix the indonesian national standard (sni) to every baby clothing product sold on the market. in addition, the small number of personnel available to oversee the mandatory indonesian national standard (sni) for goods circulating in central java province and the supervisory authority over the indonesian national standard (sni) is no longer in the hands of regencies / cities, but in provincial hand is also a factor in the lack of supervision carried out by the department of industry and trade of central java province, this resulted in the office of industry and trade of central java with a small number of members having to oversee the indonesian national standard (sni) for 109 products required to have the indonesian national standard (sni) spread in 35 cities / districts in the province of central java. ubaidillah kamal & safira ardha nawiswari, the implementation of the indonesia regulation in supervising... 59 conclusion legal protection for consumers of baby clothes not included in the indonesian national standard (sni) within semarang city has not been maximally implemented in law enforcement as evidenced by the circulation of baby clothes that do not meet the required standards determined by the government factors for baby clothes that do not yet have national standards indonesia (sni) can be circulated due to internal factors. (1) not mandatory application of sni on infant ikm products, (2) the number of ikm products that still produce baby clothes that have not been sni still circulates in semarang city, (3) low consumer awareness due to less intense socialization of the government, (4) and external factors that come from the dependence of business actors by testing laboratories, which makes it difficult for business actors to obtain sni certificates. implementation of the regulation of the minister of industry of the republic of indonesia number 47 / m-ind / per / 7/2016 concerning conformity assessment institutions in the context of indonesian national standard enforcement and supervision of requirements for azo dyes, formaldehyde levels, and metal levels collected on fabrics for baby clothes required. with the implementation of supervision in the field is still low. as the head of the standardization and consumer protection division said, the low supervision was carried out by the central java provincial office of industry and trade on the implementation of the indonesian national standard (sni) for baby clothing for small and medium industries (ikm), because there was no special supervision as a follow-up results of periodic monitoring, evaluation or follow-up has not been carried out in accordance with republic of indonesia minister of industry regulation number 07 / m-ind / per / 2/2014 regarding the discovery of violations, lack of human resources to supervise and lack of budget for supervision. references ali, zainuddin 2014. metode penelitian hukum, jakarta : sinar grafika. herjanto, eddy, 2011. pemberlakuan sni secara wajib di sektor industri : efektivitas dan berbagai aspek dalam penerapannya, vol 5, no. 2, 2011, hal 121-130. htpps://www.goodnewsfromindonesia.id/ http://bsn.go.id/main/berita/berita_det/7911/lindungi-bayi-dengan-sni-7617-2013#.xa1o7iszz0s kamal, ubaidillah., 2017. konstruksi perlindungan konsumen jasa pengobatan alternatif (studi kasus di kota semarang).  journal of private and commercial law, 1(1). marzuki, peter mahmud. 2014. penelitian hukum. jakarta: kencana prenada media group. moleong. 2009. metode penelitian hukum. bandung : pt remaja rosdakarya. nurjannah, s. (2013). pembinaan dan pengaawasan pemerintah terhadap perlindungan konsumen. al daulah: jurnal hukum pidana dan ketatanegaraan, 2(1), 1-7. pemberlakuan dan pengawasan standar nasional indonesia (sni) persyaratan zat warna azo, kadar formaldehida, dan kadar logam terekstrasi pada kain untuk pakaian bayi anak secara wajib. peraturan direktur jenderal basis ndustri manufaktur nomor 07/bim/per/5/2014. peraturan menteri perindustrian nomor 07/m-ind/per/2/2014 tentang peraturan pemerintah nomor 102 tahun 2000 tentang standarisasi nasional. sidabalok, janus. 2006. hukum perlindungan konsumen di indonesia. bandung: citra adity bakti. sugiyono. 2013. metode penelitian kuantitatif, kualitatif dan r&d. bandung : alfabeta. suharsimi, arikunto. 2002. prosedur penelitian suatu pendekatan praktek. jakarta : rineke cipta. sunggono, bambang. 2016. metodologi penelitian hukum. jakarta: raja grafindo persada. _ftnref32 _goback jpcl 3(2) (2019) 76-81 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl protection of industrial design law in the enhancement of economic development in indonesia khoirun nissa1 1master of law in universitas negeri semarang, indonesia received july 1 2019, accepted november 1 2019, published november 30 2019 doi 10.15294/jg.v16i1.19774 abstract legal protection of industrial design in indonesia through law number 31 of 2000, the government’s determination to protect the right holders of industrial design from various forms of violations such as plagiarism, piracy or imitation. the more comprehensive safeguards are expected to be a driving factor to increase the creativity of designers. this research is legal research in a normative juridical study with the consideration that the starting point of the research analysis of legislation is the rules regarding intellectual property rights. industrial design arrangements within the framework of the law on intellectual property rights are inseparable from indonesia’s participation in international agreements in the field of trade, by participating in the wto agreement, indonesia has ratified the wto with law number 7 of 1994. indonesia must impose trips as provisions governing rights intellectual property. the existence of industrial design laws provides protection to designers to prevent and resolve disputes in the field of industrial design to the right holders of industrial design to make designers to be more creative and productive in creating and producing. the legal arrangement of industrial design which is most important in filing rights is related to the element of novelty in the creation of works of industrial design. the copyright approach in industrial design is when an industrial design is registered, it will immediately get protection. where the priority is the originality of a design. the patent approach used is in terms of new requirements and substantive examination. keyword: industrial design, legal protection, indonesia introduction the birth of the industrial design law in indonesia was motivated by the existence of 2 (two) reasons. the first reason is related to the problem of indonesia’s obligation as a member of the world trade organization (wto) which must provide better regulations regarding the protection of industrial design. second, it relates to the government’s determination to provide effective protection against various forms of violations of industrial designs such as plagiarism, piracy or imitation. a more comprehensive safeguard is expected to be a driving factor to increase the creativity of designers and as a vehicle for producing productive designers1 indonesia’s participation policy as a member of the world trade organization (wto) is one proof of the seriousness of the government in supporting a free / open economic system that indirectly spurs companies to further enhance competitiveness. ratification of the agreement establishing the world trade organization includes the agreement on trade related aspects of intellectual property rights (trip agreement) through ratification of law number 7 year 1994. this condition has supported the ratification of the paris convention for the protection of industrial property with the presidential decree number 15 of 1997 and indonesia’s participation in the haque agreement (london act) concerning the international deposit of industrial designs. the principle of regulation is the recognition of ownership of intellectual work that gives an aesthetic impression and can be produced repeatedly and can produce an item in the form of 2 (two) or 3 (three) dimensions. 2 indonesia responds and takes a smart step with the existence of their respective values and culture in an effort to be able to implement the industrial design law which has a capitalist paradigm in contrast to the 1 tomi suryo utomo, 2009, hak kekayaan intelektual (hki) di era global (sebuah kajian kontemporer), hlm. 225. 2 ditjen hki, 2007:13; jpo dan jii, 2007:110, hak kekayaan intelektual (hki) di era global (sebuah kajian kontemporer), hlm. 229. p-issn 2599-0314 e-issn 2599-0306* e-mail : sasanissa22@gmail.com address : k1 building, 1st floor, unnes, sekaran, gunungpati, semarang central java, indonesia, 50229 jp cl khoirun nissa, protection of industrial design law in the enhancement of economic development ...77 paradigm that has taken root in the state of indonesia. however, due to the juridical and psychological consequences, indonesia has agreed on a gatt (general agreement on tariff and trade) and agreed on the gatt / wto (world trade organization) framework, and ratified it through law no. 7 of 1994, there was great hope in the industrial design law that could be implemented and be beneficial for the indonesian people in general, including the transfer of technology, despite the fact that until now it was different. industrial design as one of the branches of the legal science of intellectual property rights is regulated in law number 31 of 2000 concerning industrial design. this law is the first time specifically made in providing protection for industrial design in indonesia which was ratified by the president of the republic of indonesia on december 20, 2000, which came into force on the date it was ratified. the definition of industrial design as regulated in article 1 number (1) of law number 31 of 2000 states: “a creation about the shape, configuration, or composition of lines or colors, or lines and colors, or a combination of three-dimensional or two-dimensional shapes that give an aesthetic impression and can be realized in three-dimensional or two-dimensional patterns and can be used to produce a products, goods, industrial commodities, or handicrafts. “ understanding above can the author conclude that the product or goods is a combination of creativity and technical in the process of designing industrial products with the aim to be used by humans or users as well as the production of a manufacturing system.3 then the understanding as described above can be compared with the understanding given by the united nations industrial development organization concerning industrial design, namely “as a broad activity in technological innovation and moving encompasses product development processes by considering functions, usability, production processes, and technology, marketing, as well as improving the benefits and aesthetics of industrial products “. while the international council of society if industrial design (icsid) defines “industrial design as a creative activity to realize the properties of the shape of an object. in this case it includes the characteristics and relationships of harmonious structures or systems from the point of view of producers and consumers. “ law number 31 of 2000 concerning industrial design provides limitations on the limits of industrial design for which protection can be requested. the limit is about the novelty that is owned in an industrial design. article 2 paragraph 1 of law number 31 of 2000 concerning industrial design explains that an industrial design is considered new if on the date of receipt, the industrial design is not the same as the pre-existing disclosure. interpretation of the word “not the same” with pre-existing disclosures. the interpretation of the word “not the same” in practice so far has not been interpreted significantly differently, which means, although it differs slightly, it is considered not the same so that it can be considered a new design. a design is said to be the same if the two designs that are compared are truly 100% (one hundred percent) the same. if there are only a few different elements, either the shape, configuration, or composition of the color, it can still be said to be new. although similar, it is still considered not the same. the explanation above, the renewal criteria in law number 31 of 2000 concerning industrial design allow for many conflicts because many products circulating in the market have similarities or similarities, but industrial design certificate holders find it difficult to sue other parties who are considered to be violating because of being able to considered violating, the other party’s design must be the same. research method this research is legal research in normative / doctrinal studies. the type of research conducted in this study is normative juridical with the consideration that the starting point of the research analysis of the legislation is the rules regarding intellectual property rights. some approaches will be used in this study that are useful for getting information from various aspects of the problem being tried to find answers. the approach taken is the regulatory approach (statue approach), conceptual approach (conceptual approach), comparative approach (comparative approach). this study uses materials as a source of research to be sought for processing and will then be analyzed to find answers to the research problems that the authors propose. the technique of gathering research resources in this study was carried out by literature. the processing and analyzing stage is a step after collecting legal materials. all existing legal materials that have been obtained from the results of research are needed to answer the existing problems. 3 muhamad djumhana, perkembangan doktrin dan teori perlindungan hak kekayaan intelektual, pt citra aditya bakti, bandung, 2006, hlm. 113 78journal of private and commercial law 3(2) (2019) 76-81 result and discussion every indonesian citizen has the right to get protection from the indonesian government, including protection of industrial design rights. protection of industrial designs, both protection of economic rights and moral rights, if given adequately, will have a close correlation with the increase in enlightenment creations which will ultimately provide a large economic contribution, both for designers and for the country. for designers, the existence of adequate protection will foster enthusiasm to create better, while for the country, with adequate protection will grow and trigger the country’s economic development because protection of industrial design has a very important value in the world of investment and trade. legal protection of industrial design in indonesia through law number 31 of 2000, is the government’s determination to protect the right holders of industrial design from various forms of violations such as plagiarism, piracy or imitation. a more comprehensive safeguard is expected to be a driving factor to increase the creativity of designers and as a place to produce productive designers. based on the provisions of article 1 paragraph (5) of law no. 31 of 2000 concerning industrial design, it can be concluded that the right to industrial design is the special right of the owner of a registered design obtained from the state, in other words, means that ownership rights to industrial design are as a consequence of the registration of the industrial design at the design office, in this case the directorate general of intellectual property rights. according to paul torremans and jon holyoak, the right to industrial design is “a property right that guarantees the owner has a special right to reproduce the design for commercial purposes. the real step to implementing it is to make designs, but the owner also makes a document or design note and allows the design to be made by a third party”.4 then trevor black expressed his opinion that “the right of design is a right to the ownership of a new intellectual property and is an individual property that is engaged in original or original design. the word “original” or the word “original” means that the design is an unusual design in a special field of design “. design means design of all aspects or configurations, both whole and part of an object, including internal and external parts of a form or configuration. the design must be original or original and must meet the requirements that an object has been made based on a design.5 protection of a new industrial design is obtained if a design has been registered. without registration, there will be no protection. muhammad djumhana stated “that the importance of design registration is the legal interest of the owner of the industrial design right to facilitate his proof and protection”, although in principle the protection will be given since the industrial design right arises, while the birth of the right is at the same time manifest from a designer. however, the protection of the new design is concrete if it has been registered with the authorized agency.6 bambang kesowo stated “that the essence of the object of regulating legal protection in the field of design is works in the form of products which are basically patents used to produce goods repeatedly”. this last element actually characterizes and even becomes a key because if these characteristics are lost, the conception of legal protection will be more appropriate to qualify as a copyright.7 protection of industrial design in industrial life is a driving force for a healthy industrial climate because the provisions in the design field contain the main elements of the existence of fair and fair incentives for research and development activities, in the form of guaranteeing the right not to be contested over a new design work from a designer, accompanied by economic value rewards if the design is utilized in life. further problems based on the theory of the effectiveness of law in society as stated by friedman are matters relating to the problem of legal substance. the legal substance according to friedman is as follows: another aspect of legal system is its substance. by this is meant the actual rules, norms, and behavior patterns of people inside the system. this is, first of all, “ the law” in the populer sense of the termthe fact that the speed limit is fifty-five miles an hour, that burglars can be sent to prison, that “by law” a pickle maker has to list his ingredient on the label of the jar.”8 rom the description above, it can be interpreted that the legal substance as another aspect of the legal system is how the actual rules, norms, patterns, attitudes of society towards the system itself. when connected with the substance contained in the industrial design law, in practice there are still articles that contain weaknesses 4 paul torremans dan jon holyoak, intellectual property law, butterworths, london, 1998, hlm. 324 5 lindati dwiatin, deskripsi perlindungan hukum desain industri berdasarkan undang-undang nomor 31 tahun 2000, fiat justisia jurnal ilmu hukum volume 1 no. 2 mei – agustus 2007. 6 muhamad djumhana, perkembangan doktrin dan teori perlindungan hak kekayaan intelektual, pt citra aditya bakti, bandung, 2006, hlm. 46 7 bambang kesowo, perlindungan hukum serta langkah-langkah pembinaan oleh pemerintah dalam bidang hak milik intellektual, jakarta, 1990, hlm 7-8 8 friedman, lawrence m. 1984. american law, new york-london: ww. norton & company khoirun nissa, protection of industrial design law in the enhancement of economic development ...79 in their implementation. in addition, other weaknesses from the implementation of the industrial design law are due to the fact that there are still many implementing regulations from the industrial design law that have not been resolved by the government.9 according to mochtar kusumaatmadja, making an ideal law in order to be effective in its implementation is not easy. sometimes making a law is only intuitively based. that is, the making of the law has not been based on experiences when implemented in the community, but only based on speculative efforts in accordance with the prevailing habits in society.10 therefore, if it is related to mochtar kusumaatmadja’s opinion, the loading of substantive articles in the industrial design law can also occur because it is only based on speculative arguments insofar as it does not conflict with trips, so indonesia is obliged to enact law -industry design in accordance with the guidelines contained in trips. the problem of industrial design protection, in trips regulated in articles 25 and 26, will be described as follows: article 25 (1) trips read as follows. members shall provide for the protection of independently created industrial designs that are new or original. members may provide that design are not new or original if they do not significantly differ from know design or combinations of known design features. members may provide that such protection shall not extend to design dictated essetially by technical or functional considerations. article 25 (1) states that the requirement to be granted industrial design rights is if the design is new. an industrial design is considered not new if the design does not differ significantly from the pre-existing design, article 26 (1) trips, regulates the provisions concerning exclusive rights of holders of industrial design rights as well as in article 9 of the industrial design law namely prohibiting other parties without the permission of industrial design holders to make, use, sell, import and export, and / or distribute goods given industrial design rights. the sound of article 26 (1) trips are as follows “ the owner of a protected industrial design shall have the right to prevent third parties not having the owner`s consent from making, selling or importing articles bearing or embodying a design which is a copy, or substantially a copy, of the protected design, when such acts are undertaken for commercial purposes. article 26 (2) trips regulate the problem of restrictions and exceptions from the protection of industrial design insofar as they do not harm the holders of industrial design rights, which read as follows: “2. members may provide limited exeptions to the protection of industrial design, provided that such exeptions do not unreasonably conflict with the normal exploitation of protected industrial designs and do not unreasonably prejudice the legitimate interests of the owner of the protected design, taking account of the legitimate interest of third parties” law number 31 of 2000 concerning industrial design, the provision of article 26 (2) has been implemented based on article 9 paragraph (2) which states that it is not considered a violation if the use of industrial design is carried out for research and educational purposes insofar as it does not harm reasonable interests from industrial design rights holders. the provisions of article 26 (3) of trips are intended to provide guidance for the period of industrial design protection for 10 (ten) years in article 5 paragraph (1) of law number 31 of 2000 concerning industrial design also regulated for the protection of design industrial design industry for 10 (ten) years from the date of receipt of the application and cannot be extended. differences in industrial design and copyright are often witnessed that there are advertisements published by various patent attorneys for owners of 1 (one) particular design who request protection through copyright and consider this right to be against trademarks of their opposing parties who have use their “pirated” creation. so the author considers that there is a similarity between copyright and industrial design, but the difference will be more visible when the design in its form is closer to the patent.11 when compared with the patent system, the main objective is to protect the development of inventions, and the aesthetic problem in terms of aesthetics is indeed seen as an important element to 9 ansori sinungan, 2011, perlindungan desain industri tantangan dan hambatan dalam praktiknya di indonesia, bandung; pt alumni hal 324 10 moctar kusumaatmadja, 2006. konsep-konsep hukum dalam pembangunan kumpulan karya tulis. bandung: penerbit pt. alumni. halm 83-106 11 usman, rachmadi, hukum hak atas kekayaan intelektual; perlindungan & dimensi hukumnya di indonesia, (bandung : alumni,2003), hal. 416 80journal of private and commercial law 3(2) (2019) 76-81 protect the rights of aesthetic works. so, both the patent and copyright systems that want to protect aesthetic works can grow separately and separate one from another. in this connection, it can be said that there is a field in the field of intellectual property rights which is considered a “no mans land”. this is where moving what is seen as industrial design and exploitation by industrial products12 if the industrial design was originally realized in the form of paintings, caricatures or images or graphics, one dimension that could be claimed as copyright, then in the next stage it was arranged in two or three-dimensional forms and could be realized in a pattern that gave birth to material and applicable products in industrial activities. in that form he is then called industrial design. the description and views as above are not excessive to see from the essence of the object of legal protection arrangements in the field of design, namely works in the form of products which are basically “patterns” used to make or produce goods repeatedly. this last element actually characterizes and even becomes a key. if these traits are lost, then the concept of legal protection will be more appropriately qualified as a copyright.13 copyright and industrial design are 2 (two) intellectual property regimes that are difficult to separate from each other. especially for industrial design, this regime can be protected through copyright. critics say there is no compelling reason to expand intellectual property protection for industrial design and that it will limit competition and the availability of products for consumers. industrial design is located at the intersection of art, technology, and the entire industry dedicated to attracting consumers’ attention. ansori sinungan stated that the protection of industrial design in indonesia consisted of at least 2 (two) approaches, namely the patent approach and the copyright approach. the copyright approach in industrial design is when an industrial design is registered, it will immediately get protection. where the priority is the originality of a design. the patent approach used is in terms of novelty requirements and the existence of a substantive examination. please note, law number 31 of 2000 concerning industrial design also implies substantive examination. but this examination is only exceptional, which means that only exists when in the stages of publication of an industrial design there are other parties who feel objected to the design. protection of industrial design through copyright is still a question mark. international agreements stipulate that a design can be protected through copyright, in indonesia the copyright is protected through law no. 28 of 2014, while industrial design is protected through law no. 31 of 2000. the problem is that both laws do not have a clear relationship , both from the copyright law and the industrial design law. the industrial design law does not explain the provision that industrial design can be protected through copyright, and the copyright law also does not explain what industrial design can be protected through the law. please note that the protection side between industrial designs is different, industrial design protects through the appearance of a product / design. while copyright protects from aspects of art, literature, and science.14 conclusion industrial design arrangements within the framework of the law on intellectual property rights are inseparable from indonesia’s participation in international agreements in the field of trade. by participating in the wto agreement, indonesia has ratified the wto with law no. 7 of 1994. thus indonesia must impose trips as a provision governing intellectual property rights, where in the trips law there are 7 (seven) fields of ipr, one of which is industrial design or design industry. in indonesia industrial design is regulated in law number 31 of 2000 concerning industrial design. legal protection of industrial design based on law number 31 of 2000, is based on the concept of the rule of law. state law regulates that all aspects of social life, statehood and government must be based on law. one element of the rule of law is the protection of human rights as the basis for legal protection of the right to industrial design. legal protection includes preventive protection and repressive protection. the existence of 12 gautama, sudargo dan winata . r, hak atas kekayaan intelektual; peraturan baru desain industri, (bandung : citra aditya bakti,2004), hal. 67 13 muhamad djumhana, aspek-aspek desain industri di indonesia, (bandung : citra adtya bakti, 1999), hal. 41 14 dewi sulistianingsih, bagas bilowo nurtyanto satata, dilema dan problematik desain industri di indonesia, jurnal suara hukum, jurnal suara hukum, volume 1 nomor 1, maret 2019, hlm 8-9 khoirun nissa, protection of industrial design law in the enhancement of economic development ...81 industrial design laws provides protection for designers to prevent and resolve disputes in the field of industrial design and the protection of rights holders of industrial design makes designers to be more creative and productive in creating and producing industrial design works, and in legal arrangements the industrial design that is most important in filing rights is related to the element of novelty in the creation of industrial design works. provisions for novelty in industrial design in indonesia should adopt the new provisions contained in article 25 trip’s agreement. the article states that industrial designs are considered new if they have significant differences (significantly differ) from existing industrial designs in general. references ansori sinungan, 2011, perlindungan desain industri tantangan dan hambatan dalam praktiknya di indonesia, bandung; pt alumni bambang kesowo, perlindungan hukum serta langkah-langkah pembinaan oleh pemerintah dalam bidang hak milik intellektual, jakarta, 1990 dewi sulistianingsih, bagas bilowo nurtyanto satata, dilema dan problematik desain industri di indonesia, jurnal suara hukum, jurnal suara hukum, volume 1 nomor 1, maret 2019 ditjen hki, 2007:13; jpo dan jii, 2007:110, hak kekayaan intelektual (hki) di era global (sebuah kajian kontemporer) friedman, lawrence m. 1984. american law, new york-london: ww. norton & company gautama, sudargo dan winata. 2004, r, hak atas kekayaan intelektual; peraturan baru desain industri, bandung : citra aditya bakti lindati dwiatin, deskripsi perlindungan hukum desain industri berdasarkan undang-undang nomor 31 tahun 2000, fiat justisia jurnal ilmu hukum volume 1 no. 2 mei – agustus 2007. moctar kusumaatmadja, 2006. konsep-konsep hukum dalam pembangunan kumpulan karya tulis. bandung: penerbit pt. alumni. muhamad djumhana, 1999, aspek-aspek desain industri di indonesia, bandung : citra adtya bakti muhamad djumhana, 2006 perkembangan doktrin dan teori perlindungan hak kekayaan intelektual, pt citra aditya bakti, bandung, paul torremans dan jon holyoak, intellectual property law, butterworths, london, 1998 tomi suryo utomo, 2009, hak kekayaan intelektual (hki) di era global (sebuah kajian kontemporer) usman, rachmadi, 2003, hukum hak atas kekayaan intelektual; perlindungan & dimensi hukumnya di indonesia, bandung : alumni. _hlk4755467 _hlk4755433 _goback jpcl 3(1) (2019) 20-25 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl problems in the status of object ownership of ijarah muntahiyah bittamlik financing contract in sharia banking law nurul hikmah1 1surabaya state university received april 10 2018, accepted april 24 2019, published may 31 2019 doi 10.15294/jg.v16i1.18766 abstract the crisis of faith and economic crisis accompanied by an increase in economic needs encourages one to find the right way, as well as the efforts made by producers and industry in marketing products without seeing the halal and haram provisions of a product. these reasons cause a variety of mu’amalah through financing agreements began to emerge, such as lease agreements known to the public with the term leasing introduced by islamic financial institutions under the name ijarah muntahiyah bittamlik, so this study aims determine the ownership status of the object of the ijarah muntahiyah bittamlik financing contract. the author believes that the ownership status of the contract object on the financing of ijarah muntahiyah bittamlik raises legal issues because of the unification of the contract between the lease and the sale and purchase which depends on the repayment of all the value of the goods. keyword: ownership, ijarah muntahiyah bittamlik, sharia banking law introduction the growth of high financial institutions based on sharia in indonesia provides a great opportunity to absorb as many consumers (as possible because the muslim population of indonesia is ranked first compared to other religions. this reality has the potential to build a national economy based on sharia. this growth is also comparable to the complex challenges faced by sharia financial institutions in meeting the needs of modern businesses by presenting innovative and varied products and excellent services. practitioners, regulators, even academics in the sharia financial field are required to be proactive and creative in responding to these developments. practitioners do the creation of various products, regulators as policymakers who regulate and supervise the products offered and implemented by practitioners. whereas academics are required to provide enlightenment and research so that products and regulations do not deviate from sharia principles1. in real terms, there has been a growing practice of object purchase transactions on credit either with transaction models leasing in conventional financial systems or with sharia transactions using transactions murabahah, ijarah muntahiyah bittamlik and musharakah mutanaqisah.  the use of large types of transactions is not accompanied by the extent of public knowledge of both and the islamic economy about it. this fact provides an opportunity for the institution of sharia-based banking, to perform its functions and its role as a financial intermediary in a way to accommodate the various needs of customers, including contributing to the financing of housing2. the increasing number of financing requests has become a lucrative opportunity for conventional banking institutions and sharia banking in providing housing finance facilities to the public. transactions used 1 m. afif zamroni, implementasi ijarah muntahiyah bi al-tamlik (imbt) pada pembiayaan perumahan perspektif prinsip-prinsip ekonomi islam (studi pada konsumer bri syari’ah sidoarjo)”, dissertation summary, pasca sarjana uin sunan ampel surabaya, 2018. 2 gemala dewi, aspek-aspek hukum dalam perbankan dan perasuransian syariah di indonesia, jakarta: kencana prenada media group, 2006. p-issn 2599-0314 e-issn 2599-0306* e-mail : nurulhikmah@unesa.ac.id address : ketintang, gayungan, surabaya city, east java 60231 jp cl 21journal of private and commercial law 3(1) (2019) 20-25 in financing these objects using a leasing scheme (ijarah), specifically ijarah muntahiyah bittamlik in the form of leasing that ends with the transfer of ownership. sharia banks as leasing parties provide opportunities for customers and tenants to take advantage (usufructuary rights) within a certain period of time, then at the end of the lease period the bank can sell or grant the rented house to the customer. view of islamic law has been put leasing transaction into al-ijarah terms. analysis of islamic law to form these transactions are based on the fact that the leasing agreement in practice are often not properly enforced. even on a theoretical level, they are often referred to as the same thing. it can be seen from the right or right to select the option for the tenant to buy decision in leasing so much bringing it close to the form of installment purchase3. howefer in real term the implementation of financing with the contract ijarah muntahiyah bittamlik depends on the transaction agent, namely the bank and the customer. until now, the human resources owned by islamic banks are still relatively limited, the majority skills are of human resource of islamic bank still dominated by who have the skills and competencies in conventional banking. whereas to implement a variety of sharia bank products, the perpetrators, managers, and employees of the sharia bank are required to have the skills, expertise, and mastery as well as understanding the ins and outs and practices of banking with the sharia economic principles that continue to develop4. this reality is not surprising, because the readiness of the sharia bank in dealing with changes and demands of the community has not been maximized, and the pattern of recruitment for managers, employees or employees still prioritizes aspects of experience in the banking world despite conventional formal educational background rather than the depth of the islamic economic system, techniques and the practice of pricing sharia bank products5. this reality can open up opportunities for the gap between theory and practice, so there is concern that the determination of techniques and practices pricing of sharia banking products, still using conventional bank systems, namely interest rates and guarantee of halal products are still far from the reality expected by the public. sharia financial institutions in indonesia should be a transformation of islamic values in managing the economy by using the concepts and contracts in muamalah fiqh6. this study aims to determine the ownership status of the object of the ijarah muntahiyah bittamlik financing contract because this transactions used in financing these objects using a leasing scheme (ijarah) that ends with the transfer of ownership. research method type of research is normative so that the authors will examine the ownership status of the object of the financing contract of ijarah muntahiyah bittamlik in islamic banking law. these problems will be reviewed and adjusted according to the provisions of the al-qur’an hadist, fatwas of the national sharia council and the laws related to the problem. the type of research used is normative juridical so that the approach used in this study is the legislative approach and the conceptual approach. the law approach is carried out by examining laws and regulations relating to legal issues handled. the author in this study will examine the legislation relating to islamic banking law, al-qur’an, hadist and ijtihad through the fatwa of the national sharia council relating to the financing contract of ijarah muntahiyah bittamlik. the conceptual approach is carried out by studying the views and doctrines that develop in legal science. the writer will find ideas that give birth to legal concepts and legal principles that are relevant to the problem at hand. the author will study and examine the doctrines of islamic law experts as a basis for the writer in building a legal argument to solve the problems faced. this research is a juridical legal research normative (doctrinal) so that the type of data used is secondary data. secondary data is obtained through literature studies and documents that are directly related to the problems to be studied. secondary data primary, secondary and tertiary legal materials as will be explained as follows: first consists of, primary legal material is divided into islamic legal material which consists of (a) the qur’an which is the first and highest source of islamic law; (b) the sunnah / hadith which is the second source of islamic law after the qur’an; (c) fatwa of the national sharia council is a fatwa issued by the indonesian ulema council national sharia council; and legal material legislation consists of (a) the law number 10 year 1998 concerning banking; (b) the law number 21 year 2008 concerning sharia banking; (c) supreme court regulation number 21 year 2008 concerning compilation of sharia economic law. second, secondary legal material which is divided into two parts, namely: (1) material of islamic law obtained from books of islamic law, journals of islamic law and opinions of islamic jurists; (2) legal materials consisting of legal texts, national 3 m. haroon ameer & m. s. ansari, islamic banking : ijarah and conventional leasing,  developing country studies, 2014, 4 (9), p. 126–130. 4 sutan remi sjahdeini, 2014, perbankan syariah (produk-produk dan aspek hukumnya, jakarta: kencana, p. 69. 5 atang abdul hakim, 2011, fiqih perbankan syariah (transformasi fiqih muamalah ke dalam peraturan perundangundangan), bandung: refika aditama, p. 27. 6 muhammad syafii antonio, 2001, bank syariah dari teori ke praktek, jakarta: gema insani, p. 33. nurul hikmah, problems in the status of object ownership of ijarah muntahiyah bittamlik financing contract ...22 law journals, electronic data and opinions of legal experts; third, tertiary legal materials are legal materials that provide meaningful explanations or explanations of primary and secondary legal materials such as legal dictionaries, encyclopedias and others.  secondary data analysis techniques are descripted using the logic of deduction which draws conclusions from a general problem on concrete issues. this means the pattern of thinking from general things (major premise) to specific things (minor premise). the minor premise in this study is the ownership status of the object of the ijarah muntahiyah bittamlik financing contract while the major premise is the sharia banking act.   result and discussion the concept of imbt financing contract based on etymology, the term imbt (ijarah muntahiyah bittamlik) can be interpreted through two words namely al-ijarah and al tamlik. al ijarah means wages, which is all that is given in the form of wages to work. al-tamlik in language has the meaning of making other people have something. whereas according to the terminology al-tamlik can mean ownership of objects, ownership of benefits, or not in return. ijarah muntahiyah bittamlik is a kind of combination between a sale and purchase contract and a lease or rather a lease agreement that ends with the ownership of goods in the hands of tenants. the nature of ownership transfer that distinguishes ijarah ordinary. the term leasing in sharia banking terminology is called ijarah mumtahiyah bittamlik7. the word al-ijarah is a contract of transfer of usufructuary rights over goods or services, through the process of payment of rental wages without the transfer of ownership (milkiyyah) of the goods themselves. this means that the use of the rented goods or services is not free or voluntary, but is subject to rental fees in accordance with the agreement and the rented goods or services will be returned to their owners after the lease period ends8. ijarah muntahiyah bittamlik is a lease agreement between the owner of the leased object and the lessee to get compensation for the leased object with the option of transferring the ownership of the leased object at a certain time in accordance with the lease agreement. actually ijarah muntahiyah bittamlik is a lease contract of a real and real asset, the home buyer is temporarily a tenant who rents a house that has been purchased by the bank, and ends with the transfer of ownership from the bank to the home buyer when the rental fee is in accordance with the price the house designated by the bank and agreed upon at the beginning of the contract agreement. in the contract ijarah muntahiyah bittamlik there are two contracts, namely a sale and purchase agreement and a lease agreement which ends with the transfer of ownership at the end of the lease period as the initial agreement. this contract is known by another name ijarah wa iqtinah, the rented house has been agreed to be purchased at the end of the rental period9. payments made every month are the cost of renting a house plus the price of the house divided by the lease term. the price is obtained from the purchase price paid by the bank to the seller, less the down payment that has been paid by the buyer. after the agreed rental period has expired, the bank must transfer ownership of the object to the buyer. from the above definition, it is concluded that the ijarah muntahiyah bitttamlik is a lease agreement between the owner of the leased object and the lessee to get compensation for the leased object with the option of transferring the ownership of the leased object at a certain time in accordance with the lease agreement. the legal basis related to the application of the imbt (ijarah muntahiyah bittamlik) is divided into two, namely: the basis of sharia law which originates from the qur’an and al-hadith and the positive legal basis applicable in indonesia. sharia legal basis which comes from the quran and hadist including: qs. az-zukhruf: 32, qs. al-baqarah: 233, the prophet’s hadist narrated by sa’ad bin abi waqash “we have rented land with (payment) of agricultural produce; hence, the messenger of allah forbade us from doing this and ordered that we rent it out with gold or silver. “ in another hadith narrated by abu hurairah, “abu hurairah said; the messenger of allah said “there are three who become his enemies on the day of resurrection: he who promises me then he breaks it, the person who sells free people then he eats the results of his sale and the person who employs someone else who is asked to complete his duty, then he not pay the wages “. other legal bases derived from a positive law in indonesia include: 1. based on explanation article 19 paragraph (1) the law number 21 concerning sharia banking referred to as the ijarah muntahiyah bittamlik agreement is an agreement on the provision of funds in order to transfer the usufructuary rights or benefits of an item or service based on a lease transaction with the 7 rachmadi usman, 2012. aspek hukum perbankan syariah di indonesia, jakarta: sinar grafika. 8 nasrullah ali munif, 2017, analisis akad ijarah muntahiya bittamlik dalam perspektif hukum islam dan hukum positif di indonesia. jurnal an-nisbah, 3(2), 2017, iain tulungagung. 9 gemala dewi, aspek-aspek hukum dalam perbankan dan perasuransian syariah di indonesia, jakarta: kencana prenada media group, 2006. 23journal of private and commercial law 3(1) (2019) 20-25 option of transferring ownership. 2. based on the attachment of bank indonesia circular no. 5/26/bps/2003 concerning indonesian islamic banking accounting guidelines page 11, what is meant by ijarah muntahiyah bittamlik is an agreement to lease an item between lessor (muajir) and tenant lesse (musta’jir) which ends with the transfer of rights belongs to the object of rent. 3. based on the fatwa of the national sharia council number 27/dsnmui/iii/2002 concerning ijarah muntahiyah bittamlik, namely the lease agreement which is accompanied by the option of transferring ownership rights to the leased object, to the tenant, after the lease period is over. 4. in the provisions of the sharia e economic law compilation (khes), the contract of ijarah muntahiyah bittamlik is not regulated by itself regarding the terms and conditions. however, in article 278 khes explained that “pillars and conditions in ijarah can be applied in the implementation of ijarah muntahiyah bittamlik”. principles of covenant in islam are as follows10 : 1. the principle of freedom of contract, basically on the word of allah swt in the letter al-maidah: 1 concerning the freedom of contract mentioned with the word “contracts” or in the original text is al-’uqud, which is a plural that shows generality, meaning, people may make various agreements and agreements must be fulfilled. however, there is a limit to the freedom of contracting in islam, that is, as long as it does not eat the wealth of others in false ways. 2. the principle of agreement is binding in accordance with the qur’an al sura verse 34 which confirms that the promise will certainly be held accountable. 3. the principle of consensualism, namely on the basis of a joint agreement based on q.s. an-nisa verse 29 that the principle of mutual liking applies in commerce. 4. the principle of ibahah, the principle that is generally applicable to all transactions as long as there is no special argument that prohibits it. in this case, it is emphasized that every muamalah or transaction activity is basically permissible and permissible as long as there are no rules that expressly prohibit it, such as: buying and selling, pawning cooperation (mudharabah and musharakah), leasing, representation, or others. as for muamalah activities and strict transactions, it is forbidden to cause death, usury, deception, and gambling, so those transaction activities are not permitted in islam. 5. the principle of justice and balance of achievement, a principle that emphasizes the importance of both parties not to harm one another. transactions must be based on a balance between what is issued by one party and what is received. 6. the principle of honesty (trust), this principle emphasizes the importance of ethical values in which people must be honest, transparent, and maintain mandate. ownership status in contract ijarah muntahiyah bittamlik in principle, ownership status in ijarah muntahiyah bittamlik is the occurrence of a transfer of ownership. this is because in the contract ijarah muntahiyah bittamlik there are two contracts, namely a sale and purchase contract (al-ba’i), and ijarah muntahiyah bittamlik contract, which is a lease agreement terminated by the transfer of ownership at the end of the lease term as the initial agreement. viewed in terms of harmony and conditions, in the agreement contract ijarah muntahiyah bittamlik describes the pillar murabahah first then the new ijarah muntahiyah bittamlik, ijarah has three general pillars and six special pillars11. the first is sighat (speech) which consists of an offer (ijab) and acceptance (qabul). both parties who act (contract) consist of leasing (agents muajjir) and tenants (musta’jir). the object of rent which consists of the benefits of the use of assets and the payment of rent (rental price). further, it will be explained as follows: 1. sighat ijarah contract here is a statement of intent from two parties that have contracted both verbally and in writing. sighat ijab and qobul were implementations at the beginning of the agreement on the contract ijarah. 2. for the two people who have the of meaning musta’jir and muajjir, they are required to be baligh and understanding. both parties who are willing to declare their willingness to do the ijarah contract. 3. the object of a lease in a contract ijarah muntahiyah bittamlik bil murabahah is an item sold by a second party (musta’jir) to the first party (muajjir) then leased back by the first party to the second party. for 10 ani yunita, 2017, problematika status kepemilikan obyek akad pembiayaan murabahah pada bank syariah di indonesi, jurnal hukum ekonomi islam (jhei), 1(1), asosiasi dan peneliti hukum ekonomi islam indonesia (appheisi). 11 moch. faizul khakim, implementasi perjanjian jual beli (murabahah) di bank negara indonesia (bni) syariah cabang semarang, jurnal akta. vol. 4. no. 3. september 2017. fakultas hukum unissula. nurul hikmah, problems in the status of object ownership of ijarah muntahiyah bittamlik financing contract ...24 this type of the object ijarah lease is clearly known and listed in thecontract sheet ijarah muntahiyah bittamlik. 4. the rental price (ujrah) is clearly stated in the contract and the payment is made in accordance with the agreement. ijarah muntahiyah bittamlik is a goods object rental transaction that ends with the transfer of ownership status of the item to the tenant. this transaction looks almost the same as the combination of the contract in the contract of sale or lease, but ownership of the goods ends with the tenant. more precisely, this ijarah muntahiyah bittamlik is a lease agreement that ends with the ownership of goods by the tenant. this lease transaction ends with the ownership of leased goods transferred to the tenant. the money paid for the lease installmeints until the last installment has compensated that the leased item automatically moves into his property, because this form of transaction unites the lease contract with a sale and purchase contract that depends on the repayment of all the value of the item, the transaction law is forbidden due to an element jahalah or obscurity that has two transaction contracts. if the tenant succeeds in paying installments until the last, the ownership of the goods will move to the tenant, but if the payment of the installments is not perfect, the money that has been paid is rented. in addition, there is also an element of gharar. public need for their fnancing of capital goods in accordance with the principles of islam, encourages businesses and governments to create the islamic fnance company. basic application of sharia leasing transactions between customers through ijarah al muntahiyah bi al tamlik contract based on the fatwa dewan syariah nasional no. 09/dsn-mui/iv/2000 about ijarah fnancing and fatwa dewan syariah nasional no. 27/dsn-mui/ iii/2002 about ijarah al muntahiyah bi al tamlik fnancing12. so that this ijarah muntahiyah bittamlik does not violate the sharia, there must be two transactions separated from the time side. in this form, buying and selling transactions are after the transaction completed13. the ijarah must really exist not as a camouflage of buying and selling. while the responsibility for the leased goods is borne by the owner, not the tenant. the tenant is not entitled to bear the burden that is not caused by intent and negligence. if there is insurance in this contract, then the person responsible for paying is the owner who gives the rent (al-mu`jir) not the person who hired him (al-musta`jir). in the case of maintenance during the lease period which is not related to operational also the responsibility of the charterer (al-mu`jir) is not to the tenant (al-musta`jir). this can be seen from the option right or the right to choose for the tenant to buy goods in leasing so that it is closer to the form of buying and selling installments. according to some islamic thinkers, the practice of leasing transactions can be justified as long as it is not out of the provisions as in ijarah, because even though sharia does not allow certain fees for financial capital, in operating leases it allows certain costs for real capital. thus, leasing practices that often lead to misunderstanding from muslims and the existence of a dual legal system, need to be directed to the form of ijarah vomiting transactions with tamlik in the financing system, both in banks and other financing institutions14. each contract is recognized in islamic muamalat contains the pillars and the conditions that must be complied with. violation of rules and conditions that have been set will cause the business carried invalid or void thereby making the non-compliant businesses15. conclusion ijarah mumtahiyah bittamlik is a combination of buying and selling contracts and rent, or rather the lease agreement which ends with the ownership of goods in the hands of the tenant. the nature of ownership transfer also distinguishes between ijarah ordinary and in conventional bank terminology known as leasing. in its implementation, ijarah muntahiyah bittamlik upholds the principles of contract in islam, namely: the principle of freedom of contract, the principle of the agreement binding, the principle of consensualism, the principle of worship, the principle of justice and the balance of achievement, and the principle of honesty. although it has been based on the principles of the contract in islam, but in real terms the implementation of financing with the contract ijarah muntahiyah bittamlik depends on the transaction agent, namely the bank and the customer. currently, the human resources owned by the sharia bank are still relatively limited, the majority skills are the human resource of islamic bank still dominated by who have the skills and competencies in conventional banking. 12 m.f. mudzakkir & a. n. graha, “tinjauan syariah tentang penerapan akad ijarah al muntahiyah bi al-tamlik di perusahaan leasing syariah”, an-nisbah: jurnal ekonomi syariah, 2015, 1(2), 69–84. 13 didik hajrianto, “pelaksanaan akad pembiayaan ijarah muntahiyah bittamlik pada bank muamalat indonesia cabang mataram”, tesis universitas diponegoro semarang, 2010. 14 m. i. zakki, transaksi leasing di indonesia dalam perspektif hukum islam, episteme, 2013, 8(1), 1–36. 15 b. tunggak & m.f. tamjis, konsep akad al-ju’alah di dalam perusahaan multi level marketing (mlm) patuh syariah, umran – international journal of islamic and civilizational studies (eissn: 2289-8204), 2015, 2(1), 37-47. 25journal of private and commercial law 3(1) (2019) 20-25 whereas to implement a variety of sharia bank products, the perpetrator, managers, and employees of the sharia bank are required to have the skills, expertise, and mastery as well as understanding and banking practices with the principles of sharia economic that continue to develop. therefore, it is necessary to prepare an understanding and application to a human resource who can have competence in the application of ijarah muntahiyah bi al tamlik to be in accordance with the islamic sharia. bibliography a. books and other sources ameer, m. haroon. & ansari, m. s. islamic banking : ijarah and conventional leasing”, developing country studies, 2014. 4 (9). antonio, muhammad syafii. 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(2017). analisis akad ijarah muntahiya bittamlik dalam perspektif hukum islam dan hukum positif di indonesia. jurnal an-nisbah. 3(2). sjahdeini, sutan remi. (2014). perbankan syariah (produk-produk dan aspek hukumnya, jakarta: kencana tunggak, b. & tamjis, m.f. (2015). konsep akad al-ju’alah di dalam perusahaan multi level marketing (mlm) patuh syariah, umran – international journal of islamic and civilizational studies, 2(1). usman. rachmadi. (2012). aspek hukum perbankan syariah di indonesia, jakarta: sinar grafika. yunita, ani. (2017). problematika status kepemilikan obyek akad pembiayaan murabahah pada bank syariah di indonesi, jurnal hukum ekonomi islam (jhei) 1(1). zakki, m. i. (2013). transaksi leasing di indonesia dalam perspektif hukum islam, episteme, 8 (1). zamroni, m. afif. (2018). implementasi ijarah muntahiyah bi al-tamlik (imbt) pada pembiayaan perumahan perspektif prinsipprinsip ekonomi islam (studi pada konsumer bri syari’ah sidoarjo), dissertation summary, pasca sarjana uin sunan ampel surabaya. regulations fatwa dsn-mui nomor 27/dsn-mui/iii/2002 tentang ijarah muntahiyah bittamlik. peraturan mahkamah agung republik indonesia nomor 02 tahun 2008 tentang kompilasi hukum ekonomi syariah. undang-undang nomor 10 tahun 1998 tentang perubahan atas undang-undang nomor 07 tahun 1992 tentang perbankan (lembaran negara republik indonesia tahun 1998 nomor 182, tambahan lembaran negara republik indonesia nomor 3790). undang-undang nomor 21 tahun 2008 tentang perbankan syariah _goback jpcl 3(2) (2019) 66-70 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl protection of patent rights (comparative studies in japan and indonesia) nasrullah1 1master of law in universitas negeri semarang, indonesia received april 8 2018, accepted july 1 2019, published november 30 2019 doi 10.15294/jg.v16i1.19744 abstract difference is motivated by the legal system used. japan uses a common law and indonesian system that uses the civil law system even though finally indonesia finally mixes both of them, but the determination of the civil law used in indonesia is still very thick. this article discusses an indonesian young man who has had 14 patents in japan because of his intelligence in creating patent works in japan, namely the country he has occupied since college until now working in a leading company in japan. the results of the study show that japan, which legally adheres to the united states with common law, but in terms of japanese patent protection adheres to the civil law system as used in indonesia. the method used is normative juridical data collection techniques carried out by way of viewing or studying documents / libraries (library research). keyword: patent rights; protection of patent rights introduction in this day and age, technology has an important role that is very significant in everyday life. the country that controls the world is a country that controls technology such as the united states, germany, france, china and russia are examples of countries that are very advanced in the field of technology so that they are able to give influence to other countries. these countries protect their technology strictly. therefore, it is important to protect the technology against intellectual property to be registered as a patent. the number of heckers makes more anxious for intellectuals in the field of technology. legal protection for people who have intellectual work in the field of technology is considered very urgent to get certainty. patent rights is one way for security and certainty of intellectuals in the field of technology feel their rights are protected. moreover, there is a bad intention to acknowledge the work of someone who has succeeded in creating work in the field of technology. intellectual property rights (ipr) is a privilege granted exclusively by the state to several works that proceed from a creativity by the creator or inventor. a country that is still pursuing technology for the benefit of its country is a benchmark for assessing a country’s progress. developed countries usually have some intellectual property in the form of technology for several works in the form of technology which are then known as patents. the word patent itself is taken from petent words (french). developed countries such as the united states, germany, japan, china etc., are some examples of countries that have influence on other countries in terms of technology.1 the protection of patents granted by the state to holders of patents is a protection for the work in the form of technology (invention) which has an impact on the holder to be very strong, but the process of transferring technology to a country is not easy, because of not too significant changes while not substantially violating patents. likewise, when the protection carried out by the government to inventors is too narrow, patent protection is not beneficial for patent holders, so this is not included in violating patent rights. for someone who wants to register his patent with the government, the state is careful of the inventions 1 adrian sutedi, hak atas kekayaan intelektual. jakarta: sinar grafika, 2009, h.50. p-issn 2599-0314 e-issn 2599-0306* e-mail : nasruallah89@gmail.com address : k1 building, 1st floor, unnes, sekaran, gunungpati, semarang central java, indonesia, 50229 jp cl nasrullah, protection of patent rights (comparative studies in japan and indonesia) 67 listed, many inventions of the invention that have similarities with one another. the first to invent principle that is applied by a country to the patent applicant that is first registered to the government for the invention carried out, or uses the principle first to file. both first to invent and first to file are applied together to cover the possibility of the similarity of one invention to another. the application of these two principles also has implications for patent protection for inventors. as long as it has nothing in common with the other inventions that have been registered first. the legal system used by a country affects the extent or extent of patent protection granted by the state to inventor. the existence of civil law and common law systems used by each country is interesting to discuss in obtaining clarity of claims submitted by inventor. civil law that uses codification in its legal system, while civil law rejects codification, will also result in clarity of claims by the state to inventor. ricky elson is an indonesian citizen who works for a company in japan. ricky elson already has dozens of patented electric drive technology in japan. for 14 years in japan ricky elson started from college to work in an automotive company in japan. in 2013 the then minister of energy and mineral resources, dahlan iskan invited ricky elson to complete the national electric car project named gendhis and selo on display at the apec summit in denpasar city, bali province. however, after the national electric car project was completed and has been exhibited at the apec summit, the constraints on licensing that did not come out became an obstacle in mass production. until finally the permit was not issued, ricky elson then returned to japan to his original company. this article was made to find out how to protect patent rights ricky elson as an indonesian citizen who has a patent in japan who has a different legal system used. research method this research is a normative juridical study using the statutory approach. in legal normative juridical research, it is put in place as the norm stated as a doctrinal approach or law in book. in the practical level, normative legal juridical research is a set of positive rules or norms in the legal system. the type of data used in this study is secondary data. primary legal material, secondary or tertiary legal material. primary legal materials, among others, relate to the research theme. law number 13 of 2016 concerning patents data collection techniques are done by looking at or studying documents / libraries (library research). study of documents / libraries (library research) is a data collection technique that is carried out by researching, reviewing, and exploring various official documents and materials related to this research as the main and complementary and supporting materials in order to obtain adequate descriptive analysis for then tested through in-depth evaluation. the study data collection tool for documents or literature is used to collect legal materials as mentioned above. result and discussion general patent protection according to peter mahmud marzuki, patent protection has two aspects, namely in terms of the economy and aspects of technology transfer. the technological aspect is actually related to the transfer of technology to the people who make modifications to the previous findings that have been registered so as to allow for technological wear. if protection against discovery will be considered a violation, there will be no modification and transfer of technology. economic aspects of patent protection are related to competition. patent applications received for the first registrant, while the second patent applicant who resembles his findings with the first applicant does not obtain patent rights by the state. the second petitioner just gave up his findings, this matter from a legal standpoint was felt unfair because whatever findings were an attempt to facilitate human activities that were beneficial to humans. jeremy bentham who stated the utility principle states that the law must provide happiness to most people.2 protection of intellectual property rights (ipr) as regulated in wipo conventions is actually voluntary, which means that provisions are only basic rules for countries that will implement these rules in their respective countries . however, with the passage of time and the progress of the world economy, the provisions in the wipo conventions have become compulsive, which means that these provisions must be carried out for countries that have already joined their membership.3 international patent protection has only been carried out since 1883 through the paris convention 2 peter mahmud marzuki, luasnya perlindungan hak paten, jurnal hukum no. 12 vol. 6 tahun 1999. 3 yoyon m darusman, kedudukan serta perlindungan hukum bagi pemegang hak paten dalam hukum nasional indonesia dan hukum innternasional. jurnal yustisia, vol. 5 no. 1 januari-april 2016. 68journal of private and commercial law 3(2) (2019) 66-70 for the protection of industrial property. the paris convention has the goal of reciprocal patent protection in countries that follow the convention. countries that apply for the paris convention can become participants. the paris convention has undergone several changes. changes were made through a conference in brussels in 1900 as the first change, the second change took place in washington in 1911, the third change was in lisbon in 1958, and in stockholm in 1967 it was the last change. this last change indonesia has ratified and become a member of the wipo (world intellectual property organization) through no. 24 of 1974.4 japanese patent protection japan as a country adhering to the civil law legal system has different provisions with indonesia in terms of patent protection. japan in terms of patent protection adheres to the system adopted by america, namely the common law. the japanese patent law namely law number 21/1959 is known about the rules regarding the extent of the expansion of invention protection. japan in patent protection imitates america because it has the same legal system. in the american legal system it is open for judges to interpret theologically in accordance with the interests needed at that time. this is because the law does not regulate the protection of inventions submitted to the judge according to the system used in the common law. the law of the united states is actually narrower compared to the extent of patent protection in the united kingdom. narrow protection facilitates the process of technology transfer through the modification of the relevant patent. insan budi maulana said, inventors or researchers in developed countries often look for “short cuts” by reading patent application information, then researching, developing, and developing or improving shortcomings, weaknesses of prior art (previous invention). this method is much faster, simpler, does not require too much money and does not need to be examined from the start. 5japan applies the first-to-file rules contained in article 39 (1) of the japanese patent law, stipulating that if there are two or more similar discovery requests submitted on different dates. the application received is the first discovery. such regulations are the same as patent protection in german law and european patent conventions. section 29 (1) of the japanese patent act, specifies that invention is not subject to patent protection because of the absence of novelty: (1) findings known to the public in japan or elsewhere before submission of the relevant patent application; (2) findings that have generally operated in japan or elsewhere before submitting the relevant patent application; (3) findings that have been presented in a publication circulated in japan or elsewhere prior to the submission of the relevant patent application; japan in providing patent protection applies many of the doctrines used by america, namely the estoppel and equivalent file wrapper doctrine in addition to the japanese patent law, namely law number 21/1959 which also regulates the broad protection of inventions. the definition of equivalent developed by the japanese court is the same as that adopted in the united states compared to the estoppel file wrapper doctrine. because the japanese legal system is based on the civil law tradition, the principles of good faith contained in the japanese civil code are used in situations when the file wrapper estoppel doctrine is applied. from this system, what can be said to be balanced in providing protection between patents and the community is the united states system and of course japan which does emulate the united states system. common law doctrine concerning the protection of patent inventions is the “purposive construction” doctrine which is followed by british courts, the estoppel and equivalent file wrapper doctrine that applies in the united states which is not only followed by us courts but japan also adopts this doctrine.6 the united states uses the anglo saxon legal system. anglo saxon is a legal system that is based on jurisprudence, namely the decisions of the previous haikm which later become the basis of the decisions of subsequent judges. anglo saxon legal systems tend to prioritize customary law, laws that run dynamically in line with the dynamics of society. the establishment of law through judicial institutions with a system of jurisprudence is considered better so that the law is always in line with the sense of justice and benefit that is felt by the community in real terms.7 judges / court decisions are a source of law in the anglo saxon legal system. the judge functions not only as the party tasked with setting and interpreting the legal rules. judges also play an active role in shaping the whole system of community life. the judge created a new law which became a guide4 jabalnur, perlindungan hak paten bagi pengrajin khas, jurnal holrev, volume 1 issue 2 september 2017. 5 maulana, insan budi. (2000). penerapan paten sejak uu paten no. 6 tahun 1989 hingga uu paten no. 13 tahun 1997: pengalaman indonesia selama ini, dalam kapita selekta hak kekayaan intelektual i. pusat studi hukum uii yogyakarta bekerja sama dengan yayasan klinik haki jakarta. 6 sutarman yodo, perlindungan paten studi komparatif di ruang lingkup di berbagai negara,jurnal fiat justisia volume 10 oktoberdesember 2016. universitas lampung. 7 handoyo, hestu cipto, hukum tata negara indonesia, yogyakarta: universitas atma jaya, 2009, h. 58. nasrullah, protection of patent rights (comparative studies in japan and indonesia) 69 line for other judges to settle similar cases. this legal system adheres to the doctrine known as “the doctrine of precedent / stare decisis”. this doctrine essentially states that in deciding a case a judge must base his decision on the legal principles that have been in the judgment of other judges from previous similar cases.8 indonesian patent protection patent protection is granted by the state on request. the request was submitted by the inventor or prospective patent holder in the form of a request for registration to the directorate general of intellectual property rights. if there is no request, there is no patent, and only the inventor or the one who receives the inventor’s rights is entitled to obtain a patent.9 patents must be available for each invention either in the form of products or processes in all fields of technology, provided that they meet new requirements, involve inventive steps, and can be applied industrially. patent rights can be enjoyed without discrimination based on the place of origin of the invention, the technology field and whether the product is produced locally or imported.10 article 3 of law number 13 of 2016 states that inventions that can be protected by patents are those given for inventions that are new, and contain inventive steps, and can be applied in industry. the following will explain the terms of the invention can obtain patent protection. a. novelty / invention fulfills the element of renewal an invasion is considered new if the invention is not the same as the technology previously disclosed in indonesia or outside indonesia in writing, oral description or demonstration, or in another way that allows an expert to carry out the invention before the date of application.11 the invention is considered new, if at the time of filing a patent application, the invention is not the same as the technology previously disclosed. as a renewal requirement, the notion of technological terms disclosed previously is the state of art or prior art, which includes the patent literature and not the patent literature, and not equal understanding is not just a difference, but must be seen as equal to or not the technical function of the invention beforehand.12 prior art includes all knowledge available in the community in the form of portrayal of actors, written or oral portrayals, use in the form of casts, sellers or offers or other means through video, or voice over the internet. prior art can be in the form of products, processes, information about inventions or related to inventions available to the community.13 if an invention turns out to be the same as another invention that has been granted a patent, it turns out that it is also given a patent, then the patent holder can file a patent deletion claim to the commercial court so that the other invention which is the same as the invention is deleted.14 b. the invention contains inventive steps provisions regarding this matter are stated in article 7 paragraph (1) of law number 13 of 2016 concerning patents which states that an invention contains an inventive step if the invention is for someone who has if the invention for someone who has certain expertise in the technical field is which is unpredictable. containing inventive steps can also mean that the invention contains logically specific problem-solving steps and other parties who have the ability in the field of engineering do not expect the steps of the discovery.15 to determine an invention is an unpredictable matter by taking into account the expertise that exists at the time the application is submitted or that has existed at the time the application was submitted or which already existed at the time the first application was submitted in the case that the application was submitted with priority rights as stated in article 7 paragraph (2) of law number 13 of 2016 concerning patents. c. the invention can be applied in industry an invention in order to obtain patent protection must qualify that the invention can be applied in the industry. the invention must be produced or used in various types of industries.16 in the explanation of article 18 of act no. 13 of 2016 concerning patents stating that if the invention is a product, the product must be able to be made repeatedly with the same quality, whereas if the invention is a process, then the process must be able to be used or used in practice. there is a reason why inventions can be applied in the industrial world because 8 fajar nurhardiannto, sistem hukum dan posisi hukum indonesia, jurnal tapis vol. 11 no. 1 januari-juni 2015. 9 suyud margono, hak milik industri dan praktik di indonesia, bogor: ghalia indonesia, 2011, h. 134. 10 rahmi jened, hak kekayaan intelektual penyalahgunaan hak ekslusif, surabaya: airlangga university press, 2010, h. 116. 11 khoirul hidayah, hukum hki di indonesia kajian undang-undang & integrasi islam, malang: uin maliki, press, 2013, h.95. 12 suyud margono, hak milik industri dan praktik di indonesia, h. 137. 13 rahmi jened, hak kekayaan intelektual penyalahgunaan hak ekslusif, h. 119. 14 pasal 132 undang-undang nomor 13 tahun 2016 tentang paten. 15 yusran isnaini, buku pintar haki, bogor: ghalia indonesia, 2010, h. 77. 16 endang purwaningsih, hak kekayaan intelektual (hki) dan lisensi, bandung: mandar maju, 2012, h. 74. 70journal of private and commercial law 3(2) (2019) 66-70 of inventor’s efforts in making discoveries in principle to facilitate human life. these findings will be useful and useful for the community, such as the realization of investment, employment and technology transfer.17 not all inventions can be granted patent protection. inventions that cannot be granted patents include:18 a. the process or product of the announcement, use or implementation is contrary to the laws and regulations, religion, public order, or decency. b. methods of examination, treatment, treatment and / or surgery that are applied to humans and / or animals. c. theories and methods in the field of science and mathematics. d. living things, except microorganisms, or e. a biological process that is essential for producing plants or animals, except for nonbiological processes or microbiological processes. conclusion patent protection in japan and indonesia has a different legal system. in fact, patent protection has the same protection. determining the scope of patent protection both refers to different legal doctrines in which the united kingdom refers to the “purposive construction” doctrine and the united states refers to the doctrine of “estoppel and equivalent wrapper files” which are followed by japanese court judges. in this connection the influence of civil law systems is only limited in the form of extensive patent protection through laws that do not bind the courts of each country. references arrozi, syawal esa. 2018. legal protection of simple patents in indonesia (study of decision ma no. 167 k / pdt sus.hki / 2017), , fakulty of law, university of mataram. aulia, m. zulfa. 2015. politics of law establishing a patent law in indonesia: industrialization, liberalization and harmonization, ius quia iustum journal, 22(1). darusman, yoyon m. 2016. position and legal protection for patent rights holders in indonesian national law and international law. yustisia journal, 5(1). handoyo, hestu cipto, indonesian constitutional law, yogyakarta: atma jaya university, 2009, hidayah, khoirul. 2013. ipr law in indonesia law study & islamic integration, malang: uin maliki press. hidayah, khoirul. 2012. protection of patent rights in islamic law study and the general role of islam in the field of technology, journal i de jure sharia journal and law, 4(1). isnaini, yusran. 2010. buku pintar haki, bogor: ghalia indonesia. jabalnur. 2017.protection of patent rights for typical craftsmen, holrev journal, 1(2). jened. 2010. rahmi exclusive rights abuse intellectual property rights, surabaya: airlangga university press. makkawaru, zulkifli. 2019. regional intellectual property protection is not optimal, clavia journal, 17(1). margono, suyud. 2011. industrial property and practice in indonesia, bogor: ghalia indonesia. marzuki, peter mahmud . 1999. extent of patent rights protection, law journal, 12(6) maulana, budi’s staff. 2000. application of patents since the patent law no. 6 of 1989 to patent law no. 13 of 1997: indonesia’s experience so far, in kapita selekta intellectual property rights i. uii yogyakarta legal studies center collaborates with the jakarta intellectual property rights foundation ningrum, winda risna yessi. 2015. legal protection on geographical indication as a part of intellectual protection rights, ius journal. 3(1). nurhardianto. 2015. dawn of the legal system and position of indonesian law, journal of tapis, 11(1) sutedi, adrian. 2009. intellectual property rights. jakarta: sinar grafika. yodo, sutarman. 2016. patent protection comparative study in scope in various countries, fiat justisia journal. 10(2). 17 yusran isnaini, buku pintar haki, h. 77. 18 pasal 9 undang-undang nomor 13 tahun 2016 tentang paten. _goback _goback jpcl 3(2) (2019) 60-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl well-known mark overseas legal protection and local brands in trademark rights violations okky andaniswari1 1master of law in universitas negeri semarang, indonesia received april 8 2018, accepted july 1 2019, published november 30 2019 doi 10.15294/jg.v16i1.19710 abstract brand rights relating to the law number 20 of 2016 concerning trademark rights and geographical indications, it can be concluded that those who are entitled to legal protection for trademark disputes are the users and the first registrant of the brand used. brand is one form of intellectual property rights (ipr) that is used to recognize and differentiate products or services. however, brands are very vulnerable to being copied by irresponsible parties. the imitation of the brand has an impact on material and non-material losses. the perpetrators of brand rights violations, especially for brands that are at a well-known level, brand rights holders can make legal safeguards regulated in the law number 15 of 2001 concerning trademarks which are changed to the law number 20 of 2016 concerning trademarks and indications geographical. one of the legal efforts applied is through arbitration or alternative dispute resolution. the step resulted in a decision that was the termination of all actions related to the use of the imitated brand. keyword: legal protection, brand rights, famous brands introduction in the world of trade, the brand as one form of ipr that has been used hundreds of years ago and has an important role because the brand is used to distinguish the origin of goods and services. brands are also used in the world of advertising and marketing because the public often associates an image, the quality and reputation of goods and services with a particular brand. a brand can be a valuable commercial asset and often brands make the price of a product expensive and even more valuable than that company. in indonesia, the brand law changing and adding to the trademark law in such a way since the law number 21 of 1961 was later amended by the law number 12 of 1992, and then amended again by the law no. 15 of 2001, the last act number 20 of 2016 concerning brands and geographical indications, proving that the role of brands is very important. more flexible arrangements are needed along with the rapid development of the business world. brand is form of a prestige. for certain circles, a person’s prestige lies in the goods used or services used. the reason often asked is for quality, bonafide, or investment. sometimes brands become a lifestyle. brands can make someone become confident or even determine their social class. using items that are well-known brands is a matter for consumers’ pride, especially if these items are genuine products that are hard to come by and reach most by consumers. the variety of product brands offered by producers to consumers makes consumers faced with a variety of choices, depending on the purchasing power or ability of consumers. middle-class people who don’t want to miss using famous brand goods buy fake goods. although the items are fake, imitation and of low quality, it doesn’t matter if they can buy them. adequate legal protection for well-known brands, most of which are well-known brands from abroad, is absolutely necessary, without prejudice to both indigenous entrepreneurs who have the same brand and famous brands who use it in good faith, but to maintain a good balance of brand owners well-known at home and abroad, it is also necessary to formulate the criteria of a well-known “local” brand that is a well-known brand that develops in a particular area or region or a well-known brand that is in a country. p-issn 2599-0314 e-issn 2599-0306* e-mail : okkyandaniswari21@gmail.com address : sriwijaya nomor 57 lantai 2a jp cl okky andaniswari, well-known mark overseas legal protection and local brands in trademark rights violations 61 brands can be a company asset if the product or service produced by using the brand successfully becomes an item or service that is widely used by the community. therefore, from that the relevant brand will be a “keyword” for people who will buy goods / services. 1brands are the only way to create and maintain goodwill in the eyes of consumers in foreign markets. brands are a symbol for traders to expand and maintain their markets abroad. goodwill of a product or service is invaluable in expanding the market.2 a brand of goods or services that can be accepted by the wider community requires a long journey. a company must strive in order to make their brand can be accepted by the community, for which efforts are made to keep the quality of the goods or services of the brand in a standard quality, expand the distribution network and be able to meet market needs. if these conditions can be maintained by the company, the brand can become a “spirit” of the production of goods or services. as a “spirit” brand production symbolizes product quality, as well as being a guarantee and reputation of goods or services in the activity of trading goods or services when traded.3 the incident with a local businessman in indonesia, pierre cardin, is a well-known fashion designer from france who uses his name in a variety of fashion products. his legal team once filed a lawsuit against alexanter satryo wibowo who was a local businessman from indonesia. at the first court, the panel of judges rejected the lawsuit filed by pierre cardin. one reason was that the panel of judges acknowledged alexander’s pierre cardin brand which had been registered on july 29, 1977. the case is not stopping there, pierre cardin continued the case until the cassation level. however, this effort again ran aground. it was further confirmed by the supreme court in the case verdict number 557/k/ pdt.sus-hki / 2015 that alexander as the owner of the local pierre cardin brand had a difference in its products. “the respondent has a distinction by always including the words product by pt. warehouse rejeki as a differentiator, in addition to other information as an indonesian product. thus, to strengthen the rationale that the brand does not compensate for the fame of other brands,”said the judgment of the cassation assembly. based on the background written above, here are some research questions can be taken as follows: what is the legal protection for owners of local brands and well-known brands from overseas? what efforts or defenses can be made if there is a violation of brand rights? research methods the research method used in this study is normative juridical research, the approach taken based on the main legal material by examining theories, concepts, principles of law and legislation relating to this research or library research is a research which studies document studies, namely using various secondary data such as legislations, court decisions, legal theories, and can be the opinions of experts. this study provides data on the main topics studied and provides an overview of the object of research to strengthen existing theories, describe the norms of a brand contained in the law number 20 of 2016 concerning brands and geographical indications. research and analysis results legal protection for owners of local brands and well-known brands from overseas in article 1 point 1 of the law number 20 of 2016 concerning trademarks and geographical indications a brand definition is given, namely trademark is a sign that can be displayed graphically in the form of images, logos, names, words, letters, numbers, arrangement of colors, in the form of 2 ( two) dimensions and / or 3 (three) dimensions, sounds, holograms, or a combination of 2 (two) or more of these elements to distinguish goods and / or services produced by a person or legal entity in the activity of trading goods and / or services.4 besides according to juridical boundaries, some experts also give their opinions about brands, namely: h.m.n. purwo sutjipto, s.h., provides a definition that, a brand is a sign, by which a certain object is personalized, so that it can be distinguished from other similar objects. prof. r. soekardono, sh, provides that, trademark is a sign (java: siri or tengger) by which a certain 1 trisno raharjo, analisis terhadap pertimbangan hukum hakim dalam putusan-putusan perkara merek terkenal di indonesia, laporan penelitian, yogyakarta, umy, 1999, page. 1 2 muhamad djumhana dan r. djubaedillah, hak milik intelektual, teori dan prakteknya di indonesia, citra aditya bakti, bandung, 1997, page. 60 3 insan budi maulana, sukses bisnis melalui merek, paten dan hak cipta, citra aditya bakti, bandung, 1997, page 60 4 republik indonesia, undang-undang nomor 20 tahun 2016, tentang hak merek dan indikasi geografis 62journal of private and commercial law 3(2) (2019) 60-65 item is assigned, where it is necessary to also substitute the origin of goods or guarantee the quality of goods in comparison with similar items made or traded by other company people or agencies. essel r. dillavou, a united states expert, as quoted by daritan pratasius, explained while commenting that, there is no complete definition that can be given for a trademark, in general is a symbol, symbol, sign, word or order of words in the form and used by an entrepreneur or distributor to signify goods in particular, and no one else has the legal right to use the design or the trade mark indicates authenticity yet now it is used as an advertising mechanism.5 it is similar to copyright and patents and other intellectual property rights, brand rights are also part of intellectual rights, then specifically regarding brand rights is explicitly referred to as immaterial objects in consideration of the law number 20 of 2016 concerning trademarks and geographical indications of parts weighing items a, which reads: “whereas in the era of global trade, in line with the international conventions that have been ratified by indonesia, the role of brands and geographical indications is very important, especially in maintaining fair trade, justice, consumer protection, and protection of micro, small and medium enterprises and local industries.”6 the brand of similar product or service can be distinguished from its origin, quality and guarantee that the product is original. sometimes what makes the price of a product expensive is not the product, but the brand. a brand is something that is affixed to or attached to a product, but it is not the type of product itself. brands may only give satisfaction to buyers, their material objects can be enjoyed. the brand itself turns out to be just an immaterial object that cannot provide anything physically, this is what proves that the brand is an immaterial property rights. the absolute condition of a brand that must be fulfilled by every person or legal entity who wants to use a brand, so that the brand can be accepted and used as a brand or trade mark, an absolute requirement that must be fulfilled is that the brand must have sufficient differentiation power. in other words, words that are used must be such that they have enough power to differentiate the products produced by a company or commercial goods (trade) or services from the production of a person with goods or services produced by another person. because of the brand, the goods or services produced are differentiated. indonesian brand law adheres to a “first to file” system, so that those who register for the first time are entitled to ownership of a brand. in order for these brands to be protected by law, especially brand law in indonesia, the trademark must be enrolled to the ministry of justice and human rights directorate general of intellectual property rights so that they are registered in the general register of brands and the actual brand owner will get a brand certificate as a sign proof of ownership / rights to the product trademark. if they are not register it, then the actual brand owner will find it difficult to prove his rights if one day the brand is used by another party or sued by another party.7 the criteria for well-known brands are not only based on public knowledge, the determination is also based on the reputation of the brand concerned that has been obtained because of the promotion carried out by the owner, accompanied by proof of registration of the mark in several countries if this exists. in practice, it can be witnessed in court cases that in order to prove the applicant’s argument has a famous brand (bekende merken), then one of the evidentiary tools used is to submit to the court evidence “registration” on a “worldwide” brand.8 the criteria of well-known brands based on international regulations are only guidelines because basically every country has its own regulations regarding famous brands. that the incident with a local indonesian businessman is one of the reprimands of ownership of the brand from french piere cardin, although in fact it has no similarities, we can see that the brand’s reputation and fame can be divided into three types, normal marks, famous brands (well known marks), and famous brands (famous marks). ordinary brand is a brand that is classified as not having a high reputation, its characteristics are less giving a symbol of lifestyle, consumer society often assesses as low-quality goods or services, brands are often considered not to have drawing power that can give a touch of familiarity and the power of a mythical myth to the consumer community, and does not form the market and user layers. a high reputation brand / famous for having stunning and attractive emission power, so that any type of item under the brand immediately gives a touch of familiarity and a touch of myth to all levels of consumers. the best brand is a brand that because of its development has been widely known throughout the world, and has a reputation that can be classified as 5 hery firmansyah, perlindungan hukum terhadap merek, (jakarta selatan: pustaka yustisia), 2011, page.5 6 republik indonesia, undang-undang nomor 20 tahun 2016 tentang hak merek dan indikasi geografis butir a 7 yayuk sugiarti, perlindungan merek bagi pemegang hak merek ditinaju dari undang-undang nomor 15 tahun 2001 tentang merek, jurnal universitas wiraraja sumenep 8 sudargo gautama dan rizawanto winata, pembaharuan hukum merek indonesia dalam rangka wto trips, 1997, bandung, pt. citra aditya bakti, page.57 okky andaniswari, well-known mark overseas legal protection and local brands in trademark rights violations 63 “the world’s aristocratic brand”.9 adequate legal protection for well-known brands, most of which are well-known brands from abroad, but do not deny that there must be protection for domestic brands as happened in the cardin case, which so far have no domestic / domestic brand owners. from france, but alexanter satryo wibowo also always used pt. gudang rejeki as its supplier and was registered on july 29, 1977, so there was no intention of local brand owners not to ride the famous brand piere gardin from abroad. protection of well-known brands is also regulated in chapter xx of the international agreement on wipo (world intellectual property organization) and the development of well-known brands recognized in the united states, united kingdom, australia. traders have an interest in protecting their products through legislation against brand violations or turning their goods or services into something more valuable with. one of the difficulties that arises from the provisions of the brand law is that there are no clear guidelines for determining the criteria for famous brands. besides the law number 20 of 2016 concerning brands and geographical indications in chapter xv dispute resolution article 83 paragraph 1 which reads: “registered brand owners and / or registered trademark licensees can file claims against other parties who use the brand without rights that have similarities in principle or in whole for similar goods and / or services in the form of: compensation claims and / or termination of all acts that relating to the use of the brand.” efforts or advances that can be done when violations of ownership of brand rights occur robert s smith puts forward a theory relating to the guarantee of the protection of the brand of goods and its processes. 10a brand presents a protection function as an investment from the brand owner in good faith, and serves consumers with an easy sign of the source and quality of the manufactured goods from that brand label. guaranteed authenticity of manufactured goods from brand owners with good intentions is a promotion to eliminate doubts from consumers. thus, brand protection is the main function of buying counterfeit goods. many countries protect well-known brands that are not registered in accordance with their international obligations under the paris convention for the protection of intellectual property and agrement trips. agrement on trade-related aspect of intellectual property right (trips agreement) is an international agreement regarding trade aspects of intellectual property, including counterfeit goods. based on article 16 paragraph 2 of the trips agreement, brand fame can be measured based on knowledge of the brand. knowledge of the brand is measured based on public knowledge and promotion carried out intensively both through mass media and electronics. whereas article 16 paragraph 3 provides legal protection for well-known brands for non-similar goods or services. article 16 paragraph 3 of the trips agreement stipulates that article 6 bus of the paris convention (1967) applies to goods or services that are not similar to goods or services for which a trademark is registered, insofar as the use of the relevant trademark for said goods or services is improper will give an indication of the relationship between the item or service and the owner of the registered trademark concerned. based on article 16 paragraph 3 of the trips agreement, this provision is an extension of the legal protection of well-known brands that regulate goods or services which are not similar by basing the criteria on the appearance of a close relationship between the goods using the brand and the producer, and if the use or registration by another person for non-similar goods can harm the interests of the famous brand owner. while the legal protection of well-known brands according to national regulations on brands is regulated in the regulations of industrile eigendom 1912, minister of the republic of indonesia’s decree no. m-03-hc.02.01 1991, the republic of indonesia supreme court jurisprudence number 022 / k / n / haki / 2002, the law number 20 year 2016 concerning brands and geographical indications.11 if at the moment, it is occured that there is counterfeiting or violating the trademark law, there will be consequences, such as abolishment or must be prepared if later there will be a trademark cancellation claim filed in the commercial court. sanctions for offenders in the field of brands, according to the law number 20 year 2016 article 100 concerning brands and geographical indications, namely: (1) anyone who without rights uses the same mark in its entirety with a registered mark owned by another party for similar goods and / or services produced and / or traded, shall be punished with imprisonment 9 ridwan khairandy, perlindungan hukum merek terkenal di indonesia, seminar nasional perlindungan hukum merek dalam era persaingan pasar global, fakultas hukum universitas islam indonesia, yogyakarta, 1999, page.4 10 effendy hasibuan, perlindungan merek studi putusan pengadilan indonesia dan amerika serikat, jakarta, fakultas hukum universitas indonesia, 2003, page. 18 11 dr. dewi sulistianingsih, menyongsong era baru merek dan indikasi geografis, semarang, fakultas hukum unnes, 2017, pp. 98-99 64journal of private and commercial law 3(2) (2019) 60-65 of a maximum of 5 (five) years and / or criminal a maximum fine of rp.2,000,000,000.00 (two billion rupiahs); (2) anyone who without rights uses a mark that has the same equality with registered trademarks of other parties for similar goods and / or services produced and / or traded, shall be punished with imprisonment for a maximum of 4 (four) years and / or a maximum fine of rp.2,000,000,000.00 (two billion rupiahs); (3) anyone who violates the provisions referred to in paragraph 1 and paragraph 2, whose types of goods result in health problems, environmental disturbances, and / or human deaths, shall be punished with imprisonment for a maximum of 10 (ten) years and / or the most fine lots of idr 5,000,000,000.00 (five billion rupiahs).12 the nature of the offense of criminal offenses in the field of trademark is the offense of criminal acts which are criminal offenses. if later there are objections to the trademark registration application, the petition is submitted in writing in the indonesian language by the applicant for typing 3 (three) copies stating the brand name, date, and brand registration number, number and announcement date official serial brand news a which contains the announcement of the trademark registration application for which the objection is requested. the applicant must attach a special power of attorney, if the application is submitted through a power of attorney and proof of payment for the application fee. the application of the constitutive system in the trademark law is limited to creating entrepreneurship which concerns the interests of mere civil rights, especially the interests of brand owners. it is time for indonesia to implement a constitutive system strictly and consistently by eliminating the exclusion provisions that still provide protection to unregistered trademark owners. in addition, the adoption of a constitutive system should not be limited in creating obligations that are civil rights only, but also of the public interest, by giving sanctions to brand owners who have used but not registered their trademarks.13 depending on the description in the case of an indonesian businessman with a brand of piere cardin which is considered to be similar to a french designer, the judge is correct if he does not grant his claim because alexander has a distinctive brand and does not support the name of pt. gudang rejeki in each product. however, if there is not good faith, the judge will also take an action according to the rules because the judge here is neutral and gives the decision as it should. other legal safeguards are also regulated in the law no. 20 of 2016 concerning trademark and geographical indication of article 93 that: “in addition to settlement of the claim as referred to in article 83, the parties can resolve the dispute through arbitration or alternative dispute resolution”. basically, arbitration and alternative dispute resolution refer to the law number 30 of 1999 concerning arbitration and alternative dispute resolution (arbitration law). arbitration is a way of resolving a civil dispute outside the general court based on an arbitration agreement made in writing by the parties to the dispute. so, the selection of arbitration as a dispute settlement is based on an agreement made by the parties. this arbitration agreement can be made before the dispute occurs (arbitration clause) or made after the dispute occurs (submission clause). if the parties wants to settle a brand dispute through arbitration, then the parties must make a written agreement or agreement to choose arbitration as a forum for dispute resolution firstly. this agreement can be made before or after the dispute occurs. this is in accordance with the principle of arbitration contained in the arbitration act, in which the arbitration of a dispute settlement is based on an arbitration agreement. thus, in the case of brand disputes, the parties may choose arbitration as a forum for dispute resolution. conclusion in article 1 point 1 of law number 20 of 2016 concerning trademarks and geographical indications, brand resolution is given, namely trademark which can contain graphic images, logos, names, words, letters, numbers, arrangement of colors, in the form of 2 (two) dimensions and/or 3 (three) dimensions, sounds, holograms, or a combination of 2 (two) or more inappropriate to differentiate goods and / or services obtained by a person or related body in the activity of trading goods and / or services. the criterion of a well-known brand is not only based on the knowledge of the general public, but also based on brand valuations that have been obtained from promotions carried out by its owners, adequate legal protection for well-known brands, which offer popular brands from abroad that do not deny piere cardin domestic / domestic brand owners have no intention of using this french brand that alexanter satryo wibowo also needs to use the name pt. gudang rejeki as its supplier and has made a request on july 29, 1977. 12 republik indonesia, undang-undang nomor 20 tahun 2016 tentang hak merek dan indikasi geografis, pasal 100 13 r. murjiyanto,2017, konsep kepemilikan hak atas merek di indonesia(studi pergeseran sistem “deklaratif” ke dalam sistem “konstitutif”), jurnal hukum ius quia iustum okky andaniswari, well-known mark overseas legal protection and local brands in trademark rights violations 65 2. the nature of the offense of brand crime is an offense that commits an offense to a complaint. law enforcement for the making of the law number 20 of 2016 concerning trademarks and geographical article indications 93 says: “in addition to approving the lawsuit approved in article 83, the parties may complete the agreement through arbitration or an alternative to support the dispute”. basically, arbitration and alternatives are approved by the law number 30 of 1999 concerning arbitration and alternative dispute resolution (arbitration law). reference effendy, hasibuan, 2003, perlindungan merek studi putusan pengadilan indonesia dan amerika serikat, jakarta: fakultas hukum universitas indonesia hery, firmansyah,2001, perlindungan hukum terhadap merek, jakarta selatan: pustaka yustisia insan budi maulana, 1997, sukses bisnis melalui merek, paten dan hak cipta, bandung: citra aditya bakti muhamad djumhana dan r. djubaedillah, 1997, hak milik intelektual, teori dan prakteknya di indonesia, bandung: citra aditya bakti raharjo, trisno , 1999, analisis terhadap pertimbangan hukum hakim dalam putusan-putusan perkara merek terkenal di indonesia, laporan penelitian, yogyakarta: umy ridwan, khairandy,1999, perlindungan hukum merek terkenal di indonesia, seminar nasional perlindungan hukum merek dalam era persaingan pasar global,yogyakarta: fakultas hukum universitas islam indonesia sudargo, gautama dan rizawanto winata, 1997, pembaharuan hukum merek indonesia dalam rangka wto trips, bandung: pt. citra aditya bakti sulistianingsih, dewi, 2017, menyongsong era baru merek dan indikasi geografis, semarang: fakultas hukum unnes yayuk sugiarti, perlindungan merek bagi pemegang hak merek ditinaju dari undang-undang nomor 15 tahun 2001 tentang merek, jurnal universitas wiraraja sumenep r. murjiyanto,2017, konsep kepemilikan hak atas merek di indonesia (studi pergeseran sistem “deklaratif ” ke dalam sistem “konstitutif ”), jurnal hukum ius quia iustum republik indonesia, undang-undang nomor 20 tahun 2016, tentang hak merek dan indikasi geografis p-issn 2599-0314 e-issn 2599-0306 jp cl jpcl 4(1) (2020) 14-21 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl consumer protection of flight services through corporate social responsibility implementation in indonesia hari sutra disemadi1 1faculty of law, universitas diponegoro, semarang, indonesia received april 8 2019, accepted july 1 2019, published may 30 2020 doi 10.15294/jpcl.v4i1.24252 abstract in indonesia, air transportation is one type of transportation that is needed by the community in meeting their needs. therefore, the rapid development of airlines makes competition among airline service companies, among others, provide various promotions to attract consumers to attract as many passengers as possible. however, in the implementation of service quality is still neglected by the company, which can be detrimental to consumers (passengers). this research is a normative legal research using a statutory approach and conceptual approach. the results of this study indicate that the airline service companies in protecting consumers must comply with the consumer protection law and can through the implementation of csr programs. some csr implementations by pt. garuda indonesia regarding consumer protection is passenger safety, product and service information, customer complaints service, customer sound management (compliment, suggestion, complaint), and service improvement through a representative office. keyword: consumer protection; flight service; csr introduction as an archipelagic country, indonesia urgently needs the role of transportation services to connect one island to another 1. with such a large number of consumers, a transportation business or transportation service transportation business is one of the most lucrative businesses to establish, because it is needed by service users to connect between islands in indonesia to facilitate and speed up a trip more efficiently 2. the importance of transportation services to smoothen the wheels of the economy can no longer be doubted, given the several benefits it has. among the many businesses, the business of aviation transportation or air transportation services is one of the most challenging things. where indonesia is a very potential market for an air transportation service company that wants to run the business. some of the benefits provided by air transport services include wide reach, relatively short travel time, tariffs that can still be reached by the community and the security and comfort provided 3. 1 lukmanul hakim and sri walny rahayu, ‘perlindungan dan tanggung jawab perusahaan penerbangan domestik pt lai kepada konsumen selaku penumpangnya’, kanun: jurnal ilmu hukum, 19.3 (2017), 445–61. 2 fitriah, ‘bentuk dantanggungjawab atas terjadinya keterlambatan penerbangan (delay management) pada badan usaha angkutan udara niaga berjadwal di indonesia’, solusi, 15.3 (2017), 316–28 <https://doi.org/doi. org/10.36546/solusi.v15i3.76>; ashar sinilele, ‘perlindungan hukum terhadap penumpang pada transportasi udara niaga pada bandara sultan hasanuddin makassar’, al daulah : jurnal hukum pidana dan ketatanegaraan, 5.2 (2016), 191–212 <https://doi.org/10.24252/ad.v5i2.4806>; hakim and rahayu. 3 andi safriani, ‘perlindungan konsumen dalam persaingan usaha industri jasa penerbangan’, jurisprudentie: p-issn 2599-0314 e-issn 2599-0306* e-mail : haridisemadi@gmail.com address : jl. prof. soedarto, tembalang, semarang city, central java indonesia, 50275 jp cl 15journal of private and commercial law 4(1) (2020) 14-21 air transportation is one type of transportation that is needed by humans in meeting their needs, especially in indonesia 4. air transportation is the latest and fastest tool with extraordinary range because it has several advantages, including the speed factor because air transportation uses airplanes that have high speeds so it is more profitable 5. indonesia has several regulations governing aviation, one of which is law no. 1 of 2009 on aviation (aviation law). the presence of the aviation law is a milestone in the deregulation of the aviation business in indonesia. with this law, the number of airline service companies has increased sharply. the number of airlines in the aviation service industry is partly because the aviation industry provides the possibility of obtaining a high enough profit 6. the growth in the number of airlines that provide flight services in terms of consumers (passengers) has a positive impact. with competition between airlines, passengers benefit from offering cheaper prices and more choices 7. this alternative option allows passengers to be able to choose airlines that offer a variety of conveniences such as providing better service and very competitive ticket prices. but on the other hand, with these cheap rates often ignore the quality of service, where it can cause or even more alarming can lead to reduced quality in aircraft maintenance so that it is prone to accidents 8. air transport, as the wrong one component of the national transportation system, in essence, has a very important role in the provision of domestic and foreign transport services. beyond the conveniences offered by aviation services, complaints about the quality of this service still arise from consumers, both services before the flight (pre-flight), during the flight (in-flight), and after the flight (post-flight) 9. so for the problems faced by consumers in the aviation business, in addition to complying with regulations regarding consumer protection, it is necessary to have a policy from the airline in implementing its corporate social responsibility to consumers through its csr (corporate social responsibility) instruments. in addition to improving the company’s image (branding), csr implementation is also a company’s need that is intended to attract consumers into customers (costumer) so they accept the company’s presence, and csr implementation can also prevent social conflicts between customers and airlines. in 2016, the world business council for sustainable development defined csr is the ongoing commitment of the business community to contribute to economic development and improve the quality of life of the workforce and their families and the community and society at large 10. today, although the definition of csr varies and develops over time, this term usually describes responsible business behavior that takes into account the economic, environmental and social implications of its business 11. csr is a strong catalyst for company contributions, especially airlines, for sustainable development. csr activities can improve the livelihoods of the company’s workforce, surrounding communities or even the wider area in which the company operates. jurusan ilmu hukum fakultas syariah dan hukum, 3.1 (2016), 1–9 <https://doi.org/doi.org/10.24252/jurisprudentie.v3i1.3618>; sinilele. 4 muhammad pradika setia agafta and adianto, ‘tanggung jawab maskapai penerbangan terhadap keterlambatan penerbangan’, mimbar keadilan, 10.2 (2017), 146–59 <https://doi.org/10.30996/mk.v0i0.2191>. 5 muhammad taufik hidayat, ‘perlindungan hukum terhadap pengguna jasa angkutan udara dalam perspektif peraturan perundang-undangan tentang penerbangan’, al’adl jurnal hukum, 8.3 (2016), 77–94 <https:// doi.org/doi.org/10.31602/al-adl.v8i3.677>. 6 thomas heru susanto, ahmadi miru, and winner sitorus, ‘legal protection for domestic airlines consumers related with ticket purchasing’, mulawarman law review, 4.1 (2019), 162–75 <https://doi.org/10.30872/ mulrev.v4i1.40>; yuristo ardhi hanggoro, mare warka, and budiarsih budiarsih, ‘perlindungan hukum bagi penumpang pesawat udara atas keterlambatan penerbangan pada badan usaha angkutan udara’, jurnal akrab juara, 4.5 (2019), 73–89. 7 hanggoro, warka, and budiarsih. 8 hanggoro, warka, and budiarsih; agafta and adianto. 9 sinilele; safriani; hanggoro, warka, and budiarsih. 10 yulia risa, ‘community empowerment as the corporate’s social responsibility: case study of pt. tirta investama plant solok, indonesia’, varia justicia, 15.2 (2019), 43–50 <https://doi.org/10.31603/variajusticia. v15i2.2940>. 11 hari sutra disemadi and paramita prananingtyas, ‘kebijakan corporate social responsibility (csr) sebagai strategi hukum dalam pemberdayaan masyarakat di indonesia’, wawasan yuridika, 4.1 (2020), 1–16 <https:// doi.org/http://dx.doi.org/10.25072/jwy.v4i1.328>; rezki ananda mulia and joni joni, ‘corporate social responsibility (csr) and risk taking: evidence from indonesia’, acrn journal of finance and risk perspectives, 8.1 (2019), 152–62 <https://doi.org/10.35944/jofrp.2019.8.1.010>; fahrial fahrial, andrew shandy utama, and sandra dewi, ‘pemanfaatan corporate social responsibility (csr) terhadap pembangunan perekonomian desa’, wawasan yuridika, 3.2 (2019), 251–64 <https://doi.org/http://dx.doi.org/10.25072/jwy.v3i2.256>. hari sutra disemadi, consumer protection of flight services through corporate social responsibility...16 research methods the research method used in this paper is a normative legal research method, using the statute approach and conceptual approach 12. what is meant by a statute approach is an approach based on a review of legal regulations, related to issues discussed such as the consumer protection law and the limited liability company law. the conceptual approach will provide understanding by using doctrines in the form of opinions of legal experts. this writing is also based on the results of previous studies. the data used are secondary in the form of laws and regulations, legal research scientific articles 13, and the annual report of pt. garuda indonesia was then analyzed by qualitative analysis techniques. results and discussion consumer protection flight services in indonesia consumer protection according to article 1 paragraph 1 of law number 8 of 1999 concerning consumer protection (the consumer protection law) states that consumer protection is an effort that guarantees legal certainty to provide protection to consumers 14. in relation to the protection of consumers of aviation services, consumer protection law is the overall principles and rules that govern and protect consumers in the relations and problems of providing and using service products 15. furthermore, article 2 of the consumer protection law states that consumer protection is carried out as a joint effort based on 5 relevant principles in national development, namely: 1). the principle of benefits, intended to mandate that all efforts in the implementation of consumer protection must provide maximum benefits for the interests of consumers and businesses as a whole; 2). the principle of justice is intended so that the participation of all people can be realized maximally and provide opportunities for consumers and businesses to obtain their rights and carry out their obligations fairly; 3). the principle of balance is intended to provide a balance between the interests of consumers, business people, and the government in a metrical and spiritual sense; 4). the principle of consumer security and safety, intended to provide security and safety guarantees to consumers in the use, use, and utilization of goods/services consumed or used; and 5). the principle of legal certainty is intended so that both businesses and consumers obey the law and obtain justice in the implementation of consumer and state protection to ensure legal certainty. according to article 4 of the consumer protection law, consumer rights including consumers of aviation services are 1). the right to comfort, security, and safety in consuming goods and services; 2). the right to choose goods and services and obtain goods and services at the exchange rate and conditions and guarantees promised; 3). the right to correct, clear and honest information about the conditions and guarantees of the goods and services used; 4). the right to be heard opinions and complaints on goods and services used; 5). the right to advocate protection, and efforts to resolve and properly protect consumers; 6). the right to consumer guidance and education; 7). the right to be treated or served properly and honestly and not discriminatory; 8). the right to receive compensation, compensation, or compensation, if the goods and services received are not in agreement or not as intended; 9). the rights regulated in the provisions of other laws and regulations. in addition to having rights, aviation service customers also have obligations. the consumer’s ob12 dewi sulistianingsih and gianefi safitri, ‘the licensors’ economic right for creative commons licensed works used for commercial purposes in indonesia’, halu oleo law review, 3.1 (2019), 37–49 <https://doi. org/10.33561/holrev.v3i1.5180>. 13 ayup suran ningsih, ‘regulation on social security system for workers to achieve safety and health at work; comparison between indonesia and malaysia labour law’, tadulako law review, 4.1 (2019) <https://doi.org/10.22487/j25272985.2019.v1.i1.12534>. 14 hari sutra disemadi and paramita prananingtyas, ‘perlindungan hukum terhadap nasabah perbankan pengguna crm (cash recycling machine)’, jurnal magister hukum udayana (udayana master law journal), 8.3 (2019), 286–402 <https://doi.org/10.24843/jmhu.2019.v08.i03.p07>; ubaidillah kamal, ‘the implementation of the indonesia ministry of industry regulation in supervising the indonesia national standard (sni) number 47 / m-dag / per / 7/2016 for baby cloting of small and medium entreprises’s’, journal of private and commercial law, 3.2 (2019), 50–59 <https://doi.org/doi.org/10.15294/jpcl.v3i2.19695doi.org/10.15294/ jpcl.v3i2.19695>. 15 sinilele. 17journal of private and commercial law 4(1) (2020) 14-21 ligations are regulated in article 5 of the consumer protection law, namely: 1). read or follow information instructions and procedures for the use or use of goods and services for security and safety; 2). good intentions in conducting goods and services purchase transactions; 3). pay according to the agreed exchange rate; and 4). following efforts to properly resolve consumer protection disputes. legal protection for consumers of aviation services can be done preventively, can be done by way of legal protection for consumers carried out prior to the occurrence of transactions by providing protection to consumers of aviation services through legislation that has been made, so that with the existence of laws and regulations the consumer is expected to get protection before the transaction because there are restrictions and provisions governing transactions between consumers and business actors 16. then it can be done by means of legal protection before the transaction, wherein this way the business actor is expected to voluntarily make regulations for himself to be more careful and vigilant in running his business (voluntary self-regulation), thus providing protection for consumers. voluntary self-regulation can be done by implementing csr programs. then, repressive legal protection for aviation service consumers can be done through the district court or outside the court by the consumer dispute settlement agency (bpsk) based on the choice of the parties to the dispute. legal protection for consumers is needed because consumers are in a weak position 17. differences in interests between business actors and consumers cause physical, mental, or consumer disruption and not obtain optimal benefits from the use of these goods and services and the poor laws that protect consumer interests. with the existence of legal protection for consumers, it is expected to provide a balanced legal position between consumers and business actors. this is reasonable because so far the position of consumers is weak when compared to business actors. consumer protection of flight services through the implementation of csr pt. garuda indonesia in indonesia, the obligation to implement csr is regulated in article 74 of law number 40 of 2007 concerning limited liability companies (limited liability companies law) and government regulation number 47 of 2012 concerning social and environmental responsibilities of limited liability companies. through these regulations the government seeks to provide a new paradigm in the conception of the company’s business, which starts from the company’s responsibility towards shareholders in seeking a profit, becoming the responsibility of the relevant parties (stakeholders), namely consumers, the community around the company, as well as creating a sustainable environment 18. through this regulation, companies, and industries that have a legal entity limited liability company (perseroan terbatas / pt) are required to carry out csr, but this obligation is not merely to impose a burdensome burden, but rather serve as a mandate that will later be able to create a good social investment for companies to obtain public trust 19. at this time, the company is no longer faced with responsibilities that favor the aspect of economic benefits, namely the value of the company reflected in financial 16 susanto, miru, and sitorus; hidayat; fitriah. 17 ayup suran ningsih, ‘alternative dispute resolution as soft approach for business dispute in indonesia’, in proceedings of the 2nd international conference on indonesian legal studies (icils 2019) (paris, france: atlantis press, 2019), pp. 26–33 <https://doi.org/10.2991/icils-19.2019.6>. 18 dani amran hakim and budi ispriyarso, ‘pemenuhan hak-hak tenaga kerja melalui penerapan corporate social responsibility pada suatu perusahaan (studi penerapan csr di pt. great giant pineapple, provinsi lampung)’, law reform, 12.2 (2016), 197–208 <https://doi.org/10.14710/lr.v12i2.15874>; ni nengah ariastini and i made trisna semara, ‘implementasi konsep triple bottom line dalam program corporate social responsibility di hotel alila seminyak’, jurnal ilmiah hospitality management, 9.2 (2019), 160–68 <https://doi. org/10.22334/jihm.v9i2.155>; andrew shandy utama and rizana, ‘pelaksanaan corporate social responsibility dalam rangka optimalisasi pelestarian lingkungan’, jurnal litigasi, 19.2 (2020), 127–47 <https://doi.org/ http://dx.doi.org/10.23969/litigasi.v19i2.843>. 19 dani amran hakim and dania hellin amrina, ‘kewajiban tanggung jawab sosial perusahaan (corporate social responsibility) di indonesia: antara legal obligation atau moral obligation’, pranata hukum, 14.2 (2019), 177–91 <https://doi.org/10.36448/pranatahukum.v14i2.79>; windhi tia saputra, fitria ayuningtyas, and samuel yogasara, ‘the implementation of corporate social responsibility through festival ketoprak pelajar event at cv amigo mangesti utomo, klaten, central java, indonesia’, international journal of multicultural and multireligious understanding, 6.4 (2019), 187–98 <https://doi.org/10.18415/ijmmu.v6i4.988>; busyra azheri, ‘pelaksanaan tanggung jawab sosial perusahaan (corporate social responsibility) sebagai salah satu instrumen dalam pembangunan daerah’, widya yuridika, 2.1 (2019), 23–34 <https://doi.org/10.31328/wy.v2i1.947>. hari sutra disemadi, consumer protection of flight services through corporate social responsibility...18 conditions, but also must pay attention to social and environmental aspects, or what is commonly called the three bottom line. the synergy of these three elements is the key to the concept of sustainable development 20. the concept of csr which is “voluntary” in indonesia is expanded as an obligation to care for the progress and welfare of the local community where the company is domiciled and / or runs its operational activities 21. the obligation to implement csr in companies, especially in company, can be done by banks through various activity programs that are ideally suited to the strategy and business core of the airline itself 22. also, with the increase in awareness of the company for the quality of life, it can create social and environmental harmonization that can affect the activities of the business world. then was born the demand for the role of the company to have social and environmental responsibility. this is one of the benefits companies can get from csr activities. in this context csr activities become customary law for companies, outside the mandate of the law 23. one of the companies with a limited liability company in indonesia is pt. garuda indonesia (garuda indonesia). garuda indonesia has implemented various programs, including the provision of a variety of flight products and services that meet the needs, quality, support services that are also diverse, ease of access through the provision of conventional and e-channel service networks, online real-time services accompanied by the provision of passenger services to manage passenger confidence and satisfaction 24. also, the company has optimized the global contact center facility to facilitate passengers who are at home and abroad to obtain better services, including services for social media to handle complaints and answer passenger questions. this service is available all the time at number 0-804-1807-807 or 021-2351-9999. furthermore, the garuda indonesia has established and implemented other mechanisms related to consumer protection such as follow-up on complaints, customer satisfaction surveys, and customer service improvement programs 25. another form of commitment to guaranteeing the quality of service to customers by the garuda indonesia is also reflected in the acquisition of iso 9001: 2008 quality management system certification of hajj in which each service process is carried out through a series of quality audits by the sgs certification body concerning established quality management standards. garuda indonesia aims to continue to maintain international standard services. the company also targets to continuously make improvements and innovations in service management, especially in increasing customer satisfaction in providing the experience and comfort of a five-star standard flight 26. garuda indonesia as a five-star airline continues to innovate on the concept of service that can be directly enjoyed by garuda passengers. in addition to increasing the branding of five-star airlines, garuda indonesia also plays an active role in fulfilling its responsibilities to the people of indonesia. the company commits to be able to continue to spread its wings throughout the country. this is a form of garuda indonesia’s support for government programs. to realize this commitment, garuda indonesia has reopened the jakarta-london route. the reopening of this route is due to the company’s courage in exploring the potential target markets of the australia-europe region 27. some csr implementations by garuda indonesia regarding consumer protection is passenger safety, product and service information, customer complaints service, customer sound management (compliment, suggestion, complaint), and service improvement through representative office. 20 bayu adi and moh afrizal miradji, ‘analysis of considerations in csr aspect towards incentive tax of pt maspion iii in sidoarjo jawa timur (an empirical study of csr at pt. maspion iii sidoarjo)’, international journal of economics, business and accounting research (ijebar), 3.04 (2019) <https://doi.org/10.29040/ijebar. v3i04.783>; saputra, ayuningtyas, and yogasara. 21 mulia and joni. 22 rajiv kashyap, raza mir, and ali mir, ‘corporate social responsibility: a call for multidisciplinary inquiry’, journal of business & economics research, 2.7 (2004), 51–58 <https://doi.org/https://doi.org/10.19030/jber. v2i7.2902 .>. 23 utama and rizana; hakim and amrina; disemadi and prananingtyas, ‘kebijakan corporate social responsibility (csr) sebagai strategi hukum dalam pemberdayaan masyarakat di indonesia’. 24 garuda indonesia, ‘standing strong into the future (laporan tahunan 2019 annual report)’, 2019. 25 garuda indonesia. 26 garuda indonesia. 27 garuda indonesia. 19journal of private and commercial law 4(1) (2020) 14-21 a. passenger safety regarding consumer safety and health aspects, the company has a special mitigation measure through the application of a safety management system (sms) by the best practices of the aviation industry. sms is a systematic and comprehensive approach to managing safety in garuda indonesia. also, the company has a safety policy (safety policy) to encourage all employees to actively report potential hazards and events related to safety aspects while upholding the principle of propriety. a more detailed discussion on managing safety risks including aspects of consumer safety and health can be found in the safety risk management 28. b. product and service information to facilitate services and access to customers, the garuda indonesia also conducts socialization regarding products and services including the latest offers through: 1). website www.garuda-indonesia. com; 2). garuda indonesia mobile app is available on apple store and google play; and 3). social media accounts such as youtube, facebook, twitter, instagram, linkedin, and others 29. c. customer complaints service the garuda indonesia provides a variety of access services that are used to facilitate customers in submitting complaints, including call centers, live chat, email, website, social media (facebook and twitter), suggestion forms, customer service at the airport, and sales offices. to answer passengers’ needs regarding fast and accurate information, garuda indonesia’s global contact center operates 24 hours. passengers can easily and quickly obtain services according to their needs ranging from information related to flight products and services to handling flight service complaints 30. in 2019, the number of customer feedback entering customer care consisted of 23% compliment, 5% suggestion, and 72% complaint. all customer feedback has been handled by the service level agreement (sla) determined by the company and the customer has received an accurate and fast response as expected. to ensure service quality in customer complaint services, every access is always monitored and integrated into one cloud-based application. thus, communication and coordination between work units can run effectively and efficiently so that it has an impact on improving the quality of service on customer complaints services 31. d. customer sound management (compliment, suggestion, complaint) the garuda indonesia manages customer voices by using an integrated system, the customer voice management system (cvoms) which is used to improve the quality of handling customer complaint, effectively implementing service recovery, and increasing the ability to map critical service points. this system helps the company in optimizing customer feedback management so that it can make strategic and appropriate corrective steps 32. e. service improvement through representative office to improve service and passenger access, the garuda indonesia has a representative office as part of a strategic sales network. in 2019, the company’s total branch offices include 52 domestic branches and 108 sales offices and 16 international branches and 29 sales offices. the company also consistently encourages increased sales through the online sales partner (osp) distribution channel which was introduced in 2014. osp is a partnership that includes a reservation, inventory and ticketing process that is integrated with the garuda indonesia system through the application programming interface (api) facility 33. garuda indonesia has succeeded in strengthening its position as a “5-star airline” with international-standard service excellence. this reputation is not only recognized at the national level, but also has gained its own in the world aviation industry. this proud achievement for garuda indonesia certainly not only represents the achievement of the company as a world-class airline, but also represents the success of the concept of “indonesian hospitality” service while at the same time strengthening indonesia’s 28 garuda indonesia. 29 garuda indonesia. 30 garuda indonesia. 31 garuda indonesia. 32 garuda indonesia. 33 garuda indonesia. hari sutra disemadi, consumer protection of flight services through corporate social responsibility...20 “nation branding” in the eyes of the world 34. therefore, garuda indonesia consistently not only strives to maintain these advantages but also continuously makes improvements and innovations in service management, especially in increasing customer satisfaction in providing experience and comfort in a five-star standard flight 35. the implementation of csr to consumers in the garuda indonesia has an impact on increasing the customer satisfaction index in 2019 by 0.3 points from 2018. the increase occurred almost in all touchpoints (pre-journey, pre-flight, post-flight, post-journey, and specific focus) compared to the previous period, while the touch-point that experienced a decline was in-flight 36. this increase occurred because the company has implemented various programs, including the provision of a variety of flight products and services that meet the needs, quality, support services that are also diverse, easy access through the provision of conventional and e-channel service networks, online real-time services accompanied by the provision of services passengers to manage passenger confidence and satisfaction 37. conclusions the importance of transportation services to smoothen the wheels of the economy can no longer be doubted, given the several benefits it has. among the many businesses, the business of aviation transportation or air transportation services is one of the most profitable things. in indonesia as an effort to protect consumers (passengers), airlines must comply with the consumer protection law. consumer protection according to article 1 paragraph 1 uu consumer protection states that consumer protection is any effort that guarantees legal certainty to protect consumers. the rights of consumers of aviation services are regulated in article 4 of the consumer protection law, while the obligations are stipulated in article 5 of the consumer protection law. in addition to being subject to the consumer protection law, airlines can implement csr instruments in providing protection and comfort for consumers. one of the companies with a limited liability company in indonesia is pt. garuda indonesia (garuda indonesia). some csr implementations by pt. garuda indonesia regarding consumer protection is passenger safety, product and service information, customer complaints service, customer sound management (compliment, suggestion, complaint), and service 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(2019). the licensors’ economic right for creative commons licensed works used for commercial purposes in indonesia’, halu oleo law review, 3.1, 37–49 <https://doi.org/10.33561/holrev.v3i1.5180> susanto, t.h., miru, a., & sitorus, w. (2019). legal protection for domestic airlines consumers related with ticket purchasing, mulawarman law review, 4.1, 162–175 <https://doi.org/10.30872/mulrev.v4i1.40> utama, a.s., & rizana. (2020). pelaksanaan corporate social responsibility dalam rangka optimalisasi pelestarian lingkungan, jurnal litigasi, 19.2, 127–147 <https://doi.org/http://dx.doi.org/10.23969/litigasi.v19i2.843> jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 51 cl jp jp jp jp responsibilities of complementary allies in the commanditaire vennootschap (cv) business entity erlan ardiansyah faculty of law, tadulako university, indonesia rahmia rachman faculty of law, tadulako university, indonesia sang ayu putu rahayu faculty of law, semarang state university, indonesia abstract the focus of this research is the responsibility of complementary allies in the commanditaire vennootschap (cv) business entity. the purpose of this research is to determine the responsibilities of complementary allies if the commanditaire vennootschap (cv) goes bankrupt, and to find out the responsibilities of complementary allies in the agreement made if the commanditaire vennootschap (cv) fails. this study uses a normative juridical research method using a statutory approach and a conceptual approach using primary and secondary legal materials related to the research focus, then it is analyzed qualitatively descriptively. the result of this research is that if the cv is declared bankrupt, all of cv's assets are collateral for the settlement of cv's debt. personal assets of complementary partners can be accounted for to pay off all debts of the cv. if the cv is in default, the one who must be responsible is complementary allies. this responsibility is in the form of compensation to creditors as a consequence of default by cv to private assets of limited partnership because the cv is not a legal entity that has separate characteristics of its assets from its management. keywords: commanditaire vennootschap (cv); complementary allies; responsibility introduction in the era of globalization as it is today, economic development has accelerated, encouraging developing countries such as indonesia to continue to improve their nation's economy in order to face the global economy. plus the fact that the asian ecomony community (aec) has begun in 2015. aec is a form of jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 52 cl jp jp jp jp asean economic integration in the sense of a free trade system between asean countries. the free trade impact of the asian economic community (aec) is an opportunity for indonesia to improve its economy, certainly accompanied by improvements in various sectors of the economy. economic and trade developments in indonesia should be balanced by the role of the government through strengthening regulation and policy output that benefits the country's economy, especially for entrepreneurs in indonesia. in addition, economic development and trade also pose some problems for entrepreneurs. capital limitation is one of the problems often faced by entrepreneurs in carrying out their business activities. therefore, to solve the problem, it is not uncommon for some entrepreneurs to join into one into a business entity so that the continuity of their business activities can run properly because of the availability of sufficient capital. in indonesia there are several forms of business organizations that we often find, most of these forms of business entities are relics of the past, namely the dutch government. some of them have been replaced with indonesian designations, but some still use their real names. names that are still being used and have not been changed for use such as civil federation (maatschap), firm abbreviated fa, and commanditer fellowship (commanditaire vennootschap) hereby referred to as cv, name already in indonesia-kan such as limited liability company or pt which actually comes from the term nv or “naamloze vennootschap”.1 among these forms of business entities, some are in the form of legal entities (rechtperson) and some are not legal entities. cv is one of the business entities that is not a legal entity, nevertheless the existence of this business entity does not diminish its rights and obligations as a company recognized by the government and the business world in particular. this can be seen from the many entrepreneurs, 1 i.g. rai widjaya, 2005, hukum perusahaan, mega poin, division of kesain blanc, bekasi, p.1 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 53 cl jp jp jp jp especially small and medium enterprises (smes) who use cv business entities as a foundation to be able to conduct business activities in indonesia. the limited partnership (cv) is a form of business entity that is most widely used by small and medium entrepreneurs (smes) as a form of identity for business entity organizations in indonesia2. the legal arrangements regarding cv refer to the provisions of establishment, registration and announcement of the firm as regulated in the kuhd, namely by making a deed of establishment or based on a notary deed, registered at the registrar's office of the competent district court and announced in an official newspaper. and in practice the procedure ends at registration at the registrar's office at the district court.3 on the cv there are one or more people as allies of the commanditer. comatose allies only hand over money, goods or energy to cv as income and they do not intervene in management and mastery in the alliance4. in article 19 of the trade law hereby called the criminal code it is mentioned that cv is a company to run a company formed between two persons or several companies that are solely responsible and responsible for all on one party, and one or more as a release of money on the other5. so, on the cv there are one or more comatose allies. komanditer allies only hand over money, goods or energy as income on a cv. comma allies who only lend capital to cvs, do not intervene in management and mastery in cv6. complementary allies have the right to act for and on behalf of all allies and are liable to third parties jointly and severally up to personal property, while limited 2 zainal aikin, 2016, pengantar hukum perusahaan, prenadamedia, jakarta, p. 41 3 johannes martoyo, pendaftaran persekutuan komanditer pasca berlakunya peraturan menteri hukum dan hak asasi manusia republik indonesia nomor 17 tahun 2018, volume 4 no. 2, oktober 2020, p. 486 4 musa lasakar, 2019, keabsahan peraturan menteri hukum dan hak asasi manusia nomor 17 tahun 2018 tentang pendaftaran persekutuan komanditer, persekutuan firma, persekutuan perdata, jurnal media hukum dan peradilan, vol. 5. no. 2. p.194 5 munir fuady, 2008, pengantar hukum bisnis: menata bisnis modern di era global. pt citra aditya bakti, bandung, p. 44. 6 yahya harahap, 2011, hukum perseroan terbatas, sinar grafika, jakarta, p. 17 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 54 cl jp jp jp jp partners or also known as passive allies are allies who put capital either in the form of money or goods into the company (inbreng) and is entitled to the company's profits but in terms of liability to a third party, limited partnership is only liable until the assets are entered into the company only7. from the above explanation can be seen, on the cv consists of 2 (two) kinds of allies, namely: 1. complementary allies or active allies (administrators), are allies who run the company and have the right to enter into agreements with third parties. that is, all corporate policies are run by active allies. active allies often referred to as power companies or management companies or active allies are allies who are solely responsible for the course of the company including responsible for the debt of receivables (personal property) article 18 of the trade law. 2. commanditer allies or passive allies (no work), are allies that only include capital in the alliance. if a company suffers a loss, they are only liable for the amount of capital included and so if they make a profit, their money is limited depending on the capital they provide. komanditer's allied status can be likened to a company that invests in a company, which only expects the profit from the inbreng to be included, and does not interfere in the management, planning, or business activities of the company. this ally is often referred to as the silent company (article 21 of the trade law). in carrying out all activities of its business activities, it is not uncommon for cv to experience problems, namely regarding the lack of capital or funding needed to carry out cv business activities. this lack of funding can occur because cv wants to enlarge its business or because cv has insufficient capital due to cv 7 ida bagus abhimantara, kedudukan persekutuan komanditer (commaditaire vennotshap) sebagai corporate guarantee, notaire (journal of notarial law), volume 2. no.3, oktober 2019, hlm. 360 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 55 cl jp jp jp jp experiencing losses8. other than that, cv which in this case is run by complementary allies will of course conduct legal relations (agreements) with third parties. in indonesia, a legal relationship can only be done by the subject of the law, where the subject of the law is a supporter of the rights and obligations of the socalled person. people according to the concept of the law consist of human beings and legal entities. man is the subject of law according to biological concepts, as a symptom of nature as a creature of god's creation equipped with reason, feeling and will. legal entities are the subject of law according to the concept of juridical, as a symptom of societal life, as a body of human creation based on the law, having rights and obligations as human beings9. cv is a business entity that does not include legal entities, because even though cv already meets the material requirements of a legal entity, but the ratification of the government has not been fulfilled as a condition of formilnya, therefore cv should not be able to make legal relations (agreements) as can be done by legal entities. however, the reality that occurs in the community in carrying out its business activities, cv always do the agreement that of course the agreement has legal consequences that is with the rights and obligations. based on the background of the above problems, the author intends to conduct scientific research under the title "responsibilities of complementary allies in the commanditaire vennootschap (cv) business entity", with the formula of the problem of how complementary allies are responsible when commanditaire vennootschap (cv) goes bankrupt, and how is the responsibility of complementary allies in the agreement made when commanditaire vennootschap (cv) disqualies the promise. 8 riky rustam, rizky miraningsih, perlindungan hukum ahli waris dan kreditur persekutuan komanditer ketika meninggalnya sekutu komplementer, jurnal hukum ius quia iustum fakulty of law. volume 26. no. 3. september 2019. hlm. 610 9 abdulkadir muhammad, 2010, hukum perdata indonesia. pt. citra aditya bakti, bandung. p. 23 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 56 cl jp jp jp jp research methods the research method used in this writing is a method of research of normative juridical law that is to focus on the application of norms or positive legal rules related to the commanditaire vennootschap (cv) enterprise. the approach used is a legal approach and conceptual approach that refers to the primary legal materials namely the civil code, the trade law book (kuhd), and law no. 37 of 2004 on bankruptcy and the delay of debt payment obligations. secondary legal materials come from books, expert opinion, legal journals. the legal material is then analyzed descriptively qualitatively by understanding and analyzing legal materials systematically and then drawn conclusions results and discussion a. complementary allied responsibilities when cv goes bankrupt cv is not governed specifically by law, either in the civil code or the kuhd, but the arrangement refers to the provisions of maatschap in the civil code and the federation of firms, including articles 19, 20, 21, 30 paragraphs (2) and 32 of the code. maatschap's provisions are enforced of course as long as they do not conflict with the specific provisions of the civil war. based on the provisions of the civil code and the criminal code only complementary allies can take action, not only to conduct management of the course of cv but also to conduct legal deeds/relationships on behalf of cv with third parties and take full responsibility for the alliance. while communion allies have only internal relations with complementary allies, it is not permissible to take legal action on behalf of alliances with third parties. this is because the position of the commanditer ally is only responsible for the alliance amounting to the amount of income and is obliged to pay off the income (capital) as promised to be included in the alliance. cv is a business entity that in its activities is directly related to the business world, of course requires capital to maintain the continuity of its jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 57 cl jp jp jp jp business activities. therefore, cvs represented by complementary allies who have the task of managing cvs can make agreements to obtain capital loans. in practice cv as a business entity that conducts business activities, of course loaded with various problems, such as the circumstances in which cv has a lot of debt and can no longer afford to pay those debts so that cv is declared bankrupt by the commercial court. bankruptcy is a situation in which the debtor is unable to make payments on debts from his creditors. meanwhile, bankruptcy is a common confiscation of all bankrupt debtor's wealth whose management and ordering is carried out by the curator under the supervision of the supervisory judge. based on article 2 of law no. 37 of 2004 on bankruptcy and delay of debt payment obligation, (referred to as the bankruptcy law), the right to apply for a cv for bankruptcy is the cv itself or the application of one or more cv creditors. the application was submitted to the commercial court through the clerk. then there will be a court day, then cv can be said to be bankrupt if there has been a bankruptcy ruling from the commercial court. in substance, the bankruptcy law aims to better protect the interests of creditors in an effort to obtain payment of receivables with the principles of fairness, transparency and effectiveness10. if a company goes bankrupt, it means that the company has suffered a loss and general confiscation applies, losing authority in managing assets11. other than that, the judicial impact of the commercial court's bankruptcy ruling on the debtor's property is a general confiscation, loss of authority in the management of the property. 10 catur irianto, penerapan asas kelangsungan usaha dalam penyelesaian perkara kepailitan dan penundaan kewajiban pembayaran utang (pkpu), jurnal hukum dan peradilan, volume. 3 no. 3, nopember 2014. p. 401 11 kadek rima anggen suari, i nengah suantra, tanggung jawab sekutu terhadap commanditaire vennootzchap (cv) yang mengalami pailit, jurnal kertha semaya, vol. 3. no. 3, mei 2015, p. 4 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 58 cl jp jp jp jp when bankruptcy strikes a company, the company is taken over by a curator in accordance with the provisions in the bankruptcy law, and the owner is no longer entitled to his assets temporarily12. in other words, the debtor for the sake of the law loses his right to care (daden van behooren) and commits an act of ownership (daden van beschikking) against his property which is included in the bankruptcy. the general confiscation of the debtor's property is intended to stop any debtor's actions against the bankrupt property as well as to stop the traffic of transactions against the bankrupt assets by the debtor which is likely to harm his creditors, especially the concioned creditors. with the public confiscation, the bankrupt property in the status is stopped from all transactions and other legal actions until the bankrupt property is managed by the curator. as it is known, in the cv that the responsibility of complementary allies is absolute, meaning not only the amount of income (inbreng) of capital but down to personal wealth. if the complementary ally is more than one, then the responsibility becomes absolute and the responsibility of the renteng. absolute means a complementary ally is obliged to take responsibility for his communion to his personal property, while the responsibility means that responsibility involves another complementary ally, who may not know what other complementary allies have done. therefore any aggrieved party, including the federation itself, and creditors may file a lawsuit against the administrator or owner of the federation, for its errors and or omissions, to be liable for any losses suffered. cv assets are collateral for debt repayment to federal creditors. any complementary allied action that results in the loss of federal property, will lead the complementary ally to the obligation to be personally responsible for its shortcomings. in the event that cv property is insufficient for the repayment of 12 sri rosa, sunarmi, tri murti, penyelesaian permasalahan hak buruh dalam kepailitan pt. j and j garment indonesia menurut undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, transparency, volume 2. no.1 (2019), p. 2 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 59 cl jp jp jp jp its debts, the personal property of complementary allies can be accounted for to pay off the company's debts. on the contrary, the property of the comatose allies cannot be contested. b. complementary allies' responsibilities in agreements made when cvs disingenrate cv is a form of business entity that is most widely used by small and medium enterprises (smes) as a form of identity of the organization of business entities in indonesia. a cv is an alliance in which one or more allies entrust money or goods to one or more people who run a company that is in the lead13 meanwhile, based on article 19 of the criminal code, cv is an alliance established by one or more persons who are solely responsible to the first party (complementary ally), and one or more as a money release (comditer ally) on the other. allied komanditer, can be likened to someone who lends or invests in a company, which is expected from the investment it is the result of the profit from the capital that has been invested14. the komanditer allies were in no way involved in interfering with the management and management of the communion communion. cv managers have personal responsibility for all allies on the cv. article 19 of the kuhd governs that the parties responsible and dealing with outside affairs are active allies or complementary allies. but the allies are also responsible for going outside, if the commanditer ally violates article 20 of the kuhd. the authority of the komanditer allies is only focused on the internal affairs of the cv alliance (article 20 of the kuhd). komanditer allies are also responsible to working allies related to capital supply (article 19 of the kuhd). the rights and obligations of complementary allies are as follows: a. must manage cv; 13 jamal wihoho, 2007, pengantar hukum bisnis, sebelas maret university press, surakarta, p. 45 14 yahya harahap, op.cit, p.17 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 60 cl jp jp jp jp b. must be solely responsible for cv's obligations to third parties; c. the right to put money or other wealth into cv; and d. entitled to profit sharing. based on the above description, it can be seen that one of the complementary allied obligations is to take care of the cv including performing an alliance or agreement for the benefit of cv. the agreement that has been done by cv is not always going well as planned, it does not even close the possibility of things that are beyond the control of the cv resulting in cv not being able to carry out what has been promised before or in other words cv doing in disingen there is a promise according to togi pangaribuan15, the incident of not fulfilling the obligations based on the agreement that applies as law is known as broken promise or default. however, wirjono projodikoro as quoted by i wayan gede pradnyana widiantara and i nengah suantra16, in default there are three forms or criteria, namely: "the authorities do not implement at all; the authorities are late in carrying out their obligations; and performing obligations but not properly or as well as possible. meanwhile, according to salim hs17, the promise is not fulfilling or failing to carry out the obligations as specified in the agreement made between creditors and debtors. the promise can occur intentionally or unintentionally by the debtor. based on the provisions of article 1234 of the civil war, achievements are divided into 3 kinds, namely: 1. to submit something (article 1237 of the civil code); 2. to do something or do something (section 1239 of the civil code); and 15 togi pangaribuan, permasalahan penerapan klausula pembatasan pertanggungjawaban dalam perjanjian terkait hak menuntut ganti kerugian akibat wanprestasi, jurnal hukum & pembangunan, volume 49. no. 2 (2019), hlm. 444 16 i wayan gede pradnyana widiantara dan i nengah suantra, akibat hukum debitur wanprestasi dalam perjanjian kredit dengan jaminan cessie pada pt. bank mandiri (persero) tbk. commercial banking center cabang denpasar, jurnal kertha semaya, volume 1. no. 5, juli 2013, hlm. 3 17 salim hs, 2008, pengantar hukum perdata tertulis (bw), jakarta, p. 180 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 61 cl jp jp jp jp 3. not to do or not to do anything (article 1239 of the civil code). cv can be said to be in disingencing the promise if it has tied itself to an agreement but does not carry out any achievements at all; or execute but not on time (late); or perform but not as promised; or perform what according to the agreement should not be done. if the cv is indicated to be in disapprocated as previously issued, then the creditor may file a "sommatie" i.e. a written warning from the creditor to the debtor formally through the district court or "ingebreke stelling" which is a warning to creditors to debtors not through the district court containing a creditor's reprimand so that cv immediately performs performance; the basis of the strike; the slowest date to meet the achievement. however, if cv still does not heed the aborted done by creditors then the creditors can sue or file a lawsuit. there are three possible forms of lawsuit that may be filed by those who feel harmed as a result of the appointment, namely : 1. by "parate executie" where creditors make their own claims directly to the cv without going through the courts. in this case the parties concerned act "eigenrichting" (being judges themselves together). in practice, "parate executie" applies to light alliances and small economic value. 2. by "arbitrage" or refereeing; creditors feel aggrieved by the promise of cv, so between the creditors and cv agreed to resolve their dispute with the arbitrator. if the arbitrator has decided the dispute, then neither the creditor nor cv must obey any award, even if the award is favorable or detrimental to either party. 3. by "rieele executie" "rieele executie" is a way of resolving disputes between creditors and cvs through judges in court. usually in disputes of major problems and high economic value or between creditors and cvs there is no consensus on jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 62 cl jp jp jp jp dispute resolution by means of "parate executie", then the settlement of the case is pursued by "rileele execute" in front of the judge in court. the legal consequences of a cv that has broken a promise are penalties or sanctions in the form of: a) pay losses suffered by creditors (indemnification); b) cancellation of the agreement; c) risk switching. objects promised by the object of the agreement from the time of the fulfilled obligation become the responsibility of the debtor; d) pay the costs of the case, if it reaches litigation in front of the judge. cv is obliged to pay compensation, after being declared negligent he still does not meet that achievement, and indemnification consists of costs (costs), damages, and interest according to abdul kadir muhammad as quoted by merry tjoana18 (a) costs are costs, such as print costs, stamp duty, advertising costs; (b) loss due to damages, loss of creditors' goods due to debtor negligence (damages); (c) interest or expected profit (interest). because the debtor is negligent, the creditor loses the debt he expects. based on article 18 of the criminal code, which shall be responsible for the fulfillment of the promise made by cv both intentional and unenclaimed is a complementary ally, then the compensation mentioned earlier is the responsibility of the complementary ally who is obliged to pay up to his personal property, because cv property is not separate from the property of its manager because cv is a business entity that is not in the form of legal entity. conclusion 18 merry tjoanda, wujud ganti rugi menurut kitab undang-undang hukum perdata, jurnal sesi. vol. 16 no. 4 october-december 2010, p. 45 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 63 cl jp jp jp jp 1. in the event that the cv has been declared bankrupt by the commercial court then the cv property is a general confiscation to pay off all cv debts to creditors, but if the cv property is insufficient for the repayment of its debts, then the personal property of complementary allies can be accounted for to pay off all cv debts. 2. if cv binds itself through an agreement, then cv does not make a promise then the one who must be responsible is a complementary ally as mentioned in article 18 of the code. the responsibility is mentioned in the form of awarding compensation to creditors as a consequence of the non-promise made by cv to the personal property of the commanditer ally because the cv is not a legal entity that has the characteristics of its property separate from its managers. suggestion 1. for the government, it is possible for the government to pay more attention by making special regulations about the company komanditer federal business (cv), because this business entity is one of the business entities that is very widely used by the people of indonesia in carrying out its business activities, but the regulation is only regulated in general in the book of trade law (kuhd) 2. for the community, it should be more thorough in carrying out the alliance with the cv so that there is no unwanted thing such as the ungrateful promise made by the cv and in the end can harm the society itself. bibliography books abdulkadir muhammad. hukum perdata indonesia. bandung. penerbit: pt. aditya citra bakti. 2010 i.g. rai widjaya. hukum perusahaan. bekasi. mega poin. divisi dari kesain blanc. 2005 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 64 cl jp jp jp jp jamal wihoho. 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2019 i wayan gede pradnyana widiantara dan i nengah suantra, akibat hukum debitur wanprestasi dalam perjanjian kredit dengan jaminan cessie pada pt. bank mandiri (persero) tbk. commercial banking center cabang denpasar, jurnal kertha semaya, volume 1. no. 5, juli 2013 johannes maryoto, pendaftaran persekutuan komanditer pasca berlakunya peraturan menteri hukum dan hak asasi manusia republik indonesia nomor 17 tahun 2018, volume 4 no. 2, oktober 2020 jpcl 4(2) (2020) 51-65 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 65 cl jp jp jp jp kadek rima anggen suari, i nengah suantra, tanggung jawab sekutu terhadap commanditaire vennootzchap (cv) yang mengalami pailit, jurnal kertha semaya, volume 3. no. 3, mei 2015 merry tjoana, wujud ganti rugi menurut kitab undang-undang hukum perdata, jurnal sesi vol. 16 no. 4 bulan oktober-desember 2010 musa lasakar, keabsahan peraturan menteri hukum dan hak asasi manusia nomor 17 tahun 2018 tentang pendaftaran persekutuan komanditer, persekutuan firma, dan persekutuan perdata, jurnal media hukum dan peradilan, vol 5. no. 2. 2019 riky rustam, rizky miraningsih, perlindungan hukum ahli waris dan kreditur persekutuan komanditer ketika meninggalnya sekutu komplementer, jurnal hukum ius quia iustum fakulty of law. volume 26. no. 3. september 2019 sri rosa, sunarmi, tri murti, penyelesaian permasalahan hak buruh dalam kepailitan pt. j and j garment indonesia menurut undang-undang nomor 37 tahun 2004 tentang kepailitan dan penundaan kewajiban pembayaran utang, transparency, volume 2. no.1 (2019) togi pangaribuan, permasalahan penerapan klausula pembatasan pertanggungjawaban dalam perjanjian terkait hak menuntut ganti kerugian akibat wanprestasi, jurnal hukum & pembangunan, volume 49. no. 2 (2019) regulations civil code trade law law no. 37 of 2004 on bankruptcy and delay of debt payment obligations p-issn 2599-0314 e-issn 2599-0306 jp cl jpcl 4(1) (2020) 22-32 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl corporate governance regulation and technology: indonesia’s way to move forward ulya yasmine prisandani1 1international business law program, universitas prasetiya mulya, indonesia received april 8 2019, accepted july 1 2019, published may 30 2020 doi 10.15294/jpcl.v4i1.24447 abstract the study aims to analyze the regulation and implementation of corporate governance in indonesia, and extend it to the beneficial utilization of technological advancements in the legal field that can be applied to developing indonesian good corporate governance implementation. the analysis will be carried out through a normative-juridical method, utilizing the statute approach in which relevant laws and regulations are enquired into, supported by the existing literatures and academic papers. the paper looks into the weaknesses of the currently prevailing corporate governance regulatory regime, followed by the possible use of technology to develop indonesia’s corporate governance implmenetation. the study finds that the drawbacks of indonesian corporate governance legal regime include the needs for stronger and stricter regulation such as in relation to the requirement for affiliation for board of directors and board of commissioners, as well as minority shareholders protection linked to an equitable decision making process in a general meetings of shareholders. further, technological advancements can be used for the betterment of corporate governance implementation in indonesia, such as in terms of automation of document filing, submission and reporting in addition to other practical online and digital means which include the easy.ksei system as the official online general meetings of shareholders platform for public companies that has been tested during the recent covid-19 pandemic situation. keyword: corporate governance; electronic general meetings of shareholders; director duty; law and technology introduction corporate governance is defined by the organization for economic cooperation and development (hereinafter referred as the ‘oecd’) in its principles of corporate governance of 2015 as “a set of relationships between a company’s management, its board, its shareholders and other stakeholders. corporate governance also provides the structure through which the objectives of the company are set, and the means of attaining those objectives and monitoring performance are determined.” in terms of corporate governance ranking in south east asian nations, indonesia still needs to catch up to its neighbor namely thailand, singapore, and malaysia after being ranked 4th place in the asian development bank scorecard. the 2015 scorecard took into account four company elements, namely the rights of shareholders, equitable treatment of shareholders, role of stakeholders, disclosure and transparency as well as responsibilities of the board of directors and commissioners when assessing upon the level of compliance and improvement in the field of corporate governance in each south east asian countries1. 1 asian development bank. (2017). asean corporate governance scorecard country reports and assessments 2015. * e-mail : yasmineprisandani@pmbs.ac.id address : bsd city kavling edutown i.1, jl. bsd raya utama, bsd city, indonesia 15339 23journal of private and commercial law 4(1) (2020) 22-32 relatably, the issue of corporate governance has become the focus of public’s attention when multiple occurrences of good corporate governance violation has been proven to be so severe and so shocking due to the nature of the offence, as well as the perpetrator and company that belongs to the state-owned company list. these mishaps include the smuggling of luxurious goods and manipulation of financial statements of pt. garuda indonesia (persero) tbk by its director, i gusti ngurah askhara danadiputra23 as well as allegation of corruption and mismanagement of insurance premiums of pt. asuransi jiwasraya (persero) that ended up in criminal proceedings against the ex financial director, hary prasetyo 45. lippo group was also shamed for its poor corporate governance implementation due to the silent transfer of ownership of meikarta back in 20186. good corporate governance principles are considered to be the specific implementation of corporate law principles that are embodied in law number 40 of 2007 on limited liability companies (hereinafter referred as the “indonesian company law”). corporate governance regulations are still scattered and irresolute, causing leniency in the enforcement procedure in the case of non-compliance and violation of rights. indonesian corporate board and shareholder relationship is mainly regulated under the “indonesian company law”, and other corporate governance related regulations are non-binding soft laws that serve as guidance for indonesian companies. in some sectors, financial services authority also plays a role as the supervisor and regulator of corporate governance. on the other hand, advancement of technology has been helping a lot in revoluting and improving law and its implementation. case laws and decisions can now be found online, lawyer and client communications are now carried out digitally, and in certain jurisdictions, ediscovery systems to find relevant evidences are helping to lessen legal practitioners burden 7. not only in the corporate governance realm, but digitalization and electronic methods in carrying out legal processes have been implemented in various areas in the public sector such as the e-tendering method for public procurement mechanism 8 as well as in multiple private transaction uses which include electronic credit agreement 9 and online sale and purchase transactions 10. in any case, utilizing to technological advancements to help with corporate governance implementation and supervision 11, in which this includes providing the regulatory framework as a basis, can be beneficial. as a result of these conditions, corporate governance become one field that must be developed under thorough scrutiny in order to ensure its improvement and evolution in the right direction. in that regard, the paper aims to answer the following questions: 1. to what extent do drawbacks exist in the currently prevailing corporate governance regime of indonesia?; and 2. to what extent can technology help in regulating and implementing better corporate governance 2 mufti, r. r. 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(2018, 25 november). tata kelola sejumlah emiten buruk, begini kata investor. kontan. retrieved from https://investasi.kontan.co.id/news/tata-kelola-sejumlah-emiten-buruk-begini-kata-investor 7 maura grossman and gordon cormack, ‘technology-assisted review in e-discovery can be more effective and more efficient than exhaustive manual review’, richmond journal of law and technology, 17.3 (2011), 11. 8 siti dhurotun muniroh and ubaidillah kamal, ‘the indication of unfair business competition practice in the implementation of public procurement auction using e-tendering’, journal of private and commercial law, 2.2 (2018), 78–93 <https://doi.org/10.15294/jpcl.v2i2.15700>. 9 dita perwitasari, ‘legal certification in electronic credit agreement’, journal of private and commercial law, 2.2 (2018), 125–33 <https://doi.org/10.15294/jpcl.v2i2.16834>. 10 muhammad ikhsan lubis, ‘online buying and selling transactions under international private law’, journal of private and commercial law, 2.1 (2018), 17–32 <https://doi.org/10.15294/jpcl. v2i1.14499>. 11 mark fenwick and erik p.m. vermeulen, ‘technology and corporate governance: blockchain, crypto, and artificial intelligence’, ssrn electronic journal, 48 (2018) <https://doi.org/10.2139/ssrn.3263222>; fiammetta piazza, ‘bitcoin and the blockchain as possible corporate governance tools: strengths and weaknesses’, penn state journal of law & international affairs, 5.2 (2017), 262. ulya yasmine prisandani, corporate governance regulation and technology: indonesia’s way to move forward 24 in indonesia? research methods the analysis will be carried out through a normative-juridical method that employs the statute approach. a thorough analysis will be conducted to the relevant laws and regulations, which include the indonesian company law, financial services authority regulations as well as where applicable, publicly listed companies regulation, whereas implementing policies and statistics will be obtained from official institutions such as the indonesian stock exchange and indonesian central securities depository (kustodian sentral efek indonesia). these regulations and numbers will be supported by existing literatures and academic papers for further elaboration and analysis. no first-hand data gathering activity is carried out for this paper. results and discussion the drawbacks of current indonesian corporate governance regime corporate governance is one essential element of economy, since sound corporate governance promotes economic development through higher returns on equity, efficiency of investment allocation, firm performance and valuation, as well as lower cost of capital and easier access to external financing12. corporate governance is a complex issue that involve many different aspects including governmental policy and regulations as well as company’s internal and external mechanisms that apply to multiple stakeholders. nevertheless, a closer analysis towards the laws and regulations may be needed as regulatory changes can significantly disincentivize companies for non-compliance, and as a result, better corporate governance will be achieved. for that reason, several major drawbacks of the currently prevailing corporate governance regime in indonesia fall under the following categories: absence of strict corporate governance regulations, loose regulatory requirement for board of directors and board of commissioners, and last but not least, lax regulation on inequitable decision making process. a. absence of strict corporate governance regulations indonesia up to now has yet to enact a strict law on good corporate governance, although the national committee on governance policy (komite nasional kebijakan governance) had issued the good corporate governance code in 2016. however, this good corporate governance code is not a legally binding document. as a result, companies tend to treat this as a recommendation, in which violations will not bring about any criminal or administrative sanctions. the national committee on governance policy has also been idle, despite the mandate given through the coordinating ministry for economic affairs decree no kep-14/m.ekon/03/2008 of 2008 with regard to its responsibilities, which are as follows: 1. drafting and developing guidelines and rules of behavior regarding good governance policies in the corporate and public sectors; 2. submitting recommendations for the improvement of laws and regulations based on the principles of good governance; 3. monitoring and adjusting the application of good governance in the corporate and public sectors; 4. providing advice with regard to upholding the principles of good governance; 5. giving input in the implementation of skills and feasibility assessment of the management and supervisor of the company in relation to the implementation of corporate governance; and 6. performing other related tasks based on the direction of the coordinating minister for economic affairs financial services authority (otoritas jasa keuangan) has recently become increasingly involved in supplying good corporate governance guidance for publicly listed companies and for specific 12 world bank. (2017). doing business 2017: equal opportunity for all. world bank. 25journal of private and commercial law 4(1) (2020) 22-32 sectors that fall under its auspices. the duty assigned to the financial services authority include regulating and supervising banking institution, capital market institution, and non-banking financial institution. through financial services authority circular letter number 32/seojk.04/2015, companies are subjected to a comply or explain rule in five aspects of corporate governance namely shareholder engagements in guaranteeing the rights of shareholders, the functions and roles of the board of commissioners, the functions and roles of directors, stakeholder participation, and information disclosure. furthermore, financial services authority also issued financial services authority regulation number 73/pojk.05/2016 on good corporate governance for insurance companies. in the same year, 55/ pojk.03/2016 on the implementation of corporate governance for public banks was also circulated, followed its corresponding circular letter number 13/seojk.03/2017 for public banks. the financial services authority had also issued indonesian corporate governance manuals in 2015 and 2018 respectively, but again this does not result in a legally binding instrument for limited liability companies in indonesia. the manuals attempt to summarize, and discuss key corporate governance regulations that are scattered in many different laws and regulations, in addition to international best practices. consequently, corporate governance related provisions must be gathered carefully from the prevailing laws and regulations, such as the indonesian company law. indonesian company law imposes certain rules for board of directors in managing the day-today operation of a company. the law stipulates that management processes must be done by each member of the board of directors with good faith and full of responsibility (indonesian company law: 97), but defining good faith and responsibility in this sense requires a deeper analysis. elucidation of article 97 section (2) only gives elaboration on the term of “full responsibility”, which is defined as having concern for the company in a scrupulous and determined manner. the element of good faith remains to be interpreted. yahya harahap elaborates good faith in terms of five duties: fiduciary duty, statutory duty, loyalty duty, duty to act for a proper purpose, and duty to avoid conflict of interest. fiduciary duty essentially means that each member of the board of directors must be trustable and honest. statutory duty refers to compliance to the prevailing laws and regulations, as well as internal company policy, whereas loyalty duty can be understood as always acting on behalf of the company’s interest. further, the responsibility element is also further elaborated into duty of due care as well as duty to be diligent and skillful 13. in any case, liability of board of directors are limited, and board of directors will not be able to be held responsible for company’s loss if capable of proving the following: a. that the losses do not result from his/her fault or negligence; b. that the member of board of directors has conducted the management in good faith and with prudence in the interest of the company and within the objectives and purposes of the company; c. that the member of board of directors does not have any conflict of interest whether directly or indirectly in the acts of management that result in losses; and d. that the member of board of directors has taken preventive measures against the arising or continuation of the losses. when these conditions are not fulfilled, board of directors can be held personally, or jointly and severally liable (indonesian company law; 97), depending on the circumstances. for example, if an error, negligence or violation is committed by a member of the board of directors without the consent or knowledge of another member of the board of directors, or if the other member of the board of directors does not take part in the act, then the other member shall not be responsible for it. regardless of how, it will ultimately be weighed down to evidence and testimony in the adjudication or dispute settlement process. in addition to the national laws and regulations, limited liability companies in indonesia also can refer to international standards of corporate governance, the most prominent one being the oecd principles on corporate governance that discuss important issues such as shareholder rights, stakeholders, disclosure, as well as board practices. nevertheless, these international standards, again, only serve as a soft, non-binding law that serve as a guidance for limited liability companies. 13 harahap, m. y. (2016). hukum perseroan terbatas (1st ed.). jakarta: sinar grafika. ulya yasmine prisandani, corporate governance regulation and technology: indonesia’s way to move forward 26 b. loose regulatory requirement for board of directors and board of commissioners indonesian company law provides a detailed and thorough set of provisions on the matter of company establishments, operations, mergers and acquisitions, and dissolution. first and foremost, it denotes that a limited liability company that is established under indonesian law has three company organs, namely general meetings of shareholder, board of commissioners, as well as board of directors (indonesian company law: 1 (2)). this is the legal basis that shows that indonesian law adopts the two-tiered board system in contrast to the one-tiered board system in countries such as korea, ireland, sweden, switzerland, and turkey. the board of directors is defined as an organ of the company with the sole authority and responsibility for the management of the company in the best interest of the company within the objectives and purposes of the company, and represents the company both within and outside the court of law under the provisions of the articles of association. (indonesian company law: 1(5)), whereas the board of commissioners is defined as the organ of the company that has the responsibility to conduct a general and/or specific supervision , in accordance with the articles of association, as well as providing advice for board of directors (indonesian company law: 1(6)). under the indonesian company law, the general meetings of shareholders is defined as an organ of the company with the authority not vested in the board of directors or board of commissioners within the limits as provided for in this law and/or the articles of association (indonesian company law: 1(4)). from the definitions provided under the indonesian company law, it can be subsequently inferred that the governance structure in an indonesian limited liability company refers to the following common structure: general meetings of shareholders being the ultimate decision maker of the company, followed by the board of commissioners that oversees and advises the board of directors who run the day to day operations of the company. nevertheless, this control mechanism often does not work as well as intended, because many of the key personnels in the corporate boards are affiliated with the shareholders, or amongst themselves. as such, control comes from one clustered group and independent corporate actions for the interest of the company may not be achieved. ownership structure has a great impact in the monitoring mechanism that a company may use, and that institutional investors will have a bigger room to monitor if the company’s ownership structure is widely dispersed14. widely dispersed ownership structure is not commonly found in indonesia, and this goes back to the history of indonesian company. indonesian company history mainly diverges from two types of company: family enterprises and state-owned enterprises. the history of state control still remains intact, as these indonesian state-owned enterprises have been recently converted into partly privatized companies through public offerings and/ or strategic alliances over the last twenty years. however, the government remains as the controlling shareholders with more than 51 percent of shares, and as a consequence, state control is extended to the board of directors and board of commissioners through controlling the board members appointment in the general meetings of shareholders by way of majority votes (international finance corporation, 2018). additionally, the indonesian stock exchange has also relaxed the requirement for having independent board members. the decree of the board of directors of indonesian stock exchange no. kep00183/bei/12-2018 eliminated the requirement for a public company to have an independent director and independent commissioners by way of revoking decree of the board of directors of indonesian stock exchange no. kep-00001/bei/01-2014, the latter in which essentially referred to the requirement of having independent director and commissioner in order for public companies to stay listed in the stock exchange (indonesian stock exchange rule i-a on listing of shares (stock) and equity-type securities other than stock issued by the listed company: v.3.2; v.4.2.). this further allows the possibility of higher control from the majority shareholder without any assurance in the balance of power by independent board of directors or board of commissioners members. 14 siregar, v.s., & utama, s. (2008). type of earnings management and the effect of ownership structure, firm size, and corporate-governance practices: evidence from indonesia. the international journal of accounting, 43, 1-27. https://doi.org/10.1016/j.intacc.2008.01.001 27journal of private and commercial law 4(1) (2020) 22-32 c. lax regulation on inequitable decision making process corporate governance framework should ensure equitable treatment of all shareholders, in which all shareholders should have the opportunity to obtain effective redress in the event of violation against their shareholding right, as provided in oecd corporate governance principles 2015. in order to achieve that, different prerequisites must be achieved, such as equal opportunity for voting and participation for minority shareholders and protection from abusive actions in the interest of the controlling shareholders towards minority shareholders. shareholder voting and participation is regulated in the indonesian company law, in which specific quorum requirements are set for certain general meetings of shareholders agenda. for example, the agenda for amending articles of association would require voting from shareholders that at least represent two-thirds of all shares with valid voting right present in the gms (indonesian company law: 88). different requirement prevails for different agenda, and taking another example would be the specific requirement for approving a transaction with conflict of interest. such agenda must be approved by independent shareholders which represent more than one-half of all shares with valid voting right owned by all independent shareholders present in gms. this agenda forms as a protection towards minority shareholders, and can ensure equitable right for all shareholders in the decision making process. protection for minority shareholders in form of other rights may include preemptive rights. nevertheless, when the controlling shareholder can extend their powers through affiliation and direct and/or indirect control towards other company organs, decision-making processes in the company become one-sided and imbalanced. in this instance, the interest of the minority shareholders may not be addressed aptly. reflecting from a similar situation in malaysia, concentrated shareholders structure and family business domination actually result in lesser minority shareholder protection with poorer corporate governance implementation15. the indonesian company law has only put explicit protection for minority shareholders with regard to the legal acts of merger, consolidation, acquisition, or division (indonesian company law: 126) and has yet to regulate the balance between shareholders for general meetings of shareholders processes. the available remedy for violation of minority shareholders right would be a civil lawsuit to the district court (indonesian company law: 61) or shares buyback right in the case of disapproval of a company’s act that causes loss to the shareholders or the company (indonesian company law: 62). the indonesian company law gives each shareholders legal standing (legal persona standi in judicio) to file a lawsuit to the culpable or negligent board of directors on behalf of the company without having to obtain a power of attorney from the company, general meetings of shareholders or other shareholders. all things considered, it would require the ultimate good faith and proper management from the company organs in order to ensure fulfillment of minority shareholder’s rights to equitable participation in decision-making process. utilization of technology for indonesia’s corporate governance development development of technology and digital processes have become inevitable part of the current way of living. technology simplifies processes, makes processes more transparent and less time consuming. law practices in indonesia, sooner or later, will have to keep up with the developments in order for it to comply with international standard, and this encompasses the corporate governance field as well. proposals to use advanced technological systems such as blockchain, have been brought about and uttered in other jurisdictions, and henceforth, indonesian corporate governance also will have to keep up with the evolving systems. in that sense, analysis is provided on the two examples of the use of technology to improve indonesia’s corporate governance regime, namely with regard to the automation of document archives, submission and reporting process, as well as practical use of digital and online means. 15 rachagan, s., & satkunasingam, e. (2009). improving corporate governance of smes in emerging economies: a malaysian experience. journal of enterprise information management, 22(4), 468–484. https://doi. org/10.1108/17410390910975068 ulya yasmine prisandani, corporate governance regulation and technology: indonesia’s way to move forward 28 a. automation of document archives, submission and reporting process automation of different processes in the field of corporate commercial law has recently been introduced in many different parts of the world. for example, many common law jurisdictions in addition to japan and korea to a certain extent, has utilized the notice-filing system instead of the traditional document filing system in order to create a proprietary security right 16. in the notice-filing system, any interested party can look up for an object online and check whether or not other parties have filed a proposal to create proprietary security right upon that certain object. another example on automation and electronization of commercial legal processes would be the recently tested asean single window system 17. the asean single window connects and integrates national single windows of asean member states to exchange electronic trade documents which enable single submission of data, followed by a single synchronous processing of information, single decisionmaking for customs release and clearance amongst member states and other participating countries. in 2016, international law firms linklaters and pinsent masons announced their investment in autonomous office automatons called verifi, which is a computer program that can sift through fourteen united kingdom and european regulatory registers to check thousands of bank client names overnight18. in indonesia, these types of online system may be very useful since companies need to submit numerous different reports and documents throughout the year. document automation and assembly, that refers to the design of systems and workflows that assist in the creation of electronic documents, have been proposed and on the rise in the past years19. legal services and processes are no longer exclusive from disruptive innovation, in which technologies actually help speeding up procedures and laborintensive processes2021 technology utilization for the improvement of corporate governance implementation in indonesia is far-reaching. for example, publicly listed companies in indonesia must submit annual reports to the financial services authority that at least includes the various documents, such as summary of important financial data, information on shares, board of directors report, board of commissioners report, publicly listed company (issuer) profile, management analysis and discussion report, governance document of the publicly listed company, report on the issuer’s social and environmental responsibility, audited annual financial statements, as well as statements of the members of board of directors and board of commissioners with regard to the responsibility for the submitted annual report. simplifying and digitalizing these document submission, for example, may lead to a better and closer supervision system that ultimately will result in better corporate governance implementation. b. practical use of digital and online means digital and practical means of conducting businesses, including in the legal sector, have been made possible due to the covid-19 outbreak that took emerged in the early 2020s. the central government imposes large-scale social restriction implementations in areas with high rate of covid-19 infection as a mitigation measure, and such restriction includes closure of schools and workplace, restriction of religious activities, limitation of activities in public places or facilities, limitation of social-cultural activities, as well as limitation in people transport. areas such as dki jakarta, west sumatra as well as jakarta nearby cities including bogor, depok, bekasi, and tangerang have imposed the restriction on april 2020 22 and this affected corporate processes including arranging annual general meetings of shareholders as mandated under the law. as stipulated in the financial services authority circular letter number s-92/d.04/2020 on the relaxation 16 jon, w. (2018). cross-border transfer and collateralisation of receivables : a comparative analysis of multiple legal systems. in cross-border transfer and collateralisation of receivables : a comparative analysis of multiple legal systems. oxford: hart publishing. 17 asean secretariat, ‘about asean single window’, association of south east asian nations, 2018. 18 kerikmäe, t., hoffmann, t., & chochia, a. (2018). legal technology for law firms: determining roadmaps for innovation. croatian international relations review, 24(81), 91–112. https://doi.org/10.2478/cirr-2018-0005 19 brooks, c., gherhes, c., & vorley, t. (2020). artificial intelligence in the legal sector: pressures and challenges of transformation. cambridge journal of regions, economy and society, 13 (1), 135-152. https://doi.org/10.1093/ cjres/rsz026 20 sheppard, b. (2015). incomplete innovation and the premature disruption of legal services. michigan state law review, 2915(5), 1797-1910. https://digitalcommons.law.msu.edu/lr/vol2015/iss5/3 21 alarie, b., niblett, a., & yoon, a. h. (2018). how artificial intelligence will affect the practice of law. university of toronto law journal, 68, 106–124. https://dx.doi.org/10.2139/ssrn.3066816 22 ministry of tourism republic of indonesia, ‘large scale social restriction implementation’, press release, 2020. 29journal of private and commercial law 4(1) (2020) 22-32 of the submission of reports and the implementation of mandatory general meetings of shareholders, publicly listed companies are given a two months extension for holding their general meetings of shareholders from 30 june 2020 to 31 august 2020. this is due to adherence of physical distancing policy as well as other covid-19 mitigation measures that will be violated if a general meetings of shareholders is carried out with multiple shareholders being in the same venue at once. another most important aspect that was regulated in the circular letter was online general meetings of shareholders mechanism for publicly listed companies. the circular letter stipulated that “the holding of a general meetings of shareholders by a public company can be done by an electronic power of attorney mechanism using the e-gms system provided by the depository and settlement institution and the gms is conducted as efficiently as possible without reducing the validity of the gms in accordance with financial services regulation number 32 of 2014 and law number 40 of 2007 concerning limited liability companies”. through this circular letter, the financial services authority finally made official the alternative for publicly listed companies to organize general meetings of shareholders through online means. online general meetings of shareholders have actually been allowed even since the enactment of the indonesian company law was enacted back in 2007. under the law, a general meetings of shareholders may also be conducted through teleconference, video conference, or other electronic media facilities which enable all participants to see and hear each other directly and to participate in the meeting (indonesian company law: 77). this non-physical method has never been materialized in any official rules or regulations, and practices of an online general meetings of shareholders are scarce. practice even suggests that companies prefer to use to adopt a circular resolution outside of a general meetings of shareholders, that has the same binding power as a decision in a general meetings of shareholder however needing all shareholders with voting rights to approve in writing by signing the offered motion (indonesian company law: 91). additionally, studies have also noted a legal vacuum in the online general meetings of shareholders legal framework in regard to the event of a network problem23 even though the deed of general meetings of shareholders minute that is carried out through video conference as a form of electronic media is considered as valid 24. by virtue of this regulatory update, publicly listed companies are now allowed to resort to the online general meetings of shareholders system that has been prepared by the indonesian central securities depository. on 3 april 2020, indonesian central securities depository issued letter number ksei-4164/dir/0420 on the implementation of the easy.ksei facility as a mechanism to electronically authorize the process of organizing general meetings of shareholders for public company share issuers which shares are held in the collective custody of the indonesian central securities depository. this letter, in essence, introduces the electronic general meeting system ksei, shortened and often referred as the “easy.ksei” for publicly listed online general meetings of shareholders itself. the easy. ksei system itself consists of two systems, namely e-proxy and e-voting. this will simplify the voting mechanism since all of the general meetings of shareholders minute will be automatically transferred to the indonesian central securities depository whereas traditionally, it will be manually typed up during the meeting. van der elst and lafarre noted that the current trading processes and shareholder engagement systems are faced with large-scale classical inefficiences despite being in the digital age with various state of the art technologies being available for use25. resorting to the use of blockchain technology, for example, for trading processes and exercising shareholder rights can store information in a verifiable andimmutable manner that provides higher transparency and trust due to its tamper resistance manner2627. 23 dharmawan, n. k. s., landra, p. t. c., & purwani, n. p. (2015). keberadaan pemegang saham dalam rups dengan sistem teleconference terkait jaringan bermasalah dalam perspektif cyber law. jurnal magister hukum udayana (udayana master law journal), 4(1), 190–202. https://doi.org/10.24843/jmhu.2015.v04.i01.p15 24 mira nila kusuma dewi, ‘kedudukan hukum akta risalah rapat umum pemegang saham (rups) melalui media elektronik’, arena hukum, 9.1 (2016), 112–31 <https://doi.org/10.21776/ub.arenahukum.2016.00901.7>. 25 van der elst, c., & lafarre, a. (2019). blockchain and smart contracting for the shareholder community. european business organization law review, 20(1), 111–137. https://doi.org/10.1007%2fs40804-019-00136-0 26 garcia-teruel, r. m. (2020). legal challenges and opportunities of blockchain technology in the real estate sector. in journal of property, planning and environmental law: vol. ahead-of-print (issue ahead-of-print). https:// doi.org/10.1108/jppel-07-2019-0039 27 van der elst, c., & lafarre, a. (2019). blockchain and smart contracting for the shareholder community. european business organization law review, 20(1), 111–137. https://doi.org/10.1007%2fs40804-019-00136-0 ulya yasmine prisandani, corporate governance regulation and technology: indonesia’s way to move forward 30 if blockchain has now been proposed as a solution for more effective shareholder engagement and trading processes, it is indeed beneficial to review and put together technological possibilities in corporate governance through firstly preparing the regulatory framework. blockchain in itself, despite the dubious nature of cryptocurrency use that lingers around it, serve as a possible corporate governance improvement tool due to its capacity to maintain confidential information and to record transactions with higher certainty than those of manually operated systems 28. this may serve as a useful function to record stock transactions, or voting ballots in an online general meetings of shareholders. all in all, online general meetings of shareholders, or to a smaller extent internet voting, has a significant potential to supplement traditional meeting procedures mainly due to the lower cost and unlimited geographical reach elements that will allow a huge number of shareholders to participate in the meetings, in which at the same time participation of increasing number of cross-border shareholders would mean that internet voting mechanism would spread faster29. this is inline with indonesia’s profile of shareholders, since the 51.46 percent of shares that are held in the indonesian central securities depository’s custody are owned by foreign parties, where previously foreign ownership had reached more than 60 percent of shares ownership in indonesia30, and as such, may provide solution to a better, and more far-reaching, corporate governance implementation. as a side note, however, the trend of weaker corporate governance practices in emerging markets in comparison to developed capital markets have been observed, and other factors such as politics, local culture, and historical roots also play a significant role in the development of corporate governance in a country31 conclusions the current indonesian corporate governance still needs stronger, stricter set of corporate governance regulations. implementations, especially in relation to the power balance between majority shareholders with the board of directors and/or board of commissioners that are often added with a close degree of affiliation, still need to improve especially since this can cause detriments to minority shareholders. still relating to the power balance, the regulations can also provide clearer and more stern protection towards minority shareholders in order to fulfill one of the most important element in good corporate governance which is equitable treatment between all shareholders. on top of that, corporate governance in indonesia is only mainly regulated by soft laws and international codes that are not binding with the exception of certain fields that are regulated and supervised by the financial services authority. for that reason, multidisciplinary means should be employed in order to ensure improvement of corporate governance regulation and implementation in indonesia. regulatory framework should also prepare to embrace technological developments that can help the development of corporate governance implementation in indonesia to be more transparent and trustable. for instance, corporate governance implementation may utilize automation of processes for document archiving, submission and reporting, in addition to other digital and online systems for other practical processes. indonesia has started to use technology in implementing corporate governance for publicly listed companies, namely through the eproxy and e-voting easy.ksei system developed to organize decision making through digital general meetings of shareholders amidst the large-scale social restriction and covid-19 crisis, and this serves as a great start in the development of a corporate governance regime that incorporates technological advancements. nevertheless, studies have been conducted abroad with regard to incorporating advanced technologies such as blockchain to the implementation of corporate governance, and this is a possibility that should not be dismissed. technology serves as a potential supporting element in bettering the corporate governance regime in indonesia, and as such, should be studied and advanced further. in the end, indonesia still has a long road ahead to integrate technology advancements, good corporate governance principles, as well as stronger regulatory framework. 28 piazza. 29 abdennadher, s., & cheffi, w. (2020). the effectiveness of e-corporate governance: an exploratory study of internet voting at shareholders’ annual meetings in france. corporate governance, 20(4), 673-702. https://doi. org/10.1108/cg-04-2019-0116 30 wicaksono, a. (2019, 12 august). modal di bursa saham ri masih dikuasai asing. cnn indonesia. https://www. cnnindonesia.com/ekonomi/20190812181845-92-420664/modal-di-bursa-saham-ri-masih-dikuasai-asing 31 cornelius, p. (2005). good corporate practices in poor corporate governance systems: some evidence from the global competitiveness report. corporate governance, 5 (3), 12-23. https://doi.org/10.1108/14720700510604661 31journal of private and commercial law 4(1) (2020) 22-32 bibliography books harahap, m. y. (2016). hukum perseroan terbatas (1st ed.). jakarta: sinar grafika. jon, w. 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(2017). doing business 2017: equal opportunity for all. world bank. jpcl 3(2) (2019) 71-75 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl the legal efforts to maintain the authenticity of trade secrets through a license agreement fandilla susanti1 1faculty of law, universitas negeri semarang, indonesia received april 8 2018, accepted july 1 2019, published november 30 2019 doi 10.15294/jg.v16i1.19746 abstract a trade secret is part of ipr which the information is not known by the general public in the field of technology and business, in trade secret has economic and useful values in business activities, also maintain confidential by the owner of the trade secrets regulated by the law no.30 of 2000. the parties can use trade secret and license agreements, license is the permit given by the owner of trade secrets to other parties through agreements on granting the right to get economic benefits for a certain period of time. the advantage of ipr is personal wealth that can be owned and treated with other wealth forms. the legal research method used in this study is to use a normative juridical approach, which means that a study is conducted based on the review of laws. the efforts to protect trade secrets begin with binding provisions for employees based on the employment agreement, and the licensing agreement. in order to be protected by the trade secret the information must be totally confidential, because if the information has revealed the protection will be lost, the information will become public property. for dispute resolution, litigation and non-litigation can be taken according to the needs of the parties. keyword: trade secrets, economic value, agreement introduction today the issue of ipr protection is a matter not only one country, but also an international community affair. furthermore, since the signing of the agreement establishing the world trade organization (wto). ipr protection in international is very stringent and law enforcement can be done by the dispute settlement body (dsb). to implement the protection of ipr whose is efficient, effective and beneficial for all wto members, cooperation between wto members needs both regionally and internationally. in asean countries has been formed a forum which discusses the issue of protection of ipr. furthermore the asia pacific region, which has formed a forum consisting of experts in the field of ipr to increase protection of ipr in accordance with the protection standards established by the agreement on trade related aspects of intellectual property rights (trips). indonesia has a very strong commitment to the protection of ipr, where has also long been involved and active in both regional and international in the field of intellectual property rights. it can be affirmed that the trips agreement is the main foundation in wto countries to protect ipr internationally (getlan, 1995: 176) international agreements on trade aspects of the ipr (the trips agreement) explicitly do not provide definitions of ipr, but article 1.2 states that ipr consists of : 1. copyright; 2. trademark; 3. plant varieties; 4. industrial design; 5. patent; 6. integrated circuit layout design; 7. trade secret; the enactment of law no.30 of 2000 concerning trade secret is the one of the implementations of trips. p-issn 2599-0314 e-issn 2599-0306* e-mail : fandillasusanti@gmail.com address : k1 building, sekaran gunungpati, semarang, indonesia jp cl mailto:fandillasusanti@gmail.com 72journal of private and commercial law 3(2) (2019) 71-75 it means that this regulation only exists, but the regulation has not been classified as part of intellectual property rights. ipr generally relates to the protection of the application of ideas and information that having commercial value, one of the advantages of ipr is personal wealth that can be owned and treated with other wealth forms. nevertheless, there are also losses caused by the application of the ipr system that are temporary and the short term. if indonesia has been able to optimize the utilization of ipr, these negative impacts will change into benefits for the indonesian nation in the future (ismail, 1990: 63-64 ) the ipr is really related to the economy and investment, one of which is the trade secret, so that the good implementation of ipr will get benefits to a country because the ipr can accelerate the investment into a country, both domestic and foreign. intellectual property rights can increase a country’s domestic economy. (lindsey, et. al. 2000: 79) furthermore the author formulates the problem to answer trade secret as follows ; 1. what are the elements in the trade secret? 2. how is the legal effort for infringement trade secrets? research method the legal research method used in this study is to use a normative juridical approach (marzuki, 2010: 35), which means that a study is conducted based on the review of laws. by reviewing the law, various legal aspects and basic principles contained in these provisions will be known. then the type of data used as the main guideline in this study is secondary data consisting of both primary, secondary and tertiary legal research materials. primary research materials are the trade secret law, other ipr regulations and provisions relating to trade secrets. the secondary research is literature, then it conducted inductively, namely the specific provisions are freely described and the results are analyzed by descriptive juridical discussion. result and discussion rationale for the protection of trade secrets the rationale for the protection of confidential information based on the trips agreement is the same as the rationale for the protection of other ipr forms, such as copyrights, patents, designs or brands. that is to ensure the investors developing concepts, ideas and commercial value information and benefit from the investment by getting exclusive rights to use concepts or information, moreover to prevent other parties using or disclosing such information without permission. legal protection for confidential information also encourages business and commercial development by ensuring that employers develop their knowledge, concepts and information, rather than merely stealing or imitating the creation of other parties. value of trade secrets. because of their confidential nature, it is difficult to accurately assess the value of trade secrets today or compare their current value to that of years past.(david law journal berkeley technology vol. 27:1091 hal 1093). the aim of the enactment of the trade secret law is based on the element of philosophy (studied in term of law making), the implementation and the aim of enactment (the aim of achieving justice). the aim of law is generally to achieve justice, and justice includes the usability and expediency. according to j. bentham in the “theory of utilities”, the law aims to realize the beneficial thing for people (the aspect of benefit is more concerned in the trade secret law). the aim regulates the rule in society in a peaceful and fair manner (van apeldorn), determined by the principle of justice and benefit. (wignyodipuro, 1983: 19) there is a difference between trade secret and other intellectual property rights, including two main differences between trade secrets and other intellectual property rights such as copyrights, patents and brands, namely : 1. the other forms of ipr are not confidential. in addition, they get protection because they are a type of wealth owned by others. 2. trade secrets are protected even though they do not have the value of creativity or new ideas. above all, the trade secret is not generally known. for example, an effective work system may not be very creative, but its effectiveness and confidentiality causes the commercial information. 3. the other forms of ipr are always in the form that can be written, described or determined by the government. trade secrets should not be written, the most important things are the use of concepts, ideas or information themselves can be given to other parties verbally. this is different from patents and brands. (lindsey, et. al. 2000: 238-239) there are overlapping trade secrets and patents, also differences of them. if a company has an invention, they will choose to maintain the confidentiality of the principles which underlie the invention or patent the fandilla susanti, the legal efforts to maintain the authenticity of trade secrets through a license agreement 73 invention. if the company chooses to maintain the confidential invasion, the information will get legal protection as long as confidentiality is not lost. if the confidentiality has lost, there will not protection obtained by investors, therefore trade secret is not the right way to protect products sold on a broad scale of trade and or can be easily devised. the parties can use trade secret with licensing agreements, license is the permit given by the owner of trade secrets to other parties through agreements on granting the right to get economic benefits for a certain period of time. the owner has the right to freely use the trade secret, as with other types of ipr, the owner may also give licenses to other parties to use the trade secret, through the licensing agreement, the agreement causes an obligation of the licensee to maintain confidentiality. the other parties may use secrets by inheritance, grants, wills, written agreements or other reasons justified by law. basic elements of trade secret law in common law countries, including the united kingdom, canada and australia, laws for confidential infringement arise as a result of court decisions, which not found in a law. in other countries, including the united states, the law of confidential information is contained in laws that are similar to indonesian laws. however, in most countries, the basic legal elements of confidential information are the same. there are six basic principles, namely; 1) to get legal protection, information must be confidential. 2) the defendant has an obligation to the plaintiff to maintain the confidential information. 3) there must be use of confidential information without permission from the defendant. 4) the using without permission for information must cause loss to the plaintiff. 5) disclosuring confidential information can be justified in the public interest in certain situation. 6) various legal efforts can be applied by the court. (lindsey, et. al, 2000: 240) the meaning of information in trade secrets is grouped in the field of technology and information in the business field. as for the including of information technology, are: a. information about research and development of a technology; b. information about production / process; c. information about quality control. while the meaning of business information, are: a) information relating to the sale and marketing of a product. b) information relating to the costumer c) information about finance d) information about administration (semaun, diktum law journal, volume 9, number 1, january 2011, pp. 30-42) in the trade secret, it must contain information that is confidential because it is a principle, if information is a concept, idea or information that is only known by the owner, and cannot be obtained by other parties and is not yet known in general. by applying the principles that the creator chooses to disclose information or a concept, so that it is easily found to the public or other parties in the industry related to the publication of an article or advertisement that causes the information or concept to be available, the confidentiality is deemed lost. if the information is generally known, it is not determined based on the number of people who can access it. a trade secret basically has a subject matter of information which including production methods, processing methods, sales methods or other information in the field of technology and / or business that has economic value and is not known by the general public (article 2 of the trade secret law). an information gets protection as a trade secret if it matches the qualifications as information that is not known to the public, has economic value and is always maintained confidential. while the parameter for protection is based on indicators of level of confidentiality, involvement with employees, measure to maintain confidentiality, information value for the competitors, level of protection and commercial value of information and the level of difficulty in obtaining information (sutrisno, liga hukum vol.1 no. 2 jun 2009, 52) efforts to maintain trade secrets begin with binding conditions for employees by referring to the employment agreement, including the obligation not to disclose or divulge the company’s trade secrets except as stipulated in article 15 of the trade secret law. the clause needed in the license agreement to protect trade secrets can be implemented by the licensor with the licence making the model of the clause including the licence acknowledging and agreeing that the trade secrets stipulated in this agreement belong to the licensor which is very valuable, so that disclosure to other parties is prohibited. another clause, the licensee agrees that all employees will implement an agreement to not disclose the secrets that are similar or identical according to 74journal of private and commercial law 3(2) (2019) 71-75 the license agreement. infringementing trade secrets will be processed according to the article 16 and article 17 of the trade secret law. legal efforts for infringementing trade secrets article 1 (1) law no.30 year 2000 trade secrets explains the meaning of trade secrets as information : a. in the field of technology or business; b. unknown to the public; c. has an economic value because of it use a in trade; and, d. confidentiality has been well maintained by the owner of the information. the definition involves the first two elements of the legal elements of trade secrets in most countries discussed above, namely: 1. information must be confidential and not publicly known; 2. there must be an obligation to maintain confidentiality, which the owner of the information has protected the confidentiality of the information. legal efforts to resolve infringement of trade secrets, when using trade secret information without permission by the owner, cause loss to the owner of the trade secret. in this case the creator of the information that needs to involve that the recipient uses the concept or information without permission from the creator, so that it can be grouped into two forms of unlicensed use, namely; 1. creator / owner of trade information does not give permission to users at all. 2. the creator of information allows the licence using information for a certain purpose, but the recipient of the information has used the information for other purposes beyond the approval. the abusing trade secret information, it raises a loss for the creator, the creator must prove the action that causes the commercial or financial losses. however, in practice after the elements of other confidentiality infringement have been proven, commercial or financial losses are often clearly visible. if a company has invested in developing information, the information will be commercial value, because it can increase the company’s competitive position in the market. obviously, commercial profits will be lost and the company suffers losses if other companies abuse information or have access to confidential information. therefore, the problem of loss is rarely responded even though other elements of confidentiality infringement have proven. the proof of loss will be a part of the evidence considered by the court in deciding the suitable punishment, because abusing confidental information. in this context, what must be decided is not on the question of whether the loss is suffered, but the amount of loss in the form of money. in common law countries such as australia, britain, canada, the united states, there are four important forms of legal, namely; 1. temporary determination of the court and permanent the legal effort is often the most useful and there is a confidentiality infringement relating to commercial trade secrets. if a company is using the trade secrets of other companies to produce a product, that is sold in the market and competes with original products, the creator of the concept or information will suffer a loss every day due to the competing product. in this case, it is very important for the creator of the information or concept to get a temporary determination of the court, or a decision which prevents other companies from using the information continuously. 2. compensation the court could decide that the defendant who abuse the confidential information of the plaintiff must compensate the plaintiff for the losses. 3. profit calculation an alternative legal effort for compensation is the calculation of profits; the defendant is ordered to give the profits to the plaintiff obtained through unlicensed use of the plaintiff ’s trade secrets. this rationale is the defendant’s profit that will be the same as the commercial losses suffered by the information creator. 4. delivery of goods if a person abuses a trade secret owned by another party to produce a product that he sells, then the court can order that person to return all the products to the creator of the trade secret. because this can prevent losses suffered as a result of other infringement. (lindsey, et. al. 2000: 247-248) the law in most countries, trade secret laws are not infringed, if the uses of trade secrets are in the interests, security, health or safety of the community. in the provisions of article 11 of no.30 year 2000 the secret of trade in legal effort can be done by ; 1. the holder of the trade secret right or the licensee can sue anyone who intentionally without the right to do fandilla susanti, the legal efforts to maintain the authenticity of trade secrets through a license agreement 75 the action as referred to in article 4, in the form of : a. the compensation claim; and / or b. the termination of all acts as referred to in article 4. 2. the claim as referred to in point (1) is submitted to the district court. in article 12 of law no.30 year 2000 trade secrets in addition to resolving claims as referred to in article 11, the parties can resolve the dispute through arbitration or dispute resolution alternative. therefore the solution can be done by the litigation and non litigation. conclusion trade secret law protects almost all types of information of commercial value if the information is developed. they are maintained in a confidential manner, and there is no limit to how long the information is protected. because trade secret laws provide unlimited protection, protecting various types of information such as customer lists and business methods. in order to be protected by the trade secret the information must be totally confident with the license agreement agreed by the parties, if the information has revealed, the protection will be lost and the information will become public property. the legal settlement, litigation and non-litigation can be done according to the needs of the parties. reference byron s. kuzara inventions: the trade secret or patent protection determination this article was originally published in the september 2003 issue of oregon business. david almeling.s, seven reasons why trade secrets areinc reasingly important. law journal berkeley technology vol. 27:1091 david d. friedman, william m. landes and richard a posner some economics trade secret law journal of economic perspectives volume 5 getlan, myles s, trips and section 301.1995. columbia journal of transnational law; lindsey, et.al. 2000. hak kekayaan intelektual suatu pengantar, bandung:alumni; michael r. mcgurk* and jia w. lu the intersection of patents and trade secrets hastings science and technology law journal vol. 7:2 2015 peter mahmud marzuki.2010.penelitian hukum, cetakan keenam, jakarta: kencana prenada media group; saleh ismail. 1990. hukum dan ekonomi. jakarta: pt. gramedia; sarika choudhary et al. program and data protection: copyright, patent, trade secret and trademark indian journal of computer science and engineering (ijcse)199: 61–72 semaun syahriyah, perlindungan hukum terhadap rahasia dagang jurnal hukum diktum, volume 9, nomor 1, january 2011 surojo wignjodipuro. 1983. pengantar dan asas-asas hukum adat, jakarta : gunung agung; sutrisno, kewajiban bagi pemegang lisensi dalam menjaga rahasia dagang jurnal liga hukum vol.1 no. 2 juni 2009. undang-undang nomor 30 tahun 2000 _goback _goback jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 66 cl jp jp jp jp optimizing the performance of the sharia supervisory council in sharia financial institutions alifah nur fitriana naridha master of law science, faculty of law, universitas diponegoro alamat email: alifahnfn@gmail.com ro’fah setyowati faculty of law, universitas diponegoro alamat email: rofahundip@gmail.com abstract the sharia supervisory board has a fundamental contribution to the compliance of sharia bank compliance. in the progress of islamic financial institutions, there are still often violations committed by individual islamic bank managers themselves. as happened in the case of the bogor branch of the syariah bank mandiri (bsm) in 2013 caught the case of a fictitious credit of rp102 billion, which was carried out by unscrupulous bsm. this paper will discuss the scope, mechanism of the supervisory function and work of the sharia supervisory board and finding ways to optimize the performance of the sharia supervisory board. by using a qualitative normative approach. this study produced an understanding that the sharia supervisory board must ensure that islamic banks are in line with sharia principles as reflected in the fatwa, rules, and guidelines issued by the sharia supervisory board. for the achievement of sharia financial institutions that are by existing islamic regulations, special attention needs to be paid by the sharia supervisory board and the government. keywords: optimize, performance, sharia supervisory board, scope, oversight function introduction jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 67 cl jp jp jp jp islam is "a complete and universal system of life 1 to compose and provide dynamic and easy direction for all aspects of life, including business and financial transactions. one phenomenon that emerged in the past three decades was the rapid growth of the islamic banking industry"2. "the islamic banking industry is run based on sharia principles and systems. therefore, the suitability of islamic banking operations and practices with sharia is a fundamental tool in islamic banking". in its implementation, islamic banks function as "collecting funds from the public in the form of deposits and investments, channelling funds to people who need funds from banks and providing services in the form of islamic banking services", these three functions are the main functions of islamic banks in indonesia.3 the operation of islamic banks has two risks "first, the risk of material loss in each contract performed; second, the risk of violation of sharia compliance"4. these two risks show that developments in islamic banking are "like two sides of a sword, on the one hand, it can bring convenience, on the other hand, it is risky for the parties in islamic banking". so to overcome this problem, a sharia supervisory board was formed, from now on referred to as dps, dps is a delegation of full authority from the national sharia council (dsn) of the indonesian ulema council (mui) in every islamic bank.5 "muhammad in his book islamic bank analysis of strengths, opportunities, weaknesses and threats, he explained that the majority of indonesians are muslim 1 edi susanto, “islam pribumi versus islam otentik (dialektika islam universal dengan partikularitas budaya lokal)”, karsa, vol. 13, no. 1, 2018, p. 17. 2 imam mahfud, “strategi pemasaran perbankan syariah di tengah pesatnya pertumbuhan industri perbankan syariah di indonesia”, madani syari'ah, vol. 3. no. 3, 2020, p. 16. 3 bagya agung prabowo dan jasri bin jamal, “peranan dewan pengawas syariah terhadap praktik kepatuhan syariah dalam perbankan syariah di indonesia”, jurnal hukum ius quia iustum, vol. 24, no. 1, 2017, p. 114. 4 agus waluyo, “kepatuhan bank syariah terhadap fatwa dewan syariah nasional pasca transformasi ke dalam hukum positif, inferensi”, jurnal penelitian sosial keagamaan, vol. 10, no.2, 2016, p. 520. 5 taufik kurrohman, “peran dewan pengawas terhadap syariah compliance pada perbankan syariah”, jurnal surya kencana satu: dinamika masalah hukum dan keadilan, vol. 8, no. 2, 2017, p. 50. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 68 cl jp jp jp jp as a captive market that is profitable for the development of islamic banking. captive market means that the majority of the population has a psychological sentiment to prioritize the use of islamic banking services because of the security (halal) guarantees offered, of course with a note that the services and facilities owned by islamic banks also do not disappoint”.6 after the passing of the "shari'ah banking bill into law by the indonesian parliament on june 18, 2008, all forms of sharia banking already have the highest legal umbrella that will protect the actions and actions of sharia banking in the islamic financial industry. in indonesia. the shari'ah banking act is a crystallization of the long struggle of indonesian muslims in applying shari'ah principles in the field of muamalah, especially muamalah maliyah. therefore, the syari'ah banking law is expected to be the highest legality umbrella capable of accelerating the growth of syariah banking in indonesia as well as being able to boost the national economic growth rate that is just people and is oriented towards equity and the real sector".7 the realization of the shari'ah principles in the shari'ah banking system must refer to three basic principles, namely: 1) the principle of justice, 2) avoiding activities that are prohibited by the shari'ah, and 3) paying attention to aspects of benefit sector”.8 for these shari'ah principles to be realised adequately in shari'ah banks, there must be supervision. this supervision was carried out by bank indonesia as a supervisor and supervisor and by dps. thus, ideally in its application in the field, there is no opportunity for irregularities and fraud in islamic banking.9 the development of islamic financial institutions still frequently occurs violations committed by unscrupulous sharia bank managers themselves. "as happened in the 6 imam mahfud, op cit, p. 17. 7 fitra nelli, “problematika kiprah dewan pengawas syari’ah (dps) di perbankan syari’ah”, almasharif, vol. 3, no. 1, 2015, p. 85. 8 ibid, p. 86. 9 bagya agung prabowo dan jasri bin jamal, op cit, p. 114. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 69 cl jp jp jp jp case of bank syariah mandiri, in 2013 a subsidiary of bank mandiri, namely the bogor branch of bsm, was caught in a fictitious loan disbursement case of rp102 billion. this crime is known to be part of a banking syndicate. four suspects were named in this case, three of whom were bsm employees. the mode used by the suspect was to falsify the identities of 197 fictitious customers either through the customer's identity or through other administrative requirements. this case stems from a report submitted by the central bsm to the indonesian police's criminal investigation agency (bareskrim), which then carried out an investigation and investigation".10 "another mode of banking crime is document forgery which leads to theft of customer funds. this has at least happened in bsm mid-2014-2015, which involved two bsm employees with a loss from this case of rp50 billion. two employees are bsm marketing manager, gatot subroto branch and bsm trade specialist, officer.11 in connection with these cases, researchers have to study and examine further the role or existence of ssb in the development and progress of islamic banking institutions in indonesia. so that researchers are interested in examining more deeply through a paper entitled "optimizing the performance of the sharia supervisory board in islamic financial institutions". the problems raised in this study are; what is the scope of ssb supervision in islamic financial institutions? what is the mechanism for the supervisory and work functions by dps in islamic financial institutions? research methode the methodology that will be used in this research is normative legal research, namely, research conducted on legal principles, legal principles in terms 10 pusat pelaporan dan analisis transaksi keuangan, “pembobolan bank dan bagaimana penjahat kerah putih beraksi”, diakses melalui http://www.ppatk.go.id/siaran_pers/read/796/pembobolan-bank-dan bagaimana-penjahatkerah-putih-beraksi.html, accessed on 23 june 2020, 19.40 11 bagya agung prabowo dan jasri bin jamal, op cit, p. 117. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 70 cl jp jp jp jp of values (norms), concrete legal regulations and legal systems. with the statute approach, namely, by examining laws and regulations that are relevant to the object of research being discussed, and the conceptual approach, namely, an approach based on the opinion of experts, if no law regulates it. the data used are secondary legal data in the form of primary legal materials, namely the laws and regulations on islamic banking, also using secondary legal materials in the form of literature related to islamic financial institutions and the functions of dps. the data and legal materials were collected through a literature study, then analyzed descriptively and analytically.12 to describe the object of research and answer research problems. results and discussion scope of supervision of the sharia supervisory board in sharia financial institutions scope of the sharia supervisory board the religious basis for the formation of the dps can be seen in q.s. attaubah (9): 105. meaning: and say: "work you, then allah and his messenger and the believers will see your work, and you will be returned to (allah) who knows the unseen and the real, then he will tell you what is you have done”. islamic banking refers to the banking system, which is consistent and compliant with islamic law, also known as sharia (divine rules). complying with sharia or obeying sharia means strictly obeying what is permitted (halal) or staying away from what is prohibited (haram). to convince the stakeholders of a sharia bank that the bank conducts its business in sharia, a religious board service consisting of sharia scholars known as the sharia council is employed.13 12 kornelius benuf, muhamad azhar, “metodologi penelitian hukum sebagai instrumen mengurai permasalahan hukum kontemporer”, gema keadilan, vol. 7, no. 1, 2020, p. 25. 13 ali said, rihab grassa, “the determinants of sukuk market development: does macroeconomic factors influence the construction of certain structure of sukuk?”, journal of applied finance & banking, vol. 3, no. 5, 2013, p. 256. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 71 cl jp jp jp jp dps, which is typical for islamic banks is considered a major component of the islamic governance framework 14. dps exists alongside the usual governance structure, but its function is primarily to certify and monitor islamic banking financial contracts, transactions and activities on behalf of stakeholders and clients to ensure that they comply with sharia.15 according to the islamic financial service board (ifsb), sharia governance refers to a set of institutional and organizational arrangements in which islamic financial institutions ensure that “there is effective independent oversight of sharia compliance with the issuance of relevant sharia statements, dissemination of information and reviews of internal sharia compliance”.16 in line with the ifsb guidelines, the supervisory and governance structure at islamic bank is expected to include an ssb consisting of qualified scholars in fiqh al muamalat. they are appointed by shareholders and report to the board of directors, with responsibility for certification. and monitor financial contracts, transactions and activities of islamic banks on behalf of stakeholders and clients to ensure that they comply with sharia; an internal sharia review process, which is carried out by an independent department to monitor, evaluate and produce reports on sharia compliance; and; periodic sharia review covering policies and transactions, which form the basis of the sharia supervisory board report. dps is mandated to research and supervise the legality of islamic bank operations so that it is always by sharia principles.17 dps is "an independent body placed by the national syari'ah council (dsn) in syari'ah banking and financial institutions. members of dps must consist of 14 aldira maradita, “karakteristik good corporate governance pada bank syariah dan bank konvensional”, yuridika , vol. 29 no 2, 2014, p. 195. 15 bhartesh ramprakash kasi dan najdat mahmood, “composition and working of the sharia supervisory boards in bahrain’s islamic banks”, economy, vol. 6, no. 2, 2019, p. 77. 16 evony silvino violita, gustining handarbeni, “analisis efektivitas dan tinjauan audit syariah dalam pelaksanaan dan pengawasan kepatuhan syariah pada bank syariah”, jrb-jurnal riset bisnis, vol. 1, no. 1, 2017, p. 48. 17 muhammad ayub, understanding islamic finance, diterjemahkan oleh aditya wisnu pribadi, pt gramedia pustaka utama, jakarta, 2009, p. 52. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 72 cl jp jp jp jp experts in the field of syari'ah muamalah who also know about banking economics".18 "dps is an extension of the national sharia board which is given the task and authority to oversee bank operations and sharia financing products, the concept adopted by malaysia is possible to apply in indonesia, to strengthen the authority for sharia compliance. unlike malaysia in indonesia, the position of ssb is an internal organ that is parallel to the board of commissioners in a sharia bank ”.19 the legal basis for dps in indonesia is regulated in "law number 21 of 2008 concerning sharia banking", from now on referred to as the sharia banking law, specifically regarding dps is regulated in article 32. article a quo stipulates that "the determination of dps members is carried out by the general meeting of shareholders ( gms) after dps members receive a recommendation from the national sharia council (dsn). dsn is an autonomous body of the indonesian ulema council (mui) which is chaired ex officio by the chairman of the mui. to carry out the daily work, the dsn daily executing body was appointed. "dps must conduct a sharia review to check the extent to which islamic bank activities are by sharia principles. so, dps can ensure that islamic banks are in line with sharia principles as reflected in the fatwas, rules and guidelines issued by dps. therefore dps has made a major contribution to the success of the islamic banking industry as it has succeeded in gaining shareholder and public trust in islamic bank compliance. in sharia".20 the first government regulation regarding dps is in government regulation no.72 of 1992, which explains that a bank operating under sharia principles is required to have a dps in charge of providing supervision of its products to run according to sharia. to maximize the supervisory role by dps, mui formed a national sharia council which deals explicitly with islamic finance issues 18 fitra nelli, op.cit, p. 88. 19 taufik kurrohman, op cit, p. 54. 20 fitra nelli, op. cit, p. 87. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 73 cl jp jp jp jp in indonesia with the dsn-mui decree number: 03 of 2000 concerning guidelines for determining dps members. the legal status of dps is contained in law no. 21 of 2008 concerning syari'ah banking, chapter v third part, article 32 of the islamic banking council states: 1. dps must be established in sharia banks and conventional commercial banks having sharia business units (uus). 2. dps, as referred to in paragraph (1), shall be appointed by the general meeting of shareholders on the recommendation of the indonesian ulema council 3. dps, as referred to in paragraph (1), is in charge of providing advice and suggestions to the board of directors as well as supervising bank activities by sharia principles. 4. further provisions concerning the establishment of dps as referred to in paragraph (1) are regulated by a bank indonesia regulation. "regarding the mechanism for the appointment and implementation of duties and responsibilities of the sharia supervisory board for sharia commercial banks, it is contained in bank indonesia regulation number 11/03/2009 concerning article 35 sharia commercial banks which reads": (1) dps has the duty and responsibility of providing advice and suggestions to the board of directors as well as supervising bank activities to comply with sharia principles. (2) the implementation of dps duties and responsibilities as referred to in paragraph (1) includes, among others: a) assess and ensure compliance with sharia principles on operational guidelines and products issued by the bank; b) supervise the bank's new product development process; jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 74 cl jp jp jp jp c) requesting a fatwa from the national sharia board for new bank products for which there is no fatwa; d) conduct regular reviews on the fulfilment of sharia principles on the mechanism for raising funds and channelling funds as well as bank services, and e) request data and information related to sharia aspects from the bank's work units in the context of carrying out their duties. meanwhile, uus is clarified by regulations. according to andi prabowo, there are three reasons why the syari'ah supervisory board has an important role in syari'ah banks, namely;21 determining the level of credibility of a shari'ah bank, being the main element in creating shari'a compliance assurance, and being one of the main pillars in implementing good corporate governance (gcg) of a shari'ah bank. to see the scope of supervision of ssb, it can also go through the sharia supervisory board structure in indonesia, as follows; 22 1) ssb in the corporate structure is at the same level as the function of commissioners as supervisors of the board of directors.\ 2) if the function of the commissioner is the supervisor in terms of management performance, ssb shall supervise management, about the implementation of the system and products so that they are by islamic sharia. 3) responsible for the moral development of all employees based on the islamic guidance system that has been programmed annually. 4) participate in monitoring violations of islamic values within the company. 21 ikhsan al hakim, “penyelesaian sengketa ekonomi syariah di pengadilan agama”, pandecta jurnal ilmu hukum, vol. 9, no. 2, 2014, p. 271. 22 rahma yudi astuti, “analisa kinerja dewan pengawas syariah di bank syariah”, al-tijarah, vol. 1, no. 2, 2015, p. 204. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 75 cl jp jp jp jp 5) responsible for new employee sharia selection conducted by the sharia bureau. responsibilities of the sharia supervisory board ssb in islamic banking has a significant and strategic role in sharia supervision in islamic banking. dps is responsible for ensuring all products and procedures of islamic banks comply with sharia principles. due to its essential role in ssb, the two laws in indonesia include the need for ssb in sharia-based companies and islamic banking institutions, namely; "law no. 40 of 2007 regarding limited liability companies and law no. 21 of 2008 concerning islamic banking. therefore, juridically, ssb in banking institutions has an influential position because its presence is significant and strategic”.23 "optimizing the role of ssb is very important to ensure every transaction is by sharia principles that refer to the al-qur'an and sunnah, in this case, the fatwa of the national sharia council of the indonesian ulama council. the basic guidelines for the dsn mui chapter iv paragraph (2) state that the mui dsn issues a fatwa that binds the dps in every islamic financial institution and becomes the basis for the parties to take related legal actions, namely based on the fatwa issued by the mui dsn referred to by the dps. dsn is the only body that has the authority to issue sharia fatwas on types of islamic financial activities, products and services, as well as to oversee the implementation of the fatwa referred to by financial institutions in indonesia. also, the role of ssb and dsn is not only to supervise the operations of islamic financial institutions but also to have a bigger role, namely to support the growth and development of islamic finance and economy in indonesia."24 the existence of dps as mentioned in article 32 of law no. 21 of 2008, in principle, ssb should be established in islamic banks and conventional banks that 23 bagya agung prabowo dan jasri bin jamal, op. cit, p. 118. 24 ibid, p. 119. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 76 cl jp jp jp jp have sharia business units, they are appointed by the general meeting of shareholders on the recommendation of the indonesian ulema council. ssb is assigned to provide advice to directors and supervise bank activities to comply with sharia principles.25 "under this regulation, it is clear that the dps position is strong and largely determines the development of islamic banks and islamic business units". dps based on aaoifi (accounting and auditing organization of islamic financial institutions) has provided standards for dps, composition, and related aspects such as regulations, reports and so on. "according to this standard, a sharia institution must be a free institution consisting of scholars related to science and islamic law. ssb can also consist of other experts in the field of islamic financial institutions with the scientific knowledge of islamic law related to commercial transactions. ssb is entrusted with the task of directing, researching and supervising the activities of islamic financial institutions to ensure that it complies with sharia regulations and principles."26 the mechanism of the supervisory and work functions by the sharia supervisory board in sharia financial institutions functions and roles of the sharia supervisory board aaoifi defines "dps as an independent institution or specialized legal expert in fiqh muamalat. however, members of the dps can be apart from fiqh experts, but have expertise in islamic financial institutions and muamalah fiqh. ssb financial institutions are required to direct, review, and supervise the financial activities of the institutions so that it can be ensured that financial institutions comply with the rules and principles of islamic sharia. the function of dps is to study and make recommendations for new products from the bank or islamic 25 loc. cit. 26 ibid, p. 120. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 77 cl jp jp jp jp financial institution that it supervises. so, dps serves as the first filter before the product is reviewed and has a fatwa issued by the national sharia board."27 aaoifi has provided standards for dps, composition and related aspects such as rules, reports, and so on. according to this standard, islamic finance is an independent institution consisting of scholars related to science and islamic law. ssb may also consist of other experts in the field of islamic financial institutions with knowledge of islamic jurisprudence related to commercial transactions. ssb is mandated to direct, observe, and supervise the activities carried out by islamic financial institutions to ensure that the supervised institutions comply with sharia rules and principles. to implement islamic financial institutions (lks) in the sharia route, their activities are always supervised by dps.28 the status of dps exists in every lks organizational structure, thus making lks different from conventional financial institutions. dps is responsible for ensuring that all lks products and activities comply with sharia principles. dps is believed to ensure that lks adhere to islamic rules and principles.29 based on the mui dsn decree no. kep-98 / mui / iii / 2001 concerning the management of the national sharia council indonesian ulema council (dsn-mui) for the period of 2000-2005 that the national sharia council (dsn) the roles of dps include : a) conduct periodic supervision on islamic financial institutions; b) submit proposals for the development of sharia financial institutions to the management of the institution concerned and to the national sharia council (dsn); 27 farida ismi trihapsari dan burhanudin harahap, “sharia supervisory board (dps)’s supervision on sharia micro financial institution of baitul maal wat tamwil (bmt) in sukoharjo regency”, international journal of business, economics and law, vol. 18, no. 5, 2019, p. 53. 28 warkum sumitro, asas-asas perbankan islam dan lembaga-lembaga terkait,rajagrafindo persada, jakarta, 2004, p. 18. 29 suryani, “industri perbankan syariah dalam cerminan aspek sharia governance”, jurnal ecomomica, vol.5, no. 1, 2014, p. 104. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 78 cl jp jp jp jp c) report the development of products and operations of sharia financial institutions that it supervises to the national sharia board (dsn) at least 2 (two) times in 1 (one) fiscal year; and d) summing up issues that require discussion with the national sharia council (dsn). meanwhile, according to the decision of the national sharia council indonesian ulema council (dsn-mui) number 03 of 2000, the special duties of dps are: a) confirming that zakat funds are calculated correctly, reported transparently and distributed evenly to zakat recipients; b) responsible for conveying an opinion that islamic banks have played their social role in society or not; c) researching and making recommendations about new products from the banks under supervision; d) acting as the first filter on a product before being examined and challenged by the national sharia council (dsn); and e) make periodic statements that the bank under supervision is running by sharia regulations. this statement is then published in the relevant bank's annual report. regarding the duties of dps, it is explained in article 47, namely: a) provide advice and suggestions to the board of directors and supervise bank activities in accordance with the principles of syari'ah. b) duties which include, among others: 1) assess and ensure compliance with the sharia principles of operational guidelines and products issued by the bank. 2) overseeing the bank's new product development process. 3) requesting a fatwa from dsn-mui for new bank products for which there is no fatwa jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 79 cl jp jp jp jp 4) conduct regular reviews on compliance with the principles of syari'ah on the mechanism for raising funds and channeling funds as well as bank services. 5) requesting data and information related to syari'ah aspects from bank work units in the context of carrying out their duties ”. 6) submit reports on the results of dps supervision on a semi-annual basis. then regarding the obligations of dps, regulated in article 48 and article 49, namely ": provide sufficient time to carry out their duties and responsibilities optimally, ssb meetings must be held at least once a month, dps meeting decisions are made based on deliberation to reach consensus and are written in the minutes of the meeting and well documented, the minutes of the meeting can be included in the setting opinion (if any). in addition to obligations, there are rights that must be fulfilled by dps, namely: a) access data and information as well as clarification to management. b) call and hold the related management accountable. c) issue a syari'ah opinion or other form of decision. d) receive rewards and facilities. thus it can be concluded that the duties and functions of the sharia supervisory board (dps) are: "the main task of dps is to supervise the business activities of islamic financial institutions in order to comply with the provisions and principles of sharia that have been written by the dsn". the main functions of dps are: a. as advisors and advisers to the board of directors, sharia business unit leaders and sharia branch office heads on matters related to sharia aspects. b. as a mediator between islamic financial institutions and dsn in communicating proposals and suggestions for product and service jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 80 cl jp jp jp jp development from islamic financial institutions that require studies and fatwas from the dsn ":30 primary duties, to supervise bank business activities to comply with the provisions and principles of sharia, referring to the dsn-mui fatwa or the complications of sharia economic law (khes). work duties at the bank, dps daily work policy line follows the dsn fatwa, which is the highest authority in issuing fatwas regarding the suitability of bank products and services with the provisions of sharia principles. on the other hand, "the role of the ulama in encouraging economic and financial growth and development of society is vital. informal institutions such as the dps and dsn, the role of ulama is demanded to be more dynamic and proactive by referring to existing regulations. the role of dps and dsn is not only to oversee the operations of shari'ah financial institutions but to have an even more significant role, namely to contribute to the growth and development of syariah financial and economic development in indonesia. apart from being a supervisor, the syari'ah supervisory board also plays a role:”31 a) advisor, which provides advice, inspiration, thoughts, suggestions and consultations for the development of innovative products and services for global competition. b) marketer, which is to become a strategic partner to increase the quantity and quality of the islamic financial institution (lks) industry through mass communication to provide motivation, explanation and public education as a preparation for human resources, socialization, community & networking building and other strategic roles in the form of social relations ( public relationship). 30 dahlan, ahmad, bank syariah teoritik, praktik, kritik, yogyakarta, kalimedia, 2018, p. 209. 31 fitra nelli, op. cit, p. 91. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 81 cl jp jp jp jp c) supporters, namely providers of various supports and supports both networking, thoughts, motivation, prayers and others for the development of banking and the shari'ah economy. d) player, namely as a player and actor of the shari'ah economy either as the owner, manager, depository customer/investor or channelling and financing partner/customer. "paying attention to the role of ssb according to aaoifi and dsn-mui, the role of dps in implementing the principles of good corporate governance (gcg) in islamic banks is as follows": 1) directing, namely providing direction, thoughts, suggestions, and advice to the board of directors of a sharia bank regarding matters related to the aspects of sharia. 2) reviewing, namely observing, examining, reviewing, and assessing the implementation of the dsn fatwa in islamic bank operations. 3) supervising, namely, carrying out supervisory duties both actively and passively on implementing the dsn fatwa on islamic bank operations. 4) marketing, namely conducting socialization and education to the public about islamic banking through media already running in the community, such as sermons, majelis ta'lim, pengajian-pengajian. "the implementation of gcg in islamic banks is based on five principles: transparency, accountability, responsibility, professionalism, and fairness. to apply these five principles, islamic banks must comply with islamic principles. therefore, the role of ssb in implementing gcg is vital, namely monitoring and ensuring that a sharia bank in its operations is by sharia principles.32 the sharia supervisory board in the company structure is at the same level as the function of the 32 ismail, perbankan syariah, cetakan kedua, kencana prenada media group, jakarta, 2013, p. 23. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 82 cl jp jp jp jp commissioner as the supervisor of the board of directors. as for the authority, namely:33 1) supervise management about the implementation of systems and products so that they are by islamic law 2) responsible for building the morals of all employees based on the islamic coaching system that has been programmed every year. 3) monitor violations of islamic values within the company. 4) responsible for the sharia selection of new employees carried out by the sharia bureau. sharia supervisory board working mechanism the working mechanism of the sharia supervisory board (dps) is:34 1) the sharia supervisory board conducts periodic supervision of islamic financial institutions under its supervision. 2) the sharia supervisory board is obliged to submit proposals for developing sharia financial institutions to the leadership of the institution concerned and the national sharia council. 3) the sharia supervisory board reports the development of products and operations of the sharia financial institutions that it supervises to the national sharia board at least twice and for one fiscal year. 4) the sharia supervisory board formulates problems that require discussion of the national sharia council. in order for dps and dsn to have an optimal and significant role, according to agustianto, there are at least five important things that must be of mutual concern:35 33 abdullah amrin, asuransi syariah: keberadaan dan kelebihannya di tengah asuransi konvensional, cet.1, pt elex media komputindo, jakarta, 2016, p. 230. 34 muhammad, bank syariah analisis kekuatan, peluang, kelemahan dan ancaman,cetakan pertama, ekonosia, yogyakarta, 2006, p. 14 35 ibid, p. 93. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 83 cl jp jp jp jp (1)"mui determines the expertise classification of parties who can be appointed as members of the dsn or dps. as in sudan, abdallah (1994) states that members of the department of fatwa and research (dfr) and the higher sharia supervisory board (hssb) are people who have expertise in the fields of sharia (islamic jurisprudence), law and economics (accounting) ". (2) "bank indonesia has issued a 2010 pbi (bank indonesia regulation) concerning good corporate governance for islamic commercial banks and uus. one of its contents is to regulate the role and position of the sharia supervisory board. according to the pbi, a sharia bank consultant cannot become a sharia supervisory board; this is aimed at creating a fair relationship pattern between the consultant, ssb, and islamic banks". "it's an unfair step; if a syari'ah bank consultant is also a dps, then the automatic consultant product proposal will be accepted by the dps because the dps is the consultant itself. this, of course, will raise public doubts about the independence of dsn itself, even though the actual working mechanism between dsn and dps is separate and different". (3) "the post-pbi supervision model on the gcg of islamic banks is active and productive. in this supervisory model, dps is carried out by a syari'ah department in a syari'ah banking. under this model, sharia experts are on duty full time, supported by technical staff who form the sharia supervisory tasks outlined by the department's sharia experts. if this model is implemented functionally, ssc tasks as desired by dsn can be realized. if dps violates pbi and has been reminded three times, then for ten years, that person cannot become dps". (4) "the position of dps should be equal to that of the commissioners so that its role and position are powerful. this provision should be included in the shari'ah banking law. if the syari'ah supervisory board is separated from bank indonesia / the financial services authority, then. as a result, they work in this supervision, only part-time. whereas islam demands professionalism and seriousness in every job, including in supervision". jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 84 cl jp jp jp jp (5) "there have been many suggestions from local leaders so that syari'ah banks have dps in the regions. this is in line with the expanding syari'ah banking branch offices to various provinces, even districts/cities. the suggestion is positive and needs to be supported so that the implementation of syari'ah principles is more secure in the regions". "based on the discussion as mentioned above, the role and function of ssb in islamic banking are vital, including providing direction, thoughts, suggestions, and advice to the board of directors of islamic banks on matters related to aspects of sharia. observe, examine, review, and assess the implementation of the dsn fatwa in islamic bank operations. carry out supervisory duties both actively and passively on implementing the dsn fatwa in islamic bank operations. to disseminate and educate the public about islamic banking through media that are already running in the community, such as sermons, majelis ta'lim, recitation-recitation."36 "there are still many shortcomings in the implementation of the roles and functions of dps. as is the case above, dps supervision is weak because the dps does not supervise banking operations daily. as a result, there is a fundamental error: the loss of values from islamic banking products. it also required dps human resources (hr) who understand the world of economics, finance, and accounting in addition to the science of religion and muamalah fiqh. finally, the most important thing is the independence of dps from islamic banking itself. dsn-mui, as an independent institution responsible for sharia banking, should be in charge of dps as part of the form of dsn supervision of islamic banking operations."37 due to a lack of decisiveness and weak supervision of the dps, fraud was committed by several bank syariah mandiri individuals, resulting in losses for customers and customers' distrust of saving at bank syariah mandiri. thus, based on the duties, functions, and authorities of the dps, ideally, dps can optimally 36 ibid, p. 94. 37 warkum sumitro, asas-asas perbankan islam dan lembaga-lembaga terkait,rajagrafindo persada, jakarta, 2004, p. 18. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 85 cl jp jp jp jp overcome the non-validity of shari'ah principles in syari'ah banking and overcome the possibility of unfair transactions in syari'ah banking. however, for ssb to carry out its duties effectively and by the mandate assigned to it, according to the author, ssc must be genuinely independent. this means that the ssb and the bank under supervision may not have a relationship, which means that ssb may not work independently. so far, the salaries and work facilities of the dps are covered and paid by the shari'ah bank where the dps is located. this, presumably, could make ssb work less professionally; even worse, dps might be intervened by the bank.38 the risk of non-compliance with sharia has severe consequences for islamic banks and the industry, hence requiring adequate supervision and a sharia governance framework. over the past two decades, efforts have been made in several countries to develop sharia governance frameworks for islamic banks, in line with the standards and guidelines issued by two international standard-setting bodies, the accounting and auditing organization for islamic financial institutions (aaoifi), are headquartered in bahrain and the islamic financial standards board (ifsb), headquartered in malaysia.39 mujahidin said that the tools needed in the framework of bank supervision and control, namely:40 internal control system (spi), risk management function, regulations for increasing information disclosure, appropriate accounting systems, sharia satisfaction assurance mechanisms, and internal audit (financial health and sharia compliance). "the weak role and function of the sharia supervisory board (dps) is not only due to the independence of dps, but regulations regarding sanctions imposed on sharia banks that violate sharia provisions are not strictly enforced so that islamic 38 edy mulyanto, “perjanjian leasing dan ijarah suatu kajian komparatif kitab undang-undang hukum perdata dan hukum islam”, jurnal surya kencana satu : dinamika masalah hukum dan keadilan, vol. 10 no. 2 oktober 2018, p. 37. 39 bhartesh ramprakash kasi and najdat mahmood, op. cit, p. 77. 40 mujahidin, akhmad, hukum perbankan syariah. jakarta, pt rajagrafindo persada, 2016, p. 167. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 86 cl jp jp jp jp banks that violate sharia provisions only receive public moral sanctions that do not. it can be measured. however, violations of sharia compliance can reduce public confidence in islamic banks. in implementing sharia compliance, it must also be oriented towards achieving actualized islamic maqasid values to educate individuals, upholding justice, and benefit. this achievement can be realized if islamic banking regulations support the establishment of a favorable climate for the achievement of a socially just economy, by the economic ideals of pancasila."41 sri edi swasono explained "the concept of sharia economics which is oriented towards the values of pancasila, he explains that the sharia economy is thus in line with the state constitution in fighting for islamic values and the compatibility of islamic economics with the pancasila economy." in the effort to build only islamic banks, then usury is only viewed in terms of banking interest only42. "ribawi economic life thrives in a broadly exploitative economic system, which allows for a systemic trade-off for the poor and the weak which is subordinated and discriminated against, allowing brutalizes laissez-faire in a broad sense, which they ignore—weakened by the euphoria in developing islamic banks, without paying attention to the need for a usurious economic system restructuring and reconstruction. "43 efforts that can be made to optimize the role of the sharia supervisory board (dps) in islamic banks are, first, by establishing institutional independence of the sharia compliance authority; second, enforce clear sanctions for violations of sharia compliance by making clear and measurable regulations; third, strict selection of dps members. conclusions 41 adrian sutedi, “pasar modal syariah: sarana investasi keuangan berdasarkan prinsip syariah”, sinar grafika, jakarta, 2011, p. 68. 42 khotibul umam, “pelarangan riba dan penerapan prinsip syariah dalam sistem hukum perbankan di indonesia”, mimbar hukum, vol. 29, no. 3, 2017, p. 298. 43 heri sudarsono, bank dan lembaga keuangan syariah deskripsi dan ilustrasi, cetakan keempat, yogyakarta, ekonisia, 2007, p. 41. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 87 cl jp jp jp jp dps has two tasks that serve as benchmarks for the existence of its supervision of sharia business units in indonesia. the task is any other way; the main task of dps is to "supervise bank business activities by the provisions and principles of sharia, referring to the dsn-mui fatwa or the complications of sharia economic law (khes). other dps duties are job duties at the bank. namely, dps daily work policy line following the dsn fatwa, which is the highest authority in issuing fatwas regarding the suitability of bank products and services with the provisions of sharia principles. dps as an extension of the dsn has also contributed to the growth and development of islamic economics and finance in indonesia. problems that occur in sharia banks are the result of carelessness and indecisiveness in dps members so that it makes it difficult for prospective customers to believe in islamic financial institutions. suggestion it is necessary to optimize the role of "ssb in islamic banks, namely, first, by establishing institutional independence of sharia compliance authorities; second, enforcing clear sanctions for violations of sharia compliance by making clear and measurable regulations; third, strict selection of dps members". bibliography books abdullah amrin, asuransi syariah: keberadaan dan kelebihannya di tengah asuransi konvensional, cet.1, pt elex media komputindo, jakarta, 2016. adrian sutedi, pasar modal syariah: sarana investasi keuangan berdasarkan prinsip syariah, sinar grafika, jakarta, 2011. dahlan, ahmad, bank syariah teoritik, praktik, kritik, kalimedia, yogyakarta, 2018. heri sudarsono, bank dan lembaga keuangan syariah deskripsi dan ilustrasi,cetakan keempat, ekonisia, yogyakarta, 2007. ismail, perbankan syariah, cetakan kedua, kencana prenada media group, jakarta, 2013. muhammad ayub, understanding islamic finance, diterjemahkan oleh aditya wisnu pribadi, pt gramedia pustaka utama, jakarta, 2009. jpcl 4(2) (2020) 66-89 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 88 cl jp jp jp jp muhammad, bank syariah 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the gorontalo district national land agency service in the implementation of the systematic complete land registration program (ptsl) widya fuspa ningrum rauf1 1faculty of law, universitas negeri semarang, indonesia received april 8 2019, accepted july 1 2019, published may 30 2020 doi 10.15294/jpcl.v4i1.24246 abstract the purpose of complete systematic land registration (ptsl) is to accelerate the provision of legal certainty and legal protection of community land rights in a certain, simple, fast, smooth, safe, fair, equitable and open manner and accountable, so as to improve the welfare and prosperity of the community and the country’s economy in gorontalo district. the formulation of the issues raised by this problem are (1). how is the role of the national land agency kab. gorontalo in the implementation of the systematic complete land registration program (ptsl) (2). what are the obstacles faced by the gorontalo district land office in implementing the systematic complete land registration program (ptsl) in gorontalo district and the solution to overcome these obstacles. this study uses a research approach that is empirical juridical to analyze various laws and regulations related to the role of gorontalo district land office in an effort to improve land rights. and to analyze the law which is seen as a behavior of people who are patterned in the lives of people who always interact and relate in social aspects. the results of this study conclude that in the implementation of this complete systematic land registration carried out by the gorontalo district national land agency, it has been implemented well in accordance with the targets that have been targeted by the central government, although there are some obstacles found in the field in the framework of accelerating the implementation of the systematic land registration program complete (ptsl). keyword: ptsl, legal certainty & legal protection, role of land agency introduction land is the surface of the earth which is a place where humans live and develop and find sources of living up to as a place to dwell when passing away to grace. g. kartasaputra stated the importance of the meaning of land for human life because humans are absolutely inseparable from the land.1 thus the importance of land for human life, so it is not surprising that every human being wants to own or master it, which results in land problems, which often lead to disputes. in 2017 based on the regulation of the minister of agrarian affairs and spatial planning / head of the national land agency of the republic of indonesia number 1 of 2017, a comprehensive system for the implementation of systematic land registration (ptsl) was compiled, an activity organized by the government in the field of land in general and in the field of land registration in particular. , in the form of land certification which is carried out simultaneously simultaneously (in bulk) and the settlement of land disputes that are of a strategic nature.2 1 g. kartasaputra, land law guarantees for the success of land utilization, pt. raja grafindo persada, jakarta, 1991, p. 9 2 humas atr / bpn together with the ministry of communication and informatics communication team p-issn 2599-0314 e-issn 2599-0306* e-mail : widyapuspa842@gmail.com address : faculty of law, universitas negeri semarang, central java indonesia, 50229 jp cl widya fuspa ningrum rauf , the role of the gorontalo district national land agency service ...2 complete systematic land registration hereinafter abbreviated as ptsl as formulated in article 1 number (2) of the regulation of the minister of agrarian affairs and spatial planning / head of the national land agency number 12 of 2017 is the first time land registration activity carried out simultaneously for all objects of land registration throughout territory of the republic of indonesia in a village or kelurahan or other similar name, which includes the collection and determination of physical and juridical data regarding one or several land registration objects for the purpose of registration. ptsl (systematic land registration complete) is a land registration activity that is carried out simultaneously for the first time which includes all land registration objects that have not been registered in one village / kelurahan or other equivalent name, and also includes mapping of all land registration objects. the purpose of a complete systematic land registration (ptsl) is to accelerate the provision of legal certainty and legal protection of community land rights in a certain, simple, fast, smooth, safe, fair, equitable and open manner and accountable, so as to improve the welfare and prosperity of the community and the country’s economy , and prevent land disputes and conflicts . the complete systematic land registration activity in gorontalo district was the first time carried out, bearing in mind that many communities in gorontalo district had not registered their land rights. complete systematic land registration activity is an agenda that has been set by the gorontalo district land office to help the community register their land rights. gorontalo regency as one of the developing districts in gorontalo province, it is important that every inch of land has a legal certainty to minimize the potential for conflict as the district develops. however, not all communities have knowledge of how to register land, how to obtain certificates, and how the national land agency processes applications for land certificates. in addition to the matter of land certification, there are still many people who do not understand how to process land registration in a complete systematic way. even though the community has the opportunity for legal guarantees on their land through a systematic registration process. the large number of uncertified lands in the gorontalo district area and the difficulty in administering administration makes many people reluctant to take care of their land administration. the implementation of the government program through complete systematic land registration (ptsl) is a step forward for the land office in facilitating the management of certificates for communities in the special area in gorontalo regency. the existence of various complaints from the community in this case is still a lack of quality services provided by bureaucratic apparatuses that have not been implemented properly such as with delays and far from the expectations of the community in terms of service of course. thus making it a challenge for the bureaucracy to be able to provide the best service in implementing a quality public service improvement strategy in accordance with what is desired by the community. the national land agency is the authority in the field of land, especially issues of land administration in land registration. the national land agency is the executor of the complete systematic land registration program, so the national land agency is the spearhead of the full systematic land registration program. in gorontalo regency gorontalo province kec. boliyohuto which has an area of 126,483 km2. with a total of 13 villages bordering kec. mootolilango which has an area of 10,000 m with a total of 10 villages. communities and national land agency parties often experience difficulties in carrying out a complete systematic land registration program because there are some problems found, such as problems obtained, for example there are some people who are reluctant to certify their land due to lack of legal awareness even though the land party has come from their homes and from village villages. although the gorontalo district land agency has offered the program, the community is reluctant to take an interest. later, it was found that there were village officials who did not respond well to this program, even though the community was enthusiastic in participating in the ptsl program and there were also village officials who made tariff withdrawals that were not in accordance with the decree of the three ministers and then were constrained again by the community who objected to the costs that might arise. for the purchase of iron stakes and bphtb payments if imposed. the obstacle in the gorontalo district land agency itself is the lack of resources and finally the 3journal of private and commercial law 4(1) (2020) 1-13 gorontalo district land agency is in trouble. because the target of complete systematic land registration is many times that of routine work. because besides running the systematic complete land registration program, land parties also have routine work that cannot be left behind because the applicant community and the land party cannot leave the service, finally high volume of work limited so that the land party is chasing targets and time. these are some of the main obstacles of the various types of obstacles that need to be considered in running the gorontalo district national land agency service as the implementer of the ptsl program for the sustainability of the creation of orderly land administration in gorontalo district. in realizing better service to society and getting answers from satisfaction and trust of the community towards the performance of the bureaucracy in public services which incidentally has received an unsatisfactory image from the various communities who take care of services both licensing and non-licensing services. coupled with the presence of several parties or individuals who in this case took advantage in the end formed a number of apathetic public opinions on the land certification service. so from the point of view of the existing problems, especially in the gorontalo district area prospective researchers who will do later are more interested in appointing according to the title “role of the national land agency district. gorontalo in the implementation of the systematic complete land registration program (ptsl). with current problems, i.e. problem formulation namely 1. how is the role of the national land agency kab. gorontalo in the implementation of the systematic complete land registration program (ptsl) .2. what are the obstacles faced by the gorontalo district land office in implementing the systematic complete land registration (ptsl) program in gorontalo regency and the solution to overcome these obstacles. research method juridical empirical research methods the research method is a way to do something using the mind carefully to achieve a goal by searching, recording, formulating, and analyzing to compile reports. the term methodology comes from the word method which means way, 3 h owever, according to custom the method is formulated with the possibilities of a type used in research and assessment.4 research or research is a scientific activity that is systematic, directed and aimed. therefore, data or information collected in research must be relevant to the problem at hand. that is, the data are related, familiar and appropriate.5 so research is a very unique thing that is done by researchers in conducting research. in this study using empirical research. because the title raised refers to the role of the gorontalo district national land agency service in the implementation of the systematic complete land registration program (ptsl). the research method is a method used in gathering research data and comparing with predetermined size standards.6 in this case the researcher uses several appropriate research tools in this research method in order to obtain maximum results and procedures for solving a problem, while research is examining carefully, diligently and thoroughly of a symptom to increase human knowledge, the research method can interpreted as a process of principles and procedures for solving problems encountered in conducting research. 7in an effort to achieve the objectives in this study, the research methods that researchers use, namely; the method of approach to the problem the problem approach method used in discussing the problem of this research is the empirical juridical approach method. juridical approach, used to analyze various laws and regulations related to the role of gorontalo district national land agency in the implementation of a systematic complete land registration program (ptsl) in improving land rights. while the empirical approach is used to analyze the law which is seen as a behavior of people who are patterned in the lives of people who always interact 3 cholid narbuko and abu achmadi, research methodology, (jakarta: pt. bumi aksara, 2003), p.1 4 soerjono soekanto, introduction to legal research, (jakarta: universitas indonesia press, 2012), p. 5 5 kartini kartono in marzuki. research methodology (yogyakarta: uii press, t.t). thing. 55 6 suharsimi arikunto. research procedure a practice approach (jakarta: rineka cipta, 2002), p. 126 7 soejono soekanto, introduction to research, (jakarta: ui press, 1986). p 6 widya fuspa ningrum rauf , the role of the gorontalo district national land agency service ...4 and relate to social aspects. thus the empirical juridical approach is a method of legal research that seeks to see the law in the real sense or it can be said to see, examine, how law works in the community.8 results and discussion the role of the national land agency kab. gorontalo in the systematic implementation of complete land registration program (ptsl) land registration throughout the territory of the republic of indonesia is held by the government of indonesia, within the framework of legal relations between subjects and objects of parcels of land. to ensure legal certainty by the government, land registration is carried out throughout the territory of the republic of indonesia in accordance with the regulations governing the government. this is in article 19 paragraph (1) of the loga. the organizer of this land registration is an instruction given to the government, in terms of this is the national land agency, which is implemented at the land office.9 implementation of the complete systematic land registration program, in the context of efficient and effective implementation of its activities, requires the role of the national land agency and the land office. as stipulated in article 6 of the regulation of the minister of agrarian and spatial planning / head of the national land affairs agency no. 6 of 2018, to implement the location of ptsl target distribution, the head of the land office determines these locations in several villages / sub-districts and / or districts, and for the head of regional office of the national land agency its location in several districts / cities in one province. the government through the ministry of atr / bpn which has the authority to register land has sought to accelerate land registration with various programs / projects with all its limitations. pre-existing programs or projects such as land registration acceleration through the land administration (pap) project, land management and policy development project (lmpdp) or adjudication project, larasita, and the national agrarian program (prona) have not been able to reach the target of land registration throughout indonesia .10 the results of the interview with the chairperson of the ptsl judication program at the gorontalo district national land agency regarding what is meant by the land registration program are as follows:11 “the land registration program, namely registering lands in indonesia that have not yet been registered, so in fact like this in the land area there is a possibility that in the future even bodies of water can be registered, but there is no legal instrument to regulate them. because pp 24 of 1997 the registration of land only regulates the grounding only if the agrarian basic law is actually not just land but earth, water and space, namely land registration above and in three dimensions, which is not yet regulated. there is a land law we hope that everything has been worked on there, so the land registration program is registering land that has not been registered because the land must be registered, because if it is not registered, we will not know the land data. the ptsl program itself is the latest program from the government organized by the ministry of atr / office. the national land agency is targeting 126 million land parcels in indonesia to be registered and certified in 2025. then it is set out in targets of 5 million in 2017, 7 million in 2018, 9 million in 2019, and 10 million annually until 2025. to ensure legal certainty and legal protection of the ptsl program, and to reduce disputes, the ministry of atr / bpn perfects various written / legal regulations, complete and clear, human resources are enhanced, facilities and infrastructure are increased in quality and quantity, in terms of financing expanded, there was coordination between institutions outside the bpn. normatively it has been regulated in legislation regulations as a means of facilitating and accelerating the registration of land in indonesia. based on the results of interviews with the chairman of the judicial system of complete system of land registration in gorontalo district land agency as a resource, regarding the role of the land 8 soejono soekanto and sri mamudji, normative legal research a brief review (jakarta: raja grafindo persada, 2003). p. 14 9 andini, mira novana.2019. the role of the land office in complete systematic land registration activities. echoes of justice, journal edition (isnn: 0852-011). volume 6. issue 1. pg. 54 10 zano reflyanto, interview, chairperson of the land registry adjudication, gorontalo 28 december 2019 11 ibid 5journal of private and commercial law 4(1) (2020) 1-13 agency in the implementation of the systematized land registration system (ptsl), namely:12 “ptsl is a national strategic program and that plans the president because of policies to accelerate land registration. because it is indeed from the results of the analysis in the field of land in indonesia that has not been registered that is about 50% more so that it is necessary to accelerate the land so that all parcels of land in indonesia are registered. in the sense of being registered, that is, to be registered by the bpn office and the state. bpn is the agency authorized in the land sector, especially land administration issues for land registration. if the implementation is indeed from the center, it has been regulated in the rules and technical instructions in the registration, so ptsl activities are project activities not routine activities, so it has been budgeted from the apbn era. so the bpn is indeed the implementation and the registration is indeed at the bpn in this case the gorontalo district national land agency has an important role to play in this systematic complete land registry program to secure one’s rights to land and to realize land abuse and land administration which is accurate and guaranteed in other words, administration in the land sector to realize legal guarantees on someone’s land to avoid problems in the future. with the land registration program in gorontalo district already has significant results in land registration in gorontalo district, because in gorontalo district itself there are still many lands that have not yet been registered. the existence of this program has greatly assisted the community in registering land so that the community has a permanent legal force in proving their own land rights. the land has not been registered and if there is no land registration program, it is likely that land registration will be completed within 50 years or 100 years because if observed, if the community only registers their land in general they will not go through the ptsl program, it will take a very long time because only one certificate alone, for completion, it takes months or even years for the certificate to come out. this program is very helpful to the gorontalo district land agency in registering lands that have not yet been registered. gorontalo district land office through the systematic land registration program (ptsl) which has delivered 7,800 (seven thousand eight hundred) land rights certificates to villages / villages that have participated in the systematic complete land registration program. based on the research results of the authors of this program 100% well realized. the land registration program by the decree of the minister of agrarian affairs and spatial planning / head of the national land agency of the republic of indonesia number 1 of 2017, has been designated the ‘systematic complete land registration program’. this program aims to help gorontalo district communities who have not yet registered their land ownership rights to create an orderly chess of land, namely; land law, land administration, land use order and order maintenance and the environment. however, the complete systematic land registration program has not been able to resolve the overall land registration problem. gorontalo district land office in 2018 must submit and complete the target within one year and submit 7800 land rights certificates to the villages / kelurahan that are participating in the ptsl program. the low level of registration of land rights in the district of gorontalo is based on the results of a random interview of 24 people (twenty four) respondents who control land rights and who have not been certified, which are spread in three villages, namely bandung rejo, talumopatu, and helumo villages and the applicant who registered his land rights at the gorontalo district land office. from the tabulations, the following results were obtained: a. age of respondents from the results of 24 respondents by age in this study were obtained as listed in table 1. table 1. age of respondents no age class total presentation 1 32-40 11 people 45,9% 2 41-52 8 people 33,3% 3 53-60 5 people 20,8% total 24 people 100% * source: primary virgin processed in 2020 12 zano reflyanto, interview, chairperson of the land registry adjudication, gorontalo 28 december 2019 widya fuspa ningrum rauf , the role of the gorontalo district national land agency service ...6 based on table 1 above, it can be seen that the percentage of respondents’ productive age in understanding land issues is very high. from table 6 it is known that the age class of respondents is 32-40 years at 45.9%, age class 41-52 years at 33.3%, and age classes 53-60 years at 20.8%. b. education level of respondents based on the 24 respondents based on the level of education obtained from the results of this study as shown in table 2 below. table 2. educational level of respondents no level of education total achievement 1 elementary school graduates 3 people 12.5% 2 middle / junior high school graduates 4 people 16,7% 3 high school / high school graduates 7 people 29,1% 4 bachelor 10 people 41,7% total 24 people 100% * source: primary virgin processed in 2020 distribution of the types of respondents’ work as shown in table 2 above, the results obtained are respondents who graduated from elementary school by 12.5%, graduated from junior high school by 16.7%, high school graduates by 29.1 and for undergraduate education itself by 41.7%. based on the results of the table above, the highest presentation is a bachelor graduate. in this case the level of education of respondents can provide an overview of the level of public understanding of the importance of land rights registration in gorontalo district. c. respondents’ work based on the type of work of the 24 respondents in this study are listed in table 8. table 3. respondents’ work no type of work total presentage 1 government employees 8 people 33,3% 2 farmers 6 people 24,7% 3 entrepreneur 10 people 42% total 24 people 100% * source: primary virgin processed in 2020 distribution of the types of respondents’ work as shown in table 3 above, obtained from the results of respondents who worked as civil servants by 33.3%, farmers by 24.7%, wirasawta by 42%. from the level of education the respondent is connected with the type of work the respondent can find out why there are still many people who have not registered their land, this is due to the low level of education and also the type of respondent’s work that takes a lot of time during the day, so counseling about the importance of the certificate and the importance of participating in the program complete systematic land registration carried out by the gorontalo district land agency in the process of accelerating land registration is less understood by the community and also counseling is done specifically. d. how to acquire land based on how to obtain the land obtained as shown in table 4. table 4. how to acquire land no how to get it total presentage 1 buy and sell 8 people 33,3% 2 legacy 16 people 66,7% total 24 people 100% * source: primary virgin processed in 2020 7journal of private and commercial law 4(1) (2020) 1-13 distribution of answers obtained from the results of research on how to obtain land obtained based on the results of the table above is by buying and selling process by 33.3% and obtained from inheritance by 66.7%. e. level of knowledge regarding the importance of certificates based on the results of 24 respondents regarding the level of knowledge about the importance of certificates, listed in table 5. table 5. respondent’s level of knowledge on the importance of land rights certificates no knowledge level total presentage 1 urgent 15 people 62,4% 2 not too important 9 people 37,6% total 24 people 100% * source: primary data processed in 2020 from the answer leaflet regarding the importance of a certificate based on table 10 above it is known that 62.4% of respondents said the importance of a certificate or land registration, and only 37.6 respondents said it was not too important. f. source of information systematic complete land registration program based on information from 24 respondents about the complete systematic land registration program information sources are listed in table 11. table 6. sources of information on registration programs complete systematic land no. source total presentage 1 relatives / family 16 people 66,7% 2 land agency 8 people 33,3% total 24 people 100% * source: primary virgin processed in 2020 from table 6 it is explained above that the source of information obtained about the source of complete systematic land registration information came from relatives / family of 66.7 and socialization from the land agency by 33.3%. so if this is related to the level of respondents about the importance of land rights certificates based on the results of research by 79% of respondents said that land certification is very important, but of 66.7% of respondents said that the source of information they got was actually obtained from relatives or family , continued 33.3% of respondents obtained information from the land agency. from the data above, it is clear that the percentage of contribution of information dissemination on the importance of certificates is mostly obtained from family / or relatives. thus gorontalo land office needs to conduct counseling effectively again about the importance of a registration of land rights under its control. g. community satisfaction of land services based on the level of satisfaction of 24 respondents in land services listed in table 7. table 7. community satisfaction regarding gorontalo district land services no service satisfaction total presentage 1 it is not in accordance with 7 people 29,1% 2 neutral 8 people 33,3% 3 very appropriate 9 people 37,6% total 24 people 100% * source: primary data processed in 2020 widya fuspa ningrum rauf , the role of the gorontalo district national land agency service ...8 from table 12 above, it is known from 24 respondents in the assessment of the satisfaction of gorontalo district land office services namely for nonconformities of 29.1%, neutral by 33.3% and for services for conformance to land office services by 37.6% . from the results of the above assessment, the land office already has an appraisal of the services provided to the community who want to get services aka but still there are people who are not satisfied with the services from the land office more optimized in the service procedure to the community who want to register their land rights. h. know the complete systematic land registration program of the 8 respondents who knew the complete systematic land registration program as shown in table 13 below: table 8. knowing the systematic complete land registration program no knowing the ptsl program total presentage 1 knowing 8 people 33,3% 2 know enough 11 people 45,9% 3 do not know 5 people 20,8% total 24 people 100% * source: primary data processed in 2020 from table 8 above, it is known from the 24 respondents in knowing the complete systematic land registration program who know 33.3%, know enough by 45.9% and those who do not know about this complete systematic land registration program are based on 20.8% of the results obtained from research results from 24 respondents, 33.3% of the public knew about the complete systematic land registration program, but there were still people who did not know about the complete systematic land registration program because when holding socialization was less than optimal and the land agency had to improve so that this program can be even and on target. i. time management of certificate in ptsl program regarding the time to arrange certificates and land registration from 24 respondents in gorontalo regency are listed in table 9 below: table 9. certificate management time in the ptsl program no time management total responden 1 old or convoluted 5 people 20,9% 2 hurry up 19 people 79,1% total 24 people 100% *source: primary data processed in 2020 based on table 9 above, it can be seen that respondents who stated for the time to arrange land registration for a long or convoluted arrangement of time amounted to 20.9% and for fast time management amounted to 79.1%. j. opinions regarding costs based on the cost of obtaining a land registration certificate from 10 respondents in gorontalo regency, it is listed in table 10 below: table 10. respondents’ opinions regarding costs no cost total presentage 1 expensive 3 people 12,5% 2 not expensive 21 people 87,5% total 24 people 100% *source: primary data processed in 2020 9journal of private and commercial law 4(1) (2020) 1-13 from table 10 above, based on the opinion of respondents who stated that the amount of the costs on the maintenance of land registration of 24 respondents stated that for an expensive fee of 12.5% and for an inorganic maintenance fee of 87.5%. based on the data listed in table 10, the cost of handling the registration of land in the ptsl program is much cheaper compared to the cost of personal care. k. the reason has not been registered or certified land based on the reasons the land has not been registered or certified from 24 respondents in gorontalo regency is listed in table 11. table 11. reasons for not being registered no reason total presentation 1 expensive fees 8 people 33,3% 2 twisted procedure 10 people 41,7% 3 a place to take care away 4 people 16,6% 4 do not have time to take care 2 persons 8,4% total 24 people 100% *source: primary data processed in 2020 from table 11 above, it can be seen from the education level of the respondent that if related to the ownership of the respondent shows a low percentage of reasons why they have not registered their land rights due to several factors, namely as follows: most of 8 respondents = 33.3% caused by costs expensive when handling land registration and issuing certificates, the second reason is because of the convoluted procedures of 10 people = 41.7% due to convoluted and time-consuming procedures when administering land registration, the third reason is the 4 respondent = 16.6% due to the place / location for remote management, the fourth reason due to not having time to manage by 2 people = 8.4% due to not having time to take care. based on table 15 above, it can be seen based on the scattered presentation, which is caused by expensive costs, this is because the level of education is still low and there are also 24 respondents working as farmers as many as 6 people where the respondent does not know or does not know about the importance or benefits of an certificate of land rights. the conclusion of the above study regarding the land registration program carried out by the office of the gorontalo district land agency in an effort to increase the registration of land rights through the above policy policies is quite well-run and quite well received by the majority of the people of the goromtalo district, especially in the three sample villages research. therefore in the opinion of the authors ptsl activities have greatly helped the community in obtaining evidence of rights in the form of certificates to ensure legal certainty. although this is still far from what is expected because the above policy has not been able to complete the registration of land rights as a whole in gorontalo district, it is still necessary for the participation of the community to complete the registration of land rights. for this complete systematic registration, there are several categories of people who get free land certificates through this land registration program, namely there are entrepreneurs, poor traders who are rich and all can. including the members of the council also got it even land he registered there were 21 certificates received from 109 he most get land certificates for free through the ptsl program. based on the results of studies of researchers related parties entitled to get free certificates conducted by the gorontalo land agency in the right target to register certificates not yet optimal because the land office does not align with the criteria of the rich and poor parties can all but in terms of accelerating the implementation of registration this complete systematic from the government has stated the criteria for entitled to get this free certificate, such as the poor, those who are included in the program in the field of simple housing, veterans, retired civil servants, retired military and police then waqif and the customary law community and if later there is an examination from the center gorontalo district land affairs will surely get a warning from the center. the following data are obtained from three villages obtained by researchers who have received free certificates and the type of work of the applicants in the three villages whose certificates have been submitted and are described in the form of a table 13. widya fuspa ningrum rauf , the role of the gorontalo district national land agency service ...10 table 13. ptsl program certificate recipients in three villages based on applicant’s work no type of work many workers (people) percentage village talumopatu 1 entrepreneur 36 33% 2 dpr-d member 38 35% 3 farmers 7 6% 4 civil servants 28 26% total 109 100% village helumo 1 entrepreneur 62 31% 2 farmers 23 12% 3 civil servants 34 17% 4 employee 42 21% 5 trader 38 19% total 199 100% village bandung rejo 1 entrepreneur 29 23% 2 dpr-d member 42 34% 3 farmers 32 26% 4 trader 22 18% total 125 100% *source: primary data processed in 2020 table 14. recipients of ptsl program certificates in three villages no village total certificate have been submitted not yet submitted information 1 bandung rejo 129 129 all of these have been completed and have been submitted to applicants who have registered the ptsl program despite problems in the village 2 talumopatu 109 109 all of them have been completed and have been submitted to applicants who have registered the ptsl program 3 helumo 199 199 all of them have been completed and submitted and divided into two stages because many certificates have been issued and distributed to applicants. * data source ptsl land adjudication committee gorontalo district land 2018. b. barriers faced by the district land office. gorontalo in implementing the systematic complete land registration (ptsl) program in kab. gorontalo and solutions overcome these obstacles. the complete system of land registration program (ptsl) implemented by the national land agency (bpn) will be able to encourage the movement and economic progress of the lower classes. therefore, certificates owned by the community can become valuable items that they can use to the banks and financial institutions. active coordination and communication with all relevant parties is needed to support the acceleration of ptsl implementation in the field, both with local government officials, community leaders and with public. from the research results obtained and information obtained based on interviews and data obtained that the complete systematic land registration program has been implemented, this is the main basis that the characteristics of the relationship between institutions and policy subjects or target groups are very influential, so that a conclusion can be drawn that gorontalo district national land agency 11journal of private and commercial law 4(1) (2020) 1-13 (bpn) has done its job very well. not only in the field, the implementation of a complete systematic land registration conducted by the community by registering certificates directly to the relevant institution or through the administration of the land agency office, the community still gets maximum service in accordance with the work culture established by the land agency, in the observation of researchers in the land agency in the ptsl service office or other activities related to the performance of the gorontalo district land agency, the community was well received by bpn officials both administrative officers, security officers and other services showed good performance, and with the vision of achieving community satisfaction which was the main focus of their performance even though there are several obstacles and obstacles encountered in implementing a complete systematic land registration program. based on the results of research conducted by researchers, it appears that there are several obstacles that arise in the implementation of complete systematic soil registration which imply on the non-smooth process of the ptsl program implementation activities. to overcome obstacles that occur the community / ptsl applicant, the regional government and the gorontalo district land office must collaborate in expediting the process of implementing the systematic complete land registration. the following obstacles are faced by the gorontalo district land agency and solutions in overcoming these obstacles: 1. lack of community knowledge about land law and legal awareness in certifying their land. 2. constraints from village officials who do not respond well to the complete systematic land registration program. even though the community was very enthusiastic in participating in the ptsl program. and mismatches between village heads who are incompatible with village heads or others. 3. hampered by people who object to the costs that may arise for the purchase of iron pegs, stamp duty and bphtb payments and the state budget cannot reach there even though it is the responsibility of the state but the state does not help the budget to provide iron pegs and stamp duty. because besides the complete systematic land registration, the land agency also has routine work which cannot leave the service, finally the high volume of work is limited, so the land agency district. gorontalo is chasing targets and time. 4. when the community / the petitioner will take measurements, the community / petitioner is not in place and the community does not know the exact boundary of his land. 5. then there is a coverage that is beyond the reach of the gorontalo district land agency such as illegal fees from the village but from the bpn regency. gorontalo has no funds disbursed, although the bpn has brought a circular from the head of the office for ptsl activities, the community is free of charge because it has been collected in the state budget, but there are costs incurred by the applicant such as boundary stamps, stamp duty for third correspondence such as administration village administration. the solution in implementing this complete systematic land registration is to overcome obstacles that arise in the implementation of a complete systematic land registration by: a. in overcoming obstacles such as above especially in terms of the level of public understanding of the complete systematic land registration program, the gorontalo district land office must resolve by conducting counseling. counseling is an effective way and there must be some material delivered to the community / applicant, but in this case the gorontalo district land office must emphasize or further explain intensively and concretely about the financing material and emphasize that the implementation of a complete systematic land registration program this is very easy to do. submission of material must use simple language so that it is easily understood by the public / applicant. in this stage of the electoral process a question and answer session must be held until there is no confusion for the community / applicant. in addition, the land office must also distribute brochures as a means of delivering the land registration program as a means of conveying information that can be carried everywhere by the community / applicant in complete systemic land registration. brochures can be distributed to the public at the time of the outreach and are provided at the office of the gorontalo district land agency. gorontalo district land office must change the mindset of gorontalo people who lack awareness in certifying their land and make the gorontalo district people aware that the benefits can meet the necessities of life and the awareness that land also needs legal protection so that someday if a dispute or problem results in widya fuspa ningrum rauf , the role of the gorontalo district national land agency service ...12 entering the court, the land owner can prove ownership of the land. this is also done so as not to cause problems in the implementation of ptsl activities for years to come. b. coordinating with villages village officials on the obstacles in the field in order to continue to coordinate, for example the level of apparatus in villages and higher levels namely the regent because the administrative authority is not in the national land agency and cannot reach up to the village because the land agency can only ask for help from the regent and the regional government asks for help to at least coordinate down to support, so that they can learn from the past three years for next year there is at least an agreement with the regent to eliminate the community and apparatus budget when the program enters the village, perhaps for direct control from the regent through meetings and guidance . c. for resources, the gorontalo district land agency manages overtime until evening. conclision based on the results of the discussion above on observations made by researchers, there are a number of things or quintessentials that can be concluded as final results to obtain a compelling conclusion to the review process regarding the role of the national land agency (bpn). gorontalo regency in the implementation of the systematic complete land registration program (ptsl). are as follows: based on the above study, in the implementation of this complete systematic land registration carried out by the gorontalo district national land agency, it has been implemented well in accordance with the targets that have been targeted by the central government, although there are some obstacles found in the field in the context of accelerating the implementation of the systematic complete land registration program (ptsl), both the national land agency and gorontalo district land agency have fulfilled various land development policies to be carried out properly and evenly in accordance with their targets. according to the chairman of the adjudication in the gorontalo district land agency there are several things that become obstacles in the implementation of a complete systematic land registration program in gorontalo district, namely, there are still people who are reluctant to certify their land even though the land agency has conducted counseling and from the gates and from the village village even though the land agency felt pity when the land agency had conducted a socialization but the community was not interested in the existence of this complete systematic land registration program. the term is this program, all budget costs are borne by any country except the completeness of the file, stamp duty, and stakes from the applicant himself who bears the cost of participating in this program compared to the community registering land through independent channels and the difference is very far. suggestion suggestions and recommendations that researchers give, of course, are that the complete systematic land registration program runs effectively and efficiently in the future and gorontalo district land office in order to provide an explanation when providing more detailed and concrete socialization related to the material and benefits of this program, then what are the which must be done in accordance with the direction of the central government in order to be able to change the mindset of the people who only think that land is only for ownership and the most important thing is to use it to fulfill their daily needs. in addition, village officials must also help or cooperate well with the land authorities regarding the complete systematic land registration program, especially since gorontalo people are very lacking in awareness of this program and the importance of land certificates. bibliography andini, mira novana. 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(2019, january 9) humas atr / bpn together with the ministry of communication and informatics communication team. from https://jateng.garudacitizen.com/mekanisme-program-ptsl/ cholid, narbuka., and abu achmadi.(2003). research methodology. jakarta: pt bumi aksara. g, karta sapoetra.(1991). land law guarantees for the success of land utilization. jakarta: pt grafindo persada. law number 5 of 1960 concerning basic regulations on agrarian principles (state gazette of the republic of indonesia of 1960 13journal of private and commercial law 4(1) (2020) 1-13 number 104, supplement to the state gazette of the republic of indonesia number 2043). marzuki. research methodology. yogyakarta: uii press. presidential instruction no. 2 of 2018 quiet accelerated systematic land registration complete in the entire territory of the republic of indonesia. presidential regulation number 17 year 2015 concerning the ministry of agriculture and spatial planning (state gazette of the republic of indonesia year 2015 number 18). regulation of the minister of agrarian affairs / head of national land agency number 3 of 1997 concerning provisions for implementing government regulation number 24 of 1997 concerning land registration as amended by regulation on regulations on national land agency number 8 of 2012 concerning amendment to regulation of the minister of agrarian affairs / head of land agency national number 3 of 1997 concerning provisions for implementing government regulation number 24 of 1997 concerning land registration. soejono, soekanto. (2012). introduction to legal research. jakarta: universitas indonesia press. soejono, soekanto., and sri mamudji. (2003) normative legal research a short review. jakarta: raja grafindo persada. soejono. soekanto. (1986). introduction to research. jakarta: ui press. suhadi, baidhowi, cahya wulandari.(2018). prevention of increasing numbers early marriage by initiation kadarkum formation in the hamlet cemanggal munding village bergas district. jphi. indonesian journal of legal community engagem, 1(1), retrived fromhttp://garuda.ristekbrin.go.id/documents/detail/829715 sulistianingsih, dewi., et al. (2018) develop mastery of intellectual property for people in karimunjawa jepara regency. indonesian journal of legal community engagement jphi. 1(1), 79-92. <https://journal.unnes.ac.id/sju/index.php/jphi/ index> zano reflyanto, interview, chairperson of the land registry adjudication, gorontalo 28 december 2019 p-issn 2599-0314 e-issn 2599-0306 jp cl pcl 4(1) (2020) 33-43 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl borrow-to-use agreement and its legal consequences in case of damages on the object of agreement yuli prasetyo adhi1, achmad busro2 1faculty of law, universitas diponegoro, semarang, indonesia received april 8 2019, accepted july 1 2019, published may 30 2020 doi 10.15294/jpcl.v4i1.24784 abstract the performance of a borrow-to-use agreement can only be enjoyed by one party while the other party will not obtain anything from the borrower’s party. the willingness to help or to lend the other party is probably is based on an agreement, volunteerism, solidarity, or is because of the object owner’s social sense. the regulation is already available in the civil codes. however, the question is whether the provisions in the civil codes regarding to borrow-to-use agreement are still relevant in the present situations and to the more complex society. the risks will rise along with the making of the agreement. therefore, it is necessary that there is a sound mechanism to regulate and resolve problems regarding the emerging risks in the borrow-to-use agreement. the objectives of this study are to analyze provisions regarding a borrow-to-use agreement regulated by the civil codes and the legal consequences in the occurrence of the damage of the object of a borrow-to-use agreement in the perspective of the civil codes and to resolve risks occurring in the agreement. the study makes use of a normative juridical approach method by applying regulation approach. the data used are secondary data which come from the primary, secondary, tertiary materials. the object of the borrow-to-use agreement which is conducted by the society varies from movable to immovable objects. the most frequently used objects for a borrow-to-use agreement by the society are vehicles like cars, motorcycles, trucks, etc. the immovable objects which are frequently used include: houses, land, buildings, etc. in indonesia, a borrow-to-use agreement is a common practice making use of various objects as its collaterals. keyword: borrow-to-use, agreement, legal consequences introduction an agreement is an event in which someone promises to another person or other people to perform an action. an agreement can create a legal bond or relationship in which there are rights and obligations of the parties involved in the agreement making1. in other words, the parties are bound to comply with the agreement they have made. there is no fault to be found with systematizing so much as we can of the rules on promises, or on assumpsit and its descendants, or on obligations arising out of transaction2. in this matter, an agreement functions like a law, but the first is applied only those who have agreed. by law, an agreement can be enforced through a court. the law gives sanctions to the party who commits a breach of contract or default. any agreement made by the parties creates legal consequences. the legal consequences are the rights and obligations. the consequences require the parties to perform their obligations and receive 1 lina jamilah, asas kebebasan berkontrak dalam perjanjian standar baku, syiar hukum journal, vol. xiii, no. 1, 2012, page 228. 2 karl n. llewellyn, what price contract? -an essay in perspective, yale law journal, vol 40, issue 5, page 705. * e-mail : haridisemadi@gmail.com address : jl. prof. soedarto, tembalang, semarang city, central java indonesia, 50275 yuli prasetyo adhi & achmad busro, borrow-to-use agreement and its legal consequences in case ...34 their rights respectively. essentially, an agreement, regardless of the object or the type of the agreement, contains wills of both parties involved to perform a promised action3. the agreement leads to a consequence in which either party, with their own rights and obligations, who commits a breach of contract or default can be demanded by the other party to immediately perform their obligations. the obligations are surely related with the object of what is being promised. moreover, an agreement must have a certain object which has to be clearly defined. the object can an existing one or one which is still being planned4. according to subekti, an object of an agreement can be defined as: (1) what is promised by both parties that can clearly determine their respective rights and obligations; (2) what is promised by either party does not conflict with the applicable laws, what is promised by each party cannot be opposed by law, social order and decency5. in the aspect of day-to-day legal activities in the field of economy, there are many legal actions which are found with respect to the agreement or contract between two or more parties. in general, they make agreements using an open system in which each party is given freedom to create an agreement either regulated by the laws or not. this condition is line with the criteria of a contract making of article (1) of paragraph 1338 of the civil code which asserts that any legal agreement serves as a law for those who create it. from the fore-mentioned paragraph, we can conclude that there is a principle of freedom of contract. nevertheless, the freedom is limited by an imperative law. therefore, the contract creators must abide by the imperative law. an agreement shall not be withdrawn unless both parties agree to do so or there are reasons which are supported by the law. this agreement classification is based on the paragraph 1319 of the civil code, which mentions that there are two types of contact based on their names, they are named and unnamed contracts. named contacts are agreements which are named, categorized as special agreements and are limited in numbers. the examples of named contracts are sale, trade, borrow-to-use, rental, donation, deposit contracts, and so on. unnamed contracts are ones that do not have certain names and their instances are unlimited. unnamed contracts are not yet regulated in the civil code. the examples are labor, agency, leasing contracts, and so on. the unnamed contracts grow due to the contract’s freedom principle as regulated in the paragraph 1338 of the civil code. the civil code has regulated various matters in our lives, including borrow-to-use agreements along with its legal consequences which are inseparable from the general provisions, rights, and obligations found in the civil code, especially the third book which governs engagements. the provisions, rights, and obligations of the parties involved in the borrow-to-use agreement are generally governed in the paragraph 1740 to 1753 of the civil code. in addition, they are also specifically governed in the agreement which is made by both parties. generally speaking, in every agreement, both parties promise to each other to perform something, one party commits himself to make a performance while the makes a counter-performance. the agreement is called a mutual agreement. borrow-to-use agreement, included as a named agreement, is an agreement which has its specific characteristics compared to that of other named agreements. the performance in a borrow-to-use agreement benefits only for one party while the borrower does not benefit anything. the willingness to help or lend the other party is usually derrived from an agreement, volunteering, solidarity, and the social sense from the owner of the object. such things are every day occurences in our society. only the borrower can benefit from a borrow-to-use agreement. therefore, it is necessary to set up certain regulations accommodating the provisions of the agreement. the provisions are already available in the civil code. however, the question is whether the regulations related to a borrow-to-use agreement are still relevant in the scoiety that is getting more complex. there are risks arising from this agreement. therefore, there should be a good mechanism to manage and resolve the problems around the risks caused by the agreement. the risks in a legal agreement can be found in chapter iii of the civil code, paragraph 1237, which says: “whenever there is an engagement to deliver a certain object, the object mentioned in the agreement shall be the creditor’s liability”. moreover, the paragraph 1460 of the civil code states that a risk is the obligation to bear the loss incurred by a certain event not in the power of either party over an 3 see ernest g. lorenzen, causa and consideration in the law of contracts, yale law journal, vol. xxviii, no. 7, page 646. 4 trisandini prasastinah usanti, lahirnya hak kebendaan, perspektif journal, vol. xvii, no. 1, page 45. 5 subekti, hukum perjanjian, (jakarta: pt. pembimbing masa), page 16. 35journal of private and commercial law 4(1) (2020) 33-43 object of agreement. essentially, a risk is an obligation of bearing loss incurred by an event beyond the power of either party. the risk of an agreement is unilaterally borne by the creditor, while the debtor does not have to fulfil his or her performance. the risk in a mutual agreement, in which either of the parties is unable to perform due to a force majeure, the agreement is considered to be null. risks can occur to anyone during the agreement practice. however, risks shall not be charged to a party experiencing a force majeure. the force majeure is a condition taking place after an agreement has been made which prevents the debtor to perform. the debtor will not be disputed and he or she does not have to bear the risks for he or she cannot expect it when making the agreement. from the above illustration rise some problems, like: (1) whether the provisions about the borrowto-use agreement governed in the civil code are still relevant with the society’s lives? (2) what are the legal consequences in case of damages in the object of borrow-to-use agreement from the point of view of the civil code? (3) how to solve the risk in the borrow-to-use agreement according to the principles of the civil code? research method the approach method applied in this research is juridical normative. juridical means that the research emphasizes on the legal studies, while normative means that the research studies legal principles applied in the society. thus, a juridical normative approach is an approach towards a problem study of the applicable law, in this case the one related a borrow-to-use agreement both from the aspect of the legal consequences and the risks borne by the parties. the research specification applied in the research is descriptive analytical. it is descriptive because the research aims to give a comprehensive description depicting borrow-to-use agreements developing in the society of indonesia. some approaches that will be applied in this research are those beneficial in obtaining information from various aspects concerning the problems in question. since the research applies a juridical normative type, the approach conducted in this research is a statute approach. the statute approach is conducted to study regulations whose norms attempt to explore borrow-to-use agreements in detail. results and discussions a borrow-to-use agreement is an agreement in which one of the parties (the creditor) benefits from the performance. the owner of the object or the one lending it does not gain any profits from the borrower during a borrow-to-use agreement. the willingness to help or to lend other party is possibly derived from an agreement, volunteering, solidarity, or a social sense of the object owner. such things are every day occurences in indonesian societies. the provisions regarding the a borrow-to-use agreement can be found in the civil code. the provisions regarding the borrow-to-use agreements governed in the civil code and their relevance in the lives of the society the provisions regarding the borrow-to-use agreements can be found in the paragraph 1753 of the civil code. a borrow-to-use agreement is an agreement in which the lender hands in the object to be “used” until the agreed time is due. by then, the borrower must return the object to the lender. from the characteristic point of view, a borrow-to-use agreement in real, in which the lender hands in the object an object to the borrower and it is received by the borrower. only then is the contract effective. a borrow-to-use agreement consists of any agreement’s elements, like: (1) essential element; (2) natural element; and (3) accidental element. the essential element is a compulsory element in every agreement, without which the agreement is void. in a borrow-to-use agreement, there is not only an agreement between the parties, but also an object of the agreement. the natural element is one governed in the laws. thus, when it is not stated in the agreement, it will be governed by the laws. thus, the natural element has to be present in an agreement. in a borrow-to-use agreement, when hidden defects are not stated in the agreement, then the provisions in the civil code are automatically applied. the provisions yuli prasetyo adhi & achmad busro, borrow-to-use agreement and its legal consequences in case ...36 state that the object owner or the lender is fully responsible for the hidden defects especially when the defects endangered the borrower. the accidental elements are one which will later exist or bind the parties when they desire. in a borrow-to-use agreement, there must be provisions regarding the object maintenance by the borrower in order that the object’s value will not diminish. the maintenance methods shall also be stated in the agreement. therefore, this is not a very crucial matter in the agreement. however, if it is states, both parties are bound to obey it. a borrow-to-use agreement is an example of an unilateral agreement in which only one party will benefit from the agreement, which is the borrower. the object owner will not benefit in whatsoever. when a payment is involved in the agreement, it is not a borrow-to-use agreement. instead, it is a lease agreement. the object of the agreement is the performance. the performance is the debtor obligation and it becomes the right of the creditor6. the point of the agreement is the performance itself. the object of the agreement must be defined to reach a logical and practical understanding. the civil code has determined that the object of the agreement shall meet the requirement, the object must be specific7. the paragraph 1234 of the civil code states that a performance consists of: handing in the object, performing an action, and not performing an action. the object of a borrow-to-use agreement is a movable or an immovable object. in this case, the objects can be in the form of a piece of land, a building, a house, a vehicle, etc. the lender does not the obligation to lend the object. although it is not an obligation, he or she is willing to lend his or her object to be used by the borrower. the lender’s willingness to lend the object to be used by the borrower plays an important role. principally, a borrow-to-use agreement can be inherited in accordance with the agreed period unless it is agreed the otherwise. in the first part of the paragraph 1743 of the civil code, it is stated that the rights and obligations emerging from a borrow-to-use agreement can be passed on to the beneficiary of both parties is constitutional based on the laws of inheritance which governs that any rights and obligations which possess economical value (assets or liabilities) from a deceased individual shall be inherited to both parties’ beneficiaries. however, when the right or the obligation is personally closely related to the deceased, the rights or the obligations cannot be passed down to the beneficiaries. likewise, as stated in the second part of the paragraph above, the lending was carried out personally to the borrower only. therefore, when he or she is deceased, the agreement is terminated, and the beneficiary is obliged to return the object. for example, when the deceased, during his or her life, was a university professor and he or she was given a car in a borrow-to-use agreement from the university foundation, the beneficiary shall immediately return the vehicle without waiting for a contract termination notice because the agreement is terminated automatically when the borrower is deceased8. regarding with the object of a borrow-to-use agreement, we can borrow a passive asset belonging to other people to be used and empowered, for instance a piece of land or a house. there are many abandoned pieces of land and properties. the owners do not wish either to use it or to sell it. in this case, we can ask for the owners’ permission to make use of the land. meantime, in order to specify the ownership of the land, a written agreement which covers various aspects of the borrow-to-use agreement is needed. the example of the agreement object which can be found here is a house. please feel free to modify accordingly for a different object of a borrow-to-use agreement. the borrowing is different from that with money. for a borrow-to use case, the object is handed in to the borrower not to own it, but only to use it. the object still belongs to the person who lends it. in the case of borrowing money, the borrowed money goes directly to the borrower and he is fully entitled to use it as he wishes. the borrowed object of a borrow-to-use agreement must be returned as it is, while the loan money can be returned with that of similar amounts, unless it is agreed the otherwise. a borrowto-use agreement is different from object deposit agreement. in principle, the deposited object shall not be used, unless it is agreed the otherwise. meanwhile, in a borrow-to-use agreement, the purpose itself is 6 m. yahya harahap emphasized that regarding the performance, the creditor is entitled with the performance while the debtor is obliged to perform as agreed. see m. yahya harahap, segi-segi hukum perjanjian, (bandung: alumni, 1982), page 9. 7 see paragraph 1320 of the civil code regarding the legal requirement of an agreement, which states that an agreement is legal when it has a specific object of agreement. for further explanation about object of agreement, see paragraphs 1332 and 1333 of the civil code. 8 see r. subekti, aneka perjanjian, (bandung: pt. citra aditya bakti, 1995), page 120. 37journal of private and commercial law 4(1) (2020) 33-43 for the benefit of the borrower. therefore, the borrower is free to use the borrowed object the difference between an object deposit and a borrow-to-use agreements is that the latter is made in favor of the borrower while the first is made in favor of the party depositing the object. the difference between a borrow-to-use and loan agreements is whether the object being borrowed diminishes after use or not. if the borrowed object diminishes because of the usage, the agreement is called loan agreement. a loan agreement is an agreement that bind the borrower and the object or money owner. in a borrow-to-use agreement, the object is not consumable. on the other hand, the object in a loan agreement is consumable. the definition of loan agreement (paragraph 1754 of the civil code) is an agreement in which one party hands in the other a certain number of consumable objects, providing that the latter will return the object of the same number, amount, type, and quality. the provisions regarding with a borrow-to-use are not only found in the civil code, but they are also found in the paragraph 1 number 10 of government regulation 27/2014 which states that: a borrow-to-use agreement is a transfer of object usage from the central government to the regional government and between regional governments in a certain period without receiving any retainer and after the period is due, the object shall be returned to the object management. moreover, the regulation also states that the length of time is two years at most and it can be lengthened9. a borrow-to-use agreement is conducted on the basis of an agreement letter which at least includes (a) parties involved in the agreement; (b) the type, dimensions or number or amount of the object being borrowed and the time period; (c) the responsibilities of the borrower for operational expenses and the maintenance during the borrowing period; (d) other necessary requirements10. in addition, provisions of a borrow-to-use agreement can also be seen in the regulation of the minister of home affairs number 17 of 2007 on the procedures of the implementation of usage, utilization, abolition, and transfer of state property and the procedures of the implementation of borrow-to-use agreement of state property. according to the regulation above, a borrow-to-use agreement of state property is the transfer of usage of state property between the central government and the regional government in a certain period of time without receiving any retainer and after the period is due the state property shall be returned to the central government11. the borrow-to-use agreement for state property is carried out to optimize the usage of the state property which has not been or is not used for realizing the central government implementation and supporting the realization of regional government implementation. the state property which can be borrowed are land, and/or buildings, either which are possessed by the object management or whose utilization status in on the object users and other state properties other than land or buildings12. the parties which can borrow to use state properties are: a. the object management, for land and/or buildings which are possessed by the object management; b. the object user with the permission of the object management, for 1) a piece of land and/or a building whose utilization status is on the object user; 2) other state properties other than land and/or buildings. those which can borrow the state properties are regional governments. the provisions on the implementation of borrow-to-use agreement according to the minister of home affairs’ regulation number 17 of 2007, are: 1. the state properties that can be borrowed-to-use must be items which have not been used or are not used by the object management for the implementation of their main duty and government function. 2. land and/or buildings which can be lent by the object management include land and/or buildings possessed by the object management which have not been entirely used or are not yet for the government function purposes. 9 the meaning of parties to the provisions of this regulation is limited. that is, between the central government and regional governments or between regional governments. see muh. sidik n. salam, aspek hukum perjanjian pinjam pakaiatas barang milik pemerintah daerah, legal opinion journal, vol. 2, no. 6, 2014. 10 b.y.sondakh.,h.sabijono.,l.mawikere, analysis of local-owned property management (case studies on board of financial management and reginal asset at south minahasa district), emba journal, vol. 5, no. 2, page 1179-1180. 11 sugeng riyono, pemanfaatan aset daerah (studi tentang pola kemitraan asset tanah pemerintah provinsi jawa timur), dia journal, vol. 11, no. 2, 2013, page 239. 12 all of the borrow-to-use objects are state assets. veronika mulalinda & steven j. tangkuman. (2014). efektivitas penerapan sistem dan prosedur akuntansi aset tetap pada dinas pendapatan, pengelolaan keuangan dan aset daerah kabupaten sidoro, emba journal, vol. 2, no. 1, page 522. yuli prasetyo adhi & achmad busro, borrow-to-use agreement and its legal consequences in case ...38 3. land and/or buildings which can be lent by the object management include a piece of land and/or buildings which are the remaining from a piece of land and/or buildings which have been used by the object management for the purpose of carrying out their main duty and functions. 4. the period of borrow-to use agreement of state property is two (2) years at most after the agreement signing and it can be extended. 5. in case of extending an agreement of borrow-to-use of state properties, the extension application shall be received by the object management at least three (3) months before the agreement’s expiration date. 6. the land and/or buildings which are borrowed-to-use shall be used according to its designated function in the agreement and modifying, adding, or reducing the shape of the building is prohibited. 7. all maintenance expenses incurred during the implementation of the borrow-to-use agreement is entirely the responsibility of the borrower. 8. after the agreement is expired, the borrower shall return the borrowed state property in the conditions stated in the agreement. the parties involved in the borrow-to-use agreement are basically are not different from that in other agreement. the parties involved in the borrow-to-use agreement are: a. between individuals the parties involved in the borrow-to-use agreement, which are the lender and the borrower, are individuals. they are legal subjects acting as endorsers of rights and obligations. b. between an individual and a legal entity (non-government) in an agreement, a legal entity is also a legal subject. it is a privately created legal entity based on the applicable laws which is entitled with rights and obligations like an individual. the non-government entity is acknowledged by the government. it is established privately to serve the purposes set up by the creator. the entity is acknowledged by the government in accordance with the laws. according to the provisions in the paragraph 1653 of the civil code, there are three classifications of legal entities based on their existences. they are13: (1) a legal entity which is established by the government, like government bodies, state-owned enterprises; (2) a legal entity which is acknowledged by the government like a limited liability and cooperatives; (3) a legal entity which is allowed or, for specific purposes, has an ideal characteristic, like a foundation (education, social, religion, etc.) the individuals involved in the borrow-to-use agreement can be an employee of a company or other legal entities. with the permission of the respective legal entities, an individual can use facilities of the office using borrow-to-use terms. the ownership of the object remains on the corporation. c. an individual and a government office an individual can make use of property of a government office. usually the individual holds a managerial position in the office. because of his position, he is entitled with some facilities like a vehicle or a house, or other objects which are can be governed in a borrow-to-use agreement. d. a non-government corporation and a government body or vice versa the private party (non-government corporation) with the permission of a government body is able to use government-owned objects. however, this is a rare practice since several regulations are considered too strict and limit the possibility of carrying out a borrow-to-use agreement between a government body and a non-government corporation. nevertheless, it is still possible. e. between government bodies government bodies can carry out a borrow-to-use agreement with each other, like borrowing a piece of land belonging to a regional government to be used temporarily by another government body. f. between non-government corporations borrow-to-use agreements also develop in the community. many private sectors are committed in the agreement. the agreement is also accompanied with a cooperation which is principally mutually beneficial. 13 see abdulkadir muhammad, hukum perdata indonesia, (bandung: penerbit pt. citra aditya bakti, 200), page 29. 39journal of private and commercial law 4(1) (2020) 33-43 the legal consequences in case of damages in a borrow-to-use agreement on the objects form the point of view of the civil code in every agreement implementation14 there are always risks. the risks are related with whether the agreement can be carried out well or not. both parties anticipate the risky situations by preparing in advance the inevitable conditions or the conditions they did not predict before. the conditions require them to immediately anticipate disputes between them deriving from the risks that occur. the parties can make any prevention measures for conditions considered as risks by inserting any relevant item in the contract. therefore, whenever the risky conditions take place, they know who will be responsible and what the alternative solutions are. risks are the obligations to bear loss incurred by a certain event beyond the power of either party. for example, the purchased item is gone in the delivery because the ship which carries it sinks, the rented item is destroyed by a fire during the rental period. from the explanation about the risks above, it can be concluded that the risk problems is mainly due to an event beyond the power of either party involved in the agreement based on what they have agreed in the agreement. in other words, the risks which take place beyond the power of either party in the agreement according to the civil code is called force majeure. in the third book of the civil code paragraph 1237, it is stated that “in an agreement in which there is a transfer of a certain object, the object becomes the responsibility of the borrower after the contract is made”. the term “responsibility” in that article is similar with “risk”. therefore, according to the agreement, when after the object is transferred, it is damaged or lost due to a situation beyond the power of either party, the loss is borne by the borrower, that is the party that receives the object. the paragraph 1460 of the civil code states that “if the purchased object is already definite, since then the object becomes the responsibility of the buyer, although the object has not been handed in and the seller is entitled to charge the buyer”. on the contrary, the paragraph 1545 of the civil code defines the problem as follows: “if a certain item, which is agreed to be exchanged is damage beyond the power of its owner, the agreement shall become void, and the party fulfilling his or her obligation in the agreement can demand the item he or she had handed in in the agreement”. however, in practice, people prefer to use article 1545 of the civil code as the principle in their agreement since the article regulates in detail about the implementation of the agreement. in addition, it fairly regulates the rights and the obligations of the parties involved in the agreement, so that neither party will feel harmed in the agreement and there is no imbalance between the rights and the obligations acquired by each party during the implementation of the agreement. the force majeure is closely related with risks in fulfilling an agreement, which means that when risks of force majeure take place, the risks shall not be borne by the afflicted party. in this case, a judge will rule out the creditor lawsuit wishing the debtor to fulfil his or her obligation as stated in the agreement. in a borrow-to-use agreement, when a force majeure takes place, the borrower is still required to bear the consequences since it is necessary to mention in a borrow-to-use agreement clearly about the force majeure in its clauses. therefore, when a force majeure really takes place, it is clear who will be responsible for the risks. the purpose of mentioning a force majeure clause is to protect both parties if they are prevented from fulfilling the agreement because of causes beyond their power to prevent it. the force majeure are natural disasters like flood, a volcano eruption, a hurricane storm, a tsunami, etc.15 when the risks taking place in the agreement are not related to force majeure, but they are cause by the negligence or deliberateness of either party, then there is a breach of contract from either of the parties involved in the agreement. the debtor is required to perform. when he or she does not fulfil his or her obligations deliberately and not due to a force majeure condition, he or she breaches the contract. the breach of a contract is a condition in which the debtor does not fulfil his or her performance which has been agreed. it can be called a breach of contract, a negligence, a faith breaking, or an agreement violation. 14 the function of an agreement can be distinguished into two: a juridical and an economic function. the juridical function is to give legal certainty for the parties, while the economic function is to mobilize (the ownership of) resources from a lower economic value to a higher one. salim hs., pengantar hukum perdata tertulis (bw), (jakarta: sinar grafika, 2006), pages 168-169. 15 see r. soeroso, perjanjian dibawah tangan, (jakarta: sinar grafika, 2010), page 27. yuli prasetyo adhi & achmad busro, borrow-to-use agreement and its legal consequences in case ...40 there are four types of a breach of contract: (1) not being able to fulfil what has been agreed; (2) fulfilling what has been agreed, but not accordingly; (3) fulfilling what has been agreed but not meeting the deadline; (4) carrying out something which is prohibited in the agreement.16 according to purwahid patrik17, a breach of contract takes some forms. they are: (1) the debtor does not perform in whatsoever; (2) the debtor does not meet the deadline when fulfilling his or her performance; (3) the debtor’s performance is not carried out accordingly. there are two possibilities why a debtor does fulfill his or her obligations, like: (1) the debtor’s error, either due to his or her negligence or deliberateness, (2) a force majeure, a condition beyond the debtor’s power, hence he or she is deemed not guilty. there are requirements for an action to be considered as an error: (1) the action carried out could have been avoided, and (2) the action is blamed to the doer, because he or she is supposed to have predicted the consequences. whether a consequence can be predicted or not, it must be measured objectively and subjectively. the objective measurement is when the consequence could have been predicted by a common person. the subjective measurement is when the consequence could have been predicted by the person based on his or her expertise. deliberateness is an action carried out intentionally and consciously. a deliberateness does not necessarily take place with an intention to harm other people. it is sufficient to say that the doer understands the consequence yet he or she keeps on carrying it out. however, a negligence is an action in which the doer understands the possibility of harmful consequences towards others. in implementing an agreement, a person is responsible for the actions carried out by his or her dependents (paragraph 1391 of the civil code). in this case, it is allowed to create an agreement by making an exception for the responsibilities incurred by a deliberateness or negligence of his dependents. in order to find out when a debtor is called to commit a breach of contract, the laws have already provided legal efforts called a statement of negligence. a statement of negligence is a notification from the creditor to the debtor to let the latter know when is the latest he is expected to fulfil his or her performance. therefore, through the notification, the creditor can determine precisely when the debtor has breached a contract,that is when he or she is unable to fulfil his performance. since then the debtor bears the consequences which harm the creditor due to his or her inability to fulfil his or her performance. hence, the function of a statement of negligence is as a legal effort to determine when a breach of contract takes place. in a borrow-to-use agreement, there are possibilities of a breach of contract, when the borrower does not maintain the object he or she borrows properly, or when he or she is negligent to maintain it which causes the damage of the object18. besides, a breach of contract is committed when the borrower does not return the object to the owner when the agreement is expired, or when the borrower attempts to make a claim for the borrowed object. since a breach of contract due to a negligence leads to crucial consequences, it is necessary to regulate in advance what needs to be done when it occurs. there are four types of sanctions or punishments that can be applied to a breach of contract due to a negligence: 1. a compensation payment paying a compensation in this case includes the calculated damage or loss of the borrow-to-use object due to a negligence or a deliberateness which harm the owner of the borrowed object. 2. an agreement revocation an agreement revocation or resolution can bring both parties involved in the agreement to their original states before the agreement is created. 3. risk relocation risks are the obligations to bear loss when an event beyond the power of either party occurs afflic16 subekti, hukum perjanjian, 10th edition, (jakarta: penerbit pt. inter masa), page 45. 17 purwahid patrik, asas-asas hukum perjanjian, (semarang: fh undip, 1982), page 14. 18 when the object of borrow-to-use is forest, the borrower does not have the ability to restore the forest to its original state or technically cannot be reclaimed. then, it has entered as a default muhamad muhdar, mohamad nasir, rosdiana. (2015). implikasi hukum terhadap praktik pinjam pakai kawasan hutan untuk kegiatan pertambangan batubara. halrev journal, vol. 1, issue 3, page 449-450. 41journal of private and commercial law 4(1) (2020) 33-43 ting the object of agreement as stated in the paragraph 1237 of the civil code. 4. paying a court fee before judges the risk resolutions in a borrow-to-use agreement according to principles of the civil code. the risk definition is always closely related with the existence of force majeure. it is important to know who will be responsible, who will bear the risks from the force majeure19. a force majeure is a condition in which a creditor is prevented from fulfilling his or her performance due to unexpected events or occurrences during the agreement period. the conditions shall not be blamed to the debtor since he or she does not have bad faith. such conditions are regulated in the paragraph 1244 of the civil code which states that “these conditions are force majeure which are unpredictable by both parties, because if the parties have predicted the events, they are supposed to have made a negotiation”. generally, there are three elements for a force majeure: 1) the inability to fulfil a performance because of an event that perishes or damages an item used as the object of agreement is always fixed. 2) the inability to fulfil a performance because of an event which prevents the debtor to perform can be considered fixed or temporary. 3) events which are not known or expected both by the creditor and debtor that occur during the agreement period, so either party especially the debtor is not at fault. the provisions in the civil code regarding how to resolve risk problems between the parties in a borrow-to-use agreement are limited or not specific. other provisions focus on what is being promised in the agreement. when a risk takes place in a borrow-to-use agreement, then the borrower bears the consequences, unless agreed otherwise in the agreement by both parties. therefore, these conditions can trigger disputes or arguments between both parties whenever the provisions in the agreement content do not cover regulations concerning who will be responsible for the risks. a problem that is not immediately resolved may lead to more severe disputes or arguments. when this condition happens, there must be ways to resolve the disputes. a dispute can take place every time since it can be triggered by a seemingly trivial or simple problem or by a sudden and unpredictable reason. it can also be caused by something that both parties did not expect before. the argument or dispute in the society can happen to an individual or a group of people, or it can happen to corporations either non-government or government. in general, disputes or arguments are related with rights, statuses, lifestyles, reputations, or other aspects in the trade activities or personal conducts, among others20 : a. facts which may arise from a credibility of the party, or from the data provided by a third party including explanations about the data’s facts; b. legal problems which are generally caused by opinions or interpretations of a dispute resolution provided by related legal experts; c. the results of technical differences between the opinions of technical experts and the party’s professionalism; d. different understandings on the emerging matters, for example in the use of confusing words or there are differences in assumptions; e. different perceptions about fairness, justice concept, morality, culture, norms, and attitudes. a dispute resolution can be done through two (2) processes, which are a resolution process through a litigation in the court and a resolution outside the court. a litigation process produces an agreement which is adversarial, and it sometimes cannot include communal interests. it also tends to create a new problem. it has a slow resolution process and requires an expensive cost. it is not responsive and can trigger hostility between the disputed parties. in contrast, a resolution outside the court can produce a win-win solution agreement. it avoids a slow, procedural, and administrative process. it solves a prob19 purwahid patrik, asas-asas hukum perdata, (semarang: fh undip, 1982), page 26. 20 priyatna abdurrasyid, arbitrase dan alternatif penyelesaian sengketa, (jakarta: pt. fikahati aneska, 2002), page 5 – 6. yuli prasetyo adhi & achmad busro, borrow-to-use agreement and its legal consequences in case ...42 lem comprehensively in togetherness and it keeps a good relationship between the disputed parties. the advantage of the non-litigation process is its confidentiality, since the result of the resolution and the decisions are not publicly published. the dispute resolution outside the court is also generally called alternative dispute resolution. the alternative dispute resolution can be limited as a collection of procedures or mechanism serving to provide alternatives or options of procedures in settling disputes through an alternative dispute resolution to obtain a final decision and bind both parties. in general, what involves an intervention and an independent third party to help resolve a problem can facilitate the dispute resolution. the philosophy from the alternative dispute resolution is to motivate individual empowerment. it is a process which previously involves legal experts whose mastery of legal procedures, language, and rationale are needed in negotiations before the court trials begin. the individual empowerment in the dispute resolution efforts is carried out through the individual capability and to avoid from hiring legal professionals. it is also carried out through connecting the society with the policies and conscience and emotions. sometimes, it can be said that the motivation for utilizing an alternative dispute resolution is to create resolutions by working together. it is also believed that the alternative dispute resolution achieves a better result than that of a court resolution21: a. a different dispute requires a different approach and the disputed parties have to plan specific procedures for settlement using a dialog. b. other mediation and alternative dispute resolutions involve a more intensive and direct participation and it is believed that the alternative dispute resolution is no longer an alternative when it comes to settling a dispute. conclusions the provisions regarding a borrow-to-use agreement is found in the paragraphs 1740 to 1753 of the civil code. according to the paragraph 1740 of the civil code, a borrow-to-use agreement is an agreement in which one party hands in an object to be used by the other party for free, providing that the latter shall return the object after the using it or after the agreement period which has been set expires. the objects of a borrow-to-use agreement carried out by the society are various, starting from movable objects to the immovable ones. the most widely used object for a borrow-to-use agreement in the society is a vehicle, whether it is a car, a motorcycle, a truck and so on. the immovable objects which can be used in the agreement are a house, a piece of land, a building, etc. in every borrow-to-use agreement, either carried out by individuals, private legal entities, or government bodies, there are regulations about the rights and obligations of the parties involved in the agreement. the provisions regarding the obligations of the borrower can be found in the paragraphs 1745 – 1746 of the civil code. although a borrow-to-use agreement is created for the borrower’s interest, the object owner also has obligations to do. a borrow-to-use agreement in the indonesia’s society are mostly carried out using various items as the objects of the agreement. therefore, the agreement is still relevant in the society. however, the characteristics of the provisions regarding with the agreement are still general and are not yet able to accommodate all items related with the societal problems which are increasingly complex. there must force majeure provisions in every agreement, including a borrow-to-use agreement. in a borrow-to-use agreement, the borrower is the one to bear the consequences of the force majeure. therefore, it is important to include clearly in the agreement provisions related with force majeure in one of the clauses in case of force majeure and who will bear the consequences. if the risks taking place are not consequences which are related with force majeure, instead they are caused by negligence or deliberateness of one party, the condition can be regarded as a breach of contract by one of the parties involved in the agreement. the debtor is required to carry out a performance. therefore, when he or she does not perform as what is required, and it is not because of force majeure, he or she has committed a breach of contract. a breach of contract is a condition in which the debtor does fulfil his or her performance as stated in the 21 priyatna abdurrasyid, arbitration and alternative dispute resolution, (jakarta: pt. fikahati aneska, 2002), page 19. 43journal of private and commercial law 4(1) (2020) 33-43 agreement. any agreement which is created surely contains risks. according the civil law, a risk is an obligation to bear loss due to an event beyond the power of both parties. in regards with risks, the most important question should be who will bear the consequences when there is a legal problem arising from neither of the parties. as stated previously about risks, the paragraph 1237 of the civil code can only accommodate regulations about risk management in a unilateral agreement which states that the risks will be borne by the debtor. it is also summarized in the paragraphs 1545 and 1553 of the civil code. the risk regulations are about unilateral agreements. the risk resolution in a borrow-to-use agreement is emphasized on the content of the agreement. if the provisions on the risk resolution is absent in the agreement, then the provisions which will be applied are that found in the provisions of the civil code. recommendation 1. before any party attempt to create an agreement, it would be beneficial to understand beforehand what is desired by both parties and what are the rights and obligations which will be borne by either party. 2. the parties involved in an agreement are advised to create a written agreement and the agreement must be witnessed and signed properly. this is to avoid future disputes by both parties. 3. it is advisable that every signed agreement contain alternative resolutions, whenever a dispute regarding with the agreement takes place. the objective doing so is to solve any dispute which rises in a well-mannered dialog in order not to harm the disputed parties. 4. each party carries out their rights and obligations as stated in the agreement and both parties shall have good faith in carrying out the agreement. 5. it is recommended that both parties include laws which can govern and protect both of them dealing with their legal relationship in accordance with the reality in the societal lives, especially for the borrow-to-use agreements. bibliography books abdulkadir muhammad. (2000). hukum perdata indonesia. bandung: pt.citra aditya bakti abdurrasyid priyatna. (2002). arbitrase dan alternatif penyelesaian sengketa, jakarta: pt. fikahati aneska m. yahya harahap. (1982). segi-segi perjanjian, bandung: penerbit alumni purwahid patrik. (1982). asas-asas hukum perikatan, semarang: fh undip r. soeroso. (2009). contoh-contoh perjanjian yang banyak dipergunakan dalam praktik, jakarta: penerbit sinar grafika salim. h.s. (2006). pengantar hukum perdata tertulis (bw). jakarta: sinar grafika subekti. (1970). hukum perjanjian. jakarta: pt. pembimbing masa subekti. (1995). aneka perjanjian. bandung: pt. citra aditya bakti journal b.y.sondakh., h.sabijono., l.mawikere, analysis of local-owned property management (case studies on board of financial management and reginal asset at south minahasa district), emba journal, vol. 5, no. 2, pp 1171-1181. ernest g. lorenzen, causa and consideration in the law of contracts, yale law journal, vol. xxviii, no. 7, pp 621-646. karl n. llewellyn, what price contract? -an essay in perspective, yale law journal, vol 40, issue 5, pp 704-751. lina jamilah, asas kebebasan berkontrak dalam perjanjian standar baku, syiar hukum journal, vol. xiii, no. 1, 2012, pp 227-243. muh. sidik n. salam. (2014). aspek hukum perjanjian pinjam pakaiatas barang milik pemerintah daerah. legal opinion journal, vol. 2, no. 6, pp 1-16 muhamad muhdar, mohamad nasir, rosdiana. (2015). implikasi hukum terhadap praktik pinjam pakai kawasan hutan untuk kegiatan pertambangan batubara. halrev journal, vol. 1, issue 3, pp 430-451. sugeng riyono. (2013). pemanfaatan aset daerah (studi tentang pola kemitraan asset tanah pemerintah provinsi jawa timur), dia journal, vol. 11, no. 2. trisadini prasastinah usanti. (2012). lahirnya hak kebendaan. perspektif journal, vol. xvii, no. 1, pp 44-53. veronika mulalinda & steven j. tangkuman. (2014). efektivitas penerapan sistem dan prosedur akuntansi aset tetap pada dinas pendapatan, pengelolaan keuangan dan aset daerah kabupaten sidoro, emba journal, vol. 2, no. 1, page 521-531. p-issn 2599-0314 e-issn 2599-0306 jp cl jpcl 4(1) (2020) 44-50 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl bankruptcy boedel execution practices in indonesia arnoldi wachid1, levina yustitianingtyas2 1universitas muhammadiyah surabaya faculty of law, east java, indonesia received april 8 2019, accepted july 1 2019, published may 30 2020 doi 10.15294/jpcl.v4i1.25344 abstract the asean economic community is one of the pillars of the agreement to form asean. as the integrated economic identity of southeast asia, mea aims to create a single market and production base marked by the free flow of goods, services and investment. a bankruptcy issue crosses national borders arises, when debtors in indonesia have bankrupt assets abroad. where the bankruptcy execution process is hampered by existing rules in the country itself, especially in asean, one of the international organizations in the regional level which is one of indonesia’s members, does not yet have regulations that bind its members to the problem of bankruptcy boedel. 1967 un model law “uncitral cross border insolvency” which aims to be a reference for the resolution of the bankruptcy bankruptcy problem in asean. uncitral is a flexible legal product and can be used as a harmonization of bankruptcy law in asean. the purpose of this paper is to describe about bankruptcy boedel execution practices. keywords: asean; bankruptcy boedel; harmonization; uncitral introduction bankruptcy is a property of a body or someone who has been declared bankrupt by a bankrupt estate. the current era is the era of free trade, where trade is not carried out in a country alone, trade in this era can be done outside the region and it is also possible to do it outside the country. in the loan-lending agreement, there are times when the debtor cannot repay the debt so that it can be bankrupt by the creditor. moreover, the debtor has assets abroad that result in the occurrence of transnational bankruptcy. 1 cross-border bankruptcy does not only occur in indonesia, in the continents of asia, europe, africa or america, it is also a hot issue. in implementing bankruptcy decisions, there are often differences in state regulations. “jurisdictional conflict” (differences in the application of laws between one country and another). in cross-border bankruptcy many are found where the debtor has assets of more than one country, so the place of bankruptcy assets is in a different country than the country where the bankruptcy decision was set. this is often a legal problem when the execution of bankruptcy by the curator, because it is related to the sovereignty of a country to recognize foreign bankruptcy regarding the execution of the bankrupt assets..2 article 21 of law number 37 year 2004 concerning bankruptcy and suspension of debt payment obligations that bankruptcy covers all the assets of the debtor at the time the verdict is declared as well 1 hardjaloka, l. (2015) kepailitan lintas batas perspektif hukum internasional. yuridika. https://doi. org/10.20473/ydk.v30i3.1952 2 sukihana,i.a. (2019). kewenangan pengadilan niaga dalam eksekusi kepailitan. kertha semaya: jurnal ilmu hukum. https://doi.org/10.24843/km.2019.v07.i08.p0 * e-mail : arnold.iseng@gmail.com address : jl. raya sutorejo no.59, sutorejo, mulyorejo, surabaya east java, 60113, indonesia jp cl 45journal of private and commercial law 4(1) (2020) 44-50 as everything obtained during the bankruptcy. (see article 21 of law number 37 year 2004 concerning kpkpu). from this provision, materially, bankruptcy decisions include all debtor assets both inside and outside indonesia. thus the debtor’s assets outside indonesia adhere to the principle of universality. the state can execute bankruptcy decisions when there is a bilateral or multilateral agreement from that country which makes a legal umbrella. for example, singapore and malaysia, where both countries have bilateral agreements regarding bankruptcy, where the two countries regulate bankruptcy across national borders, so that bankruptcy decisions can be executed in singapore and malaysia. multilateral agreements on bankruptcy have also been established in the european union, so that bankruptcy decisions in eu countries can be directly executed because of the existence of multirateral agreements.3 overcoming the differences in rules from one country to another, then in the case of bankruptcy across borders there are breakthroughs that are used such as the model law issued in the form of uncitral cross-border insolvency. which was used in the european union and in several countries from 1997. afta (asean free trade area) is a form of freedom of business at the asean level. foreign entrepreneurs can also do economic business in indonesia, and vice versa. sanat business opportunities are especially tight for profit and in the near future can become a business dispute and therefore the need for a legal umbrella.4 1. at the asean level, the mechanism and procedure regarding bankruptcy are not yet accommodated. the bankruptcy and delay liability liability payment law currently only has three clauses regulating cross-border: 2. article 212 which regulates the actions of creditors after the bankruptcy decision to take all or part of the receivables from objects and including those outside the territory of indonesia. 3. article 213 regulates the actions of creditors that transfer all or part of the receivables to third parties. 4. article 214 regulates the actions of every person who transfers all or part of the receivables to third parties so that assets are collected overseas.5 in running a business, international companies can experience financial problems or can be said bankrupt. for in indonesia asean itself has not yet been set up in the form of rules or regulations what if the bankruptcy case has a foreign element (the debtor or creditor is in 2 or more different countries) in it. there is an issue of international relations law regarding bankruptcy, here the author will explain how the concept of the uncitral cross border insolvency model law can be used in asean, how the regulation of domestic and foreign curators in cooperation in executing bankruptcy loans abroad. research methods normative juridical research methods, using the statute approach and case approach with the aim of describing the efforts of curators to execute debtor assets outside the asean region. problems across national borders are also the point of view in the preparation of this study.6 the source of legal material used in this paper is primary legal material (secondary law), secondary legal material (secondary law) and tertiary legal material. the primary legal material used in this study is in the form of laws and international agreements relating to bankruptcy issues. in addition, secondary legal materials such as books related to bankruptcy and research reports on bankruptcy are also used. and also using tertiary legal materials, materials that provide an explanation of primary legal materials and secondary legal materials, such as a dictionary used to define some of the notions related to the subject matter discussed in this study.7 3 wirjono prodjodikoro, asas hukum perdata internasional, (jakarta: n.v.vandorp&co.,1954), page 140 4 sutan remy sjahdeni, 2016, sejarah, asas dan teori hukum kepailitan, premadamedia group, jakarta, page522. 5 article 212, jo article 213, jo article 214 uu kpkpu 6 marzuki mahmud, peter, 2016, penelitian hukum, cet. xii, kencana, jakarta. 7 anwar, k.(2014). peranan filsafat dalam ilmu hukum. justicia. https://doi.org/10.25041/fiatjustisia.v7no3.139 arnoldi & levina yustitianingtyas, bankruptcy boedel execution practices in indonesia 46 results and discussions uncitral concept every business transaction conducted between business actors is inseparable from the regulation of the country. because of that there needs to be modernization of legal certainty about business rules, especially regarding bankruptcy.8 the principle adopted in many countries, the court’s decision of a case, especially the bankruptcy problem cannot be implemented in different countries. refusal of the implementation of the court against the decision, based on article 264 (1) bankruptcy law: the enactment of civil procedural law in the commercial court, furthermore article 436 rv that foreign court decisions cannot be recognized and cannot be executed in indonesian courts.9 the uncitral cross border insolvency model law was formed by uncitral (the highest institution of the united nations which is responsible for modernizing international business regulations). consisting of 32 articles which provided guidelines for international bankruptcy in 1997. in 2017, singapore amended the companies act so that singapore’s bankruptcy law recognizes international bankruptcy with the uncitral cross border insolvency model law. why indonesia asean does not, if indeed this law model provides legal certainty and smooth international business. in opening this uncitral cross border insolvency mode law, in general, had the concept of cooperation between foreign courts and national courts with the authority to engage in bankruptcy, including: 1. there is legal certainty for the trading and investment business networks. 2. the concept of a fair and efficient law, for the benefit of cross-border creditors and debtors. 3. protection and maximization of debtor assets. phallalisitizing rescue of businesses / businesses that have financial problems, thereby protecting investment and preserving employment. (opening of uncitral model law) this legal breakthrough is to encourage cooperation between courts of 2 or more countries, and respect differences between national laws themselves.10 admitted the bankruptcy process in asean different state curators can submit to the national courts of other countries to acknowledge the bankruptcy proceedings in which they are appointed. it is explained in chapter iii article 15 (1) uncitral concerning the concept of recognition of foreign court proceedings which states that “foreign representatives can submit applications to the court to obtain recognition of the foreign process where the foreign representative is appointed”. parties to international bankruptcy can be divided into several groups, the debtor as the first party, the creditor as the second party and the court authorized to become the third party. delegation between the foreign curator to the third party who resolves the dispute, makes further rules on the problem of bankruptcy itself, in other words this can also be referred to as the delegation from the foreign court to the national court. a. requests for foreign executions also need to fulfill the requirements given by national courts. these requirements are taken into consideration when accepting or rejecting requests for recognition of foreign bankruptcy decisions: b. official copies of court decisions and the appointment of foreign representatives (curators). c. a statement describing the court process and the appointment of representatives (curators / management) d. if there is no 2 evidence, it can include other evidence that can be accepted and recognized by the court concerned.11 this request also includes a statement explaining the identification of the bankruptcy process that 8 hikmahanto juwana, bunga rampai hukum ekonomi dan hukum internasional, jakarta: lentera hati, page 291. 9 article 264 (1), act number 37 of 2004 concerning bankruptcy and pkpu 10 hardjaloka, l. (2015). kepailitan lintas batas perspektif hukum internasional dan perbandingannya dengan instrumen nasional di beberapa negara. yuridika, 30(3), page 492. 11 uncitral model law on cross-border insolvency opening section. 47journal of private and commercial law 4(1) (2020) 44-50 has been translated into the language of the country concerned. furthermore, the state has the right to reject recognition of the process of foreign bankruptcy if it is contrary to national law in force in that country. since the request for recognition until the request is decided, in an urgent and urgently needed state court a country can ask the foreign representative to protect the assets or interests of the debtor for a while. this can be done if it is in a condition where the debtor’s assets because they are urgent / endangering harm the parties concerned. the authority to execute the bankruptcy loan law number 37 of 2004 concerning bankruptcy and delaying obligations for debt payments has 10 principles of bankruptcy, among others. 1. creditorium parity means that separatist, preferred or concurrent creditors have the same rights without regard to all assets. if the debtor cannot pay, the debt is the target of the creditor. 2. pari passu prorata parte defines joint collateral assets, and the results are divided proportionally according to the law. 3. structured porata means three creditor positions between separatists, preferred and concurrent. 4. the principle of debt which means that the debt of achievement arises as a result of an agreement or as an order of the law and there is a minimum limit of the amount that can be made a request for bankruptcy. 5. debt collection means liquidation of bankrupt assets which are then distributed to creditors. 6. debt pooling defines how bankruptcy should be divided among creditors. 7. debt forgiveness defines bankruptcy as a legal institution, a tool to ease the burden borne by the debtor. 8. universal principle defines bankruptcy of all the assets of bankrupt debtors, both domestic and foreign. 9. the territorial principle defines a foreign bankruptcy ruling only applies in a country where the ruling of a bankruptcy is handed down and that the ruling of a bankruptcy is not enforced abroad. 10. commercial exit from financial distress means that the debtor’s condition does not have the ability to pay debts due to financial conditions due to a decline in company performance. bankruptcy uses the “principle of territoriality” whereby the circumstances of a bankruptcy decision in a foreign court termination have no legal consequences in the national court. following this principle, a person who has been declared bankrupt abroad cannot be declared bankrupt again in indonesia, this also means that the verdict of bankruptcy that has been pronounced in indonesia only has a legal effect on objects in his own territory.12 case example in 2002 central jakarta pn niaga verdict number 30 / pailit / 2002 / pn.niaga / jkt / pst. decisions of a foreign country can be implemented in a foreign country itself and cannot be implemented at the national level. indonesia also states that foreign court decisions cannot be directly executed within indonesia. it also has an impact on foreign bankruptcy decisions. article 3 (7) bankruptcy laws, foreign debtors but conducting business in indonesia, the court that has the authority to decide is a court whose jurisdiction covers the domicile or headquarters of the debtor to conduct his business in indonesia. what if the foreign debtor does not do his business and or has no assets in the territory of indonesia? “chapter i article 2 uncitral”, the process of foreign court proceedings, namely the court that carries out the process of filing a request for a statement of bankruptcy until the execution of bankrupt assets. this court is determined by the main location or economic activity and location of the majority of debtor assets. the inter-state court of interest will coordinate and then appoint a court that will oversee the process. article 4 uncitral “that the court is authorized in bankruptcy across national borders by not limiting the jurisdiction of other courts at the request of a foreign representative”.13 a state court can execute a debtor bankruptcy bankruptcy in their country even though they have recognized a foreign court process. with this, the law model does not eliminate the authority to execute 12 hardjaloka, l. (2015). kepailitan lintas batas perspektif hukum internasional dan perbandingannya dengan instrumen nasional di beberapa negara. yuridika, 30(3), page 489. 13 article 4 uncitral cross border insolvency model law arnoldi & levina yustitianingtyas, bankruptcy boedel execution practices in indonesia 48 debtors’ assets in the country. to encourage coordinated decisions, suitable for bankruptcy settlement itself. thus the creditor and debtor are free to choose which court can execute the bankruptcy case. the concept of bankruptcy although there are a number of asean countries such as malaysia singapore that have signed bilateral agreements on bankruptcy, in practice asean itself has no regulations governing the procedure for bankruptcy proceedings. there are several articles on uncitral cross border insolvency model law that can be taken for the basis of procedural law such as markets 26 (1), 26 (2) and also cooperation between foreign and national courts in article 26: article 26 (1) and (2) uncitral concerning foreign courts and or curators: a. curators or administrators are subject to court supervision and collaboration with foreign courts. b. foreign curators / managers who carry out their functions, supervised by the court, have the right to communicate directly with foreign courts or representatives. cooperation referred to in article 26 can be implemented: a. appointment of parties to act on behalf of the court. b. communication regarding information deemed important by the court. c. coordination regarding the administration and supervision of assets and the interests of creditors. d. coordination in the process of approval and implementation by the court regarding the trial process. e. the country concerned can add cooperation points to a mutual agreement. the principle of active coordination in chapter v article 29 uncitral, that the start of a local court process does not prevent or stop the process of a foreign bankruptcy court, but the process of national bankruptcy is given priority status. among others: a. all forms of cooperation assistance must be adjusted and not interfere with the process of local bankruptcy. b. if it interferes then the assistance must be reviewed, modified or stopped to maintain the existence of the process of the national bankruptcy court.14 provide guidance on cases where creditors are subject to national and foreign court proceedings at the same time, and both courts must carry out active coordination in accordance with chapter v of article 9 of the uncitral that the commencement of local litigation does not prevent foreign litigation. bankruptcy banker executions after the recognition of foreign bankruptcy and inter-state coordination of inter-court coordination are listed in chapter v article 9, then the execution of the boedel outside the country: a. chapter v article 31 uncitral “decisions of bankruptcy of foreign courts can be used as evidence that creditors are in a state of bankruptcy”. in this case the court has a strong legal basis for implementing the bankruptcy proceedings. b. the party authorized to liquidate the bankruptcy loan is given the authority to act in another country / foreign country. to solve the problem especially in assets that are abroad provide space for foreign representatives (curators) from abroad where the debtor’s assets are located to perform their duties, explained in chapter ii article 12.15 this article explains when foreign bankruptcy proceedings are recognized, foreign curators can participate in the bankruptcy process and the execution of the bankruptcy loan. so that foreign curators are given procedural or legitimacy to make requests, for example protection, realization and distribution of debt assets and cooperation with foreign parties. chapter ii article 13 (1) provides certainty of the legal status of creditors, the law model also guarantees that all foreign and local creditors have the same rights regarding participation in the bankruptcy process. asean bankruptcy law, especially malaysia and singapore can overcome bankruptcy issues 14 chapter i, article 27 uncitran cross border insolvency model law 15 chapter ii uncitral cross border insolvency model law 49journal of private and commercial law 4(1) (2020) 44-50 across borders by making bilateral agreements that are substantially the same as what is offered by the uncitral model law. uncitral offers a mechanism for resolving cross-border bankruptcy that is modified according to state needs. bankruptcy decisions sentenced by foreign courts to be executed in other countries, generally the state will not allow its court to execute foreign court sentences. the rejection is related to the principle of state sovereignty.16 however, the principle of territoriality can be done through good relations based on the principle of reciprocity (reciprocity). related to reciprocity, in criminal cases there are already legal rules contained in law number 1 of 2006 concerning reciprocal legal aid, but in civil matters including bankruptcy there is no regulation yet. in this case the indonesian government should make a law on mutual legal assistance in the case of bankruptcy, this aims to support the process of foreign bankruptcy and also create legal certainty about foreign bankruptcy. if the government makes this regulation, the indonesian government can easily execute foreign bankruptcy bailouts. conclusions the bankruptcy law in force in indonesia has three articles governing aspects of international bankruptcy, articles 212, 213 and 214. all three articles talk about the transfer of bankruptcy boedel in bankrupt assets abroad and the transfer of part or all of the debts owed to third parties. but this law does not regulate the mechanism and procedure of execution if the bankruptcy of bankruptcy is abroad, cooperation across countries and recognition of foreign bankruptcy decisions. the principle of uncitral’s flexibility can make it easier for indonesia in modifying bankruptcy laws such as article 15 of uncitral on the recognition of processes and foreign representation. article 25,26,27 uncitral concerning the cooperation of courts and foreign representatives with local courts to formulate a modern asean bankruptcy law. the principle of reciprocity can apply in indonesian civil law, by making the legal basis for the application of uncitral. uncitral is also flexible, which means that countries do not have to adopt a law model to request approval or submit an application and moreover, the law model can be modified according to state needs. there are things that need to be revised of the indonesia asean bankruptcy law in harmonizing the uncitral model law, by adopting: a. add article 2 of uncitral concerning the main proceedings of foreign and / or foreign processions. b. article 15 uncitral concerning recognition of processes and representatives of foreign curators. and also about cooperation between foreign courts and national courts. c. article 25, 26, 27 uncitral can be the basis for coordination, execution of bankruptcy bailouts in one country by involving local courts. there must be legal certainty governing bankruptcy across national borders. so that creditors and debtors are financially sound and guarantee economic activities. bibliography arbijoto, a. (2009). tinjauan kritis terhadap hukum kepailitan. jurnal hukum prioris, 2(3), 130-140. https://www.neliti.com/ publications/82024/tinjauan-kritis-terhadap-hukum-kepailitan anwar, k. (2014). peranan fisafat dalam ilmu hukum. fiat justicia. https://doi.org/10.25041/fiatjustisia.v7no3.139 adolf, huala. (2005). hukum perdagangan internasional. jakarta: rajagarfindo persada burman, h., & westbrook, j. l. (1997). united nations commission on international trade law: model law on cross-border insolvency.  international legal materials,  36(5), 1386-1398. retrieved january 15, 2020, from http://www.jstor.org/ stable/20698729 hardjaloka, l. (2015). kepailitan lintas batas perspektif hukum internasional dan perbandingannya dengan instrumen nasional di beberapa negara. yuridika, 30(3), 480-504. https://doi.org/10.20473/ydk.v30i3.1952 juwana, h. (2017). transaksi bisnis internasional dalam kaitannya dengan peradilan niaga.  jurnal hukum & pembangunan, 31(3), 224-227. doi: http://dx.doi.org/10.21143/jhp.vol31.no3.1303 16 arbijoto, a. (2009). tinjauan kritis terhadap hukum kepailitan. jurnal hukum prioris, 2(3), 130-140. https:// www.neliti.com/publications/82024/tinjauan-kritis-terhadap-hukum-kepailitan. arnoldi & levina yustitianingtyas, bankruptcy boedel execution practices in indonesia 50 juwana, hikmahanto. (2002). bunga rampai hukum ekonomi dan hukum internasional. jakarta: lentera hati marzuki mahmud, peter. (2016). penelitian hukum. jakarta: kencana sukihana,i.a. (2019). kewenangan pengadilan niaga dalam eksekusi kepailitan. kertha semaya: jurnal ilmu hukum. https:// doi.org/10.24843/km.2019.v07.i08.p0 sutan remy sjahdeni. (2016). sejarah, asas dan teori hukum kepailitan. jakarta: premadamedia syahrani, riduan. (2013). seluk beluk dan asas-asas hukum perdata. jakarta: pt. alumni sinaga, syamsudin m. (2012). hukum kepailitan indonesia. jakarta: tatanusa sujatmiko, b., & suryanti, n. (2017). perlindungan hukum bagi investor pada perusahaan terbuka yang pailit ditinjau dari hukum kepailitan. jurnal bina mulia hukum, 2(1), 15-25. doi: 10.23920/jbmh.v2n1.2 wirjono prodjodikoro. (1954). asas hukum perdata internasional. jakarta: n.v.vandorp&co. jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 90 cl jp jp jp jp perspectives of business personnel on force majeure as a reason for cutting work relationship in the pandemic time covid-19 zsazsa dordia arinanda master of law, universitas diponegoro email: zsazssadordia@gmail.com abstract the covid-19 pandemic outbreak that was experienced in almost all countries in the world, including indonesia, added challenges as well as new anxiety for businesses and workers. the spread of covid-19 in indonesia increasingly adds to the difficulty of the national industrial sector. the covid-19 pandemic can be categorized as a force majeure. it is a condition outside the wishes of the parties and cannot be predicted in advance, so the obligations specified in the contract cannot be fulfilled. force majeure can be used as a reason for companies to terminate their employees (phk), as stipulated in "article 164 paragraph (1) of law no. 13 of 2003 concerning labor", but companies must make every effort to protect the workers jointly. the practice that is happening right now is that many companies do layoffs without any protection for workers. the issue of how layoffs were under covid-19 on the grounds of force majeure will be discussed in this study. the normative juridical method and the approach to legislation about labor were used in this research. the writer used secondary data such as primary legal materials, namely law, and literature related to research issues as secondary legal materials, collected through library studies, and analyzed descriptively analytically. the study result shows that layoffs on the grounds of force majeure due to the covid-19 pandemic may be carried out by the company, but must still pay attention to workers' rights. keywords: force majeure; pandemic of covid-19, phk. mailto:zsazssadordia@gmail.com jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 91 cl jp jp jp jp introduction since the end of 2019, indonesia and all countries in the world have become the distribution area for the corona virus disease 2019, from now on referred to as covid-19. various losses, from the health to the economic side, were caused by the disease caused by the sars-cov-2 virus.1 the determination of covid-19 as a pandemic by the world health organization (who) is accompanied by a global economy which is sure to slow down, and this also affects the business world.2 in april, the spread of covid-19 was declared a national disaster by the government of indonesia through "presidential decree number 12 of 2020 concerning nonnatural disasters for the spread of covid-19". physical distancing and diversion of various activities to be online based are carried out as a manifestation of the government's appeal to stop the spread of covid-19. the government has made various efforts to reduce the spread of covid-19, including intensifying the "#dirumahaja" campaign to provide an appeal for physical distancing followed by the issuance of various regulations to limit activities.3 one of the rules that dismiss workplaces is regulated in the regulation of the minister of health of the republic of indonesia number 9 of 2020 concerning guidelines for large-scale social restrictions in the context of accelerating handling of corona virus disease 2019 (covid-19), in particular, article 13 paragraph 1. one of the side effects of the existence of these regulations is the indirect disruption of community activities that impact various sectoral activities, including the business sector. industrial sectors in indonesia, such as manufacturing, tourism, trade, and export-oriented businesses, have been affected 1 silpa hanoatubun, “dampak covid–19 terhadap prekonomian indonesia”. edupsycouns: journal of education, psychology and counseling, 2(1), (2020), p. 148. 2 aknolt kristian pakpahan, “covid-19 dan implikasi bagi usaha mikro, kecil, dan menengah”. jurnal ilmiah hubungan internasional, edisi khusus april 2020, (2020), p. 62. 3 inayah & surisman, “work termination during the covid-19 pandemic in tthe perspective of positive law in indonesia”. legal standing jurnal ilmu hukum, 4(1), (2020), p. 251. jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 92 cl jp jp jp jp and are experiencing ongoing difficulties.4 the covid-19 epidemic that is currently hitting not only adds to the challenges but also provides new anxiety for business people and workers. entrepreneurs are required to carry out their obligations even though production and business turnover are not smooth due to this pandemic.5 this situation puts the company in a difficult condition to run its business so that every day it makes business actors more losers.6 to survive, many companies have made decisions to lay off workers or workers and even terminate their employment (phk). quoted from a statement issued by the indonesian employers' association (apindo), that there were layoffs (phk) and attempts to lay off massive 7 million workers in indonesia.7 this figure can illustrate that the covid-19 pandemic has had such a devastating impact on the fate of workers in indonesia. layoffs by companies for workers amid covid-19 will cause workers to lose income to support themselves and their families.8 the company's decision to lay off and lay off employees is a step taken by the company to reduce expenses so that the company can return to a stable condition. as did the start-up company decacorn, namely "grab holdings", which also laid off 5% of its employees due to the impact of the covid-19 pandemic.9 4 antonius purwanto, dunia usaha dan pekerja dibayangi korona. available from: <https://kompas.id/baca/riset/2020/03/25/dunia-usaha-dan-pekerja-dibayangi-korona/> [accessed, june 10, 2020]. 5 muhyiddin, “covid-19, new normal dan perencanaan pembangunan di indonesia”. the indonesian journal of development planning, iv (2), (2020), p. 243. 6 irena dwi fetraningtyas, kornelius benuf, “barriers to execution of fiduciary guarantees by pt bank rakyat indonesia (persero) semarang pandanaran branch office”. melayunesia law, 4(1), (2020), p. 27. 7 savira wardoyo, soal phk pengusaha punya data mengejutkan, ada 7 juta orang. available from: https://www.cnbcindonesia.com/news/20200508200443-4-157257/soal-phk-pengusahapunya-data-mengejutkan-ada-7-juta-orang [accessed, june 10, 2020]. 8 m. rikhardus joka, “implikasi pandemi covid-19 terhadap pemenuhan hak hukum pekerja yang diputuskan hubungan kerja oleh pengusahan”. binamulia hukum, 9(1), (2020), p. 3. 9 tim detikcom, grab phk 5% karyawan dampak pandemi corona. available from: https://inet.detik.com/business/d-5055570/grab-phk-5-karyawan-dampak-pandemi-corona [accessed, june 10, 2020]. https://www.cnbcindonesia.com/news/20200508200443-4-157257/soal-phk-pengusaha-punya-data-mengejutkan-ada-7-juta-orang https://www.cnbcindonesia.com/news/20200508200443-4-157257/soal-phk-pengusaha-punya-data-mengejutkan-ada-7-juta-orang https://inet.detik.com/business/d-5055570/grab-phk-5-karyawan-dampak-pandemi-corona jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 93 cl jp jp jp jp the ministry of manpower of the republic of indonesia released data on the number of workers who experienced layoffs and were dismissed as of april 2020, both from the formal sector and the informal sector. the data can be seen through the following diagram: diagram 1: workers in indonesia who are laid off and laid off source: ministry of manpower of the republic of indonesia based on the data in the diagram above, it is known that the number of good workers in all sectors, who experienced layoffs during the covid-19 pandemic, were 1,010,579 workers. layoffs were made for reasons of company efficiency. however, under these conditions, can layoffs be justified? companies do not necessarily use reasons such as losses suffered by companies, force majeure, and efforts to improve efficiency during this pandemic. there are provisions for companies and employees regarding layoffs that have been stipulated by law.10 this is stated in article 164 of law number 13 of 2003 concerning manpower, from now on referred to as “the manpower law which allows layoffs if there is a loss experienced by the company. layoffs of workers are used as a last resort as a solution to the crisis experienced by companies due to the covid-19 pandemic. 10 diki mardiansyah “the corona virus and labor rights issues: how do workers get their rights?” the indonesian journal of international clinical legal education, 2(2), (2020), p. 132. formal sector 137.489 workers informal sector 873. 090 workers jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 94 cl jp jp jp jp the background above underlies this research to focus on the problem of how layoffs were practised during the covid-19 period on the grounds of force majeure that occurred in indonesia. so that it will also discuss the terminology of force majeure, and its implementation in work relations in indonesia, and will explain the actions of companies that use force majeure as a reason for laying off workers during the covid-19 pandemic. research methode this research is a research-based on statutory regulations using secondary legal data, or the method is called the normative juridical research method.11 secondary data consists of primary and secondary legal materials. primary legal materials, such as statutory regulations and judges' decisions, are legally binding documents. meanwhile, the opinion of legal experts in books, previous research results, and other sources that explain primary legal material is secondary legal material.12 this research uses law no. 13 of 2003 concerning manpower as primary legal material, while books and legal journals related to the problems in this study are used as secondary legal materials. the process of collecting data and legal materials was carried out by means of literature study and then analyzed descriptively and analytically, to answer research problems. results and discussion force majeure as the company's reason for layoffs during the covid-19 pandemic terminology and legal basis of force majeure in indonesia force majeure, for dutch, means overmatch, is a situation that occurs without the will of the parties and cannot be predicted. this results in non-fulfilment of 11 kornelius benuf & muhamad azhar."metodologi penelitian hukum sebagai instrumen mengurai permasalahan hukum kontemporer". gema keadilan, 7(1), (2020), p. 24. 12 ronny hanitijo s, metodologi penelitian dan yurimetri. (semarang: ghalia indonesia, 1990), p. 15-20. jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 95 cl jp jp jp jp obligations in a contract. there is a term in arabic, namely قهار, (qahhar) which means "force" so that this condition can be called the force majeure.13 several experts have provided opinions regarding the meaning of this force majeure. according to subekti, force majeure is the reason used to be released from the obligation to pay compensation.14 according to abdulkadir muhammad, force majeure is a condition that causes the debtor to be unable to fulfil his performance due to unexpected events at the time the engagement is made.15 according to setiawan, force majeure is a condition that prevents a debtor from fulfilling his performance after approval occurs. when a debtor agrees, he cannot expect this situation even to occur before the debtor is negligent in fulfilling his achievements so that he cannot be blamed and does not have to bear the risk.16 force majeure, which is a condition in which the debtor is unable to fulfil his / her performance, but accountability is not asked of it due to unforeseen circumstances so that the situation or event cannot be accounted for by a debtor who was not previously in bad faith.17 thus, an event that causes one party to suffer a loss, but it occurs beyond the willingness and ability of the parties can be categorized as force majeure. 18 each condition can be classified into force majeure freely by the parties if the contract does not clearly describe the classification of events and conditions of force majeure and as long as it does not conflict with conditions beyond the willingness and ability of the parties.19 the conditions of force majeure in practice that is stated 13 ahmad abdul haq, keadaan memaksa. available from: <http://www.wikiapbn.org/keadaanmemaksa/> [accessed, june 12, 2020]. 14 p.n. h. simanjuntak, hukum perdata indonesia cetakan ke3. (jakarta: kencana, 2017), p. 295. 15 abdulkadir muhammad, hukum perikatan. (bandung: citra aditya bakti, 1992), hlm. 28. 16 p.n. h. simanjuntak, op cit, p. 297. 17 laras sutrawaty, “force majeuree sebagai alasan tidak dilaksanakan suatu kontrak ditinjau dari perspektif hukum perdata”. tadulako law review, 5(2), (2016), p. 4. 18 herman brahmana, “eskalasi dan force majeure dalam perundang undangan jasa konstruksi”. usu law journal, 3(2), (2015), p. 81. 19 rahmat s.s. soemadipradja, penjelasan hukum tentang keadaan memaksa, nasional legal reform program. jakarta: gramedia, (2010), p. 120. http://www.wikiapbn.org/keadaan-memaksa/ http://www.wikiapbn.org/keadaan-memaksa/ jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 96 cl jp jp jp jp in a contract are as follows; 20 natural disasters in the form of earthquakes, fires, hurricanes, cyclones, flash floods or volcanic activity; war whether declared or not, terrorism; rebellion, mass riots, riots, power struggles, social disturbances, strikes or lockouts, blockades by people other than contractor or subcontractor personnel; cargo embargoes, unreasonable delays in burning ships and clearing customs (defined as the time exceeding 30 days from the day of arrival of the ships ready for unloading); material changes to national and regional laws and regulations; other things. the force majeure clause in a contract, including a work contract, aims to prevent an incident that is detrimental to one of the parties, because of an "act of good".21. there are several conditions so that force majeure can be used to free debtors from their responsibilities. purwahid patrik stated that there are three conditions, namely: 1) to fulfil his obligations there must be obstacles; 2) the occurrence of the obstacle is not due to the fault of the debtor, and 3) not caused by a situation that becomes the risk of the debtor.22 meanwhile, r. subekti stated the conditions for a condition to be said to be force majeure, namely: 1) the condition was not under the control of the debtor and was coercive; and 2) at the time the agreement is made the situation must be unknown, at least the debtor does not bear the risk.23 these conditions are held so that debtors do not abuse force majeure reasons to escape responsibility. the legal basis for enforcing force majeure in indonesia is regulated in article 1244 and article 1245 of the civil code. article 1244 of the civil code, which reads: 20 siti yuniarti, force majeure. available from:https://business-law.binus.ac.id/2016/07/31/force majeure/ [accessed, june 12, 2020]. 21 agri chairunisa isradjuningtias, “force majeure (overmacht) dalam hukum kontrak (perjanjian) indonesia”. veritas et justitia, 1(1), (2015), p. 148. 22 purwahid patrik, dasar-dasar hukum perikatan. (bandung: mandar maju, 1994), p. 35. 23 raden subekti, aneka perjanjian. (bandung: penerbit press citra aditya bakti, 1995), p. 124. https://business-law.binus.ac.id/2016/07/31/force%20majeure/ https://business-law.binus.ac.id/2016/07/31/force%20majeure/ jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 97 cl jp jp jp jp "if there is a reason for that, the debtor must be sentenced to compensate costs, losses and interest if he can prove that the failure or not at the right time to carry out the agreement, is due to an unexpected thing, and cannot be held responsible to him. even if it is bad, it is not on his side."24 meanwhile, article 1245 of the civil code reads: "it is not necessary to replace loss and interest costs, if due to coercive circumstances or because of an accidental incident the debtor is unable to provide or do something that is required or because the same things have committed an illegal act."25 when the contract agreed by the parties has not set a clause regarding force majeure, force majeure can still be applied using "article 1245 of the civil code" as a legal basis. also, the application of force majeure needs to be supported by adequate evidence as to what are the real consequences experienced by debtors in force majeure. so that the evidence can explain an obstacle that resulted in the achievement being unable to be implemented, the application of the argument of force majeure must meet the requirements that achievement of achievement is hindered or prevented, but this is outside the debtor's fault and is not a debtor's risk.26 the covid-19 pandemic can be a reason for debtors not to do their achievements because of force majeure. still, not all agreements that cannot be implemented during the contract pandemic use force majeure reasons, because the covid-19 pandemic cannot be generalized as force majeure in every case, instead, 24 r. subekti dan r. tjitrosudibio, kitab undang-undang hukum perdata (kuh perdata). (jakarta: pradnya paramita, 2003), p. 324. 25 r. subekti dan r. tjitrosudibio, ibid. p. 325. 26 laras sutrawaty, op.cit. p. 4. jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 98 cl jp jp jp jp it must be assessed on a case by case basis by the situation and factual conditions of each of these cases.27 termination of employment (phk) in the manpower law the existence of the manpower law aims to protect workers from the arbitrariness of employers. 28 the regulation of layoffs in the manpower law is based on just reasons (just cause).29 article 1 point 25 of the manpower law, stipulates that termination of employment is the termination of a working relationship due to some issues resulting in the termination of rights and obligations between workers/labourers and entrepreneurs. termination of employment is a condition where the worker stops working for his employer.30 layoffs are feared by workers because they lose their source of income to meet their daily needs and their families.31 the essence of layoffs is the beginning of suffering or the beginning of all endings. this happens because when the working relationship is terminated, it is the beginning of the absence of work which is a source of income that is used to meet the needs of one's own life and family.32 various factors, such as a specific time that the work contract has previously agreed upon has ended, can lead to layoffs. the work agreement must be based on legal principles, such as the principle of freedom of contract, the principle of consensus, the principle of pacta sun 27 aminah, “pengaruh pandemi covid 19 pada pelaksanaan perjanjian”. diponegoro private law review, 7(1), (2020), p. 650. 28 eric tuker, “renorming labour law: can we escape labour law’s recurring regulatory dilemmas?” industrial law journal, 39(2), (2010), p. 99. 29 ilo, labour market indicators questionnaire, dalam budi santoso. “justifikasi efisiensi sebagai alasan pemutusan hubungan kerja”. mimbar hukum, 25(3), (2013), p. 405. 30 abdul khakim, pengantar hukum ketenagakerjaan indonesia. cetakan ke 2, edisi revisi. (bandung: pt.citra aditya bakti, 2007), p. 56. 31 yani nur fatimah “penyelesaian perselisihan hubungan industrial di pengadilan hubungan industrial dalam pemenuhan hak pekerja/buruh yang di putus hubungan kerja”. pandecta, 10(2), (2015), p. 216 32 asri wijayanti, hukum ketenagakerjaan pasca reformasi. (jakarta: sinar grafika, 2016), p. 158. jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 99 cl jp jp jp jp servanda, the principle of balance, the principle of justice.33 also, disputes between workers and employers, workers die, and other reasons can be reasons for layoffs.34 the manpower law divides layoffs into 2 (two) types, namely voluntary layoffs and involuntary layoffs. voluntary layoffs are usually defined as the resignation of a worker/labourer without coercion and pressure from the employer, including due to the expiration of the contract period, failing to pass the probation period, entering retirement age, and the worker dies. meanwhile, involuntary layoffs are layoffs that occur not because of the initiative of the worker/labourer, but rather the initiative of the entrepreneur. this can occur due to several factors, including violations committed by workers, the company has closed because it suffered losses for two consecutive years, due to force majeure, and because employers were doing efficiency.35 the manpower law, has determined the reasons for layoffs stipulated in the manpower law, as follows; resign without pressure (article 162 paragraph 1), failure to pass the probationary period (article 154), completion of a particular time working agreement (article 154 letter b), workers commit violations of work agreements, collective labor agreements or company regulations (article 161 paragraph 3 ), workers apply for layoffs due to employer violations (article 169 paragraph 1), marriage between workers (if regulated by the company) (article 153), mass layoffs due to company losses or force majeure (article 164 paragraph 1), mass layoffs because the company is efficient (article 164 paragraph 3), consolidation, merger, change of status and worker does not want to continue working relationship (article 163 paragraph 1), consolidation, merger, change of 33 yetniwati, elita rahmi, dan hartati, “sistem pengawasan terhadap perjanjian-perjanjian terkait pengiriman pekerja migran atau tenaga kerja indonesia ke luar negeri”. nagari law review, 3(2), (2020), p. 57. 34 h. zaeni asyhadie dan rahmawati k, hukum ketenagakerjaan dalam teori dan praktik di indonesia. (jakarta: prenadamedia group, 2019), p. 252. 35 indi nuroini, “penerapan perjanjian bersama dalam pemutusan hubungan kerja”. jurnal yudisial, 8(3), (2015), p. 324. jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 100 cl jp jp jp jp status and employer does not want to continue working relationship (article 163 paragraph 2), bankrupt company ( article 165), workers die (article 166), workers are absent for 5 days or more and have been appropriately summoned 2 times (article 168 paragraph 1), workers are severely ill or due to work accidents a (after 12 months) (article 172), workers enter retirement age (article 167), workers are detained and unable to perform work (after 6 months) (article 160 paragraph 7), workers are detained and found guilty (article 160 paragraph 7) . based on the reasons above, it is explained about the reasons for layoffs, it is known that there are 17 (seventeen) reasons stipulated in the manpower law for layoffs, namely; "resigning without pressure, failing to pass the probation period, completion of a work agreement for a specific time, workers violating work agreements, collective labor agreements, or company regulations, workers applying for layoffs due to employer violations, marriage between workers (if regulated by the company), mass layoffs because the company loses or forces majeure, mass layoffs are due to the company's efficiency, consolidation, merger, change of status and workers do not want to continue working relations, consolidation, merger, change of status and employers do not want to continue working relationships, workers die, workers are absent for 5 days or more and have been appropriately summoned twice, the worker is severely ill or because of a work accident (after 12 months), the worker enters retirement age, the worker is detained and unable to perform work (after 6 months), and the worker is detained and found guilty. it is only for these reasons that a company can carry out dismissal against its workers, which is regulated in the manpower act. force majeure as the reason for layoffs during the covid-19 period referring to the previous explanation that force majeure could be the reason for layoffs, article 164 paragraph (1) of law no. 23 of 2003 concerning manpower which strictly regulates that: jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 101 cl jp jp jp jp "employers can terminate the employment relationship of workers/labourers because the company is closed because the company has suffered continuous losses for 2 (two) years, or a force majeure, provided that the worker/labourer is entitled to severance pay of 1 (one) ) times the provisions of article 156 paragraph (2) the reward money for the service period is 1 (one) time the provisions of article 156 paragraph (3) and rights compensation money according to the provisions of article 156 paragraph (4)." the contents of this article have provided room for employee layoffs to be carried out due to the closure of the company due to several reasons, one of which is force majeure. however, the problem is that the explanation or further provisions regarding the force majeure referred to in the law have not been regulated so that this can lead to multiple interpretations in classifying the conditions that cause force majeure. the government has issued several policies that aim to prevent the spread of covid-19, one of which is by declaring this pandemic a national disaster and calling on the community to do physical distancing and activities (including working) from home. legal umbrellas were even issued in connection with this appeal, including; government regulation number 21 of 2020 concerning largescale social restrictions in the context of accelerating handling of corona virus disease 2019 (covid-19), presidential decree number 11 of 2020 concerning determination of public health emergencies for corona virus disease 2019 (covid-19), regulation of the minister of health republic of indonesia number 9 of 2020 concerning guidelines for large-scale social restrictions in the context of accelerating the handling of corona virus disease 2019 (covid-19), and finally, through presidential decree number 12 of 2020 concerning determination of non-natural disasters for the spread of corona virus disease 2019 (covid19) ) as a national disaster. jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 102 cl jp jp jp jp the side effect that arises from policies to break the chain of the spread of covid-19 by the government is the obstruction of business opportunities and activities; it can even become a threat to the business existence of business actors if these policies are implemented for a long time. this can directly threaten the survival of workers. layoffs on the grounds of covid-19 caused massive force majure by the company. the reason for dismissal is because "force majure" is contained in "article 164 paragraph (1) of law number 13 of 2003 concerning manpower" which allows layoffs to be carried out if due to force majeure the company is closed.36 the covid-19 pandemic, which is a disaster that arises beyond the power, will, and cannot be resolved by the parties, can be categorized as a force majeure.37 then, the covid-19 pandemic has been designated as a national disaster, as stated in presidential decree no. 12 of 2020 concerning the determination of non-natural disasters for the spread of corona virus disease 2019 (covid-19). based on this, the covid-19 pandemic is a strong reason to be categorized as a force majeure. considering that every disaster will inevitably lead to an emergency, just as covid-19 is a non-natural disaster that can cause a health emergency. the increasing number of positive patient cases and victims dying every day has made the covid-19 pandemic also categorized as an extraordinary event. various aspects of community life, such as politics, economy, socio-culture, defence and security, and welfare, are ultimately affected. concern about being exposed to workers with the virus that causes covid-19 is a reasonable reason to lay off workers because if there are casualties among workers, the company will find it 36 imas novita juaningsih, “analisis kebijakan phk bagi para pekerja pada masa pandemi covid-19 di indonesia”. adalah: buletin hukum dan keadilan, 4(1), (2020), p. 193. 37 juanda pangaribuan, pengaruh covid-19 sebagai force majeure terhadap hubungan kerja. available from: <https://www.hukumonline.com/berita/baca/lt5e97ca9b56661/pengaruh-covid19-sebagai-force-majeure-terhadap-hubungan-kerja-oleh--juanda-pangaribuan?page=all> [accessed, june 16, 2020]. https://www.hukumonline.com/berita/baca/lt5e97ca9b56661/pengaruh-covid-19-sebagai-force-majeure-terhadap-hubungan-kerja-oleh--juanda-pangaribuan?page=all https://www.hukumonline.com/berita/baca/lt5e97ca9b56661/pengaruh-covid-19-sebagai-force-majeure-terhadap-hubungan-kerja-oleh--juanda-pangaribuan?page=all jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 103 cl jp jp jp jp challenging to avoid accusations of negligent manslaughter. on the other hand, the act of laying off workers automatically stops the operations and production of the company. as a result, the company's cash flow or liquidity will be in bad condition even though the company still has to carry out its obligations. this weakens the company's ability to retain its employees, and if it continues, layoffs due to force majeure cannot be avoided. although layoffs due to force majeure caused by the covid-19 pandemic are allowed, companies should still pay attention to the interests of employees who have been laid off. many workers or workers who have been laid off have claimed to have been dismissed unilaterally by the company. workers 'or workers' rights such as severance pay, reward pay, and compensation pay for rights paid by the company in instalments or not at all.38 the existence of the covid-19 phenomenon brings its learning in the context of the development of labour law in indonesia; the government must be able to make policies in labour law with novelty that accommodate the balance of interests of various parties. labour law reforms must accommodate regulations regarding the rights and obligations of all parties, including workers, employers, and the state during the pandemic.39 the manpower law regulates that if force majeure is the reason for layoffs to be made, based on "article 164 paragraph (1) workers are entitled to severance pay of 1 (one) time, the provisions of article 156 paragraph (2) the reward for working period is 1 (one) time the provisions of article 156. paragraph (3) and compensation money according to the provisions of article 156 paragraph (4). meanwhile, if the dismissal by the company is due to efficiency reasons, then based on the provisions of article 164 paragraph (3) the company is obliged to pay the 38 sharon paticia, pekerja terkena phk tanpa prosedur yang seharusnya. available from: <https://kompas.id/baca/ekonomi/2020/04/09/korban-phk-diberhentikan-tanpa-prosedur-yangseharusnya> [accessed, june 16, 2020]. 39 richard kennedy, “legal discourse on manpower during covid-19 outbreak”. law reform, 16(1), (2020), p. 70. https://kompas.id/baca/ekonomi/2020/04/09/korban-phk-diberhentikan-tanpa-prosedur-yang-seharusnya https://kompas.id/baca/ekonomi/2020/04/09/korban-phk-diberhentikan-tanpa-prosedur-yang-seharusnya jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 104 cl jp jp jp jp workers' rights consisting of severance pay of 2 (two) times the provisions of article 156 paragraph (2), the reward money for the working period of (one) times the provisions of article 156 paragraph (3) and compensation for rights according to the provisions of article 156 paragraph (4). conclusions the covid-19 pandemic that hit indonesia can be categorized as force majeure because the covid-19 pandemic is classified as a national disaster that occurred beyond the control of the parties, and these parties cannot handle it. force majeure in labour law can be used as an excuse for companies to lay off their workers. however, if a company does layoffs due to force majeure caused by the covid19 pandemic, the company must still pay attention to the rights of employees who have been laid off. workers' rights, such as severance pay, reward pay, and compensation money, are paid by the company in instalments or not at all. layoffs amid the current covid 19 epidemic, layoffs of workers/labourers should be a "last resort". before laying off workers, companies can take several steps that can be taken, such as: not extending non-permanent contracts, reducing wages and facilities for managers and directors; reduce work shifts; limiting/eliminating overtime work, reducing working hours; reduce working days, and lay off or lay off workers for a while. before carrying out this step, of course, the employer must discuss and agree with the trade union or workers' representatives in the company concerned. for this reason, employers jointly protect workers, one of which is through deliberation between the company and employees before deciding on layoffs. if in the end, the business actor decides to lay off the worker or labourer, then the business actor should pay attention and fulfil the rights of the worker or labourer who has been laid off. jpcl 4(2) (2020) 90-107 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 105 cl jp jp jp jp bibliography books asyhadie, h. z., kusumawati, rahmawati. hukum ketenagakerjaan dalam teori dan praktik di indonesia. jakarta: prenadamedia group. 2019. khakim, abdul. pengantar hukum ketenagakerjaan indonesia. cetakan ke 2, edisi revisi. bandung: pt.citra aditya bakti. 2007. muhammad, abdulkadir. hukum perikatan. bandung: citra aditya bakti. 1992. patrik, purwahid. dasar-dasar hukum perikatan. bandung: mandar maju. 1994. rahmat s.s. soemadipradja. penjelasan hukum tentang keadaan memaksa, nasional legal reform program. jakarta: gramedia. 2010. simanjuntak, p.n. h. hukum perdata indonesia cetakan ke3. jakarta: kencana. 2017. soemitro, ronny h. metodologi penelitian dan yurimetri. semarang: ghalia indonesia. 1990. subekti, r. dan tjitrosudibio, r. kitab undang-undang hukum perdata (kuh perdata). jakarta: pradnya paramita. 2003. subekti, raden. aneka perjanjian. bandung: penerbit press citra aditya bakti. 1995. wijayanti, asri. hukum ketenagakerjaan pasca reformasi. jakarta: sinar grafika. 2016. journal aminah. “pengaruh pandemi covid 19 pada pelaksanaan perjanjian”. diponegoro private law review, 7(1), (2020): 650-656. benuf, k., azhar, muhamad. 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https://kompas.id/baca/ekonomi/2020/04/09/korban-phk-diberhentikan-tanpa-prosedur-yang-seharusnya https://kompas.id/baca/ekonomi/2020/04/09/korban-phk-diberhentikan-tanpa-prosedur-yang-seharusnya https://inet.detik.com/business/d-5055570/grab-phk-5-karyawan-dampak-pandemi-corona https://inet.detik.com/business/d-5055570/grab-phk-5-karyawan-dampak-pandemi-corona https://www.cnbcindonesia.com/news/20200508200443-4-157257/soal-phk-pengusaha-punya-data-mengejutkan-ada-7-juta-orang https://www.cnbcindonesia.com/news/20200508200443-4-157257/soal-phk-pengusaha-punya-data-mengejutkan-ada-7-juta-orang https://business-law.binus.ac.id/2016/07/31/force%20majeure/ https://business-law.binus.ac.id/2016/07/31/force%20majeure/ jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 32 trends and issues of the investment legal revolution: evidence of the omnibus law on job creation hartini atikasari faculty of law universitas negeri semarang (unnes), indonesia hartiniatika@students.unnes.ac.id submitted: april 17, 2021 revised: april 27, 2021 accepted: may 21, 2021 abstract the multidimensional crisis due to the covid-19 pandemic has implications for the country's economy. foreign investors are sought to help extinguish the threat of a deficit in state finances through foreign investment (fi). access to investment, which was initially limited in nature, has become quite flexible due to the promulgation of the omnibus law on job creation. legislative reform which was colored by intrigue and controversy was packaged as a way out for national development and economy, especially as a response to the prevention of the country's financial crisis. the purpose of this research is to examine about the implementation of fi regulations on the investment climate in indonesia, especially during the period of covid-19 pandemic and a critical narrative towards the omnibus law on job creation which represents the investment legal revolution. the research method used is normative legal research method, this research is expected to be able to answer the above legal issues through a statute approach, also using literature law materials which include scientific works and research results. the data were obtained from literature studies which were then analyzed by descriptive analysis. the results show that the implementation of fi regulations in indonesia is still classified as complicated so that the effect is the low interest of foreign investors to invest their capital in indonesia. although the government through the capital investment coordinating board has attempted to overcome this problem by pioneering the establishment of the one stop integrated service and investment service, the covid-19 pandemic has made it more difficult for the realization of foreign investment in indonesia. on the other hand, government policy in reforming investment law in indonesia through the omnibus law on job creation too prioritizing economic targets that are not proportional to the threat of state sovereignty and guarantee of people's welfare. keywords: foreign investment; investation; investment law; omnibus law on job creation mailto:hartiniatika@students.unnes.ac.id jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 33 introduction the covid-19 pandemic that has occurred globally since the end of 2019 has triggered a multi-dimensional crisis in various fields, one of them is the economy. many countries must implement strict restrictions on various activities (lockdown / social distancing) in order to break the chain of spreading the virus. the polemic intersects with economic activities that are closely integrated in the global value chain which then experienced a sharp decline, causing a contraction in the global economy. unlike other economic crises that have hit the world before, the crisis due to the impact of covid-19 pandemic has not only hit the demand side, but also the global supply side. china, as one of the countries providing global offers for various global production activities, has actually become the initial epicenter of the emergence of the covid-19 virus. argument the central point of chinese domination inprove it through china's contribution to global economic growth which based on a bank indonesia report, in 2019, china has contributed up to 17% to the global economy.1 this situation makes china willcontrolling more than half of global economic growth. meanwhile, in the field of international trade and investment, respectively, it reached 11% and 7% of the total gross domestic product (gdp) global.2 in line with the aforementioned problems, the resilience of the global economy is tested. the chinese economy was no exception, which also experienced a temporary economic contraction. even so, since the third quarter of 2020, the majority of countries in the world have recovered through policy stimulus and increased mobility, as well as monetary easing.3 unfortunately, the improving economic situation does not create guarantees for improvement in global trade and investment due to the pandemic that has not subsided. limitative social interaction contradicts the main foundation of the global value chain, so that global trade and investment are the sectors most affected by the covid-19 pandemic. 1 bank indonesia. (2020). chapter 5 article i: the impact of coronavirus on the global economy. jakarta. 2 ibid. 3 bank indonesia. (2020). report on the implementation of duties and authorities of bank indonesia for quarter iii 2020. jakarta. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 34 based on data from the global trade update 2020, global trade is predicted to fall by 13% to 32% during the covid-19 pandemic,4 so it could slow down multinational enterprise (mne) capital expenditures as well as production locations that are required to close or operate at a lower capacity than usual, causing company cash to shrink. pressure on global financial markets has also begun to ease, hampering investment plans and expanding existing facilities. most countries also allocate their state budgets to cope the crisis of the covid-19 pandemic. as a result, the availability of funds or capital, which is an important aspect of investment, has decreased sharply so that fi is predicted to plunge deeper and may decrease by up to 40%, although the latest data shows that global fi is at 42%.5 various reports from international economic institutions that analyze the impact of covid-19 pandemic predict that the crisis due to this pandemic will have eroded world economic growth in 2020, including indonesia. indonesia has also had an impact on the phenomenon of the global economic crisis due to the covid-19 pandemic, especially on fi activities that tend to be slow even before the covid-19 pandemic. the issue of investment in indonesia is a vital indicator of the national economic ecosystem. the government has ratified and enacted law number 25 of 2007 concerning investment (hereinafter referred to as investment law of 2007) as a renewal of the previous investment law which has been in effect for approximately 40 years. most recently, the aforementioned law was amended through article 77 of the omnibus law on job creation to accelerate economic recovery and recovery in indonesia. various kinds of policies were also issued as part of the indonesian government's efforts to facilitate investors and the candidates (ease of doing business). the existence of the omnibus law on job creation, especially in the articles regulating investment, serves as a form of investment law revolution. it is not only a legislative reform launched by the 4 world trade organization. (2020). trade set to plunge as covid-19 pandemic upends global economy. available from: <https://www.wto.org/english/news_e/pres20_e/pr855_e.htm>. [accessed: march 15, 2021]. 5 united nations conference on trade and development.(2021). investment trends monitor: global fdi flows down 42% in 2020, further weakness expected in 2021, risking sustainable recovery. available from: <https://unctad.org/system/files/official-document/diaeiainf2021d1_en.pdf>. [accessed: march 15, 2021]. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 35 government of indonesia, but also acts as an acceleration program for the national economy. this paper will examine: first, the implementation of fi regulations on the investment climate in indonesia, especially during the period of covid-19 pandemic; and second, a critical narrative of the omnibus law on job creation as a represents the investment legal revolution. research method the research conducted is normative legal research or literature law research.6 to find a solution to the problems in this study, the substance of the law approach is used related to legal issues as follows in this paper. the data used to study issues include the investment law and the latest articles regarding investment as amended through the omnibus law on job creation, primary legal materials which include scientific works and research results related to fi, etc. there is also data collection using literature review, as well as qualitative methods as the standard of analysis. to verify the validity of the data, the researcher used comparisons through a review of literature studies to strengthen the level of data credibility through supporting theories in it. results and discussions implementation of foreign investment regulations on the investment climate in indonesia as a developing country, indonesia continues to carry out development in various fields. in the era of post reform, the direction of development policies carried out by the government has undergone many changes. that is different when the new order era, the government only relied on the development trilogy which focused on 3 (three) things, among others: first, equitable development; second, realizing a high rate of economic growth; and third, achieving national stability. however, the focus of the indonesian government has 6 ibrahim, johnny. (2013). teori dan metodologi penelitian hukum normatif. malang: bayu media publishing, p. 45. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 36 now changed in terms of increasing economic growth with the hope that indonesia will no longer experience economic crises such as in 1997 and 2008.7 post-independence, it is undeniable that the availability of abundant and diverse natural resources, a very potential domestic market, market-oriented economic policies, and a competitive and productive workforce attract foreign direct investment (fdi) in indonesia. president soeharto's leadership became a milestone for indonesia to concentrate on the investment sector. what was highlighted at that time were trends in the petroleum, oil, and natural gas business sectors. indonesia was success in experiencing the rate of economic growth is supported by the fact that there has been an average increase of 8% since its promulgation fi law in the late 1960's. even the average achievement value of the planting practice fdi reached 154.1 billion usd. this condition did not last long, given the asia financial crisis in 1997. corporate governance and the financial sector, as well as public institutions, are things at stake for the country.8 although the government in the most recent period has created new dynamics in capital formation, indonesia's investment to gdp ratio has not yet recovered to pre-crisis levels and is below the rankings of comparable countries in asia.9 the realization of fi activities in indonesia can be applied through:10 1. build image building, through: advertising in the media industry or financial in general; involved in investment fairs; undertaking general investment missions from source country to host country or from host country to source country; and / or holding seminars on investment opportunities. 2. understanding the investment generation, as an examples: direct mail campaigns or telemarketing; undertake an industry or sector specific investment mission from the country of origin to the host country or vice versa; holding sector-specific information 7 pramono, nindyo. (2013). hukum pt go public dan pasar modal, ed. dewi h., 1st ed. yogyakarta: andi. 8 hughes, helen. (1996). perspectives for an integrating world economy: implications for reform and development. singapore: institute of southeast asian studies. 9 moccero, diego. (2008)."improving the business and investment climate". oecd economics department working paper, no. 638: 59–87. doi: https://doi.org/10.1787/236810400872. 10 morisset, jacques and kelly andrews-johnson. (2004). the effectiveness of promotion agencies at attracting foreign direct investment. washington: the world bank. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 37 seminars industry; and / or engage in company-specific research followed by a sales presentation. 3. opening investor services, such as: providing access to investment counseling services; acceleration of the application and licensing process; and / or provide post investment services. 4. policy advocacy, which can be done by actively participating in a policy task force; developing lobbying activities; drafting laws or policy recommendations; as well as reporting on investor perceptions. investment in indonesia can be carried out in several ways, including: 1) taking a share of shares at the time of establishment of a limited liability company; 2) buying shares; and 3) take other methods in accordance with statutory provisions.11 procedurally, there is no significant difference in filing a fi application for the establishment of a new company or participation in a domestic company.12 this is indicated by the transfer of domestic investment (di) to fi which still requires approval like establishing a new company, one of them is through licensing which is the authority of the government in carrying out their functions, either on regulation and control. the researcher argues that the focus of investment agreements is exclusively on investment protectionor of the potential for certain disturbances, for example, such as the takeover of an investment business without compensation,13 that becomes government’s focus in formulating laws and policies that accommodate protection and legal certainty, especially for foreign investors. this becomes important due to agreement provides an 11 indonesia, law on investment, law number 25 year 2007 concerning investment, state gazette number 67, year 2007, article 5 paragraph (3). 12 harjono, dhaniswara k. (2012). hukum penanaman modal : tinjauan terhadap pemberlakuan undangundang no. 25 tahun 2007 tentang penanaman modal. jakarta: pusat pengembangan hukum dan bisnis indonesia, p. 335. 13 bonnitcha, jonathan. (2016). "foreign investment, development and governance: what international investment law can learn from the empirical literature on investment". journal of international dispute settlement, 7 (1): 31–54. doi: https://doi.org/10.1093/jnlids/idv030. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 38 important foundation for latercould applied, because of its binding nature and legal consequences if it is not implemented in accordance with existing agreements.14 one form of government commitment in providing guarantee legal certainty for foreign investors, by issuing the investment law of 2007. the fdi regime has strengthened since that moment, because it has been abolished the old rules. it is a special characteristic that the existence of this law is a pioneer inequality between di and fi. these provisions in accordance with the principles of trade related investment measures which was conceived by world trade organization (wto) that requires principle non-discrimination for the host country.15 more specifically, through the capital market law, sectoral barriers to foreign participation have been relaxed, at least in part. the government's sensitivity to the crucial issue that investment is an important sector for the economy is also accommodated through the capital investment coordinating board as organizational structure which is no longer a foreign investment authorizing agency, but becomes a promoter for investment activities, as well as being one of the influencers in making investment laws and policies in indonesia. recent years, capital investment coordinating board has initiated a reduction in the approval period to be faster than the old policy. this initiative is implemented at the local government level, because of the constraints on the local sector which tends to be vulnerable to regulatory uncertainty. this is related to the practice of decentralization in indonesia. licensing is such a complex procedure that capital investment coordinating board has spearheaded the formation of one stop services to consolidate the process for business licenses issued by different government entities. currently, people only come to the capital investment coordinating board office, then the investors are able to get information from 22 ministries / agencies and guarantee of certainty in terms and time of 14 lewis, arthur. (1998). dasar-dasar hukum bisnis (introduction to business law). bandung: nusa media, p. 81. 15 hernawati, r.a.s and j.t. suroso. (2020). "kepastian hukum dalam hukum investasi di indonesia melalui omnibus law". jurnal ilmiah mea (manajemen, ekonomi, dan akuntansi, 4 (1): 392–408. doi: https://doi.org/10.31955/mea.vol4.iss1.pp392-408. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 39 license processing. other than that, the investors can also maximize processing time by monitoring online the application for licensing services submitted.16 to create a pro-investor investment climate, capital investment coordinating board and related ministries / agencies have simplified end-to-end licensing from 52 permits 923 days to 32 permits 256 days. it is also carrying out an integration one step services process between the central and regional in order to realize the same standards in providing licensing services. furthermore, capital investment coordinating board has also compiled an standard operating procedure on the mechanism for applying for a tax allowance where the applicant can find out whether his application is approved or not within 28 working days.17 however, well-designed legislation can not guarantee the success of the realization of fi in indonesia. the investment problem in indonesia is quite high.18 this is a concern in the fluctuation of indonesia's economic ranking in the asia region. there are several basic reasons behind this problem, including: 1. inconsistency of policy. this can be seen in the main duties and functions of capital investment coordinating board which still confuses the canditates of investors regarding whether it has a function as an investment promotion agency or as an integrated service center (one stop services). 2. irregularities in regions that are still prone to double levies, due to the large number of regional regulations regarding user fees that are charged to investors who invest at the local level, whereas contracts ratified by the central government are included.19 16 one stop and investment service. (2021). begini cara pemerintahan jokowi ciptakan iklim investasi. available from: <https://web.dpmptsp.jatengprov.go.id/p/124/begini_cara_pemerintahan_jokowi_ciptakan_iklim_i nvestasi>. [accessed: march 15, 2021]. 17 ibid. 18 hursepuny, johan. (2019). "penanaman modal dan permasalahannyadi indonesia". jisamar ( journal of information system, applied, management, accounting and researh ), 3 (2), 72–78, issn : 2598-8719 ( online ) issn : 2598-8700 ( printed ). 19 putri, resha roshana, an-an chandrawulan, and prita amalia. (2018). "peringkat arus investasi indonesia dalam kerangka asean-china free trade agreement (perbandingan dengan singapura, malaysia, thailand, dan vietnam) ditinjau dari prinsip fair and equitable treatment". jurnal hukum & pembangunan, 48 (2): 275-298. doi: http://dx.doi.org/10.21143/jhp.vol48.no2.1664. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 40 3. uncertainty in the interpretation and implementation of regional autonomy which then creates new problems in relation to taxes and levies. as a result, the investment climate is increasingly unpredictable. 4. lack of transparency in labor sector policies. the level of education and competence of workers are one of the considerations for investors in determining where they will invest. figure 1. investment realization for the period of 2019 and 2020.20 the researcher argue that there is a fairly large consensus between legislators and the business community that a weak business ecosystem is a major obstacle to investment practices in indonesia. this was characterized by macroeconomic instability; disharmony of regulations or regulatory uncertainty, including taxes and business licenses; weak law enforcement; contract inconsistencies; rigidity of labor regulations; and poor quality infrastructure. 20 capital investment coordinating board of republic of indonesia. (2020). realisasi penanaman modal pmdn-pma triwulan iv dan januari desember tahun 2020. available from: https://www.bkpm.go.id/images/uploads/file_siaran_pers/p terbang_realisasi_in investasi_tw_iv_2020_bahasa_indonesia.pdf. [accessed: march 15, 2021]. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 41 the pro-investor policy makes it possible for indonesia to achieve an improved business climate. that is considered consistent with alternative indicators for a successful business environment followed by legal certainty for foreign investors.21 during the covid-19 pandemic the covid-19 pandemic very influencing the rate of economic growth. not only has tax revenue on trade in goods and / or services to oil and gas and non-oil and gas exports in indonesia have decreased, but indonesia's investment rate has also dropped dramatically.22 the following is the realization report related to di and fdi that has been issued by capital investment coordinating board. there was a decline from 52.3% in 2019 to 49.9% in 2020.23 the data above shows if amount of investment in fi has decreased, while di has contributed more than fi. this is not only in spite of decreased activity global value chain, but also not separated from the complexity the rules investment in indonesia. the complexity of legislation in indonesia is a consequence policy of decentralization to be one of the obstacles in improving the economic climate through business lines and investment. as a result, not just bound by investment law of 2007, the investors are also forced to comply with other complex laws, such sectoral laws.24 in this section, the researcher have explored several articles in the investment law of 2007 which allow the creation of obstacles to the realization of foreign investment in indonesia, especially during the covid-19 pandemic, as follows: 1. article 5 paragraph (2): “fi must be in the form of a limited liability company based on indonesian law and domiciled in the territory of the indonesian state, unless otherwise stipulated by 21 abidin, r. f. (2017). "harmonisasi peraturan penanaman modal asing dalam bidang pertambangan mineral dan batubara berdasarkan prinsip keadilan (studi kontrak karya antara pemerintah republik indonesia dengan pt. freeport indonesia". az zarqa’, 9 (2): 315–364. 22 nasution, dito aditia darma, et. al. (2020). “dampak pandemi covid-19 terhadap perekonomian indonesia”. jurnal benefita, 5 (2): 212-224. 23 capital investment coordinating board of republic of indonesia. (2020). realisasi penanaman modal pmdn-pma triwulan iv dan januari desember tahun 2020. available from: https://www.bkpm.go.id/images/uploads/file_siaran_pers/p terbang_realisasi_in investasi_tw_iv_2020_bahasa_indonesia.pdf. [accessed: march 15, 2021]. 24 abdullah, adang. (2007). "tinjauan hukum atas uu penanaman modal nomor 25 tahun 2007: sebuah catatan". jurnal hukum bisnis, 26 (4). jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 42 law”. that is explained that the physical position of a fi business entity in indonesia is mandatory. the researcher concludes that this contains ambiguity, because normatively there is another understanding, through the existence of a permanent establishment, such as in the mineral and coal business sector, which allows the position of the company to be outside the territory of indonesia. this non-uniformity becomes a gap for the state which results in toreluctance investors to invest in indonesia. 2. article 23 paragraph (3) regulates facilities that can be enjoyed by foreign investors, such as: granting a limited stay permit for foreign investors for 2 (two) years; granting the change of status of a limited stay permit for an investor to a permanent residence permit after living in indonesia for 2 (two) consecutive years; granting re-entry permits for multiple trips for limited stay permit holders and with a validity period of 1 (one) year is granted for a maximum period of 12 (twelve) months from the date the limited stay permit was granted and applies in multiples of 2 (two). furthermore, in paragraph (4) it is explained that the permit is granted by the directorate general of immigration on the basis of a recommendation from capital investment coordinating board. it means the investors need to go through several tiered permit processes. this reflects that the bureaucratic process related to investor licensing is quite complicated. the actual fact is that it is a logical consequence for investors to intend to stay in indonesia, so that they can directly monitor the running of the wheels of the company concerned. as an illustration of how regulations can become a burden for fi activities, when an investor wants to build a factory in indonesia to supply the domestic market, investors must pay attention to the 900 regulations from the ministry of manpower and the ministry of industry. in addition, if they want to participate in the global value chain and import semi-finished materials or export finished products, there will be 695 trade rules that must be obeyed. investors must also follow certain sector policies issued by the ministry of transportation, education, agriculture, energy and mineral resources, construction, communications.information and information, and tourism. apart from complying with all central regulations, investors also still have to pass various regional regulations, depending on where their investment is located. these fi regulations are another factor in jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 43 the obstacle for foreign investors to make indonesia their land for investing, especially during the period of covid-19 pandemic. critical narrative of the job creation law as a representation of the investment legal revolution economic globalization in the last few decades has created a separate correlation between multinational companies and developing countries. identical business and investment identities can be analogous to coin.25 the existence of foreign investors is undoubtedly a strong subject in the legal, business and economic communities created by market and capital liberalization. the understanding of liberalization is identified as the impact of globalization brought about by economic development.26 there is also indonesia, with its capacity as a developing country, which can be called an avid reader of external capital. this is due to indonesia's position of having a gdp rating below the global cumulative value.27 investment is an essential factor in economic development.28 as a mainstay of reform efforts, the government has provided a positive signal to the business and investment community with the passing of the omnibus law in the form of law number 11 of 2020 concerning job creation in october 2020. however, this regulation is also not immediately make fi regulations easier. the reason is that changes to articles in a law do not automatically cancel the law and its implementing regulations. for example, omnibus law on job creation amending 5 (five) of the 40 articles in the capital market law. 1 (one) 25 echandi, roberto. (2013). prospects in international investment law and policy, ed. pierre sauve. cambridge: cambridge university press, p. 159. 26 hangabei, sinung mufti, khudzaifah dimyati, and natangsa surbakti. (2020). "oversee investment and indonesia economic regulatory reform in the era of globalization and industrial revolution 4.0". international journal of advanced science and technology, 29 (4): 5123–5138. https://www.researchgate.net/profile/sinung_hangabei/publication/342344573_oversee_investme nt_and_indonesia_economic_regulatory_reform_in_the_era_of_globalization_and_industrial_revo lution_40/links/5eef187e458515814a71a38e/oversee-investment-and-indonesia. 27 jened, rahmi and betharia noor indahsari. (2019). "lessons learned from the british exit from the european union for indonesia and the asean economic community". hasanuddin law review, 5 (1): 132–139. doi: http://dx.doi.org/10.20956/halrev.v5i1.1850. 28 wamafma, filep, et al. (2019). "the arrangement of investment policy for the protection of indigeneous people’s rights". hasanuddin law review, 5 (2): 253–261. doi: http://dx.doi.org/10.20956/halrev.v5i2.2403. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 44 article requires a new presidential regulation, while the other 4 (four) articles require regulatory adjustments. the rest of the articles remain in effect and include the implementing regulations. therefore, investment in the future must follow 2 (two) laws, omnibus law on job creation as the new rules and the investment law on 2007, each with its implementing regulations. therefore, complexity regulations and the risk of overlap allows for confusion regarding the implementation of fi regulations in indonesia, especially at the regional level. the position of the omnibus law on job creation has directly annulled a number of provisions in the investment law on 2007. the researcher argues that the pros and cons of change will always exist in every legislative reform. the change has been proven through article 77 of the omnibus law on job creation which provides new regulations related to business fields, which are then clarified through derivative regulations in the form of presidential regulation number 10 of 2021 concerning investment business fields. there is also a provision in article 2 of the presidential regulation above which states that in essence: all business fields are open to investment activities, except: 1) closed business fields; and 2) business fields that can only be carried out by the central government.29 business fields that are closed to investment, both di and fi refer to article 77 of the job creation law, including: first, the cultivation and narcotics industry of class i; second, all forms of gambling and / or casino activities; third, catching fish species listed in the appendic i convention on international trade in endangered species of wild fauna and flora (cites); fourth, utilization or taking of corals and utilization or taking of corals from nature which are used for building materials / lime / calcium, aquariums, and souvenirs / jewelry, as well as live or dead coral (recent death coral) from nature; fifth, the chemical 29 indonesia, presidential regulation concerning the investment business sector, presidential regulation number 10 of 2021 concerning the investment business sector, state gazette number 61, of 2021, article 2. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 45 weapons manufacturing industry; and lastly, the industrial chemical industry and the ozone depleting substances industry.30 if analyzed, the formulation of article 12 of the investment law on 2007 which is changed through article 77 of the omnibus law on job creation rated open gap for foreign investors to invest in strategic sectors which are quite crucial for the life of the wider community, such as the electricity sector, water, telecommunications, etc. in addition, the omnibus law on job creation has also eliminated closed business fields, such as the production of weapons, ammunition, explosives and war equipment. even so, the existing laws and regulations only exclude the chemical weapons industry for foreign investors which means that foreign investors can still invest in other weapons industries. in addition, that article does not adopt advanced provision of the formulation of article 12 of the investment law, the presidential regulation number 44 of 2016 concerning list of related open business fields related to the investment requirements if people want to establish an incorporated company, such as: first, the company business field is not included in the negative investment list; second, minimum capital; and third, maximum foreign equity participation. non-limitative nature in equity participation it is feared that it could threaten the stability and sovereignty of the country, as well as social welfare. preferable if strategic and important domestic industries are exempted from interference by foreign investors. although only through investment, this is important to protect, because practically it does not rule out the possibility for them to be able to control strategic sectors in the country which of course in the future can become a threat.for country. another thing that must be questioned is whether the guarantees and certainties for the subjects who are involved in investment activities are sufficient to be guaranteed by the state through law. and policywhich exists. on the other hand, the ease of investment activities for foreign investors must of course be linear with the welfare of the community, such as regarding the absorption of labor, and so on. 30 indonesia, job creation law, law number 11 of 2020 concerning job creation, state gazette number 245, 2020 year, art 77. jpcl 5(1) (2021) 32-49 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 46 most recently, companies in this era are the protagonists of world economic development. but another key issue is the extent to which investors contribute to improving social welfare in the host country. the social welfare obtained by the state through foreign investment is the main guarantee of business stability, both from the perspective of both the investor and the host. this requires further study. even so, at least the substance of the law and decision makers should be able to create the ultimate goal of legal and economic practice through investment activities, which is nothing but social welfare. conclusion the implementation of fi regulations in indonesia has in fact experienced a decline in investment figures, even since the period before the covid-19 pandemic. this is a separate concern regarding the factors of the decreasing rate of improvement of the investment climate in indonesia due to the complexity of the fi regulations, which results in the absence of legal certainty. there are also bureaucratic practices in areas that are prone to double levies which is another reason for the low interest of foreign investors in indonesia. the existence of the omnibus law on job creation does not automatically guarantee the investment legal revolution in indonesia, because in some articles it has legal loopholes that have the potential to threaten the stability and sovereignty of the country, as well as social welfare. even though the economic climate potentially to develop, the absence of a guarantee for the people's welfare after the progress of the country's economy is another problem that is incompatible with the principles of sustainable development. bibliography legal documents indonesia. 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[accessed march 15, 2021]. implementation of foreign investment regulations o during the covid-19 pandemic critical narrative of the job creation law as a re jpcl 4(2) (2020) 108-113 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 108 cl jp jp jp jp humanis and responsible children caring model for community in ngijo village, gunungpati sub-district rini fidiyani department of civil and trade law, faculty of law, state university of semarang email rinif@mail.unnes.ac.id ayu suran ningsih department of civil trade law, faculty of law, state university of semarang email ayuupp@mail.unnes.ac.id abstract according to the report "global report 2017: ending violence in childhood", 73.7 percent of indonesian children aged 1 14 years experience physical violence and psychological aggression at home as an effort to discipline (violent discipline). adhered to and used by parents is a contributor to psychological aggression at home and the ease of becoming victims of violence. the aim of this research is first; explore and map childcare models found in the lives of the residents of ngijo village, gunungpati district; second; evaluating and presenting a humane and responsible childcare model for the community members of the ngijo village, gunungpati district. the research method used is a qualitative approach and doctrinal legal research to evaluate statutory regulations and non-doctrinal legal research. the results of the study are expected to find childcare models found at the site, in the form of authoritarian, authoritative, permissive and uninvolded models. next, analyze from the findings of childcare models and offer childcare models according to the needs of the locations. key words: parenting model, authoritarian, authoritative, permissive and uninvolded introduction children who are part of the nuclear family as well as the successor of the family have rights and obligations that are fulfilled by their parents. the issue of children today is the joint responsibility of the state to guarantee legal protection from all forms of violence. state law regulates child protection in law no. 23 of 2002 amended by law no. 35 of 2014 and juvenile justice in law no. law number jpcl 4(2) (2020) 108-113 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 109 cl jp jp jp jp 17 of 2016 concerning regulations in lieu of law number 1 of 2016 concerning the second amendment to law number 23 of 2002 concerning child protection into law. according to the report "global report 2017: ending violence in childhood", 73.7 percent of indonesian children aged 1 14 years experience physical violence and psychological aggression at home as an effort to discipline (violent discipline). meanwhile, according to data from the witness and victim protection agency (lpsk), in 2019 there were 350 cases of sexual violence against children. comparative data for 2016 to 2019 on sexual violence can be displayed below (see https://lokadata.id/artikel/2020-kekerasan-pada-anak-tak-menurun): 1. year 2019 = 350 cases 2. year 2018 = 206 cases 3. year 2017 = 81 cases 4. year 2016 = 25 cases the condition of child abuse occurs as a contributor to the parenting model of children from parents to children. parents have responsibility for children's growth and development in a series of childcare models and parental responsibility cannot be replaced by anyone, meaning that parental control is maintained in an appropriate manner. as written in the scientific journal http://journal.umpo.ac.id/index.php/indria/article/view/68-77/pdf, yuki widiasari and desti pujiastuti, early child care for workers' parents, muhammadiyah university of purwokerto. research methode the approach method uses a qualitative approach that focuses on observing behavior, words, opinions, the value of hidden meanings and openly expressed by all informants. (lexy moleong, 2000; 26) from the data above, the researcher disclosed and translated it in order to obtain a series of valid data meanings. doctrinal legal research to identify statutory regulations and non-doctrinal legal research to reveal and translate law in society that is used in people's daily lives as research targets (soetandjo w, 2002, 45). data sources use the first primary data sources in the form of revealing behavior, words, opinions, hidden meaning values and openly expressed by all informants and respondents, then interview activities both to all informants and respondents. second; secondary data sources in the form of relevant previous research results and adopting and adapting social theory from scientific journal https://lokadata.id/artikel/2020-kekerasan-pada-anak-tak-menurun jpcl 4(2) (2020) 108-113 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 110 cl jp jp jp jp articles or literature related to childcare models. third; tertiary sources; explore encyclopaedias, relevant dictionaries and so on; the location of the research was carried out in ngijo village, gunungpati district as a partner village in the roadmap system for research and service of the faculty of law, semarang state university and the condition of the residents of the ngijo village is heterogeneous, both immigrants and local residents. the research sample, because it uses a qualitative approach, this research is conducted by purposive sampling. (faisal, 1990: 56) the data analysis method uses an interactive analysis model consisting of data reduction, display data and a conclusion drawing carried out by flow model analysis. results and discussion the results of the study are there are two categories of models found in the lives of residents of the ngijo village, gunungpati district 1. the authoritative model that provides warmth and trust in children because children's needs are well met. parents are able to discipline their children by giving reasons that the child can accept. the second pattern or model is uninvolded, which means that parents are not directly involved in the parenting process because the child's position and condition are entrusted to an outside person or institution who is trusted and believed to be able to change the child's mindset and behavior pattern better, especially to become a child with noble character. this quotes from baumrind there are 4 (four) patterns or models of parenting (in papilaya and quoted by pratiwi utami and ali mubarak, 2019, 3) first; authoritarian; parental attitude is rigid and as a control tool for children. the child's response is unhappiness, fear, low selfesteem, lack of activity skills, weak communication; second; authoritative prioritizing children's interests as well as controlling children's discipline so that children feel safe, comfortable and loved third; permissive; let the child's mindset and behavior patterns without systematic and clear direction, so that the child cannot distinguish between right and wrong behavior; fourth; added according to jpcl 4(2) (2020) 108-113 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 111 cl jp jp jp jp aleanor and joh martin, it is called uninvolded, meaning that parents do not directly involve in parenting, so that children's behavior has low skills, low achievement and is less independent. compare with http://journal.unair.ac.id/downloadfullpapers-aun4cdb576b2afull.pdf, see latifatul fatimah, migration and its effects on child care for female workers in pangganglele hamlet, arjowilangun village, kalipare district, malang regency, pages 118-119 ., antrounairdotnet volvi no.1 / february 2017. in accordance with the results of observations and research for the accuracy of a childcare model that is humane and responsible for parents for residents of the ngijo village, gunungpati district, first; authoritative model of close and good relationship between children and parents because the interests of children according to age are met and parents are able to control children's discipline; this condition is seen in parents or young families who have received knowledge from information technology. this is indicated by parents and children who are literate with virtual information technology; second; the uninvolded model means that parents entrust their caregiving patterns to outsiders such as islamic boarding schools from elementary school graduation to high school and above or leave it with trusted relatives. the reasons include being entrusted to a boarding school so that the child's morals are guaranteed good because they understand religious knowledge, while the reason for being left with a relative is because parents cannot share time and the child with relatives is compatible with each other. this condition in the uninvolded model, practically according to location and local culture, is not always bad due to the need for parenting in indonesia in general and in kelurahan ngijo in particular, it prioritizes children's moral education. the ideals of parents in parenting make children with noble character or become pious and sholekah children. this means that the ideals of parents hope that their children will be smart and have noble characters. second problem formulation; is it the right model for caring for children that is humane and responsible for jpcl 4(2) (2020) 108-113 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 112 cl jp jp jp jp parents for the community members of the ngijo village, gunungpati district? according to the findings of data in the field of change agent contributors to parenting patterns in the category of young parents or families who are literate with virtual information technology. this category of groups supports the achievements of the research team on parenting to make children humane and responsible, especially now that the spread of information technology worries parents about its bad impact on children's growth and development. the group of young parents also received support from predecessor parents who were still living so that the results of the research team's concept of humanist and responsible parenting. the model referred to as authoritative, parent-child interaction runs well because there are aspects of empathy and support and control of signs from the parents around them, both the nuclear family and the grandparents of the child's parents. for the uninvolded model, in theory, parenting is bad because parents are not responsible for the development of children physically and psychologically, but in practice the uninvolded model specifically for residents of the ngijo village contains local wisdom, especially making children with noble character, which has proven to be family pride because the child is able to continue to the higher education level (strata 1) while being entrusted with a relative is not merely ignoring responsibility but there is a close interpersonal relationship between the child and the relative so that the biological parents trust him. so the childcare model in the ngijo village is close to the authoritative and uninvolded model with special notes on local wisdom in the local community culture. conclusions from the above discussion, conclusions can be drawn 1. there are two forms of humanist and responsible childcare model found in the field; authoritative model and uninvolded model. 2. the appropriateness of a humanist and responsible parenting model in accordance with local needs and wisdom for residents of the ngijo village, gunungpati jpcl 4(2) (2020) 108-113 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 113 cl jp jp jp jp district, an authoritative model represented by a young family and understands information technology and an uninvolded model according to the ideals of parents to make children with noble morals entrusted to the boarding school pesantren, bibliography scientific journal http://journal.umpo.ac.id/index.php/indria/article/view/6877/pdf, yuki widiasari and desti pujiastuti, early childhood care for workers' parents, muhammadiyah university of purwokerto; baumrind (in papilaya and quoted by pratiwi utami and ali mubarak, 2019; http://journal.unair.ac.id/download-fullpapers-aun4cdb576b2afull.pdf, see latifatul fatimah, migration and its influence on child care for women workers in pangganglele hamlet, arjowilangun village, kalipare district, malang regency, pages 118-119., antrounairdotnet volvi no.1 / february 2017; moleong, lexy, 2000; qualitative research methodology; youth rosdakarya, bandung; faisal, 1990 :; social research formats, rajagrafindo persada, jakarta; w, soetandjo, 2002; paradigm, method and problem dynamics, elsam; law number 23 of 2002 law number 35 of 2014 law number 17 of 2016 attention required! | cloudflare please enable cookies. sorry, you have been blocked you are unable to access unnes.ac.id why have i been blocked? this website is using a security service to protect itself from online attacks. the action you just performed triggered the security solution. there are several actions that could trigger this block including submitting a certain word or phrase, a sql command or malformed data. what can i do to resolve this? you can email the site owner to let them know you were blocked. please include what you were doing when this page came up and the cloudflare ray id found at the bottom of this page. cloudflare ray id: 7fbf247b2ac12055 • your ip: click to reveal 129.74.145.123 • performance & security by cloudflare jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 1 registration of guarantee rights after the issuance of the minister of agrarian regulation and the layout / head of the national land agency number 5 of 2020 regarding integrated security rights services electronically yuli prasetyo adhi faculty of law, universitas diponegoro, semarang, indonesia yuli prasetyoadhi@gmail.com achmad busro faculty of law, universitas diponegoro, semarang, indonesia achmadbusro@rocketmail.com submitted: april 17, 2020 revised: february 27, 2021 accepted: april 11, 2021 abstract the publication of ministerial regulation no.5 of 2020 is a new step in the services provided by the minister of the national land to the community. integrated electronic security services are based on ministerial regulation no. 5 of 2009 was carried out to adjust to the development of law, technology and the needs of society. electronic mortgage services are new in indonesia and need to be well understood by the users, in this case people who need fast, affordable, and easy mortgage services. this article is the result of a study that aims to analyze the implementation of security rights electronically. this research is a socio-legal research using primary and secondary data, also using qualitative analysis technique. the results of the research show that electronic mortgage services can run well even though there are some obstacles in the implementation. electronic mortgage services are highly dependent on the web and internet facilities, so there is a need for a good network when operating this service. the quality of human resources needs to be improved in order to be able to face the era of the industrial revolution which all really depends on the technology. keywords: mortgage; land office; online registration. jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 2 introduction land is an important thing in human life. the importance of land for human is not only as a place to live but also as a source of livelihood for human. land is a place for human to carry out activities. in addition, land is a place for animals and plants to grow and develop that are useful for human. land contains human needs such as water, nutrients, mining, etc. land becomes an asset for humans in their life, a precious and valuable asset. the condition of the community is very dependent on activities and businesses which are mostly agricultural, meaning that the land is the foundation of hope for the community so that they can carry out the principles and system of life1. the issue of land in human life has a very important meaning, because most of their lives depend on land and various aspects of live always needs land. the importance of land for human can be seen in the reality, namely houses, offices, factories, schools and shopping centers. this encourages human to exploit. the point is that land has many benefits in human life. in general, what is meant by land is always associated with the right to the land that is given or owned by someone, so that its benefits can be enjoyed and used according to its purposes. thus, the meaning of ownership of land rights is the land, in the sense that it is not only a certain part of the earth's surface2. land becomes valuable because it can be transferred from the owner to another party who wants it, but in general there are sacrifices that must be made by those who want the land. transfer of land is closely related to the power of law to provide certainty over land rights for someone who will acquire it. the transfer of rights certainly involves two aspects that need to be considered, namely the transferring party and the party receiving the transfer of rights. land is one of the main assets for the indonesian nation which is a major element in development towards the formation of a just and prosperous society based on pancasila and the 1945 constitution. as we know, human need for land has a central position either as a 1 sibuea, harris yonatan parmahan. "arti penting pendaftaran tanah untuk pertama kali." negara hukum: membangun hukum untuk keadilan dan kesejahteraan 2.2 (2016): 287-306. 2 boediharsono,hukumagrariaindonesia,sejarahpembentukanundang–undangpokokagrariaisi dan pelaksanaannya, edisirevisi2008, (jakarta:djambatan,2008),page16. jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 3 production resource or as a place of settlement or to be used as a long term investment. land for human has a very important position where land is a primary need. this is because all human activities are carried out on the land. ownership of land is important with its various advantages. the advantages of which are as assets that can be used for investment or as assets that can be bought and sold as well as assets that can be guaranteed. land as an object of guarantee can be done by using a guarantee mechanism of mortgage rights. guarantee arrangements in a conventional bank credit are always placed in a special article. collateral is usually applied by prioritizing the highest power of execution, namely in the form of fixed assets (in this case houses and / or land) and can be encumbered with mortgage rights. the reason is, only mortgage rights have very clear "rules of the game" with easier execution procedures, among the various types of guarantees that exist and are applied in indonesia3. land is a security item for debt repayment that is the yt preferred by financial institutions that provide credit facilities4. land is very important to be owned by the community because in addition to being used for a place to live or a business, it can also be used as collateral by using a mortgage5. mortgage guarantee is a material guarantee institution that is widely used by banks to protect credit submitted by debtors6. mortgage protects the bank as the mortgage rights holder after providing loans to debtors who may not pay off their debts as agreed. this right is to limit the guarantor from taking legal actions on the object of the mortgage rights even removing the rights from the giver of the mortgage if the debtor does not meet his performance7. in this case, the bank 3 irma devita purnamasari, hukum jaminan perbankan, (bandung: penerbit kiafa, 2011), page 21. 4 jayanti, offi, and agung darmawan. "pelaksanaan lelang tanah jaminan yang terikat hak tanggungan." kanun jurnal ilmu hukum 20.3 (2018): 457-472. doi: https://doi.org/10.24815/kanun.v20i3.11830 5 doly, denico. "aspek hukum hak tanggungan dalam pelaksanaan roya." negara hukum: membangun hukum untuk keadilan dan kesejahteraan 2.1 (2016): 103-128. doi: http://dx.doi.org/10.22212/jnh.v2i1.185 6 sukmawati, murlyta nevi. "personal guarante terhadap perjanjian kredit dengan jaminan hak tanggungan." airlangga development journal 3.1 (2019): 54-71. 7 risa, yulia. "perlindungan hukum terhadap kreditur atas wanprestasi debitur pada perjanjian kredit dengan jaminan hak tanggungan." normative jurnal ilmiah hukum 5.2 november (2017): 78-93. https://doi.org/10.24815/kanun.v20i3.11830 jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 4 is the creditor and the customer is the debtor. the imposition of the mortgage rights is carried out by registering the mortgage rights so that the birth rights that occur are without legal defects. by registering the mortgage rights, the droit de suite and droit de preference as privileges owned by the bank as creditors as mortgage holders have been fulfilled. encumbrance of mortgage provides certainty for the creditor's right to repay the debt if the debtor defaults on his promises. since the promulgation of the regulation of the minister of agrarian and spatial planning / head of the national land agency of the republic of indonesia number 9 of 2019 concerning electronic integrated mortgage services, on june 21, 2019, there has been a big jump in registering mortgage rights, namely by using an online or electronic system. this development is not an easy thing for the national land agency (bpn) because with the promulgation of regulations regarding online mortgage rights, there are major consequences that must be accepted by the national land agency (bpn). the consequence of consistent performance and self-improvement is for the smooth running of the online mortgage system that has been implemented by the national land agency (bpn). the online mortgage system has a basic objective, namely to improve mortgage services that meet the principles of openness, timeliness, speed, convenience and affordability in the context of public services, as well as to adjust legal developments, technology and community needs, it is necessary to utilize information technology so that rights service procedures dependents can be integrated electronically so that it becomes more effective and efficient. it is necessary to study further regarding the application of this online mortgage system. research method this article is the result of research using qualitative research. the use of qualitative methods is expected to find the hidden meanings behind the research subject. this research is a socio-legal research, which begins with secondary data as initial data, then continues jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 5 with primary data or field data. this research identifies existing legal issues, online mortgage mechanisms, legal consequences, and the problems that surround them. specifications in this research is to obtain data and information on the application of online dependent rights services based on the minister of agrarian regulation and the layout / head of the national land agency number 5 of 2020 regarding integrated security rights services electronically. the research took place at the ministry of agrarian affairs and spatial planning / head of the land agency in several cities in central java, including semarang city, pekalongan city, pekalongan regency, batang regency and brebes regency. the data collection technique used in this study was in-depth interviews. results and discussions implementation of online mortgage based on the minister of agrarian regulation and the layout / head of the national land agency number 5 of 2020 regarding integrated security rights services electronically in the era of the industrial revolution 4.0, it is currently having a tremendous impact in various sectors, including the service sector in government. the rapid development of the world, especially in the field of technology, has made almost everything completely online or electronic. the ministry of agrarian affairs and spatial planning / national land agency (atr / bpn) has launched an electronic service that can be used by ppat and financial services to register requests for land information services directly without the need to go to the land office again. one of them is collecting data on mortgage rights at the land office. the government through the atr / head of bpn issued regulation of the minister of agrarian and spatial planning for the head of the national land agency number 9 of 2019 concerning electronically integrated mortgage services on june 21, 2019. regulation of the minister of agrarian affairs and spatial planning for the head of the national land agency number 9 of 2019 is a continuation with the previous regulation of the minister of agrarian and spatial planning for the head of the national land agency, namely permen atr / kbpn number 3 of 2019 concerning the use of jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 6 electronic systems and permen number 7 of 2019 concerning changes to certificate forms. however, the implementation of the electronic system at that time was still being carried out based on the readiness of each land office so that the implementation was not yet comprehensive. early 2020, the government through atr / head of bpn issued regulation of the minister of agrarian affairs and spatial planning for the head of the national land agency number 5 of 2020 concerning electronic mortgage services which was promulgated on april 8, 2020 replacing ministerial regulation number 9 of 2019. this is because regulation of the minister of agrarian and spatial planning / head of the national land agency no. 9 of 2019 is considered to have flaws and weaknesses. with the enactment of the regulation of the minister of agrarian and spatial planning / head of the national land agency no. 5 of 2020, the permen atr / bpn no. 9 of 2019 is revoked and declared invalid. in indonesia, the electronic (online) security rights system is referred to as ht-el. online mortgage registration is a series of mortgage service processes in the context of maintaining land registration data, which is organized through an integrated electronic system. the ht-el system is an integrated electronic system developed by a technical unit that has tasks in the field of data and information to process ht-el services. the regulation of the minister of agrarian and spatial planning for the head of the national land agency number 5 of 2020 is used as a step to make it easier for the community to provide online mortgage guarantee services so that people do not need to come to the land office to get services, the community simply registers their mortgage rights online. ht-el has been running until now, in almost all land offices in indonesia. providing online mortgage services (ht-el), namely (1) the ministry as the organizer (in this case the ministry of agrarian affairs and spatial planning / national land agency); (2) land office as executor; (3) creditors, ppat or other parties determined by the ministry as users. the land office will implement the ht-el system in stages by adjusting the readiness of supporting data in the land office itself. the legal basis for implementing mortgage jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 7 rights electronically is: (1) regulation of the minister of agrarian affairs and spatial planning / head of the national land agency number 7 of 2019 concerning second amendment to regulation of the minister of agrarian affairs / head of the national land agency number 3 of 1997 concerning provisions for implementing government regulation number 24 1997 regarding land registration; (2) regulation of the minister of agrarian affairs and spatial planning / head of the national land agency number 5 of 2017 concerning electronic information services; (3) regulation of the minister of agrarian and spatial planning / head of the national land agency number 3 of 2019 concerning application of electronic signatures; (4) regulation of the minister of agrarian affairs and spatial planning / head of the national land agency number 9 of 2019 concerning electronic integrated mortgage services; (5) regulation of the minister of agrarian and spatial planning / head of the national land agency of the republic of indonesia number 5 of 2020 concerning electronically integrated mortgage services types of ht-e-mail services that can be submitted through the ht-e-system include: (1) registration of mortgage rights; (2) transfer of mortgage rights; (3) change of creditor name; (4) abolition of mortgage rights; and (5) data correction. mortgage services are carried out in accordance with the provisions of laws and regulations governing service standards and land arrangements within the ministry. the ht-el system is held reliably and safely and is responsible for the operation of the electronic system. the ht-el system is a system that has been certified by the competent authority and is subject to the provisions of laws and regulations regarding the operation of electronic systems and transactions. the ministry is responsible for the administration of the online mortgage system (htel) and is subject to the provisions of existing laws and regulations in indonesia. the land office is a component of the administration (part of the ministry of agrarian affairs / national land agency). the ht-el system has the authority to inspect and certify the results of ht-el services and is subject to the provisions of the legislation. creditors, ppats or other parties determined by the ministry as users are people who use the ht-e system provided by the operator. jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 8 the positive impact in the implementation of electronic mortgage services can be felt for users of this system. with the ht-e service, the mortgage registration process is faster and relatively more efficient than the manual system. this is important for business people who need fast time and money in business. the efficiency of the land business process can be supported by the ht-el system because generally in indonesia, in purchasing a house or land, many use mortgages rather than cash purchases. the ht-el system can provide mortgage services with a wider range of services, in the sense that ht-el services can not only be enjoyed and accessed by people located close to the land office, but people who have an internet connection can enjoy ht-el system services. the ministry of atr / bpn as the operator of the ht-el system adjusts to the provisions contained in the ite law where electronic system operators are required to operate electronic systems that meet the following minimum requirements: (a) can display electronic information and / or electronic documents completely in accordance with with a retention period stipulated by legislation; (b) can protect the availability, integrity, authenticity, confidentiality and access of electronic information in the operation of electronic systems; (c) can operate in accordance with procedures or instructions in the operation of electronic systems; (d) equipped with procedures or instructions that are announced in a language, information or symbols that can be understood by the party concerned with the operation of electronic systems; and (e) have a sustainable mechanism to maintain the novelty, clarity and accountability of procedures or instructions. the implementation of ht-el services is very dependent on the knowledge, skills and skills of the parties involved in the implementation of mortgage services, including ppat, creditors, land office employees. these parties must be "technologically literate" because the ht-el system was built following current technological advances. ppat has an important role in integrated electronic mortgage services. the role of ppat as an electronically integrated mortgage service user after the issuance of permen atr / bpn number 5 of 2020 is starting from making a credit agreement, checking land jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 9 certificates electronically before making a deed of granting mortgage rights, making a deed of granting mortgage rights to uploading the deed of granting mortgage along with supporting data to the local land office through the ppat partner application at https://mitra.atrbpn.go.id. then the ppat will submit a copy of the minuta deed of granting mortgage rights to debtors and creditors. meanwhile, the original deed of granting mortgage is kept by the ppat8. land deed making officials (ppat) must be able to have accuracy, especially ensuring the validity of documents related to ht-el services. in addition, ppat must have a good archive storage method so that if there is an incident (for example, fire, earthquake, robbery, etc.), all the documents that have been uploaded to the ht-el system will not be a problem in itself. ppat has an obligation to make deeds and submit the deed to creditors as work partners. submission of these documents is accompanied by a statement letter regarding the accountability for the legality and correctness of the submitted electronic document data. it means that in this case the ppat must be really careful about the validity of the documents. if in the future it is known that there are illegal documents, it becomes an important question, whether ppat can be held accountable. judging from the statement letter made by ppat regarding the accountability for the validity and correctness of the submitted electronic document data, ppat should be responsible for the validity or not of the document. unless the ppat can prove in court that he was not involved in the production of the illegal document, however, in this case the ppat party is deemed negligent in examining the validity of the document. integrated electronic mortgage services mechanism the electronic registration system is not new to indonesia, previously indonesia also implemented an electronic fiduciary registration system. learning from the online fiduciary security system of the ministry of law and human rights, the indonesian land agency has 8 aufima, zidna. "peran ppat selaku pengguna layanan hak tanggungan terintegrasi secara elektronik." journal of judicial review 22.2 (2020): 259-270. doi: http://dx.doi.org/10.37253/jjr.v22i2.1224. http://dx.doi.org/10.37253/jjr.v22i2.1224 jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 10 implemented an online mortgage registration system. this system is not much different from the online fiduciary registration system. general directorate of general law in the ministry of law and human rights apply online fiduciary in giving services to the public with the reason that this online fiduciary is a new system in the law services, which is faster, accurate, free from illegal levy, and able to stimulate economic growth in indonesia for the prosperity of the citizen9. the reasons are almost the same as online fiduciary, that the online mortgage system is carried out to improve mortgage services that meet the principles of openness, timeliness, speed, convenience and affordability for public services, as well as to adapt legal developments, technology and community needs. through the ht-el system, the government seeks to provide services to the community with the ht-el system which is carried out so that it is easily accessible and operated and can provide convenience and satisfaction to the community. basically an electronic system is a series of electronic devices and procedures that serve to prepare, collect, process, analyze, store, display, announce, transmit, and / or disseminate electronic information. preparing, collecting, processing, analyzing, storing, displaying, announcing, sending and / or distributing electronic information, so that the administration of electronic systems can be carried out by state administrators, persons, business entities, and / or the public10. the ht-el system is integrated electronically. this online process includes: (1) registration of mortgage rights; (2) transfer of mortgage rights (subrogation / cessie); (3) change of creditor name; (4) termination (roya mortgage). ht will be born when registration has been made. after the registration was carried out, ht had met the requirements for publicity as one of the conditions for the birth of 9 adhi, yuli prasetyo. "characteristics and problems of online fiduciary in the imposition of fiduciary guarantee in indonesia." south east asian journal of contemporary business economics and law 4.3 (2014). 10 zaki, begiyama fahmi. "kepastian hukum dalam pelelangan objek hak tanggungan secara online." fiat justisia: jurnal ilmu hukum 10.2 (2016). doi: https://doi.org/10.25041/fiatjustisia.v10no2.748 https://doi.org/10.25041/fiatjustisia.v10no2.748 jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 11 ht11. to register mortgage rights, system service users must consist of individuals or legal entities who are creditors and land office service officers who have the task of serving mortgage rights. this is an improvement in the regulation of the minister of agrarian affairs number 5 of 2020, the improvement is that the creditor must register it. requirements that must be possessed by an individual or legal entity are: (1) having an electronic domicile (electronic ktp); (2) certificate of registration with the financial services authority (ojk); (3) statement of compliance with requirements and approval as a user; (4) other conditions determined by the ministry. ppat that can use the ht-el system is only ppat that has been registered in the partner application at mitra.atrbpn.go.id and has validated the data and has been verified by the land office. the land office is the same as ppat, creditors who will use the ht-el system must also be creditors who have registered with the partner application at mitra.atrbpn.go.id and have validated the data and have been verified by the land office. mortgage rights are made from the https://htel.atrbpn.go.id/ application by users registered as ppat and financial services. in using the ht-el system, various obstacles were encountered by the parties. the implementation of online mortgage rights has several problems in its implementation, including the readiness of the ministry of agrarian affairs and spatial planning / national land agency, namely a server for implementing online mortgage rights (ht-el system). in order to improve service, several times the server has been slowed down or stopped to upgrade the system again to make it better. in addition, there are also some obstacles from the registration applicant where the internet owned by the applicant in accessing ht-e is often slow in performance, making it difficult to access the ht-e system. in the end there was a buildup of mortgage registrations the following day. this ht-el system is very dependent on the internet, so it needs strengthening of a good network. in addition, the level of security in the ht-el system needs to be properly 11 hutagalung, arie. "praktek pembebanan dan pelaksanaan eksekusi hak tanggungan di indonesia." jurnal hukum & pembangunan 38.2 (2008): 148174.doi: http://dx.doi.org/10.21143/jhp.vol38.no2.171 http://dx.doi.org/10.21143/jhp.vol38.no2.171 jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 12 maintained so that things do not happen that can harm the parties involved in ht-el services. without an information security system, electronic transactions are very vulnerable to information security disturbances that can cause inconvenience for electronic transaction actors12. therefore, it is important for the implementation of the ht-el system to continue to maintain the security of the information contained in the online security rights service. obstacles faced by the land office employees include invalid data. another obstacle is the lack of ppat understanding of the ht-el system which is considered a new system that needs to be further understood. since mid-november 2019 the land office has refused to register mortgage rights manually. the land office of brebes regency on may 1, 2020 has made it mandatory to use the ht-el system. the land office in this case acts as an administrator and keeps records. in providing ht-el services, it needs to be supported by sophisticated equipment that can be a means of data storage and data transmission so that it can be mutually integrated between the regional land office and the regional land office and the central land office13. it is appropriate for the ministry of atr / bpn to empower human resources for the better and to improve hr competencies is one of the main urgencies to support ht-el services. creditors apply for ht-el services through the ht-el system provided by the ministry. creditors complete the required documents submitted by the ppat. requirements for application for ht-el services are in accordance with the provisions of laws and regulations and are submitted in the form of an electronic document. in connection with the enactment of bank indonesia regulation number 17/3 / pbi / 2015 concerning the 12 setiawan, ahmad budi. "studi standardisasi sertifikat elektronik dan keandalan dalam penyelenggaraan sistem transaksi elektronik." buletin pos dan telekomunikasi 12.2 (2014): 119-134. doi: http://dx.doi.org/10.17933/bpostel.2014.120204 13 nadira, nurul. "pendaftaran hak tanggungan elektronik yang akan mulai dilaksanakan di badan pertanahan." fairness and justice: jurnal ilmiah ilmu hukum 17.2 (2019): 162-165. doi: https://doi.org/10.32528/faj.v17i2.2801 http://dx.doi.org/10.17933/bpostel.2014.120204 https://doi.org/10.32528/faj.v17i2.2801 jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 13 mandatory use of rupiah in the territory of the republic of indonesia. this also affects the value of security rights that must be done in rupiah. ppat submits deeds and documents of completeness requirements through an electronic system of partners that is integrated with the ht-el system. submission of documents is accompanied by a statement letter regarding the accountability for the legality and correctness of the submitted electronic document data. application for ht-e services that have been received by the ht-e system shall be provided with proof of registration of the application issued by the system. ht-el services are subject to fees in accordance with the provisions of laws and regulations regarding nontax state revenue that apply to the ministry. the application is processed after the application data and fees are confirmed by the ht-el system. in the event that payment of fees is not confirmed by the ht-el system, creditors can confirm directly to the land office or complaints service. the land office prepares for the implementation of ht-el services, including: (1) data validity; (2) account registration; (3) electronic signature registration. data validation in the context of electronic mortgage services is carried out on all textual data and spatial data on land parcels. data validation can be carried out in stages when checking the certificate of land rights. a validated land book of land rights or ownership rights to apartment units: (1) is given a sign or stamp that has been validated; and (2) the recording of the maintenance of land registration data is then carried out in an electronic land book. account registration is carried out to the state civil apparatus in charge of mortgage services. electronic signature registration is carried out in stages starting with the official authorized to sign the ht-el certificate. electronic mortgage certificate applies nationally. before the results of ht-el services are published, the head of the land office or the appointed official must check the conformity of the document requirements and the concept of ht-el certificate. checking the conformity of the document requirements and the ht-el certificate concept is carried out through the ht-el system. in the event that the results of the examination are incomplete or inappropriate documents, the creditors and / or ppat shall be notified to immediately complete the documents. the required jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 14 documents must be completed no later than 5 (five) days after the service application is received by the ht-el system. after 5 (five) days the creditor is not completed and / or the ppat is not, then the application is declared canceled. in the event that the required documents are in accordance, the head of the land office or the appointed official approves the upload of the required documents and the draft ht-el certificate. in the event that the head of the land office or an appointed official does not carry out an inspection until the 7th (seventh) day and the results of ht-el services are issued by the ht-el system, it is deemed to have given approval and / or approval. head of the land office or appointed official is responsible administratively for the results of ht-el services. the results of ht-e services are in the form of electronic documents issued by the ht-el system, including: (1) ht-el certificates; (2) records of mortgage rights in the land book of land rights or ownership rights to apartment units; and (3) records of mortgage rights in a certificate of land rights or ownership of apartment units. the results of ht-el services are validated with an electronic signature by the head of the land office or an authorized official, to maintain the integrity and authenticity of electronic documents. electronic signature is a signature that consists of electronic information that is attached, associated or related to other electronic information that is used as a verification and authentication tool. electronic signature is carried out in accordance with statutory provisions, namely the regulation of the minister of agrarian affairs and spatial planning / head of the national land agency no. 3 of 2019 concerning the application of electronic signatures. this electronic signature also has the same legal force as a wet signature. the current regulations regarding electronic evidence have provided legal protection for the parties involved in it14. the issuance of the ht-el certificate is carried out on the 7th (seventh) day after the ht-el service application is confirmed by the ht-el system. in the event that the receivables have been paid off, the creditors shall immediately register the write-off of mortgage rights. application for service to abolish mortgage 14 arkisman, arkisman, and nandatama ayu lafitri. "kepastian hukum sertipikat hak tanggungan elektronik dalam hukum pembuktian di peradilan menurut hukum acara perdata." jurnal pro hukum: jurnal penelitian bidang hukum universitas gresik 9.2 (2020). jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 15 rights is submitted through the ht-el system. after the mortgage is deleted, then the mortgage note or roya is written off. roya in general is the removal of the mortgage attached to the land book which is the object of the mortgage right, because the removal of the mortgage that is burdensome to land15. the purpose of the removal / roya of mortgage rights, as well as in the land book or land certificate concerned, is so that it can be known by the public that these lands have been free again, not encumbered with mortgage rights16. conclusion the implementation of mortgage rights online is a new thing that is being done by the indonesian government through the ministry of agrarian affairs and spatial planning / the national land agency. the implementation of an electronic integrated mortgage service system in indonesia is called the ht-el system. the parties involved in implementing mortgage rights online are debtors, creditors, ppat, and the land office. registration is carried out by creditors and the head of the land office has an obligation to validate all inputted data. if an error occurs or an input error occurs, the creditor or ppat as the user of the ht-el system can make data corrections. if the system is down, then you have to repeat the input data from the beginning again. and this also needs to be avoided by the ministry so that there is no system down from the center which could result in losses for system users. the results of ht-e services are in the form of electronic documents issued by the ht-e system, in the form of certificates of mortgage and notes of mortgages in the form of electronic documents and validation using an electronic signature constraints can be identified not only from the credential side but also from the side of the land office. this system is highly dependent on internet access so that all parties must be able to understand and master this online system and have high readiness for employees of land 15 syuryani, syuryani. "pelaksanaan roya hak tanggungan sebagai upaya menjamin kepastian hukum di kantor pertanahan (bpn) kota bukittinggi." pagaruyuang law journal 2.1 (2018): 116-129. 16 purnama, yusuf bagus. "kewenangan notaris dalam membuat akta roya hak tanggungan." al-qanun: jurnal pemikiran dan pembaharuan hukum islam 21.1 (2018): 85-100. doi: https://doi.org/10.15642/alqanun.2018.21.1.85-100 https://doi.org/10.15642/alqanun.2018.21.1.85-100 jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 16 offices throughout indonesia. security for servers from the ministry of atr / bpn needs to be improved so that errors do not occur in the system and data base. bibliography books boedi harsono, boedi. (2008). hukum agraria indonesia, sejarah pembentukan undang – undangpokokagraria isi danpelaksanaannya,edisirevisi.djambatan. jakarta purnamasari, irma devita. (2011). hukum jaminan perbankan. penerbit kiafa. bandung. journals arkisman, arkisman, and nandatama ayu lafitri. 2020. kepastian hukum sertipikat hak tanggungan elektronik dalam hukum pembuktian di peradilan menurut hukum acara perdata. jurnal pro hukum: jurnal penelitian bidang hukum universitas gresik 9.2 (2020) adhi, yuli prasetyo. 2014. characteristics and problems of online fiduciary in the imposition of fiduciary guarantee in indonesia. south east asian journal of contemporary business economics and law 4.3 (2014) aufima, zidna. 2020. peran ppat selaku pengguna layanan hak tanggungan terintegrasi secara elektronik. journal of judicial review 22.2 (2020): 259-270. doi: http://dx.doi.org/10.37253/jjr.v22i2.1224 doly, denico. 2016. aspek hukum hak tanggungan dalam pelaksanaan roya. negara hukum: membangun hukum untuk keadilan dan kesejahteraan 2.1 (2016): 103-128. doi: http://dx.doi.org/10.22212/jnh.v2i1.185 hutagalung, arie. 2008. praktek pembebanan dan pelaksanaan eksekusi hak tanggungan di indonesia. jurnal hukum & pembangunan 38.2 (2008): 148174.doi: http://dx.doi.org/10.21143/jhp.vol38.no2.171 jayanti, offi, and agung darmawan. 2018. pelaksanaan lelang tanah jaminan yang terikat hak tanggungan. kanun jurnal ilmu hukum 20.3 (2018): 457-472. doi: https://doi.org/10.24815/kanun.v20i3.11830 nadira, nurul. 2019. pendaftaran hak tanggungan elektronik yang akan mulai dilaksanakan di badan pertanahan. fairness and justice: jurnal ilmiah ilmu hukum 17.2 (2019): 162-165. doi: https://doi.org/10.32528/faj.v17i2.2801 purnama, yusuf bagus. 2018. kewenangan notaris dalam membuat akta roya hak tanggungan. al-qanun: jurnal pemikiran dan pembaharuan hukum islam 21.1 (2018): 85-100. doi: https://doi.org/10.15642/alqanun.2018.21.1.85-100 risa, yulia. 2017. perlindungan hukum terhadap kreditur atas wanprestasi debitur pada perjanjian kredit dengan jaminan hak tanggungan. normative jurnal ilmiah hukum 5.2 november (2017): 78-93. sibuea, harris yonatan parmahan. 2016. arti penting pendaftaran tanah untuk pertama kali. negara hukum: membangun hukum untuk keadilan dan kesejahteraan 2.2 (2016): http://dx.doi.org/10.37253/jjr.v22i2.1224 http://dx.doi.org/10.22212/jnh.v2i1.185 http://dx.doi.org/10.21143/jhp.vol38.no2.171 https://doi.org/10.24815/kanun.v20i3.11830 https://doi.org/10.32528/faj.v17i2.2801 https://doi.org/10.15642/alqanun.2018.21.1.85-100 jpcl 5(1) (2021) 1-17 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 17 287-306 sukmawati, murlyta nevi. 2019. personal guarante terhadap perjanjian kredit dengan jaminan hak tanggungan. airlangga development journal 3.1 (2019): 54-71 setiawan, ahmad budi. 2014. studi standardisasi sertifikat elektronik dan keandalan dalam penyelenggaraan sistem transaksi elektronik. buletin pos dan telekomunikasi 12.2 (2014): 119-134. doi: http://dx.doi.org/10.17933/bpostel.2014.120204 syuryani, syuryani. 2018. pelaksanaan roya hak tanggungan sebagai upaya menjamin kepastian hukum di kantor pertanahan (bpn) kota bukittinggi. pagaruyuang law journal 2.1 (2018): 116-129 zaki, begiyama fahmi. 2016. kepastian hukum dalam pelelangan objek hak tanggungan secara online. fiat justisia: jurnal ilmu hukum 10.2 (2016). doi: https://doi.org/10.25041/fiatjustisia.v10no2.748 http://dx.doi.org/10.17933/bpostel.2014.120204 https://doi.org/10.25041/fiatjustisia.v10no2.748 jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 114 cl jp jp jp jp legal responsibilities of foreign investors in establishing unicorn start-up companies in indonesia satrio ageng rihardi law program, faculty of social science and political science, tidar university indira swasti gama bhakti law program, faculty of social science and political science, tidar university abstract this article aims to identify and analyze the responsibilities of foreign investors towards financial management in unicorn-category start-up companies to increase foreign exchange and taxes of the indonesian state. the flow of globalization is increasing very rapidly and the development of the digital world. indonesia is one of the countries with the highest e-commerce growth which continues to grow every year, in 2013 internet users were recorded at 72.8 million and in 2016 it became 102.8 million, in 2019 there were 130 million people. pt.pma needs strict supervision of the financial system including how to collect taxes, considering that the capital invested is not small. a legal system capable of creating certainty, justice, and efficiency as an effort to develop market mechanisms in the era of economic globalization. without special rules regarding the supervision of foreign investors, of course it will make it difficult for the government to collect taxes and move the financial management system. the research method was carried out normative-empirical which was presented in a qualitative descriptive. some company investors in start-up companies come as a whole from domestic investors and some even use foreign investors to intervene. article 5 paragraph (2) of the company law states that foreign investment in indonesia must be in the form of a limited liability company (pt) based on indonesian law and the government in this case is not allowed to grant “special rights” to treatment of a country. start-up companies, both foreign and domestic, must pay taxes in accordance with the provisions imposed in indonesia. with the implementation of this tax, it has resulted in an increase in state profits. apart from affirming the obligation of investors to pay taxes, the principles of sound corporate governance are embodied, respecting jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 115 cl jp jp jp jp the cultural traditions of the community, and implementing corporate social responsibility. keywords: responsibility; foreign investors; finance; tax introduction the flow of globalization and the development of the digital world is increasing very rapidly. especially in the economic field in trading activities known as electronic commerce (e-commerce). the trading system used in e-commerce is designed to sign electronically from purchase, inspection, and delivery. indonesia is one of the countries with the highest e-commerce growth which continues to increase every year, in 2013 internet users were recorded at 72.8 million and in 2016 it became 102.8 million, in 2019 there were 130 million people. launching data from one data science, there are 10 of the best e-commerce business players in indonesia compiled in comscore data covering around 67 million digital populations, namely lazada indonesia, matahari mall, blibli, zalora indonesia, jd indonesia, tokopedia, elevania , shopee, bukalapak, qoo10. investment realization data from the indonesian investment coordinating board, domestic investment and foreign investment. each january-march 2018 period reached a figure of idr 185.3 trillion, an increase of 11.8% from the same period in 2017 of idr 165.8 trillion. indonesia is a developing country, therefore it is inseparable from the need to carry out development that does not require little capital or in other terms, requires a very large investment. initially, investment activities in indonesia began in 1967 with the issuance of law number 1 of 1976 concerning foreign investment (pt.pma) in conjunction with law number 11 of 1970 concerning amendments and additions to law no. 1 of 1967 concerning foreign investment and law no.6 of 1968 concerning public investment. jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 116 cl jp jp jp jp the success of a national development cannot be separated from foreign investment as a supporting factor and contributing to determining growth in the economic sector. of course, this foreign investment will accelerate from the side of modernization in the state of indonesia, besides that it can also encourage business expansion of business actors taking part in the state of indonesia. the business referred to in this case is the business of start-up companies categorized as unicorns, unicorn in the start up area is a company that has a value of more than us $ 1 billion rupiah, therefore almost the entire company is inseparable from sponsors from other parties. the company has the principle that the more investors there are, the more profits will be obtained, considering that the start-up company is actually a start-up company, so at the beginning of this company it will experience a lot of costs compared to the income. whereas in order to accelerate the development of development in the national economic sector as well as to realize the political and economic sovereignty of the indonesian state, it is necessary to increase investment to transform this economic potential into real economic strength by using both domestic and foreign capital. in indonesia, which regulates investment is regulated in law number 25 of 2007 concerning investment (uupm), in article 1 paragraph 3 of the company law states that foreign investment is an activity of investing to conduct business in the territory of the republic of indonesia which is carried out by foreign investors, whether using foreign capital entirely or joining forces with domestic investors. meanwhile, article 5 paragraph (2) of the company law states that foreign investment in indonesia must be in the form of a limited liability company (pt) based on indonesian law. the government in this case is not entrusted with giving different treatment between domestic investors and foreign investors, so there is no term of granting “special rights” to a country. such investment cannot be avoided by the existence of tax collection, especially taxes in the e-commerce sector regulated in the circular of the director general of taxes se-62 / pj / 2013 jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 117 cl jp jp jp jp concerning the confirmation of taxation of e-commerce transactions and the trade law number 7 of 2013 in terms of investment, it is prohibited to commit corporate crimes in the form of tax crimes, inflating costs to minimize profits resulting in state losses. in tax collection, the implementation is often less than optimal which results in the lack of compliance of business actors in digital companies in paying taxes. even though it has been regulated in these provisions as in the minister of finance regulation (pmk) number 48 / pmk.03 / 2020 concerning procedures for appointment, collection and deposit, as well as value added tax reporting on utilization of intangible taxable goods and / or taxable services from outside the customs area inside the customs area through trading through an electronic system. the government, through the director general of taxes is supposed to collect data on companies that are included in the trading scheme through the electronic system (pmse). with the schema data collection through an electronic system (pmse) like this, of course, it will make it easier for the government to collect taxes on companies in indonesia. considering that in other countries, namely south korea, it is necessary to immediately intensify tax revenues from foreign companies. even based on national tax service (nts) data, it was found that there were still many foreign corporations operating in south korea that did not pay corporate income tax (pph) at all in 2019. this can be used as a comparison reference in the application of tax collection on companies. established in indonesia, especially the establishment of foreign companies. for now, foreign companies are still easily established and are growing rapidly in indonesia, therefore, with the pmse, these foreign companies will pay taxes obediently, thereby increasing the country's foreign exchange which is aimed at the welfare of the people. adolf wagner gave his view on the principle of tax collection (adolf wagner in sindian isa d, 1995: 18), which argues that there are four principles in collection, namely in the financial-political field where this principle has the meaning that tax jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 118 cl jp jp jp jp collection is sufficient easy to implement, in the economic field where this principle is closely related to its sources, tax consequences, the principle of justice which can be interpreted as an equitable understanding that applies generally and evenly, the principle in the field of administration which means must be certain, precise and not costly lots. it is on this basis that wagner compiled these principles from various angles, namely the financial-political, economic, justice and administrative angles. rochmat soemitro prefers the way of collecting taxes in terms of financial-political, economic, fairness and administration as was done by wagnerr, but according to him the main and highest principle is the principle of justice to achieve general welfare (pranoto, 2016, p. 401). testing of the validity of wagner's law has been widely carried out since wagner's statement was translated into english in 1950 (dimitrios & richter, no date). most studies reported using time series data, testing at the level of one particular country, generally in developed countries. one of the countries where many studies to test wagner's law were conducted in greece, including by: georgakopolous & loizides (1994: 12-29), hondroyiiannis & papapetrou (1995: 67-79). neither study found wagner's law applicable in the greek economy. furthermore, in a study conducted by dritsakis & adamopoulos (2004: 457-464), sideris (2007), and katrakilidis & tsaliki (2009: 57-78) concluded that wagner's law applies in the case of the greek state. (ni, 2012, pp. 1-24). the government has now implemented digital taxes starting august 1, 2020, namely goods or services sold by digital-based international companies are required to pay a value added tax (vat) of 10%. however, in this case the government does not yet have a valid database regarding the number, type of business and length of business of products that use online media. without a valid database, it is feared that the form of a financial management system is not clearly recorded for its usefulness. with the presence of pt.pma, it is necessary to have close supervision jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 119 cl jp jp jp jp of the financial system including how to collect taxes, considering that there is not a small amount of capital invested. a legal system that is able to create predictability, fairness and efficiency as an effort to develop market mechanisms in the era of economic globalization. without a special form of regulation regarding the supervision of foreign investors, of course it will make it difficult for the government to collect taxes and move the financial management system. maximum supervision definitely adds to the country's foreign exchange, for that it is necessary to have regulations that are prepared accurately. based on the description above, the researcher is interested in conducting a study entitled "legal responsibilities of foreign investors in establishing unicorn start-up companies in indonesia". based on the background above, the writer formulates and aims to find out: what is the philosophical basis for the responsibility of foreign investors to manage the financial system in unicorn start-up companies established in indonesia. then look at how the formulation of the government is right to increase the foreign exchange and taxes of the indonesian state for start-up companies categorized as unicorns. will the tax deregulation in the e-commerce sector provide compliance with business actors to pay taxes in accordance with the provisions? method methodology is derived from the basic words of method and logic. method means how to do something in an orderly manner, while logic means a science based on logical thinking, so that it can be interpreted that methodology is the science of how to do something orderly. the methodology essentially provides guidance, about the ways a scientist studies, analyzes, and understands the environments it faces. research is a scientific activity related to analysis and construction, which is carried out methodologically, systematically and consistently. legal research is a scientific activity, which is based on a method, systematic, and certain thinking, which aims to study one or several specific legal phenomena, by analysing them. legal research is a process to discover both the impact of a past event and its implications for the future. legal research method jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 120 cl jp jp jp jp means the knowledge of how to conduct legal research regularly. the nature of the research, entitled legal responsibilities of foreign investors in establishing unicorn start-up companies in indonesia, is a normative and empirical legal research. normative legal research is legal research that uses secondary data. empirical legal research is legal research that uses primary data. this research is said to be normative legal research because what is being studied is library material or secondary data, which includes primary, secondary and tertiary legal materials, namely regarding the form of foreign investors' legal responsibility for the establishment of start-up companies in indonesia. field research was conducted to obtain primary data, namely regarding the form of implementation of the financial management system in the establishment of a start-up company categorized as unicorn in indonesia and the appropriate form of government formulation to increase foreign exchange and taxes of the indonesian state. field research was conducted to obtain primary data in the form of empirical facts that exist in practice. the method of collecting data in field research is by direct interviews with respondents. interviews are intended to conduct direct questions and answers between researchers and research subjects to obtain data. in this study the focus of the interview is on the legal responsibility of foreign investors for the establishment of unicorn start-up companies in indonesia. the data collection tool used by researchers in relation to conducting field research is an interview guide. the interview guide used by the author is a list of questions arranged systematically and relating to the issues discussed in the study. the interview guide was made openly which was not structured and contained only the main points of the problem, then the researcher conducted direct interviews with sources related to the problems in this study. analysis of data obtained from library research and field research then grouped, selected and analyzed. the method used by researchers to analyze research data is a qualitative method, which is done by comparing primary data obtained from field research and secondary data obtained from library research. secondary data obtained from library research, became the first data analyzed by the author. the secondary data becomes a reference for conducting field research. the author then looks for primary data obtained from field research on entrepreneurs and financial staff of start-up companies categorized as unicorn in indonesia. the primary data that has been obtained by the author is then analyzed based on existing legal theory and applicable laws and regulations. the final result achieved is the difference between theory and practice in the field or in society. the jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 121 cl jp jp jp jp results of the subsequent analysis are presented in a qualitative description. results and discussion philosophical basis of the legal responsibilities of foreign investors in establishing unicorn start-up companies in indonesia start-ups are identical to businesses that use technology that are conducted online or on the web. generally, the establishment of a start-up company is in the form of an application in digital form and its services operate on the website. startup companies categorized as unicorns are companies that have a valuation or value of usd 1 billion like companies in indonesia, namely go-jek, tokopedia, bukalapak and traveloka. in connection with the current level of globalization, it has increased very rapidly in the development of the digital world. especially in the field of economics in trading activities known as electronic commerce (ecommerce). the trading system used in e-commerce is designed to sign electronically from purchase, inspection, and delivery. indonesia is one of the countries with the highest e-commerce growth which continues to increase every year, in 2013 internet users were recorded at 72.8 million and in 2016 it became 102.8 million, in 2019 there were 130 million people. launching data from ilmuone data, there are 10 of the best e-commerce entrepreneurs in indonesia compiled in comscore data covering around 67 million digital populations, namely lazada indonesia, matahari mall, blibli, zalora indonesia, jd indonesia, tokopedia, elevania, shopee, bukalapak, qoo10. investment realization data from the investment coordinating board (bkpm), domestic investment (pmdn) and foreign investment (pma) per january-march 2018 period reached idr 185.3 trillion, an increase of 11.8% from the previous period. same in 2017 amounting to idr 165.8 trillion. in connection with the transformation of start-up companies, especially in the unicorn category, this is inseparable from the need for investors as funders to be able to survive and continue to grow. company investors in start-up companies come as a whole from domestic jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 122 cl jp jp jp jp investors and some even use foreign investors to intervene. on the other hand, the entry of foreign investors will have an effect on foreign exchange taxes in the state of indonesia, besides that with the intervention of foreign investors, this can support the existence and development of the start-up company so that it will get greater profits than without additional investors. this is also strengthened according to the results of our interview with mr. yacobo p. sijabat, s.e., m.sc. as an academic in taxation economics, that with the influence of foreign investors it will increase foreign exchange and state income because these start-up companies are tax objects so they have to pay taxes. this has been stated in article 23, article 24, and article 26 of income tax which describes taxes imposed on income on capital, service delivery, or gifts and awards. meanwhile, in article 24 of income tax, the regulations governing the rights of taxpayers to take advantage of their tax credits abroad to reduce the value of the tax owed in indonesia. thus, the amount of tax that has to be paid in indonesia can be reduced by the amount of tax they have paid abroad, provided that the value of the tax credit abroad does not exceed the tax payable in indonesia. this means that those from abroad may be subject to the obligation to pay taxes. whereas in law number 36 of 2008, income tax article 26 is an income tax imposed on income received by foreign taxpayers from indonesia other than a permanent establishment in indonesia. this means that with this provision, it states that all business entities that carry out payment transactions (salaries, interest, dividends, royalties and the like) to foreign taxpayers are obliged to withhold article 26 income tax on the transaction. start-up companies have an influence in national development that can move the wheels of the economy in increasing the country's foreign exchange income or state income as well as increasing the existence of financial technology. furthermore, according to the statement of mr. yacobo p. sijabat, se, m.sc also, with the provisions contained in the regulations in the financial services authority jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 123 cl jp jp jp jp (ojk), that to support the existence of startup business actors or start-up companies to contribute to the national economy, through the provision of alternative sources of funding based on information technology. therefore, the ojk stipulates its regulations on crowdfunding services through information technology-based stock offerings. this means that it is also permissible in the ojk regulation, that investors can buy shares through crowdfunding services, of course the criteria are regulated, namely investors with an income of up to five hundred million rupiah per year can buy shares of 5% of total income per year, while with an income that is more than five hundred million rupaiah per year can purchase 10% share per year. basically, a start-up company is a service provider company using digital technology in the form of an application that makes it easier for the general public to meet their daily needs. for example, the go-jek company that makes it easier for people to find rental vehicles to take them from one place to another. likewise, start-ups engaged in e-commerce, which essentially bring together traders and buyers through the application page. therefore, start-up companies finance the company's operations and develop their business and build their business ecosystem by cooperating with investors. moreover, foreign investors who are involved in investing in start-up companies, which means venture capitalists are competing to pour out funds / capital to finance start-up companies that are considered to be able to provide profits in accordance with the invested capital. when the valuation of the company is getting higher, this company can be sold at a very high price, or conduct an initial public offering (ipo) with a high share price per share. that's when the company makes a profit, and the financier makes a profit. in the era of economic globalization, indonesia as a country with foreign investment recipients in the largest category, this shows that the indonesian state is an object for foreign investors to invest their foreign capital in companies that cannot be separated from start-up companies in indonesia. indonesia. this is also reinforced by the large number of internet users in indonesia, which is proven by jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 124 cl jp jp jp jp the high interest in shopping online, namely in 2019 there were 107.2 million internet users. in addition, approximately 87 (eighty-seven) million people or a third of indonesia's population are aged 16 to 35 years, and around 100 million people, coupled with a demographic condition dominated by youth, make indonesians accustomed to transacting digitally. on the other hand, the emergence of these startup companies will have a positive impact on economic progress, namely in natural resource development, research and development and unicorn development infrastructure. the form of implementation of the financial management system in the establishment of start-up companies categorized as unicorn management is an activity related to various sectors in human life. the word management comes from italian which is taken from the latin word "manos" which means hand, the word management means in the dictionary.: a. to direct and control b. to treat with care c. to carry of business or affair d. to achieve one’s purpose financial management is a business or leadership activity in processing financial affairs, using management functions, and mobilizing financial officers. the financial management cycle, like other management, generally consists of several aspects, namely planning, implementing, evaluating, evaluating, monitoring and planning the next. the thing that is handled in this case is the budget, so financial management is also called budget management. according to dewi utari (2014: 1), financial management is planning, organizing, implementing, and controlling fundraising at the lowest possible cost and using it effectively and efficiently for organizational operations. meanwhile, agus sartono (2015: 6), financial management can be defined as good fund management related to the allocation of funds in various forms of investment effectively as well as efforts to jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 125 cl jp jp jp jp collect for investment financing or efficient learning. from the theory stated above, financial management is a business activity in terms of financial management or funds that are intended to launch all activities in order to achieve its objectives. the main task of financial management is to make decisions that include the company in obtaining funds and also how to allocate these funds. therefore, it can be seen that in terms of company management it is inseparable from the existence of particularly policy decisions on investment in companies in the form of land, buildings, tools, or financial assets in the form of securities such as bonds and stocks. in addition, there is also an effect in managing the company's assets efficiently to achieve the goals of a company. especially in any start-up company other than what is mentioned above, it cannot be separated from the existence of financial management which involves activities from the planning, analysis and control stages to maintain the company's operational sustainability. by implementing this, the start-up company can maximize company value which has an effect on the prosperity of shareholders as measured by the company's share price. as for the management of its financial system, start-up companies must implement corporate management functions, according to martono and harjito (2008) there are 3 main functions in financial management, including as follows: a. investation decision investment decisions are decisions on what assets will be managed by the company. the investment decision is the most important decision because this investment decision has a direct effect on the amount of investment return and the company's cash flow for the future. b. funding decisions the funding decision concerns the sources of funds that are on the asset side. there are several things regarding funding decisions, namely decisions about determining the source of funds needed to finance investment, and jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 126 cl jp jp jp jp determining the best balance of spending or often called the optimum capital structure. c. asset management decisions when assets have been acquired with appropriate funding, they require efficient management. the financial manager along with other managers in the company are responsible for various levels of existing assets. this responsibility requires financial managers to pay more attention to the management of current assets rather than fixed assets. a conservative financial manager will allocate funds according to the term of the asset being funded. with these three things, of course in a start-up company it is inseparable from the transfer or investment into a company, especially in the form of shares. there are two types of shares that are traded on the stock exchange, namely common stock and preferred stock (anoraga 2006: 54). common stock is a stock that places its owner in the most junior position in the distribution of dividends and the rights to the company's assets if the company is liquidated. whereas preferred stock is a stock that has a combination of characteristics between bonds and common stock, because it can generate a fixed income, but also may not produce the results investors want (darmadji, 2006: 7). in start-up companies, there is a purchase of shares owned not only by domestic investors but also foreign investors. especially in terms of the distribution of shares in start-up companies, it is different compared to companies in general. companies in general who want to make purchases or own shares in the company must be regulated in the articles of association which take into account the limited liability company law. especially in the transfer of rights over shares in a public company, basically there is no need to make an offer beforehand to other shareholders. however, the transfer of rights over shares in a public company must obtain prior approval / permit from the competent authority. this is as regulated by jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 127 cl jp jp jp jp the laws and regulations in the capital market sector, including the capital market law and the bapepam-lk regulations as the implementer of the said capital market law. referring to the decree of the chairman of the capital market supervisory agency number kep-13 / pm / 1997 concerning the principles of articles of association of companies conducting public offering of equity securities and public companies ("decree of the chairman of bapepam no. kep-13 / pm / 1997"), explains that every transfer of rights over shares must comply with the provisions listed in number 11 attachment to the decree of the chairman of bapepam no. kep-13 / pm / 1997, which states: a. the transfer of rights over shares must be proven by a document signed by or on behalf of the party transferring rights, including by or on behalf of the party receiving the transfer of rights over the shares concerned. the document of transfer of rights over shares must be in the form as determined or approved by the board of directors. b. the forms and procedures for the transfer of rights over shares traded in the capital market must comply with the statutory regulations in the capital market sector. c. the transfer of rights over shares included in collective custody is carried out by book-entry from one securities account to another at the depository and settlement institution, custodian bank, and securities company. acquisition of shares can be done by offering a public offering during the primary market and buying shares that are already circulating in the secondary market. while start-up companies are companies based on technology, so that in calculating the number of shares, several factors are taken into account. not only considering the amount of capital, but also other components such as working time, ideas, loyalty, and application coding. jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 128 cl jp jp jp jp in fact, each component has its own share, therefore the application of this system will provide a fair calculation in the distribution of its shares. for example, if there is a start-up company founder who has a minimal contribution, this will also be followed by lower share ownership compared to other founders who can develop the start-up company by involving foreign investors. examples of cases that occurred at pt. x (the initial company) which is a p2p lending service provider company and succeeded in funding thousands of micro, small and medium enterprises (msmes) in indonesia, where the company took the initiative to open a tap of funding from investors, which was carried out by pt. y (initial company) which has purchased 10% shares. this injection of funds from pt.y then made the percentage of other share ownership shrink. however, at the same time, the large valuation value increases the share value of each shareholder. the value and percentage of these shares will continue to change along with changes in the startup. moreover, when the company obtains large funding and transforms into a unicorn. this has implications for the distribution of profits or voting rights in the general meeting of shareholders (gms). to accelerate national economic development in accordance with the provisions of law 25 of 2007 concerning investment, it is necessary to increase investment to transform economic potential into real economic strength by using capital both from within the country and from abroad. however, in facing global economic changes, it is necessary to create an investment climate that is conducive, promotive, provides legal certainty, justice and efficiency while still taking into account the interests of the national economy. if you look at several cases that have occurred in start-up companies such as companies that require capital injection from foreign investors in an effort to develop their business so that they are not easily shifted by other companies. for example, for a company pt.g (company initials) which operates in the transportation sector, more than 50% of the shares are owned by foreigners, so we can project that only a few percent of the shares are owned by jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 129 cl jp jp jp jp the company founder. in accordance with article 88 paragraph (1) of the limited liability company law which states that, a gms to amend the articles of association can be held if at the meeting at least 2/3 (two thirds) of the total shares with voting rights are present or represented in the gms and the decision is valid if it is approved by at least 2/3 (two thirds) of the number of votes cast, unless the articles of association determine the quorum of attendance and / or provisions regarding the decision making of a larger gms. this means that decision making in a company is determined in principle by the largest shareholder, so that what happens in pt. g is controlled or determined by a foreign party. this is also seen in the start-up company engaged in e-commerce, pt. b (company's initial) whose capital was also injected by foreign parties, one of which was pt. e (initial foreign company) as the majority shareholder since october 2019 with a valuation of us $ 2.5 billion or more than 35 trillion. in terms of the implementation of the financial management system in the establishment of a start-up company, it is inseparable from financial management which must maximize company profits by selecting something that does not benefit the company and negatively affects the company in the long term. one of the efforts that must be done is to maintain financial cash flow so that expenses are not too inflated compared to their inputs. in addition, start-up companies apply the principle of openness to corporate financial activities as a basis for maintaining corporate financial stability as well as applying the principle of corporate financial accountability. this is the key in managing the company's financial management system to maintain the existence of the stat-up company. the right form of government formulation to increase indonesia's foreign exchange and taxes on start-up companies categorized as unicorns the indonesian state is experiencing developments in various fields both in the economic, social and infrastructure sectors as well as in the fields of transportation and technology. for this reason, in the sustainability of national jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 130 cl jp jp jp jp development, the government needs a source of funds to make it happen, one of which is tax collection. pja andriani in tjendraputra, haiwei (2014: 11) defines that taxes are public contributions to the state (which can be enforced) owed by those who are obliged to pay them according to general regulations (laws) without getting back achievement which can be directly addressed and the point of which is to finance general expenses related to the task of the state to organize the government. as for the meaning according to the law as stated in article 1 number 1 of law no. 6 of 1983 as recently revised by law no. 28 of 2007 concerning general provisions and tax procedures or referred to as the taxation law is "compulsory contribution to the state which is owed by individuals or entities that are compelling under the law, without receiving direct reciprocity and used for the state's needs for the greatest prosperity of the people.” apart from being a human being, legal entities are also subject to tax, so that legal entities in the form of limited liability companies are also obliged to pay taxes. taxes can be seen from several different sides and there are interests between taxpayers and the government. this difference in interests creates the wrong perception that in tax collection, the tax officials or the tax authorities will try to impose the maximum tax. meanwhile, taxpayers will try to pay the smallest tax (bardjo sugeng, 2011). this often occurs in several companies in planning their taxes to pay taxes as little as possible so that it will not affect the wealth owned by the company. therefore, according to article 1 paragraph 5 of the taxation law, entrepreneurs are obliged to report their ownership of assets for state purposes. therefore, this start-up company must also make regular tax payments in accordance with tax regulations. this is reinforced by his statement by dr. budi agus riswandi, sh, mh at the faculty of law uii gave a statement that regarding start-up companies it is the company's obligation, but it can be said that in its implementation it has not been carried out optimally due to 2 big things, namely the matter of regulations that are considered incapable of effective in reaching all actors jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 131 cl jp jp jp jp in transactions and secondly, the existence of technological limitations in reaching financial data of business actors. however, in actual fact, indonesian business actors have the opportunity to be able to contribute to indonesian taxation in order to increase foreign exchange. if in this case it is not implemented then in accordance with the provisions in article 39 paragraph (1) letter i of the taxation law in terms of not remitting taxes to the state, it means that it will cause a loss to state income and can be punished for at least 6 months and a maximum of 2 years and a fine. at least 2 times the amount of unpaid or underpaid taxes and a maximum of 4 times the amount of unpaid or underpaid taxes. start-up companies where there is influence of foreign investors, then this company must register and is obliged to pay taxes, but it appears that in reality there are many companies that manipulate tax data. therefore, according to him, the government in this case must carry out optimal supervision of companies in terms of reporting their taxes. in addition, the government also becomes a reference in evaluating existing regulations regarding tax planning by companies so that with the evaluation stage strategic and quality steps can be taken to implement tax planning in order to provide positive benefits in the future. tax deregulation in the e-commerce sector will provide compliance for business actors to pay taxes every formation of laws and regulations must have clear objectives to be achieved as well as effective and effective. this is in accordance with the principle of establishing statutory regulations as stipulated in article 5 (letter a and letter e) of law number 12 of 2011. in its implementation practice, the operationalization of taxation policies still faces many problems. the main problem in tax regulation is the inconsistency in the perspective of tax policy makers regarding indonesian constitutionality, which is reflected in the presence of regulatory conflicts. regulation should be viewed from a holistic perspective (along with other related regulations) but that did not happen. policy jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 132 cl jp jp jp jp makers usually look at one problem without considering other circumstances and then the results are very burdensome to society in general. for example, the formulation of tax policies that are oriented towards an increase in favourable taxes, does not consider other policies that can also harm the community, for example an increase in land and building tax revenues will only promote poverty if they are not considered carefully in relation to the implementing laws and regulations. in connection with this, it is necessary to have restrictions on foreign investors in investing their shares in start-up companies, but this is very difficult to do so that what the government has to do is that the government as a regulator is able to create regulations that can increase domestic investors without being influenced by foreign investors. this makes the start-up company still have to pay taxes according to the tax provisions. on the other hand, it turns out that the presence of foreign investors is able to contribute to the improvement of the national economy, for example, creating fields, alleviating poverty, increasing state income. in general, the objective of taxation policies and regulations is to increase state revenue from the tax sector, which has been seen as a source of state revenue for the sake of the implementation of national development in order to increase the prosperity and welfare of the people. however, the formulation of objectives in several tax regulations is carried out in such a way that it is unclear and not easy to understand. the implementation of national development has resulted in rapid developments in national life, especially in the economic sector, including the development of forms and practices for conducting business activities that have not been accommodated in the current taxation law and in an effort to always maintain economic development as stated in the above can continue to run in accordance with development policies that are based on the development trilogy as mandated in the guidelines of state policy. along with that, legal certainty can be created with regard to taxation aspects for the forms and practices of conducting business activities that continue to develop. adequate adjustment steps are needed to the jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 133 cl jp jp jp jp various existing tax laws. for this reason, if we can predict the impact of policies / regulations on various parties, then we can provide an overview of the possibilities that occur with the enactment of a policy / regulation and in time it will be very beneficial for certain parties to respond to it. particularly in this case is by optimizing the handling and supervision in the field of taxation by means of tax intensification aimed at providing compliance with companies or business actors in paying taxes. especially in terms of activities that use technology or e-commerce, this is a huge potential in transactions in the trading system, so it is necessary to have simultaneous activities for every money company to conduct e-commerce transactions. in addition, there is also a need for action to extract data, through internal data that is owned by the dgt in accordance with the base of the taxation area and through data search activities of e-commerce players with data from the internet. the problem that occurs in the world of taxation in indonesia is the compliance and awareness of taxpayers. in this case, online business taxpayers still have low awareness of their tax obligations. for example, for the fulfilment of tax reporting in terms of filling out annual tax returns, periodic tax returns, and other tax law products. for this reason, it is necessary to have a special regulation governing the taxation system on electronic transactions as an effort to prevent irregularities by taxpayers, if this is not immediately realized then several other aspects will also be constrained. therefore, proper regulations are needed for handling taxation in the e-commerce sector. conclusions indonesia is one of the countries with the highest e-commerce growth which continues to grow every year, in 2013 internet users were recorded at 72.8 million and in 2016 it became 102.8 million, in 2019 there were 130 million people. launching data from ilmuone data, there are 10 best e-commerce business players in indonesia compiled in comscore data covering around 67 million digital jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 134 cl jp jp jp jp populations, namely lazada indonesia, matahari mall, blibli, zalora indonesia, jd indonesia, tokopedia, elevania, shopee, bukalapak, qoo10. investment realization data from the investment coordinating board (bkpm), domestic investment (pmdn) and foreign investment (pma) per january-march 2018 period reached idr 185.3 trillion, an increase of 11.8% from the previous period. same in 2017 amounting to idr 165.8 trillion. in connection with the transformation of start-up companies, especially in the unicorn category, this is inseparable from the need for investors as funders to be able to survive and continue to grow. company investors in start-up companies come as a whole from domestic investors and some even use foreign investors to intervene. in article 5 paragraph (2) the company law states that foreign investment in indonesia must be in the form of a limited liability company (pt) based on indonesian law and the government in this case is not allowed to grant “special rights” to treatment of a country. therefore, start-up companies, both foreign and domestic, must pay in accordance with the provisions in force in the state of indonesia, which has been stipulated through regulation of the minister of finance (pmk) number 48 / pmk.03 / 2020 concerning procedures for appointment, voting, and deposit and reporting of value added tax on utilization of intangible taxable goods and / or taxable services from outside the customs area within the customs area through trade through electronic systems. so that the application of these taxes has manifested in terms of increasing state profits through tax collection. in addition, in this case, it has emphasized the obligations of investors to pay taxes so that the principles of sound corporate governance can be realized, respect for the cultural traditions of the community, and carry out corporate social responsibility. therefore, to bring foreign investors into start-up companies, it is necessary to have regional regulations, decision to determine, and even laws that contribute to distorting investment activities, not the other way around protecting and facilitating foreign investors entering start-up companies in indonesia. jpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 135 cl jp jp jp jp bibliography books abdulkadir muhammad. (2002). hukum perusahaan indonesia. citra aditya bakti. bandung. agus, sartono. 2015. manajemen keuangan: teori dan aplikasi. edisi keempat. yogyakarta: bpfe. anoraga, pandji. (2006). pengantar pasar modal. rineka cipta. jakarta darmadji, t dan fakhrudin m.h. 2006. pasar modal di indonesia pendekatan tanya jawab. salemba empat. jakarta. rochmat soemitro, asas dan dasar perpajakan i, refika aditama, bandung, 2004, pengantar singkat hukum pajak, eresco, bandung, 1992 journals dritsakis. n., adamoupolous, a. (2004). a causal relationship between government spending and economic development: an empirical examination of the greek economy. journal of applied economics. vol. 36. georgakopoulos, t. & loizides, i. 1994, "the growth of the public sector: tests of alternative hypotheses with data from greece", cyprus journal of economics, vol. 7. hondroyiannis, g. & papapetrou, e. 1995, "an examination of wagner's law for greece: a cointegration analysis", public finance, vol. 50. katrakilidis, c. & tsaliki, p. 2009, "further evidence of causal relationship between government spending and economic growth: the case of greece, 1958-2004", acta economica, vol. 59, no. 1. kurnianti, apsari wahyu. 2017. komunikasi pemasaran transportasi online nguberjek. [online] accessed from http://jurnal.untidar.ac.id/index.php/komunikasi/article/download/392/352 ni made sukartini. 2012. pengujian hukum wagner dalam perekonomian indonesia kajian pengeluaran pemerintah pusat dan pemerintah provinsi. jurnal bisnis dan ekonomi (jbe). vol. 19, no.1. pranoto. 2016. reformasi birokrasi perpajakan sebagai usaha peningkatan pendapatan negara dari sektor pajak. yustisia. vol. 5 no. 2. web cahyadi, amal agung.(2014). definisi “ start-up company” dan indikator sebuah perusahaan sudah bukan “ start-up”.[online]. accessed from http://agungcahyadi.com/definisi-start-up-company-dan-indikator-sebuahjpcl 4(2) (2020) 114-136 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl 136 cl jp jp jp jp perusahaan-sudah-bukan-start-up/ https://news.ddtc.co.id/banyak-korporasi-asing-tidak-bayar-pajak-dpr-mintaintensifikasi-24834?page_y=1300 syauqi, ahmad.(tanpa tahun). start-up sebagai digitalisasi ekonomi dan dampaknya bagi ekonomi kreatif di indonesia.[online]. accessed from https://www.academia.edu/28733057/startup_sebagai_digitalisasi_ekonomi_dan_dampaknya_bagi_ekonomi_kreati f_di_indonesia jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 18 law enforcement on distributors who retail goods to consumers in the msmes sector stella livia faculty of law universitas pembangunan nasional veteran jakarta, indonesia stellalivia@upnvj.ac.id imam haryanto faculty of law universitas pembangunan nasional veteran jakarta, indonesia imam.upns1@gmail.com submitted: january 22, 2021 revised: february 5, 2021 accepted: february 23, 2021 abstract distributors and retailers have a relationship in running their business. their relationship creates business competition. business competition is legitimated as long as it does not break the existing regulations. distributors retail goods to consumers, it has a detrimental impact on retail traders. it requires a more in-depth study related to business competition law reviews about this case, especially on analyzing the existence of unfair business competition and seeking legal certainty for law enforcement. relates to distributors who direct retail their goods to consumers. this research method use in this research was juridical normative, which uses a statutory approach with secondary data sources. there are indications of abuse of dominant position related to monopolize the market. it is regulated in law number 5 of 1999 concerning monopolistic practices and unfair business competition against the distributor's actions. that action is regulated on number 22 of 2016 concerning general provisions of trade minister for the distribution of goods which prohibits the distributor who retails their product to consumers clearly and the sanctions. therefore, law enforcement is carried out based on the provisions of these regulations. keywords: msmes; competition law; distributor; retailer. jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 19 introduction micro, small, and medium enterprises (msmes) is the largest business group. during the economic crisis, they can defend themselves from various market shocks. the existence of msmes cannot be eliminated from current social life.1 according to the cooperatives and msmes ministry's latest data, in 2018, the number of msmes in indonesia was 64.2 million. it could absorb 117 million workers from the total indonesian workforce in 2018 of 133.9 million people.2 the data above shows that msmes' existence has a very strategic impact, especially in accommodating the number of workers and slowly reducing the unemployment rate. the number of business actors in a market that will create business competition is an absolute condition.3 business actors realize that it is normal to seek maximum profit in the business. however, it would be better if profits were obtained through fair business competition as stipulated in the constitution.4 small entrepreneurs' most difficult obstacles are capital, company financial management, access to marketing, and multi-business focus.5 therefore, to maintain msmes' existence, the government formed law number 5 of 1999 concerning the prohibition of antitrust act and unfair business competition. it was also supported by the formation of law number 20 of 2008 concerning micro, small, and medium enterprises to form a conducive business climate. it can ensure equal business opportunities for large businesses, medium businesses, and small businesses. then, it can increase micro, small, and medium enterprises' competitiveness through fair business competition. 1 suhartono, a.p. dan wiryawan, i. w. (2013), “kajian yuridis mengenai persaingan usaha antara usaha mikro, kecil, menengah (umkm) dengan minimarket.” jurnal kertha semaya. 1(10) p.2 2 financial minister ri. umkm bangkit, ekonomi indonesia terungkit. artikel djkn. retrieved from, https://www.djkn.kemenkeu.go.id/artikel/baca/13317/umkm-bangkit-ekonomi-indonesiaterungkit.html#:~:text=menurut%20data%20kementerian%20koperasi%2c%20usaha,jumlah%20pelaku% 20usaha%20di%20indonesia. 3 nugraha, p.p., dharmakusuma, a.a.g.a. (2016). “perlindungan hukum usaha mikro, kecil dan menengah dalam pelaksanaan kemitraan dari perspektif undang-undang no 5 tahun 1999.” jurnal kertha semaya. 4(2) p.2 4 nurhayati, y. (2011). “konstitusionalitas perjanjian distribusi dalam persaingan usaha sehat”. jurnal konstitusi. 8(6), p.1025 5 yusri, (2014). “perlindungan hukum terhadap usaha mikro, kecil dan menengah dalam perspektif keadilan ekonomi.” kanun jurnal ilmu hukum. 16(1). p.105 https://www.djkn.kemenkeu.go.id/artikel/baca/13317/umkm-bangkit-ekonomi-indonesia-terungkit.html https://www.djkn.kemenkeu.go.id/artikel/baca/13317/umkm-bangkit-ekonomi-indonesia-terungkit.html https://www.djkn.kemenkeu.go.id/artikel/baca/13317/umkm-bangkit-ekonomi-indonesia-terungkit.html jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 20 micro, small, and medium enterprises have several criteria that have been regulated in several legal regulations. based on article 6 of constitution number 20 of 2008 concerning micro, small, and medium enterprises (msmes), several criteria define micro, small, and medium enterprises. as described in the article criteria, it illustrates that each level of msmes has their respective roles as distribution business actors. according to article 1 of the minister of trade regulation number 22 of 2016 concerning general provisions for goods distribution. distribution business actors are divided into distributors, sub-distributors, agents, sub-agent, wholesalers, and retailers. there are two ways to distribute goods domestically, namely direct and indirect distribution.6 a direct selling system carries out the direct distribution. according to the law, it can only be carried out by authorized sellers who have been registered as members of direct selling companies with exclusive distribution rights.7 meanwhile, indirect distribution distributes goods activity using a general distribution chain, namely through agents and their networks and distributors and their networks.8 an indirect distribution that uses distributors and their networks consist of distributors, sub-distributors, wholesalers, and retailers. a distributor's role does not have a registration mark for the exclusive distribution rights, namely supplying his goods directly from the producer by way of appointment or standing on his behalf and selling it to distribution business actors below the network level. therefore, the price obtained by the distributor must be close to the product price. then, the distributor can sell an item cheaper than a business actor below its distribution level. those are retailers whose supplies come from distributors, sub-distributors, agents, subagents, wholesalers. however, recently we often meet distributors that open opportunities for consumers to buy their goods at retail. based on a central statistics agency (bps) 6 article 2, regulation of the minister of trade number 22 of 2016 concerning general provisions for the distribution of goods 7 ibid, art. 16 8 ibid, art. 3 jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 21 survey, consumers tend to buy a strategic commodity product directly to wholesalers or agents rather than buy them from retailers.9 those explanations explain that distributors and retailers have a relationship in a particular market. therefore, to regulate the relationship between distributors and retailers, we need a rule called the law of business competition. it is necessary maintaining msmes' existence in indonesia. it is expected to balance the distribution business actors and legal judgments to pretend large business actors or distributors harm micro, small, and medium enterprises actors. based on the background above, the issues in writing this journal are: (1). is a distributor who retail goods to consumers classified as unfair business competition? (2). how is law enforcement on distributors who retail goods to consumers in the msme sector? research method writing in this journal is descriptive analysis with the type of normative juridical research. it is a research method by examining specific laws and regulations and certain legal rules' principles to view and analyze problems. the problem to be examined using a statutory approach, namely the approach by examining norms in all laws and regulations concerning the current faced problems (legal issues). the data source that will be used by the writer in this research is secondary data with library research results and discussions review of the business competition law on distributors who retail goods business competition law or competition law is a legal rule that regulates companies or business actors' interaction or relationship in a market. competition law determines how competition should be.10 business competition law is expected to protect the people's welfare from monopolistic acts and create a conducive business climate. it is expected can 9 candra, s.a. (2016, december 15). “konsumen indonesia mulai beralih ke pedagang besar dibandingkan eceran,” republika.id. retrieved from, https://republika.co.id/berita/ekonomi/makro/16/12/15/oi7u6n383-konsumen-indonesia-mulaiberalih-ke-pedagang-besar-dibandingkan-eceran, accessed on july 20, 2020 10 suhartono, a.p. dan wiryawan, i. w, loc.cit https://republika.co.id/berita/ekonomi/makro/16/12/15/oi7u6n383-konsumen-indonesia-mulai-beralih-ke-pedagang-besar-dibandingkan-eceran https://republika.co.id/berita/ekonomi/makro/16/12/15/oi7u6n383-konsumen-indonesia-mulai-beralih-ke-pedagang-besar-dibandingkan-eceran jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 22 create an effective and efficient business activity, as stated in the objective of the formation of law number 5 of 1999 concerning the prohibition of monopolistic practices and unfair business competition (antitrust act)11 business competition law is support for business actors in maintaining their business. however, every business actor must also create an integrated way of surviving in his business to meet market demand. it is a simple measure that no one has absolute loyalty to a product or service in the market, but how these products and services can meet market satisfaction. the incentives are given because the market will be a need them. those market conditions require business actors to always be creative in maintaining their business. likewise with distributor business actors who maintain their business as a retailer).12 the distributors carry out their duties as a distribution chain by selling goods offered at a much lower price than retailers. it is because the source of the distributors' goods suppliers comes directly from cooperating producers. usually, distributors sell their goods with the requirement, such as purchasing one type of goods in large quantities. however, in increasing their income, they open up a larger market share by opening up opportunities to buy their retail model goods. then, they get the same unit price as given to retailers.13 this condition affects retail traders who will find it challenging to compete for the price with the distributors. this condition increases the barriers for retail traders or retailers to develop their markets. the barriers case is not by the objectives of the formation of law number 5 the year 1999 concerning the prohibition of monopolistic practices and unfair business competition as discussed in the previous paragraph. this situation is similar to the violation impact of article 19 of law number 5/1999 concerning the prohibition of monopolistic practices and unfair business competition. it prohibits business actors, either individually or collectively, from carrying out one or several activities that give rise to 11 meyliana, d. (2013), hukum persaingan usaha (studi konsep pembuktian terhadap perjanjian penetapan harga dalam persaingan usaha). malang: setara press. p.13 12 hertanto, a.w. (2007). aspek hukum perjanjian distributor dan keagenan (suatu analisis keperdataan). jurnal hukum dan pembangunan. 37(3). p.382 13 suvandy, a. (2021, january 4). interview by livia,s. jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 23 monopolistic or unfair business competitive practices. the letter "a" states, "refusing and or preventing certain business actors from carrying out the same business activities in the relevant market."14 however, market domination is an action that is closely related to having a dominant position and significant market power in the relevant market.15 suppose business actors, either individually or collectively, do not have a strong position in the relevant market. in that case, market control will be difficult to achieve. the statement follows the provisions of the guidelines for implementing article 19 of law number 5, the year 1999, issued by the business competition supervisory commission. this definition illustrates that a dominant position is a condition of the business actor does not have significant competitors in the relevant market. it relates to the market share controlled or its financial capacity, access to supply or sales, and the ability to adjust the supply or demand for goods or specific services. then, it makes that they the highest position among other competitors in the relevant market.16 with further explanation in article 25 paragraph (2) of law number 5 the year 1999, which characterizes the presence of a dominant position, seen in the control over 50% of the market share of one type of goods or services. the business actors who have a dominant position are not prohibited. however, the prohibitions arise when there is an abuse of their dominant position. 17 it excludes or restricts other business actors from entering the market or exploiting consumers or other business actors.18 in the case of a distributor who retails their goods, the distributor's actions are not against the retailer's presence. they also benefit from having retailers who supply goods 14 business competition supervisory commission. (2012). draft pedoman pelaksanaan ketentuan pasal 19 undang-undang no. 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat. retrieved from, https://www.kppu.go.id/id/wp-content/uploads/2012/03/pedoman-pasal-19.pdf 15 lubis, a.f., et al. (2009). hukum persaingan usaha antara teks & konteks. jakarta: kppu p.83 16 article 1 point 4, law number 5 year 1999 concerning prohibition of monopolistic practices and unfair business competition 17 alfarizi, m.f., endrawati, l., & widhiyanti, h.n. (2014). “penyalahgunaan posisi dominan dalam perspektif kejahatan korporasi berdasarkan undang-undang nomor 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat.”jurnal hukum fakultas hukum universitas brawijaya. april 2014. p.4 18 margono, s. (2009). hukum anti monopoli. jakarta: sinar grafika. p.125 https://www.kppu.go.id/id/wp-content/uploads/2012/03/pedoman-pasal-19.pdf jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 24 from distributors. distributors also do not exploit consumers. instead, distributors benefit consumers by offering lower prices. these distributors also have significant competitors from distributors who offer different products. however, its ability to have a large capital makes it easier for them to access producers to get their goods at lower prices and close to production prices. thus, they were making it a higher position than retailers in offering prices to consumers, which are used to develop distributor capacity. based on the description above, it can be said that it is true that the distributor has a domination indication. he also uses his domination to develop his market to get a higher income, which by his actions, either deliberately or unintentionally, limits retailers to survive in the market. this case focused on distributors who retail goods to consumers. it does not have the element of market share control as contained in the dominant position's characteristics. however, the guidelines for article 25 of law number 5/ 1999 issued by the business competition supervisory commission. it explains that evidence of abuse of dominant position does not always have to be accompanied by market share control. it can be the domination related to market control in article 19. due to the previous explanations, distributors of retail goods to consumers may be classified as engaging in unfair business competition. it can violate article 19 of law number 5, the year 1999, regulating market control. however, static laws have limitations in answering all emotional problems in detail. therefore it is necessary to have regulations that support the regulation of business competition in more detail. then, the minister of trade regulation no. 22/2016 on general provisions for distributing goods has been amended to the minister of trade regulation no. 66/2019. the regulation clearly states that distributors are prohibited from retailing goods to consumers. article 1 of law number 5 of 1999 defines unfair business competition in the form of "competition between business actors in carrying out production and or marketing activities of goods and or services carried out dishonestly or illegally or hindering business competition." distributors retail goods are engaging in unfair business competition because they have violated the law by violating regulation of the minister of trade number 22 of 2016, precisely in article 19. jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 25 law enforcement of the goods distribution distributors who retail goods as previously explained, are classified as engaging in unfair business competition. referring to the provisions of law number 5 year 1999, these activities violate article 19 and / or article 25 of the anti-monopoly law, namely that they can be categorized as market control behavior and / or dominant position. violation of those articles according to the same law in article 48 stipulates that in law enforcement, each violation should be given sanctions in the form of criminal sanctions as low as idr. 25,000,000,000.00 (twenty-five billion rupiahs) and a maximum of idr 100,000,000,000.00 (one hundred billion rupiahs), or imprisonment instead of a fine of no longer than 6 (six) months. the business competition supervisory commission (kppu) carries out every law enforcement implementation regulated in law number 5/1999.19 they can take action when there is a public report or the kppu's initiative to investigate20 with all the enforcement procedures in accordance with "business competition supervisory commission regulation number 1 of 2019 concerning procedures for handling cases of monopolistic practices and unfair business competition. however, what if the violation is committed by a micro, small, and medium business actor distributor? in-law number 5 of 1999 concerning the prohibition of monopolistic practices and unfair business competition (antitrust law), there is an exceptional article, which regulates matters that are excluded from the enactment of the law, one of which is certain parties which in article 50 letter h of the antitrust law, mentions: "exempted from the provisions of this law are business actors classified as small businesses."21 a small business is an independent, productive economic business run by an individual or business entity. it is not a subsidiary or branch of an owned, controlled, or directly or 19 sukarmini, w., idrus, n.s. (2020). “penerapan prinsip efektivitas dan prinsip transparansi dalam penyelesaian perkara persaingan usaha oleh komisi pengawas persaingan usaha (kppu).” jurnal yuridis. 7(1). p.49 20 ibid. p.51 21 marlissa, d.r. (2015), “upaya hukum pemerintah kota yogyakarta untuk mencegah penyimpangan undang-undang nomor 5 tahun 1999 tentang larangan praktek monopoli dan persaingan tidak sehat oleh umkm.” jurnal fakultas hukum universitas atma jaya yogyakarta. juli 2015. p.4 jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 26 indirectly part of a medium or large company, which meets the small business's criteria referred to in law number 20 of 2008. the exemption from law number 5 /1999 applies to small business actors and microbusiness actors.22 suppose a distributor whose retail goods are still classified as a small or micro business. in that case, all the provisions contained in the antitrust law do not apply to him. it is different if a distributor whose retail goods are classified as a medium-sized business actor. the rules and sanctions related to the antitrust law apply as long as market control and dominant position criteria are met. the exception of law number 5 of 1999 against small businesses is intended to maintain small business actors' existence. then, it is considered that all forms of violations committed do not significantly impact the economy in the broader community.23 however, in the case of distributors in the msme sector who sell goods in retail, if it is carried out by many distributors, and it continues for a long time, it will be detrimental to many retail traders in indonesia. in the search for regulations on law enforcement against distributors as msme actors who sell goods at retail to consumers, then refer to letter k in article 12, paragraph 2 of law number 23 of 2014 concerning regional government (as referred to in law no.23 of 2014). small businesses are placed in mandatory government affairs which not related to basic services. by letter q number 7 and 8, attachment of law no.23 of 2014, second-level regions are given the authority to carry out guidance and development of micro, small and medium enterprises and create new business actors. government regulation number 17 of 2013 concerning implementing regulations for law number 20 of 2008 concerning micro, small and medium enterprises (as referred in pp no. 17 of 2013) describes the form of msme development. it is carried out not solely focused on developing msmes but also on control over msmes' actions. 22 business competition supervisory commission. (2011). peraturan komisi pengawas persaingan usaha nomor 9 tahun 2011 tentang pedoman pasal 50 huruf h undang-undang nomor 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat. retrieved from, https://kppu.go.id/wpcontent/uploads/2011/09/perkom-9-pasal-50h.pdf 23 jauhari, h. (2008). “tinjauan pengecualian undang-undang no5 tahun 1999 bagi usaha kecil dan koperasi.” infokop. 16-september 2008. p.56 https://kppu.go.id/wp-content/uploads/2011/09/perkom-9-pasal-50h.pdf https://kppu.go.id/wp-content/uploads/2011/09/perkom-9-pasal-50h.pdf jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 27 the exception in law number 5 of 1999 against small businesses does not make local governments look at msme development aspects. an aspect that is no less important, namely related to the possibility of fraud by small businesses, must also be reviewed included in regulations governing msmes.24 regarding the state of the regulation in law number 5 of 1999 which does not regulate in detail and some exceptions in the law, as well as government regulation number 1 of 2013 which focuses only on violations of msmes, but is not detailed regarding violations in the distribution of goods, then the minister of trade regulation number 66 of 2019 in conjunction with the regulation of the minister of trade number 22 of 2016 concerning general provisions for the distribution of goods appears as a clearer regulation to enforce the law on distributors who sell goods in retail to consumers carried out by msme players. article 19 paragraph (1) minister of trade regulation number 22 of 2016 stipulates that "distributors, sub-distributors, wholesalers, wholesalers, agents, and sub-agents are prohibited from retailing goods to consumers." the article is clear regarding the conditions that occur. distributors whom retail goods violate this article, and there are no further provisions in the minister of trade regulation number 22 of 2016 and number 66 of 2019 concerning exceptions made by msmes. therefore, law enforcement in this case will refer to that minister of trade regulation. distributors who violate article 19, according to article 25 are subject to administrative sanctions, which are given in stages, in the form of: 1. written warning 2. business license suspension 3. business license revocation in law enforcement, distributors who retail goods will refer to the regulation of the minister of trade number 36 of 2018. it concerns the implementation of supervision of trade activities, which can be carried out through periodic supervision or special supervision based on: 1. complaints from the public; 24 marlissa, d.r. op.cit. p.6 jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 28 2. information through print media, electronic media, other media; or 3. other information related to trading activity issues the authority to carry out supervision belongs to the minister of trade, who has the right to delegate his authority to the director-general. then, the director-general can also delegate his authority to the director, in this case, the director of distribution. in carrying out the supervision, the minister will appoint a trade orderly supervisory officer (pptn) and a trade civil servant investigator (ppns-dag). in the follow-up, pptn or ppns-dag will supervise directly in the field, with the results found will be reported to the head of the unit. suppose the distributor is proven to retail their goods to consumers. in that case, the supervision report will recommend the first sanction, namely a written warning. suppose the distributor business actor does not heed the written warning. in that case, the next sanction will be given, up to the business license revocation. the minister of tradeable is not only to enforce the law on distributors who retail goods to consumers, but this authority also belongs to the governor. the latter can delegate authority to the head of the provincial service for trade. however, unlike the minister who can carry out trade supervision at the national level, the governor's authority is limited to his working area. conclusions the distributor is one of the distribution business actors and retail traders, but they have different roles. between the two businesses, actors have a relationship that must be regulated in the business competition law. the distributor retails goods to consumers. it means they violate the law of business competition. this action causes the retail trader to face difficulties in developing their market due to competing on price. however, this case has not been regulated in law number 5/ 1999 concerning the prohibition of monopolistic practices and unfair business competition. however, there is an indication that these activities cause a similar impact that may arise if market control activities occur as stipulated in article 19 of the antitrust law. it is stated in all the elements in the guidelines jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 29 regarding market control. in that case, there is a connection with the dominant position ownership. a dominant position becomes prohibited if there is an abuse of that position. in the case of distributor's retail goods to consumers, it is proven that they have a dominant position to maintain their business. however, they do not contain elements of dominating market share of up to 50% and above. therefore, the distributor's actions are not classified as absolutely abusing the dominant position in article 25 of law number 5/1999, but rather the dominant position related to market control. it can be concluded that it is included in the act of unfair business competition. of the existing regulations regarding law enforcement against distributors who sell goods at retail to consumers, it is most appropriate to refer to the regulation of the minister of trade number 6 of 2019 jo. regulation of the minister of trade number 22 of 2016 concerning general provisions for the distribution of goods, because there are articles that clearly regulate sanctions for distributors who sell goods at retail and there are no exceptions that limit the application of this regulation. in the implementation of law enforcement, it starts from the supervision which becomes the authority of the minister of trade in the national scope and the governor's authority in his working area's scope. following the provisions of the minister of trade regulation number 22 of 2016, if there is a distributor who sells goods at retail to consumers, they will be subject to administrative sanctions in stages. at the initial stage, a written warning will be given. if the warning is not heeded, the next step will be to freeze the business license. however, suppose the distributor also ignores the two sanctions. in that case, the final step is in the form of revoking the business license. if the business license is revoked, the business actor will no longer be able to conduct trading until the business license is returned bibliography alfarizi, m.f., endrawati, l., & widhiyanti, h.n. (2014). “penyalahgunaan posisi dominan dalam perspektif kejahatan korporasi berdasarkan undang-undang nomor 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat.”jurnal hukum fakultas hukum universitas brawijaya. april 2014 http://hukum.studentjournal.ub.ac.id/index.php/hukum/article/view/584 http://hukum.studentjournal.ub.ac.id/index.php/hukum/article/view/584 jpcl 5(1) (2021) 18-31 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 30 business competition supervisory commission. (2011). peraturan komisi pengawas persaingan usaha nomor 9 tahun 2011 tentang pedoman pasal 50 huruf h undangundang nomor 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat, retrieved from, https://kppu.go.id/wpcontent/uploads/2011/09/perkom-9-pasal-50h.pdf business competition supervisory commission. (2012). draft pedoman pelaksanaan ketentuan pasal 19 undang-undang no. 5 tahun 1999 tentang larangan praktek monopoli dan persaingan usaha tidak sehat., retrieved from, https://www.kppu.go.id/id/wp-content/uploads/2012/03/pedoman-pasal19.pdf candra, s.a. (2016, december 15). “konsumen indonesia mulai beralih ke pedagang besar dibandingkan eceran,” republika.id. retrieved from, https://republika.co.id/berita/ekonomi/makro/16/12/15/oi7u6n383konsumen-indonesia-mulai-beralih-ke-pedagang-besar-dibandingkan-eceran financial minister ri. umkm bangkit, ekonomi indonesia terungkit. artikel djkn. retrieved from, https://www.djkn.kemenkeu.go.id/artikel/baca/13317/umkmbangkit-ekonomi-indonesiaterungkit.html#:~:text=menurut%20data%20kementerian%20koperasi%2c%20usa ha,jumlah%20pelaku%20usaha%20di%20indonesia. government regulation number 17 of 2013 concerning implementing regulations for law number 20 of 2008 concerning micro, small and medium enterprises hertanto, a.w. (2007). aspek hukum perjanjian distributor dan keagenan (suatu analisis keperdataan). jurnal hukum dan pembangunan. 37(3). 381-408 http://dx.doi.org/10.21143/jhp.vol37.no3.150 jauhari, h. (2008). “tinjauan pengecualian undang-undang no5 tahun 1999 bagi usaha kecil dan koperasi.” infokop. 16-september 2008, 51-61. retrieved from, http://docplayer.info/32731084-tinjauan-pengecualian-undang-undang-no-5tahun-1999-bagi-usaha-kecil-dan-koperasi-hasan-jauhari.html law number 20 of 2008 concerning micro, small and medium enterprises law number 23 of 2014 concerning regional government law number 5 of 1999 concerning the prohibition of monopolistic practices and unfair business competition lubis, a.f., et al. (2009). hukum persaingan usaha antara teks & konteks. jakarta: kppu margono, s. (2009). hukum anti monopoli. jakarta: sinar grafika marlissa, d.r. 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(2021, january 4). interview by livia,s. yusri, (2014). “perlindungan hukum terhadap usaha mikro, kecil dan menengah dalam perspektif keadilan ekonomi.” kanun jurnal ilmu hukum. 16(1). 103-127 http://www.jurnal.unsyiah.ac.id/kanun/article/view/6021 https://ojs.unud.ac.id/index.php/kerthasemaya/article/view/44149 https://doi.org/10.31078/jk%25x https://ojs.unud.ac.id/index.php/kerthasemaya/issue/view/929 http://dx.doi.org/10.35586/jyur.v7i1.1844 http://www.jurnal.unsyiah.ac.id/kanun/article/view/6021 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 50 the role of the government in the development of indonesian sharia banking lintang shindu asih master of law science, faculty of law, universitas diponegoro, indonesia lintangshindu1@gmail.com edy sismarwoto faculty of law, universitas diponegoro, indonesia edysismarwoto@gmail.com submitted: may 4, 2021 revised: may 21, 2021 accepted: may 22, 2021 abstract the growth of the sharia financial industry in indonesia is quite slow, this is due to the lack of the government's role in helping develop the islamic finance industry, even though the potential of the islamic banking market in indonesia is actually very large. therefore, the purpose of this study is to discuss the issue of whether the economic values of sharia are in accordance with indonesian philosophy and values, so that the sharia industry is able to develop fundamentally in indonesian society, as well as how the role of the government is to provide a strong basis in developing the islamic banking industry in indonesia. indonesia. because the progress of islamic banking as a financial industry determines its development in the economy in indonesia. this study uses a normative research method, where research is focused on legal norms or norms. in the development of islamic banking by the government, it involves several institutions as the means. the scope of cooperation coordination is broad in order to make indonesia the center of islamic economics and finance some of these institutions include: bank indonesia, the financial services authority and the sharia supervisory board. each institution carries out its role in order to achieve the objectives of developing islamic banking which have been arranged in a development management. keywords: sharia banking; role; government. jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 51 introduction the global islamic finance industry has shown a fairly rapid development. based on data from the ifsb financial stability report 2016, the assets of the world's islamic financial industry have grown from around usd150 billion in the 1990s to around usd2 trillion at the end of 2015 and are predicted to reach usd6.5 trillion in 2020. this growth is increasingly supported the number of countries in the world, both muslim-majority and non-muslim, are developing islamic finance in their countries. for example, turkey and the united kingdom.1 as a country with the largest percentage of the muslim population in the world, indonesia is arguably a little late in developing a sharia economy. the official financial institution with sharia principles was only established in 1992, namely bank muamalat indonesia. however, entering this third decade, more and more islamic financial institutions have developed in the form of banks, insurance and islamic financing institutions. seeing this development, the indonesian ulema council (mui) in 1999 formed the national sharia council, which consists of scholars of islamic law experts and economic practitioners. through this council, mui conducts studies that are used as guidelines in the implementation of sharia economics in indonesia.2 indonesia continues to strive to develop the sharia financial industry. although in indonesia itself, the development of the islamic finance industry is relatively small, from year to year it has increased quite significantly. in its development, the islamic financial industry in indonesia has different characteristics compared to other countries such as malaysia and the gulf cooperation council (gcc), which are more focused on investment banking and islamic financial instruments. indonesia has complexities that encompass many types of financial services industry and is more oriented towards the retail segment. indonesia has the largest islamic financial services institutions and sharia financial customers in a single jurisdiction, in addition to the development of certain things that show the 1 otoritas jasa keuangan (ojk), roadmap pengembangan keuangan syariah indonesia 2017-2019, hal 18 2 nufransa wira sakt, media keuangan transparansi informasi kebijakan fiskal, berkah ekonomi syariah, volume xiv/ no.140/ mei 2019, sekretariat jendral kementrian keuangan, hal 3 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 52 distinctive characteristics of indonesian islamic finance such as islamic people's financing bank (bprs) and informal islamic microfinance institutions.3 the growth of the sharia financial industry in indonesia is quite slow, this is due to the lack of the government's role in helping develop the islamic financial industry. our neighboring country malaysia is experiencing quite good growth in the islamic finance industry due to the government's full support. in this neighboring country, from the start, the government was a top to bottom movement, so that growth immediately accelerated. the local government provides tax incentives to make malaysia an international islamic financial center. tax incentives are also given evenly to the islamic financial industry, starting from islamic banks, takaful, fund management, capital markets, to human resource development.4 this is very influential on the development of the financial industry there. so big is the role of the government in contributing to the development of islamic banking in these countries, so it is only natural that the development of islamic banking grows so fast and becomes the world's largest asset. indonesia may be able to become number one for the biggest asset of islamic banking, beating iran, malaysia and saudi arabia, because indonesia's potential is so great, if the government's political will is wholehearted. this is as emphasized by sharia economic observer adiwarman karim, that the islamic banking industry, which currently has a market share of 3%, is already in the top four in the world. and this illustrates that indonesia will be able to lead the global islamic finance industry.5 if the market share of indonesian islamic banking is 15%, of course, it will be at the forefront of the world islamic finance industry. even though indonesia has a large enough opportunity to become a trendsetter for world islamic finance, this can be seen from a number of central banks in other countries asking bi to provide training, such as bangladesh and tanzania.6 currently, indonesia already has a fairly complete islamic finance industry. starting from the islamic banking industry, up to the islamic non-bank financial industry, and the 3 otoritas jasa keuangan, loc. cit. 4 sharing, sudah saatnya pemerintah mendukung penuh perbankan syariah, 55 edition, v, juli 2011, page 43 5 sharing, 2012: outlook keuangan syariah indonesia, edisi 60 thn v desember 2011, page 10 6 sharing, sudah saatnya.. loc. cit. jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 53 islamic capital market. during the last two decades, the three islamic financial services sectors have shown quite rapid development. at the asean level, indonesia's islamic banking industry is only behind malaysia, which is in second place in the world. based on the results of a report from the islamic financial services board 2013, seen from the profitability ratio, the indonesian islamic banking industry is more competitive when compared to malaysia. this can be seen from the value of return on equity and return on assets of indonesian islamic banking, which beat malaysia.7 the potential of the islamic banking market in indonesia is actually very large. the main factor is that indonesia has the largest muslim population in the world. bank indonesia as one of the government institutions has an important role in supporting the development of islamic banking financial institutions in indonesia. so far, the growth of islamic banking externally has only been supported by bank indonesia as the regulator. the islamic banking industry should also be backed up with political will and action from the government. in the islamic finance industry, the direct role of the government is limited to the legal sector (the issuance of the sharia banking law and the state sharia securities law) and state finance (endorsing global sukuk and retail sukuk). meanwhile, "indirectly" the government allowed several bumn banks to establish sharia business units (uus) or islamic commercial banks as subsidiaries of these bumn banks. but as a subsidiary, this islamic bank has tiny assets compared to its owner. this is what makes the development of islamic banking fairly slow. based on the description above, it can be understood that the islamic financial industry has a very big opportunity to advance the indonesian economic system which has so far been very dependent on the conventional banking system which adopts a credit system so that it uses usury which is basically incompatible with the beliefs of the muslim community who are the largest population in indonesia. indonesia. meanwhile, the islamic economic system does not yet have strong ties to muslim communities who are accustomed to the conventional system. therefore, it is very important to discuss the issue of the 7 dedi iskamto, industri keuangan bank syariah nasional dalam masyarakat ekonomi asean, jebi (jurnal ekonomi dan bisnis islam)-volume 1, no.1, januari-juni 2016, page 2 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 54 government's role in developing the islamic banking industry in indonesia. because the progress of islamic banking as a financial industry determines its development in the economy in indonesia. for this reason, the problem can be raised, namely, are the economic values of sharia in accordance with the indonesian philosophy and values, so that the sharia industry is able to develop fundamentally in indonesian society? and, what is the role of the government in providing a solid foundation in developing the islamic banking industry in indonesia? research methode this research uses normative research methods. normative research is research that is focused on examining the applications of the rules or norms in positive law.8 the system of norms in question is regarding the principles, norms, rules of legislation, court decisions, agreements and doctrines (teachings) related to islamic banking. primary legal materials consist of legislation, official journals and some literature related to islamic banking.9 results and discussions the discussion regarding the role of government needs to be carried out with two approaches to understand the existence of the development of the sharia industry in the global arena, namely the philosophical approach and the systems approach to the sharia economy. the philosophical approach is used as the highest level of legal studies in indonesia which consists of: the philosophy layer, the legal theory layer, the legal doctrine layer, and the legal practice layer, where the philosophy layer is related to the highest value in the concept of indonesian statehood, namely pancasila. this layer plays the most important role in the country's legal politics which should be broken down into the legal system in indonesia, including in relation to the economic system in indonesia. 8 johny ibrahim, teori dan metodelogi penelitian hukum normatif, malang: banyumedia publishing, 2006, page 295 9 vinna sri yuniarti, analisis hukum ekonomi syariah terhadap penyelesaian pembiayaanbermaasalah di perbankan syariah, jurnal perspektif, vol. 2 no. 2, 2018, page 218 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 55 first, philosophically, indonesia's economy adheres to the value of social justice for all indonesian people which is then translated into article 33 of the 1945 constitution of the republic of indonesia, article 33 paragraph 1: the economy is structured as a joint effort based on the principle of kinship ”. this value shows the need for the role of government in the development of the islamic economic industry because the word "joint venture based on the principle of kinship" indicates an economic system built on the basis of the relationship between economic institutions and society, where the principle of kinship indicates an equal relationship between institutions and society. based on the principle of freedom of contract with different values between conventional economic institutions and islamic economic institutions. for example, in the banking transaction relationship, there are vast differences between the two. in conventional banks, freedom of contract is interpreted as the submission of customer's law to the rules established by conventional banking. basically, the customer does not have the freedom to participate in regulating the “law” that applies to banking transactions, but must follow the rules made by the conventional banking system. whereas in the sharia banking system, the bank and the public both submit to the syariah skim that is in sharia economic law, such as mudharobah or murobahah.10 the position of the bank and the customer is equal in that economic relationship, as in kinship. this shows that philosophically the government needs to play a role in developing the sharia economic industry as a mandate of the 1945 constitution of the republic of indonesia. second, a systems approach is needed to understand what are the main differences between the conventional economic system and the islamic economic system, so that in the development of the islamic economic industry it does not fall into industrial "labeling", but is actually carried out systemically. the development of the islamic economic industry today is still trapped in the labeling of industrial products, for example: "sharia banking", "sharia cooperatives". sharia economy ”in which there is still a conventional economic system. 10 budiharto, edy sismarwoto. freedom of contracts and dispute settlement between conventional banking and sharia banking. international journal of economics and business administration volume viii, issue 1, 2020. pp. 285291 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 56 the main difference from the conventional economic system with the sharia system is the transaction contract. in the conventional economic system, all of the products use the "credit" or "accounts payable" system, even in savings or time deposit products basically use the accounts payable system, where the bank owes the customer so that the customer is given interest by the bank.11 this credit system causes usury according to islamic sharia, because the slightest addition to debt repayment is usury. this principle distinguishes sharply from islamic economic transactions, which use a buying and selling scheme or cooperation. islam teaches the difference between the usury system (credit / debt with additional returns) and buying and selling in which the additional is the agreed profit. the explanation above shows the need for the support / role of the government in realizing an economic system that is not based on a credit or credit system which is a profitoriented liberal capitalist product, so it is necessary to develop an economic system that is oriented towards profit loss sharing. implementation of the profit-loss sharing system in the sharia economic system is a contractual agreement between two parties where each party collects resources (finance), invests them in several projects and then shares profits and losses.12 the development of the islamic banking system in indonesia is carried out within the framework of a dual-banking system or a dual banking system within the framework of the indonesian banking architecture (api), to provide a more complete alternative banking services to the indonesian people. together, the islamic banking system and conventional banking synergistically support the mobilization of public funds more broadly to increase the financing capacity for sectors of the national economy. the development of the islamic banking system in indonesia is carried out within the framework of a dual-banking system or a dual banking system within the framework of the indonesian banking architecture (api), to provide a more complete alternative banking services to the indonesian people. together, the islamic banking system and conventional 11 ibid 12 https://www.kompasiana.com/satsa/54ff4d4fa333111f4c50fb24/penerapan-sistem-profit-loss-sharingbank-syariah jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 57 banking synergistically support the mobilization of public funds more broadly to increase the financing capacity for sectors of the national economy.13 in the development of islamic banking by the government, it involves several institutions as the means. the scope of cooperation coordination is broad in order to make indonesia the center of islamic economics and finance. some of these institutions include: 1.bank indonesia bank indonesia (bi) is the central bank of the republic of indonesia, which is an independent state institution in carrying out its duties and powers, free from interference from the government and / or other parties, except for other matters expressly regulated in the law on bi. bi is led by a board of governors consisting of a governor, a senior deputy governor and at least 4 people or a maximum of 7 deputy governors who are proposed and appointed by the president with the approval of the house of representatives. during the period 1992-1998, bank indonesia as the central bank was only a passive supervisor of bank muamalat, which is the only islamic bank in indonesia. bi uses law no. 7 of 1992 as its basis. this law is also used by bi to supervise conventional banks. bi cannot make special regulations for muamalat banks because law no. 7 of 1992 does not accommodate special rules for islamic banks.14 bank indonesia (bi) as the central bank has an important role in the development of islamic banking in indonesia. bank indonesia has made plans regarding the development of an islamic economy in indonesia, one of which is islamic banking. bank indonesia also issued regulations governing islamic banking. 2.the financial services authority (ojk) the financial services authority (ojk) is a supervisory agency for financial services such as the banking industry, capital market, mutual funds, finance companies, pension funds and insurance. with the existence of law no. 21 of 2011 concerning ojk, making the financial services authority (ojk) an independent institution and free from 13 https://www.ojk.go.id/id/kanal/syariah/pages/perbankan-syariah.aspx 14 bambang iswanto, peran bank indonesia, dewan syariah nasional, badan wakaf indonesia dan baznas dalam pengembangan produk hukum ekonomi islam di indonesia, iqtishadia, vol. 9, no. 2, 2016, 421-439, page 426 https://www.ojk.go.id/id/kanal/syariah/pages/perbankan-syariah.aspx jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 58 interference other parties, the duties and authorities of regulating, supervising, examining and investigating as referred to in the financial services authority law.15 the regulatory and supervisory functions are not fully assigned to ojk. however, ojk continues to cooperate with bi and has its respective authority in carrying out regulatory and supervisory functions. regulation and supervision of institutional, health, prudential aspects, and bank examiners are the macroprudential scopes of the ojk's duties and authorities. the scope of macroprudential regulation and supervision is the duty and authority of bi.16 in the framework of macroprudential regulation and supervision, ojk coordinates with bi to conduct moral appeals (moral suasion) to banks.17 ojk as the supervisor of the financial system, especially in the macroprudential sector, will have a very positive impact on the development of islamic banking. not only islamic banking, but the impact can also be felt by other non-bank islamic financial institutions such as the islamic capital market, islamic insurance, and other islamic financial institutions. 3.sharia supervisory board (dps) responding to the significant developments in islamic banking in indonesia, the government and the dpr then issued law number 21 of 2008 concerning islamic banking. referring to the provisions of article 1 paragraph (1) of the sharia banking law, it is stated that sharia banking is everything that concerns sharia banks and sharia business units, including institutional business activities as well as methods and processes for carrying out their business activities. through this law, it is regulated in more detail regarding islamic banks and matters related to islamic banking activities. dps is a sharia supervisory agency in charge of supervising the operations of islamic financial institutions in order to remain consistent and adhere to sharia principles. the basic guidelines for the national sharia board (dsn) chapter ii paragraph (5) states that the sharia supervisory board is an agency that exists in a sharia financial institution and is tasked with overseeing the implementation of decisions of the national sharia council in islamic 15 article 1 number (1) act no. 21 of 2011 about the financial services authority 16 utary maharany barus, peran otoritas jasa keuangan (ojk) dan dewan pengawas syariah (dps) dalam pengawasan akad pembiayaan pada perbankan syariah yang mengandung klausula eksonerasi, page 3 17 otoritas jasa keuangan, booklet perbankan indonesia, edisi 1 (maret 2014), page 19 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 59 financial institutions.18 as for the more effective role of the dsn in islamic banking, a sharia supervisory board (dps) was formed to represent the dsn in every islamic banking in indonesia. as stipulated in bank indonesia regulation (pbi) number 6/24 / pbi / 2004 dps is a board that supervises sharia principles in the business activities of islamic financial institutions. various regulations and policies implemented by the government through state institutions have gone through various considerations. there are various processes of planning, organizing and using other resources in order to achieve predetermined organizational goals. this means that the development of islamic banking in the process can be seen from the management side of its development. the process of describing the management functions runs in accordance with their respective main tasks and functions. ricky w. griffin (2004) defines management as a process of planning, organizing, coordinating and controlling resources to achieve goals effectively and efficiently. effective means that goals can be achieved according to planning, while efficient means that existing tasks are carried out correctly, organized, and according to schedule. 19 the function of management may reflect the forms and methods of the government or institutions that play a role in the development of islamic banking, including: 1) planning function in management, planning is the process of defining organizational goals, creating strategies to achieve those goals, and developing an organizational work activity plan. planning is the most important process of all management functions because without planning other functions of organizing, directing, and controlling will not work. the planning function in the development of islamic banking in indonesia is carried out by bank indonesia. bank indonesia has a vital role to play in creating a healthy performance of financial institutions, particularly banking. the creation of such banking institutions' performance is carried out through supervisory and regulatory mechanisms. 18 abdul mujib, dewan pengawas syariah (dps) pada lembaga keuangan mikro syariah di wilayah jawa tengah, az-zaqra‟, vo. 9, no. 1 , juni 2017, page 134. 19 semuel batlajery, penerapan fungsi-fungsi manajemen pada aparatur pemerintahan kampung tambat kabupaten merauke, jurnal ilmu ekonomi & sosial, vol.vii, no. 2, oktober 2016, page 138 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 60 to provide guidelines for sharia banking stakeholders and to put bank indonesia's position and perspective in developing islamic banking in indonesia, bank indonesia in 2002 issued a "blueprint for the development of sharia banking in indonesia". in its preparation, various aspects have been considered comprehensively, including the actual condition of the national sharia banking industry and related instruments, the development trend of the islamic banking industry in the international world and the development of the national sharia financial system that is starting to take shape, and cannot be separated from the framework of the financial system. more macro in nature such as the indonesian banking architecture (api) and the indonesian financial system architecture (aski) as well as international best practices formulated by international islamic financial institutions, such as ifsb (islamic financial services board), aaoifi and iifm.20 the development of islamic banking has a vision, mission and goals as well as a set of strategic initiatives with clear priorities in order to overcome the main challenges and achieve targets within the next 10 years, namely achieving a significant share of the islamic banking market through deepening the role of islamic banking in national financial activities. regionally and internationally, in conditions of starting to form integration with other sharia financial sectors, all of which are contained in the "blueprint for the development of sharia banking in indonesia". the process of developing islamic banking to become broader, the national sharia banking must be able to become a domestic player but have international quality service and performance, before moving to the next level. in the end, the islamic banking system that bank indonesia intends to establish is a modern, universal islamic banking system open to all indonesians without exception. a banking system that presents applicable forms of sharia economic concepts that are formulated wisely, in the context of the current problems that are being faced by the indonesian people, and by still paying attention to the socio-cultural conditions in which this nation writes its historical journey. only in this way, efforts to develop the islamic 20 https://www.ojk.go.id/id/kanal/syariah/pages/perbankan-syariah.aspx https://www.ojk.go.id/id/kanal/syariah/pages/perbankan-syariah.aspx jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 61 banking system will always be seen and accepted by all indonesian people as part of the solution to various problems in the country.21 in carrying out the development of islamic economics and finance, bi acts as air (accelerator, initiator and regulator). in this function, bi acts as a regulator, namely formulating and issuing provisions in accordance with bi's authority, including issuance of provisions for pljps, sharia gwm, (rim and plm) development of instruments (including: puas sima, sharia repo, sharia hedging, bi sukuk and sharia ncd).22 2) organizational function the process that concerns how the strategies and tactics that have been formulated in planning are designed in an appropriate and tough organizational structure, a system and a conducive organizational environment, and can ensure that all parties in the organization can work effectively and efficiently in order to achieve organizational goals. as a concrete step towards developing sharia banking in indonesia, bank indonesia has formulated a grand strategy for islamic banking market development, as a comprehensive strategy for market development that includes strategic aspects, namely: establishing the 2010 vision as the leading islamic banking industry in asean, image building new national islamic banking which is inclusive and universal, more accurate market mapping, more diverse product development, service improvements, and a new communication strategy that positions islamic banking as more than just a bank. furthermore, various concrete programs have been and will be carried out as the implementation stage of the grand strategy for developing the islamic banking financial market. the role of bi as air (accelerator, initiator and regulator), in this function is carried out, namely the role of an initiator, namely initiating innovation in islamic economic and financial development programs, including the development of islamic social finance, empowerment of the pesantren economy, the corporate sukuk model 21 ibid. 22 departemen ekonomi dan keuangan syariah, kebijakan pengembangan ekonomi dan keuangan syariah (eksyar), festifal ekonomi syariah (fesyar) – regional jawa, semarang, 3 mei 2018, page 21 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 62 for infrastructure financing.23 during the period 1992-1998, bank indonesia as the central bank was only a passive supervisor of bank muamalat, which is the only islamic bank in indonesia. bi uses law no. 7 of 1992 as its basis. this law is also used by bi to supervise conventional banks. bi cannot make special regulations for muamalat banks because law no. 7 of 1992 does not accommodate special rules for islamic banks. the change occurred when law no. 72 of 1992 was amended to law no. 10 of 1998. with this law, bi then formed 3 (three) committees that are responsible for the development of islamic banking (hakim 2011). these committees are; the supervisory committee, which consists of the governor of bank indonesia, the minister of finance, the minister of religion and the minister of home affairs. expert committee consisting of well-known figures with backgrounds in banking and law. workers committee, which consists of units in bank indonesia. in subsequent developments, bank indonesia implemented policies based on 3 (three) principles, namely; market-oriented policies. with this policy, banking regulations and supervision will be accommodated according to market demand. islamic banking is not considered a small industry that must be protected until a certain period so that it is ready to compete. treat fairly. 3) function of direction and implementation the process of implementing the program so that it can be carried out by all parties in the organization as well as the process of motivating all of these parties to carry out their responsibilities with full awareness and high productivity. in this function, many parties play a role in it. directions are given in order to carry out plans that have been arranged in such a way as to achieve the expected goals. the implementation is also carried out by agencies related to the development of islamic banking, such as bank indonesia, ojk, dps and other related institutions. 4) supervision and control function the process is carried out to ensure that the entire series of activities that have been planned, organized and implemented can run according to the expected targets 23 departement of sharia economics and finance, loc.cit. jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 63 even though various changes occur in the business environment at hand. according to article 34 of act number 6 of 2009 concerning bank indonesia, the supervisory function is no longer under the authority of bank indonesia but will be delegated to an independent financial services sector supervisory institution established by law.24 the regulatory and supervisory functions are delegated to ojk, but not fully assigned to ojk. however, ojk continues to cooperate with bi and has its respective authority in carrying out regulatory and supervisory functions. in relation to the development of the sharia banking supervision system, the development of a sharia module banking information system (sip) for sharia commercial banks (bus) and sharia business units (uus), monthly bus reports, sharia people's financing bank (bprs) supervision system bank (rbb) for bprs as well as outreach and training for islamic bank supervisors.25 by increase the effectiveness and efficiency of the implementation of ojk's duties related to the supervision of sharia financial institutions, including sharia banking, the ojk board of commissioners has established the sharia financial services development committee (kpjks) and the sharia financial services development working team.26 by increase the effectiveness and efficiency of the implementation of ojk's duties related to the supervision of sharia financial institutions, including sharia banking, the ojk board of commissioners has established the sharia financial services development committee (kpjks) and the sharia financial services development working team.27 when talking about supervision, there are several principles and methods used in bank supervision, including sharia banking, including: regulation, off-site supervision, onsite supervision, regular contact and communication with banks do not remedial and / or impose sanctions, cooperate with other bank supervisory authorities.28 24 utary maharani barus, op.cit, page 2 25 ibid, page 56 26 setiawan budi utomo, peran ojk dalam pengawasan dan pengembangan lembaga jasa keuangan syariah, paper presented in the sharia economic technical guidance on pta pekanbaru, 18 mei 2015, page 43. 27 ibid. 28 permadi gandapradja, dasar dan prinsip pengawasan bank, gramedia pustaka utama,2004, page 8. jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 64 in its development, islamic banking is currently supervised by the financial services authority (ojk) financial institution as previously explained. however, ojk's role in sharia banking supervision is limited and requires the role of another supervisor, namely the sharia supervisory board (dps). as stipulated in bank indonesia regulation (pbi) number 6/24 / pbi / 2004 dps is a board that supervises sharia principles in the business activities of islamic financial institutions. in the dsn guidelines, the dps working mechanism is described as follows:29 conduct periodic supervision of islamic financial institutions under its supervision. obliged to submit proposals for the development of sharia financial institutions to the management of the institution concerned and to the national sharia council. report the development of the products and operations of the sharia financial institutions that it supervises to the national sharia board at least twice in one fiscal year. formulating issues that require discussion of the national sharia council the sharia supervisory board (dps) is also required to report the results of its supervision regularly to the board of directors and in carrying out its duties dps is obliged to comply with the principles of good corporate governance.30 conclusion the growth of the islamic finance industry in indonesia is quite slow, this is due to the lack of the government's role in helping develop the islamic finance industry. the islamic banking industry should also be backed up with political will and action from the government. in the development of islamic banking by the government, it involves several institutions as the means. the scope of cooperation coordination is broad in order to make indonesia the center of islamic economics and finance. some of these institutions include: bank indonesia, the financial services authority and the sharia supervisory board. each institution carries out its role in order to achieve the objectives of developing islamic banking which have been arranged in a development management. the said development 29 abdul mujib, dewan pengawas syariah (dps) pada lembaga keuangan mikro syariah di wilayah jawa tengah, az-zaqra‟, vo. 9, no. 1 (juni 2017), page 134. 30 utary maharani barus, op.cit, page 8 jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 65 management has functions, namely: (1) organizing function, which is mostly carried out by bank indonesia, assisted by the government and related institutions; (2) the organizing function carried out by bank indonesia is assisted by the government and related institutions; (3) function of direction and implementation, which is carried out by all related institutions to support the development of islamic banking in indonesia; and (4) supervision and control functions carried out by ojk in collaboration with bank indonesia and the sharia supervisory board (dps). bibliography book: gandapradja, permadi. (2004). dasar dan prinsip pengawasan bank. jakarta: gramedia pustaka utama. ibrahim, johny. (2006). teori dan metodelogi penelitian hukum normatif, malang: banyumedia publishing. otoritas jasa keuangan. (2014). booklet perbankan indonesia, edisi 1 . otoritas jasa keuangan (ojk). (2019). roadmap pengembangan keuangan syariah indonesia 2017-2019. journal batlajery, samuel. 2016. penerapan fungsi-fungsi manajemen pada aparatur pemerintahan kampung tambat kabupaten merauke, jurnal ilmu ekonomi & sosial, vol.vii no. 2. budiharto & sismarwoto, edy. 2020. freedom of contracts and dispute settlement between conventional banking and sharia banking. international journal of economics and business administration volume viii, issue 1; 421-439. iswanto, bambang. 2016. peran bank indonesia, dewan syariah nasional, badan wakaf indonesia dan baznas dalam pengembangan produk hukum ekonomi islam di indonesia. iqtishadia, vol. 9 no. 2; 421-439 iskamto,dedi. 2016. industri keuangan bank syariah nasional dalam masyarakat ekonomi asean. jebi (jurnal ekonomi dan bisnis islam), vol.1 no.1. jpcl 5(1) (2021) 50-66 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 66 mujib, abdul. 2017. dewan pengawas syariah (dps) pada lembaga keuangan mikro syariah di wilayah jawa tengah. az-zaqra‟, vo. 9, no. 1. sakti, nufransawira. 2019. media keuangan transparansi informasi kebijakan fiskal, berkah ekonomi syariah. sekretariat jendral kementrian keuangan, vol. xiv/ no.140. yuniarti, vinna sri. 2018. analisis hukum ekonomi syariah terhadap penyelesaian pembiayaan bermaasalah di perbankan syariah, jurnal perspektif, vol. 2 no. 2. other: setiawan budi utomo, the role of ojk in supervision and development of sharia financial services institutions, paper presented in the sharia economic technical guidance at pta pekanbaru, 18 may 2015. sharing, it is time for the government to fully support sharia banking, edition 55 year v, july 2011 ---------, 2012: indonesian sharia financial outlook, edition 60 year v december 2011 utary maharany barus , the role of the financial services authority (ojk) and the sharia supervisory board (dps) in supervision of islamic banking financing contracts containing an exonation clause. https://www.ojk.go.id/id/kanal/syariah/pages/perbankan-syariah.aspx https://www.kompasiana.com/satsa/54ff4d4fa333111f4c50fb24/penerapan-sistemprofit-loss-sharing-bank-syariah legislation act number 21 of 2011 concerning the financial services authority act number 7 year 1992 concerning charges act number 6 of 2009 concerning bank indonesia (bi) act number 21 of 2008 concerning sharia banking https://www.ojk.go.id/id/kanal/syariah/pages/perbankan-syariah.aspx https://www.kompasiana.com/satsa/54ff4d4fa333111f4c50fb24/penerapan-sistem-profit-loss-sharing-bank-syariah https://www.kompasiana.com/satsa/54ff4d4fa333111f4c50fb24/penerapan-sistem-profit-loss-sharing-bank-syariah copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. the comparison of arbitration dispute resolution process between indonesian national arbitration board (bani) and london court of international arbitration (lcia) vania shafira yuniar faculty of law, universitas negeri semarang, indonesia vaniashafira2@students.unnes.ac.id florentiana yuwono school of computing, national university of singapore, singapore florentianayuwono@gmail.com abstract arbitration is a way of resolving a civil dispute outside the general court based on an arbitration agreement made in writing by the disputing parties. each country has a different settlement process. in indonesia arbitration is based on law number 30 of 1999 concerning arbitration and alternative dispute resolution. the indonesian national arbitration board (bani) is an agency established by the indonesian government for law enforcement in indonesia in resolving disputes or differences of opinion that occur in various trade, industrial and financial sectors. likewise in indonesia, in england there is also an arbitration board called lcia which is one of the oldest arbitration institutions in the world and has resolved 303 cases annually. this agency acts autonomously and independently in upholding law and justice. the purpose of this research is to determine the differences in the dispute resolution process through arbitration in indonesia and the uk. the research method used in this article is normative legal research and through a literature study approach with secondary assessment of legal materials and juridical data analysis. the results prove that the process and procedures for dispute resolution at the lcia institution are different from journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:vaniashafira2@students.unnes.ac.id mailto:florentianayuwono@gmail.com https://orcid.org/0000-0002-8876-3023 https://orcid.org/0000-0002-8876-3023 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index 78 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the bani institution in the process and procedures. as well as the legal basis used in resolving the parties' business disputes. keywords arbitration, dispute resolution, england, indonesia introduction one of the legal functions is to settle disputes.1 in resolving disputes in indonesia, can be done through two processes: the litigation litigation and non-litigation.2 litigation means resolving disputes in court, as a forum for juices or justice seekers to obtain legal certainty, justice, and benefits as the goal of law. 3 litigation dispute resolution is carried out by the judge, who is an element of the judicial power whose job is to receive, examine, and make decisions on cases that go to court. judges in deciding cases are required to uphold the law as fairly as possible for the community. article 6 paragraph (1) of law number 30 of 1999 concerning arbitration and alternative dispute resolution states that civil disagreements or differences of opinion can be resolved by the parties through alternative dispute resolution based on good faith by overriding litigation in the district court. 4 however, many people still complain about the complexity of litigating cases in court. in general, the complexity of litigating cases illustrates the complexity of the bureaucracy in indonesia. although the government has made improvements here and there, complaints about the complexity of litigating cases still exist. one of the existing solutions is to litigate through arbitration. arbitration is regulated in law number 30 year 1999 (arbitration law). the proposed settlement is regulated in law no. 30 1 r.f. saragih, lembaga alternatif penyelesaian sengketa, jurnal hukum dan pembangunan, no.4, tahun xxix, oktober desember 1999 2 faisal riza, alternatif penyelesaian sengketa secara arbitrase melalui pemanfaatan teknologi informasi, de lega lata jurnal ilmu hukum, volume 4 nomor 1, januarijuni 2019, 77-86 3 witanto, 2012, hukum acara mediasi, alfabeta, bandung, h. 5 4 mustofa wildan suyuti, 2013, kode etik hakim, kencana, jakarta, h. 55 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 79 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index of 1999 article 1 paragraph 10. the law on arbitration and alternative dispute resolution indicates that disputes can be resolved through judicial channels or alternative judicial channels (litigation or non-litigation). many of these alternatives are given, especially in disputes that fall into civil cases. as is known, the litigation process means bringing the dispute issue to legal channels, while the non-litigation process is resolved based on the good faith of the disputing parties. settlement of disputes outside the court line according to mutual agreement and written in an agreement is also known as arbitration. non-litigation dispute resolution is also called out-of-court dispute resolution or alternative dispute resolution. 5 article 6 of law no. 30 of 1999 regulates options in dispute resolution through deliberation of the disputing parties, under the title alternative dispute resolution, 6 among others through consultation, facilitation, negotiation, mediation, conciliation, arbitration, adjudication and expert judgment. all of them have different characteristics and are usually tailored to the parties' dispute resolution needs. adr offers several forms of dispute resolution processes tailored to the needs of the disputing parties. 7 arbitration comes from the latin arbitration which means the power to settle something according to policy. 8 arbitration is a way of resolving a civil dispute outside the general court based on an arbitration agreement made in writing by the disputing parties. arbitration is the voluntary submission of a dispute to a neutral third party that issues a final and binding decision.9 there are several juridical characteristics of arbitration, 5 henny mono, 2014, alternatif penyelesaian sengketa dan mediasi, bayumedia: publishing, malang, hal. 2 6 dewi tuti masigaryati, pengaturan dan mekanisme penyelesaian non litigasi di bidang perdagangan, jurnal dinamika sosbud, vol. 13 nomor 1, juni 2011:49-65, issn 14109859 7 prinsip dan bentuk-bentuk alternatif penyelesaian sengketa di luar pengadilan, hukum dan dinamika masyarakat vol.5 no.2 april 2008, issn : no. 0854-2031 8 grace henni tampongangoy, arbitrase merupakan upaya hukum dalam penyelesaian sengketa dagang internasioanal, lex et societatis, vol. iii,no. 1,janmar,2015 9 huala adolf, hukum penyelesaian sengketa internasional, (jakarta: sinar grafika, 2004), p.23 https://journal.unnes.ac.id/nju/index.php/jpcl/index 80 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index including controversy between the parties, the controversy is submitted to the arbitrator, the arbitrator is nominated by the parties or appointed by a certain body. arbitration as an extra judicial institution has legal authority born from legal instruments based on national legislation in the field of arbitration and the agreement of the parties in an agreement containing an arbitration clause.10 the arbitrator is a party outside the general judicial body. the basis for submitting a dispute to arbitration is an agreement, the arbitrator conducts a case examination, after examining the case, the arbitrator will issue the arbitration award and bind the parties. given the high probability of a dispute in the performance of an international business contract, the parties usually make a clause or arbitration contract in the agreement or business contract that is carried out.11 there are several arbitrations in dispute / dispute resolution. among others, the parties have several freedoms in: choice of forum; choice of law; choice of place; choice of arbitrator; select language; and in contracts that can be entered into to select the currency used (choice of currency) as a means of payment. 12 frans winarta outlined the meaning of each of the above dispute resolution institutions as follows: 13 consultation, negotiation, mediation, conciliation and expert assessment. method the method used in writing this journal is to use normative juridical legal research. normative legal research or library research is research by examining document studies, namely using various secondary data or data 10 jessicha tengar pamolango, tinjauan yuridis terhadap kewenangan arbitrase dalam penyelesaian sengketa, lex administratum, vol 3, no 1 (2015) 11 grasia kurniati, studi perbandingan penyelesaian sengketa bisnis dan implementasinya antara, lembaga badan arbitrase nasional indonesia dan singapore international arbitration centre, jurnal ilmiah hukum de’jure: kajian ilmiah hukum, vol.1 , no.2, september 2016 12 rusniati rusniati, arbitrase sebagai alternatif ideal dalam penyelesaian sengketa kontrak bisnis, jurnal disiplin vol 26, no 17, maret 2020 13 frans hendra winarta. 2012. hukum penyelesaian sengketa. jakarta: sinar grafika. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 81 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index obtained from the results of literature studies such as statute uproach, court decisions, legal theory, and can be in the form of opinions of scholars with various sources such as books, legal journals, legal dictionaries and the internet are related to comparison of arbitration dispute resolution process between indonesian national arbitration board (bani) and london court of international arbitration (lcia). by using uproach statute, the writer will analyze the legal material obtained, then explain the research object obtained based on the qualitative material, so that a clear picture of the substance of the material to be discussed in this study is more accurate. the research conducted in this journal uses qualitative analysis, namely by explaining existing data in words or statements not with numbers in order to explain and understand. result and discussions a. the differences between indonesian national arbitration board (bani) and london court of international arbitration (lcia) 1. indonesian national arbitration board (bani) one of the options for dispute resolution mechanisms is arbitration.14 arbitration is a way of resolving a civil dispute outside the general court based on an arbitration agreement made in writing by the disputing parties (based on article 1 paragraph (1) of law no. 30 of 1999 concerning arbitration and alternative dispute resolution). as for the time when law no. 30 of 1999, the provisions regarding arbitration as regulated in articles 615 to 651 rv, article 377 hir, and article 705 rbg are no longer valid. the existence of law no. 30 of 1999 has attempted to accommodate all aspects regarding arbitration both from a legal perspective and its substance with both national and international scope. 14 tektona, arbitrase sebagai alternatif solusi penyelesaian sengketa bisnis di luar pengadilan, pandecta: jurnal penelitian ilmu hukum, vol 6, no 1 (2011) https://journal.unnes.ac.id/nju/index.php/jpcl/index 82 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index meanwhile, an arbitration agreement is an agreement in the form of an arbitration clause that is stated in a written agreement made by the parties before the dispute arises, or a separate arbitration agreement made by the parties after the dispute arises. the arbitration session is held by the arbitrator. arbitrator is a person or more who are selected by the disputing parties or who are appointed by the district court or by the arbitration institution, to give a decision regarding a particular dispute which is submitted for resolution by arbitration. arbitrators are members of the arbitration institute. examples of arbitration institutions in indonesia are the indonesian national arbitration board (bani) and the national sharia arbitration board (basyarnas). in indonesia, the competent institution to handle arbitration is bani (indonesian national arbitration board). 15 this institution acts independently in upholding law and justice. bani always acts based on applicable provisions in the form of laws and internal provisions of bani itself, including the time limit that requires the arbitral tribunal to give a decision. the rules used in arbitration are national and international in nature.16 in indonesia itself, interest in resolving disputes through arbitration has increased since the promulgation of law no. 30 of 1999. there are several things that are the advantages of arbitration compared to resolving disputes through litigation: closed session to the public; the process is fast (maximum of six months); the decision is final and cannot be compared or cassation; the arbitrator is selected by the parties, is an expert in a disputed field, and has high integrity or morals; although the formal fees are higher than court fees, there are no 'other costs'; to particularly in indonesia, the parties can present their case before the arbitral tribunal and the arbitral tribunal can directly ask for clarification by the parties. 15 ananda puspita aminuddin, peranan badan arbitrase nasional indonesia dalam menyelesaikan sengketa penanaman modal, lex administratum, vol. v/no. 1/janfeb/2017 16 mudakir iskandar syah, penyelesaian sengketa di luar pengadilan via arbitrase, calpulis, yogyakarta, 2016, p.vii. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 83 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index along with its development, dispute resolution through arbitration has encountered several problems. the main problem is related to the implementation or execution of an arbitral award. in the international scope, international arbitration awards can be recognized and implemented in indonesia if they do not conflict with public order, have obtained execution from the chairperson of the central jakarta district court, and if one of the parties to the dispute is the republic of indonesia, it can only be implemented after there is an executor from supreme court ri. the problem is that courts in indonesia are often "labeled" as reluctant to enforce international arbitral awards on the grounds that they conflict with public order. another problem, in the national scope the implementation of arbitral awards is also often hampered due to the lack of ability and knowledge of indonesian arbitrators which results in postponement of arbitral awards. the arbitration decision is final and binding, meaning that the decision cannot be sought for legal remedies such as appeal and cassation and the decision is binding for the parties to comply voluntarily in good faith because before the award was made, they also agreed to resolve it through arbitration with all the consequences.17 the arbitration process and procedure are not easy. therefore, only people in certain social stratification can take advantage. arbitration is not commonly used by business actors who are less educated or low-class. in indonesia, arbitration can only be settled on disputes of a commercial nature. 18 2. london court of international arbitration (lcia) alternative dispute resulution (adr) provides an excellent solution in resolving conventional trade disputes that are separated by geographic 17 mosgan situmorang, pelaksanaan putusan arbitrase nasional di indonesia, jurnal penelitian hukum: dejure,vol 17, no 4 (2017), p-issn1410-5632 e-issn2579-8561 18 rochani urip salami, aletrnatif penyelesaian sengketa dalam sengketa transaksi elektronik (e-commerce), jurnal dinamika hukum, vol. 13 no. 1 januari 2013 https://journal.unnes.ac.id/nju/index.php/jpcl/index 84 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index location and between countries. 19 arbitration is one of the out-of-court dispute resolution models which is quite attractive, especially by business actors in resolving trade disputes that occur between them. the use of arbitration as a dispute resolution model is getting bigger, especially for the settlement of international trade disputes where parties are subject to different jurisdictions or the implementation of contracts involves foreign jurisdictions.20 the london court of international arbitration (lcia) the london court of international arbitration (lcia) is one of the oldest arbitral institutions in the world. this institution was officially established in 1891, but its roots have been in existence since april 5, 1883. after changing its name several times, this institution then officially adopted the name "the london court of international arbitration" in 1981. the name is to reflect that the cases cases that come are dominated by international cases. founded in london, the london court of international arbitration ("lcia") is one of the most prominent arbitral institutions, providing services for arbitration, mediation and other adr proceedings, with a current average of 303 cases per year. the lcia provides efficient, flexible, impartial resolution of disputes regardless of the location of the parties and based on any legal system whatever the parties desire. as mentioned above, the lcia handles many international disputes. the proof, as quoted from the official website, is that 80 percent of the cases currently being handled are not citizens of the united kingdom. furthermore, the lcia has sufficient access to reliable arbitrators and arbitration experts and experience from various jurisdictions. any person or company can become a party to lcia without having to register as a member first. 19 adel chandra, penyelesaian sengketa transaksi elektronik melalui online dispute resolution (odr) kaitan dengan uu informasi dan transaksi elektronik no.11 tahun 2008, jurnal ilmu komputer volume 10 nomor 2, september 2014 20 yuanita permatasari, kewenangan pengadilan dalam pembatalan putusan arbitrase internasional di indonesia, privat law, vol. v no 2 juli-desember 2017 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 85 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the impartiality and independence of the arbitrator against the parties is also expressly regulated in the lcla rules. arbitrators may not act as an advocate for either party, therefore, before being appointed, they must convey information about their current profession (article 3 paragraph 3.1.). the impartiality and independence of the arbitrator is guaranteed not only in the process of his appointment, but also for the duration of the arbitrator's process. therefore, according to the lcla rules, at any time before the arbitration ends, the arbitrator must submit to the court of lcla and to the parties anything that could raise doubts about the position of the arbitrator (article 3 paragraph 3.1.) 21 lcia consists of three separate structures, namely the secretariat, courts and companies. a. the secretariat is the only permanent organ. it is responsible for carrying out day-to-day management in arbitration proceedings. the registrar is the highest authority of the secretariat, assisted by the deputy registrar. b. the court oversees the activities of the secretariat. thirty-five members, serving a five-year mandate, constitute the lcia courts. its main responsibilities are: to act as appointing authority, determining challenges to arbitrators, and controlling costs. courts also have the final say on interpreting the provisions of the lcia rules, when they are called into question. c. the company is the only organ that does not provide administrative services. responsible for overseeing lcia activities and development, in accordance with applicable laws. b. the comparison of the arbitration dispute resolution process of indonesian national arbitration board (bani) and london court of international arbitration (lcia) 21 abdul wahid, pengangkatan arbiter dalam arbitrase internasional (suatu studi perbandingan berdasarkan uncitral, icc, aaa dan lcia rules), jurnal hukum dan pembangunan, juliseptember 1999 https://journal.unnes.ac.id/nju/index.php/jpcl/index 86 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index 1. arbitration dispute resolution process in bani in the bani arbitration procedure rules (bani rules and procedures), the general requirements to become an arbitrator are determined, namely to be registered as a bani arbitrator or to have an adr / arbitration certificate recognized by bani. the arbitrators provided by bani consist of various professions, both legal experts and non-legal experts, such as engineers, architects, and other qualified persons. 22 to be able to submit an arbitration issue through bani, there must be an agreement between the two parties or a clause stated in the agreement which states that the parties agree that all disputes between them will be resolved through bani, the clauses suggested by bani are as follows. meanwhile, arbitration settlement procedures in indonesia include: 1) registration procedure the arbitration procedure began with a notification to the respondent that in connection with a dispute between the petitioner and the respondent, the petitioner would resolve the dispute through the arbitration institute (bani). so, the petitioner must be ready in terms of evidence, reasons, legal standing, and so on. don't get confused later when going to trial. the notification to the respondent must contain: names and addresses of the parties; appointment to the applicable arbitration clause or agreement; agreement or issue in dispute; the basis of the charges and the amount demanded, if any; the desired settlement method; and the agreement entered into by the parties regarding the number of arbitrators or, if no such agreement has been made, the applicant may submit an odd number of proposals on the desired number of arbitrators. after that, the applicant registers and submits the request for arbitration to bani. the petitioner explains both from 22 muskibah, arbitrase sebagai alternatif penyelesaian sengketa, jurnal komunikasi hukum (jkh), volume 4 nomor 2 agustus 2018, issn : 2407-4276 (online); issn : 2356-4164 (print) https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 87 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the formal point of view of the arbitration callusula, the position of the applicant in relation to the arbitration agreement, the arbitration authority to examine cases, and the procedures that have been taken before being able to enter into settlement through an arbitration forum. 2) the arbitrator appointment stage the parties can actually agree on whether to appoint a single arbitrator, a panel of arbitrators, or submit the decision to bani. if the parties use a single arbitrator, the parties are obliged to reach an agreement on the appointment of the applicant's sole arbitrator in writing must propose to the respondent the name of the person who can be appointed as the sole arbitrator. if within 14 days since the respondent accepts the petitioner's proposal the parties fail to determine a single arbitrator, then based on the request of one of the parties, the chairman of the court may appoint a single arbitrator. if the parties choose to use the arbiter council system, the parties will appoint one arbitrator each. in the forum chaired by a panel of arbitrators who have been appointed by the parties, the parties will appoint one third arbitrator (who will then become chairman of the arbitral tribunal). in the arbitration law it is stipulated that if within 14 days after the appointment of the last arbitrator there is no agreement yet then at the request of one of the parties, the chairperson of the district court can appoint a third arbitrator, against this petition an attempt to annul it can be submitted (article 15 paragraph (4) of the arbitration law ). in addition, article 15 paragraph (2) of the arbitration law states, if after 30 days after notification has been received by the respondent and one of the parties has not appointed someone who will be a member of the arbitration panel, the arbitrator appointed by the other party will act as the sole arbitrator and the verdict is binding on both parties. 3) respondent's response https://journal.unnes.ac.id/nju/index.php/jpcl/index 88 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index if bani decides that bani has the right to examine, then after the registration of the application, one or more secretaries of the council shall be appointed to assist with the administrative work of the arbitration case. the secretary must submit a copy of the request for arbitration and its attached documents to the respondent, and ask the respondent to submit a written response within 30 days. if the respondent submits an answer, the respondent may also appoint an arbitrator by means of an application letter which is accompanied by the respondent's response letter. meanwhile, if the respondent does not submit an answer, the respondent is deemed to have handed over the arbitrator's appointment to bani. 4) claims the respondent can file a counterclaim (reconvention) on sending a response letter or not later than when the first trial begins. the petitioner and the respondent will be charged an additional fee if a counterclaim is filed. if the administration fee for the counterclaim or settlement effort has been paid by the parties, the counterclaim will be examined, considered and decided together with the main claim. if the petitioner does not want to pay the administrative fee for the reconvention, the respondent is obliged to pay it. if not, the panel will not examine the case. the arbitration applicant has the right within a period of 30 days or any other period determined by the arbitral tribunal to submit an answer to the counterclaim or counterclaim filed by the arbitration respondent. 5) examination session process in a dispute examination hearing by an arbitrator or an arbitral tribunal, it shall be carried out behind closed doors. the language used is indonesian, except with the approval of the arbitrator or arbitration panel, the parties can choose another language to be used. the disputing parties can be represented by their proxies with a special power of attorney. third parties outside the arbitration agreement can https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 89 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index participate and join in the dispute resolution process through arbitration, if there is an element of interest involved and participation is agreed upon by the parties to the dispute and approved by the arbitrator or arbitral tribunal examining the dispute in question. at the request of one of the parties, the arbitrator or the arbitral tribunal may adopt a provisional decision or other interim decision to regulate the orderliness of the dispute examination, including the determination of guarantee seizure. examination of disputes in arbitration must be carried out in writing. an oral examination can be carried out if agreed by the parties or deemed necessary by the arbitrator or arbitration panel. the arbitrator or arbitration panel can hear witness testimony or hold a meeting as deemed necessary at a certain place outside the place where the arbitration is being held. examination of witnesses and expert witnesses before the arbitrator or arbitral tribunal, shall be conducted according to the provisions of the civil procedural law. the legal consequence and execution of bani's decision is that the party defeated in the dispute examination must implement the decision voluntarily within 30 (thirty) days after the request for execution is registered with the clerk of the district court, and the decision can be carried out by the clerk with a bailiff on the order of the head of the district court. and two witnesses can also be assisted by the police. the legal consequence of the bani decision is that if the defeated party does not want to implement the decision, the head of the district court orders to confiscate the movable property of the defeated party. and the defeated party cannot be held hostage against him, and the death of one of the parties does not stop the consequences of a refereeing clause. 23 2. arbitration court services at lcia 23 luh putu sudini, eksistensi badan arbitrase nasional indonesia (bani) dalam penyelesaian sengketa perusahaan, jurnal notariil, p-issn: 2540-797x, vol. 2, no. 2 november 2017, p. 42 https://journal.unnes.ac.id/nju/index.php/jpcl/index 90 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index lcia provides services for arbitration, mediation, adjudication and adr. it is important to note that the institution itself does not resolve disputes. rather, it provides the necessary support for the parties and for the arbitral tribunal throughout the process. the parties can also use the lcia for processing. in this case, the institution will act as the appointing authority, and it will assist the parties in the appointment of arbitrators, mediators and experts. the costs of arbitration at the london court of international arbitration are generally divided as follows: 1) court fees, which include: a. hourly rates charged by arbitrators (currently capped at gbp 450); b. charge fees for the arbitral tribunal secretarial services (if any); and c. other fees (such as cancellation fees or correction notes). 2) administration fee, which includes: a. registration fees for submitting requests for arbitration (currently set at gbp 1,750); b. secretariat rates per hour; and c. a surcharge of 5% of the total arbitration court fee24 court and secretariat services are charged on an hourly basis. this means that fees will be based on the actual time spent working in connection with a given arbitration process. this is intended to ensure that simple disputes involving a large number of disputes will not cost more than similar disputes with smaller amounts, unlike the rules of other institutions, where fees are calculated based on the amount disputed. while the average lcia arbitration lasts 16 months and costs usd 97,000, cases in which the disputed amount is more than usd 100 million are expected to cost hundreds of thousands of usd. regarding arbitration decisions, the lcia rules does not include any provisions regarding the period for pronouncing the verdict. where the 24 international arbitration information by aceris law llc, pengadilan london untuk arbitrase internasional – lcia, https://www.international-arbitrationattorney.com/id/london-court-international-arbitration-lcia/, accessed on june 26th, 2021 https://journal.unnes.ac.id/nju/index.php/jpcl/index https://www.international-arbitration-attorney.com/id/london-court-international-arbitration-lcia/ https://www.international-arbitration-attorney.com/id/london-court-international-arbitration-lcia/ journal of private and commercial law 6 (1) (2022) 79-100 91 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index arbitration panel consists of 3 (three) people, the decision is made based on the majority decision of the arbitrators. if there is a difference of opinion, the decision of the chair of the arbitration council will apply.11 these provisions are in line with the icc arbitration rules, lcia arbitration 9 art. 30 (1) icc arbitration rules: “the time limit within which the arbitral tribunal must render its final award is six months. such time limit shall start to run from the date of the last signature by the arbitral tribunal or by the parties of the terms of reference "10 art 5.2 (d) 2013 siac rules:" the award shall be made within six months from the date when the tribunal is constituted unless, in exceptional circumstances, the registrar extends the time ”11 susanti adi nugroho, arbitration dispute resolution and legal settlement, page 211 rules and siac rules 2013. 12 an arbitration award can be declarative (explain or confirm), constructive (negating or giving rise to a new legal condition), or condemnatoir (punishment).25 arbitration settlement procedures in lcia include:26 1) registration procedure for the registration procedure, now dispute resolution at lcia is done more easier by online filling system. any party, or its authorised representative, can use the online filing system. but online filling is an additional service provided by the lcia, which may use if applicants wish to do so. if applicants prefer, they may continue to file documents in hard copy or by email as previously. if applicants choose online, before using the system, every applicant will need to register as a user and agree to the terms and conditions of use. the online system allows every applicant to: a. file requests for arbitration, responses, applications for expedited formation of the tribunal, applications for expedited 25 garuda wiko, ketika termohon menolak terlibat dalam persidangan arbitrase, tanjungpura law journal, vol. 3, issue 2, july 2019: 126 143 issn print: 2541-0482 | issn online: 2541-0490 26 lcia arbitration and adr worldwide, lcia notes for parties 2020, https://www.lcia.org//adr-services/ accessed on june 26th, 2021 https://journal.unnes.ac.id/nju/index.php/jpcl/index https://www.lcia.org/adr-services/ 92 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index appointment of a replacement arbitrator, and applications for the appointment of an emergency arbitrator; b. submit any supporting documentation electronically; once applicants have submitted a request, response or application, they will not be able to revise that document (or any attachment) through the online system. if applicants realise, after submission, that any information was inaccurate, they can email casework@lcia.org, providing the online filing id or lcia arbitration number. c. pay any filing fees online online filing system allows every applicants to pay for any filing fees using a credit card, via the worldpay payment gateway or paypal. after completing the form, applicants will be directed to the payment pages where applicant should enter the necessary credit card information. the filing will only be submitted to the lcia once payment has successfully been processed. d. generate a pdf document, at the conclusion of the process (and following payment of any fee), which applicant can print/save to their computer and also serve for service on the other parties to the arbitration. if applicat have chosen to use the standard electronic form, the lcia online filing system will generate a pdf of the document you have filed, which applicant can print and/or save in order to then send it (together with any relevant attachments) to the other parties to the arbitration. if you applicants already uploaded the submission, applicant should serve that uploaded document, (together with any relevant attachments) to the other parties to the arbitration. access all applicants’ filings made online, including payment history. for both standard electronic form and online filling system, https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 93 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index after applicant fill the form, a member of the lcia secretariat will respond to you within one business day after submission of your online filing. 2) responding to a request for arbitration if a party receives a request for arbitration, the next step is for it to prepare a response. according to article 2 of the 2014 rules provides that a respondent shall file any response to a request within 28 days of the date that the arbitration commenced (namely, within 28 days of the date on which the lcia received the request and registration fee). this is a change from the 1998 rules, which provide that a response should be sent within 30 days of receipt by the respondent of the request, rather than being dependent on the date that the request was filed with the lcia. 3) appointment of arbitrators unless the parties have agreed express timing, the lcia court will take steps to appoint the arbitral tribunal promptly after receipt of the response or, if no response is received, after 7 days from the date on which the response was due. the time it takes to complete the appointment process varies from case to case, depending on a number of factors, including: the number of arbitrators to be appointed; the time it takes for a candidate arbitrator to return his/her statement of independence and availability; any disclosure made by a candidate arbitrator; any mechanism agreed between the parties for the selection of the arbitral tribunal (such as a list procedure) and the timeframes under that mechanism. the default position under the rules is that the lcia court will select the arbitrators. 4) setting a timetable for the arbitration the lcia will write to the parties once an arbitral tribunal has been appointed by the lcia court. the secretariat will also write to the arbitral tribunal to provide to them any relevant background https://journal.unnes.ac.id/nju/index.php/jpcl/index 94 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index held by the lcia about the arbitration and to invite the arbitral tribunal to make contact with the parties as soon as practicable to discuss the future conduct of the arbitration. in accordance with article 14 of the 2014 rules, the arbitral tribunal and the parties are encouraged to make contact within 21 days of the appointment of the arbitral tribunal. the parties may agree on joint proposals for the conduct of their arbitration and the arbitral tribunal may exercise its discretion to set a timetable appropriate for the particular case, bearing in mind its duty to act fairly and impartially and to provide a fair, efficient and expeditious means for the final resolution of the parties’ dispute. 5) use of written evidence and the right to an oral hearing a party should file, with its statement of claim or its statement of defence, copies of all essential documents. if a party wishes to rely on witness evidence to support its case, then it should inform the arbitral tribunal. the arbitral tribunal may request that a party present the testimony of any witness in written form, whether as a signed statement or otherwise and, in accordance with article 20.3 of the rules, the arbitral tribunal may decide the time, manner and form in which that written testimony should be exchanged between the parties and presented to the arbitral tribunal. then, under article 19 of the lcia rules, any party has the right to request a hearing before the arbitral tribunal at any appropriate stage of the arbitration unless the parties have agreed in writing upon a documents-only arbitration.the arbitral tribunal has discretion as to the conduct of a hearing, including as to any time-limits to be applied and as to the date, time and geographical location of any hearing. unless otherwise agreed in writing by the parties, all hearings of lcia arbitrations are held in private. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 95 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index conclusion for the dispute resolution process both at bani and lcia are basically the same, which are registration, arbritator appointment and the arbitration execution. however, in lcia for case registration, since 2014 the online filling system has been used. this certainly simplifies and speeds up the dispute resolution process. procedures for submitting dispute resolution through bani by registering a dispute resolution request letter at the bani secretariat which includes an arbitration clause made in writing statements and if in the agreement the parties do not include an arbitration clause then the dispute that arises between them cannot be resolved by arbitration. the important thing is the existence of an arbitration clause which states that all disputes arising from this agreement will be resolved in the first and last stages according to bani's procedural rules by arbitration appointed according to the regulation. and also there is an agreement from the parties to settle the dispute through arbitration. the legal consequence and execution of bani's decision is that the party defeated in the dispute examination must implement the decision voluntarily within 30 (thirty) days after the request for execution is registered and then the decision can be carried out by the district court. likewise bani, in lcia which is one of the oldest arbitration institutions in the world and has resolved 303 cases annually. the lcia procedure provides efficient, flexible, impartial resolution of disputes regardless of the location of the parties and based on any legal system whatever the parties desire. for the registratipn stages, the process are done fully through online filling system. furthermore, the lcia has sufficient access to reliable arbitrators and arbitration experts and experience from various jurisdictions. then for the arbitration excecution, the process must be in accordance with the existing procedures in the lcia rules. also in lcia, any party has the right to request a hearing before the arbitral tribunal at any appropriate stage of the arbitration unless the parties have agreed in writing upon a documents-only arbitration. unless https://journal.unnes.ac.id/nju/index.php/jpcl/index 96 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index otherwise agreed in writing by the parties, all hearings of lcia arbitrations are held in private. references abdul wahid, pengangkatan arbiter dalam arbitrase internasional (suatu studi perbandingan berdasarkan uncitral, icc, aaa dan lcia rules), jurnal hukum dan pembangunan, juliseptember 1999 adel chandra, penyelesaian sengketa transaksi elektronik melalui online dispute resolution (odr) kaitan dengan uu informasi dan transaksi elektronik no.11 tahun 2008, jurnal ilmu komputer, volume 10 nomor 2, september 2014 ananda puspita aminuddin, peranan badan arbitrase nasional indonesia dalam menyelesaikan sengketa penanaman modal, lex administratum, vol. v/no. 1/jan-feb/2017 arbitration procedures rules from indonesian national arbitration board (bani). dewi tuti masigaryati, pengaturan dan mekanisme penyelesaian non litigasi di bidang perdagangan, jurnal dinamika sosbud, vol. 13 nomor 1, juni 2011:49-65, issn 14109859 faisal riza, alternatif penyelesaian sengketa secara arbitrase melalui pemanfaatan teknologi informasi, de lega lata jurnal ilmu hukum, volume 4 nomor 1, januari-juni 2019, 77-86 frans hendra winarta. hukum penyelesaian sengketa. jakarta: sinar grafika. 2012 garuda wiko, ketika termohon menolak terlibat dalam persidangan arbitrase, tanjungpura law journal, vol. 3, issue 2, july 2019: 126 143 issn print: 2541-0482 | issn online: 2541-0490 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 97 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index grace henni tampongangoy, arbitrase merupakan upaya hukum dalam penyelesaian sengketa dagang internasioanal, lex et societatis, vol. iii,no. 1,jan-mar,2015 grasia kurniati, studi perbandingan penyelesaian sengketa bisnis dan implementasinya antara, lembaga badan arbitrase nasional indonesia dan singapore international arbitration centre, jurnal ilmiah hukum de’jure: kajian ilmiah hukum, vol.1 , no.2, september 2016 henny mono, alternatif penyelesaian sengketa dan mediasi, bayumedia: publishing, malang, 2014, h. 2 huala adolf, hukum penyelesaian sengketa internasional, jakarta: sinar grafika, 2004, hal. 23 international arbitration information by aceris law llc, pengadilan london untuk arbitrase internasional – lcia, https://www.international-arbitration-attorney.com/id/londoncourt-international-arbitration-lcia/, accessed on june 26th, 2021 jessicha tengar pamolango, tinjauan yuridis terhadap kewenangan arbitrase dalam penyelesaian sengketa, lex administratum, vol 3, no 1 (2015) laws of the republic indonesia number 30 of 1999 about arbitration and alternatives dispute resolution lcia arbitration and adr worldwide, lcia notes for parties 2020, https://www.lcia.org//adr-services/ accessed on june 26th, 2021 london court international arbitration (lcia) rules 2014 london court international arbitration (lcia) rules 2020 luh putu sudini, eksistensi badan arbitrase nasional indonesia (bani) dalam penyelesaian sengketa perusahaan, jurnal notariil, p-issn: 2540-797x, vol. 2, no. 2 november 2017, hal 142 mosgan situmorang, pelaksanaan putusan arbitrase nasional di indonesia, jurnal penelitian hukum: dejure,vol 17, no 4 (2017), pissn1410-5632 e-issn 2579-8561 mudakir iskandar syah, penyelesaian sengketa di luar pengadilan via arbitrase, yogyakarta: calpulis, 2016, hal.7. https://journal.unnes.ac.id/nju/index.php/jpcl/index https://www.international-arbitration-attorney.com/id/london-court-international-arbitration-lcia/ https://www.international-arbitration-attorney.com/id/london-court-international-arbitration-lcia/ https://www.lcia.org/adr-services/ 98 yuniar available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index muskibah, arbitrase sebagai alternatif penyelesaian sengketa, jurnal komunikasi hukum (jkh), volume 4 nomor 2 agustus 2018, issn : 2407-4276 (online); issn : 2356-4164 (print) mustofa wildan suyuti, kode etik hakim, kencana, jakarta, 2013, h. 55 prinsip dan bentuk-bentuk alternatif penyelesaian sengketa di luar pengadilan, hukum dan dinamika masyarakat vol.5 no.2 april 2008, issn : no. 0854-2031 r.f. saragih, lembaga alternatif penyelesaian sengketa, jurnal hukum dan pembangunan, no.4, tahun xxix, oktober desember 1999 rochani urip salami, aletrnatif penyelesaian sengketa dalam sengketa transaksi elektronik (e-commerce), jurnal dinamika hukum, vol. 13 no. 1 januari 2013 rusniati rusniati, arbitrase sebagai alternatif ideal dalam penyelesaian sengketa kontrak bisnis, jurnal disiplin, vol 26, no 17, maret 2020 tektona, arbitrase sebagai alternatif solusi penyelesaian sengketa bisnis di luar pengadilan, pandecta: jurnal penelitian ilmu hukum, vol 6, no 1 (2011) witanto, hukum acara mediasi, alfabeta, bandung, 2012, h. 5 yuanita permatasari, kewenangan pengadilan dalam pembatalan putusan arbitrase internasional di indonesia, privat law, vol. v no 2 julidesember 2017 *** declaration of conflicting interests the authors state that there is no conflict of nterest in the publication of this article. funding information none acknowledgment the authors thank to the anonymous reviewer of this article vor their valuable comment and highlights. history of article https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 79-100 99 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index submitted : february 11, 2021 revised : april 7, 2021 accepted : may 18, 2022 published : may 31, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 78 illegal pawn practices amid the covid-19 pandemic to survive meliyana auliya faculty of law, universitas negeri semarang, indonesia meliyana2411@students.unnes.ac.id vilha ester t. makanuay faculty of law, universitas negeri semarang, indonesia dian latifiani faculty of law, universitas negeri semarang, indonesia dianlatifiani@gmail.com submitted: april 28, 2021 revised: may 21, 2021 accepted: may 31, 2021 abstract this article aims to explain illegal pawning in the midst of the covid-19 pandemic in indonesia, this pandemic has caused losses to the economic sector and almost all sectors are affected by activity restrictions which increasingly make people unable to run their businesses so that some have to lose their jobs and cannot support them. their family. this august report from the central statistics agency (bps) stated that indonesia's economic growth in the second quarter of 2020 was minus 5.32 percent. with this difficult situation some people choose to pawn their goods or assets to illegal plaintiffs, people who are easily affected because of the easy and fast process tend to prefer private pawns that do not have this permit compared to official pawns that have been registered with the ojk. keywords: pawn; law; loan. jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 79 introduction indonesia was officially exposed to the covid-19 virus in early march 2020, the corona virus or covid-19 was an event that had never been predicted before. the existence of this virus makes the normal activities that we do nowadays greatly change from the previous normal activities, because here we are required to continue to carry out all activities, but it is very limited in order to reduce the circulation of this virus. lots of impacts have occurred after the emergence of this covid-19 virus. restrictions on existing community activities hamper economic activity, automatically business actors make efficiency to reduce losses. this august report from the central statistics agency (bps) stated that indonesia's economic growth in the second quarter of 2020 was minus 5.32 percent. as a result, many workers have been dismissed or even dismissed (phk), so they lost their jobs. meanwhile, those who lose their jobs must still make ends meet. they struggle and are confused about where they get the funds, while they don't have any more income like before. one of their efforts is to choose to pawn valuables in order to survive. the founders of private pawns who started to stand without having a (illegal) business permit began to appear without fulfilling the requirements as a place for a mortgage, people who were tempted without thinking because they were offered fast services without waiting for a long time, aka 10 minutes of money can be handed over. illegal pawn business is a pawn business that operates without permission from the ojk in accordance with the financial services authority regulation number 31 / pojk. 05/2016 concerning pawnshop business (pojk). illegal pawning services also have a characteristic, namely that they do not have an appraiser and insure the goods being pawned, so people are advised to remain vigilant. basically a pawn is given to guarantee a bill. this provision is referred to in article 1150 of the civil code, wherein this provision stipulates that a pledge is a right obtained by a creditor for a movable property which is handed over to him by a debtor or another person on his behalf and gives the creditor the power to collect the receivables from the proceeds. the sale of the said goods takes precedence over other creditors. excluded from surrender to the creditor are costs for auctioning the goods and costs incurred to save them jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 80 after the goods are pawned. items that can be submitted for pawning are tangible movable items such as machinery, office inventory and intangible movable items, namely collection rights or also known as receivables. pawning is a tangible financial transaction that has existed for a long time and has occurred in the history of the development of human life. the oldest pawn system itself was found in china 3000 years ago, also on the european continent and in the mediterranean region during roman times. in indonesia, the pawning practice has been around for hundreds of years, even now this practice is still valid in indonesia. from their ancestors until now, indonesian citizens have been accustomed to conducting debtreceivables transactions with movable objects as collateral. the main task of the pawnshop institution itself is to provide loans to the community on the basis of pawning law so that the community is not harmed by the activities of informal financial institutions which tend to take advantage of the urgent funding needs of the community. the legal basis for pawnshops in general is in accordance with law no.9 of 1969. the article states that the nature of the business a pawnshop does is to provide maximum service for public benefit and at the same time generate profits based on the principles of existing company management. whereas in article 7 it is stated that there are several pawnshop duties, namely: participate in improving the level of welfare of the community, especially the lower middle class by providing funds in accordance with the legal basis for pawning and other financial services based on the provisions of the applicable laws, second is to prevent customers or the public at large from deviating from the legal basis acts such as illegal mortgages, usury practices and improper loans. some of the valuable items that can be pawned are certificates, vehicles, agricultural and fishery tools, electronic goods, and gold. gold is a common item that many people use for pawning, because the prospect of investing in gold is increasingly profitable because the price is always rising. second is to prevent customers or society at large from deviating from the prevailing legal basis such as illegal pawning, usury practices and improper loans. some of the valuable items that can be pawned are certificates, vehicles, agricultural and fishery tools, electronic goods, and gold. gold is a common item that many people use for jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 81 pawning, because the prospect of investing in gold is increasingly profitable because the price is always rising. second is to prevent customers or society at large from deviating from the prevailing legal basis such as illegal pawning, usury practices and improper loans. some of the valuable items that can be pawned are certificates, vehicles, agricultural and fishery tools, electronic goods, and gold. gold is a common item that many people use for pawning, because the prospect of investing in gold is increasingly profitable because the price is always rising. in accordance with the provisions of government regulation number 178 of 1961, the status of the pawnshop institution is the pawnshop bureau. then with the existence of government regulation number 10 of 1990 dated april 1, 1990, the pegadaian service company was changed to a public pegadaian company. with the existence or issuance of this regulation is the initial milestone of the revival of pegadaian. one of the things to note is that this regulation emphasizes the mission that must be assumed by pegadaian to prevent the practice of usury, which this mission does not change until the issuance of government regulation number 103 of 2000 which is used as the basis for the business activities of the public company of pegadaian. research methode the legal research method used is a qualitative approach and the type of research is normative juridical. the source of this research data is from secondary data sources with data collection techniques through library research and documentation results and discussions etymologically pawning has the meaning of permanent, eternal, and guarantee. meanwhile, according to the civil law code (kuhper) article 1150, a pledge is defined as a right which is obtained by a person owed for a movable property, which is handed over to him by a debtor or by another person on his behalf, and which gives power to the debtor. in order to take the payment of the goods first over other indebted persons, with the jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 82 exception of the costs to auction off the goods and the costs incurred to save them after the goods were pawned, which costs should take precedence. pawning is a real agreement, where this agreement is an agreement with the need for an agreement and a real action (transfer of power over the pledged property). the delivery is made by the debtor who gives the pledge and is addressed to the creditor who receives the pledge. in accordance with article 1152 paragraph 1 of the civil code, the submission may be made to a third party with the condition that it is mutually agreed between the debtor and creditor. the control of the pledged property must be absolutely transferred from the pawner because article 1152 paragraph 2 of the civil code strictly prohibits the control of the pledged item by the pawner. if this is violated, the mortgage will be canceled1. another definition of a pledge is an agreement made between a creditor and a debtor, whereby the creditor hands over movable objects to the creditor, to be used as collateral for the settlement of the pawning debt, when the debtor fails to carry out his performance. in this definition, pawning is manifested as an accesoir agreement (additional), while the main agreement is a loan and borrowing agreement with movable property as collateral. in another sense, pawning is often equated with credit with collateral, which is credit given to a customer or creditor who is willing to provide certain objects or securities or people to be tied as collateral2. then if a debtor is negligent, the guaranteed goods can be auctioned to pay off the debtor's debt. as a material right, the lien continues to follow the object or the items pawned in the hands of whoever is holding it (droit de suit). thus what is contained in it is also a right to sue because the pledge recipient has the right to claim back3. this provision is contained in article 1152 paragraph 3 of the civil code, namely: "if however the goods are lost from the hands of the recipient of this pledge or have been stolen from them, then he has the right to demand them back as stated in article 1977 1 gunawan widjaja and ahmad yani. (2000. hukum tentang perlindungan konsumen. jakarta : gramedia pustaka utama, p. 93 2 latifiani, dian. 2013. juridical review of the analysis of business loans as a preventive effort for the arising of bad loans. pandecta volume 8 no 2.july 2013 3 frieda husni hasbullah: (2005). hukum kebendaan perdata, hak-hak yang memberi kenikmatan jilid i, jakarta, ind-hill-co, p. 26 jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 83 paragraph (2), whereas if the pledged goods are recovered, liens are deemed never lost ”. this agreement is intended to provide guarantees for certain performance obligations, which are generally not always payable and receivable agreements. pegadaian offers loan services with collateral for movable objects subject to pawning law as an option for the community to meet both productive and productive needs4. rahn is almost similar to a pawn, but rahn is not intended as collateral for the repayment of a particular debt. the owner of the goods in possession does not pay the interest on the loan he receives, but pays the deposit fee. ar-rahn is holding one of the borrower's assets as collateral for the assets he receives. the pawn business has existed since colonialism in the middle of the 18th century. in 1746 the voc founded de bank van leening which later became de bank courant en bank van leening in 1752. this bank was the first bank born in the dutch east indies and became the forerunner of the banking industry in indonesia. however, in 1811, the british government took over and dissolved the van leening bank. the first legal pawn business was established in sukabumi on april 1, 1901. at that time, the state pawnshop was established through an ordinance issued with staatblad number 131. april 1 is also recorded as the anniversary of pegadaian. in 1905 pegadaian took the form of a bureau, then in 1961 it changed to pn (state company) based on pp in lieu of law no.19 of 1960 and pp no. 178 of 1961. eight years later, the form of legal entity pegadaian has undergone another change. in 1969 the status of pegadaian as a pn changed to perjan based on government regulation (pp) no.7 of 1969. in 1990, the legal form of pegadaian was again changed from perjan to perum based on pp no.10 of 1990 which was updated with pp no.103 of 2000. as of april 1, 2012, the form of perum's legal entity changed to persero based on pp. 51 of 2011 and has survived until now. along the way, private business actors are quite prevalent in running this pawn business. starting from conventional pawns on the side of the road, to online pawns. 4 abubakar, lastuti. 2012. "pawn institutions as an alternative for self-strength based financing (the idea for the establishment of the law on settlement)". legal podium. volume 24 number 1 february 2012, page 5 jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 84 the proliferation of pawnshops has previously prompted the ojk to issue pojk number 31 of 2016 concerning pawnshops in 1969 the status of pegadaian as a pn changed to perjan based on government regulation (pp) no.7 of 1969. in 1990, the legal form of pegadaian was again changed from perjan to perum based on pp no.10 of 1990 which was updated with pp no.103 of 2000. as of april 1, 2012, the form of perum's legal entity changed to persero based on pp. 51 of 2011 and has survived until now. along the way, private business actors are quite prevalent in running this pawn business. starting from conventional pawns on the side of the road, to online pawns. the proliferation of pawnshops has previously prompted the ojk to issue pojk number 31 of 2016 concerning pawnshops in 1969 the status of pegadaian as a pn changed to perjan based on government regulation (pp) no.7 of 1969. in 1990, the legal form of pegadaian was again changed from perjan to perum based on pp no.10 of 1990 which was updated with pp no.103 of 2000. as of april 1, 2012, the form of perum's legal entity changed to persero based on pp. 51 of 2011 and has survived until now. along the way, private business actors are quite prevalent in running this pawn business. starting from conventional pawns on the side of the road, to online pawns. the proliferation of pawnshops has previously prompted the ojk to issue pojk number 31 of 2016 concerning pawnshops 10 of 1990 which was renewed by government regulations no.103 of 2000. as of 1 april 2012, the form of perum's legal entity changed to persero based on government regulations no. 51 of 2011 and has survived until now. along the way, private business actors are quite prevalent in running this pawn business. starting from conventional pawns on the side of the road, to online pawns. the proliferation of pawnshops has previously prompted the ojk to issue pojk number 31 of 2016 concerning pawnshops 10 of 1990 which was renewed by government regulations no.103 of 2000. as of 1 april 2012, the form of perum's legal entity changed to persero based on pp no. 51 of 2011 and has survived until now. along the way, private business actors are quite prevalent in running this pawn business. starting from conventional pawns on the side of the road, to online pawns. the proliferation of pawnshops has previously prompted the ojk to issue pojk number 31 of 2016 concerning pawnshops jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 85 characteristics of pawn based on the provisions in article 1150 of the civil code and other articles in the civil code, it can be concluded that the nature and characteristics of a lien are as follows: a. the object of pawning is moving material, whether it is a tangible or intangible movable object. b. liens give priority position (droit de preference) to creditors who receive the pledge. c. pawning is a property right over movable objects or goods belonging to someone, therefore, even though the goods pawned change hands, the goods pawned continue to follow whoever the object of the goods being pawned is located (droit de suit). if the goods being pawned are lost or stolen by someone else, the creditor who receives the pledge has the right to claim back. d. the goods or goods being pawned must be under the control of the creditor of the pledge recipient or a third party for and on behalf of the pledge recipient due to the inbezitstelling requirement. the terms of inbezistelling itself can be concluded in the provisions of article 1150 and article 1152 of the civil code and this is the main condition for the validity of a pawning agreement. however, before the goods are handed over by the debtor to the creditor, the pledge agreement must always be preceded by a principal agreement, because without a principal agreement, the pledge agreement as an accessoary agreement will never occur. then the object submitted must be a moving object, both tangible and intangible. meanwhile, a person who pawns or a debtor is someone who is capable of taking legal action. therefore, people who are still under age, or who are under guardianship and under interdiction are not allowed to pawn their belongings themselves. if this continues, a cancellation can be requested. e. pawning is an accessoir to the principal or preliminary agreement, such as a loanborrowing agreement, accounts payable, or credit agreement. accessoir has the meaning that the lien applies depending on whether or not the principal agreement or accounts receivable is available. if the accounts payable agreement is valid, then jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 86 the pledge agreement as an additional agreement is also valid, and vice versa. thus, if the loan-receivables agreement is transferred, then the automatic lien will also change; on the other hand, the lien cannot be transferred without the transfer of the loan agreement. and if for some reason the pledge agreement is canceled, then the payable agreement is still valid provided that it is made legally. there are consequences of a pawn agreement as an accessoir agreement, namely: (1) even though the pledge agreement is canceled because it violates the provisions of the pawning which is forcing, the main agreement is usually in the form of a payable agreement still valid, if it is made legally. however, if the bill does not have any other basis for specialization, it is now a mere concurrent bill; (2) the lien cannot be transferred without the principal commitment, but if the transfer of the principal commitment covers the accesoir, this includes if there is a lien. thus in accordance with the provisions in article 1533 of the civil code. f. the goods being pawned are collateral for the repayment of debtors' debts to creditors. so collateral cannot be used, enjoyed, let alone possessed; the creditor only acts as a houder, not as a burgerlijke bezitter. g. pawning has an indivisible nature (ondelbaar), that is, it burdens the whole object of the material being pawned and constitutes every part thereof, provided that if a portion of the guaranteed debt has been paid, it does not mean that part of the material or goods pawned is freed from it. liens burden, but the lien continues to burden all objects of the mortgage for the remaining outstanding debt. the legal basis for other pawning can also be seen in the following laws and regulations: 1. article 1150 of the civil code to article 1160 book ii of the civil code 2. government regulation number 7 of 1969 concerning pawnshop companies 3. government regulation number 10 of 1970 concerning amendment to government regulation number 7 of 1969 concerning pawnshop companies 4. government regulation number 103 year 2000 regarding public company (perum) pegadaian. illegal pawn jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 87 illegal pawn business is a pawn business that operates without permission from the ojk in accordance with the financial services authority regulation number 31 / pojk.05 / 2016 concerning pawnshop business (pojk). the financial services authority (ojk) announced 17 names of illegal pawn businesses, namely (amadeus pawn, asa pawn, barokah pawn and others). this illegal pawn does not meet the requirements such as for example not having an appraiser, while to say that it is legal for the pawn business, it is mandatory to have an appraiser. ojk made regulations to prioritize the principle of openness in the pawn business in order to encourage growth as well as provide protection to the public. pawnshops are prohibited from being owned directly or indirectly by foreign citizens and / or business entities partly or wholly owned by foreign nationals or foreign business entities. unless the direct or indirect ownership is carried out through a stock exchange. ojk itself has given two years for private pawning service actors to apply for a business license, since this regulation was promulgated. some of the requirements that must be met by a private pawnshop to obtain permission from the ojk include having a pawn expert, a certified appraiser, and an adequate storage area. after obtaining a license, a private pawnshop business will obtain a registration number from the ojk. the regulation was also designed by the ojk to provide official permits for private pawning service actors so that they no longer need to secretly carry out their business activities. through this regulation, it is hoped that private pawning businesses will grow to make it easier for the community or small and medium enterprises (ukm) to access financial institutions. ojk admits that it does not impose sanctions on unlicensed private pawning businesses, but leaves the decision to the public. "no (there are sanctions), the community will judge later. people are welcome to use (pawning services) that have not been licensed but there is no consumer protection. the business license granted by the ojk, according to him, will facilitate mitigation of problems in the supervisory system, including potential if pawning services are used for money laundering in addition to monitoring based on the conditions for applying for a license, ojk also encourages pawn service actors to implement the jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 88 know your customer principle to ensure understanding of someone who is pawning goods. the community will judge later. people are welcome to use (pawning services) that have not been licensed but there is no consumer protection. the business license granted by the ojk, according to him, will facilitate mitigation of problems in the supervision system, including the potential if the pawn service is used for money laundering. in addition to supervising based on the requirements for applying for a permit, ojk also encourages pawning service actors to implement the know your customer principle to ensure understanding of someone who is pawning goods. the community will judge later. people are welcome to use (pawning services) that have not been licensed but there is no consumer protection. the business license granted by the ojk, according to him, will facilitate mitigation of problems in the supervision system, including the potential if the pawn service is used for money laundering. in addition to supervising based on the requirements for applying for a permit, ojk also encourages pawning service actors to implement the know your customer principle to ensure understanding of someone who is pawning goods. subject to lien law basically, those who have the right to hold the pledge are the ones who lend something to the pawner, because the pawn item is collateral as a debt that he gives to the borrower. in the principle of pawning, the bank as the recipient of the goods has the right to hold the goods until all debts of the customer are paid off. during that period the customer will be charged a maintenance fee. (ahmad syahnan: 2020). the person who lent the loan to the pawner is handling the goods, if both parties are willing and feel trust in each other. however, if one of them feels insecure or does not copy trust, then the item is held by a third party which has been agreed by both parties. so the pawning subject itself consists of two parties, namely the pawner (pandgever) and the pawn recipient (pandnemer). pandgever is a person or legal entity that provides collateral in the form of movable objects as a pledge to the pawn recipient for money loans given to him or a third party. iskandar, addiarrahman (in http://www.pegadaian.co.id/info-dari-masa-kezaman.php, accessed: july 5, 2014) explained that changes in the form of a legal pawnshop can be understood as jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 89 an effort to improve the productivity and efficiency. this is due to the historical background that the existence of pawnshops is intended to: prevent bonded bonds, loan sharks, and other improper loans, improve the welfare of the poor, support government programs in the economic sector and national development. july 5, 2014) explains that the change in the form of a legal pawnshop can be understood as an effort to increase productivity and efficiency. this is due to the historical background that the existence of pawnshops is intended to: prevent bonded bonds, loan sharks, and other improper loans, improve the welfare of the poor, support government programs in the economic sector and national development. july 5, 2014) explains that the change in the form of a legal pawnshop can be understood as an effort to increase productivity and efficiency. this is due to the historical background that the existence of pawnshops is intended to: prevent bonded bonds, loan sharks, and other improper loans, improve the welfare of the poor, support government programs in the economic sector and national development. the elements of the pawner: 1. person or legal entity 2. provides guarantees in the form of moving objects 3. to the pawn recipient 4. there is a money loan a pawn recipient (pandnemer) is a person or legal entity who receives a pledge as collateral for a loan of money that he gives to a pawner (pandgever). the legal entity appointed to manage a pawnshop is a pawnshop company. this company was founded based on: 1. government regulation number: 7 of 1969 concerning pawnshop companies 2. government regulation number 10 of 1970 concerning amendment to government regulation number 7 of 1969 concerning service companies 3. government regulation number 103 of 2000 concerning public company (perum) pegadaian. matters that must be considered in the implementation of a pawn jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 90 the position of the pledged property is only a mandate that is entrusted to it by the plaintiff as long as it is in the hands of the pawning holder. bpkb pawning is an effort made by the community to obtain a sufficiently large amount of cash or cash loans secured by a vehicle ownership certificate (bpkb) book, whether a car or a motorbike, as proof that the vehicle belongs to it. (fitri: 2021). utilization of pawned goods, pawned goods are not allowed to be taken for the benefit, either by the owner or the recipient. because the status of the item is only a guarantee of payment and a mandate for the recipient. however, if you get permission from each of the parties concerned, it can be used. in order for the agreement to contain provisions if the pledge person or the recipient of the pledge requests permission to use the pledged goods, then the result becomes common property. this provision is intended to prevent property from functioning or being redundant. the risk of damage to the pawned property: damage to the pawned property accidentally caused by the recipient of the pawn. in this case the pledge recipient does not bear the risk of the minimum price of the goods. the calculation starts at the time the pawning item is handed over to the pawn recipient until the day it is damaged or lost. maintenance of the pawned item. the cost of maintaining the pawned property is borne by the pawner, because the item comes from the pawner and remains his property. meanwhile, the costs needed to store and maintain the safety of the pawned goods are borne by the recipient of the pledge in his position as the person receiving the mandate. the categories of pledged goods that can be pawned as collateral are all movable and immovable property that meets the following conditions: tangible objects at the time the agreement occurs, the objects are immediately handed over to the recipient of the pledge, payment or settlement of the pawning debt. if this happens until the time that has been determined, the owner of the pledged item has not paid back the debt yet, then the party who receives the pledge may order the owner of the pawn to sell the pawned item to pay off the debt. procedure for pawning auction: the person who pawns the goods may not sell or grant the pawned goods, while the pawning recipient is allowed to sell the goods on condition that at maturity the pledge party cannot pay off their obligations. risk of illegal pawning jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 91 in carrying out pawning and financing activities. the pawning institution does not deny that there are risks that occur to it. the risk that is often faced is human error, this comes from the employees themselves. it is not uncommon for several times, employees have to replace their personal money with this risk. one of the things done by pt. pegadaian or perhaps also by companies engaged in finance and non-finance, namely the establishment of risk management. where risk management is a structured and systematic process in identifying, measuring, mapping, developing, alternative risk management, monitoring, and controlling risk management, it is also feared that it can be misused for the money laundering of irresponsible people. the spread of unlicensed private pawning services, it is feared that bad faith will arise to consumers which can harm consumers, the bad intentions committed by these consumers can be in the form of: (1) the unlicensed business activity brings away consumer collateral; (2) lost consumer collateral; (3) before the maturity date, the consumer collateral has been auctioned. (ahmad a kurniawan: 2019 pp. 4-5). the ojk does not impose any sanctions on ilegar pawning, but everything returns to the community, so it is notified to the public about the characteristics of illegal pawning such as not having an appraiser, no permission from ojk, collateral for pawning is not insured, interest rates are high and still exist again, the public is asked to always be vigilant because more than 500 illegal pawning businesses have been recorded that have been spread. conclusion based on the existing studies, it can be concluded that the pawn is a real agreement, where this agreement is an agreement with the need for an agreement and a real action (transfer of power over the pledge). the delivery is made by the debtor who gives the pledge and is addressed to the creditor who receives the pledge. in accordance with article 1152 paragraph 1 of the civil code, the submission may be made to a third party with the condition that it is mutually agreed between the debtor and creditor. during this pandemic, the founder of private pawnshops, who continued to stand, offered their services that could harm the community, so for the founders of illegal pawns to immediately register their business with the ojk. it takes help from all students and the ojk to provide socialization jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 92 for pawn business founders in order to embrace pawn business actors to register their business with the ojk. through the published regulations, it is hoped that private pawning businesses will grow to make it easier for the community or small and medium enterprises (ukm) to access financial institutions. bibliography abubakar, lastuti. 2012. "pawn institutions as an alternative for self-strength based financing (the idea for the establishment of the law on settlement)". legal podium. volume 24 number 1 february 2012. page 5 adjie, habib & emmy haryono saputro. legal protection for the owner of the object for auctioning the object of the pledge. journal of business law. edition no. 1 volume 1, april 2015. pages 56-57 aenurofiq, hamza. 2014. "subject of lien". posted in http://hamzahaenurofiq.blogspot.com/2014/12/normal-0-false-false-false-in-xnone-x_67.html. downloaded monday, april 26. azanella, luthfia ayu. 2018. "pawn business trips from time to time" loaded in https://ekonomi.kompas.com/read/2018/05/30/070000126/perwisata-bisnisgadai-dari-masa-ke-masa-?page= 2. downloaded tuesday, april 20 frieda husni hasbullah. (2005). hukum kebendaan perdata, hak-hak yang memberi kenikmatan jilid i, jakarta: ind-hill-co. ghafar, affan ahmad & jumaidi purwoadmojo. 2019. utilization of pawn goods in underhanded payable agreements. journal of notarius. edition no. 1 volume 12, march, 2019. pages 488-490. iskandar and addiarrahman. 2017 "the social history of the development of law of pawn and rahn (sharia pawn) in indonesia". e-journal vol 17 december 2 2017 pages 176 177 jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 93 kurniawan, achmad andri. 2019. "legal protection for consumers for pawn collateral at pawnshops without obtaining permission from the financial services authority". jember university faculty of law. luthfiyah, m. 2010. "general concepts of pawn". loaded in http://eprints.walisongo.ac.id/3128/3/62311037_bab2.pdf. downloaded friday, april 23. latifiani, dian. 2013. juridical review of the analysis of business loans as a preventive effort for the arising of bad loans. pandecta volume 8 no 2.july 2013 maharanny. ninin, non ayu salmah. emma lilianti. 2021. analysis of rahn (gold pawn) financing accounting treatment based on psak 107 (case study at pt. pegadaian syariah simpang patal palembang branch). mediation journal. vol 3 no 2 march 2021 pg 198 ningsih, fitri pratiwi. 2021. analysis of vehicle bpkb pawn patterns by applying the fggrowth algorithm. vol 1 no 9 february 2021 p.418 oktayani, dewi. 2019. pawn auction in islamic perspective. our scientific economic journal. edition no. 2 volume 8, december 2019. pages 266-267. rizal, jawahir gustav. 2020. "the covid-19 pandemic, what are the impacts on the indonesian labor sector". https://www.google.co.id/amp/s/amp.kompas.com/tren/read/2020/08/11/1 02500165/pandemi-covid-19-apa-saja-dampak-pada-sektoremploymentindonesia-. downloaded tuesday april 20 rohmah, z. 2018. "pawn in positive law". posted in http://repo.iaintulungagung.ac.id/9921/5/bab%20ii.pdf. downloaded friday, april 23. suhaina, siti. 2016. comparison of sharia pawn law with conventional pawn at pt.pegadaian pekanbaru. journal of islamic research. issue no.2 volume 3, october 2016. pages 2-3. satrio, j. 2002. "overview of collateral pledged goods". loaded in https://sinta.unud.ac.id/uploads/wisuda/1090561059-3-bab%20ii.pdf. downloaded monday, april 26. jpcl 5(1) (2021) 78-94 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 94 sawotong, dm. 2014. material guarantee at pt.pegadaian for the goods being pawned. thesis. sam ratulangi university. syahnan, ahmad. 2020. mechanism for golden gold (rahn) financing in pt. bank brisyariah jambi page 9 triono, moh hadi. 2018. motorcycle pawn practice in terms of civil law and islamic law. thesis. tulungagung state islamic institute wikanto, adi. 2021 watch out, this is a list of illegal pawn businesses according to the ojk, avoid being a victim https://www.google.co.id/amp/s/amp.kontan.co.id/news/awas-ini-daftarbisnis-gadai -legal-according-ojk-avoid-don't-be-victim. downloaded april 20 widjaja gunawan and ahmad yani. (2000). hukum tentang perlindungan konsumen. jakarta: gramedia pustaka utama. yozami, mohammad agus. 2016. ojk regulations concerning pawnshops prioritizing the principle of openness. https://m.hukumonline.com/berita/baca/lt57f38fd441649/peraturan-ojktentang-pegadaian-kedepankan-asas-keterb open 4 october 2016. downloaded 20 april copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. comparison of legal basis regarding alternative dispute resolution in business competition between indonesia and united states of america adinda destaloka putri permatasari secretary in a offset company madukoro blok, tawang mas, semarang city, indonesia dinda.destaaaa@gmail.com abstract business activities always allow for a dispute between the parties involved. as a result of such disputes the parties always want a quick resolution delays in resolving trade disputes will result in inefficient economic development, decreased productivity, and otherwise increased production costs. this not only hinders the improvement of health and progress of workers, but also harms consumers. to resolve business disputes, the parties have the freedom to choose what dispute resolution forum to choose. business disputes that arise may not be left alone, but it is necessary to find an alternative solution appropriately so as not to be prolonged and cause substantial losses. alternative dispute resolution is not only known in indonesia but also in other countries, one of which is indonesia, in this paper the author will discuss about alternative dispute resolution in the field of business between indonesia and america. this paper uses normative juridical approach methods that try to analyze and identify the law related to the alteratve dispute resolution in business competition between indonesia and usa. in addition, this paper also analyzes the relationship between one regulation and the other. therefore, the data used to support this paper is secondary data, namely data obtained from books and data published by law enforcement institutions keywords arbitration, alternative dispute resolution, america, indonesia journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:dinda.destaaaa@gmail.com https://orcid.org/0000-0002-8876-3023 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index 184 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index introduction economic activities are generally carried out by economic actors either individuals who run companies or business entities that have a position as a legal entity or not a legal entity. economic activities are essentially the activities of running the company, namely, an activity that contains the understanding that the activities in question must be carried out. in the business world, economic activities carried out by market participants can certainly arise a competition. competition is a condition that is always attached to human characteristics, where humans always have a tendency to outperform each other in many ways. competition that is intended in that case is competition in the business world. business competition in the business world is an absolute requirement for the implementation of the market economy. competition needs to be maintained in order to create efficiency3. competition in the business world is conditio sine qua non (absolute requirement) for the implementation of the market economy. competition in the business world gives rise to profits and impacts for businesses to continue to improve the products of goods or services produced and continue to innovate, strive to provide the best products or services for consumers and produce products or services efficiently. on the other hand, consumers have the option of buying certain goods or services at low prices with high quality. 4 without competition, it will not be known whether the performance has reached the optimal level. this is because there is no comparison that can be used as a reference. with competitors, each party can measure performance by comparing the performance of its competitors. 5 the emergence of alternative dispute resolution is motivated by a reality1, that the settlement of business disputes through the judiciary in recent times has received a lot 1 singer, linda r. settling disputes: conflict resolution in business, families, and the legal system. routledge, 2018, p. 104 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 183 200 185 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index of harsh criticism from various circles, among others from businesses themselves, academics, professionals, the press and society in general.2 the judiciary is seen as already so overloaded. on the one hand, the number, sorts, and types of cases that enter over time continues to increase sharply, while on the other hand, the ability to resolve disputes by the court is not proportional to the number of cases entered, so it cannot be resolved effectively and efficiently. such a complicated, bureaucratic, and rambling judicial process will obviously have an impact on the length of time, effort, and costly. this makes it possible to make it easier for the public to resolve business disputes through arbitration. the process of resolving disputes / conflicts in the community is fractured and developed. then came an alternative dispute resolution (adr). this form emphasizes the development of cooperative methods of conflict resolution outside the court. adr dispute resolution methods are consensus, acceptableto the parties to the dispute (mutual acceptable solution) with "informalprocedure". the majority states that arbitration clauses do not need to specifically mention the laws provided to require arbitration of claims arising under the law. but in the application in indonesia disputes handled by kppu always go through litigation without any option to resolve business competition disputes through alternative dispute resolution. when comparing with all provisions in the united states regarding the resolution of business competition disputes, the country regulates and implements alternative dispute resolution in business competition disputes.3 the dispute resolution process must also be adjusted to the legal system in force in a country. 4 in general, the dispute resolution process is carried out in a 3 grasia kurniati, perbandingan penyelesaian sengketa bisnis dan penerapannya antara lembaga bani, jurnal ilmiah hukum, vol. 1, no. 2, 2016, p. 203. 4 erni dwita silambi, alternatif penyelesaian sengketa bisnis dan ekonomi melalui arbitrase internasional (studi kasus karaha bodas vs. pertamina), jurnal ilmu ekonomi dan sosial, vol. 3, no. 6, 2012, p. 299. https://journal.unnes.ac.id/nju/index.php/jpcl/index 186 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index certain court following existing absolute competences and relative competencies. 5 besides, in the dispute resolution process through the court, the disputing parties must submit at least two pieces of evidence to explain the mistakes committed by the other parties and explain the facts that happened. 6 so that, the dispute resolution process through the courts is considered to require relatively large costs and a relatively long time. 7 this has led the public to start thinking about and looking for a dispute resolution process that can be carried out outside the court, that is considered more costly and requires a relatively short time. 8 with this, the alternative arbitration dispute resolution is formed and known by the public at large. the arbitration resolution process for the indonesian society can be carried out through a national arbitration institution or an international arbitration institution. international arbitration is a process used to resolve civil disputes through a neutral third party, especially disputes in the business field that occur to parties to an international business agreement. 9 international arbitration may be formed by various arbitration clauses contained in an international business agreement that has been agreed by the parties concerned. this article will discuss the comparison of legal basis of business competition dispute resolution through alternative dispute resolution between in the united states and indonesia and the relevance of alternative settlement in business competition disputes in usa with in indonesia. 5 randang s. ivan, tinjauan hukum tentang peran identitas domisili dalam menetapkan kompetensi relatif pengadilan, jurnal lex privatum, vol. 4, no. 1, 2016, p. 24. 6 kunti kalma syita, penerapan prinsip pembuktian dalam hukum perdata formil pada arbitrase berdasarkan undang-undang nomor 30 tahun 1999, jurnal yuridika, vol. 29, no. 1, 2014, p. 22. 7 dewa nyoman rai asmara and i putu rasmadi arsha putra, akibat hukum pendaftaran alternatif penyelesaian sengketa, jurnal hukum acara perdata, vol. 6, no. 1, 2020, p. 74. 8 i putu wisnu karma and i ketut artadi, arbitrase sebagai prosedur penyelesaian sengketa di luar pengadilan pada sengketa hak atas kekayaan intelektual, jurnal kertha semaya, vol. 6, no. 3, 2016, p. 4. 9 ni gusti nyoman shanti prameswari, alternatif penyelesaian sengketa melalui arbitrase internasional bagi perusahaan internasional, jurnal kertha negara,vol. 1, no. 5, 2013, p. 3. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 183 200 187 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index method this article uses secondary data, namely with legal materials both in indonesia and in america. with a statutory approach and a comparative law approach, a description of non-litigation dispute resolution can be made. the research method used in this paper is a normative juridical legal research method, using a conceptual approach and literature study. legal regulations in writing are the primary legal material in this study. the conceptual approach will provide understanding by using doctrine in the form of the opinions of legal experts. this writing is also based on the results of research that has been done previously and also collects data by reviewing, searching the literature, and looking at notes. the approach is carried out by examining the approaches to theories, concepts, reviewing the laws and regulations related to this research or the statutory approach. result and discussions the comparison of legal basis of business competition dispute resolution through alternative dispute resolution between in the united states and indonesia the settlement of business competition disputes in indonesia through alternative dispute resolution is reviewed from the perspective of business competition law in indonesia. 10 the form of analysis on the settlement of business competition disputes in indonesia through alternative dispute resolution reviewed from the perspective of business competition law in indonesia requires a supporting factor that strengthens the legal argument in this study.11 the factors that the researchers will 10 ariani, n. v. (2012). alternatif penyelesaian sengketa bisnis di luar pengadilan. jurnal rechts vinding: media pembinaan hukum nasional, 1(2), 278 11 muskibah, m. (2018). arbitrase sebagai alternatif penyelesaian sengketa. jurnal komunikasi hukum (jkh), 4(2), 155 https://journal.unnes.ac.id/nju/index.php/jpcl/index 188 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index discuss will be related to finding an answer to the problem formulation in the previous chapters. in this sub-chapter before going deeper into whether alternative dispute resolution can be done in the settlement of business competition disputes, researchers will analyze how the rules of business competition dispute resolution in indonesia.12 regarding the analysis of competition dispute resolution regulations in indonesia a legal argument that supports this research and answer whether in the regulation on the settlement of competition disputes in indonesia allows or not to be resolved through alternative dispute resolution.13 then the researchers will examine more deeply how the application of business competition dispute resolution in indonesia which will result in a justification on how to settle business competition disputes through alternative dispute resolution.14 regulation on settlement of business competition disputes in indonesia settlement of business competition disputes in indonesia there are several provisions. regarding this study, researchers focused on the resolution of disputes conducted by kppu after the emergence of the decision of kppu that there are violations and how the existing procedural to resolve the dispute competition itself. in this sub-chapter will simultaneously analyze the concept.15 provisions governing the resolution of business competition disputes, as follows; a. law no. 5 of 1999 on prohibition of monopoly practices and unfair business competition regarding the settlement of business competition disputes in indonesia that govern widely and become the main basis for handling business competition cases in indonesia in the provisions governing the 12 wibowo, b. r. (2004). arbitrase sebagai alternatif penyelesaian sengketa perdagangan di indonesia (doctoral dissertation, universitas airlangga). 12 13 nugroho, s. a. (2014). hukum persaingan usaha di indonesia. prenada media. 12 14 rachmadi usman, hukum persaingan usaha di indonesia, (jakarta: sinar gafika2013), hlm. 62. 15 nugroho, s. a., & sh, m. (2017). penyelesaian sengketa arbitrase dan penerapan hukumnya. kencana. 45 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 183 200 189 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index resolution of disputes after the emergence of the decision of kppu contained in article 44, which reads; 1. "within 30 (thirty) days since the business person receives the notification of the commission's decision as referred to in article 43 paragraph (4), the business person shall implement the award and submit the implementation report to the commission". 2. "businesses can submit objections to the district court no later than 14 (fourteen) days after receiving the notification of the verdict". 3. "business actors who do not object within the period as referred to in paragraph (2) shall be deemed to accept the commission's decision". 4. "if the provisions as referred to in paragraphs (1) and (2) are not executed by business actors, the commission submits the decision to the investigator for investigation in accordance with the provisions of the prevailing laws and regulations". 5. "the decision of the commission as referred to in article 43 paragraph (4) is sufficient preliminary evidence for investigators to conduct an investigation." from the above provisions, if the report is proven to violatethe law of indonesian business, then the panel of commissions in the dictum will give a ruling that states that the reported legally and convincingly violates the provisions of law no. 5 of 1999 by mentioning the reason and imposing legal sanctions after the formulation of article 47 of law no. 5 of 1999. 51 after the decision given by kppu, the efforts that can be made by businesses that are indicated to commit antitrust violations are to accept the verdict by receiving administrative sanctions from kppu. the decision of kppu is not final and binding as the judicial process of kppu's decision can be appealed, this is to protect the rights of the parties who feel harmed. in the context of competition law, a reported person who is dissatisfied with the decision of kppu can appeal to the district court in the place of the reported legal position. if the reported party is not satisfied with the decision of kppu then, reported given fourteen days from the receipt of the passage of the decision of kppu along with a copy or after the announcement of the verdict of the reported case on the kppu website. objections are submitted through the clerkship of the district court https://journal.unnes.ac.id/nju/index.php/jpcl/index 190 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index concerned in accordance with the registration procedure of civil disputes by providing a copy of the objection to kppu. that the provisions of the regulations mentioned above if the reported do not feel objection, then the decision of the kppu will be requested the determination of execution from the district court and the nature of the ruling has a fixed force. with the above exposure researchers can draw conclusions from the provisions of the regulation on dispute resolution concept in law16 no. 5 of 1999 on prohibition of monopoly practices and unfair business competition, from all provisions stipulated do not mention or allude to the settlement of disputes through alternative dispute resolution or non-litigation. all mechanisms used in dispute resolution can be described through litigation, because from the beginning of the issuance of a ruling by kppu that can be done by the reported as a business actor who is indicated to commit violations in the provisions of antitrust law is only to make an objection to the district court. in addition, that can be done by the reported filing a cassation to the supreme court. b. regulation of the business competition supervisory commission no. 1 of 2019 concerning procedures for handling cases of monopoly practices and unfair business competition law no. 5 of 1999 concerning prohibition of monopoly practices and unfair business competition is not the only regulation that contains provisions on the settlement of business competition disputes. this is supported by the provisions contained in the regulation of the supervisory commission. business competition no. 1 year 2019 on procedures case handling monopoly practices and unfair business competition. the regulation becomes a supporting regulation that serves to clarify all provisions of the act. some of the provisions in the commission's 16 law no. 5 of 1999 on prohibition of monopoly practices and unfair business competition https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 183 200 191 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index regulations discuss not much different from the law on unfair business competition, all mechanisms used at the stage after the enactment of the ruling if the reported does not accept the verdict continues to appeal to the district court and submit cassation to the supreme court. furthermore, the other provisions shall be provided for in article 202 of the agreement or award under the convention, which states that; "arbitration agreements or arbitral awards arising out of a legal relationship, whether contractual or not, which are deemed commercial, including the transactions, contracts, or agreements described in section 2 of this heading, are under the convention. an agreement or award arising out of such a relationship that is entirely between citizens of the united states shall be deemed not to be included in the convention unless it involves property located overseas, envisions performance or enforcement of law abroad, or has other reasonable relationships with such agreements. or more foreign countries. for the purposes of this part the company is a citizen of the united states if incorporated or has a principal place of business in the united states". based on the above presentation on the rules of settlement of business competition disputes and their application in indonesia can be concluded that in the case of business competition in indonesia has not used alternative dispute resolution in its settlement. 17in indonesia has invited law no. 30 of 1999 concerning arbitration and alternative dispute resolution, which in the regulation regulates the limits that can not be done through alternative settlement sengeketa contained in article 5, namely; 1) "disputes that can be resolved by arbitration are only disputes in the field of trade and concerning rights that under law and legislation are fully controlled by the parties to the dispute". 2) "disputes that cannot be resolved through arbitration are disputes that according to the laws and regulations cannot be held peace". 17 antono, a. pengaturan tentang arbitrase ad hoc dalam undangundang nomor 30 tahun 1999 tentang arbitrase dan alternatif penyelesaian sengketa. badamai law journal, 2(1), 6. https://journal.unnes.ac.id/nju/index.php/jpcl/index 192 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index based on such exposure in the regulation prohibits arbitration and alternative dispute resolution if prohibited by law or for disputes that cannot be held peace. regarding this, researchers argue that there is no prohibition on alternative dispute resolution that prohibits business competition cases to be resolved through alternative dispute resolution. this is because in the rules on the settlement of business competition disputes there is nothing prohibiting resolving business competition disputes through alternative dispute resolution, only in its application there has not been a settlement of business competition disputes through alternative dispute resolution. competition dispute resolution regulations through alternative dispute resolution in the united states regarding the rules of settlement of business competition disputes, in some antitrust laws in the united states such as the sherman act, the federal trade commission act, the clayton act and so on only regulates violations of unfair business competition in general. similarly, the ftc act and doj act only explain the authority of the two agencies in handling unfair business competition dispute resolution. alternative dispute resolution regulations in the united states are not within the specific laws governing competition law. the provision is stipulated in a supporting regulation that explains the existence of alternative dispute resolution in the application in the settlement of business competition disputes in the united states. a. arbitration fairness act 2018 regarding the regulation of alternative dispute resolution in business competition disputes in the united states that researchers will discuss is the legal force of arbitration in business competition disputes is further strengthened by the arbitration fairness act passed in 2018 with the intention of amending the federal arbitration act or 9 united sates code by adding provisions in chapter 4 that include arbitration in https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 183 200 193 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index employment matters , consumer, antitrust, and civil rights. in the arrangement contained in article 2 of the discovery that reads;18 congress found the following: "the federal arbitration act (now enacted as chapter 1 of heading 9 of the united states code) is intended to apply to disputes between commercial entities with similar sophistication and bargaining power". "a series of decisions by the united states supreme court have interpreted the act so that it now extends to consumer disputes and labor disputes, contrary to the intent of congress". "most consumers and employees have little or no ada choice meaning whether to file their claim to arbitration. often, consumers and employees don't even realize that they're giving up their rights" rights. 19"arbitration is obliged to undermine the development of public law due to inadequate transparency and inadequate judicial review of the arbitrator's decision"." arbitration can be an acceptable alternative when arbitration consent is completely voluntary, and occurs after a dispute arises". based on the above disclosures, regarding the findings contained in the rules on dispute resolution in the united states, researchers can conclude that they are sufficient to resolve them through arbitration. what is stated in the regulation is about the lack of legal options forresolving disputes that people experience to file arbitration. therefore inthe regulationn finally in the amendment by containing the provision that in the settlement of the dispute can be resolved through arbitration when the consent is completely voluntary and arbitration can be enforced when a dispute arises between the parties. b. federal arbitration act / 9 united states code arbitration 18 marks, j. b., johnson, e., & szanton, p. l. (1984). dispute resolution in america: processes in evolution (pp. 28-9). washington dc: national institute for dispute resolution. 19 brunet, e., brunet, e. j., speidel, r. e., sternlight, j. r., sternlight, j. e., ware, s. h., & ware, s. j. (2006). arbitration law in america: a critical assessment. cambridge university press. https://journal.unnes.ac.id/nju/index.php/jpcl/index 194 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the federal arbitration act or now referred to as 9 united states code of arbitration which discusses alternative dispute resolution will be possible if enacted in the united states. the provisions on the resolution of altenative disputes are explained by stipulated that the faa is subject to the new york convention set forth in chapter 2 of article 201 of the enforcement of the convention which reads; 20 "the convention on the recognition and enforcement of foreign arbitration awards of june 10, 1958, shall be enforced in the courts of the united states in accordance with this chapter". regarding the application of alternative dispute settlement conducted in the united states, especially in the case of short business competition there is a federal legal policy that supports private legal dispute arbitration. consistent with that policy, the law in the united states states that domestic and international private antitrust claims may be arbitrated in accordance with the federal arbitration act. regarding the court will continue to explore the issues surrounding the application of these general rules.21 related to the application conducted by the federal trade commisions and the department of justice antitrust division to resolve business competition disputes in the united states. this alternative use of dispute resolution by united states competition agencies describes the provisions of federal law that authorize the use of arbitration and other alternative dispute resolution. nonetheless the department of justice antitrust division and the federal, but trade commisions are legally authorized to use arbitration or mediation in some states, they have not directly used arbitration to resolve differences between them and the object of their antitrust enforcement process. 20 oldham, j., & kim, s. j. (2013). arbitration in america: the early history. law & hist. rev., 31, 241. 21 wibowo, b. r. (2004). arbitrase sebagai alternatif penyelesaian sengketa perdagangan di indonesia (doctoral dissertation, universitas airlangga). https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 183 200 195 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the relevance of alternative settlement in business competition disputes in usa with in indonesia regarding the relevance of alternative dispute resolution arrangements in business competition disputes, researchers will place a concept owned by other countries precisely the united states in the settlement of business competition disputes that will be associated with how it is resolved in indonesia. if you look at all the provisions contained in the regulations on the settlement of business competition disputes in indonesia clearly have not supported or regulated the choice of dispute resolution law namely alternative dispute resolution because in reality all business competition disputes led to be resolved through litigation.22 in contrast to existing arrangements in the united states, when reviewed from existing regulations allows for an alternative dispute resolution. with the provisions of the federal arbitratin act/ 9 united states code subject to the new york convention 1958 explains that any dispute containing arbitration clauses can be enforced through arbitration with the support of the courtthen the rule is strengthened by the existence of the arbitration firness act which explicitly describes the arrangement of arbitration in the case of applicable business competition. in addition, there is an adminitrative dispute resolution act that allows the authorities in competition to support alternative dispute resolution in administrative cases with all considerations that have been presented in previous chapters. in such regard, theauthor maybe able that by looking at all provisions governed by the united states regarding thesettlement of alternative disputes can be used as a reference or basis of thought in completing a regulation on alternative dispute resolution in the case of business competition. in fact, the rules were established to cover the community itself. it should be in indonesia to support or provide a regulation that 22 sukwanto, b., & siregar, t. (2010). pelaksanaan putusan arbitrase internasional di indonesia. jurnal mercatoria, 3(1), 18 https://journal.unnes.ac.id/nju/index.php/jpcl/index 196 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index explicitly stipulates that some business competition disputes can be resolved alternatively.regarding what business competition cases can be resolved in alternative dispute resolution as well as the relevance of alternative dispute resolution in business competition disputes. researchers will look at the applications made by the united states. related to this, researchers can relate that the case that can be solved in the case of business competition is private or between competitors in business competition. in addition, arbitration in competition in the united states uses it for the case of the parties' claim for damages, then the merger has some provisions regarding access to commitments that will be included in what can be resolved through arbitration, but in arbitration it cannot handle class actions. then regardinga clear international arbitration has a strong bargaining position because of the conventions that have been clarified in the application of the settlement of business competition in the united states. based on all of the above explanations, it can be concluded that indonesia should be able to examine more deeply about the regulations that have been imposed in the united states. regarding arbitration and alternative dispute resolution whereas in indonesia has been regulated and enforced all the provisions contained in law no. 30 of 1999 on arbitration and alternative dispute resolution and in indonesia there has been an institution authorized in handling cases that can be resolved through arbitration. but the polemic that at the same time can be questioned is why the law in indonesia does not support by making special regulations on alternative dispute resolution in the case of business competition and applying it. when it comes to all existing regulations and applications in the united states regarding alternative dispute resolution in competition law, researchers conclude that they are highly relevant when applied in indonesia. then based on all the analysis that has been described above on https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 183 200 197 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the relevance of business competition dispute resolution arrangements in indonesia through alternative dispute resolution is a strong legal argument to prove that alternative dispute resolution can be enforced in indonesia precisely in business competition disputes. conclusion business competition disputes in indonesia cannot be resolved through alternative dispute resolution if reviewed from the perspective of business competition law in indonesia due to the absence of supporting regulations specifically regulated related to alternative dispute resolution in business competition disputes. but supposedly with the existence of law no. 30 of 1999 concerning arbitration and alternative dispute resolution allows the application of alternative dispute resolution in business competition disputes to be the choice of dispute resolution law for the parties to the dispute. that the comparison of the concept of alternative dispute resolution regulations in business competition disputes in indonesia with the united states has a difference that includes; the united states has regulations regarding the resolution of business competition disputes through specially regulated alternative dispute resolution; the united states implemented the alternative dispute settlement in a business competition dispute. also we can adopted how usa regulates alternative dispute resolution in matter of business competition more complete. as it can be concluded that indonesia should be able to examine more deeply about the regulations that have been imposed in the united states. in connection with that, alternative dispute resolution is a relevant matter when applied in indonesia related to private disputes of business competition which include mediation for loss claims as well as mass claims, while arbitration for claims for losses and merger or merger disputes. for the government and kppu in the matter of regulation regarding alternative https://journal.unnes.ac.id/nju/index.php/jpcl/index 198 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index dispute resolution in business competition in indonesia is to comprehensively review the alternative dispute resolution in business competition disputes and determine the direction of policy and establish dynamic legal rules, so as to make alternative dispute resolution as a legal option for dispute resolution for the parties to the dispute just like in the usa. references antono, a. pengaturan tentang arbitrase ad hoc dalam undang-undang nomor 30 tahun 1999 tentang arbitrase dan alternatif penyelesaian sengketa. badamai law journal, 2(1) ariani, n. v. (2012). alternatif penyelesaian sengketa bisnis di luar pengadilan. jurnal rechts vinding: media pembinaan hukum nasional, 1(2). brunet, e., brunet, e. j., speidel, r. e., sternlight, j. r., sternlight, j. e., ware, s. h., & ware, s. j. (2006). arbitration law in america: a critical assessment. cambridge university press. dewa nyoman rai asmara and i putu rasmadi arsha putra, 2020, akibat hukum pendaftaran alternatif penyelesaian sengketa, jurnal hukum acara perdata, vol. 6, no. 1. erni dwita silambi, 2012, alternatif penyelesaian sengketa bisnis dan ekonomi melalui arbitrase internasional (studi kasus karaha bodas vs. pertamina), jurnal ilmu ekonomi dan sosial, vol. 3, no. 6, 2012. grasia kurniati, 2016 perbandingan penyelesaian sengketa bisnis dan penerapannya antara lembaga bani, jurnal ilmiah hukum, vol. 1, no. 2, i putu wisnu karma and i ketut artadi, 2016 arbitrase sebagai prosedur penyelesaian sengketa di luar pengadilan pada sengketa hak atas kekayaan intelektual, jurnal kertha semaya, vol. 6, no. 3. kunti kalma syita, penerapan prinsip pembuktian dalam hukum perdata formil pada arbitrase berdasarkan undang-undang nomor 30 tahun 1999, jurnal yuridika, vol. 29, no. 1, 2014, p. 22. law no. 5 of 1999 on prohibition of monopoly practices and unfair business competition https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 183 200 199 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index marks, j. b., johnson, e., & szanton, p. l. (1984). dispute resolution in america: processes in evolution (pp. 28-9). washington dc: national institute for dispute resolution. muskibah, m. (2018). arbitrase sebagai alternatif penyelesaian sengketa. jurnal komunikasi hukum (jkh), 4(2). ni gusti nyoman shanti prameswari,2013, alternatif penyelesaian sengketa melalui arbitrase internasional bagi perusahaan internasional, jurnal kertha negara,vol. 1, no. 5. nugroho, s. a. (2014). hukum persaingan usaha di indonesia. prenada media. nugroho, s. a., & sh, m. (2017). penyelesaian sengketa arbitrase dan penerapan hukumnya. kencana oldham, j., & kim, s. j. (2013). arbitration in america: the early history. law & hist. rev., 31 rachmadi usman, hukum persaingan usaha di indonesia, (jakarta: sinar gafika2013) randang s. ivan, 2016, tinjauan hukum tentang peran identitas domisili dalam menetapkan kompetensi relatif pengadilan, jurnal lex privatum, vol. 4, no. 1 sukwanto, b., & siregar, t. (2010). pelaksanaan putusan arbitrase internasional di indonesia. jurnal mercatoria, 3(1) wibowo, b. r. (2004). arbitrase sebagai alternatif penyelesaian sengketa perdagangan di indonesia (doctoral dissertation, universitas airlangga). wibowo, b. r. (2004). arbitrase sebagai alternatif penyelesaian sengketa perdagangan di indonesia (doctoral dissertation, universitas airlangga). *** https://journal.unnes.ac.id/nju/index.php/jpcl/index 200 adinda available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index declaration of conflicting interests the authors state that there is no conflict of interest in the publication of this article. funding information none acknowledgment none. history of article submitted : may 20, 2021 revised : july 1, 2021 accepted : july 4, 2021 published : november 28, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index attention required! | cloudflare please enable cookies. sorry, you have been blocked you are unable to access unnes.ac.id why have i been blocked? this website is using a security service to protect itself from online attacks. the action you just performed triggered the security solution. there are several actions that could trigger this block including submitting a certain word or phrase, a sql command or malformed data. what can i do to resolve this? you can email the site owner to let them know you were blocked. please include what you were doing when this page came up and the cloudflare ray id found at the bottom of this page. cloudflare ray id: 7fbf247ffe5220cd • your ip: click to reveal 129.74.145.123 • performance & security by cloudflare jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 167 comparative study of alternative settlements in indonesia and timur leste salsabila fakhriyyah arraidah faculty of law, universitas negeri semarang, indonesia salsabilafakh24@students.ac.id submitted: may 25, 2021 revised: july 20, 2021 accepted: july 21, 2021 abstract alternative dispute resolution (adr) is a procedure in community practice which then gets recognition in the eyes of the law to settle a case between two or more parties by way out of court in a formal manner (litigation). adr is considered to have more advantages, including easy, cheap, and fast, so it is more efficient and effective than solving cases in court. this paper aims to examine the existence of adr in legal practice in indonesia with a comparative review of the state of timor leste. the results of this paper reveal that compared to timor leste which is still new, indonesia has first implemented adr practices within a formal legal framework. timor leste actually also uses the adr scheme in its daily community practice, but its implementation takes into account the elements of custom and society rather than the legal norms. in this article, the author uses a normative legal research method or literature study and uses a comparative approach. keywords: alternative dispute resolution; indonesia; timor leste introduction in the form of business and economic activities, there are often conflicting desires between each actor. in addition to conflicts of differing views, problems can also occur in the form of default or non-fulfillment of obligations in the engagement, abuse of power, to mailto:salsabilafakh24@students.ac.id jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 168 internal company policy issues. if the problem is not handled properly, it is not impossible that it will result in a business dispute1. disputes are not resolved due to these obstacles can cause the company's economic activity to stall. this can also have an impact on the development of economic development to become inefficient, decrease productivity, and increase production costs. in order to avoid further losses to the company, it is fitting that disputes be resolved immediately. conventionally, company disputes are resolved through general justice schemes, also known as litigation channels. this settlement is not recommended because of the lengthy process and the bureaucracy that is convoluted, especially the high costs incurred due to the lengthy process of the proceedings. therefore, the business world is also familiar with alternative dispute resolution (adr)2. as the name implies, alternative dispute resolution is a service offered by legal institutions for dispute resolution options outside official public channels. the basic principle of settlement of this route lies in the approval and availability of the disputing parties to make a settlement without using a trial. the main purpose of settlement with this method is to provide a win to win solution in which the needs of all parties are met3. alternative dispute resolution is one of the steps to resolve problems arising from business disputes through steps outside the court (litigation). the fact that adr is more in demand than litigation measures cannot be separated from its simplicity and process which does not require time and bureaucracy. in addition, adr is preferred because it can provide a win to win solution where there are efforts to facilitate the needs of all the disputing parties, so it is hoped that the outcome of this adr is the voluntary acceptance of all parties. therefore, adr must in fact provide fast, effective, and efficient service in resolving business disputes. 1 pamolango, jessicha tengar. "tinjauan yuridis terhadap kewenangan arbitrase dalam penyelesaian sengketa." lex administratum 3.1 (2015). 2 sariono, joko nur, and agus dono wibawanto. "penyelesaian sengketa bisnis melalui alternative dispute resolution (adr)." perspektif 11.3 (2006): 245-257. 3 mamudji, sri. "mediasi sebagai alternatif penyelesaian sengketa di luar pengadilan." jurnal hukum & pembangunan 34.3 (2017): 194-209. jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 169 the discoveries in the world of business law help people in dealing with issues around policy and their application in the practice of everyday life. one of the problems encountered in the business world is dispute resolution. the settlement route is expensive, bureaucratic, and tends to be inefficient, making the existing litigation (court route) unattractive. this use of the litigation route is taken when there is no other way to resolve the dispute. therefore, another alternative was born to solve the problems that befell business people and the economy through certain methods outside the court (nonlitigation)4. many considerations are needed in the company's economic activity before choosing what steps will be used in resolving the dispute it experiences. for example, company a which is experiencing bad credit and is being hunted down to pay its bills to company b, of course, must consider the economic condition of the company as well. companies will clearly prefer which settlement they are economically advantageous about. this is in accordance with the main principle in conducting business, namely seeking the maximum profit using the smallest capital. adr answers these needs with an easy, fast, and efficient process. although in reality some adrs tend to require expensive capital such as arbitration, but the benefits obtained during proceedings in adr tend to be more than using the litigation route. therefore, adr is very popular in developed countries5. there are various types of adr. some of the most well-known of these are negotiation, mediation and arbitration. these three methods are most widely used throughout the world because of their good capacity in resolving business disputes6. there are many forms of adr that disputants can take. most of these are steps to find a win-to-win solution so that all parties involved are expected to profit. the adr broke through the formal walls of the trial, where the decisions produced by the proceedings were always win 4 muskibah, muskibah. "arbitrase sebagai alternatif penyelesaian sengketa." jurnal komunikasi hukum 4.2 (2018): 139-149. 5 ariani, nevey varida. "alternatif penyelesaian sengketa bisnis di luar pengadilan." jurnal rechts vinding: media pembinaan hukum nasional 1.2 (2012): 277-294. 6 soemartono, gatot p., and p. gatot. mengenal alternatif penyelesaian sengketa dan arbitrase. jakarta: universitas terbuka, 2014 jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 170 to-lose so that one of the parties would be forced to carry out the resulting demands. for this reason, adr is the right solution and is preferred by business actors in disputes, before thinking about using litigation or trial channels. basically, no economic actor wants a dispute to occur. however, in any relationship activity between individuals, individuals and institutions, or between institutions, differences can always occur at any time. these differences can be in the form of differences of opinion, differences in views, differences in attitudes, different interpretations, and so on, which lead to disputes if they cannot be resolved. these disputes became known as disputes. forms of dispute resolution through non-litigation channels or adr are usually carried out by discussing differences that arise between the parties to achieve common goals and agreements in accordance with their respective wishes. the settlement of the dispute depends on how management is able to eliminate differences of opinion between the parties to the dispute. when an agreement to reconcile has been reached, the parties then agree to bind to the agreement as a result of the settlement of the dispute. alternative dispute resolution or adr has since become a known practice worldwide. the globalization of the world community which increasingly opens up exchange opportunities across countries is the main factor in how the adr trend can be popular among various circles between countries. so, what is the basis that differentiates the implementation of adr in each country if each adr has the same concept, namely to both resolve cases through alternative procedures outside the formal trial? this legal writing was carried out in order to provide a study on the differences in the implementation of adr activities between countries. in this case, the author will take an example to compare it with the application of the adr procedure in indonesia, namely the country of timor leste. the main purpose of writing this law is to provide an overview of the differences in the implementation of adr in countries other than indonesia itself, and therefore it will also be found that correlations will also be related to the implementation of adr in a scope between countries with different jurisdictions. jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 171 method this research uses a literature study using existing legal materials. the legal materials are in the form of statutory regulations and concepts regarding alternative dispute resolution. legal materials are analyzed systematically and comprehensively. results and discussions implementation of alternative dispute resolution in indonesian legal practices the existence of adr in indonesia is a solution to the problems of domestic judicial procedures which have been deemed ineffective and efficient, especially for business cases that require time and cost efficiency. harahap (1997) provides a critique of the court system that occurs in several countries, one of which is indonesia, where dispute resolution in judicial procedures has several shortcomings, including 1) slow dispute resolution; 2) the court fees incurred are expensive; 3) generally unresponsive judicial practices; 4) the ability of judges who are generalists. therefore, adr is here to be able to provide choices) for business people in litigation without the need to use these complicated and inefficient judicial procedures7. the presence of adr in indonesia itself is not without a legal basis. the provision of a juridical basis for this practice aims to provide validity in a practical position for the settlement of disputes it carries out. within the framework of a rule of law, especially in accordance with the legal system adopted by indonesia itself, the practice of adr is felt to have juridical legitimacy, and therefore several laws and regulations are regulated to fulfill it. there are several laws and regulations that provide a legal basis for the practice of adr in indonesia itself, among others8: 1. law number 48 of 2009 concerning judicial powers; 7 dinna, aditya. "penyelesaian sengketa perbankan melalui mediasi, mneurut uu nomor 21 tahun 2011 tentang otoritas jasa keuangan. lex et societatis 5.6 (2017). 8 ibid. jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 172 2. the civil code (kuhperdata) article 1851; 3. law number 30 of 1999 concerning arbitration and alternative dispute resolution; 4. law number 5 of 1968 concerning indonesia's agreement on the icsid convention (international convention on settlement of investment disputes between states and national of other states); 5. presidential decree number 34 of 1981 concerning recognition and implementation of foreign arbitration awards in indonesia; 6. regulation of the supreme court of the republic of indonesia (perma ri) no. 1 of 1990 concerning procedures for implementing foreign arbitration awards in indonesia; 7. supreme court rules number 1 of 2016 concerning mediation procedures in courts; the first legal basis for implementing adr in indonesia is law number 48 of 2009 concerning judicial power (law on justice). this regulation, which is actually intended to regulate judicial and judicial practices in indonesia, also has the substance of adr, in which article 5 states that judges and constitutional judges are obliged to explore, follow, and understand legal values and a sense of justice in life in society. with this provision, it opens up the opportunity for case resolution by other means outside the court, as long as the parties choose it and believe that the process for settling the case they choose is fair. in article 3 paragraph (1), it can also serve as a guide for the parties to be able to resolve dispute cases without going through a judicial process, and the parties are free to choose what form / instrument of adr to use as long as both parties mutually agree9. in the article 10 of the justice law also provides the basis for regulating the judicial process by trying to settle civil cases in a peaceful manner, both inside and outside the court. this article was then reaffirmed by the presence of articles 58-61 of the justice law, which stipulates that civil dispute resolution efforts can be carried out outside the state court through arbitration or alternative dispute resolution. as is well known, arbitration itself is a form of adr. apart from arbitration itself, there are several other options in dispute resolution, including consultation, negotiation, mediation, conciliation, or expert judgment. 9 albar, andi ardillah. "dinamika mekanisme alternatif penyelesaian sengketa dalam konteks hukum bisnis internasional." otentik's: jurnal hukum kenotariatan 1.1 (2019): 18-32. jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 173 this choice must be stated in a written agreement, and the outcome of the adr process of the parties in the case is final and binding on the parties to the implementation based on good faith (article 60)10. in chapter xviii, articles 1851-1864 of the civil code (kuhperdata) also regulates dispute resolution through adr. in article 1851, it is said that, "peace is an agreement in which both parties by handing over, promising or holding an object, terminate a pending case or prevent a case from arising". peace here refers to the settlement of disputes in which both parties voluntarily end the case that occurs between the two of them, thus it is no longer possible to have further legal remedies. this is reinforced by article 1858 paragraph (1) which reads, "all peace has between the parties a power like a judge's decision at the last level". in order to provide a clearer legal basis in regulating adr, the central government of the republic of indonesia then issued law number 30 of 1999 concerning arbitration and alternative dispute resolution (adr law). this law becomes the juridical basis for the settlement of disputes outside the court, especially arbitration, and underlies every procedure in a formal legal framework. in article 1 point 10 it is stated that, "alternative dispute resolution is a dispute resolution institution or difference of opinion through a procedure agreed upon by the parties, namely settlement outside the court by means of consultation, negotiation, mediation, conciliation, or expert judgment". this law also regulates the procedure for resolving disputes outside the judiciary, as follows11: 1. both parties must be based on good faith by setting aside litigation in the district court to resolve disputes that occur between the two; 2. dispute settlement is settled in a direct meeting by the parties within a maximum period of 14 (fourteen) days and the results are stated in a written agreement.; 10 ibid 11 zaman, muhammad rutabuz. "penyelesaian sengketa alternatif (alternative dispute resolution) pada layanan jasa perbankan." miyah: jurnal studi islam 11.1 (2017): 71-78. jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 174 3. if the dispute cannot be resolved, then with the written agreement of the parties to the dispute or differences of opinion then it is resolved through the help of one or more experts or a mediator.; 4. if within 14 (fourteen) days the mediator fails to reach an agreement, or fails to bring the two parties together, then the parties will contact an arbitration institution or an adr institution to appoint a mediator.; 5. within a maximum period of 7 (seven) days after the appointment of the mediator, mediation efforts must have started; 6. dispute settlement efforts are carried out on the principle of confidentiality and within 30 days an agreement must be reached in a written form signed by all parties concerned; 7. the dispute settlement agreement is final and binding and carried out in good faith and must be registered at the district court within 30 days of being signed.; 8. the agreement must be completed within 30 days from registration; 9. if peace efforts cannot be reached, the parties based on a written agreement can submit a settlement effort through an arbitration institution or ad-hoc arbitration. several regulations were deliberately held to provide guidelines for the implementation of adr in indonesia. however, each of these rules has similarities in which elaborating alternative dispute resolution as an attempt to reconcile the desires and positions of the two parties outside the court (litigation). alternative dispute resolution arrangements in timor leste as a country that has not been established that long, timor leste is a little behind in terms of regulating the activities of its citizens in a juridical manner. until now, there is no legal basis specifically designated as a juridical basis for the practice of adr in timor leste. this is still the concern of the state government, especially the related ministry of justice in timor leste, to develop a legal umbrella in the regulation of adr practices in timor leste12. 12 distrito, ba. community dispute resolution in timor-leste: a legal and human rights analysis. counterpart international: timor-leste, 2016 jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 175 conversely, when a semi-public crime is reported, the complainant can withdraw the complaint and / or a judge to try conciliation between the victim and the accused before going to full trial. in such semi-public crime cases, the adr process can be used to fully resolve the problem if the victim chooses to withdraw his complaint from the prosecutor's office. in cases where adr has been used but the case has also been tried in court, the timor leste penal code (articles 56 & 123) recognizes prior reconciliation between the parties as a potentially reducing sentence. this means that any agreement reached through the adr could be considered for reduced penalties if the offender is found guilty of committing a public or semi-public crime13. some agencies are also explicitly empowered under the law to provide adr services. the new statute of the public defenders (stipulations uu no.10 / 2017, articles 3 & 6) authorizes the office of the public defenders to encourage extrajudicial settlement, in matters of mediation, conciliation and arbitration and to participate in conflict resolution processes in court. public. they also have the competence to delegate this power, which they have used in delegating certain ngos to provide mediation on their behalf. in addition, tribal councils (village councils) and, in particular, xefe tribes (village heads), are empowered under the tribal law no. 9/2016 to promote the resolution of disputes that occur in the community. the law does not specify the types of disputes it covers or what adr (mediation or arbitration) modalities tribal leaders should use in settling disputes14. there is no single approach to the use of adr in the timorese community. community members use the various modalities in different orders and ways, as they seek out dispute resolution mechanisms which they consider legitimate, and which will be effective in meeting their needs. the path chosen may involve customary dispute resolution or non-adat adr and may also involve the formal justice system or a combination of the three. the choice of community members is influenced by a variety of factors which are further influenced by their gender identity, among other factors mentioned earlier. 13 ibid. 14 ibid. jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 176 seeing the use of the adr system which was previously used by the indonesian state, timor leste can take the values and systematics of adr in indonesia to be applied in timor leste. to date, there is no legal basis that has been specifically established as a juridical basis for the practice of adr in timor leste. therefore, it can be started with timor leste making laws or legal regulations that specifically regulate alternative dispute resolution. so that the adr system can have permanent legal force. furthermore, it is stated in the timor leste law that whenever there is a public crime, the public prosecutor must conduct a direct investigation. this means that for general crimes, the public prosecutor must continue to investigate and adjudicate a case even though the victim and perpetrator have reached a settlement using the adr process. it is very ineffective. where should when the parties have reached an agreement the judicial process is stopped. if still running, then what is the function of the adr system. the law does not specify the types of disputes it covers or what adr (mediation or arbitration) modalities should be used by tribal leaders to resolve disputes. because the adr systematics in timor leste is still unclear, and does not yet have an independent legal basis, so that this system is not optimally used by tribal leaders in resolving disputes. conclusion compared to indonesia, which has a tidier and more structured legal system specifically to base the practice of adr, timor leste still lags behind in settling disputes outside the court. timor leste still uses customary norms and provisions that exist in the culture of the community to be able to carry out law enforcement based on the principle of finding the right solution to be able to address the interests of all parties in a dispute. this makes timor leste properly concentrated in being able to form laws and regulations that are more established and capable of overseeing every legal activity of its people. jpcl 5(2) (2021) 167-177 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 177 bibliography ariani, nevey varida. "alternatif penyelesaian sengketa bisnis di luar pengadilan." jurnal rechts vinding: media pembinaan hukum nasional 1.2 (2012): 277-294. albar, andi ardillah. "dinamika mekanisme alternatif penyelesaian sengketa dalam konteks hukum bisnis internasional." otentik's: jurnal hukum kenotariatan 1.1 (2019): 18-32 distrito, ba. community dispute resolution in timor-leste: a legal and human rights analysis. counterpart international: timor-leste, 2016 dinna, aditya. "penyelesaian sengketa perbankan melalui mediasi, mneurut uu nomor 21 tahun 2011 tentang otoritas jasa keuangan. lex et societatis 5.6 (2017). mamudji, sri. "mediasi sebagai alternatif penyelesaian sengketa di luar pengadilan." jurnal hukum & pembangunan 34.3 (2017): 194-209. muskibah, muskibah. "arbitrase sebagai alternatif penyelesaian sengketa." jurnal komunikasi hukum 4.2 (2018): 139-149. pamolango, jessicha tengar. "tinjauan yuridis terhadap kewenangan arbitrase dalam penyelesaian sengketa." lex administratum 3.1 (2015). sariono, joko nur, and agus dono wibawanto. "penyelesaian sengketa bisnis melalui alternative dispute resolution (adr)." perspektif 11.3 (2006): 245-257. soemartono, gatot p., and p. gatot. mengenal alternatif penyelesaian sengketa dan arbitrase. jakarta: universitas terbuka, 2014 zaman, muhammad rutabuz. "penyelesaian sengketa alternatif (alternative dispute resolution) pada layanan jasa perbankan." miyah: jurnal studi islam 11.1 (2017): 71-78 jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 155 law enforcement in the field of music in the spotify application program bagus rahmanda faculty of law, universitas diponegoro, indonesia bagus.rahmanda@live.undip.ac.id yuli prasetyo adhi faculty of law, universitas diponegoro, indonesia yuliprasetyoadhi@gmail.com kornelius benuf faculty of law, universitas diponegoro, indonesia korneliusbenuf@gmail.com submitted: august 23, 2021 revised: september 10, 2021 accepted: september 11, 2021 abstract music and songs are one of the areas of intellectual property rights which are protected in article 58 letter (d) of uu number 28 of 2014 about copyright, namely copyright protection for song or music creations with or without text. in this digital era, there are many ways for us to get the music we want through various platforms on the internet such as youtube, joox, spotify, and others. because the means to get music are getting easier now, there are more and more copyright violations against music, ranging from piracy to plagiarism. this study aims to discuss how the copyright law regulates copyright protection in the field of music on the internet and also how the spotify music service platform protects copyright. the research method used is a normative research method; the data analyzed is secondary legal data consisting of primary legal materials, namely copyright law and secondary law materials, namely literature related to research problems. based on the results of the study, it is known that spotify as one of the world's famous song streaming applications has the exclusive right as a copyright licensee to exercise exclusive rights as regulated in article 9 of the copyright law. spotify as a streaming service provider must of course have a license for the music or songs provided in the application through a license agreement with the licensor. keywords: copyright; music; spotify application; law enforcement mailto:bagus.rahmanda@live.undip.ac.id mailto:korneliusbenuf@gmail.com jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 156 introduction music or song is a series of sounds arranged in such a way that in it there are songs, rhythms, harmony, and tones of a sound that comes from various tools that can produce musical rhythms. for some people, music is a necessity that accompanies their days, whether it's while studying, eating, traveling, exercising and even sleeping. there are also many artists around the world who create music that suits the various musical tastes of the wider community, even every year there are many music artists who regenerate in each genre of music1. music has a power that can affect human life. music as a part of culture cannot be separated from the values that live in the society concerned. through this music, we can also learn values, both socio-cultural, moral, spiritual, religious, as well as human interaction in the life of a society. in the old times, our way to get music was by coming directly to music concerts or buying lps or music cds in stores which seemed expensive, difficult to get, and also took up space to store lps or cds of the music. on the other hand, because the physical goods are clearly visible, copyright protection for music is relatively easy compared to nowadays where protection is quite difficult because the way to get music is also easy because there are so many ways to get music2. it is difficult to carry out legal protection of musical works in the current era, because it is influenced by the power of technology. technology has changed musical works into works that have many derivatives, and makes it very easy for everyone to get musical works freely by violating copyright. internet or cyberspace, has presented a new reality of life to the community, namely changing distance and time into something that is not limited. with the internet, everyone can do various activities which in the real world are difficult to do because they are separated by distance. because of the internet, the distance is not an obstacle anymore. a reality that is very far from where we are can be presented in front of us with the internet media. we can 1 lutfi ulinnuha, ‘penggunaan hak cipta sebagai objek jaminan fidusia’, journal of private and commercial law, 1.1 (2017), 85–110. 2 hasbir paserangi, ‘perlindungan hukum hak cipta software program komputer di indonesia’, jurnal fakultas hukum uii, 18.1 (2011), 20–35. jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 157 do business transactions, chat, shop, study and various other activities just like in real life3. in addition to bringing many benefits, sometimes the internet also has negative impacts such as the spread of computer viruses through the internet network, criminal acts committed by the community such as online gambling, pornography which can be accessed freely by the public and also to the field of intellectual property rights, especially song copyrights which can be easily downloaded through the internet4. song is one of the areas of intellectual property rights which are protected in article 58 letter (d) of uu number 28 of 2014 about copyright, namely copyright protection for song or music creations with or without text. as protected by uu no. 28 of 2014 concerning copyright, songwriters have the right to moral rights as well as economic rights to their creations. moral rights are rights that are automatically obtained by a creator of his creation. while this economic right is needed as a form of appreciation or value for the creativity of his creation in the form of a song that can be enjoyed by the public or people when listening to it. this means that the creator has the right to moral rights and economic rights from songs that are enjoyed by the community5. in this digital era, there are many ways for us to get the music we want, from listening to music at music concerts directly, listening to it on various platforms on the internet such as youtube, joox, spotify, and others. because the means to get music are getting easier, there are also more violations in the field of copyright against music, ranging from piracy to plagiarism. therefore, the protection of copyright in the field of music really needs to be reviewed. a creation made in digital form is indeed very easy to duplicate and the result of the act is also almost indistinguishable from the original. in addition, now people can make modifications or changes to the results of the copy which can then be distributed throughout the world at almost no cost. on the one hand, for almost everyone this certainly makes it very easy to violate the copyrights of others on a very large scale, but on the other hand it is 3 habi kusno. “perlindungan hukum hak cipta terhadap pencipta lagu yang diunduh melalui internet”. jurnal fiat justisia. vol.10 no.3. 201, page 490. 4 ibid 5 ibid jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 158 not easy for creators as copyright owners to be able to find out if an infringement has occurred or to take legal action. this article will discuss how the law regulates copyright protection in the field of music on the internet and also how the spotify music service platform protects copyright. the occurrence of acts of copyright infringement on a created song that is carried out at the present time, because it is easy for us to access the internet to get a created song by all means, ranging from legal methods according to legislation and illegal ways such as piracy of songs created and others. therefore, it is necessary to discuss further on how a song service provider platform on the internet protects the copyright of the songs created on the platform. the focus of this study is on how copyright infringement by spotify service providers is and how law enforcement is for spotify service providers. research methode the method used in this study is a normative legal research, namely library law research which refers to the legal norms contained in the legislation6. this approach is carried out by reviewing all laws and regulations related to the legal issue being handled7. in legal research, there are several approaches, with the approach of getting information from various aspects regarding legal issues that will be sought for answers. results and discussions copyright infringement by spotify service providers basically, copyright is a right owned by legal subjects over their creations. the creations can be in the fields of science, art, and literature. especially in artistic works which include song and/or music copyrights, there are two kinds of rights, namely moral rights and economic rights8. regarding economic rights, they are further divided into 2 (two) namely 6 soerjono soekamto and sri mamudji, (2006), penelitian hukum normatif: suatu tinjauan singkat, jakarta: rajawali press, page 23. 7 peter mahmud marzuki, penelitian hukum, jakarta: kencana prenada media group, 2011, page 93 8 habi kusno, ‘perlindungan hukum hak cipta terhadap pencipta lagu yang diunduh melalui internet’, fiat justitia, 10.3 (2016), 489–502. jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 159 mechanical rights relating to the reproduction of songs and/or music on cassettes, compact disks, laser disks, etc., and performing rights which are related to the activity of playing a copyrighted song and/or music, for example singing a song or playing a cassette in a public place for commercial purposes. spotify is a digital music, podcast, and video service that gives you access to millions of songs and other content from creators around the world. one well-known music streaming company, spotify, was sued by wixen music publishing in 2018 for allegedly using songs without a license agreement and compensation to the publisher of the music. it does not have a direct license or mandatory license from wixen that allows the company to reproduce and distribute the songs. this can be said as a form of violation of performing rights activities aimed at announcing commercial purposes, which will definitely bring benefits to the company owner. authentically, uu no. 28 of 2014 has formulated that what is meant by announcement is reading, broadcasting, exhibiting a work using any means, whether electronic or non-electronic or doing so in any way so that a work can be read, heard, or seen by others. from a civil perspective, performing rights can be viewed from the perspective of granting licenses to users in the form of licensing agreements. this is in line with copyright as an exclusive right and economic right, where the creator or copyright holder has the right to give permission to other parties to publish their creations and granting such permission cannot be separated from the problem of profits from the use of their copyright. the granting of permission from the creator or copyright holder to another person is called a license. license comes from the latin, namely licentia9. in this language, a license can be interpreted as a form of permit that is used in certain cases and is contained in a certain deed based on an agreement which basically contains the agreement and the rights and obligations of both parties. licensing is a form of granting permission to utilize an intellectual property right, which can be granted by the licensor to the licensee so that the licensee can carry out a form 9 roeslan saleh, seluk beluk praktis lisensi, sinar grafika, jakarta, 1991, page 1 jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 160 of business activity, either in the form of technology or knowledge that can be used to produce, produce, sell or market certain goods, by using the licensed intellectual property rights. for this purpose, the licensee is required to provide a performance contract in the form of royalty payments known as license fees10. from the point of view of the aspect of criminal law, song and/or music copyright regarding performing rights is the use of songs and/or music without permission from the author and/or the legal copyright holder. criminal provisions relating to copyright infringement of songs and/or music in the field of performing rights are contained in article 113 paragraph (1) to paragraph (3) of uu no. 28 of 2014 about copyright. the undeniable fact is that the creator has enriched the user community through his creative work, so that the creator has a fundamental right to receive compensation commensurate with the value of his contribution. so in that case, one of the obligations of the licensee for the announcement of songs and/or music is payment of a sum of money to the licensor which is commonly referred to as a royalty (license fee). royalties are a form of payment made to copyright owners or performers for not using their ownership11. in relation to the payment of royalties as a consequence of copyright in songs and/or music as an exclusive right, it can also be argued that this is an embodiment of the economic rights contained in copyright, namely the right to obtain economic benefits from the creation. quoted from spotify official website, the spotify copyright policy section explains that "spotify respects intellectual property rights and expects its users to do the same. if you are the copyright owner or agent, and you believe that any of the copyrighted material directly available on spotify violates your copyright, please let us know” 12. spotify itself does provide a means of complaint both online through the form they include on their official website page, as well as the address where a complaint can be filed if there is an alleged violation that occurs in their streaming application. however, spotify does not clearly 10 gunawan widjaja, seri hukum bisnis, lisensi, pt. rajagrafindo persada, jakarta, 2003, page 10-11 11 hendra tanu atmadj. 2003. perlindungan hak cipta musik atau lagu di indonesia. jurnal hukum & pembangunan. vol. 33 no. 2, page 293. 12 spotify.com, legal copyright policy jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 161 explain what steps they will take to resolve a matter if a violation is indeed justified other than terminating the account of the user who is suspected of committing the violation. in fact, it was spotify itself that committed the offense and was reluctant to respond to the allegations levelled against them13, but was willing to pay damages to settle a proposed joint lawsuit alleging it did not pay royalties for some of the songs it provided to users. the occurrence of copyright infringement in music streaming applications is indeed increasingly difficult to detect in the online world distribution flow, then it has an obligation to fulfil and comply with the requirements of the applicable laws and regulations, namely ensuring that there is legal security for all related subjects as a service provider. spotify as a streaming service provider must of course have a license for the music or songs they provide in the application as previously explained through a license agreement with the licensor. under the law, it will be the licensee who will have its own rights and obligations after the agreement is concluded. obligations that must be adhered to for the licensee or in this case the spotify company, include: 1. the licensee is obliged to pay a certain amount of royalty money. paying royalties is a top priority obligation of the licensee. what is often questioned is how much and how the royalty payments should be made. there are several ways of paying royalties that are often used in the practice of licensing agreements, including: (i) lump sum payment, (ii) instalment payment, (iii) fixed annual payment, (iv) running royalties: (a) percentage basis, (b) fixed sum per unit sold, (v) minimum royalty payment, (vi) maximum royalty payment, (vii) payment paid up clause. each method uses a technical calculation formula. other issues related to royalties are (a) from when the royalties have to be paid, (b) whether the royalty payments are free from tax payments, (c) whether late payments of royalties will be subject to interest and/or sanctions. 2. the licensee is basically burdened with the obligation to use the rights obtained from the license agreement. except in certain cases, for example (i) if the licensee agrees to pay a 13 reuters. 2018. “spotify dituntut $1,6 miliar atas pelanggaran hak cipta” https://www.voaindonesia.com/a/spotify-dituntut-1-koma-6-miliar-dolar-atas-pelanggaran-hakcipta/4190189.html (june, 24, 2021) https://www.voaindonesia.com/a/spotify-dituntut-1-koma-6-miliar-dolar-atas-pelanggaran-hak-cipta/4190189.html https://www.voaindonesia.com/a/spotify-dituntut-1-koma-6-miliar-dolar-atas-pelanggaran-hak-cipta/4190189.html jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 162 certain minimum amount of royalties regardless of whether he will exercise his rights or not, (ii) in the case of a non-exclusive license agreement, such obligations are not required of the licensee. 3. the licensee is also obliged to (a) not to disclaim the licensed rights, (b) the obligation not to compete, (c) the obligation to maintain confidentiality, (d) the obligation to maintain the quality of the product, and (e) the obligation to fulfil and comply with the requirements. the requirements of the applicable laws and regulations14. after the emergence of cases of alleged violations of using thousands of songs without a license and compensation to music publishers, unfortunately spotify has not updated the protocol and preventive measures that can be applied if this happens again other than confirming that they will be more thorough in investigating related cases. learning from cases of license violations in the past, the violations committed certainly do not need to occur in the online music streaming industry and should not happen again in the future if the existing regulations are implemented strictly and there are additional regulations that reduce loopholes in the online service provider industry. spotify service provider law enforcement system the indonesian government has accommodated everyone who wants to protect their creations, especially in the field of copyright as stipulated in the laws and regulations, namely uu no. 28 of 2014 about copyright (hereinafter referred to as the copyright law). as regulated in article 40 paragraph (1) of the copyright law, a person's creations that are protected can be in the form of science, art, and literature such as books, pamphlets, lectures, speeches, songs, music instruments, paintings, photography, interpretations, adaptations, computer programs, and several other works. legal protection for copyrights, especially musical works or songs, is given to the creator. in article 1 point 2 of the copyright law it is explained that the creator is a person or several people who individually or jointly produce a work that is unique and personal. 14 sumantoro, masalah pengaturan alih teknologi, edisi pertama, cetakan i, penerbit alumni, bandung, 1993 page 69-70 jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 163 according to article 1 point 4, those who can become copyright holders are the creators as copyright owners, other parties who receive the rights legally from the creators, or other parties who further receive rights from the parties who receive the rights legally. the creator of the song or music can register his creation to the directorate of copyright and industrial design in accordance with the provisions of article 64 paragraph (1) of the copyright law. the recording of the work to obtain this copyright is not mandatory, because the principle of this copyright itself arises automatically when the work is announced or manifested in a tangible form (automatic protection). nowadays, we can listen to music or songs from any creator wherever and whenever we want. this can happen because of the development of a new technology that we call streaming. streaming is the sending of data in the form of video or audio content to electronic devices such as computers or mobile phones through constant internet transmission. in streaming activities, users have an alternative to be able to watch live or listen directly to streaming shows and services to watch later by downloading the file first15. currently, one of the most widely known song streaming applications in the community is spotify. when streaming, there is a broadcasting activity of a work using electronic media (gadgets and personal computers) so that other people can listen to the work of the song, this is included in the form of announcement of copyrighted works as stipulated in article 1 number 11 of the copyright law, which reads: “announcement is the reading, broadcasting, exhibition, of a work by using any means, whether electronic or non-electronic, or doing so in any way so that a work can be read, heard, or seen by others.” article 9 of the copyright law states that the creator or copyright holder has the economic right to publish the work, copy the work, and others, one of which is the right to announce the work. the song streaming system on spotify is an exclusive right held by the copyright or copyright holder. because of these exclusive rights, other people cannot announce copyrighted works without permission from the creator or copyright holder. 15 austerberry and david, the technology of video and audio streaming, (burlington: focal press, 2005). page 134 jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 164 in the spotify application, users can upload song works into the application. after uploading, there will be a legal relationship between the spotify service provider and the uploader which will be determined in an agreement. the agreement is the spotify terms and agreement which basically explains that if the user does not agree to the things stipulated in the terms and agreement, the user may not use the spotify streaming application service. this means that the uploader has agreed to the related matters stipulated in the terms and agreement. the legal relationship between the user who uploads the song containing the copyright and the creator and/or copyright holder and/or heir whose rights have been violated is a bond that arises because of the law; this is in accordance with article 1352 of the civil code. works that have been uploaded to spotify already contain copyright in it where if there is such a thing is detrimental to the creator and/or copyright holder and/or his heirs. article 10 copyright states: “the manager of a trading place is prohibited from allowing the sale and/or reproduction of goods resulting from infringement of copyright and/or related rights in the trading place they manage.” so, the legal relationship above is a bond that arises from the legislation in article 1352 bw. in an effort to overcome the occurrence of copyright infringement, dispute resolution through alternatives is prioritized. as regulated in article 95 paragraph 1 of the copyright law, which reads "copyright dispute resolution can be done through alternative dispute resolution, arbitration, or court". settlement of disputes in alternative settlements is based on good faith to the exclusion of litigation in the district court. the dispute resolution is carried out by holding a direct meeting between the disputing parties. the scope of arbitration and alternative dispute resolution is also regulated in article 5 paragraph 1 of the law on arbitration and alternative dispute resolution, namely: (1) disputes that can be resolved through arbitration are only disputes in the trade sector and regarding rights which according to laws and regulations are fully controlled by the disputing parties. jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 165 (2) disputes that cannot be resolved through arbitration are disputes which according to the laws and regulations cannot be reconciled. according to the explanation of article 66 letter b arbitration and alternative dispute resolution, what is meant by the scope of trade law are activities in the fields of commerce, banking, finance, investment, industry, and intellectual property rights16. the creator or copyright holder, who knows that his copyright has been infringed, can take legal action. liability according to peter mahmud marzuki refers to the position of a person or legal entity that is deemed to have to pay a form of compensation or compensation for having committed an unlawful act that causes harm to the other person or legal entity17. in the event of a loss due to copyright infringement, the creator or copyright holder has the right to file a civil lawsuit, as well as criminally prosecute as stated in article 105 of the copyright law. another thing that needs to be considered is the provision in article 120 of the copyright law which states that a criminal act in the copyright law is a complaint offense. where the complaint offense is clearly stated, this crime can only be prosecuted if there is a complaint from the interested party. in this case, it is the creator, copyright holder, and/or their heirs. conclusion spotify as a streaming service provider must of course have a license for the music or songs they provide in the application as previously explained through a license agreement with the licensor. however, in 2018, it was sued for not having a direct license from wixen that would allow the company to reproduce and distribute the songs. this can be said as a form of violation of performing rights activities aimed at announcing commercial purposes, which will definitely bring benefits to the company owner. the indonesian government has accommodated everyone who wants to protect their creations, especially in the field of copyright as stipulated in the laws and regulations, namely 16 explanation article 66 letter b of law no 30 of 1999 concerning arbitration and alternative dispute resolution. 17 paulus aluk fajar dwi santi, “mempertanyakan konsepsi tanggung gugat”. 2016. jurnal binus university jpcl 5(2) (2021) 155-166 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 166 uu no. 28 of 2014 about copyright. spotify as one of the world's famous song streaming applications has the exclusive right as a copyright licensee to exercise exclusive rights as regulated in article 9 of the copyright law. bibliography articles, books and journals atamdja, h. (2003). perlindungan hak cipta musik atau lagu di indonesia. jurnal hukum dan pembangunan, 293. austerberry, & david. (2005). the technology of video and audio streaming. focal press (p. 134). burlington. hasbir paserangi, ‘perlindungan hukum hak cipta software program komputer di indonesia’, jurnal fakultas hukum uii, 18.1 (2011), 20–35. kusno, h. (2016). perlindungan hukum hak cipta terhadap pencipta lagu yang diunduh melalui internet. jurnal fiat justitia vol. 10 no. 3, 490. lutfi ulinnuha, ‘penggunaan hak cipta sebagai objek jaminan fidusia’, journal of private and commercial law, 1.1 (2017), 85–110. reuters. (2018, januari 3). spotify dituntut 1,6 miliar dollar atas pelanggaran hak cipta. retrieved maret 16, 2021, from voa indonesia: https://www.voaindonesia.com/a/spotify-dituntut-1-koma-6-miliar-dolar-ataspelanggaran-hak-cipta/4190189.html saleh, r. seluk beluk praktis lisensi. jakarta: sinar grafika, 1991 santo, p. mempertanyakan konsepsi tanggung gugat. jurnal binus university, 2016 sumantoro. masalah pengaturan alih teknologi. bandung: penerbit alumni, 1993 widjaja, g. seri hukum bisnis. jakarta: pt rajagrafindo persada, 2003. laws and regulations republic of indonesia. uu number 28 of 2014 about copyright. state gazette of the republic of indonesia of 2014 number 266. republic of indonesia. uu number 30 of 1999 about arbitration and alternative dispute resolution. state gazette of the republic of indonesia of 1999 number 138. jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 95 the implementation of legal protection and law enforcement on royalty management of government regulation number 56 of 2021 febri noor hediati faculty of law, universitas mulawarman, samarinda, indonesia febrinoorhediati@fh.unmul.ac.id submitted: august 29, 2021 revised: october 5, 2021 accepted: october 8, 2021 abstract this article examines government regulation number 56 of 2021 concerning the management of royalties on song/music copyrights. this writing uses a normative juridical approach. this normative juridical approach is employed based on the statutes of black letter law and the conceptual method. the study employed a qualitative approach in analyzing the practice of law enforcement and protection on royalty. the result of the study shows numbers of illegal activity on covering and music production still occurred in indonesia. it inflicts a financial loss to the creator. therefore, the directorate general of intellectual property right issued regulation number 56 of 2021 to encourage the music industry, improve the welfare of creators, and provide greater benefits for songwriters or composers and production. it requires cooperation between the directorate general of intellectual property rights, lmkn, creators/owners of related rights, and the public who enjoy commercial songs/music. moreover, a strict penalty will be imposed on those who violate or deny paying the stipulated royalty. keywords: copyright; legal protection; royalty management; music; song introduction this section discusses the purposes of the study or research problems, the contribution to knowledge, and research gap. please state them clearly in the beginning paragraph supported by related theories in the next paragraphs. introduction to conclusion should be 4.000 – 5.250 words. mailto:febrinoorhediati@fh.unmul.ac.id jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 96 every human being has different abilities, character, personality, and intellectual intelligence from one and another. intelligence quotient is an inborn trait possessed by humans in the form of the ability to produce a mindset to work. it can be improved to make it sharper in thinking. intelligence quotient creates ideas that can be integrated into works such as art, literature, science, aesthetics, and technology that can obtain protection called intellectual property rights. intellectual property rights (ipr) is an appreciation given by the state for the hard work and thoughts of people who have produced a new work or invention. so that they are entitled to exclusive rights and legal protection for their work.1 the resulting works are not only tangible objects but include intangible objects such as songs. intellectual property consists of copyright and industrial property rights. according to article number 1 of law number 28 of 2014, copyright is the exclusive right of the creator automatically given to the creator based on the declarative principles after work is realized in a tangible form without reducing restrictions by the provisions of laws and regulations. if the idea can not be expressed in real work, then there is no legal protection. trips also supports the idea in article 9 paragraph 2 and article 41 of law number 28 of 2014. music and song are real examples of how a great idea is created into the lyrics, and it is still enjoyable with or without a lyric. music or songs are always enjoyable for people of different ages. some people might feel life is difficult without music. in the created music/songs, there are 2 (two) inherent rights, namely moral rights, and economic rights. moral rights are rights inherent in songwriters so that they are eternal and cannot be transferred. while economic rights are intended for copyright holders in order to commercialize the music/song. so that the creator can fully hold the copyright to commercialize their works. moreover, the creator can transfer his economic rights to another party. commercialization of the copyright transfer can be in the form of grants, inheritance, endowments, wills, assignments, and licenses. all forms of copyright commercialization are related to royalties. royalty is a reward for the use of 1 achmad, atiekah, and kholis roisah. "status hukum ghostwriter dan pemegang hak cipta dalam plagiarisme menurut undang-undang hak cipta." jurnal magister hukum udayana (udayana master law journal) 9.2 (2020): 429-447. jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 97 economic rights of work or product received by the creator or the owner of the related rights. with regard to royalties, many cases of piracy or covering songs/music that are conducted without legal permission from the composers and authors of the songs. in this case the creators who hold the licence are aggrieved because the songs should be enjoyed by the public and for entertainment purposes without harming any party. by analyzing the problem arises in this field, the government recently approved the government regulation number 56 of 2021 was recently passed which regulates the management of royalties for song/music copyrights on march 30, 2021. it is expected that this can be solution for those music actors. in addition, the role and firmness of the government is very much needed in enforcing this regulation, which will lead to pros and cons in the community. at some point by employing this regulation the right of songwrites is protected by the law. on the other hand, consumers and entrepreneurs have to add more budget to enjoy the song. it is also expected that this regulation could increase legal protection and law enforcement by reducing fraud against plagiarism, so it can provide the economic rights of songwriters accordingly. the song writers itself can be appreciated through rewarding. the regulation can also encourage the emergence of new songwriters. this government regulation number 56 of 2021 pays more attention to songwriters who produce a work. on the other hand, what is highlighted in the regulation is the use of commercial public services such as in performances, announcements of creations, and communication of creations. so any commercial that uses the song or music is required to pay royalties to the copyright holder, or the owner of the relevant rights through a collective management agency. a collective management institution is a non-profit legal entity institution, which is authorized by the creator, copyright holder, or related rights owner whose function is collecting and distributing royalties from places that are used as commercial public services, including seminars, commercial conferences, restaurants, pub, bar, bistro, nightclub, discotheque, music concert, aircraft, bus, trains, ocean liner, exhibition, bazaar, cinema, telephone waiting, bank, office, shops, leisure center, television broadcaster, institution radio broadcasting, hotels, hotel rooms, hotel facilities, and karaoke businesses. jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 98 with the enactment of this government regulation, many parties, including songwriters, the public, or even the owners of public service places, have been in the spotlight, giving rise to various pro and con reactions. through this is used as the basis for writing articles about the urgency and how problematic the implementation of government regulation number 56 of 2021 is, including: (1) how is the royalties management on the song or music copyrights and legal protection in government regulation number 56 of 2021?; (2) how is law enforcement on the ratification of government regulation number 56 of 2021? method based on the problems above, an appropriate method is needed to serve as a guide in studying the object to be studied. ronny hanitijo stated that research generally aims to develop or test the truth of the research.2 methods are a way to solve problems or how to develop knowledge using the scientific method. 3the approach method used is a normative juridical approach. this normative juridical approach is employed based on the statutes of black letter law and the conceptual method. 4 soerjono soekanto defined the normative juridical approach as legal research by examining library materials or secondary data as a basis of research by searching for regulations and literature related to the problems studied.5 the study used secondary data, where the data is employed to answer the research question of this article through a literature study. the primary legal data of the research are collected from the laws and regulations in the field of copyright and in the meantime the secondary data consists of expert's opinions and doctrines contained in legal books. the results of the research are used to explain primary legal materials and secondary materials are obtained by employing document studies by studying books, literature, and papers. tertiary material retrieves through searching data from the internet, opinions published in magazines and 2 soemitro, ronny hanitijo. metode penelitian hukum. jakarta: ghalia indonesia, 1998, page 15. 3 jonaedi, efendi and ibrahim johnny. metode penelitian hukum normatif dan empiris. jakarta: prenada media, 2018, page 3 4 ali, zainuddin. metode penelitian hukum, yogyakarta: sinar grafika, 2010, page 89 5 soekanto, soejono and sri mamudji. penelitian hukum normatif (suatu tinjauan singkat). jakarta: rajawali pers, 2001, page 13-14. jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 99 newspapers. research specification is analytical descriptive because this research will reveal the facts and analyze the current legal phenomena.6 therefore, all materials were collected and then analyzed by interpreting and correlating the existing legal materials. data processing as an activity to process and analyze the collected data includes editing, coding and tabulation activities.7 the study used a qualitative approach by analyzing legal theories, while the object of analysis is the practice of implementing protection and law enforcement on royalties after the enactment of government regulation number 56 of 2021. results and discussions management of royalties on the song or music copyrights and legal protection in pp no. 56 of 2021 the scope of copyright regulations involves the creations of all copyrighted works that manifest all work into a song/music. a composer is a person or several people who individually or together produce unique and creative lyrics, tones, or songs. the composer holds the copyright of the song/music, the party who receives the right legally from the composer, or another party holds the rights from the party legally. the composer has the right to get royalties for his musical works or songs. royalty is a reward on the exertion of economic rights of a work or product of related rights received by the composer or owner of the rights. meanwhile, related rights are rights associated with copyright which is rights for performers, phonogram producers, or broadcasting institutions. a performer is a person or persons who individually or collectively display and perform work. a phenogram producer is someone or corporation who d has the responsibility to carry out sound or sound recordings for the first time. broadcasting institutions are broadcasting providers, both public institutions, private broadcasting institutions, community broadcasting institutions, and subscription broadcasting institutions which carry out their duties, functions, and responsibilities following the provisions of laws 6 soekanto, soerjono. pengantar peneltian hukum. jakarta: ui press, 1986, page 10 7 waluyo, bambang. penelitian hukum dalam praktik. jakarta: sinar grafika, 2002, page 51 jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 100 and regulations. in some cases, conducting the copyright transfer to obtain royalties in economic rights can be done through an agreement license. a license consists of permission granting a copyright or related rights holder to another party to exercise economic rights over his creation under certain conditions. so if there are people who want to reproduce commercially and have pocketed a license by the creator or the owner of the related rights, they have legally obtained economic rights. collective management institute is a non-profit corporation that has been authorized by the composer, copyright holder, or related rights owners to manage economic rights in collecting and distributing royalties. the national collective management institute (lmkn) is a non-state budget assistance institution established by the minister based on the copyright act. this lmkn represents the interests of the composer and related rights owners, which consist of the creator lmkn and the rights holder lmkns. collective management institutions must have an operational license based on article 88 (2) : the requirements include: being an indonesian legal entity that is not-for-profit, obtaining power of attorney from the creator, copyright holder, or related rights to collect and distribute royalties, owned at least 200 two hundred) composers for collective management in the field of songs or music and at least 50 (fifty) people for management collectively represent the owners of related rights, able to withdraw, collect and distribute royalties to composers, copyright holders, or related rights of the owners. royalties management procedure royalty is a reward or utilization of economic rights of related rights of work or product received by the creator or the owner of related rights. lmkn manages the royalty based on the integrated data or song center. every public at large can enjoy songs/music commercially to public services by applying for a license agreement to the holder of a copyright or related right through an lmkn intermediary. the obligation of songs/music accompanies the license implementation to lmkn through the music/song information system. it is not only the public who has a license permit required to pay royalties of music/song for commercial purposes but also people who do not jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 101 have a license agreement but enjoy the use of songs/music in public are also required to pay royalties immediately.8 table 1: the amount of royalty rates on analog and digital music issued no. place exclusive right composers 1 restaurant and cafeteria rp. 60.000,-/seat / year rp. 60.000,-/ seat/ year 2 public house, bar, and bistro rp. 180.000,-/ m2/ year rp. 180.000,-/ m2/ year 3 discotheque and nightclub rp. 180.000,-/ year 250.000,-/m2/year 4 ring back tone rp.100.000,-/ call rp.100.000,-/ call 5 bank and office rp. 6.000,per m2/ year rp. 6.000,per m2/ year 6 cinema or theatre lump sum rp. 3.600.000,-/ screen/ year lump sum rp. 3.600.000,-/ screen/ year 7 expo and bazaar lump sum rp. 1.500.000,-/ day lump sum rp. 1.500.000,-/ day 8 flight index passengers fares (0,25 %) x play period during flight x percentage of music usage (10%) index passengers fares (0,25 %) x play period during flight x percentage of music usage (10%) 9 bus, ship and train number of passengers x index rate (0,25%) x play period during flight x audibility (10%) jumlah penumpang x tarif indeks (0,25%) x play period during flight x audibility (10%) 10 commercial radio 0,55 % 0,6 % 11 television broadcasting 0,55 % (the amount of income from previous commercial audited by public accountant x 0,55 %) 0,6 % (the amount of income from previous commercial audited by public accountant x 0, 6 %) 12 outdoor recreation center price of admission x 1,3 % x number of visitors x 300 day x peage of music usage idem 8 https://www.dgip.go.id/artikel/detail-artikel/pp-nomor-56-tahun-2021-atur-royalti-lagu-musik-analogsampai-digital?kategori=liputan-humas jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 102 13 free indoor recreation lump sum rp. 6.000.000,/ year idem 14 karaoke 50 % 50 % socialization of the implementation of government regulation number 56 of 2021 since the end of march 2021, the president ratifies the aim and purpose of providing legal protection to the creator of his economic rights to music or songs from the public who will enjoy the song or music commercially. with this government regulation, at least it can appreciate the creativity of song or music creators by giving royalties. as if regulated in this government regulation to optimize the function of royalty management which is collected by the national collective management. in this government regulation, songwriters pay more attention to their songs. it can be enjoyed by the public in the form of royalties payments. but on the other hand, trading business actors such as cafe owners, karaoke places, hotels, banks and offices, shops, recreation centers must manage their finances and set strategies. so that people are still interested in visiting places of business because the owner of the trading business will indirectly set aside some money submitted as royalty payments. the songs played and enjoyed by visitors to cafes, karaoke, hotels, offices, and offices, commercial, restaurants, pubs, bars, bistros, nightclubs, discotheques, music concerts, airplanes, buses, trains, ships, exhibitions, and bazaars. the director-general of intellectual property builds a data center that has a function for commercial song/music users to find out the copyright owner of the songs or music. then the government is obliged to socialize with all levels of society government regulation number 56 of 2021. this requires extra hard work between the government, songwriters, collective management institutions, and the community. they all must support each other so that government regulations can run according to expectations and the realization of a music industry that has intellectual creativity that is competitive. jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 103 in addition, this government regulation also reaps the pros and cons. from one side, songwriters feel benefited from this regulation, while the owners of businesses or public places have to pay more to pay royalties for the songs they use. however, the community should support government regulations, this is because the song/music industry will rise and indirectly encourage the economy as state income. so that the implementation of government regulations can run well and orderly, the government, namely the directorate general of intellectual property rights, applies strict sanctions if the public does not obey them and violates the regulations. law enforcement upon ratification of government regulation number 56 of 2021 article 54 of law number 28 of 2014 regulates the prevention of copyright and related rights on copyright content: (1) supervision of the creation and dissemination of copyright infringement content and related rights; (2) cooperation and coordination with various parties both from within and outside the country; (3) supervision of the act of recording with any media at the venue. the criminal sanctions for violations of economic rights in article 9 paragraph (1) on copyright include, among others, article 113 of law number 28 of 2014: (1) any person who unlawfully violates the economic right for commercial purposes will be sentenced to a maximum imprisonment of 1 (one) year and/or a maximum fine of rp. 100,000,000 (one hundred million rupiahs); (2) any person who without rights and/or without permission of the author or the copyright holder who violates the economic rights of the author for commercial purposes shall be punished with imprisonment for a maximum of 3 (three) years and/or a fine of a maximum of rp. 500,000,000.00 (five hundred million rupiahs); (3) any person without rights or without permission of the creator or the copyright holder who violates the economic rights for commercial purposes shall be punished with imprisonment for a maximum of 4 (four) years and a fine of a maximum of rp. 1,000,000,000,(one billion rupiah); (4) anyone who fulfills the element of a violation of economic rights by committing a form of piracy shall be sentenced to a maximum imprisonment of 10 (ten) years and a maximum fine of rp. 4,000,000,000,(four billion rupiah). jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 104 conclusion there are several abuses that occur by utilizing the work of songs or music such as piracy, covering songs or music without the permission of the creator or who holds the license for the song/music or even using the work for business purposes without giving royalties to those who are entitled have a big impact on the progress and the development of the music industry in indonesia. so that the government as the regulator has the responsibility to bring order to the problems that arise. this can reduce the enthusiasm of songwriters and musicians to be more creative in creating songs or music. based on the description above, it can be concluded that with the ratification of government regulation number 56 of 2021 concerning the management of royalties on song/music copyrights, it is hoped that it will increase the enthusiasm of indonesian songwriters and grow new songwriters to work. in composing popular songs. because this pp focuses on the welfare of the songwriters by giving royalties. in royalty management, the national collective management institute (lmkn) regulated the data that is integrated into the data/song center. every public at large can enjoy songs/music commercially to public services by applying for a license agreement to the holder of the copyright or related rights. it is hoped that the role of the government will be to carry out massive socialization to songwriters, the general public, and business actors before taking action against violators of this government regulation to avoid polemics that will occur due to the one side benefit from songwriting works. the work created is more rewarded with royalties. on the other hand, entrepreneurs and the public must provide funds for enjoying the song or music. the heaviest threat for violating pp number 56 of 2021 is a maximum imprisonment of 10 (ten) years and a maximum fine of rp. 4,000,000,000, (four billion rupiah). this indicates that the government is serious about improving the welfare of song/music composers and building the music industry in indonesia which has an impact on improving the people's economy. hopefully the government regulations issued are guarded and their implementation is carried out to the maximum in the field as well as the jpcl 5(2) (2021) 95-105 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 105 enforcement of strict actions against violations that arise indiscriminately. so that the noble goal of the legalization of this regulation is achieved to the maximum. bibliography ali, zainuddin. metode penelitian hukum, yogyakarta: sinar grafika, 2010 achmad, atiekah, and kholis roisah. "status hukum ghostwriter dan pemegang hak cipta dalam plagiarisme menurut undang-undang hak cipta." jurnal magister hukum udayana (udayana master law journal) 9.2 (2020): 429-447. jonaedi, efendi and ibrahim johnny. metode penelitian hukum normatif dan empiris. jakarta: prenada media, 2018 soemitro, ronny hanitijo. metode penelitian hukum. jakarta: ghalia indonesia, 1998 soekanto, soerjono. pengantar peneltian hukum. jakarta: ui press, 1986 soekanto, soejono and sri mamudji. penelitian hukum normatif (suatu tinjauan singkat). jakarta: rajawali pers, 2001 waluyo, bambang. penelitian hukum dalam praktik. jakarta: sinar grafika, 2002 https://www.dgip.go.id/artikel/detail-artikel/pp-nomor-56-tahun-2021-atur-royaltilagu-musik-analog-sampai-digital?kategori=liputan-humas jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 106 utilization of social media as a strategy for micro business actors in dealing with the covid 19 pandemic pujiono pujiono faculty of law, universitas negeri semarang, indonesia pujiono@mail.unnes.ac.id dewi sulistianingsih faculty of law, universitas negeri semarang, indonesia dewisulistianingsih21@mail.unnes.ac.id rini fidiyani faculty of law, universitas negeri semarang, indonesia fidiyani.rini@gmail.com submitted: september 12, 2021 revised: october 21, 2021 accepted: october 21, 2021 abstract micro-enterprises, which run their businesses around campus, have been greatly affected by the covid-19 pandemic. the decrease in income from micro business actors occurs because reduced customers due to social distancing and work from home (wfh) policies. the negative impact of the covid-19 pandemic has become a focus for researchers to reveal the impact of the covid-19 pandemic, as well as the efforts made by micro business actors around campus to maintain business continuity. in order to obtain the information and data needed, the researchers used qualitative research methods with empirical juridical approaches. research subjects were selected using purposive random sampling technique. data were collected using in-depth interview techniques. the data that has been collected was analyzed using qualitative techniques with an interactive analysis model. the results of the study show that the negative impact of the covid-19 pandemic is because micro businesses around campus are still using the traditional marketing model, namely marketing from one person to another. this condition requires changes from business actors, to change their business marketing model. changes in business marketing models, it has become a must to take advantage of social media. marketing activities using social media turned out to have a positive impact on increasing omzet sales for micro business actors around campus. microenterprises can carry out their business continuity and maintain their business. social media has become one of the means to change the behavior of business actors in facing the challenges of technological progress. social media is also a solution to face government policies by implementing social distancing. the purpose of this article is to describe the problems faced jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 107 by micro-enterprises around campus in semarang city, central java province, which are experiencing the impact of the covid-19 pandemic and provide solutions for using social media in marketing their products. keywords: covid 19; micro enterprises; omzet; social media introduction the covid-19 pandemic has had an impact on the social, educational, health and economic sectors. the economic impact of the covid-19 pandemic was stated by the minister of finance sri mulyani. the minister of finance, sri mulyani said that there were three major economic impacts in the covid-19 pandemic, namely the impact on household consumption or a decline in people's purchasing power, weakening investment amid the uncertainty of the covid-19 pandemic, and the weakening of the entire world economy which resulted in indonesia's exports stalling. the covid-19 pandemic has also resulted in a decrease in people's activities outside the home, which automatically also causes a decrease in the number of buyers. this has a direct impact on the reduced income from the business carried out1. the covid-19 pandemic has socially resulted in a decrease in community activities outside the home due to social distancing and work from home (wfh) policies. this directly results in a decrease in the income of business actors due to the reduced number of consumers experienced by large, medium, small and micro business actors. the negative impact of the covid-19 pandemic is not only felt by large industries, but also by micro, small and medium enterprises (msmes) in indonesia. with the government's policies trying to overcome the corona-19 pandemic, such as social distancing policies. social restrictions are based on the provisions of government regulation no. 21 of 1 anggun p. situmorang, sri mulyani: corona beri 3 dampak besar ekonomi indonesia, liputan6.com, juni 30, 2020, https://m.liputan6.com/bisnis/read/4292763/sri-mulyani-corona-beri-3-dampak-besar-keekonomi-indonesia. jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 108 2020 concerning large-scale social restrictions (psbb), and presidential decree no. 11 of 2020 concerning the determination of public health emergency. policies to overcome the covid-19 pandemic, such as social restrictions (social distancing), work from home (wfh) and online learning, have resulted in decreased social and economic mobility of the community. this also has negative consequences for business actors around campus, who rely on students as the main consumers, such as boarding businesses, food and beverage businesses as well as photocopying and laundry services as well as stationery and office supplies. these efforts are generally carried out around the campus area with students as consumers. with the implementation of the work from home (wfh) policy, it has a direct impact on their business units. the conditions faced by micro business actors around campus require real solutions in the form of creativity and behavior change from business actors. this is done so that his business can continue to run in order to meet the needs of his daily life. this situation has attracted the attention of researchers to further reveal the strategies used by business actors to maintain their business properly. the conditions faced by micro-entrepreneurs around campus require real solutions in the form of creativity and behavior change from business actors. changes in the behavior of business actors are useful, so that their business can continue to run in order to meet their daily needs. this situation is very interesting for researchers to reveal further the strategies used by business actors, in order to keep their business running. therefore, a fundamental question arises, namely what marketing methods are used by micro-entrepreneurs, in order to keep their business running in the midst of the covid-19 pandemic. therefore, the problem that will be revealed in this study is how the marketing strategy used by micro-enterprises around the campus to maintain their business continuity in the face of the covid-19 pandemic. method this research is a qualitative research with an empirical juridical approach. researchers determine the specifications of the research, on changes to the product jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 109 marketing model carried out by individual micro business actors around the campus of diponegoro university (undip), semarang state university (unnes) and satya wacana university salatiga. the research subjects were selected using a purposive random sampling technique2, with a minimum age limit of 55 years and over, and had never used social media as a marketing tool. information was obtained by using in-depth interview techniques. this study uses observation as a data collection tool, and triangulation techniques as a test of the validity of the data. the data obtained were analyzed using qualitative techniques with an interactive analysis model, namely the analysis that moves in three components, namely; first, data reduction (reduction). second, data presentation (display.) third, drawing conclusions and verification (conclusion drawing) 3. results and discussions micro-enterprises in this study refer to the notion of micro-enterprises, which are stated in article 1 paragraph (1) of law no. 20 of 2008 concerning micro, small and medium enterprises. law no. 20 of 2008 states that micro-enterprises are productive businesses owned by individuals and/or individual business entities that meet the criteria for microenterprises as regulated in this law. the micro business criteria are regulated in article 6 paragraph (1) of law no. 20 of 2008 which states that productive businesses are owned by individuals and/or individual business entities that meet the criteria for micro enterprises as stipulated in the law. have a net worth of at most rp. 50,000,000.00 (fifty million rupiah) excluding land and buildings for business premises; or have annual sales of a maximum of rp.300,000,000.00 (three hundred million rupiah). based on the definition of micro-enterprises in law no. 20 of 2008, the data obtained are 39 (thirty nine) micro business actors who are in accordance with the targets in this study, 2 soemitro, ronny hanitijo. metodologi penelitian hukum dan jurimetri. jakarta: ghalia indonesia, 1988, page 12. 3 milles b, mathew and a. michael habermen. analisa data kualitatif. jakarta: ui press, 1992, page 16-21 jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 110 which are spread across campuses located in central java province, namely: semarang state university which is located, totaling 14 (fourteen), at diponegoro university, there are 16 (sixteen) and at the swcu campus there are 9 (nine) business actors, selling the following products. the research was continued to obtain data on the types of products from microenterprises around the campus which became their line of business. data on the types of business products are then presented in the following table: table 1: products sold by business actors no types of products number of business actors percentage (%) 1 food 11 28,2 2 drink 8 20,5 3 grocery 7 17,9 4 photocopy 8 20,5 5 laundry 5 12,8 total 39 100 source: processed from 2020 research data data from table 1, provides information that food products are the most common products sold by micro-enterprises around campus, with the number of business actors being 11 or 28.2%. then beverage products and photocopies with 8 business actors or 20.5% each, 7 grocery business actors or 17.9% and laundry business actors as many as 5 business actors or 12.8%. the selection of products marketed by business actors is based on the assumption of the needs of students and campus residents in carrying out their daily activities. food is the main primary need of students and campus residents, and is the largest share for microenterprises around the campus. beverage products and photocopying services accompany the activities of the two campus activities, which are then followed by grocery and laundry businesses. based on data on products sold by micro-entrepreneurs, the researchers tried to get data on the impact of covid-19 faced by micro-enterprises around campus on the decline in daily income. the results of the study indicate a decrease in daily income from business actors around the campus. the data obtained are then presented in the following table: jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 111 table 2: data on decreasing income of business actors per day no types of products income before corona pandemic (rp) income after corona pandemic (rp) decrease in revenue (rp) percentage decrease (%) 1 food 2.000.000, 350.000.1.650.000,82,5 2 drink 1.600.000,300.000,1.300.000,81,3 3 grocery 1.800.000,400.000,1.400.000,77,8 4 photocopy 1.500.000,400.000,1.100.000,73,3 5 laundry 900.000,250.000, 650.000,72,2 source: processed from 2020 research data based on the data in table 2, it is known that food business actors experienced a decrease in income of 82.5%, beverage business actors experienced a decrease in income of 81.3%, grocery businesses experienced a decrease in income of 77.8%, photocopy business actors experienced a decrease in income of 73.3% and laundry business actors 72.2%. the decrease in income from micro business actors around campus will indirectly reduce the welfare level of micro business actors. with reduced business capital from microenterprises, it will indirectly affect the capital turnover. another impact of reduced capital is the emergence of new problems such as difficulties in paying off loans, paying electricity, gas bills, and even paying employee salaries. traditional micro business marketing model the policy of social distancing (social distancing) and work from home (wfh) are not the main factors in the decline in daily income of micro-enterprises around campus. based on observations from researchers, information was obtained that business actors around campus only use marketing models from one person to another. this marketing model has been used for generations so that the marketing area is very limited. with the policy of social restrictions and wfh, the marketing model with a person-to-person model becomes very ineffective. the use of traditional marketing models used by micro-entrepreneurs around campus shows that there is no marketing model that utilizes advances in information technology, as shown by the results of research from cesaroni and consoli. cesaroni and jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 112 consoli's research states that micro, small and medium-sized companies have not been able to take full advantage of social media in their business4. this is in stark contrast to small businesses in the united states, where approximately 73% of micro-enterprises have used social media as a means of marketing their products5. changes in the new marketing strategy must be immediately carried out by microentrepreneurs, so that their business can survive. advances in technology in the field of information and telecommunications, namely the internet has changed consumer behavior in meeting their daily needs. this change in consumer behavior must be followed by changes in the marketing model made by micro business actors, by utilizing the internet network which has various advantages in order to introduce and market goods or services faster and cheaper and has a very broad reach. the use of the internet as a means of product marketing is motivated by the increasing number of smartphone and tablet users, as well as the increase in social media users in indonesia in people's lives. the use of smart phones (smartphones) results in changes in shopping behavior that switch to online shopping. social media such as facebook, instagram, twitter, whatsapp, and so on are becoming a trend among young people, in order to express themselves as well as being a great opportunity as advertising media and business promotions. product promotion through social media has become a must because of the covid19 pandemic. everyone is required to do physical distancing, so it is not possible for business actors to directly promote products through person to person. social media allows users to communicate with millions of other users6. utilization of social media in marketing 4 cesaroni, francesca maria, and domenico consoli. "are small businesses really able to take advantage of social media?." electronic journal of knowledge management 13.4 (2015): pp257-268. 5 barnes, david, et al. "web 2.0 and micro‐businesses: an exploratory investigation." journal of small business and enterprise development (2012). 6 williams, david l., et al. "the use of social media: an exploratory study of usage among digital natives." journal of public affairs 12.2 (2012): 127-136. jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 113 kaplan and haenlin7 define social media as a group of internet-based applications that use the ideology and technology of web 2.0, where users can create or exchange information on these applications. van dijk said that social media is a media platform that focuses on the existence of users, which facilitates them in doing activities and collaborating8. social media can be categorized into 6 (six) major categories of social media, namely9: social media, which is currently a trend for young people to express themselves, has become a great opportunity as an advertising medium and business promotion. social media such as facebook, instagram, twitter, whatsapp, and so on are now widely used for business media, from well-known products to homemade products. we often see advertisements from sellers on social media platforms. nasrullah said there are 6 (six) major categories of social media, namely: 1. social networking social networking is a tool that can be used to interact, including the effects resulting from these interactions in the virtual world. the main character of social networking sites is that users form a new network of friends. the formation of this new network of friends is based on an interest in the same thing, such as a common hobby. examples of social networks are facebook and instagram. 2. blog blog is a social media that facilitates users to upload daily activities, provide comments and share with other users, such as sharing web links, information, and so on. 3. microblogging microblogging is a type of social media that facilitates users to write and upload their activities and opinions. historically, the presence of this type of social media refers to the emergence of twitter which only provides a certain space, which is a maximum of 140 characters. 7 kaplan, andreas m., and michael haenlein. "users of the world, unite! the challenges and opportunities of social media." business horizons 53.1 (2010): 59-68. 8 nasrullah,rulli. media sosial perspektif komunikasi, budaya, dan sosioteknologi. bandung: simbiosa rekatama media, 2016, page 11. 9 nasrullah, rulli. media sosial. bandung: simbiosa rekatama media, 2015, page 39 jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 114 4. media sharing this social media allows its users to share and store media, such as documents, videos, audios, images online. examples of these social media are youtube, flickr, photobucket, or snapfish. 5. social bookmarking social bookmarks are social media that work to organize, store, manage, and also search for information or news online. popular social bookmarking sites are delicious.com, stumbleupon.com, digg.com, reddit.com, in indonesia itself namely lintasme. 6. wiki wiki or a shared content media is a site where the content is the result of the collaboration of users. any web user can change or edit a published content. the social media used in this research is instagram. instagram is included in the type of social media in the social networking category. the existence of various kinds of social media attracts researchers to reveal whether micro-enterprises around campus are familiar with social media? based on the results of the research, data and information were obtained that actually micro business actors around campus were very familiar with social media with the data presented in the following table: table 3: known social media no respondent's answer sum percentage (%) 1 facebook 9 23,08 2 instagram 5 12,82 3 twitter 7 17,95 4 whatsapp 18 46,15 sum total 39 100 source: processed from 2020 research data based on table 3, information is obtained that micro business actors around campus are familiar with whatsapp social media, as the social media that is best known by business actors around campus. whatsapp was chosen by 18 respondents or 46.15%, then facebook social media was known by 9 respondents or 23.08%, and twitter social media was known jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 115 by 7 respondents or 17.95% and instagram social media was known by 5 respondents or 12, 82%. the indentification of micro-entrepreneurs to social media turned out to be only limited to what they heard from the conversations of their consumers, without ever trying or using social media that they had heard of. impact of using social media changes in social life as a result of the covid-19 pandemic, inevitably must be addressed wisely by micro business actors around campus to maintain their business, by trying to use social media as a means of marketing their business products. therefore, the researchers tried to get data and information on social media used by micro-entrepreneurs around campus as a means of product marketing. based on the research data, information was obtained that 20 respondents or 51.28% of micro business actors around campus used whatsapp as a marketing medium, 10 respondents or 25.64% used facebook social media, 6 respondents or 15.39% used twitter social media, and instagram is used by 3 respondents or 7.69% as presented in the following table: table 4: social media used no respondent's answer sum percentage (%) 1 facebook 10 25,64 2 instagram 3 7,69 3 twitter 6 15,39 4 whatsapp 20 51,28 sum total 39 100 source: processed from 2020 research data research data on the use of social media as a means of marketing in reality is not fully carried out by micro business actors, but is carried out by employees or children (family) of micro business actors. based on the social media data that has been used, the researcher tries to uncover the reasons for choosing social media used by micro business actors. whatsapp social media is the social media that is best known by micro business actors due to the ease jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 116 in operating wathsapp which has similarities to short messages (sms), so that business actors are very familiar with how to use it. twitter social media is constrained by providing a certain space, which is a maximum of 140 characters. facebook and instagram are social media that are not well known by micro-entrepreneurs around campus, because they are considered complicated and less flexible. facebook and instagram were formed based on the same interests, such as similar hobbies, so they are considered less flexible when used to market products. the use of social media has turned out to be able to move micro-enterprises as expressed by hendarawan, (aged 55) micro-business actors around the semarang state university campus in sekaran who stated "since the covid outbreak, the business they were involved in had to close. though his food business is the only source of income. so that during the covid outbreak there is clearly no income. besides that, if the shop is opened, there are not many buyers. then my son suggested to use whatsapps. since using whatsapps, there are quite a few buyers and they don't violate government regulations that must keep their distance. although the buyers are still limited to people i already know, but there is quite a lot of income from being lost…” the use of social media whatsapps is also carried out by parmin (57 years old), a coffee shop businessman who is around the unnes sekaran campus, said: "since the covid outbreak, the business has been closed. the customers who are mostly students are returning home. but alhamdulliah, since i've been using whatsapp, there have been quite a few buyers, although not as many as before. but we are grateful that there is income so that there can be a circulation of money” krismiyaarti (56 years old) a pecel rice seller around the undip pleburan campus said that my business was quiet, my customers, students, had already returned to their respective villages. practically no income. but since i use social media there are quite a few buyers….even though it's only 3 or 7 people, but there's quite a bit of income”. the use of social media was also carried out by angga nugraha who explained, "the demand for orders has increased to around 50 portions. previously without these two applications, the number of orders only reached about 20 servings. food orders that initially only came from the jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 117 surrounding area are now getting wider. not only that, we also use instagram social media to increase the popularity of the food products we sell. the food products we sell consist of takoyaki, okonomiyaki, grilled octopus, egg sausage (sostel). we also open a stall on jalan imam bardjo on car free day (cfd) every sunday morning.” the use of social media to market products during the covid-19 pandemic is the right action, where producers and consumers do not meet directly in one place but have a very wide marketing reach 10 . with social media, business actors can explain product specifications, quality, and prices so that consumers can more freely choose the goods they need according to their abilities11. the use of social media for business actors is because social media has 7 (seven) potential functions in business, namely: (1). identify the customer, (2) hold reciprocal communication, (3) share information to find out the object that the customer likes, (4) the presence of the customer, (5) the relationship between customers based on the location and interaction pattern, (6) the reputation of the company where the customer and (7) forming groups between customers. puntoadi12 stated that social media can be used to: a. the advantage of building personal branding through social media is that you don't know tricks or pseudo popularity, because the audience will decide. b. social media provides an opportunity to interact more closely with consumers. the social media used by micro business actors, although only limited to people who are members of the group, has been able to provide income for micro business actors around campus. even though the income earned is not the same as before the covid-19 pandemic, it still contributes to the income of the micro business. the existence of income from micro 10 ulya, husna ni’matul. "alternatif strategi penanganan dampak ekonomi covid-19 pemerintah daerah jawa timur pada kawasan agropolitan." el-barka: journal of islamic economics and business 3.1 (2020): 80109. 11 purbohastuti, arum wahyuni. "efektivitas media sosial sebagai media promosi." tirtayasa ekonomika 12.2 (2017): 212-231; rusdiono, rusdiono. "peran media sosial sebagai upaya pemasaran bisnis online shop pada online shop antler makeup-@ antler. makeup." widya cipta: jurnal sekretari dan manajemen 3.2 (2019): 195-202. 12 puntoadi, danis. meningkatkan penjualan melalui media sosial. jakarta: gramedia pustaka utama, 2011, page 5. jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 118 enterprises has been able to provide confidence and optimism for micro-entrepreneurs to continue running the business they have been engaged in. conclusion social distancing and work from home (wfh) policies aimed at preventing and overcoming the covid-19 pandemic. social restriction activities have had a negative impact on micro and small businesses around the campus, due to the decrease in income derived from their business results due to reduced consumers. the decrease in income from micro business actors is also influenced by the marketing model used by micro business actors around campus, which uses a direct marketing model and has not utilized social media as a marketing tool for their products. therefore, the use of social media is a necessity for micro-enterprises around the campus, as a means of marketing the products offered to keep pace with technological developments in the field of communication and the trends of modern society based on social media. the use of social media has had a positive impact on micro-entrepreneurs around campus by obtaining income, although it is not as large as the income before the covid-19 pandemic. bibliography anggun p. situmorang, sri mulyani: corona beri 3 dampak besar ekonomi indonesia, liputan6.com, juni 30, 2020, https://m.liputan6.com/bisnis/read/4292763/srimulyani-corona-beri-3-dampak-besar-ke-ekonomi-indonesia. barnes, david, et al. "web 2.0 and micro‐businesses: an exploratory investigation." journal of small business and enterprise development (2012) cesaroni, francesca maria, and domenico consoli. "are small businesses really able to take advantage of social media?." electronic journal of knowledge management 13.4 (2015): pp257-268. jpcl 5(2) (2021) 106-119 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 119 kaplan, andreas m., and michael haenlein. "users of the world, unite! the challenges and opportunities of social media." business horizons 53.1 (2010): 59-68. milles b, mathew and a. michael habermen. analisa data kualitatif. jakarta: ui press, 1992 nasrullah,rulli. media sosial perspektif komunikasi, budaya, dan sosioteknologi. bandung: simbiosa rekatama media, 2016 nasrullah, rulli. media sosial. bandung: simbiosa rekatama media, 2015 purbohastuti, arum wahyuni. "efektivitas media sosial sebagai media promosi." tirtayasa ekonomika 12.2 (2017): 212-231 puntoadi, danis. meningkatkan penjualan melalui media sosial. jakarta: gramedia pustaka utama, 2011 rusdiono, rusdiono. "peran media sosial sebagai upaya pemasaran bisnis online shop pada online shop antler makeup-@ antler. makeup." widya cipta: jurnal sekretari dan manajemen 3.2 (2019): 195-202. soemitro, ronny hanitijo. metodologi penelitian hukum dan jurimetri. jakarta: ghalia indonesia, 1998 ulya, husna ni’matul. "alternatif strategi penanganan dampak ekonomi covid-19 pemerintah daerah jawa timur pada kawasan agropolitan." el-barka: journal of islamic economics and business 3.1 (2020): 80-109. williams, david l., et al. "the use of social media: an exploratory study of usage among digital natives." journal of public affairs 12.2 (2012): 127-136. jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl consumer protection law: the case study of grabtoko company in indonesian e-commerce transactions felix pratama tjipto international business law program, universitas prasetiya mulya, indonesia felix.tjipto@student.pmsbe.ac.id jason pratama ong international business law program, universitas prasetiya mulya, indonesia jason.ong@student.pmsbe.ac.id marshal ramadhan sulistio international business law program, universitas prasetiya mulya, indonesia marshal.ramadhan@student.pmsbe.ac.id tri harnowo international business law program, universitas prasetiya mulya, indonesia tri.harnowo@pmbs.ac.id submitted: september 25, 2021 revised: october 26, 2021 accepted: october 27, 2021 abstract technology innovation is steadily increasing its capacity in helping human activities, one of which is through digital transactions. the increased use of technology, however, could potentially create legal loopholes which may violate consumer’s rights in online transactions like the recently happened grabtoko case. the method used in this article is a normative analysis thorough literature review with statutory and comparative approach related to indonesian customer protection law, with the reference of previous articles, seeing the increasing usage of digital transactions. this article aims to provide an explanation regarding the advantages and the disadvantages of existing regulations and what needs to be improved related to frauds in the case of grabtoko. furthermore, it will also be discussed about the legal responsibility of the consumer dispute settlement organizations. the results of this article shows that there are still needs of improvements since the system has its own advantages and disadvantages, especially regarding fraud and administration systems that need to be updated in corresponding law and the development in the aspect consumer protection law. keywords: consumer protection law; consumer dispute settlement; consumer rights available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/110 mailto:felix.tjipto@student.pmsbe.ac.id mailto:jason.ong@student.pmsbe.ac.id mailto:marshal.ramadhan@student.pmsbe.ac.id mailto:tri.harnowo@pmbs.ac.id jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl introduction how transactions occur around the world is gradually changing because of globalization and free trade. online transactions are seemingly better than its offline counterpart, especially during the covid-19 pandemic. it is easier, cheaper, and much more convenient for both business actors and consumers in general. however, disruptive technology, such as e-commerce transactions, creates a new market which is not regulated most of the time when it started. the absence of rule opens legal loopholes that may be abused by ill-intended parties. consumer protection law exists to prevent abuse against consumers. through the regulation, consumers are granted rights that are guaranteed and protected by the government. consumers will certainly become the most disadvantaged parties without proper regulation. another matter that might further suggest the urgency of this issue is that e-commerce transactions make it easier to do cross-border transactions as it is not bound by physical limitations. transaction may easily take place in both foreign transactions and domestic transactions. according to the united nation conference on trade and development, it is estimated that the global e-commerce sales will reach $26.7 trillion as of 2021.1 figure 1: retail e-commerce sales worldwide from 2014 to 20242 1 2 “global e-commerce jumps to $26.7 trillion, covid-19 boosts online sales,” unctad, 3 may 2021, https://unctad.org/news/global-e-commerce-jumps-267-trillion-covid-19-boosts-online-sales. tugba sabanoglu, “retail e-commerce sales worldwide from 2014 to 2024,” statista, 26 march 2021, https://www.statista.com/statistics/379046/worldwide-retail-e-commerce-sales/. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/111 https://unctad.org/news/global-e-commerce-jumps-267-trillion-covid-19-boosts-online-sales https://www.statista.com/statistics/379046/worldwide-retail-e-commerce-sales/ jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl in 2019, it has been stated that the sale of e-commerce will transcend over $3.5 trillion globally. it is also being recorded that in the same year, an average of 1.92 billion people worldwide bought their needs by digital means.3 figure 2: retail e-commerce sales growth worldwide, by region 20204 covid-19 pandemic has caused the people to rely on the usage of technology and e-commerce transactions. e-commerce has become the most used method for transactions because people are being quarantined at their homes and unable to do physical contact to minimize the spread of covid-19 infection. as of june 2020, e-commerce traffic broke a new record of $22 billion monthly stopping by. amazon, one of the biggest e-commerce in 3 4 daniela coppola, “e-commerce worldwide statistics & facts,” statista, 15 april 2021, https://www.statista.com/topics/871/online-shopping/. alexandra samet, “global ecommerce market report: ecommerce sales trends and growth statistics for 2021,” business insider, 30 december 2020, https://www.businessinsider.com/global-ecommerce2020-report?r=us&ir=t. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/112 https://www.statista.com/topics/871/online-shopping/ https://www.businessinsider.com/global-ecommerce-2020-report?r=us&ir=t https://www.businessinsider.com/global-ecommerce-2020-report?r=us&ir=t https://www.businessinsider.com/global-ecommerce-2020-report?r=us&ir=t jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl the world, has five billion unique visitors registered for its e-retail, computing services, consumer electronics and e-commerce content in june 2020, resulting in the increase of sales totalling to $96 billion.5 6 meanwhile in indonesia, the sales of indonesian e-commerce powerhouse grew significantly compared to the year before. as of august 2020, bukalapak had a 50% increase in sales compared to the same month of the year before and tokopedia increased by rp1.4 million in sales compared to january 2020.7 the indonesian government tried to adapt by enacting necessary regulations to strengthen consumer protection. unfortunately, drafting a perfect regulation is difficult to do. although the regulations have been made, it seems that the regulations are not adequate enough. there are open gaps within the legal framework that places consumers in a vulnerable position against harmful practices. diani sadiawati from the ministry of national development planning of the republic of indonesia stated that indonesia regulations generally have several problems: firstly, there are provisions within a regulation that clearly contradict other regulations; secondly, regulations are inconsistent with other statutory regulation and its implementing regulations; thirdly, certain regulations are ambiguous and cause obscurity.8 in 1999, the indonesian government formed an organization for consumers to settle any dispute they have when performing transactions. back then, the regulation, that serves as the basis of their authority, was made when e-commerce transactions were not apparent yet in indonesia. 22 years since it was formed, technology has advanced rapidly and e-commerce transactions have become common in indonesia. it is important to find out if e 5 6 7 8 tugba sabanoglu, “net revenue of amazon from 1st quarter 2007 to 1st quarter 2021,” statista, 30 april 2021, https://www.statista.com/statistics/273963/quarterly-revenue-ofamazoncom/#statisticcontainer. coppola, “e-commerce worldwide.” yuni astutik & rahajeng kusumo hastuti, “transaksi digital sampai e-commerce melesat di era pandemi,” cnbc indonesia, 25 august 2020, https://www.cnbcindonesia.com/tech/20200825151913-37-181854/transaksi-digital-sampai-ecommerce-melesat-di-era-pandemi. ibnu sina chandranegara, “bentuk-bentuk perampingan dan harmonisasi regulasi,” jurnal hukum ius quia iustum 26 no. 3 (2019): p. 440, https://journal.uii.ac.id/iustum/article/view/13070. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/113 https://www.statista.com/statistics/273963/quarterly-revenue-of-amazoncom/#statisticcontainer https://www.statista.com/statistics/273963/quarterly-revenue-of-amazoncom/#statisticcontainer https://www.statista.com/statistics/273963/quarterly-revenue-of-amazoncom/#statisticcontainer https://www.cnbcindonesia.com/tech/20200825151913-37-181854/transaksi-digital-sampai-e-commerce-melesat-di-era-pandemi https://www.cnbcindonesia.com/tech/20200825151913-37-181854/transaksi-digital-sampai-e-commerce-melesat-di-era-pandemi https://www.cnbcindonesia.com/tech/20200825151913-37-181854/transaksi-digital-sampai-e-commerce-melesat-di-era-pandemi https://journal.uii.ac.id/iustum/article/view/13070 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl commerce transactions are within the jurisdiction of the organization and the system that it employs is effective and efficient for e-commerce dispute settlement. as a result of these conditions, consumer protection law is a field of law that must be improved in order to ensure its development in the right direction. the paper aims to answer the following questions: 1. are current indonesia laws and regulations related to consumer protection still adequate for today’s technological developments of e-commerce? 2. how the implementation of online dispute resolution improves e-commerce dispute settlement in indonesia? 3. what needs to be done in order to provide secure e-commerce transactions? method this research aims to provide explanations to readers by using normative juridical research methods. normative juridical approach is a method where it analyzes the current laws and regulations and provides solutions for problems that might arise or have arisen from the current laws.9 the sources are based on primary, secondary, and tertiary sources. the primary sources are statutory regulations, such as law no. 8/1999 on consumer protection (uupk), law no. 11/2008 on information and electronic transaction (uu ite), and government regulation no. 80/2019 on trade through electronic system (pp pmse) which will be analyzed about its effectiveness in providing consumer protection. secondary legal sources include articles, journals, and literature on consumer protection in the digital era. tertiary data used is internet media which helps the writer to understand and provide an explanation of primary and secondary legal materials. the paper also uses the grabtoko case that involves fraud in digital transactions as a case study. 9 sanne taekama, "theoretical and normative frameworks for legal research: putting theory into practice," law and method (2018), https://www.researchgate.net/publication/323671739_theoretical_and_ normative_ frameworks_for_legal_research_putting_theory_into_practice. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/114 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl results and discussions the urgency of adequate consumer protection regulation it is the right of the consumer to feel comfortable, secure, and safe when purchasing goods/services in a transaction. the right to choose goods/services and to obtain goods/services in accordance with the value and conditions as well as guarantee. the right to true, clear and honest information regarding the conditions and guarantee of goods/services. they also have the rights to be heard when expressing complaints and receive proper advocacy, protection, and settlement in a dispute. furthermore, consumers have the right to receive consumer assistance and education, to receive proper, honest, and non-discriminatory treatment, to obtain compensation, redress, and substitution, if the goods/services received are not as requested by consumers.10 uupk has stated all of these rights along with many others, however, in our observation in some cases consumers are still suffering losses without receiving compensation which means that the law is not enforced properly as seen in the grabtoko case as illustrated below. a law loses its purpose if it is not enforced properly, which is an issue that needs to be addressed urgently, seeing the rapid growth of e-commerce nowadays. a consumer faces limited selections of goods that an offline market can supply at a time. this is not the case with e-commerce marketplace. it greatly expands the selection of goods that consumers can choose from. establishment of websites, online shops, and other information technology infrastructures, like artificial intelligence and search engines optimization help consumers find what they want without much effort. giving consumers a vast selection where they can find the best value for the best quality that they desire. as a result, transactions are not only performed by two parties in the same jurisdiction but it could also involve parties coming from abroad. 11 disputes coming from international transactions might be a complex matter. that is why consumer protection is a matter that should be considered. 10 article 4 of law no. 8/1999 on consumer protection 11 sinta dewi rosadi & zahra tahira, “consumer protection in digital economy era : law in indonesia,” yustisia jurnal hukum 7 no. 1 (2018), https://jurnal.uns.ac.id/yustisia/article/view/20144. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/115 https://jurnal.uns.ac.id/yustisia/article/view/20144 https://jurnal.uns.ac.id/yustisia/article/view/20144 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl the importance of the consumer trust trust is a key component in an e-commerce transaction because it allows the process to run smoothly despite the security risks present in an e-commerce environment. many e-commerce business actors are creating strategies to increase their consumer’s trust to increase their sales. cheskin research & studio archetype/sapient ecommerce truststudy mentions that trust is something that develops as consumers are provided with a sense of security. nielsen states that trust is an actual accumulation of results of a business actor and its company’s behaviour in interacting with their consumers in time as trust is something that is hard to achieve and can easily be lost. egger and de groot state that offline experiences and reputation of the store; the visual attraction, such as the website layout design, website information, and contents; video products; and security aspects like terms and conditions, privacy policies; also communication method, like customer service and post-purchase service are factors in building consumers’ trust. pitchler states consumers cannot do certain things in online transactions that they can usually do in offline transactions, such as to see, feel, and review the desired products physically. the absence of physical stores and interaction with staff are also certain things that consumers cannot do in an online transaction. trust plays a major role in creating a convenient and safe transaction process for the consumers. therefore, information like advertisements, promotional videos, and testimonies; great customer service; and nice and intriguing platforms are essential aspects in building consumer’s trust.12 consumer protection case study: grabtoko case summary at the end of 2020, indonesia was introduced to the infamous e-commerce dispute, the grabtoko case. grabtoko is a newly established e-commerce corporation that sells electronic hardwares, like smartphones and tablets. grabtoko was first founded in early 2020 but began its first operation at the end of 2020. the person responsible for the grabtoko case is yudha manggala putra who acts as the managing director of grabtoko. 12 mary anne patton & audun jøsang, “technologies for trust in electronic commerce,” electronic commerce research 4 (2004): p. 1-3, https://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.60.3255&rep=rep1&type=pdf. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/116 https://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.60.3255&rep=rep1&type=pdf jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl yudha rented an office located in kuningan, south jakarta where he hired six employees who work as customer service at grabtoko. he informed one of grabtoko consumers that the delivery of purchased goods was delayed from 4th january to 5th january 2021 due to embezzlement of funds by grabtoko investors.13 this is a modus operandi that is often used. less than one year, grabtoko has gained over rp17 million from a total of 980 consumers as reported by the criminal investigation agency of the indonesian national police (bareskrim polri). according to brigadier general slamet uliandi, director of cyber crime of bareskrim polri, grabtoko offers electronic hardwares at low prices but never sends these hardwares to consumers once payment is received. yudha from the beginning built a grab toko for fraud by using hosting from abroad so it will not be easily traced in indonesia. it is informed by the consumers that the instagram account later cannot be accessed and the customer service do not reply anymore to consumers complaints.14 the creator of grabtoko, yuda manggala putra, uses his friend's name which is anak agung narendra putra, as the commissioner of grabtoko without consent of agung himself. as stated by agung that he has no connection with the corporation except that he knows yuda manggala putra personally as a friend.15 a testimony from desty nur cahyani stated that she was attracted to grabtoko because of the incessant advertising promoting up to 90% discount that appeared on national television broadcasts as well as on large highway billboards. because of that, she was convinced that grabtoko was a legitimate business.16 another victim of the case, fences, stated that all other victims have been gathered and a 13 14 15 16 “kronologi isu penipuan grab toko hingga rekening diblokir bca,” cnn indonesia, 7 january 2021, https://www.cnnindonesia.com/ekonomi/20210107081022-92-590508/kronologi-isu-penipuan-grabtoko-hingga-rekening-diblokir-bca. “kronologi grab toko tipu 980 orang dan rugikan rp17 m,” cnn indonesia, 15 january 2021, https://www.cnnindonesia.com/ekonomi/20210115135836-92-594181/kronologi-grab-toko-tipu980-orang-dan-rugikan-rp17-m. “grab akan lakukan langkah hukum terhadap grab toko,” kompas, 7 january 2021, https://tekno.kompas.com/read/2021/01/07/14273287/grab-akan-lakukan-langkah-hukumterhadap-grab-toko. emir yanwardhana, “kerugian konsumen yang kena tipu grab toko rp 1,1 miliar,” cnbc indonesia, 11 january 2021, https://www.cnbcindonesia.com/news/20210111171944-4-215116/kerugiankonsumen-yang-kena-tipu-grab-toko-rp-11-miliar. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/117 https://www.cnnindonesia.com/ekonomi/20210107081022-92-590508/kronologi-isu-penipuan-grab-toko-hingga-rekening-diblokir-bca https://www.cnnindonesia.com/ekonomi/20210107081022-92-590508/kronologi-isu-penipuan-grab-toko-hingga-rekening-diblokir-bca https://www.cnnindonesia.com/ekonomi/20210107081022-92-590508/kronologi-isu-penipuan-grab-toko-hingga-rekening-diblokir-bca https://www.cnnindonesia.com/ekonomi/20210115135836-92-594181/kronologi-grab-toko-tipu-980-orang-dan-rugikan-rp17-m https://www.cnnindonesia.com/ekonomi/20210115135836-92-594181/kronologi-grab-toko-tipu-980-orang-dan-rugikan-rp17-m https://www.cnnindonesia.com/ekonomi/20210115135836-92-594181/kronologi-grab-toko-tipu-980-orang-dan-rugikan-rp17-m https://tekno.kompas.com/read/2021/01/07/14273287/grab-akan-lakukan-langkah-hukum-terhadap-grab-toko https://tekno.kompas.com/read/2021/01/07/14273287/grab-akan-lakukan-langkah-hukum-terhadap-grab-toko https://tekno.kompas.com/read/2021/01/07/14273287/grab-akan-lakukan-langkah-hukum-terhadap-grab-toko https://www.cnbcindonesia.com/news/20210111171944-4-215116/kerugian-konsumen-yang-kena-tipu-grab-toko-rp-11-miliar https://www.cnbcindonesia.com/news/20210111171944-4-215116/kerugian-konsumen-yang-kena-tipu-grab-toko-rp-11-miliar https://www.cnbcindonesia.com/news/20210111171944-4-215116/kerugian-konsumen-yang-kena-tipu-grab-toko-rp-11-miliar jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl representative has reported grabtoko as the responsible party to greater jakarta metropolitan region of the indonesian national police.17 a written interview with one of grabtoko consumers, reveals that the victims have asked for further information from bareskrim polri and requested the police to bring this case to court for monetary refund but the procedure is complicated. the victim has also asked consumer dispute settlement organizations for help but to no avail. the victim felt hopeless and decided not to pursue the case any further because there was no certainty that she would get anything out of this case. this generated distrust in the legal system that is supposed to protect them.18 consumer protection case study: grabtoko case analysis the fraud theory fraud is a crime of getting money by deceiving people.19 fraud is characterized by premeditated ill intention where the seller persuades a consumer into a purchase agreement but the seller does not intend to fulfill their part of the agreement in the first place.20 fraud can come in other schemes. transaction fraud is becoming more and more common due to the development of e-commerce because it is somewhat easier to do when you do not meet face to face.21 consumers can only rely on photos and videos of goods to see it and that does not ensure that the goods will be sent once payment is completed. the grabtoko case is a fraud case because it involves a purchase agreement between the seller and the buyer that were not fulfilled by the seller. it is also an internet fraud case because it involves the use of the internet in executing the fraud scheme. it is safe to say that it is an internet-facilitated fraud case based on the understanding of fraud theory. further analysis suggests certain actions done by grabtoko indicate signs of deception. the 17 18 19 20 21 trio hamdani, “grabtoko dilaporkan ke polisi,” detikfinance, 7 january 2021, https://finance.detik.com/berita-ekonomi-bisnis/d-5324810/grabtoko-dilaporkan-ke-polisi. also see https://twitter.com/halobuaya/status/1345289047078363137 wednesday, 27 january 2021 “meaning of fraud in english,” cambridge dictionary, https://dictionary.cambridge.org/dictionary/english/fraud. miriam albert, “e-buyer beware: why online auction fraud should be regulated,” american business law journal 39, no. 4 (2002): p. 579 & 581, https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1676905. ibid. p. 578 available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/118 https://finance.detik.com/berita-ekonomi-bisnis/d-5324810/grabtoko-dilaporkan-ke-polisi https://twitter.com/halobuaya/status/1345289047078363137 https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1676905 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl composition of its brand, grabtoko, has confused some consumers to assume it is part of grab, a ride-hailing corporation. another deceptive matter is grabtoko’s advertisement with discounts up to 90%. grabtoko may have intentionally done this to lure unaware consumers before running off with their money. all of these things would fall under the fraud theory, which is to create deception to steal the consumers’ money. current e-commerce consumer protection regulations in indonesia the main purpose of uupk is to protect consumers from harmful business practices that could potentially hurt them financially. consumer protection under the uupk is defined as “all efforts to ensure legal certainty to provide protection to consumers”.22 to be more precise, uupk was made to increase consumer awareness, ability, and independence to protect themselves; elevating the dignity of consumers by preventing them from the negative excesses of the use of goods/services; increasing the empowerment of consumers in choosing, determining, and demanding their rights as consumers; create a consumer protection system that contains elements of legal certainty and information disclosure as well as access to information; raise awareness of business actors regarding the importance of consumer protection so as to grow an honest and responsible attitude in doing business; improve the quality of goods/services that ensure the continuity of the business of producing goods/services, health, comfort, security, and safety of consumers.23 consumers have the right to convenience, security, and safety when purchasing goods/services; the right to choose and receive goods/services as agreed; the right to factual information; the right be heard when complaining and in receiving proper advocacy, protection and proper settlement, right to receive consumer assistance and education, to receive proper, honest, and non-discriminatory treatment, the right to compensation, redress, and substitution, if the goods/services received are not as requested by consumers.24 on the other hand, business actors are responsible to realize those rights due to the general nature of business actors having the upper hand that they can utilize unless they are given a 22 article 1(1) of law no. 8/1999 on consumer protection 23 ibid. article 3 24 ibid. article 4 available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/119 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl regulatory barrier, meanwhile consumers do not have the same position.25 consumers are in a vulnerable position most of the time when dealing with business actors hence the emphasis should be on consumer protection. business actors cannot offer or advertise goods/services as if they have it available when they do not actually have it.26 this is further emphasized that business actors cannot give false information regarding the condition of goods/services.27 business actors are prohibited from putting up advertisements that deceive consumers regarding the quality, quantity, materials, uses and prices of goods/services as well as the timeliness of receiving goods/services.28 if consumers suffer loss as a result of business actors’ negligence, they are liable to provide compensation for damage, in the form of refunds or equivalent replacement of goods/services in seven days after the date of transaction.29 business actors are responsible for their advertisements and all legal consequences caused by their advertisements.30 business actors who refuse, do not respond, or do not fulfill a consumer’s rightful compensation can be sued through dispute settlement mechanism or to the district court where the consumer domiciles.31 while it does not regulate consumer protection directly, it has provisions that intersect with consumer protection as stated in article 35 which regulates computerrelated fraud. the law that regulates consumer protection in e-commerce is law no. 7/2014 on trade which one of its implementing regulations is pp pmse. pp pmse is a regulation that intersects with both consumer protection and cyberspace. it does have several provisions that relate to consumer protection. it basically regulates electronic transactions that occur through cyberspace between business actors, consumers, individuals, and government 25 adam dwi, “hak pelanggan masih terabaikan,” mediaindonesia, 3 september 2017, https://mediaindonesia.com/humaniora/120597/hak-pelanggan-masih-terabaikan. 26 27 28 29 30 31 ibid. article 9(1) ibid. article 10(a) ibid. article 17(1)(a) ibid. article 19 ibid. article 20 ibid. article 23 available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/120 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl institutions. 32 the matter of e-commerce is included in this regulation. the regulation requires business actors to provide true, clear, and honest information when performing ecommerce transactions. 33 the information must, at least, contain true and accurate information; matching description between the advertisement and the actual goods; condition, legality, quality, price, availability of goods/services. 34 according to this regulation, business actors must refer to uupk to uphold consumer protection in ecommerce transactions and provide complaint service for consumers.35 an e-commerce transaction is initiated by an offer made by a business actor to a consumer. the offer is only binding if there is clear intention with honesty, fairness, balance.36 it also has to explain how the consumer expresses their agreement. the expression of agreement must be explicit and not ambiguous. an offer can be accepted if they have fulfilled the previous requirements.37 an offer and an acceptance in cyberspace result in an electronic contract.38 an electronic contract is valid if it is in accordance with the offer made in the first place and article 1320 of the indonesian civil code. it should contain the specification of the goods/service along with how and when it will be delivered.39 when an electronic contract is made, the seller is bound to deliver what the consumers had bought in a timely manner.40 if the seller made a mistake or missed a deadline, then the consumer is entitled to a replacement or cancellation.41 consumers can also report to the indonesian ministry of trade if they suffer damages when conducting an e-commerce transaction. reported business actors are required to settle the dispute. failing to do so will result in them being placed on a government priority watchlist.42 32 article 4 of government regulation no. 80/2019 on trade through electronic system 33 ibid. article 13(1) 34 ibid. article 13(2) 35 ibid. article 26 & 27 36 ibid. article 39(2) 37 ibid. article 40 38 ibid. article 47 39 ibid. article 53 40 ibid. article 63 & 64 41 ibid. article 69(2) 42 ibid. article 18 available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/121 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl e-commerce consumer protection regulations analysis uupk is a general legal foundation when it comes to the protection of consumers but the problem is the enforcement is still ineffective. as seen in the grabtoko case, the poor enforcement of the regulation resulted in the financial damages of grabtoko’s consumers as well as confusion on what they are entitled to legally and what they can do about it. in 2016, the government created a system called digital reliability certification which aims to analyze and observe a person on the internet and it is safe to use because it uses data encryption so the data will not be leaked to unauthorized parties. this can be seen as the use of a passport as a means of identification. this process is supervised by the certificate authority, which manages and verifies the owner of an identity and makes it as an identity certification. this certification can be used in proving their identity where the data in this certificate has been encrypted and also can be sent to various parties.43 good faith and factual information play a major role in e-commerce transactions since it is not possible for buyer and seller to physically interact with each other. consumers have to rely on the seller in that matter. in the grabtoko case, grabtoko clearly did not exercise good faith and provide factual information. this resulted in the breach of article 4, article 7, article 9(1), article 10(a), article 17(1)(a). the problem presented by the case is that the consumers have no way of verifying whether the information provided by a seller is credible or not. leaving the credibility of information to chance and hoping that a seller will have good intentions will not work at all. grabtoko should have paid damages to their consumers, according to article 19 of uupk. the reality is that the consumers have not received any compensation for their losses and the government failed to uphold their rights. grabtoko, as the injuring party, already displayed a lack of good faith and hoping they will compensate their consumers willingly is unlikely to happen. the government has to take action to force grabtoko to give compensation. otherwise, the consumers will stay uncompensated. 43 rosadi & tahira, “consumer protection in digital economy era,” p. 90 available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/122 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl uu ite stipulates that electronic transactions must be based on, amongst all other, benefit, prudence, and good faith.44 in the case of grab toko, the principle of good faith is not exercised and obviously violated. good faith is needed from both parties in order to conduct a proper and smooth e-commerce without malicious intent. the incessant advertising, promoting up to 90% discount, that appeared on national television broadcasts as well as on large highway billboards45. after the consumers finished the transaction and waited for the delivery, grabtoko’s instagram cannot be accessed and the customer service can no longer be contacted46. this proves that the advertisement was used to trap consumers, fulfilling the element of bad faith in this case. moreover, another sign of bad faith from grabtoko is the fact that the owner of grabtoko uses his friend's name and registered it as the commissioner of grabtoko without the person’s consent as clarified by his friend personally.47 all of this points out that grabtoko has practiced bad faith and violated the law as stated in uu ite that every electronic system must be operated with reliability and safety.48 this had not been done by grabtoko as they did not provide reliable information and did not act responsibly for the damage. e-commerce consumer protection organizations in indonesia there are three main institutions when it comes to consumer protection in indonesia. the national consumer protection institution (bpkn) is a governmental organization mainly responsible for developing better consumer protection policy by proposing recommendations to the indonesian government.49 other responsibilities include research on existing regulations and consumer safety, supporting non-government consumer protection institutions, disseminating information about consumer protection, and receiving consumer complaints.50 it does receive consumer complaints but it does not settle those cases using the alternative dispute resolution and adjudication process. 44 article 3 & article 17(2) of law no. 11/2008 on information and electronic transaction 45 yanwardhana, op. cit. 46 “kronologi grab toko tipu 980 orang dan rugikan rp17 m,” cnn indonesia, op. cit. 47 pertiwi, op. cit. 48 article 15(1) of law no. 11/2008 on information and electronic transaction 49 ibid. article 31 and 34(1) of law no. 8/1999 on consumer protection 50 ibid. article 34(1) available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/123 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl according to uupk, the institution that settle the consumer disputes using alternative dispute resolution and adjudication processes is consumer dispute settlement institution (bpsk). bpsk is directly responsible for handling consumer disputes settlement through mediation, arbitration, or conciliation.51 bpsk is also responsible for providing consultation on consumer protection, observing the use of standard contracts that might affect consumers negatively, and reporting any infringement of uupk to the authorities.52 in addition to settling the consumer dispute, article 52 point e uupk clearly states that bpsk also has the task of receiving complaints from consumers regarding violations of consumer protection. non-governmental consumer protection organizations (lpksm), such as yayasan lembaga konsumen indonesia (ylki), are also encouraged to help realize consumer protection.53 the responsibilities of lpksm include increasing consumers’ awareness of their rights and obligations, providing advice on consumer protection, conducting cooperation with other organizations to further improve consumer protection, receiving consumer complaints, supervising the enforcement of consumer protection along with the government and the public.54 essentially, the role of lpksm is to support bpkn and bpsk in enhancing consumer protection. thus, based on their duties, it can be seen that the three institutions have duties related to consumer protection and especially the three institutions have a similar task of receiving consumer complaints. if it has become a dispute, then the consumer dispute resolution can be settled through a lawsuit in court or an out-of-court settlement. a lawsuit against a business actor can be filed by a consumer, consumer group, non-governmental organization, or government agency if causing great material loss and casualties.55 specifically for consumer groups, ngos and the government, lawsuits should 51 ibid. article 52 52 ibid. article 52 53 ibid. article 44(2) 54 ibid. article 44(3) 55 ibid. article 46 (1) available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/124 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl be filed through the general courts. as for individual consumers, they can settle through the general courts or out of court settlement.56 out of court settlement is held to reach a compensation or an injunction.57 if an out of court settlement has been selected, a lawsuit through the court can only be taken if the out of court attempt is declared unsuccessful by one of the parties or by the disputing parties.58 bpsk is an institution formed to resolve consumer disputes out of court. e-commerce consumer protection institution in the us there are also several other international organizations that are involved in safeguarding the rights of consumers. e-commerce consumer protection has become an urgent matter due to the rapid technological advancement leading to digitalization of transactions and every legal loophole that comes with it. theus department of justice and federal trade commission both have taken the lead in starting and establishing an international organization with the aim to fight cybercrimes and protect consumers in cyberspace by creating the internet crime complaint center (ic3). the ic3 is a special reporting center created to settle internet-related crime under the federal bureau of investigation.59 founded in 2000, it was previously known as internet fraud complaint center until 2003. ic3’s mission is to provide a reliable and convenient cyber crime report center for the public and work together with law enforcement and industry partners.60 ic3 defines cyber crime as: “internet crime includes any illegal activity involving one or more components of the internet, such as websites, chat rooms, and/or email. internet crime involves the use of the internet to communicate false or fraudulent representations to consumers. these crimes may include, but are not limited to, advance 56 ibid. article 46 (2) 57 ibid. article 47 58 ibid. article 45 (4) 59 ifcc was created in may of 2000 with the support from national white collar crime and federal bureau of investigation and also collaborating with various agents and analysts from the internal revenue service and the us. postal inspection where they aim to achieve in becoming the pillar support and establish an effective communication line between the government as the regulatory body and its organization with the disadvantaged victims. with that goal, ifcc has a task in receiving, observing, analyzing the schemes and complaints that they received in finding the most effective solution for the customers and to deal with the internet crimes. albert, “e-buyer beware,” 60 https://www.ic3.gov/home/about#. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/125 https://www.ic3.gov/home/about jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl fee schemes, non-delivery of goods or services, computer hacking, or employment/business opportunity schemes.”61 other cybercrimes include intellectual property rights infringements, computer intrusions, economic espionage, online extortion, international money laundering, identity theft, and many more. meanwhile, there is an intergovernmental organization which is the organisation for economic co-operation and development (oecd) which issue policy guidelines that are often used as references for other countries. this is an international organization that aims to create policies that could be used as international standard that may improve the opportunity, equality, prosperity and well-being of people by collaborating with several parties, citizens, policy makers and governments by giving recommendations to solve global issues, such as improving the economy, social life, quality of education, concerns on environmental issues and fighting against tax evasions in order to provide the global standard for the people around the world.62 e-commerce consumer protection organization analysis: submission of dispute it has become a common practice for the public that when they have a dispute as a consumer, they might report it to bpkn, bpsk, or any lpksm. bpsk is able to receive consumer complaints in conjunction to be the dispute settlement organization.63 bpkn and lpksm have the same task of receiving consumer complaints according to article 34(1)(f) and article 43(3)(d) of uupk respectively. on the other hand, article 18 of pp pmse also grant the authority to receive consumer complaints to the ministry of trade. this, however, might result in the problem of duplication. bpkn and the ministry’s authority to receive submissions of disputes overlap with bpsk’s authority as the dispute settlement organization. complaint submissions that go through bpkn and the ministry will have to be sent again to bpsk because it is the organization that has authority to settle consumer disputes in the end. 61 https://www.ic3.gov/home/faq#. 62 https://www.oecd.org/about/. 63 article 52(e) of law no. 8/1999 on consumer protection available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/126 https://www.ic3.gov/home/faq https://www.oecd.org/about/ jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl this might increase the chance for the cases to get lost during the process. the authority of bpkn and the ministry to receive the submission of consumer complaints creates unnecessary layers of bureaucracy. minimalizing the layers and shortening the procedure should improve overall dispute resolution efficiency. we propose consumer complaints should be submitted directly to bpsk. the main reason is that bpsk representatives are already present in every district and city, making it easier to access consumer complaints.64 this alone should provide enough coverage for consumer access, eliminating the need for bpkn and the ministry of trade as a place for complaint submission. bpkn and the ministry of trade should be focused on their other responsibilities of policy making instead. online dispute resolution can be implemented to further reduce the need for multiple places of submission as the public could simply access bpsk website to submit their cases, without having to visit bpsk office. bpsk office construction should be prioritized for those who do not have access to the internet. e-commerce consumer protection organization analysis: legal jurisdiction of bpsk bpsk is created to settle consumer transactions disputes. the bpkn has stated that they have received around one hundred reports of consumer disputes related to the grabtoko case based on the statement from rizal e. halim, the chairman of bpkn. 65 however, it has been a couple of decades since uupk was made back when e-commerce transactions were not as apparent as they are now. offline transactions are definitely within the jurisdiction of bpsk but does the bpsk have jurisdiction to handle e-commerce disputes? the formation of bpsk is based on article 49(1) of uupk and ministerial decree of trade and commerce no. 350/mpp/kep/12/2001 (skmenperindag no. 350/2001) which regulates that in every city or district, a bpsk must be established. one of the duties given to bpsk is to carry out the handling and settlement of consumer disputes by means of conciliation, mediation and arbitration according to article 52 of uupk. 64 ibid. article 49 65 “bpkn akan cabut izin grab toko bila terbukti bersalah,” warta ekonomi, 12 januari 2021, https://www.wartaekonomi.co.id/read322395/bpkn-akan-cabut-izin-grab-toko-bila-terbukti-bersalah. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/127 https://www.wartaekonomi.co.id/read322395/bpkn-akan-cabut-izin-grab-toko-bila-terbukti-bersalah jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl every consumer who has suffered damage can file a lawsuit against the business actor through an institution with the authority to settle disputes between consumer and business actor or through a court.66 consumer within this context is the final consumer and so are the grabtoko consumers. both consumer and business actors must first agree to settle through bpsk in order for bpsk to have jurisdiction over the dispute. if one of the parties does not agree, bpsk cannot adjudicate the dispute. the lawsuit filed must be material in nature, compensation for losses comes in the form of refunds and replacement of goods/services. bpsk cannot settle a dispute involving non-material damages. in regard to the grabtoko case, the consumers have paid but have not received their deserved products. therefore, the consumers of grabtoko have suffered material damages by fraud which is admissible. uupk does not specify whether it is exclusively regulated on traditional commerce and there is no explicit differentiation between traditional and electronic commerce. substantially, bpsk can settle over a traditional commerce dispute as well as e-commerce dispute as long as the aforementioned prerequisite is fulfilled. however, since traditional commerce and electronic commerce are unique in their own way, a clear distinction between the two should be made by coming up with a new regulation specifically on ecommerce dispute settlement. e-commerce consumer protection organization analysis: importance of online dispute resolution in indonesia a reliable dispute settlement system in which consumers can count on in case they have disputes is one of the fundamentals needed to gain consumers trust. e-commerce transactions go beyond national borders and involve people overseas, thus an e-commerce dispute resolution system that is available to people around the world regardless of their nationality. the challenge here is establishing whose authority can take control of a dispute settlement resolution.67 66 article 45 of law no. 8/1999 on consumer protection 67 ioannis lianos, et al., “the global governance of online consumer protection and e-commerce building trust,” world economic forum, (2019): p. 10, http://www3.weforum.org/docs/wef_consumer_protection.pdf. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/128 http://www3.weforum.org/docs/wef_consumer_protection.pdf jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl the european union has decided to unify the procedures of dispute settlement to make it simpler. ever since then, many countries have created and developed their own alternative dispute resolution system, for instance: china created the asian domain name dispute resolution center (adndrc) and the online dispute resolution center at the china international economic and trade arbitration commission (cietac). singapore launched disputemanager.com which is recognized as the first adr system out of all asean countries. philippines where their adr system is known as the most technological adr and many more.68 online dispute resolution (odr) is “a form of adr which takes advantage of the speed and convenience of the internet and ict”.69 odr is a form of adr that developed along with the growth of e-commerce. conventional adr and odr are not very different in essence. the implementation of odr is beneficial for adr. the advantages of odr are: (1) it cuts costs and saves time because parties do not need to meet physically, (2) it provides flexibility in terms of time as the parties arrange the best time that works for both, (3) it enables the parties to have more control on how they want do the dispute settlement.70 there are several types of dispute resolution methods such as dispute prevention, ombudsman programs, conflict management, assisted negotiation, neutral assessment and evaluation, mediation, arbitration, expert determination, customers programs and executive tribunals. the typology of disputes can be classified into six categories.71 first, an unperceived injurious experience, where a consumer does not realize a problem occurred with the product they transacted. second, perceived injurious experience, 68 69 70 71 ibid. p. 19 pablo cortes, “the hidden world of consumer adr: redress and behaviour,” (2011), https://www.law.ox.ac.uk/sites/files/oxlaw/dr_pablo_cortes.pdf. meline gerita sitompul, et al., “online dispute resolution (odr): prospek penyelesaian sengketa e-commerce di indonesia,” jurnal renaissance 1 no. 2 (2016): p. 90, https://media.neliti.com/media/publications/255784-online-dispute-resolution-odr-prospek-pe52db2b41.pdf. american bar association's task force on electronic commerce and alternative dispute resolution in cooperation with the shidler center for law, commerce and technology, university of washington school of law, "addressing disputes in electronic commerce: final recommendations and report," the business lawyer 58, no. 1 (2002): p. 434, https://www.jstor.org/stable/pdf/40688128.pdf?ab_segments=0%252fsyc5917%252ftest&refreqid=excelsior%3a94162e91dd147931f0bed8e3bd7bb61a. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/129 https://www.law.ox.ac.uk/sites/files/oxlaw/dr_pablo_cortes.pdf https://media.neliti.com/media/publications/255784-online-dispute-resolution-odr-prospek-pe-52db2b41.pdf https://media.neliti.com/media/publications/255784-online-dispute-resolution-odr-prospek-pe-52db2b41.pdf https://media.neliti.com/media/publications/255784-online-dispute-resolution-odr-prospek-pe-52db2b41.pdf https://www.jstor.org/stable/pdf/40688128.pdf?ab_segments=0%252fsyc-5917%252ftest&refreqid=excelsior%3a94162e91dd147931f0bed8e3bd7bb61a https://www.jstor.org/stable/pdf/40688128.pdf?ab_segments=0%252fsyc-5917%252ftest&refreqid=excelsior%3a94162e91dd147931f0bed8e3bd7bb61a https://www.jstor.org/stable/pdf/40688128.pdf?ab_segments=0%252fsyc-5917%252ftest&refreqid=excelsior%3a94162e91dd147931f0bed8e3bd7bb61a jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl the problem has been realized by the consumer but never asks for a remedy due to selfblaming of guilt. third, grievances, is a condition where customers feel that their rights have been violated and they will not do another transaction with the same merchant again but the complaint is not voiced.72 fourth, claims and complaints, are basically grievances that are voiced by the customer to the merchant but it does not involve legal proceedings and the merchant will try to provide remedy in order to gain back the consumer's trust for future transactions. fifth, dispute, is a complaint that has been rejected either partially or fully by the merchant and the customer usually takes the loss and avoids doing transactions with the merchant in the future. sixth, disputes voice to third parties, this is the stage where customers who feel dissatisfied with the violation of their rights ask for the assistance of third parties, such as lawyers, government institutions, merchant associations. seventh, formal dispute resolution consists of adr and lawsuits, this is the very top of level of consumer dispute where in this stage, the consumers together with third parties have advanced further in the legal process of dispute settlement procedure.73 typical e-commerce cases of online dispute resolution are mainly caused by the inability to effectively protect consumers, like misuse of credit and debit cards; late or no delivery of purchased goods; internet fraud; hidden illegal cost by merchants; unclear rules and procedures; merchant websites lack credible certification of policy; no restriction on personal data; consumers' privacy failure; lack of information.74 there is actually a regulatory framework that can act as the foundation of odr in indonesia, which is law no. 30/1999 on arbitration and alternative dispute settlement (uu aaps) since odr is basically another form of adr that has been infused with digitalization. the regulation regulates dispute settlement in a dispute between parties through the process of mediation, consultation, conciliation and many more, where all these methods are used to settle disputes a verdict is reached, and finally concluding the disputes.75 alternative dispute resolution is a dispute resolution institution through a procedure agreed 72 73 74 ibid., p. 424 ibid. ibid. p. 429 75 article 2 and article 6 of law no. 30/1999 on arbitration and alternative dispute settlement available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/130 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl upon by the parties, namely settlement outside the court by means of consultation, negotiation, mediation, conciliation, or expert judgment. 76 the sentence “...through a procedure agreed upon by the parties...” means that the regulation does not specifically state that arbitration must be done offline. this opens up the possibility of odr. uu ite states that civil lawsuits disputes may be resolved through alternative dispute resolution in accordance with the provisions of indonesian regulations. 77 this provision should also open up the possibility of odr. pp pmse states that in the event of a dispute, it can be settled through a dispute resolution mechanism that is not limited to offline mechanisms but it is possible to do it electronically or, in other words, online dispute resolution.78 it is regulated that the parties are able to choose the law which will be applied for international e-commerce transactions. it will also be used to determine court forum, arbitration, or other alternative dispute resolution to handle disputes. oecd sets up general principles and recommendations to provide effective and clear transactions for consumers by analyzing mechanisms that need improving to achieve this goal. it could be transformation from government, regulation, or consumers' aspect regarding socialization of data privacy, payment transparency, and many more. first, the importance of transparency and effective protection for the customers. it is necessary for sellers to give reliable information to the consumers according to the standards set by oecd, by collaborating with governments and stakeholders to achieve such protection standards to protect consumers in e-commerce transactions. second, related with reliable information, it is the availability of information to be accessed by consumers about the business, creating effective communication between seller and consumers by providing information of business location, address, email address, contact, websites, legal documents. third, providing an effective and transparent dispute resolution mechanism and redress both locally and 76 ibid. article 1(10) 77 article 39 of law no. 11/2008 on information and electronic transaction 78 article 72 of government regulation no. 80/2019 on trade through electronic system available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/131 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl internationally which are affiliated with cross-border transactions.79 these are the standard principles created by international organizations with the aim to secure and protect the rights of consumers in e-commerce transactions. for comparison, the united states has created the american arbitration association (aaa) which has incorporated odr into their arbitration services called virtual hearing managed service.80 basically, the aaa has established an online arbitration system using video meetings. aaa has principles that ensure the alternative dispute resolution process runs smoothly. first, the avoidance of conflict of interest in a dispute resolution, where the staff members do not write and review awards, arbitrators and mediators are bound by the code of ethics and standard of conduct. both of them must disclose their interest and relationship once chosen. arbitrator impartiality is strictly oversight to prevent bias. parties may use other statutory or other methods besides the ones provided by aaa and parties may also object to an arbitrator chosen by aaa.81 second, conflict management, where aaa manages conflict settlements by facilitating conferences, publications, training, adr guides, and sample clauses. aaa also provides its own contract in providing many variations of conflict dispute management. especially for employees, it is solved by the smart solution program where it is specially focused to handle non-union employees. third, confidentiality, as aaa staff and neutrals are obliged to keep confidential information private and individual arbitration may be closed if it is agreed by the parties but regulation and procedures are available publicly on the web.82 fourth, diversity and inclusion, the aaa prioritizes diversity and inclusion to hire its neutrals staffs, directors, business executors, partners, conflict professionals. in seeking advice, aaa also focused on diverse committees. 79 oecd, consumer protection in e-commerce: oecd recommendation (paris: oecd publishing, 2016), https://www.oecd.org/sti/consumer/ecommerce-recommendation-2016.pdf. 80 https://www.adr.org/virtual-hearing-managed-services. 81 https://www.adr.org/statementofethicalprinciples 82 ibid. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/132 https://www.oecd.org/sti/consumer/ecommerce-recommendation-2016.pdf https://www.adr.org/virtual-hearing-managed-services https://www.adr.org/statementofethicalprinciples jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl fifth, proficient neutrals, aaa set a high standard on recruiting neutrals, which is regularly evaluated, provided with mandatory training, provides high criteria level of obligations and procedures in selecting mediator and arbitrators, neutrals also have their own distinguish and individual speciality.83 sixth, financial integrity, aaa provides their own professional independent financial accountants, employees are obliged to comply with standards of ethics and business conduct. compensations are only received after the case is handled, the assets are managed by external independent parties, the performance of the portfolio and its compliance with the investment policy is monitored by the investment committee and aside from public information, financial private information are unavailable to public including mediators and arbitrators. seventh, impartiality, directors and neutrals are not given special treatment in filing cases and doing their services and it is proven 95% of the cases are based on the name of administrative agency in clause, legislation, citations and rules in websites.84 eighth, information disclosure and dissemination, president’s letter and financial statements that have been audited are disclosed, provides a website which gives information to the public, fees of service are published on the web and presented to clients. ninth, accessible process, there will be a fee reduction if it is proven that there is a financial issue with the party, for claims and counterclaims maximize at $10.000 the fee of arbitrators are fixed in only $750, fee of business consumer claim is not more than $200.85 tenth, due process and fairness standard, in doing the cases, aaa managements are guided by the due process protocols, aaa reviews the contract clauses if it is found that deviates from the consumer due process protocol for cases under $75.000 and it may reject if it does not abide to the protocols set by aaa. eleventh, clients complaints and feedback, as clients, parties, neutral may address any complaints and feedback by contacting case managers, vice presidents, and supervisors, 83 84 ibid. ibid. 85 ibid. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/133 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl aaa regularly asking feedback by conducting surveys from educational program attendees and caseloads regarding their service.86 a comparative analysis in accordance with uupk, uu ite, pp pmse and uu aaps shows that there are several principles that are not present in indonesian regulations related to odr. the first principle of oecd and aaa, and the eight principles of aaa about transparency have been regulated in article 3, article 10(a), article 17(1)(a), article 20 of uupk and article 13(1) and (2) of pp pmse. reliable information under the second principle of oecd and the sixth principle of aaa have been regulated in article 3, article 4, article 7, article 9(1), article 10(a), article 17(1)(a), article 20 of uupk, article 15(1) of uu ite, article 13(1) and (2) of pp pmse. the third principle of oecd and all principles of aaa on effective dispute resolution mechanisms have been regulated in article 4 and article 23 of uupk, also incorporated in uu aaps as the legal basis of arbitration procedures in indonesia. aaa’s first principle on avoidance of conflict of interest is regulated under article 18, article 22, article 24 of uu aaps. conflict management in the second principle of aaa is regulated in article 4 of uupk. diversity and inclusion, based on the fourth principle of aaa, have been regulated in article 4 of uupk. customer’s complaints and feedback in the tenth principle of aaa have been regulated in article 4 and article 19 of uupk along with article 18, article 26, article 27 of pp pmse. meanwhile, principles that are not present in current indonesian regulations is the third principle of aaa about confidentiality; the fifth principle of aaa about proficient neutrals; the sixth principle of aaa about financial integrity; the seventh principle of aaa about impartiality; the eighth principle of aaa about accessible process; and the ninth principle of aaa about due process and fairness. in conclusion, it is worth considering to include these principles in the current regulations to accommodate odr in indonesia in the near future. 86 ibid. available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/134 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl the benefits of technology for consumer protection consumers’ trust is a key factor in e-commerce transactions and the application of the right technology may help strengthen this, for example, trustmark seals. trustmark seals is an auditing service to ensure a business and its policies on consumer protection are adequate enough to guarantee it. approved businesses will be given certification on their order and shipping process, security and privacy, as well as return policies. truste and bbonline are organizations that assess businesses regarding their disclosure and privacy standards as well as providing dispute resolution systems for safeguarding the rights of consumers. 87 the ecommerce europe trustmark unifies and creates clear procedures by making a set of regulations and ensures consumers are aware of their rights. the organization aims to safeguard consumers when they are doing online transactions. more than ten thousand online stores have applied for their trustmark seal.88 trustmark seals help consumers be sure of the merchants they are dealing with. trustmark seals also ensures that merchants complies with the best practice in terms of marketing practices, information about the goods/services and its transaction, security, accuracy and accessibility of information, privacy, cancellation/return/refund policies, complaints handling, redress or dispute resolution, warranty, unsolicited e-mail, customer service and/or support, and information about the merchant. trustmark seals set the standard in electronic transactions and it helps customers feel safe and confident. trustmark seals organizations are recommended to provide regular surveillance of merchant’s compliance with the trustmark, by doing verification, auditing, and report.89 therefore, it is important for trustmark seals to be implemented in indonesia through regulations if indonesia wants to benefit from the growing e-commerce. 87 patton & jøsang, “technologies for trust,” 88 https://www.ecommercetrustmark.eu/ 89 american bar association, "addressing disputes in electronic commerce," p. 438 available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/135 https://www.ecommercetrustmark.eu/ jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl conclusion the regulations related to consumer protection are outdated but, substantially, it holds the essence of consumer protection that should protect consumers. while the regulations may be inconsistent or contradict other regulations, the rights of consumers have been clearly stated in the regulations. the problem is ineffective enforcement. a law is useless if it cannot be enforced. to prevent a problem like the grabtoko case from happening again, the government should tighten up the corporation registration process to minimize as many ill-intended corporations as possible in the market. a strict process does not have to be inefficient. this should allow consumers not having to worry whether a corporation is legitimate or not as the number of illegitimate corporations should be suppressed. alternatively, the government could give a sign to corporations that have gone through extensive background checks. the sign should be easily identified by consumers without much effort for them. consumer awareness of their rights and their capability to protect themselves against fraudulent corporations are also important factors but it has not been successfully socialized. as it stands right now, consumer protection organizations are not capable and well organized to do their responsibilities, evidently so from the grabtoko case. the consumers were deceived and the law failed to protect and compensate them. changes should be made in order to improve their effectiveness and efficiency. even with multiple complaint services, the consumers did not manage to get their rightful compensation. it is also not efficient in terms of administration. all consumer disputes should be directed to bpsk because it is the organization with the authority to settle those disputes. bpkn and lpksm should be focused on their other responsibilities and leave dispute settlement to bpsk. the implementation of odr should help bpsk in providing protection to consumers. consumers could simply submit their complaints through a single channel. physical offices should be prioritized for cities that do not have access to the internet. as for its jurisdiction, the regulations do not differentiate between traditional transactions and e-commerce transactions. as long as the requirements in the regulations are available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/136 jpcl 5(2) (2021) 120-140 jp cl journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl fulfilled, bpsk should be able to settle both kinds of transactions. still, e-commerce transactions are unique in their own ways, uupk should be amended accordingly to address e-commerce transactions. odr should be implemented in indonesia because it has significant benefits for dispute settlement. several indonesian regulations already serves as a foundation for odr, like uu aaps and pp pmse. there are international organizations that already exercise odr and they can be used as reference. while indonesia has regulations that could serve as the foundation for odr, it is not a concrete foundation yet. the existing regulations do not differentiate between conventional commerce dispute resolution and e-commerce dispute resolution. e-commerce is a complex matter by itself. it needs further legal reinforcement by enacting a new regulation specifically for odr. there is no institution that handles odr. if there is a specific regulation on odr, there should also be an institution for it too. the institution could be independent or it could be placed under bani. in order for odr to work, the public will need access to it which requires an electronic device and adequate internet connection that not all people have because of underdeveloped infrastructure. as discussed above, it is important for trustmark seals to be implemented in indonesia. the implementation of trustmark seals has been proven in europe hence why it should be applied in indonesia. with a growing e-commerce, a better security measure should be considered to minimize further fraudulent transactions. on the other hand, it will encourage merchants to practice good business ethics. therefore, the government should join in this matter by formulating and enacting a regulation on trustmark seals to encourage the use of trustmark in indonesia along with an institution to supervise it. another reason is the right of consumers to receive legal protection in their transactions. a proper trustmark regulation must be thought 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https://www.cnbcindonesia.com/news/20210111171944-4-215116/kerugian-konsumen-yang-kena-tipu-grab-toko-rp-11-miliar https://www.cnbcindonesia.com/news/20210111171944-4-215116/kerugian-konsumen-yang-kena-tipu-grab-toko-rp-11-miliar jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 67 business law perspective in the protection of the old city as a cultural reserve area adrianus terry febriken faculty of law, universitas diponegoro, indonesia vebriken@gmail.com darminto hartono paulus faculty of law, universitas diponegoro, indonesia damintohart@gmail.com submitted: may 27, 2021 revised: may 31, 2021 accepted: may 31, 2021 abstract kota tua is a cultural heritage area that needs conservation. this area has old buildings that need protection and preservation. protection and preservation of old buildings in the old city of jakarta is the responsibility of the department of tourism and culture of dki jakarta as stipulated in local regulation no. 10 of 2008 concerning regional device organization in article 62 paragraph (2), concerning the task of organizing tourism and cultural affairs. the purpose of writing this law is to know how the local government in protecting old buildings and to know the problems and efforts of the local government in protecting old buildings in the old city area of jakarta. the authors in his study used normative juridical methods to collect data by reviewing or analyzing secondary data. while the data processing techniques used are by qualitative methods. conservation is an effort made by the department of tourism and culture of dki jakarta in protecting and preserving old buildings in the old city area of jakarta. the implementation unit of the activity as the executor of the service function is difficult to execute conservation activities so it must work with the private consortium company and the restoration council team to still be able to participate in the implementation. keywords: conservation; cultural heritage objects; cultural heritage areas. mailto:vebriken@gmail.com jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 68 introduction indonesia is a former colony. at that time, many buildings, parks, statues, churches were built with dutch colonial architecture. the heritage building has become part of the history of the indonesian nation with historical value and aesthetic value.1 the physical remains of the colonial era (buildings and environment) that still exist today are sufficient to color the architecture in indonesia today, and need to be considered as cultural heritage that needs to be preserved.2 if they can be properly preserved, the physical remains of the colonial era can bring economic benefits to the indonesian state, because they can be used as tourist attractions. as stipulated in law number 11 of 2010 concerning cultural heritage in article 3 concerning the purpose of preserving cultural heritage, namely preserving the nation's cultural heritage and human heritage, old buildings are objects that are included in the category of cultural heritage objects that must receive preservation and protection. old buildings that become cultural heritage objects are national cultural heritage which has important meaning in the civilization and history of a nation. based on law no. 11/2010 concerning cultural conservation, article 1 states that cultural conservation is a material cultural heritage in the form of cultural conservation, cultural conservation buildings, cultural conservation structures, cultural heritage sites, and cultural conservation areas on land and / or in water that need to be preserved. because it has important values for history, science, education, religion, and / or culture through a process of determination. preservation and protection of old buildings that have been designated as cultural heritage objects and are now widely used as tourist attractions need conservation, for example the jakarta old town area.3 the kota tua area is one of the main tourist attractions in jakarta and has been designated as a cultural heritage area according to the decree of the governor of kdki no. 475 of 1993 concerning the designation of historical 1 handinoto, arsitektur dan kota-kota di jawa pada masa kolonial, yogyakarta: graha ilmu, 2010, page 1. 2 mukhlis paeni, sejarah kebudayaan indonesia, jakarta: pt rajagrafindo, 2009, page 325 3 zaenuddin hm, asal-usul kota-kota di indonesia tempo doeloe, jakarta: pt zaytuna ufuk abadi, 2013, page 191 jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 69 buildings in dki jakarta as cultural heritage objects. in law number 11 of 2010 concerning cultural conservation in article 95 paragraph (1) concerning the government's duties that regional governments participate in the protection, development and utilization of cultural heritage. the government has an obligation to preserve historical buildings in indonesia. autonomy is the handover of affairs by the government to local governments to regulate and manage government affairs themselves according to legislation. however, in the implementation of autonomy, there are government affairs which fall under the authority of the regional government consisting of mandatory and optional affairs. preserving cultural values ​ ​ is one of the regional obligations in implementing autonomy. given the important role of cultural heritage objects in the field of science, religion and as a local and international tourist destination, requires the government to carry out the maintenance and preservation of buildings that become cultural conservation objects through conservation. conservation is one of the efforts / efforts made to maintain the preservation of buildings that are old or have a long life. the conservation effort of old buildings is to maintain the shape of the buildings, historical values, and national culture. this research makes kota tua jakarta the object of research because kota tua is a cultural heritage located in the capital city of indonesia. it is hoped that kota tua is located in the country's capital city to serve as an example for other regions in indonesia to conserve cultural heritage in their respective regions. the main problem with the preparation of this research is how do local governments conserve the kota tua jakarta area? and what are the problems and efforts of the local government in the conservation of old buildings in the kota tua jakarta area? research methode the method is a way or a way to solve problems that exist in the present by collecting, compiling, clarifying and interpreting these data. 4 research according to kerlinger is a process of discovery that has systematic, controlled, empirical characteristics and is based 4 muhammad nazir, metode penelitian, jakarta, ghalia indonesia, 1985, page 1 jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 70 on theories and hypotheses or temporary answers.5 thus research is a person's effort that is carried out systematically, controlled, and based on existing theories and is strengthened by existing symptoms. the method used in this research is the juridical normative method, namely by reviewing or analyzing the articles in the laws and regulations that govern the problem, because the library review is legal norms.6 the data taken is secondary data from written materials, such as laws, books, law magazines, articles, journals, bibliographies, catalogs, directories and libraries. techniques for processing and analyzing data, namely by using qualitative methods to achieve clarity on the issues to be discussed. results and discussions all indonesians must be familiar with jakarta. dki jakarta is the capital city of the republic of indonesia. jakarta is located in the north of java island, at the estuary of ciliwung, jakarta bay. the betawi tribe is a native of jakarta. jakarta is the center of the national government as well as the provincial government of dki jakarta which regulates finance, business, becomes the center of politics and economy. jakarta has captivated the hearts of many people from all aspects of life, namely being the center of indonesian music, creative industries, shopping centers with branded goods, and tourist attractions. jakarta is one of the tourist destinations in indonesia, for example historical tourism such as those in the old city area. historical tourism in the kota tua area provides a different atmosphere for us when visiting there, because there are heritage buildings from the dutch colonial era. kota tua jakarta or also known as old batavia was founded in 1527 by fatahillah, now an area that used to function as the center of government, trade center throughout asia, services and services and mixed with housing.7 after the completion of the japanese occupation, in 1972, the governor of jakarta, ali sadikin, issued an order to officially make the kota tua area a heritage site for indonesian history. 5 ibid, page 4 6 nico ngani, metodologi penelitian dan penulisan hukum, yogyakarta, pt buku seru, 2012, page 176 7 http://akar-media.com/kota-tua-situs-kerajaan-batavia-berikut-adalah-akar-dari-jakarta diunduh tanggal 24/07/2015 pukul 12.19am http://akar-media.com/kota-tua-situs-kerajaan-batavia-berikut-adalah-akar-dari-jakarta jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 71 the kota tua area was originally an area of 846 hectares, but after the issuance of governor regulation no. 36 of 2014 concerning the old town area master plan, the area is 335 ha. ownership of buildings in this area is divided into 3 (three), namely, by local government, private and sawasta / bumn. local government only has about 2% ownership of cultural heritage buildings in this area, the rest is owned by private and private or bumn. the buildings or objects that are used as cultural heritage in the kota tua jakarta are: 1. café batavia, which is opposite the jakarta history museum on jalan pintu besar utara no.14, west jakarta 2. the statue of hermes, located on the east side of the harmoni bridge which was later moved to the jakarta history museum and the old place was replaced with a replica 3. melaka gallery museum, located at jalan melaka no.7-9 roa malaka, tambora, jakarta old town area 4. bank mandiri archive building, located at pintu besar utara street no.23-26 pinangsia village, taman sari district, west jakarta 5. jakarta kota post office, right in front of the jakarta city history museum opposite the taman fatahillah post office and is the center of old jakarta or called oud batavia 6. regional office of pt asuransi jasa indonesia, located at jalan pintu besar utara no. 9 pinangsia village, taman sari district, west jakarta 7. fine arts and ceramics museum 8. the bank indonesia museum or javasche bank, is located at pintu besar utara no.3, west jakarta 9. bank mandiri museum, located at jalan lapangan stasiun no.1, west jakarta 10. the jakarta history museum, at jalan taman fatahillah no.1, west jakarta 11. luar batang mosque, located in kampung luar batang, penjaringan, north jakarta 12. jakarta kota station jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 72 13. jakarta history museum 14. kota intan bridge 15. maritime museum, located on jalan pasar ikan, north jakarta 16. the harbormaster tower (uitkijk) 17. voc shipyard, across the street from the maritime museum building and the syahbandar tower 18. the red shop 19. the oriental roofed shophouse is known as the chinatown of the jami annawier mosque or langgar tinggi in a multi-ethnic village. 20. fish market, located to the northeast of the maritime museum 21. sunda kelapa harbor, located in penjaringan district 22. puppet museum, located at jalan pintu besar utara no. 27, west jakarta.8 according to governor regulation no. 36 of 2014 concerning the old town area master plan, it is explained that the old town area is divided into 5 (five) zones. this zone deals with the process of structuring, developing and utilizing the jakarta old town area. currently, it covers 2 (two) areas of the administrative city, namely west jakarta and north jakarta. the division of 5 zone zones, namely: 1. sunda kelapa harbor and its surroundings 2. the old city center area (taman fatahillah) and its surroundings 3. chinatown area 4.multi ethnic village area (pekojan) 5. kawaasan kota tua business center (rejuvenation). the kota tua area is designated as a historical, cultural, business area as well as a tourism destination. therefore, the old town area needs an organization that can control the entire area and coordinate all activities that can be accounted for. this is reflected in the governor regulation no. 127 of 2007 which discusses the formation, organization and work procedures of the old town planning and development unit of the culture and 8 http://kotatuajakarta.info/category/cagar/ jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 73 museum office of the province of the special capital region of jakarta which has the task of managing, organizing, conserving, developing, monitoring, controlling and publishing the kota tua area. the kota tua area is an area under the supervision of the upk (implementing unit). as stated in the governor regulation no. 107 of 2009 concerning the organization and work procedure of the tourism and culture office, article 72 states that the tourism and culture office can have a technical implementing unit to carry out service functions to the community or to carry out supporting functions for the duties and functions of the tourism and culture office. so that the old city area becomes the responsibility of the upk (activity implementing unit). the kota tua activity implementing unit is coordinating, meaning that the kota tua activity implementing unit is only the party that controls and oversees every activity and cultural heritage objects within the old town area. old buildings in the kota tua jakarta area are mostly buildings that are more than fifty (50) years old. the architectural style of the buildings in the old city area is like the dutch colonial style and oriental style buildings. under the supervision of the tourism and culture office, the activity implementation unit (upk) has the task of implementing the conservation of buildings and environment of regional cultural heritage. old buildings that are conserved or are going to be conserved must be sealed through the restoration session team, which has the task of beautifying the old town area, which is a cultural heritage area protected by the local government. the maintenance and management of old buildings which have become private / state-owned and private ownership status, if there is damage to the old building, it is the responsibility of the owner. local governments do not have the authority or rights over buildings that do not belong to them, because it is beyond their responsibility, unless the old building is not cared for and abandoned by the owner. old buildings that are in damaged condition and neglected by their owners, if within a certain period of time they jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 74 are not handled, they will change hands and become the property of the regional government. the conservation of old buildings in the kota tua jakarta area is supported by various parties. the existence of cooperation in the implementation of conservation of old buildings in kota tua jakarta is a consideration for the regional government in budgeting funds because it is part of its responsibility. the tourism and culture office as supervisor of the management of tourist attractions wants in the future to be able to promote places that have tourism potential and can generate foreign exchange. promotion of tourist attractions with routine annual or monthly activities such as festivals will be greatly supported if there are achievements accompanied by activities so that the income from various activities can be used for repair or improvement of objects or buildings in cultural heritage areas that are used as tourist destinations. attracting the attention of tourists inside and outside the city is one of the goals of the tourism and culture office. places that have tourism potential support an increase in economic growth and state income. these supporting factors are one of the reasons for local governments to manage and maintain tourist areas. management and maintenance such as conservation is an effort to preserve cultural heritage objects from being damaged. conservation is the maintenance and protection of something regularly to prevent damage and destruction by preserving and performing restoration. conservation of old buildings can be done in various ways. conservation objectives are carried out with the following objectives: 1. defense condition so as not to be damaged. 2. increase strength by adding certain reinforcing agents to prevent damage to the object concerned. so far, the conservation implementation has been carried out when the results of the restoration session team meeting have been decided. the regional government together jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 75 with the activity implementation unit and private consortium conduct direct conservation of old buildings which are categorized as eligible for renovation. if the conservation efforts of the old city area go well, then what will happen is an increase in the interest of domestic and foreign tourists to make kota tua a tourist destination. so that the large number of visitors to the old city will have a good economic impact on the government by getting income from the tourism sector. in addition, local people who have businesses in the kota tua area will also get an increase in income due to the large number of visitors to kota tua. this is what is expected to happen if kota tua conservation is carried out and runs well, namely an increase in local government revenue and the economic level of the local community. conclusion based on the results of research and discussion as described, the following conclusions can be drawn: the legal aspects of business that can be carried out by the regional government, namely the kota tua upk which is in charge of conserving old buildings in the kota tua area only has a coordinating nature, meaning that the upk kota tua only has the authority coordinating the implementation of conservation. meanwhile, conservation implementers are carried out by the restoration session team through a consideration meeting held by the tourism and culture office and the jakarta old town upk. the problems experienced by the regional government, namely upk kota tua as executing service functions, are difficult to execute activities that are directly related to the maintenance and preservation of cultural heritage buildings because conservation implementation activities must go through a meeting from the cultural heritage restoration council team. the efforts of the regional government in the conservation of old buildings in the kota tua jakarta area are to collaborate with private consortium companies and the pemugaraan session team to carry out conservation of old buildings, so that during the implementation of conservation parties from upk kota tua jakarta continue to participate in implementing conservation of old buildings. if kota tua jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 76 conservation is carried out and runs well, namely an increase in local government revenue and the economic level of the local community. bibliography book: hardinoto. (2010). arsitektur dan kota-kota di jawa pada masa kolonial. yogyakarta: graha ilmu haw widjaja. (2005). penyelenggaraan otonomi di indonesia. jakarta: pt raja grafindo persada i gede pitana. (2009). pengantar ilmu pariwisata. yogyakarta: andi james j. spillane. (1987). ekonomi pariwisata sejarah dan prospeknya. yogyakarta: kanisius muhammad nazir. (1985). metode penelitian. jakarta: gahalia indonesia nico ngani. (2012). metodologi penelitian dan penulisan hukum. yogyakarta: pt. buku seru siswanto sunarno. (2012). hukum pemerintahan daerah di indonesia. jakarta: sinar grafika zaenuddin hm. (2013). asal-usul kota-kota di indonesia tempoe doeloe. jakarta: pt zaytuna ufuk abadi rules 1945 constitution of the republic of indonesia law number 11 of 2010 concerning cultural heritage law number 10 of 2009 concerning tourism law number 23 of 2014 concerning regional government dki jakarta regional regulation number 10 of 2008 concerning regional apparatus organization governor regulation number 127 of 2007 concerning the establishment of the organization and work procedure of the old town area structuring and development unit of the department of culture and museum of dki jakarta province jpcl 5(1) (2021) 67-77 cl journal of privateand commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp 77 governor regulation number 7 of 2011 concerning the establishment of the organization and work procedure of the old town area management unit other sources: unit pelaksana kegiatan penataan dan pengembangan kawasan kota tua, dinas pariwisata dan kebudayaan dki jakarta (jakarta:2014). http://akar-media.com/kota-tua-situs-kerajaan-batavia-berikut-adalah-akar-dari-jakarta diunduh tanggal 24/07/2015 pukul 12.19am http://akar-media.com/kota-tua-situs-kerajaan-batavia-berikut-adalah-akar-dari-jakarta jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 141 legal uncertainty regarding abuse of authority that is harming state finance in indonesia judith sukmaningtyas faculty of law, universitas diponegoro, semarang, indonesia nicejudityas@gmail.com nabitatus sa’adah faculty of law, universitas diponegoro, semarang, indonesia nabitatussaadah@gmail.com submitted: october, 14, 2021 revised: october 23, 2021 accepted: october 26, 2021 abstract this study aim s to disc uss issues regardi ng the legal certain ty of c rimi nal acts of abuse of authority an d problems regarding th e return of state financi al losse s in handling corruptio n cases in indonesia. to examine these prob l ems, a normative ju ridical re search method was used using secondary leg al data consisting of p rima ry le gal material s and secon dary legal mate rials. ba sed on the resu lts of th e study , it i s known that the handling of cases of corruptio n crimes cannot be separated from the influences of the bureaucracy and political factors, both from the legal provision s that go vern it and from unscrupulous government official s with strategic p osi tions in the government who are perpetrato rs of abu se of authori ty that i s detrimental to finances. country . however, the re is a discrepancy in the regulati on regarding abuse of a uthori ty in the law on government administra tion an d the law on criminal a cts of corrup tion in indonesia , especially in te rm s of recovering sta te financial losses. keywords: abuse of authority; corruption; loss of state finance. mailto:nicejudityas@gmail.com mailto:nabitatussaadah@gmail.com jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 142 introduction corruption in indonesia is mostly carried out by unscrupulous public officials who have the authority to administer a country's bureaucracy(m. aris purnomo 2015). corruption committed by these individuals by utilizing their authority for personal gain, this is what is called abuse of authority in criminal acts of corruption. indonesia as a state of law, in which basically, the explanation of the 1945 constitution regarding the indonesian government system is explained that the indonesian state is based on law (rechtsstaat) not based on mere power (machtsstaat), in this case it appears that the word "law" is used as the opposite of law. the word "power". but if power is all about suppression, intimidation, tyranny, violence and coercion, then the law can be used by certain parties who benefit themselves but can harm others. in the 1945 constitution of the republic of indonesia, there are legal principles related to the law and political system, including; the legal principles of a unitary state, the legal principles regarding regional government, the legal principles of sovereignty in the hands of the people are implemented according to the constitution, the legal principles of the indonesian state are the rule of law, and the legal principles concerning the power of the state government1. there are several factors that still indirectly affect law enforcement in indonesia. the interests of certain groups or groups of political elites are one of these factors. whereas the law enforcement apparatus (aph) should be independent and in handling a case, it should not be influenced by certain political interests. talking about corruption cases in indonesia is still the main concern of law enforcers and non-governmental organizations in indonesia, such as indonesia corruption watch (icw), which has been intensively highlighting the issue of corruption in indonesia. starting from corruption committed at the rural level to the national level, ranging from small state losses to large state losses. data released by the corruption eradication commission shows that corruption in indonesia is still a lot going on, as can be seen in the following statistics: 1 simamora, janpatar. "tafsir makna negara hukum dalam perspektif undang-undang dasar negara republik indonesia tahun 1945." jurnal dinamika hukum 14.3 (2014): 547-561. jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 143 chart 1: statistics on corruption crimes in indonesia in 2018-2021 source: kpk(kpk 2021) based on the data above, it is true that the quantity of corruption crimes from 2018 to 2021 has decreased, but when viewed in terms of the quality of criminal acts committed when the country of indonesia and even the world is in a pandemic situation as it is today, it can be stated that the quality of corruption is currently very high compared to previous years. however, the handling of corruption cases is often constrained by the question of whether it is true that someone suspected of committing a criminal act of corruption really intends or is just negligence so that his actions are included in the crime of corruption, whether because of his actions the state is harmed, whether the state losses are refunded. can erase someone's mistakes2. there is a provision that can more or less affect the handling of cases, in this case the corruption case, namely law number 30 of 2014 concerning government administration. in legal construction, law number 30 of 2014 concerning government administration is the material law of the state administrative law. citizens can file a lawsuit against the 2 simamora, janpatar. "tafsir makna negara hukum dalam perspektif undang-undang dasar negara republik indonesia tahun 1945." jurnal dinamika hukum 14.3 (2014): 547-561. 736 718 477 131 0 100 200 300 400 500 600 700 800 2018 2019 2020 2021 corruption crimes jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 144 decisions and/or actions of the agency and/or government officials to the state administrative court. if it is related between law number 30 of 2014 concerning government administration and law number 31 of 1999 concerning eradication of criminal acts of corruption in conjunction with law number 20 of 2001 concerning amendments to law number 31 of 1999, on the one hand law enforcement must still be carried out, in this case the eradication of corruption crimes, but on the other hand there are considerations to review whether the actions of an official is a criminal act or merely an administrative error that has the potential to cause state losses, where if the actions of an official because of an administrative error or negligence resulting in state losses, the state losses can be recovered by being returned to the state with a certain mechanism and the official is not subject to a crime. meanwhile, it is clearly regulated in article 4 of law number 31 of 1999, that the return of state financial losses or the state's economy does not eliminate the punishment of the perpetrators of criminal acts as referred to in article 2 and article 3. several stages to explore the forms of errors of officials who have certain authorities. through this paper, we will discuss the effectiveness of law number 30 of 2014 with law enforcement, in this case handling cases of corruption crimes. based on the description above, this research will specifically discuss two problems. the first problem is what is the background of the enactment of law number 30 of 2014 concerning government administration and its relation to law number 31 of 1999 concerning eradication of criminal acts of corruption? and the second problem is how to prevent law enforcement related to corruption crimes from being hampered by the mechanism as stipulated in law number 30 of 2014? method that the method used in this research is a normative juridical approach, which is an approach that refers to the law and legislation using a statutory approach3. this study uses 3 benuf, kornelius, and muhamad azhar. "metodologi penelitian hukum sebagai instrumen mengurai permasalahan hukum kontemporer." gema keadilan 7.1 (2020): 20-33. jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 145 secondary legal data consisting of primary legal materials, namely legislation, namely law number 30 of 2014 concerning government administration and its relation to law number 31 of 1999 concerning eradication of criminal acts of corruption and secondary legal materials, namely literature related to research problem. the data and legal materials were obtained through literature study4. in this paper, descriptive analytical research specifications are used and through library research methods (primary, secondary and tertiary legal materials) with qualitative analysis. results and discussions study of abuse of authority as regulated in the prevailing laws before examining further, the abuse of authority regulated in indonesia, it is necessary to first put forward several theories that are used as the basis for the analysis in this discussion, the first is the legal system theory proposed by lawrence m. friedman, a legal sociologist from stanford university, there are 4 (four) main elements of the legal system, namely the legal structure, legal substance, and legal culture5. according to lawrence m. friedman, the success or failure of law enforcement depends on the substance of the law, the structure of the law/legal institutions, and the legal culture. the first theory, namely legal substance in lawrence m. friedman's theory, is referred to as a substantial system that determines whether or not the law can be implemented. substance also means the products produced by people who are in the legal system which includes the decisions they make, the new rules they make6. the second theory is the legal structure / legal institution, this is referred to as a structural system that determines whether or not the law can be implemented properly. the authority of law enforcement agencies is guaranteed by law, so that in carrying out their duties and responsibilities, they are free from the influence of government power and other 4 sonata, depri liber. "metode penelitian hukum normatif dan empiris: karakteristik khas dari metode meneliti hukum." fiat justisia jurnal ilmu hukum 8.1 (2014): 15-35. 5 friedman, m. lawrence. american law an introduction (second edition). jakarta: pt. tatanus, 2011 6 gumbira, seno wibowo, adi sulistiyono, and soehartono soehartono. "and, the, to, of arbitration and alternative dispute resolution outside the court according to law number 14 of 2001 on patent." hang tuah law journal (2020): 101-117. jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 146 influences. the law cannot run or be upright if there are no credible, competent, and independent law enforcement officers. the third theory, namely legal culture / legal culture, is the human attitude towards the law and the legal system-beliefs, values, thoughts, and expectations. legal culture is the atmosphere of social thought and social forces that determine how the law is used, avoided, or abused. associated with the legal system in indonesia, friedman's theory can be used as a benchmark in measuring the law enforcement process in indonesia. that the basic ideas contained in the 1945 constitution must be used as principles or parameters in the formation of any laws, equality between state institutions, democratic relations between the central and regional governments, human rights (ham) which include social, economic rights, law, and development must be used as a source as well as a parameter in examining the substance of the bill or law that will be formed7. cybernetics theory proposed by talcott parsons. according to talcott parsons that community life is an interrelated system, and consists of 4 (four) subsystems, namely the economic sub-system, the political sub-system, the social sub-system, and the cultural subsystem8. the economic sub-system functions as a systematic adaptation to all processes of people's lives (economic, political, social, cultural). the political sub-system functions to achieve the goal (goal pursuance) which is to encourage citizens to respect legal rules and values. the social sub-system functions as an integration, namely creating a harmonious relationship between the legal process and the social system in society. the culture subsystem functions to maintain a pattern of behavior (pattern maintenance) with positive community life values. the four sub-systems are interrelated and have 2 (two) currents, namely the energy flow which is pointing upwards, which is getting bigger and getting smaller and smaller, and the flow of information which is pointing upwards is getting smaller and getting smaller and smaller. the theory put forward by talcott parsons basically suggests that the law in society is not autonomous because its enforcement is always influenced by non-legal factors, namely economic, political, social and cultural factors. 7 mustaghfirin, h. "sistem hukum barat, sistem hukum adat, dan sistem hukum islam, menuju sebagai sistem hukum nasional sebuah ide yang harmoni." jurnal dinamika hukum 11 (2011): 89-95. 8 badriyah, siti malikhatun. "pemuliaan (breeding) asas-asas hukum perjanjian dalam perjanjian leasing di indonesia." yustisia jurnal hukum 1.2 (2012). jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 147 based on the theoretical description above in relation to the regulation regarding abuse of authority regulated in the laws and regulations in indonesia, that as in the preamble to law number 30 of 2014, there are several considerations, namely in order to improve the quality of government administration, agencies and/or officials. government in exercising authority must refer to the general principles of good governance and based on the provisions of laws and regulations, that in order to solve problems in the administration of government, regulations regarding government administration are expected to be a solution in providing legal protection, both for citizens and government officials. , that in order to realize good governance, especially for government officials, the law on government administration becomes the legal basis needed to base the decisions and/or actions of government officials to to meet the legal needs of the community in the administration of government. article 1-1 states that government administration is the procedure for making decisions and/or actions by government agencies and/or officials. meanwhile, what is meant by government administrative actions as referred to in article 1-8 are actions by government officials or other state administrators to take and/or not to take concrete actions in the context of administering the government. as in the general explanation of law number 30 of 2014 it is stated that in accordance with the provisions of article 1 paragraph (2) of the 1945 constitution of the republic of indonesia, sovereignty rests with the people and is implemented according to the constitution. furthermore, according to the provisions of article 1 paragraph (3) of the 1945 constitution of the republic of indonesia, the state of indonesia is a state of law. this means that the system of administering the government of the republic of indonesia must be based on the principle of people's sovereignty and the principle of the rule of law. in order to guarantee protection for every citizen, this law allows citizens to file objections and appeals against decisions and/or actions, to the agency and/or government officials or superiors of the officials concerned. citizens can also file a lawsuit against the decisions and/or actions of government agencies and/or officials to the state administrative court, because this law is a material law of the state administrative court system. this law is the legal basis for the administration of government in an effort to improve good governance and as an effort jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 148 to prevent the practice of corruption, collusion, and nepotism. thus, this law must be able to create a better, transparent and efficient bureaucracy. this law is intended not only as a legal umbrella for the administration of government, but also as an instrument to improve the quality of government services to the community so that the existence of this law can truly realize good governance for all government agencies or officials at the center and regions. whereas the scope of government administration arrangements in law number 30 of 2014 in article 4, covers all activities: government agencies and/or officials who carry out government functions within the scope of executive institutions, government agencies and/or officials who carry out government functions within the scope of institutions judicial bodies and/or government officials who carry out government functions within the scope of legislative institutions, other government agencies and/or officials who carry out government functions as mentioned in the 1945 constitution of the republic of indonesia and/or laws. regarding the abuse of authority, as regulated in article 17 of law no. 30 of 2014 that government agencies and/or officials are prohibited from abusing their authority. prohibition of abuse of authority includes prohibition of exceeding authority, prohibition of mixing authority, and/or prohibition of acting arbitrarily. article 18 states that the agency and/or government officials are categorized as exceeding authority if the decisions and/or actions taken are contrary to the provisions of the laws and regulations. furthermore, regarding the mechanism for determining whether there is abuse of authority or not, it is regulated in article 19, namely being tested through the court. as for the supervision of the abuse of this authority, it is not necessarily carried out by law enforcement officers such as the police, the prosecutor's office, or the kpk, but by the government's internal control apparatus first or abbreviated as apip, as regulated in article 20. there are no errors, there are administrative errors, there are administrative errors that cause state financial losses. here we will focus on those that cause state financial losses. based on article 20 paragraph (4), it is stated that if the results of supervision from the government's internal apparatus are in the form of administrative errors that cause state jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 149 financial losses, no later than 10 (ten) working days as of the decision and issuance of the results of supervision. in paragraph (5) it is stated that the refund of state losses as referred to in paragraph (4) is charged to the government agency if the administrative error occurs not because of an element of abuse of authority. whereas in paragraph (6) it is stated that the refund of state losses as referred to in paragraph (4) is charged to government officials if the administrative error occurs due to an element of abuse of authority. if we look closely, article 20 paragraph (6) states that there is an element of abuse of authority. of course, it is not immediately determined by apip alone, but through the state administrative court, as stated in article 21, namely the court has the authority to accept, examine, and decide whether or not there is an element of abuse of authority committed by government officials, which within 21 (twenty one) days the court is obliged to decide the case. whereas the assessment of an act or action, whether it is an abuse of authority or not, has been transferred to the state administrative court to be tested first, it is not directly handled by law enforcement officers, namely investigators at the prosecutor's office, the police, and the corruption eradication commission (kpk). this certainly extends the time and path of handling findings related to allegations of abuse of authority which are included in the category of corruption. law enforcement related to abuse of authority by state officials in relation to state financial losses talking about law enforcement, first we will discuss the function of law. that the function of the law is broad, depending on the objectives of general law and the specific objectives to be achieved. the following is a description of the legal functions, among others: a) the function of law as a tool of social control. this function as a means of social control, can be explained as a function to determine which behavior is considered a deviation from the rule of law, and what sanctions or actions are taken by law in the event of such deviation. b) the function of law as a tool of social engineering. this function makes the law a tool to change society, in the sense that the law may be used as a tool or agent jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 150 of change, or a pioneer of desired social change as previously planned. who still live by tradition) towards modern society following the development of culture due to the development of science. c) the function of law as a symbol. a function that provides legal symbols so that people can more easily understand what is allowed and what cannot be done in the community. d) the function of law as, a political instrument. this function is carried out by the government for the benefit of the people of the nation and state in running the government while still relying on the constitution as the main basis. e) the function of law as an integrator. function to resolve conflicts that exist in the community9. all of the above legal functions can also be expected to realize the social function of law. according to joseph raz, legal functions are divided into: a) primary direct functions, which include preventing certain actions and encouraging certain actions, providing facilities for private plans, providing services and redistribution of goods, resolving disputes outside the regular channels. b) secondary direct functions, including procedures for changing the law and procedures for implementing the law. c) indirect functions, including this indirect legal function, strengthen or weaken the tendency to respect certain moral values10. responsible (accountable) and transparent law enforcement can be interpreted as an effort to implement law enforcement that can be accounted for to the public, nation and state related to the existence of legal certainty in the applicable legal system, also related to the benefits of law and justice for the community, and no less important is accountability to god almighty. the law enforcement process cannot be separated from the legal system itself. everyone probably already knows or at least has heard that "everyone is equal before the 9 jayadi, ahkam. memahami tujuan penegakan hukum. yogyakarta: genta publishing, 2015. 10 rahardjo, satjipto. ilmu hukum. bandung: pt. citra aditya bakti, 2014 jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 151 law". however, how many people have understood what it means and how to implement it in the practice of the legal life of our country in general and the world of justice in particular11. regarding the return of state financial losses as stated in article 20 paragraph (6), when it is associated with article 4 of law number 31 of 1999 concerning the eradication of corruption crimes, of course it seems out of sync. on the one hand, with the return of state financial losses, it is considered that there is no criminal act but merely an administrative error, which error will be erased along with the return of state financial losses(rina arum prastyanti, margaretha evi yuliana 2019). on the other hand, article 4 of law no. 31 of 1999 states that the return of state financial losses does not eliminate the punishment of the perpetrators of criminal acts. this will also be a gap for government officials who actually intend to commit criminal acts of corruption but can take refuge with law number 30 of 2014 if their actions or actions have been monitored by law enforcement officers, including investigators at the prosecutor's office, the police, and ccp12. that to find a solution or the best way for law enforcement and the realization of legal certainty is certainly not easy. the law, which has been drafted in such a way by the legislature together with the president, still has gaps in it which of course cannot be ignored if one really wants to realize legal certainty and the running of good governance. this is where the legal function must be realized as a tool of social control (as a tool of social control), a function to determine which behavior is considered a deviation from the rule of law, and what sanctions or actions are taken by law in the event of such deviation, and law as, a political instrument, functions carried out by the government for the benefit of the people of the nation and state in running the government while still relying on the constitution as the main basis. 11 satria, hariman. "restorative justice: paradigma baru peradilan pidana." jurnal media hukum 25.1 (2018): 111-123. 12 marthin; salinding, marthen b.; akim, inggit. "implementasi prinsip corporate social responsibility (csr) berdasarkan undang-undang nomor 40 tahun 2007 tentang perseroan terbatas." j. priv. & com. l. 1 (2017): 111. jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 152 if we look at article 3 of law number 31 of 1999, namely "every person with the aim of benefiting himself or another person or a corporation, abuses the authority, opportunity, or means available to him because of a position or position that can harm state finances or the country's economy", with article 21 paragraph (1) of law number 30 of 2014 namely "the court has the authority to receive, examine, and decide whether or not there is an element of abuse of authority committed by government officials", can be interpreted as having the same meaning. so that first the role is the government internal supervision apparatus (apip) and then the state administrative court to examine the abuse of authority, while the role of investigators to find out whether or not there is a criminal act of corruption seems slightly sidelined. the mechanism related to handling the mistakes of a government official and handling if there is a state financial loss as regulated in law number 30 of 2014 should not conflict with the spirit of eradicating corruption as regulated in law number 31 of 1999 and its amendments, namely law number 20 2001. if there are reports or complaints from the public or non-governmental organizations to law enforcement officials, which report indications of irregularities or acts of corruption by government officials, the handling is directly carried out by law enforcement officers, both investigators at the prosecutor's office, the police, as well as the kpk. the procedure to find out the abuse of authority or not through the government internal supervisory apparatus (apip), which must then be tested again at the state administrative court should be simplified, so that case handling does not take a long time and a lengthy procedure. likewise, it is also related to article 20 paragraph (6) of law number 30 of 2014 with article 4 of law number 31 of 1999 concerning the eradication of criminal acts of corruption, so that it is synchronized because returning state financial losses does not eliminate the punishment of criminal acts. although the official has returned state financial losses, but because his actions include abuse of authority as referred to in article 3 of law number 31 of 1999, the official must immediately proceed with the legal process until it is submitted to the corruption court, for the sake of realizing legal certainty. jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 153 the abuse of authority by state officials, in this case the government apparatus, can be very detrimental to state finances. for example, when there is an issue where an entrepreneur must make a permit, for example a business license, but in the process of making the permit, the state administrator makes it difficult by asking for a sum of money in return so that the process of obtaining the business license can be fast, even though this action has the potential to harm state finances later, if the business license is a business that is detrimental to the general public, such as a mining business that is detrimental to the social environment or other businesses that are detrimental to the general public. this is an example of abuse of authority that is detrimental to state finances. conclusion that the handling of corruption cases cannot be separated from the influence of the bureaucracy and political factors, both from the legal provisions that govern it and from government officials with strategic positions in government who are the perpetrators of the abuse of authority referred to in the criminal act. corruption. however, when it is understood the meaning of abuse of authority is regulated in the government administration law. the rules in the government administration law stipulate that the return of state financial losses is considered not to be a criminal act but merely an administrative error, which error will be erased along with the return of state financial losses. meanwhile, the corruption law stipulates that the return of state financial losses does not eliminate the punishment of the perpetrators of criminal acts. so it is necessary to synchronize rules and law enforcement regarding criminal acts of abuse, especially when the action is carried out by government officials who are detrimental to state finances, this is intended for the realization of legal certainty. bibliography badriyah, siti malikhatun. "pemuliaan (breeding) asas-asas hukum perjanjian dalam perjanjian leasing di indonesia." yustisia jurnal hukum 1.2 (2012). benuf, kornelius, and muhamad azhar. "metodologi penelitian hukum sebagai instrumen jpcl 5(2) (2021) 141-154 journal of private and commercial law https://journal.unnes.ac.id/nju/index.php/jpcl available online at: https://journal.unnes.ac.id/nju/index.php/jpcl/ jp jp jp cl jp 154 mengurai permasalahan hukum kontemporer." gema keadilan 7.1 (2020): 20-33. friedman, m. lawrence. american law an introduction (second edition). jakarta: pt. tatanus, 2011 gumbira, seno wibowo, adi sulistiyono, and soehartono soehartono. "and, the, to, of arbitration and alternative dispute resolution outside the court according to law number 14 of 2001 on patent." hang tuah law journal (2020): 101-117. jayadi, ahkam. memahami tujuan penegakan hukum. yogyakarta: genta publishing, 2015. kpk. tindak pidana korupsi di indonesia tahun 2018-2021: komisi pemberantasan korupsi, 2021. https://www.kpk.go.id/id/statistik/penindakan/109-statistik (june 2, 2021). marthin; salinding, marthen b.; akim, inggit. "implementasi prinsip corporate social responsibility (csr) berdasarkan undang-undang nomor 40 tahun 2007 tentang perseroan terbatas." j. priv. & com. l. 1 (2017): 111. mustaghfirin, h. "sistem hukum barat, sistem hukum adat, dan sistem hukum islam, menuju sebagai sistem hukum nasional sebuah ide yang harmoni." jurnal dinamika hukum 11 (2011): 89-95. purnomo, m. aris, and eko soponyono. "rekonseptualisasi penyidikan tindak pidana korupsi oleh polri dalam rangka efektifitas pemberantasan tindak pidana korupsi." law reform 11.2 (2015): 230-240. prastyanti, rina arum, margaretha evi yuliana, s. andi sutrasno. “corruption prevention model based on mobile banking.” journal of private and comercial law 3(2) (2019): 82–89. rahardjo, satjipto. ilmu hukum. bandung: pt. citra aditya bakti, 2014 sonata, depri liber. "metode penelitian hukum normatif dan empiris: karakteristik khas dari metode meneliti hukum." fiat justisia jurnal ilmu hukum 8.1 (2014): 15-35. satria, hariman. "restorative justice: paradigma baru peradilan pidana." jurnal media hukum 25.1 (2018): 111-123. simamora, janpatar. "tafsir makna negara hukum dalam perspektif undang-undang dasar negara republik indonesia tahun 1945." jurnal dinamika hukum 14.3 (2014): 547561. copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. the dark side of cultural heritage protection hendra wahyu alamsyah faculty of law, negeri semarang, indonesia hendrawahyualamsyah@students.unnes.ac.id prasasti dyah nugraheni faculty of law, universitas negeri semarang, indonesia prasastudyahnugraheni@students.unnes.ac.id muhammad shidqon prabowo faculty of law, universitas wahid hasyim, indonesia shidqonhamzah@yahoo.com eva andriani msc accounting and finance university of leeds, united kingdom evaaleeds@gmail.com abstract this article introduces the concept of the dark side of cultural heritage protection. the existence of strict legal protection with burdensome sanctions is expected to provide a sense of security for a country to protect its cultural heritage from threats from other countries or communities. however, it is an unavoidable fact that the efforts of a country that wants to protect its culture led to conflict and the threat of war between countries. this article shows how many and most of the excessive efforts of an organization to protect cultural heritage from the dangers of war and conflict contribute and have the potential to make cultural heritage vulnerable or even lead to its destruction. the more we talk about cultural heritage and the values it contains and the importance of protecting it, the more attractive it becomes for some groups, organizations, and even countries to target it because it has extraordinary cultural values. for some, efforts to protect and save cultural heritage have been considered as part of the war against terrorism. they destroy a cultural heritage on purpose to kill profitable tourism. this causes the owner community to lose their rights and journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:hendrawahyualamsyah@students.unnes.ac.id mailto:tri.handayani@unpad.ac.id mailto:tri.handayani@unpad.ac.id https://orcid.org/0000-0002-8876-3023 https://orcid.org/0000-0002-6987-7287 https://orcid.org/0000-0002-2775-7199 https://orcid.org/0000-0002-2775-7199 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index 22 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index even leads to revenge until a war occurs between communities, organizations, or countries. art and culture have moved to the forefront of war, both as additional damage and direct targets for belligerents who use cultural destruction as a means to encourage more violence, hatred, and revenge. this article argues that states, international organizations, and cultural heritage communities need to recognize these negative side effects and make sure to consider them in future action. keywords conflict, cultural heritage, the dark side, legal protection introduction protection of cultural heritage presents a dilemma for any attempt to protect it. in an age of conflict and identity wars, cultural heritage that forms group identity has become a major potential conflict and focus of international protection initiatives. cultural heritage reflects people’s lives, history, and identity.1 preserving cultural heritage certainly helps rebuild 1 unesco and the international institute of humanitarian law. 2016. protection of cultural property. military manual. paris: united nations educational, scientific, and cultural organization. p. 13. even in the latest case, the conflict between russia and ukraine also has an impact on the threat of protecting cultural heritage. it was further emphasized that conflicts, political turmoil, and wars can damage or eliminate sites and objects of cultural and historical heritage. the same thing is feared to happen in ukraine due to russian military attacks. ukraine has seven world heritages recognized by the united nations educational, scientific and cultural organization (unesco). some of them are the cathedral of santa sofia and the monastery in kiev, the ancient city of tauric chersonese, and the historical city of lviv. a number of the national archives of ukraine are also included in the unesco world list of collective memories, such as a collection of jewish musical folklore and documents related to the events of chernobyl. in addition, the cities of odessa and kharkiv are included in the unesco creative cities network. unesco is concerned that the conflict between russia and ukraine will affect efforts to protect cultural heritage. see also vecco, marilena, and andrej srakar. "the unbearable sustainability of cultural heritage: an attempt to create an index of cultural heritage sustainability in conflict and war regions." journal of cultural heritage 33 (2018): 293-302; gomez, eva. "complexities in the protection of cultural heritage in non-international armed conflicts." international journal of global community 1, no. 3 november (2018): 335-346; soderland, hilary a., and ian a. lilley. "the fusion of law and ethics in cultural heritage management: the 21st century confronts archaeology." in relevance and application of heritage in contemporary society. (london: routledge, 2018), pp. 160-185. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 21-40 23 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index damaged communities, rebuild their identities, and connect their past with their present and future. cultural heritage is seen as an instrument of peace and reconciliation, as its protection and preservation can play a key role in overcoming feelings of loss and displacement due to conflict. the global era, besides playing an important role in the promotion of culture, also has an impact on conflicts and wars between cultural heritage identities which are a source of conflict that should be the focus of international government protection. in this case, scholars, academics, legal practitioners, and government institutions do not consider more deeply the effect of protection on cultural heritage which motivates international organizations or other parties to target and attack cultural heritage.2 lynn meskel, an australian-born archaeologist and anthropologist in her work at the united nations educational, scientific, and cultural organization (unesco) where she shows how the meaning of protecting cultural heritage and the potential for protecting world heritage sites has brought with it the threat of cultural heritage conflict that until now has generally become targets as a means of angering local and international communities, as witnessed in the balkans, and bamiyan, aleppo, and palmyra.3 according to charlotte joy, heritage conservation in the state of mali also demonstrates that the protection of cultural heritage has received international recognition as a driver of antagonism and destruction.4 2 meskell lynn. 2015. gridlock: unesco, global conflict and failed ambitions. world archaeology. vol. 47. no. 2. pp. 225–238. 3 meskell lynn. 2018. a future in ruins. unesco, world heritage, and the dream of peace. new york: oxford university press. p. 12. 4 joy charlotte. 2016. unesco is what? world heritage, militant islam and the search for a common humanity in mali.” in world heritage on the ground: ethnographic perspectives, edited by christoph brumann and david berliner. london: berghahn. p. 65. furthermore, she argued that it is no coincidence that the first case the icc has brought to justice involves a unesco world heritage site. she charts the history of the relationship between mali and unesco and the history of islam in mali. through taking a historical perspective, current events can be seen as part of an ongoing ‘conversation’ about the future of the country. the icc trial also has wider ramifications for the anthropological study of material culture and cultural heritage as it resists a plural understanding of people’s entanglement with sites and objects and demands instead a return to certainty. see joy, charlotte. "‘enchanting town of mud’: djenné, a world heritage site in mali." reclaiming heritage. (london: routledge, 2016), pp. 145-159; joy, charlotte louise. "crimes against cultural heritage in https://journal.unnes.ac.id/nju/index.php/jpcl/index 24 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index an interesting discussion and concern have emerged in the cultural heritage literature that international heritage protection and safeguards can promote the growth of antagonism and the destruction of heritage during violent conflict. however, previous studies have not had a systematic focus on the “dark side of protecting cultural heritage”. therefore, the purpose of this article is to explain more clearly how the protection of international heritage and advocacy to protect cultural property can sometimes have adverse effects and even lead to destruction. one of the main points of this article is that the increasing focus on international protection on the destructive effects of violent conflict on cultural heritage presents us with a major dilemma. the more we talk about the value of cultural heritage and the importance of protecting it, the more we emphasize how the destruction of cultural heritage means harm to humankind, increasingly attractive for some groups to destroy cultural heritage as a war strategy. focus on protection only contributes to drawing cultural heritage to the heart of the armed conflict. the international community which consists of international organizations and professional circles including museums, academic experts, media, and civil society organizations all work in touch with world events. when faced with threats to cultural heritage, including world heritage sites, they naturally voiced strong concerns. organizations mandated to protect heritage must act. however, communities and interest groups also need to take into account the possible adverse effects of their policies and actions. therefore, we need critical thinking on the legal protection of cultural heritage and focus on the dark side of cultural heritage protection. over the past decade, culture has moved to the forefront of war, both as additional damage and a direct target for belligerents who use the timbuktu." anthropology today 34, no. 1 (2018): 15-17; joy, charlotte. heritage justice. (mass: cambridge university press, 2020); joy, charlotte. "heritage and tourism: contested discourses in djenné, a world heritage site in mali." tourism, power and culture: anthropological insights, clevedon: channel view publications (2010): 47-63. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 21-40 25 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index destruction of culture as a means to foster more violence, hatred, and revenge. this devastation strikes society in the long run, weakening the foundations of peace, hindering reconciliation when hostilities end. recent conflicts in mali, libya, yemen, iraq, or syria have shown that the protection of heritage cannot be separated from the protection of human life, as the destruction of artifacts has become an integral part of the global strategy of ethnic cleansing, which seeks to eliminate all shape difference. this article aims to spark that debate by, first, examining three significant cases of legacy destruction in the recent conflict, namely the taliban's destruction of bamiyan buddhism in afghanistan in 2001, the destruction of daesh in palmyra in syria in 2015–2017, and the ansar. destroyed holy places in mali in 2012. in all three cases, this article finds that the international community's efforts to protect cultural heritage. second, this article outlines some concrete and theoretical observations about the dialectic between the protection of international heritage and the evolving role of heritage in armed conflict. finally, a series of recommendations will be put forward to accommodate the identified challenges. method the research method uses a qualitative approach with the type of sociological juridical research, with the data sources used are secondary data sources. data collection techniques are library research techniques and documentation. secondary data in this study relies on data obtained from library materials and regulations related to the topic of the problem which includes official documents, books, results of library research by conducting library research namely the collection of legal materials by reading laws and regulations, books, journals, and literature related to the discussion in this https://journal.unnes.ac.id/nju/index.php/jpcl/index 26 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index study as secondary data. 5 the documentation method is a technique of collecting data by studying written data through archives, including books on opinions, theories, principles, or legal books related to research. result and discussions a. forms of conflict for the protection of cultural heritage 1. afghanistan in 2001 the taliban’s destruction of the bamiyan buddha in afghanistan in march 2001 provides us with another example of the destruction of an important and politicized legacy associated with contemporary conflict. technically, the devastation occurred during peacetime, more than half a year before the international military intervention in afghanistan, known as operation enduring freedom, began on october 7th, 2001.6 the taliban had expressed the idea of destroying the bamiyan buddha in 1997. however, in 1998, when a leader in the area took practical steps to achieve the goal of destruction, the taliban leadership stopped him. in july 1999, the taliban leadership issued a decree stating that buddhas should not be destroyed but protected. the decree also emphasizes that buddhists are not part of any religious practice in afghanistan. after that, the taliban targeted to destroy the buddhas. then, on february 26th, 2001, the taliban issued a decree stating that:7 “based on the verdict of the clergymen and the decision of the supreme court of the islamic emirate [the taliban] all the statues around afghanistan must be destroyed” 5 muh. ali masnun. 2018. “legal protection from the right to indication from origin in indonesia”. journal of private and commercial law. vol. 2. no. 2. p. 117. 6 centlivres, pierre. 2008. “the controversy over the buddhas of bamiyan.” south asia multidisciplinary. academic journal. (2). p. 7. 7 rory mccarthy. 2010. taliban order all statues destroyed. the guardian. p. 3. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 21-40 27 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index based on this explanation, it can be understood that the decision of the scholars and the decision of the supreme court of the islamic emirate in the taliban stated that all statues around afghanistan must be destroyed. the decree issued when an international delegation visited kabul to examine the destruction of pre-islamic artifacts by the taliban at a national museum sparked international outrage. unesco took the lead by initiating an international campaign to save the bamiyan buddha. unesco convened a meeting of member states in paris and issued a joint declaration signed jointly by the secretarygeneral of the united nations (un), the director-general of unesco issued a request to the taliban to reconsider its decision to destroy all statues in the country. besides, unesco succeeded in bringing together religious leaders from egypt, iraq, and pakistan to issue a fatwa against the destruction. the international council for monuments and sites and the international council of museums issued a call on march 1st, 2001 declaring that destroying buddha would be a total cultural disaster. it will remain written in the pages of history alongside the most famous acts of barbarity.8 2. suriah in 2015 in 2015, syria’s last global cultural heritage was destroyed, in particular the ancient city of palmyra and the ancient city of bosra. the ancient city of palmyra is a historic metropolis located within the province of homs. palmyra is a historic metropolis filled with works of art and houses under the influence of the greco-roman style. roman manages the metropolis of palmyra and has become a solid metropolis. palmyra also served as a turning point between the roman empire and persia, india, and china. the historic city of palmyra earned a reputation from unesco and 8 cnn world. 2001. world begs taliban not to ‘vandalize’ history, http://edition.cnn.com/2001/world/asiapcf/central/03/01/afghan.statue/. accessed on 22nd december 2021. https://journal.unnes.ac.id/nju/index.php/jpcl/index http://edition.cnn.com/2001/ 28 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index was included in the global cultural history list or world heritage list in 1981. the inclusion of palmyra in this list is because palmyra meets 3 of the 10 standards required by unesco to be included in the global cultural history list. 3 standards that meet are standards (i) which states that the history of a global culture of the past must be a creative human-made work, (ii) the history of past global cultures must show the importance of human values from time to time, and (iii) past global cultural history turns out to be an example of the kind of construction that describes the level of human history.9 palmyra has many important locations of interest to tourists. despite the ancient prices they contain, the creative value of this historic home structure in palmyra is a major draw for visitors. the first factor is the colonnade. the pylons are rows of tall pillars over the metropolitan city. the colonnade life is an indicator of that metropolis when living in rome. this row of pillars surrounds the metropolis and passes through the way to the traditional critical houses of palmyra along with the temple of bel, the burial temple, the tetra pylon, and the theatre. throughout 2015, these rows of pillars are no longer the target of destruction, but around them, there has been minor damage. the 2d factor is camp diocletian which is an expansion of roman energy in palmyra. the cause of the development of this district was to emerge as an outpost of the roman army. diocletian's summons was changed to be taken from the emperor diocletian which turned into energy at that time. in the diocletian camp area, there are ultimate houses, most notably the temple of standards on the western hill which serves as a weapons garage area, a troop residence and residence for the entire metropolis, and the temple of allat in the japanese part.10 furthermore, the most important building in palmyra is the arc de triomphe. this arched building is the interface between the colonnade and the temple of bel. the floral decorations and geometric motifs of the arc de 9 world heritage centre. site of palmyra. 2013. http://whc.unesco.org/en/list/23, accessed on 22nd december 2021. 10 ibid. https://journal.unnes.ac.id/nju/index.php/jpcl/index http://whc.unesco.org/en/list/23 journal of private and commercial law 6 (1) (2022) 21-40 29 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index triomphe have become well known as features of the arc de triomphe. in october 2015, the arc de triomphe incident was confirmed by the directorate general of the museum of ancient syrian art (dgam). the way to further destroy this triumphal arch is to place explosives around it a few weeks before it explodes. it was reported that the explosion destroyed the central and southern parts of the gate and the northern part of the gate looks fine.11 3. mali in 2012 the last example of the destruction of holy sites in mali was in 2012. in late march 2012, a group of malian soldiers called themselves the national committee for the restoration of democracy and the state overthrew the malian government. furthermore, they allied themselves with ansar dine who had close ties to al-qaida. ansar dine, aiming to impose strict sharia law across mali, immediately began warring with its allies. by june, the group captured gao, timbuktu, and kidal. just days later, ansar dine began destroying temples that were part of an important pilgrimage site for sufis in the region and beyond and which hold unesco world heritage status. ansar dine stated that it would destroy all the temples because of their pagan character. the protection of international cultural heritage has created antagonism around heritage issues in mali. in mali, refuge of the west has for many years been closely linked to cultural heritage, as charlotte joy so well describes. according to joy the protection of cultural heritage management in mali through unesco intervention has politicized heritage in mali. to see our three cases in a broader context, we need to recognize how the idea of cultural heritage has served as the global backdrop for the devastation in palmyra, bamiyan, and timbuktu. the idea that such “our common heritage” places have significance for people and groups around 11 the recapture of palmyra. cultural heritage initiatives. maret 2016. http://www.asor-syrianheritage.org/4290-2/, accessed on 22nd december 2021. https://journal.unnes.ac.id/nju/index.php/jpcl/index http://www.asor-syrianheritage.org/4290-2/ 30 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the world is relatively new. this has prompted global awareness, where people may feel emotionally hurt by the destruction of old ruins in some remote desert in the middle east. this is a relatively recent global consciousness, fostered by the development of twentieth-century norms, rules, and institutions related to cultural heritage at national and international levels. as one scholar put it, heritage is increasingly being promoted as a force of good.12 the maturing of national and international norms, laws, and institutions related to cultural heritage, combined with the rise of identity conflicts, asymmetry, urbanization, and globalization, has easily changed the fate and role of cultural heritage in conflicts. by functioning as reference material and physical infrastructure (for example artifacts, memorials, monuments, historical buildings, churches, mosques) cultural (for example ethnicity, race, religion, nationality), cultural heritage occurs, primarily, as a marker of identity for parties in conflict and, increasingly, as objects of an armed attack, misappropriation, manipulation, or initiatives and displays of protection. and digital technology and global social media play an important role in supporting the exploitation of the power of cultural heritage for strategic communication.13 4. indonesia in 2001 in 2001, the sampit tragedy conflict occurred which involved members of the dayak ethnic community and the madurese ethnic community. the sampit tragedy occurred because of the assumption that ethnic dayak people were jealous of ethnic madurese people who tended to be successful and successful in trading activities. however, according to a statement from one of the dayak ethnic community leaders whose initials are hc said that: “it must be admitted that people of madurese ethnicity 12 swenson, astrid. 2013. the rise of heritage. cambridge, ma: cambridge university press. p. 152. 13 rosén, frederik. forthcoming. 2018. in the preservation of art and culture in times of war, edited by frederik rosén, claire finkelstein, and derek gilman. new york: oxford university press. p. 79. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 21-40 31 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index tend to be successful and successful in trading activities. however, that is not the background for the sampit tragedy. it can even be said that people of chinese ethnicity are far more successful and successful in trading activities than people of madurese ethnicity. however, why are people of chinese ethnicity not opposed by people of dayak ethnicity?”. furthermore, the ethnic dayak community leader with the initials hc explained that: “the real background of the sampit tragedy is the existence of a cultural clash between dayak culture and madurese culture, not because of social jealousy in trading activities. where ethnic madurese people who live in ethnic dayak communities do not want to understand, practice, and live dayak culture in their daily lives. people who are ethnically madurese should understand and understand the proverb which reads: 'where the sky is upheld there the earth is stepped on' which means that ethnic madurese people must respect local customs and culture of people of dayak ethnicity. as a native of central kalimantan province.” the sampit tragedy occurred in kotawaringin timur regency, which is located in central kalimantan, with the largest population coming from ethnics madurese. before the sampit tragedy, it was estimated that around 75.000.000 ethnics madurese were living in the area. because the majority of the east kotawaringin regency is inhabited and controlled by madurese ethnic people, the madurese people want to control sampit which is the capital of east kotawaringin regency. in fact, on 18-19 february 2002, ethnic madurese marched around carrying banners that read: ‘welcome to sampang ii’ and sharp weapons in the form of sickles to show the strength of these ethnic madurese. besides, the madurese also set fire to and murdered dayak ethnic people who live in east kotawaringin regency. with the sampit tragedy, people of the dayak ethnicity began to fight by burning and killing people of the madurese ethnicity who resided in central kalimantan province. the conflicts that occurred between the dayak ethnic community and the madurese ethnic community and as a result of the conflict that caused https://journal.unnes.ac.id/nju/index.php/jpcl/index 32 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index people to die had often occurred before 2001. however, before 2001, law enforcement and security forces had not implemented efforts strict law enforcement against tradegi sampit. this is because before 2001 there were still many problems and obstacles that occurred in the effort to implement fair and good law enforcement, starting from the indications of bribery in resolving the sampit tragedy conflict, the existence of a system of alignments in resolving the sampit tragedy conflict, the number of law enforcers. and very limited security forces, and inadequate equipment for law enforcement and security forces.14 b. factors causing cultural heritage conflict several factors contributed to the destruction of historic sites, but the most frequent components of these causes may have military, economic, and symbolic nature. in particular, military motivations could be the cause of the destruction due to the overlap between military targets and historical cultural heritage and religious buildings: a) military motivation often the urgency of war has always taken precedence over the preservation of cultural property, but the norms and sentiments that have emerged within the community have signaled a growing desire on the part of the state to preserve, for posterity, the cultural heritage of mankind. thus, the critical question becomes: how? states balance these seemingly irreconcilable goals, and the extent to which the current state of international legal regimes is capable of facilitating an adequate response to the protection of cultural property during armed conflict.15 war and conflict always involve the destruction or destruction of cultural goods, either because the building or artifact is an ideological and 14 abdul rachman patji. 2003. “tragedi sampit 2001 dan imbasnya ke palangka raya (dari konflik menuju rekonstruksi)”. jurnal masyarakat dan budaya. vol. 5. no. 2. pp. 16-17. 15 ashlyn milligan. 2008. targeting cultural property: the role of international law. vol. 3. no. (8) p. 91. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 21-40 33 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index economic object, or more often, because it may coincide with a military target. this means that cultural property can be targeted as a target when one of the parties to the conflict intentionally operates from within or from proximity to buildings or sites designated as having cultural or historical significance.16 the motivation behind military action can be to ignore the boundaries established by international law on armed conflict, thereby rendering humanitarian norms ineffective. as was the case during the first world war, when relying on the presumptuous principle of military necessity, the belligerents demanded or destroyed neutral goods, despite the rules for their special protection. military necessity can never justify the killing of civilians and the destruction of villages and towns, as well as the destruction of cultural treasures. but the dilemma still exists for the following reasons: first, military necessity generates imperatives; secondly, imperatives that arise from military necessity must conflict with imperatives that originate from humanity; and third, all rules of international law embody military-humanitarian interactions in the process of creating their norms.17 b) symbolic motivation the motivation for the destruction of cultural wealth is ultimately exclusively symbolic, driven by the ideological, social, religious, and political beliefs of groups of individuals, who have used their power to humiliate the cultural identities of others for centuries. when the romans razed carthage (2nd century bc), no temple or tomb survived their ferocity, not even salt was sprinkled on the ruins to prevent grass from growing again. this kind of motivation could also explain the demolition of the jewish holy temple by the babylonian king nebuchadnezzar in 586bc, the destruction of an icon in byzantium by the lion emperor iii called the 16 claudio maria polidori. 2002. military necessity. informazioni della difesa. no. 5. pp. 40-41. 17 craig j. s. forrest. 2007. the doctrine of military necessity and the protection of cultural property during armed conflicts.california western international law journal. vol. 37. no. (2) p. 178. https://journal.unnes.ac.id/nju/index.php/jpcl/index 34 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index isaurico, or more recently the destruction of two magnificent buddha statues by the taliban in 2001.18 the locals completely forget that they are buddhist figures, but the taliban wants to destroy that cultural heritage to affect the strategic advantage of the taliban in targeting cultural symbols where a distinct social identity cannot be developed. in 2003, this event prompted unesco to adopt the declaration on the deliberate destruction of cultural heritage, which reaffirms the same concept stated in 1954 which stipulates that states must take all appropriate measures to prevent, avoid, stop and suppress acts of destruction of cultural heritage. intentional, wherever the cultural heritage is. these acts of destruction and destruction carried out on cultural heritage present a new challenge to the international community, due to their ideological nature and, although the 1999 second protocol provides these sites with equal protection during internal conflicts as well as during international conflicts, it can do a great job. little against groups that refuse to comply with international law.19 c. the dark side of cultural heritage protection the international community has created safeguards in response to destruction, but it does not serve to protect cultural heritage during armed conflict. but, as the three cases above demonstrate, the question of responsibility on the part of the international community for increased destruction seems like an elephant in the room. as daesh began to move towards the city of palmyra, the lessons learned from the bamiyan buddhist case as well as in timbuktu demonstrate the possible detrimental effect of 18 ibid, p. 179. 19 almad hoteit and issam ali khalifeh. the protection of cultural property during peacetime and in the event of armed conflict: a historic overview and a case study, the plundering of lebanon’s cultural heritage. journal the cultural property. vol. 3. no. (4). p. 24. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 21-40 35 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index international cultural heritage protection on the motivation of radical groups to destroy cultural heritage.20 according to unesco, the protection of cultural heritage must be included in the “responsibility to protect” (r2p) framework.21 r2p is an international policy agreement that provides for the protection and moral responsibility of the international community to intervene in situations where a state is unable or unwilling to protect its population from genocide, war crimes, crimes against humanity, and ethnic crimes. the idea lives on in policy and among academics and legal and cultural practitioners. places the destruction of cultural heritage among the most serious international crimes in terms of global security but also forms its dark side as a target for conflict. the question is whether we can prevent or limit the destruction by preventing problems. based on the 3 conflicts requires a closer examination of whether or how international organizations and forums have considered the possible negative side effects of their safeguards and policies related to cultural heritage in conflict. it also requires reflection on the competence and capacity regarding conflict and security management of organizations dealing with issues related to cultural heritage in conflict.22 the existence of protection of cultural heritage creates a special attraction that will cause negative impacts to become the target of dangerous organizations because cultural heritage has a high value. cultural heritage destruction and illicit trade do offer significant income for terrorist groups as far as that is concerned. this is because the protection and recognition of cultural heritage in the international arena can certainly become an attractive object for tourists and can improve the welfare of a culture. 20 op. cit., meskell. p. 203. 21 weiss thomas g., and nina connelly. 2019. protecting cultural heritage in war zones. third world quarterly. vol. 40 no. (1). p. 6. 22 op. cit., meskell. p. 72. https://journal.unnes.ac.id/nju/index.php/jpcl/index 36 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the focus on heritage protection on the other hand has failed to provide a sense of security and promote cultural heritage in the international arena. overall, the dynamics of cultural heritage protection between heritage communities struggling to increase recognition and protection has become a dilemma for the dark side. the discourse on protecting cultural heritage in the international arena about heritage and armed conflict is in contrast to cultural heritage as a target for non-state actors and terrorists. according to the researcher’s analysis of the dark side of protecting cultural heritage, it is not to cause concern and debate. the researcher’s analysis of the negative impacts of cultural heritage protection is not to underestimate the many cultural heritage protection and preservation initiatives. on the other hand, the researcher aims to open insight and increase the power of critical thinking. the dark side of cultural protection has an unfavorable impact on the current policies and practices of protecting cultural heritage. the concept of the dark side of cultural heritage protection seeks to capture the sociological dynamics of how cultural heritage protection initiatives sometimes produce an image of cultural heritage as something that can be used as a target to launch a blow against their enemies. this is of course a paradox to hold protection for cultural heritage. the value of cultural heritage and the importance of protecting these values will be overshadowed by threats that are increasingly attracting attention to armed groups, terrorists, and sometimes states that are also targeting attacks. the stakeholder community must be careful in promoting its cultural heritage so as not to offend interested parties. in practice, when international organizations and states adopt policies and the protection of cultural heritage that are aimed at conflict or when they initiate protection activities during a conflict, stakeholders must remain humble. if cultural holders guard through overprotection, being too proud to protect humankind’s cultural heritage to display high morals, the enemy may seek https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 21-40 37 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index to challenge and cause social jealousy by destroying the cultural heritage. bamiyan, timbuktu, and palmyra provide paradigmatic examples of this dynamic. inheritance protection can make international organizations and states and other organizations and entities look morally good, but it can easily lead to unwanted and uncontrollable situations and dilemmas. prevention of the dark side of cultural heritage protection is carried out by providing understanding to each country and international organization to deal with the threat of cultural heritage conflict which can be pursued by adjusting policies and legal practices of cultural heritage protection. on the one hand, the existence of cultural heritage protection can prevent claims by other parties. this idea is interesting for relevant institutions and experts to be considered in realizing protection against cultural heritage. the international community should create an extensive communication, strategy, and risk assessment for cultural heritage, to consider the steps that can be taken. conclusion protection of cultural heritage is an issue that is quite important and interesting to discuss. the existence of protection for cultural heritage is initially expected to keep the existence of culture alive, providing a sense of security for a country to protect its cultural heritage from threats from other countries or communities. however, it is an unavoidable fact that the efforts of a country that wants to protect its culture will cause unwanted negative impacts as well as the threat of conflict and the threat of war between countries that lead to the destruction of cultural heritage. the more valuable a culture and the stricter its protection, the more attractive it is for some groups, organizations, and even countries to target it because it has extraordinary cultural values. for some, efforts to protect and save cultural heritage have been considered as part of the war against terrorism. they destroy a cultural heritage intentionally to kill tourism that is profitable for https://journal.unnes.ac.id/nju/index.php/jpcl/index 38 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index a particular country which can cause resentment and prolonged conflict between interested parties. therefore, it can be considered by the state in carrying out a policy and protection of cultural heritage. besides, countries, international organizations, and cultural heritage communities need to recognize these negative side effects and make sure to consider them in future actions. references centlivres, pierre. 2008. the controversy over the buddhas of bamiyan. south asia multidisciplinary. academic journal. 7(2): 1-18. charlotte, joy. 2016. unesco is what? world heritage, militant islam and the search for a common humanity in mali.” in world heritage on the ground: ethnographic perspectives, edited by christoph brumann and david berliner. london: berghahn. cnn world. 2001. world begs taliban not to ‘vandalize’ history, http://edition.cnn.com/2001/world/asiapcf/central/03/01/afgh an.statue/. accessed on 22nd december 2021. forrest, craig j. s. 2007. the doctrine of military necessity and the protection of cultural property during armed conflicts. california western international law journal. 37 (2): 171-189 and 178-196. gomez, eva. "complexities in the protection of cultural heritage in noninternational armed conflicts." international journal of global community 1, no. 3 november (2018): 335-346. hoteit, almad and issam ali khalifeh. the protection of cultural property during peacetime and in the event of armed conflict: a historic overview and a case study, the plundering of lebanon’s cultural heritage. journal the cultural property. 3(4): 21-42. joy, charlotte louise. "crimes against cultural heritage in timbuktu." anthropology today 34, no. 1 (2018): 15-17. joy, charlotte. "‘enchanting town of mud’: djenné, a world heritage site in mali." reclaiming heritage. (london: routledge, 2016), pp. 145159. https://journal.unnes.ac.id/nju/index.php/jpcl/index http://edition.cnn.com/2001/world/asiapcf/central/03/01/afghan.statue/ http://edition.cnn.com/2001/world/asiapcf/central/03/01/afghan.statue/ journal of private and commercial law 6 (1) (2022) 21-40 39 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index joy, charlotte. "heritage and tourism: contested discourses in djenné, a world heritage site in mali." tourism, power and culture: anthropological insights, clevedon: channel view publications (2010): 47-63. joy, charlotte. heritage justice. 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"the fusion of law and ethics in cultural heritage management: the 21st century confronts archaeology." in relevance and application of heritage in contemporary society. (london: routledge, 2018), pp. 160-185. swenson, astrid. 2013. the rise of heritage. cambridge, ma: cambridge university press. the recapture of palmyra. cultural heritage initiatives. maret 2016. http://www.asor-syrianheritage.org/4290-2/. accessed on 22nd december 2021. unesco and the international institute of humanitarian law. 2016. protection of cultural property. military manual. paris: united nations educational, scientific and cultural organization. https://journal.unnes.ac.id/nju/index.php/jpcl/index http://www.asor-syrianheritage.org/4290-2/ 40 alamsyah, nugraheni & prabowo available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index vecco, marilena, and andrej srakar. "the unbearable sustainability of cultural heritage: an attempt to create an index of cultural heritage sustainability in conflict and war regions." journal of cultural heritage 33 (2018): 293-302. weiss, thomas g. and nina connelly. 2019. protecting cultural heritage in war zones. third world quarterly 40(1): 1-19. world heritage centre. site of palmyra. 2013. http://whc.unesco.org/en/list/23. accessed on 22nd december 2021. *** declaration of conflicting interests the authors state that there is no conflict of nterest in the publication of this article. funding information none acknowledgment the authors thank to the anonymous reviewer of this article vor their valuable comment and highlights. history of article submitted : january 5, 2021 revised : june 23, 2021 accepted : may 28, 2022 published : may 31, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index http://whc.unesco.org/en/list/23 copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. the role of infrastructure guarantee institution in infrastructure project provision through public-private partnership scheme lastuti abubakar faculty of law, universitas padjajaran, indonesia lastuti.abubakar@unpad.ac.id tri handayani faculty of law, universitas padjajaran, indonesia tri.handayani@unpad.ac.id abstract this study aims to examine the role of indonesia infrastructure guarantee fund (iigf). in the public and how it functions to encourage the acceleration of infrastructure development. this study utilizes a normative juridical research method with a specification of descriptive-analytical. results indicate that: from a legal perspective, iigf is an institution that provides a guarantee for losses due to political risks such as changes in regulations, delays, or failures of financial close, as well as failures in granting licenses and approvals. as an institution that provides a guarantee, iigf is a development of a corporate guarantee whose legal basis uses the concept of a recourse agreement according to civil code, but its implementation regulated in separate statutory regulations. iigf performs a guaranteed function and adds value to infrastructure development that has the greatest impact on the benefit of the people of indonesia; protects the interests of the government in fulfilling infrastructure development through transparent and accountable processes; and increases investor trust by providing investment convenience and payment certainty for claims of risk of loss for a collaborative infrastructure project. keywords public-private partnership, indonesia infrastructure guarantee fund, development of guarantee institutions journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:lastuti.abubakar@unpad.ac.id mailto:tri.handayani@unpad.ac.id https://orcid.org/0000-0001-5451-0178 https://orcid.org/0000-0002-1221-0457 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index 2 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index introduction indonesian national medium-term development plan 2020-2024 places infrastructure development as one of the 7 development agendas. this infrastructure development is a strategic choice in order to accelerate the development and equity of the indonesian economy. government attention in the field of infrastructure in recent years has contributed to improving the quality of infrastructure in indonesia, however, indonesia's infrastructure competitiveness still requires improvement.1 in the 2019 global competitiveness index (gci) released by the world economic forum, indonesia's infrastructure competitiveness ranking is still lagging in the southeast asian region (asean), i.e., at the level of 67.7 points on a scale of 1-100. this ranked indonesia the 71th of 141 countries surveyed and ranked the 5th in the asean region, while singapore remained in the top rank as the country with the highest infrastructure competitiveness in asean and in the world with a score of 95.1.2 one obstacle in infrastructure development is the need for a relatively large source of funding. as an illustration, for financing infrastructure development in indonesia for 2015-2019, the indonesian government is only able to finance infrastructure projects at 30% of the total estimated infrastructure development costs. according to bappenas (the national planning agency), the indonesian government is only able to finance infrastructure projects add up to rp1,443 trillion from rp.4,396 trillion in total costs needed to develop indonesia's infrastructure in the period of 2015-2019. the national planning agency expected that the funding gap to be 36% funded through the public-private partnership (ppp) 1 bappenas,“rancangan teknokratik rencana pembangunan jangka menengah nasional 2020-2024,” kementerian ppn/bappenas, 2019. 2 world economic forum, “daya saing infrastruktur indonesia urutan kelima di asean,” 2020. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 1-20 3 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index scheme.3 the international city/county management association (icma) states that in addition to traditional infrastructure funding through the apbn/d (state and regional budget), there are several alternative infrastructure financings, namely: 1) new financing sources, 2) new financing mechanisms, or 3) new financing scheme. new financial sources can be additional sources of income to fund infrastructure projects. meanwhile, new financing mechanisms can take the form of new loans that are flexible and/or potentially cost-effective to fund an infrastructure project. at last, new financing scheme can involve new partners (private, non-profit, or community) to participate in infrastructure financing and project implementation. the involvement of business entity/private sector in infrastructure financing is carried out with the public-private partnership (ppp) scheme.4 through this scheme, the government encourages the private participation in the development of national infrastructure through the support of policies, instruments and fiscal frameworks. one of the institutions that plays an important role in providing infrastructure with the ppp scheme is the indonesia infrastructure guarantee institution (iigf). iigf was created by indonesian ministry of finance as state owned enterprise to improve the creditworthiness and quality of ppp for infrastructure project in indonesia which is provides guarantees for one or several financial obligations of a public contracting agency that participates in a ppp consortium. if the economic feasibility of the ppp project is disturbed due to perils caused by the public contracting agency, iigf will provide compensation5. the government has provided a legal basis for an infrastructure guarantee institution establishment by issuing presidential regulation number 78 of 3 informasi publik, “peran pt penjaminan infrastruktur indonesia ( persero ) dalam meminimalisasi risiko fiskal atas kewajiban kontinjensi pemerintah indonesia yang timbul dari proyek infrastruktur,” 2019, 7–10. 4 suhendra maman, “manajemen keuangan publik,” jurnal manajemen keuangan publik 1 (2017): 41–47. 5 international institutional for sustainable development, https://www.iisd.org/creditenhancement-instruments/institution/indonesia-infrastructure-guarantee-fund/ accessed on 10 may 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index 4 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index 2010 on infrastructure guarantee in government cooperation projects with business entity carried out through the infrastructure guarantee institution (presidential regulation on infrastructure guarantee institution). one of the motives of the issuance of the presidential regulation is to increase the creditworthiness of infrastructure projects. that is an effort to encourage business entity participation in infrastructure development, more specifically infrastructure projects provided under the ppp scheme. therefor, the government has established the indonesia infrastructure guarantee fund (iigf) as a single-window policy in evaluating, arranging guarantee structures and providing guarantees for ppp-scheme infrastructure projects in order to accelerate indonesia's economic growth. a single-window policy is a policy assigned by the government to iigf as an infrastructure guarantee institution to carry out the infrastructure guarantee process. this single-window policy is beneficial for realizing transparency and consistency in processing guarantees and claims. the iigf is developed in reference to various international experiences involving the use of government guarantees to attract private financing for infrastructure development. several international institutions, including the world bank, also provided technical support in the preparation of evaluation procedures, corporate governance and other critical functions at iigf. it is expected that iigf will be able to attract similar financial institutions to partner in the provision and capacity building of guarantees.6 ppp projects are infrastructure projects provided by the government in collaboration with private sectors/business entities. furthermore, the ppp scheme is realized through the partnership (agreement) that involves the government as the contracting agency. the type of cooperation agreement is in the form of joint operation and maintenance of infrastructure facilities to finance, supply and operate infrastructure facilities. the duration of partnership agreements usually is for a relatively 6 indonesia infrastructure and guarantee fund, “guaranteeing indonesia,” 2017. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 1-20 5 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index long period of time (more than 15 years) to enable the return of investment by the business entity. the basis of the ppp project cooperation agreement is the distribution of risk allocation between the government (through the contracting agency) and the business entity. every risk is allocated to the party who is relatively better able to control, manage, or prevent it. risk management is one of the factors considered by the business entity in collaborating, although it is not the sole factor. in addition to the legal and regulatory basis, the type and pattern of ppp are weighed more by government stakeholders. 7 the infrastructure guarantee aims to improve the creditworthiness and quality of ppp infrastructure projects by a means of a clear and consistent framework for evaluating and managing claims for guarantees; improving governance and transparency in the implementation of guarantee provision; facilitating and encouraging the success of transactions for contracting agencies (ministries, soes, regional governments) by providing guarantees for ppp projects that are wellstructured and ring-fencing government contingent obligations as well as minimizing shocks to the state budget 8. hence, the success of ppp in infrastructure development is inseparable from the function and position of iigf as a guarantor. however, not all infrastructure development can be guaranteed by iigf. the regulations govern what infrastructure projects can be carried out under the ppp scheme and guaranteed by iigf. from the positive legal aspects regarding security law in indonesia, it is compelling to conduct a study on the role of iigf as a guarantor in infrastructure development, especially the practices and guarantee mechanisms of the ppp scheme. based on the aforementioned description, this study aims to examine and analyze how the role and function of iigf as a guarantee 7 adhisty syamshabrina and putu gde ariastita, “preferensi pemerintah dan badan usaha dalam pengembangan lyn sebagai angkutan umum feeder di surabaya melalui skema kerjasma pemerintah dan badan usaha (studi kasus : angkutan lyn rute s dan rute g surabaya),” jurnal teknik its 6, no. 2 (2017): 2–4, https://doi.org/10.12962/j23373539.v6i2.25846. 8 syamshabrina and ariastita. https://journal.unnes.ac.id/nju/index.php/jpcl/index 6 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index institution in the ppp scheme in the attempt to accelerate infrastructure development in indonesia. method this study used normative legal research, which focuses on examining the application of the rules or norms in positive law 9 and also used the positivist legist conception approach. this concept views the law as identical with written norms created and promulgated by authorized institutions. this conception views the law as a normative and independent system.10 the research is descriptive-analytical since it makes a systematic, factual, and accurate description of the facts. therefore, the study examines and describes the role of infrastructure guarantee institution in infrastructure project provision through public-private partnership scheme. result and discussions the position of indonesia infrastructure guarantee fund (iigf) in infrastructure development through ppp scheme the provision of infrastructure through public -private partnership adequate and sustainable infrastructure availability is an urgent need to support the national development implementation to improve the national economy, the welfare of the people, and indonesia's competitiveness in global competition. good transportation infrastructure, for example, will facilitate the flow of people and goods, thus it can 9 johny ibrahim, theory and methodology of normative legal research, bayumedia publishing, 2006 10 ronny hanitijo soemitro, legal research methodology and jurimetry, jakarta: ghalia indonesia, 1988. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 1-20 7 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index encourage sustainable economic growth. therefore, comprehensive steps are required to create a conducive investment climate to encourage the participation of business entities in the provision of infrastructure and services based on sound business principles. with regard to these considerations, presidential regulation no. 35 of 2015 on public-private partnership (presidential regulation on ppp) was issued to protect and safeguard the interests of consumers, the community and business entities in a fair manner. in addition, the presidential regulation was issued so that ppp could be carried out broadly, quickly, effectively, efficiently, comprehensively and continuously. in some countries, ppp schemes have proven to be more effective and efficient than traditional schemes. the ppp concept is considered a strategic infrastructure provision scheme that is able to prepare projects by focusing on project expediency. in some developing countries such as india, mexico and brazil, ppp pattern has contributed very significantly in meeting the needs of infrastructure funding, i.e., reaching around 25-30% of their total needs 11. in australia, based on a study conducted on 67 projects by a researcher team of the university of melbourne in 2008, results show that the project costs were closer to those estimated if carried out under a ppp scheme rather than traditional provision. in the uk, based on the national audit office (nao) report in 2009, only 31% of ppp projects experienced delays in completion, while 37% of non-ppp projects experienced delays in completion. in addition to time efficiency, cost efficiency also occurs in ppp projects where 65% of ppp projects are in line with estimated costs, while in non-ppp projects, it is only 54%12. based on the presidential regulation on ppp, it can be concluded that several elements in the ppp are: 1) cooperation between the government and business entities in the provision of infrastructure services 11 maman suhendra penyediaan infrastruktur dengan skema kerja sama pemerintah dan badan usaha (public private partnership) di indonesia, jurnal manajemen keuangan publik. vol 1 no 1, hlm 42” 12 rahmat & sevi wening p mulyono, “kpbu : pembiayaan infrastruktur dalam menjaga apbn yang sehat,” 2017. https://journal.unnes.ac.id/nju/index.php/jpcl/index 8 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index for the public interest; 2) this collaboration is contained in the agreement between the government and business entity; 3) attentive to the principle of risk-sharing among the parties; 4) the government will be represented by the minister/head of agency/regional government, referred to as the contracting agency. one criticism of the ppp is the concern over privatization13.in contrast to traditional asset provision and privatization, ppp scheme has several advantages, namely: 1. ppp is not focused on the provision of assets. ppp is a partnership between the government and business entity to find the most effective and efficient solutions in an effort to provide public services for the community in a relatively long period of time. 2. the risk is allocated to the most competent parties to control it. contracting agency are fully taken the political risk and the changing policy meanwhile construction risks; market risks and operational risks are managed by the business entity. 3. the partnership is transparent; thus, it will reduce political intervention; 4. the government guarantees the certainty of return on investment. it is expected that the advantageous points of the ppp will be able to attract business/private entities to invest in infrastructure development in indonesia. a. public-private partnership agreement from a legal perspective, ppp involves several legal aspects: contract law, financial law and security law. the legal relationship of the parties within the ppp arises partly from the following agreements: 1) the partnership agreement between the contracting agency representing the government and the business entities; 2) the guarantee agreement between the iigf and the business entity; 3) the recourse agreement between the 13 maramis b. joubert, “joubert b . maramis keywords : kpbu , ppp , infrastrucktur , success , implementation corresponding author : joubert b . maramis” 5, no. 1 (2018): 49–63. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 1-20 9 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index iigf and the contracting agency, and 4) the financing agreement between the business entity and the sponsor or lender if the business entity does not provide its own financing. in addition to the terms of the contract, the legal relationships between the parties are governed by several rules and regulations. as the type of contract develops in the provision of infrastructure, the ppp agreement contains specific elements that distinguish it from other partnership agreements. the following are the elements of a ppp contract:14 1. the parties in the ppp agreement are the government represented by the contracting agency (minister, head of agency, regional head, state-owned enterprises or regional-owned enterprises) with business entities (state-owned enterprises or regional-owned enterprises, limited-liability company and cooperatives enterprises). 2. the object of partnership is economic and social infrastructure. based on article 5 paragraph (2) of presidential regulation on ppp, 19 types of infrastructure can be cooperated under ppp schemes. 3. government contributions can be in the form of partial ppp financing, government support and government guarantees. 4. business entity investment returns can be in the form of payments by users in the form of a tariff (user charge); payment of service availability (availability payment) and other forms that do not conflict with statutory regulations. 5. the stages in ppp consist of planning, preparation and transaction. b. government contribution to ppp in addition, with regards to a series of regulation, the government provides facilities and support for ppp projects in the forms of: 14 kementerian ppn/bappenas, “kerjasama pemerintah dan badan usaha ( kpbu ),” 2017. https://journal.unnes.ac.id/nju/index.php/jpcl/index 10 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index table 1. government facilities/support for ppp projects project preparation funding (project development facility) facilities are used to finance the provision of the final feasibility study and transaction assistance (legal basis: regulation of the minister of finance no. 265/2015 and no. 129/2019. feasibility support funding (viability gap funding) the central government contributes a portion of the construction costs to the ppp project in order to improve the financial feasibility of the project (legal basis: regulation of the minister of finance no 223/2012 and no 143/2013. feasibility support is provided in cash to ppp for a portion that does not dominate the construction costs (maximum 49% of construction costs) government guarantees due to political risks the minister of finance through iigf carries out infrastructure guarantees fund with a single-window policy. iigf will guarantee (default) the financial obligations of the contracting agency due to political risks to the business entity/private sector as outlined in the guarantee contract. for guarantees given to the contracting agency, iigf has the right to regress to contracting agency if a claim arises from a business entity/private sector. source: ministry of finance of the republic of indonesia, 2017. the government's contribution is partially financed in the ppp scheme in the form of providing a portion of infrastructure and that is carried out by business entity. whereas government support aims to improve the financial feasibility and effectiveness of ppp in the form of viability gap funding (vgf) or tax incentives approved by the minister of finance; and/or other forms that can be given by the minister/head of institution/head of region in line with statutory regulations. another government contribution is the government guarantee that aims to increase the bankability and creditworthiness of ppp projects. based on article 14 paragraph (1) of the president regulation on ppp, the https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 1-20 11 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index infrastructure provision initiative that will be cooperated with a business entity/private sector originates from the government be it the ministry/head of institution or regional head. however, article 14 paragraph (3) of the presidential regulation on ppp stipulates that a business entity can initiate the provision of infrastructure as long as it meets the following criteria: 1. technically integrated with the master plan in the sectors concerned; 2. economically and financially feasible, and 3. business entities/private sector that propose initiatives have sufficient financial capacity to finance the implementation of infrastructure provision. the initiating business entity/private sector shall prepare the proposed ppp feasibility study. to the business entity initiating ppp, alternative compensation can be given, namely an additional value of 10%; granting the right to make an offer by the initiating business entity to the best bidder (right to match), in accordance with the results of the assessment in the tender process; or purchasing ppp initiatives including intellectual property rights for them by the minister/head of the institution/regional head or by the winner of the auction. guarantee agreement between iigf and business entities a. the role of iigf as an infrastructure guarantee institution indonesia's major infrastructure deficit, coupled with limited government budget and borrowing capacity, has created promising opportunities for private sector participation. however, to date, these opportunities have been few. private sector participation in infrastructure outside of the energy and telecommunications sectors, as well as some https://journal.unnes.ac.id/nju/index.php/jpcl/index 12 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index limited investment in toll roads and ports, was minimal.15 to overcome this, the government has issued a policy to provide opportunities for private sector participation with the existence of iigf as a guarantor institution that makes investors more secure in legal certainty in carrying out infrastructure development. one of the government's contributions to the ppp project is government guarantees. there are many reasons for an emerging market and developing economy government to issue a guarantee. in short, government guarantees can enable a ppp project to receive commercial financing when it would not have done so without the guarantee; increase competition in bidding for the opportunity to execute a project by lowering the project’s risk profile, thereby expanding the investors’ base; increase the amount of financing available to the project; lengthen the tenor of financing; and reduce the cost of the project’s financing.16 this government guarantee is given by taking into account the principles of financial risk management and control in the state budget. the legal basis for infrastructure guarantee by iigf is presidential regulation no. 78 of 2010 on infrastructure guarantee in public-private partnership projects conducted through infrastructure guarantee institution (presidential regulation on infrastructure guarantee institution). previously, the government had issued government regulation no. 35 of 2009 on capital investment of the government of the republic of indonesia for the establishment of limited liability company in of infrastructure guarantee. based on these regulations, the government established the indonesian infrastructure guarantee fund (iigf) that aims: to become the primary soe gear in accelerating sustainable infrastructure development to improve the quality of life of the indonesian people; to ensure the accelerated fulfillment of sustainable infrastructure development by providing assurance and added 15 david ray & lili yan ing, addressing indonesia’s infrastructure deficit, bulletin of indonesian economic studies, vol. 52, no. 1, 2016: p. 1–25 16 jason zhengrong lu et.al., 2019, government guarantees for mobilizing private investment in infrastructure, international bank for reconstruction and development/ the world bank, p.11, https://ppiaf.org/documents/5798/download https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 1-20 13 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index value for infrastructure development that has the greatest impact on the benefit to the people of indonesia; protect the interests of the government in the fulfillment of infrastructure development through a transparent and accountable process; and increase investors’ trust by providing investment convenience and payment certainty for claims of risk of loss for a cooperative infrastructure project. generally, infrastructure development guarantee are related to the law guarantee. the term guarantee law comes from security of law, which is a set of provision governing guarantees receivables of a person or entity that are contained in various laws and regulations by placing a asset as collateral for payment or ability an obligation.17 from the perspective of security law, the guarantee agreement made between iigf and the business entity/private sector is similar to the guarantee agreement in general i.e., it has accessoir nature or follows the main agreement, namely the ppp agreement. in other words, the initiation and termination of this guarantee agreement depends on the initiation and termination of the ppp agreement, but not vice versa. another strategic issue of infrastructure guarantee is the scope of the guarantee that is limited by laws and regulations, namely only the financial risk of the contracting agency that is in line with the partnership agreement based on reasonable risk allocation. iigf can guarantee various contracting agency financial obligations that have been allocated to the contracting agency in accordance with the ppp agreement. examples of risks that can be guaranteed are: 1. licenses, permits and approvals: cover risks resulting from delays or failures in granting licenses, permits, or approvals (delays that have negative impacts on construction costs, funding costs and revenue generation). 17 anita kamilah, regress rights as a form of warranty the indonesia government in financing infastructure development, journal of legal, ethical and regulatory issues, vol. 24, issue: 3, 2021, p. , https://www.abacademies.org/articles/regress-rights-as-aform-of-warranty-the-indonesian-government-in-financing-infrastructuredevelopment-10701.html https://journal.unnes.ac.id/nju/index.php/jpcl/index https://www.abacademies.org/articles/regress-rights-as-a-form-of-warranty-the-indonesian-government-in-financing-infrastructure-development-10701.html https://www.abacademies.org/articles/regress-rights-as-a-form-of-warranty-the-indonesian-government-in-financing-infrastructure-development-10701.html https://www.abacademies.org/articles/regress-rights-as-a-form-of-warranty-the-indonesian-government-in-financing-infrastructure-development-10701.html 14 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index 2. delay/failure of financial close: cover the risk of delay/failure of financial closure due to contracting agency actions/inaction (except land and permits issues); 3. the transformation or amendment in laws and regulations: cover losses as a result of transformation in laws/regulations that have negative impacts on projects such as tax regulations, tariff structures, or regulations that affect the technical specifications of the project and cause changes in costs. in structuring the guarantee fund, iigf has access to guarantees from iigf capital; multilateral development institutions such as the world bank or other related institutions; and the indonesian government as co-guarantor. the world bank group (wbg) had been working closely with the government and key development partners to expand infrastructure provision in indonesia. the bank’s focus had been on: improving sectoral policies; establishing appropriate public institutional mechanisms to support private infrastructure; and improving the overall investment climate. the bank has also supported the indonesia infrastructure finance (iif) as a non-bank financial intermediary to increase provision of private sector financed infrastructure. for its part, the international finance corporation’s (ifc’s) work in the infrastructure sector in indonesia included both advisory work (notably in the power sector) and also in investing in the iif.18 refer to iigf's functions is to guarantee the financial risks of the contracting agency and ensure that the business entity receives returns on investment, the position of iigf is similar to a corporate guarantee. meanwhile, a corporate guarantee is the development of personal guarantee 18 the world bankindonesia infrastructure guarantee fund project, implementation completion and results report , juni 2019, p.6, https://documents1.worldbank.org/curated/ar/763571565036833453/pdf/indonesiainfrastructure-guarantee-fund-project.pdf https://journal.unnes.ac.id/nju/index.php/jpcl/index https://documents1.worldbank.org/curated/ar/763571565036833453/pdf/indonesia-infrastructure-guarantee-fund-project.pdf https://documents1.worldbank.org/curated/ar/763571565036833453/pdf/indonesia-infrastructure-guarantee-fund-project.pdf journal of private and commercial law 6 (1) (2022) 1-20 15 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index insurance.19 in projects with ppp schemes, iigf carries out infrastructure guarantees, namely the provision of guarantees for the financial obligations of the contracting agency conducted under a guarantee agreement. meanwhile, what is meant by the contracting agency financial obligation is the obligation to pay financial compensation to the business entity/private sector for the occurrence of infrastructure risks that are the responsibility of the contracting agency in accordance with the risk allocation as agreed in the cooperation agreement? specifically, the object that can be guaranteed by iigf is the payment obligation to business entity/private sector arising from delays in permit/license, amendment in regulation, failure of tariff adjustments, and failure of integrating networks/facilities that are the government’s responsibility. infrastructure projects that can be guaranteed by iigf are projects that apply ppp schemes in line with presidential regulation no. 38 of 2015 on ppp. in addition, the project must meet the technical and financial feasibility and corroborate with the law and regulation of the relevant sectors. referring to article 5 of the presidential regulation on ppp, the infrastructure that can be cooperated is economic and social sectors. there are 19 sectors of economic and social infrastructure projects that can be guaranteed by iigf, including transportation, roads, water resources and irrigation, drinking water, waste management, telecommunications and information technology, electricity, oil and gas, energy conservation, urban facilities, education, tourism, etc. ppp can be a combination of two or more types of infrastructure. b. regress rights in guarantee mechanisms the role of iigf as a guarantor in the ppp scheme is analogous to corporate guarantee that is the development of an individual 19 lastuti abubakar, “telaah yuridis perkembangan lembaga dan objek jaminan (gagasan pembaruan hukum jaminan nasional),” buletin hukum kebanksentralan 12, no. 2 (2015). https://journal.unnes.ac.id/nju/index.php/jpcl/index 16 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index guarantee/underwriter (borgtocht) regulated in the civil code. subrogation institutions are the most common guarantee mechanism and are the basis for debt guarantee institutions because they allow the transfer of creditor rights to third parties who have paid them (creditors). through subrogation, there is a legal relationship that is not found in other guarantee institutions that have received previous arrangements such as fiduciary, mortgage rights, namely the presence of a re-guarantee legal relationship.20 there are 2 characteristics of cover incorporated in iigf guarantee. first, the coverage can be for a part of the debtor's obligations. in this case, the iigf only guarantees government obligations based on the risks allocation as outlined in the ppp agreement. meanwhile, other risks such as operational and production risks arising from business entity risk, according to the agreement, are not guaranteed by iigf. this limited infrastructure guarantee by the iigf is in line with the provisions of article 1822 of the civil code, stipulating that underwriting can be carried out only for part of the debt or by reducing the terms/conditions. second, is the iigf subrogation right to the contracting agency as outlined in the recourse agreement in accordance with the provisions of article 1840 of the civil code regulating that the guarantor who has paid or the guarantor may reclaim the principal amount paid to the debtor (subrogation) or "regress" in the guarantee infrastructure. regress right means the right to collect. the right of regress is the right granted by law. 21article 15 of presidential regulation no. 78 of 2010 (presidential regulation on infrastructure guarantee institution) stipulates that if the guarantor has carried out its obligations based on the agreement, the contracting agency is obliged to meet the subrogation/regressions carried out through the state/regional budget mechanism or a corporate mechanism if the contracting agency is 20 siti zuleha, “model mitigasi risiko pada lembaga penjamin kredit di indonesia,” mimbar hukum fakultas hukum universitas gadjah mada 30, no. 2 (2018): 291, https://doi.org/10.22146/jmh.30286. 21 syananda al rizky, legal remedy against regress right for endosans who make non payment/non-acceptance judging from the use of securities in kuhd, legal brief, vol.9, issue 2, may (2020),p.106-114. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 1-20 17 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index a state/regioal owned enterprises. based on these provisions, iigf has a subrogation right to the contracting agency for each claim paid by iigf to investors. the regress value that iigf can bill to the contracting agency is the amount of the claim paid by taking into account the time value of money. iigf rights and contracting agency obligations must be stated in a recourse agreement between iigf and contracting agency signed prior to the signing of the guarantee agreement between iigf and the business entity/private sector. for infrastructure guarantee services, iigf can charge guarantee services. this regression agreement is required for the following reasons: 1. comply with the provisions of the civil code on individual guarantee/underwriter (borgtoch), commonly known as subrogation. 2. ensuring the financial condition of iigf. 3. ensuring the contracting agency is responsible for its obligations (both financial and non-financial) in accordance with the ppp contract. from the aforementioned description, it can be concluded that the iigf subrogation rights to the contracting agency arise because there was a guarantee agreement as an accessoir agreement from the ppp contract. therefore, the contractual relationship between iigf, contracting agency and business entity/private sector cannot be separated from one another. in the guarantee mechanism, the business entity/private sector will submit a guarantee claim to iigf, then iigf will make a payment claim to the business entity. for this payment, iigf submitted compensation to the contracting agency. what is interesting in the contractual relationship related to the guarantee mechanism is that a recourse agreement is agreed upon prior to the signing of the guarantee agreement. from the legal perspective of the underwriting, the guarantor's subrogation rights on the debtor arise as a legal result of the individual guarantee/underwriter (borgtocht) agreement. this seems to be conducted to ensure that the iigf will guarantee all government risks arising in the ppp contract. https://journal.unnes.ac.id/nju/index.php/jpcl/index 18 abubakar & handayani available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index conclusion the role of the iigf as an infrastructure guarantee institution is a corporate guarantee as the development of individual guarantee/ underwriter (borgtocht) regulated in the civil code. iigf guarantees are limited in nature, namely guaranteeing the failure of the government to perform obligations under the ppp contract due to political risks including regulations amendment, failed to grant permits, approvals, and licenses as well as failure or delay in financial closing. similar to the security interest, iigf has the right to regress the insurance claim by the business entity that can be requested for reimbursement from the contracting agency. the right to regress is important to maintain the financial condition of iigf. one of the considerations in the issuance of presidential regulation on infrastructure guarantee institution is to increase the creditworthiness of infrastructure projects to encourage business entity participation in infrastructure provision through the ppp scheme. in addition, infrastructure guarantee by iigf serves to guarantee and ensure that business entities/investors obtain their rights in accordance with the ppp contract. references abubakar, lastuti. “telaah yuridis perkembangan lembaga dan objek jaminan (gagasan pembaruan hukum jaminan nasional).” buletin hukum kebanksentralan 12, no. 2 (2015). anita kamilah, regress rights as a form of warranty the indonesia government in financing infastructure development, journal of legal, ethical and regulatory issues, vol. 24, issue: 3, 2021, p. , https://www.abacademies.org/articles/regress-rights-as-a-form-ofwarranty-the-indonesian-government-in-financing-infrastructuredevelopment-10701.html bappenas. “rancangan teknokratik rencana pembangunan jangka menengah nasional 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implementation completion and results report , juni 2019, p.6, https://documents1.worldbank.org/curated/ar/76357156503683345 3/pdf/indonesia-infrastructure-guarantee-fund-project.pdf zuleha, siti. “model mitigasi risiko pada lembaga penjamin kredit di indonesia.” mimbar hukum fakultas hukum universitas gadjah mada 30, no. 2 (2018): 291. https://doi.org/10.22146/jmh.30286. *** declaration of conflicting interests the authors state that there is no conflict of nterest in the publication of this article. funding information none acknowledgment the authors thank to the anonymous reviewer of this article vor their valuable comment and highlights. history of article submitted : march 12, 2021 revised : july 20, 2021 accepted : october 21, 2021 published : may 31, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index https://documents1.worldbank.org/curated/ar/763571565036833453/pdf/indonesia-infrastructure-guarantee-fund-project.pdf https://documents1.worldbank.org/curated/ar/763571565036833453/pdf/indonesia-infrastructure-guarantee-fund-project.pdf copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. the function of commissioner based on the principles of good corporate governance suwinto johan faculty of business, president university, indonesia suwintojohan@gmail.com abstract the organs and functions of a limited liability company are controlled by company law no. 40 of 2007 governing limited liability companies (uu pt). the tasks of executing and supervising have been distinguished. the board of directors is in charge of the company's day-to-day operations, while the board of commissioners oversees the board of directors. in reality, however, the board of commissioners participates in the board of director activities or performs board of director tasks. this study aims to analyze the functions of commissioners and how they should be carried out in compliance with the laws and regulations governing corporate governance. primary, secondary, and additional data are used in this study. the study found that the board of commissioners' role should be based on the limited liability company act. the board of commissioners serves as the board of directors' supervisor. because shareholders also serve on the board of commissioners, the board of commissioners is involved in the operation of the board of directors. the board of commissioners' involvement in the board of directors' activities must be severely limited by the board of directors. if it turns out that the commissioners' activities are detrimental to the shareholders, the board of directors can bring this to a general meeting of shareholders and hold them accountable. keywords board of commissioners, good corporate governance, limited liability company journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index https://orcid.org/0000-0002-8876-3023 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index 64 johan available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index introduction a corporation, according to law no. 40 of 2007 (uu pt), has three principal organs: the general meeting of shareholders (gms), the board of commissioners (boc), and the board of directors.1 the general meeting of shareholders appoints the board of commissioners (boc) and directors.2 directors are in charge of the company's day-to-day operations.3 the board of commissioners oversees the functions of the directors in running the corporation. the commissioner is a corporate organ that performs general and specific supervision per the company's articles of organization, according to article 5 of the limited liability company law.4 however, the board of commissioners is not doing as it should. several commissioners have been named as suspects in judicial cases. mpt, the commissioner of pt. wilmar nabati indonesia has been named a suspect in granting export privileges for crude palm oil (cpo) or cooking oil raw materials.5 pt. wahana auto ekamarga (wae) president commissioner was charged with bribing a tax official worth rp. 1.8 billion.6 several retired police generals, on the other hand, have been appointed as commissioners of state-owned enterprises (soe). when a high-ranking national police officer with the rank of general assumes the 1 suwinto johan and ariawan ariawan, “pertanggungjawaban direksi setelah pemberian acquit and discharge,” acta comitas 5, no. 3 (2020): 586–600. 2 yusron muhammad yuwono, “perkembangan kewenangan rapat umum pemegang saham (rups) perseroan terbatas di indonesia,” notarius 8, no. 2 (2015): 207–235. 3 erikson sihotang, “pertanggungjawaban direksi atas tindakan komisaris melampuai wewenang,” ilmu raad kertha 4, no. 2 (2021): 1–10. 4 hasnati, sandra dewi, and andrew shandy utama utama, “pemisahan kekayaan perseroan terbatas dari kekayaan pemegang saham, dewan komisaris dan dewan direksi,” ensiklopedia social revew 1, no. 1 (2019): 50–55. 5 aulia damayanti, “komisaris jadi tersangka kasus minyak goreng, wilmar nabati buka suara,” detik.com, 2022. 6 m. iqbal al machmudi, “darwin didakwa menyuap petugas pajak,” media indonesia, 2020. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 63-78 65 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index role of commissioner of soe, this is a typical occurrence.7 in the matter of alleged corruption in pt. garuda indonesia, tbk's procurement from 2011 to 2021. the department of justice investigated two past commissioners of pt. garuda indonesia, tbk.8 the president commissioner, and controlling shareholder of pt. sunprima nusantara finance (snp) is a suspect. a bogus debt guarantee is involved 14 banks engaged in this transaction, with a total loss of rp. 14 trillion.9 the commissioners have been listed as suspects in past investigations involving bribery, fraudulent transactions, and other issues. the commissioner has a supervisory role rather than an executive role. under the pt law, commissioners should not be involved in day-to-day transactions as directors. on the other hand, commissioners are actively engaged in daily business operations. because he behaves like a director, president commissioner of pt. pertamina is in the spotlight.10 this study aims to discuss the commissioners' proper function in light of the principles of good corporate governance outlined in the pt law. the study is expected to give businesspeople, particularly shareholders, commissioners, and directors, a better understanding of the proper function of commissioners. it will be able to reestablish the commissioners' supervisory function, allowing for the implementation of good corporate governance norms. 11 good corporate governance is a procedure for managing a bank that applies the principles of transparency, accountability, independence, 7 muhammad idris, “deretan pensiunan jenderal polisi yang jadi komisaris bumn halaman all kompas,” kompas.com, 2021. 8 wilda hayatun nufus, “jaksa periksa 2 eks komisaris garuda indonesia terkait kasus pengadaan pesawat,” detiknews, 2022. 9 ferrika sari, “komisaris snp finance leo chandra serahkan diri ke bareskrim,” kontan.co.id, 2018. 10 yuli yanna fauzie, “ahok, komisaris rasa dirut dan ‘something wrong’ pengawasan di bumn,” cnn indonesia, 2021. 11 christania vanessa sengkey, roosje lasut, and godlieb n mamahit, “kajian hukum terhadap penerapan good corporate governance berdasarkan undang-undang nomor 40 tahun 2007 tentang perseroan terbatas,” lex administratum 6, no. 1 (2018): 144–151. https://journal.unnes.ac.id/nju/index.php/jpcl/index 66 johan available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index and fairness, according to the financial services authority regulation (pojk) number 55/pojk.03.2016 concerning the implementation of governance for commercial banks (tarif). good corporate governance will restore or enhance people's economic conditions, foster healthy business competition, boost the quantity and quality of investment, and remove corrupt practices, collusion and nepotism, and unethical commercial practices.12 the board of commissioners plays a crucial role in ensuring that strong corporate governance is implemented. the board of directors' control function and the principle of good faith and oversight play a vital role in sustaining the company's health.13 the board of commissioners has the responsibility of providing general supervision of the company's management by the board of directors per the articles of association, giving advice to the directors who carry out the duties of managing the company, and giving approval to the directors in taking action based on the company's articles of association, as well as managing the company in an emergency, according to the limited liability company law.14 in addition, if the board of directors willfully commits an unlawful act in administering the company or inspecting the firm's records for supervision, the board of commissioners might temporarily suspend the board of directors from serving. the board of commissioners represents the shareholders' interests.15 the board of 12 suwinto johan and ariawan ariawan, “governance of family dynasties in financial institutions and public listed companies,” 3rd tarumanagara international conference on the applications of social sciences and humanities 655, no. ticash 2021 (2021): 1–6. 13 ni ketut supasti dharmawan and i gede agus kurniawan, “fungsi pengawasan komisaris terkait kesehatan bank perkreditan rakyat: pendekatan good corporate governance dan asas itikad baik,” law reform 14, no. 2 (2018): 236–247. 14 olivia triany manurung, “tugas dan tanggungjawab dewan komisaris sebagai organ perseroan terbatas menurut undang undang nomor 40 tahun 2007,” lex privatum 6, no. 7 (2016): 54–60. 15 claudia brigita kilis, “tanggung jawab dewan komisaris pt dalam melaksanakan pengawasan terhadap direksi menurut undang undang nomor 40 tahun 2007,” lex privatum 3, no. 3 (2015): 61–69. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 63-78 67 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index commissioners' monitoring outcomes will be presented to shareholders at the annual meeting (gms).16 the board of commissioners can be held liable for the failing corporation and its supervisory role. article 114 of the pt law regulates the board of commissioners' responsibility limits.17 if the board of commissioners is shown to be irresponsible in carrying out its duties, accountability might be demanded.18 article 108, paragraph (2) of the pt law outlines the commissioner's role.19 however, proving the board of commissioners' request for accountability is difficult.20 the board of commissioners' responsibilities can arise when the board of directors is fired, and the board of commissioners takes over the functions of the board of directors. the board of commissioners' responsibility can be a personal responsibility.21 the board of commissioners' duties is divided among the members.22 suppose a commissioner can demonstrate that he behaved in good faith and with complete prudence for the company's interest in conformity with the company's articles of association. in that case, he may be excused from liability.23 this second job must be transient and limited in 16 suwinto johan, “financial institution and public listed companies : how the supervision regulated under the indonesian law ?,” varia justicia 17, no. 2 (2021): 171–183. 17 naga suyanto, “tanggung jawab komisaris dalam mengelola perusahaan sesuai undang-undang perseroan terbatas,” jurnal of law and policy transformation 2, no. 2 (2017): 170–182. 18 n n d triantini and ignd laksana, “tanggung jawab dewan komisaris terkait kepailitan perseroan terbatas,” kertha semaya: journal ilmu hukum 8, no. 6 (2020): 954–966. 19 atika wulan dari et al., “tinjauan normatif tentang tanggungjawab dewan komisaris dalam menjalankan fungsi pengawasannya pada suatu perseroan terbatas,” justitia : jurnal ilmu hukum dan humaniora 7, no. 3 (2020): 666–671. 20 suwinto johan and ariawan, “corporate liability for creditors’ losses during the covid-19 pandemic,” media hukum 28, no. 1 (2021): 15–28. 21 shenti agustini, “pertanggung jawaban dalam perseroan terbatas yang pengurusannya dilakukan oleh anggota dewan komisaris pasca uu cipta kerja,” supremasi, jurnal ilmiah ilmu hukum 12, no. 1 (2022): 86–96. 22 irwan saleh indrapradja, “kajian yuridis terhadap tanggung jawab direksi dan dewan komisaris pada struktur organisasi perseroan terbatas yang bersifat kolegialitas menurut undang undang nomor 40 tahun 2007 tentang perseroan terbatas,” jurnal ilmiah magister ilmu administrasi (jimia) 12, no. 1 (2018): 123– 149. 23 rosida diani, “tanggung jawab komisaris dalam hal perseroan terbatas mengalami kerugian,” simbur cahaya 25, no. 1 (2018): 30–46. https://journal.unnes.ac.id/nju/index.php/jpcl/index 68 johan available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index scope. this dual role can lead to fraud and violate corporate governance norms.24 the following are the research topics for this study: what are the functions of the commissioners and the board of commissioners based on the pt law's principles of good governance? why are the commissioners and the board of commissioners engaged in a limited liability company’s operation? what steps may the board of directors take against commissioners who interfere with day-to-day operations? method the subject of excellent good corporate governance is the focus of this study. the functions of the board of commissioners are discussed in terms of legal principles and standards based on the company law. this study used a normative legal procedure, as stated in the study's background.25 three sorts of research material sources are used in this study. primary, secondary, and additional research materials make up research materials.26. this study analyzes data obtained from various sources with existing laws and regulations as well as legal norms and principles and previous studies. the results of this analysis are presented in the form of a discussion in this article. this discussion considers the results of previous studies. laws and regulations relevant to the research topic are primary research resources. the republic of indonesia's constitution of 1945 is the major source of primary research material. scientific publications in journals, seminar proceedings, or conferences are secondary research 24 putu samawati, “argumen hukum mengenai larangan jabatan rangkap komisaris dan direktur dalam sebuah perseroan terbatas,” majalah ilmiah fakultas hukum universitas sriwijaya mana xxiv, no. 3 (2017): 4851–4864. 25 suwinto johan and ariawan ariawan, “information-conneted approach in identifying capital market crime at information technology era,” proceedings of the international conference on economics, business, social, and humanities (icebsh 2021) 570, no. icebsh (2021): 217–221. 26 mahmud peter marzuki, penelitian hukum: edisi revisi, revisi. (jakarta: kencana prenada media grup, 2017). https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 63-78 69 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index sources. other research materials include internet information or news. this news content is taken from a reputable website's publishing.27 result and discussions a. the commissioner's position is based on the limited liability company law in the limited liability company law, the commissioner's function is an assembly or collegial in the form of a board of commissioners. each member of the commissioner cannot act alone, according to article 108 of the limited liability company law. as a result, the commissioner's activity is in the shape of an assembly rather than a person’s actions. the board of commissioners supervises the board of directors on behalf of the community, not on behalf of individuals. one or more commissioners make up the board of commissioners. according to article 110 of the limited liability company law, a person who can be appointed to the board of commissioners must be capable of carrying out legal actions unless he has been declared bankrupt, found guilty, and caused the company to be declared bankrupt, or sentenced to criminal acts that are detrimental to state finances or related to the financial sector in the previous five years. the gms appoints members of the board of commissioners. commissioners serve as supervisors of the company's activities and shareholders' representatives under the limited liability company law. if the board of directors fails to carry out its duties in line with the company's articles of organization, the commissioner might take over their duties. the commissioner is the first to provide the board of directors’ recommendations when it comes to making decisions. the commissioner is also the first to discover whether the corporation is operating in accordance with its articles of incorporation. if the board of directors does something 27 suwinto johan and ariawan ariawan, “juridicial overview of the syndication financing agreement between customers and financial institutions,” kanun jurnal ilmu hukum 23, no. 3 (2021): 445–458. https://journal.unnes.ac.id/nju/index.php/jpcl/index 70 johan available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index wrong, the board of commissioners must issue warnings to the board of directors and notify shareholders. according to article 41 of the limited liability company law, the gms has granted the board of commissioners the right to approve the implementation of gms decisions, such as deciding the board of directors' remuneration, auditor fees, and other matters. the board of directors' work plan must first be approved by the board of commissioners before being submitted to the gms, according to article 63 of the limited liability company law. the board of commissioners must approve the board of directors' decision to disburse interim dividends, according to article 72 of the limited liability company law. the board of commissioners approves company mergers, consolidations, takeovers, and spin-off per sections 122125 of the limited liability company law. the board of commissioners is obligated to disclose their shareholdings and those of their families. the board of commissioners must present a supervisory report to the board of directors, according to article 66 of the limited liability company law. the annual report must be signed by the board of commissioners, according to article 67 of the limited liability company law. the board of commissioners is also required by article 75 to request information from shareholders at the gms. the board of commissioners may convene a gms, according to articles 79-81 of the limited liability company law. at the time of voting during the gms, the board of commissioners is forbidden from acting on the proxies of the shareholders. according to article 106 of the limited liability company law, the board of commissioners has the authority to temporarily fire a member of the board of directors for various reasons. b. background commissioners' involvement in a limited liability company's day-to-day operation shareholders are frequently involved in day-to-day business decisions in business activity. the division of powers between shareholders, https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 63-78 71 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index directors, and the board of commissioners is hazy, especially in businesses where controlling shareholders still have sway. there are situations when the shareholders act as commissioners as well. there are times when stockholders occupy the status of founder or chairman but are not members of the board of commissioners or directors. these stockholders are not only involved in the company's day-to-day operations but also supervise it. the board of directors is the party whose name appears in the deed in some situations, although the shareholders always decide. the shareholders do not trust the directors to govern the company. even when the controlling shareholder manages the company, shareholders do not wish to serve as official directors for the company to appear professional. because they were afraid that it would be stopped, the board of directors and the board of commissioners did not dare to mention it. although the company is a limited liability company, the management operates as if it were a sole proprietorship. this organizational culture is prevalent among the company's initial founders, who are still actively involved in its management. as founders or owners of the company, the founding generation would intervene in everyday business activities. this pattern of meddling is becoming less and less typical among future generations who have learned about effective governance, even if this violates the norms of good governance. background commissioners' involvement in a limited liability company's day-to-day operation shareholders are frequently involved in day-to-day business decisions in business activity. the division of powers between shareholders, directors, and the board of commissioners is hazy, especially in businesses where controlling shareholders still have sway. there are situations when the shareholders act as commissioners as well. there are times when stockholders occupy the status of founder or chairman but are not members of the board of commissioners or directors. these stockholders are not only involved in the company's day-to-day https://journal.unnes.ac.id/nju/index.php/jpcl/index 72 johan available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index operations but also supervise it. the board of directors is the party whose name appears in the deed in some situations, although the shareholders always decide. the shareholders do not trust the directors to govern the company. even when the controlling shareholder manages the company, shareholders do not wish to serve as official directors for the company to appear professional. because they were afraid that it would be stopped, the board of directors and the board of commissioners did not dare to mention it. although the company is a limited liability company, the management operates as if it were a sole proprietorship. this organizational culture is prevalent among the company's initial founders, who are still actively involved in its management. as founders or owners of the company, the founding generation would intervene in everyday business activities. this pattern of meddling is becoming less and less typical among future generations who have learned about effective governance, even if this violates the norms of good governance. c. actions that directors can take against commissioners who interfere with day-to-day company operations the board of directors is in charge of the company's day-to-day operations. the loss or negligence of the board of directors that results in the company's loss is the board's responsibility. if other parties interfere with the everyday operations of activities, the board of directors might claim a violation of corporate governance under the limited liability company law. if there is any interference, the board of directors shall expressly inform the board of commissioners or submit this to the gms. if the parties do not react, the board of directors can present this as a meeting note. as a result, the board of directors can demonstrate that specific parties interfere with the board of directors' ability to govern the company. the board of directors may be exempt from liability due to this breach as https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 63-78 73 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index long as this is officially communicated and becomes part of the meeting's notes, particularly the gms. if there is more than one commissioner, the commissioners' activities will constitute a record for all shareholders and other commissioners. figure 1 depicts several types of interference. in this situation, shareholders intervene in the company's management through linked parties. shareholder intervention can be in several ways: 1. shareholders hold positions as main commissioners or commissioners, so that the commissioners can intervene to the directors. 2. shareholders appoint their families as directors. shareholders intervene by influencing the decisions of the board of directors through their families. 3. shareholders appoint commissioners and directors with people who are known and can influence them. directors and commissioners are appointed by the shareholders. this intervention pattern can be seen in figure 1. figure 1 limited liability company structure source: johan & ariawan 28 28 suwinto johan and ariawan ariawan, “governance of family dynasties in financial institutions and public listed companies,” 3rd tarumanagara international conference on the applications of social sciences and humanities 3 (2021): 1–6. shareholder meeting board of commissioner (boc) director shareholder & family major shareholder is appointed as chairman of boc son/daughter of chairman of boc are appointed as director shareholder meeting appoint boc and director supervise https://journal.unnes.ac.id/nju/index.php/jpcl/index 74 johan available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index conclusion in a limited liability business, the board of commissioners is an essential organ. as a kind of assembly, the board of commissioners follows collegial ideals. the board of commissioners serves as the board of directors' supervisor. commissioners may only have concurrent directorships under particular circumstances and for a limited period. the board of commissioners is likewise prohibited from interfering with the board of directors' power to administer the corporation. if any commissioner interferes with the board of directors' authority, the board of directors may refer this subject to the commissioners as meeting material. commissioners tend to meddle with the power of shareholders who are also commissioners. the board of directors investigates the concurrent positions of commissioners by shareholders and simultaneous positions of directors. references agustini, shenti. “pertanggung jawaban dalam perseroan terbatas yang pengurusannya dilakukan oleh anggota dewan komisaris pasca uu cipta kerja.” supremasi, jurnal ilmiah ilmu hukum 12, no. 1 (2022): 86–96. damayanti, aulia. “komisaris jadi tersangka kasus minyak goreng, wilmar nabati buka suara.” detik.com, 2022. dari, atika wulan, busyra azheri, yussy adelina mannas, and universitas andalas. “tinjauan normatif tentang tanggungjawab dewan komisaris dalam menjalankan fungsi pengawasannya pada suatu perseroan terbatas.” 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april 10, 2021 accepted : may 15, 2022 published : may 31, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. the urgency of the organization and legitimacy of the digitalization of the general meetings of shareholders of the limited liability company during the covid-19 time in review of the ius constitutum bagus rahmanda faculty of law, universitas diponegoro, indonesia bagus.rahmanda@live.undip.ac.id yuli prasetyo adhi faculty of law, universitas diponegoro, indonesia yuliprasetyoadhi@gmail.com herni widanarti faculty of law, universitas diponegoro, indonesia herniwidanarti13@gmail.com abstract limited liability company is a legal entity of capital partnership that is engaged in business with authorized capital which is fully divided through shares. the purpose of a limited liability company is to run a business with capital divided into shares in which the shareholders have a stake in carrying out legal actions without being responsible for themselves regarding agreements in the company. one of the organs in a limited liability company that also has an important role is the general meeting of shareholders. oftentimes, the general meeting of shareholders is crowned as the most vital organ of a limited liability company because it has the authority that other limited company organs do not have, such as the board of directors and the board of commissioners. the rapid development of journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:bagus.rahmanda@live.undip.ac.id mailto:yuli mailto:tri.handayani@unpad.ac.id https://orcid.org/0000-0002-8876-3023 https://orcid.org/0000-0002-6987-7287 https://orcid.org/0000-0002-2775-7199 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index 42 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index covid-19 has hampered the holding of the gms which was previously carried out in person but has now become virtual via teleconference media due to the physical distancing policy. article 77 paragraph 1 of law number 40 of the year 2007 and pojk number 16/pojk.04/2020 is a breakthrough to accommodate the online general meeting of shareholders of limited liability companies. based on this description, this research is aimed at knowing and analyzing the new arrangements for the general meeting of shareholders in limited liability companies, especially in its implementation after covid-19 hit indonesia. the research method used is normative juridical law research, namely by collecting secondary legal data consisting of secondary and primary legal materials. data collection techniques are carried out by studying facts, documents, and books related to the problems studied. the implementation of the digitization of the gms can generally be carried out either through teleconference media, video conferences, or other electronic media keywords general meeting of shareholders, digitization, covid-19, ius constitutum, limited liability company introduction based on article 1 point 1 of law number 40 of the year 2007, a limited liability company is a legal entity that is a capital partnership, established based on an agreement, conducting business activities with authorized capital which is entirely divided into shares and fulfills the requirements stipulated in this law and its implementing regulations. according to zaeni asyhadie, limited liability company is a legal entity, which was originally known as naamloze vennootschap (nv). the term “limited” in a limited liability company refers to the liability of shareholders which is only limited to the nominal value of all the shares they own1. the purpose of its establishment is to run a company with a certain capital divided by shares, in which the shareholders (persero) participate in taking one or more shares and carry out legal actions made 1 zaeni asyhadie, hukum bisnis (prinsip dan pelaksanaannya di indonesia) (jakarta: pt. raja grafindo persada, 2010). https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 43 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index by the joint name, without being responsible for the company’s agreements. the company’s organs are the directors, the board of commissioners, and the general meeting of shareholders. based on article 1 point 4 of law number 40 of the year 2007 concerning limited liability companies, the general meeting of shareholders (gms) is a company organ that has the authority that is not given to the board of directors or the board of commissioners within the limits specified in this law and/or the articles of association. gms is a meeting held by the board of directors of the company every year and at any time based on the interests of the company, or at the request of the shareholders following the provisions contained in the articles of association. since the occurrence of the global pandemic, corona virus disease19 or covid-19, indonesia has also been affected by the pandemic that has attacked many sectors, especially when the large-scale social restrictions (psbb) have been enforced which require the public to limit physical interaction2. companies require their workers to do work from home or work from home (wfh). this is done to reduce the transmission of the virus and suppress the increase in the positive number of covid-19 in indonesia. the gms aims to find out the financial statements and reports on the company’s activities, replacement, or appointment of the board of commissioners and/or directors. this gms is divided into an annual gms and an extraordinary gms. which is held annually at least once a year and is the company’s routine agenda. meanwhile, the extraordinary gms has an agenda that can occur at any time outside the annual agenda. extraordinary gms often occurs because of a big problem that requires a decision with the shareholders immediately following the articles of association. however, today’s problem is that it is difficult to hold a general 2 nea ningtyas, “normal yang baru: seperti apa tatanan kehidupan bersama covid19?,” jabar digital service, last modified 2020, accessed march 18, 2022, https://opendata.jabarprov.go.id/id/artikel/normal-yang-baru-seperti-apa-tatanankehidupan-bersama-covid-19. https://journal.unnes.ac.id/nju/index.php/jpcl/index 44 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index meeting of shareholders because of the covid-19 pandemic which requires everyone to keep their distance and not gather together to break the line of spreading the coronavirus. however, it does not rule out the possibility of gms activities through teleconferencing, videoconferencing, or other electronic media facilities that allow all gms participants to see and hear each other directly and participate in meetings, which is stated in article 77 paragraph 1 of law number 40 of the year 2007 and further regulated regarding the implementation of the gms of limited liability company electronically in pojk number 16/pojk.04/2020. this regulation, it makes a breakthrough during the covid-19 pandemic that disrupts community activities. with the covid-19 pandemic, the implementation of the gms is hampered, so digitalization is needed to increase the efficiency and effectiveness of holding a general meeting of shareholders, and also to support the use of information technology developments. however, what is the urgency of digitizing the gms during this pandemic? and what is the authority and position of the gms through online media? cyber notary or e-notary is a concept that utilizes technological advances for notaries in carrying out their daily tasks, such as digitizing documents, electronically signing the deed, conducting the general meeting of shareholders by teleconference, and other similar matters3. the concept of the cyber notary has been introduced in 1995. however, since there is no facilitation in the form of a law that regulates the cyber notary, the concept of the cyber notary in question is only a concept. concerning the holding of the general meeting of shareholders which is conducted through electronic media, of course, it is different from the general meeting of shareholders which is held regularly. the gms is the main forum for shareholders in submitting their 3 kliklegal.com, “urgensi e-notary di saat pandemi, pergolakan antara kepastian hukum dengan kemanfaatan hukum sumber: urgensi e-notary di saat pandemi, pergolakan antara kepastian hukum dengan kemanfaatan hukum | kliklegal,” kliklegal.com, last modified 2020, accessed march 13, 2022, https://kliklegal.com/urgensi-e-notary-di-saat-pandemi-pergolakan-antarakepastian-hukum-dengan-kemanfaatan-hukum/. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 45 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index voting rights to make decisions related to the company. in law number 40 of the year 2007, it is stated that the gms has a central function for shareholders, such as a forum for determining company policies. this is because the gms has powers that are not possessed by other limited liability company organs, such as the board of directors and the board of commissioners within the limits established by the articles of association and law. therefore, the gms is the highest power in the company. the role carried out by the gms as the highest power holder in a limited liability company is to be the main protector of the rights of the shareholders. the gms in carrying out its duties must comply with the laws and regulations and the provisions of the articles of association, especially when making important decisions regarding the capital invested in the company by shareholders. shareholders are not part of the organs of a limited liability company. thus, the gms is present so that shareholders can know all forms of information relating to the company described by the board of directors and board of commissioners. the rapid spread of the coronavirus in indonesia has led to the emergence of large-scale social restriction policies and a prohibition on holding meetings with several people which also causes all community activities to be carried out completely online. this of course also has an impact on the implementation of the gms, where many companies cannot hold forums such as the gms directly and efficiently within an undetermined time limit. however, to overcome this, the government, especially the financial services authority (ojk) issued a policy regarding changes to the implementation of the gms to switch to electronic as stated in pojk number 16/pojk.04/2020. this policy is then a breakthrough and is considered the most efficient way to overcome the problems of implementing the gms after the covid-19 hit indonesia. however, of course, there is still a need for a deeper study of the urgency of the implementation of digitization of the gms during this pandemic and to find out whether the electronic gms can be recognized and considered https://journal.unnes.ac.id/nju/index.php/jpcl/index 46 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index valid by law in indonesia. so research on the digitization of the gms will always be important and actual, especially after the covid-19 pandemic is evolving. based on the things that have been stated above, the formulation of the problems in this paper, are as follows: (1) how is the digitization of the gms of a limited liability company during the covid-19 pandemic based on the ius constitutum? (2) how is the legitimacy or legitimacy of the authority and position of the gms through online media or teleconference? method according to erwin pollack, the legal research method is a study to find concrete facts, which includes various activities to find out what constitutes law that is appropriate to be applied in concrete terms to resolve certain cases. mohammad radhi defines legal research as a whole activity based on scientific disciplines to analyze, clarify, collect, also interpret facts and relationships in the legal field based the knowledge obtained can be developed scientific principles and scientific ways to respond to these facts and relationships. it can be concluded that the legal research method is a scientific activity that is carried out empirically, systematically, and rationally to solve the researched problem. the research method used in this writing is normative juridical, by analyzing secondary legal data consisting of secondary and primary legal materials. result and discussions this research focuses on the problem of knowing the urgency of holding and legitimizing the digitalization of the general meeting of shareholders of limited liability companies during the covid-19 pandemic. the digitization of the gms is intended to make it easier for both limited liability company organs and shareholders to continue to hold https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 47 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index meetings to determine company policies during a pandemic. this is then used as a framework for thinking as well as a race for the direction of discussion in this research. so that the scope of the research discussion is not too broad, it is necessary first of all to know that the things that will be studied in this research are around the implementation of digitalization and the recognition of the digitization of the gms of a limited liability company during the pandemic. through this understanding, it will be easy to determine the limits of consideration so that the discussion in this research is perfectly organized and during the scope of the study. a. digitization of the general meeting of shareholders of limited liability companies during the covid19 pandemic based on the ius constitutum the change in the paradigm of holding the general meeting of shareholders (gms) from a conventional perspective to a digital one is a necessity. digitalization in this gms is a logical consequence of changing the needs, environment, and conditions of a society. nowadays, people are being difficult with the covid-19 pandemic which gives limited space to carry out all their activities. however, changes in conditions like this should not reduce the continuity of the gms for a limited liability company. especially when viewed sociologically, there are economic fluctuations on a global and national scale that make limited liability companies must provide the right decisions, policies, and/or strategies through all of their organs. thus, through this digitalization of the holding of the gms is an urgency to maintain the activities of the limited liability company. in addition to important matters, the digitization of this gms also brings progressivity to business law and corporate law. that the digitization of the gms is in line with the progressive law initiated by prof. satjipto rahardjo that the law is not an absolute and final institution, because the law is always in the process of continuing to be (law as a https://journal.unnes.ac.id/nju/index.php/jpcl/index 48 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index process, law in the making)4. related to this important and progressive nature, the digitization of this gms is an indication of a responsive law as stated by phillipe nonet and philip selznick that the law must respond to or fulfill all needs that are present in the community2. thus, the digitalization of this gms is an important, progressive, and responsive legal method for the community, especially the managers and organizers of limited liability companies. in connection with the importance of digitizing the gms of a limited liability company during the covid-19 pandemic, it is necessary to understand that the gms has powers that are not given to the board of directors or the board of commissioners, within the limits specified in the limited liability company law and/or the articles of association of the company. at the gms, shareholders have the right to obtain information relating to the company from the board of directors and/or the board of commissioners as long as it relates to the agenda of the meeting and does not conflict with the interests of the company, including the rights of shareholders to view the list of shareholders, a special list of members of the board of directors and the board of commissioners3. then, the gms is practically divided into two types, such as the annual gms and the extraordinary/other gms. the basic dissimilarity lies in the timing of its implementation. the annual gms is an agenda that is held at least once a year, which is no later than six months after the end of the financial year, by submitting all documents from the company’s annual report. meanwhile, the extraordinary gms is a general meeting of shareholders whose implementation is outside the annual agenda, it can occur at any time. the extraordinary gms was held because there was a big problem that needed to make a decision immediately. in line with the urgency of digitalization, the authority and dissimilarity in the timing of the actual gms were digitized based on article 77 of law number 40 of the year 2007 4 satjipto rahardjo, “hukum progresif: hukum yang membebaskan,” hukum progresif 1, no. 1 (2011): 4, https://ejournal.undip.ac.id/index.php/hukum_progresif/article/view/1009. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 49 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index concerning limited liability companies (uupt) that the gms can be conducted through teleconference, video conference, or other electronic media means, as well as seeing and listening to each other which allows all participants to interact directly in the meeting5. this mechanism must at least meet the requirements of a quorum and decision-making following the law on limited liability company and the articles of association of limited liability company. for every gms, minutes of the meeting must be approved and signed physically or electronically6. through the ius constitutum, in certain circumstances, especially during the covid-19 pandemic, the gms can be held online or through teleconference media. this regulation is predictive, progressive, and responsive by providing opportunities or other means besides conventional meetings as in article 76 of the law on limited liability company the use of teleconferencing media is also in line with the emergence of various artificial intelligence, applications, and technology media in the current 4.0 revolution era. thus, the mechanism of the annual gms or other gms can be carried out through zoom meetings, google meet, microsoft teams, and other applications to the presence of images regarding the existence of the metaverse which are the basic facilities of the digitization of the gms of a limited liability company. concerning the regulation on digitizing the gms in article 77 of the limited liability company law, the government has issued a policy by making financial services authority regulation (pojk) number 16/pojk.04/2020 concerning the electronic implementation of the general meeting of shareholders of public companies. pojk number 16/pojk.04/2020 concerning the implementation of the general meeting of shareholders of public companies electronically that “regulates the process of making corporate business decisions quickly and accurately in 5 phillipe nonet and philip selznick, hukum responsif: pilihan di masa transisi (law and society in transition: toward responsive law) (jakarta: nusamedia, 2003). 6 abdulkadir muhammad, hukum perusahaan indonesia (bandung: pt citra aditya bakti, 2010). https://journal.unnes.ac.id/nju/index.php/jpcl/index 50 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the holding of the general meeting of the public company through teleconferencing, video conferences, or other electronic media7.” the holding of the gms electronically is intended so that the business carried out does not get stuck and can continue to run for the benefit and success of the business. the implementation of the e-gms mechanism is also regulated in pojk number 16/pojk.04/2020. where article 8 paragraph (1) states that the implementation of the e-gms is required to contain information regarding the planned implementation of the e-gms in the notification of the gms agenda to the financial services authority (ojk), announcements of the gms, and invitations to the gms. based on pojk number 16/pojk.04/2020 concerning the implementation of the general meeting of shareholders of the company electronically, in the holding of the gms, several parties are also required to attend physically, at least including8: (a) chairman of the gms; (b) 1 (one) member of the board of directors and/or 1 (one) member of the board of commissioners; and capital market supporting professions that assist in the implementation of the gms. shareholders are allowed to attend physically, as long as the public company provides a certain quota (not for all shareholders). then, article 8 paragraph (5) explains that the electronic presence of shareholders at the gms electronically can replace the physical presence of shareholders and is counted as fulfilling the attendance quorum. article 9 paragraphs (1) and (2) also stipulate that under certain conditions, a public company may not physically hold a gms or limit the physical presence of shareholders either partially or completely in the electronic gms. these certain conditions will of course be determined by the 7 arya putra, rizal pratama, and ferdi kusuma fadillah, “penguatan digitalisasi perbankan dalam pelayanan costumer service nasabah secara digital di masa covid19,” simbur cahaya 5 (2018): 312–322, file:///c:/users/user/downloads/1443-49571-pb.pdf. 8 otoritas jasa keuangan republik indonesia, peraturan otoritas jasa keuangan republik indonesia nomor: 16 / pojk.04 / 2020 tentang pelaksanaan rapat umum pemegang saham perusahaan secara elektronik. (indonesia, 2020), https://www.ojk.go.id/id/regulasi/documents/pages/pelaksanaan-rapat-umumpemegang-saham-perusahaan-terbuka-secara-elektronik--/pojk 16-2020.pdf. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 51 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index government or with the approval of the financial services authority. furthermore, regarding the voting in the e-gms, it can be done after the summons until the opening of each agenda. shareholders who have cast their votes electronically before the gms is held are considered valid to attend the gms, this provision is contained in article 11 paragraph (1) and (3) pojk number 16/pojk.04/2020. the digitization of the gms in either an open or closed limited liability company brings new consequences, namely the existence of electronic data that will be generated by a teleconference. the electronic data referred to in this case includes a notary. this is stated in the provisions of pojk number 16/pojk.04/2020 article 12 paragraph (1) wherein the minutes of the gms electronically must be made indeed notarial form by a notary registered with the financial services authority (ojk) without requiring the signature of the gms participants. then, in the limited liability company law, it is stated that any changes related to the articles of association of a limited liability company must be made into minutes of meetings which will later be stated in an authentic deed9. as for this authentic document in digital form, it can become legitimacy or legitimacy in carrying out the digitization of the gms of a limited liability company either for the annual gms or otherwise. in addition, it also supports legal progress and responsiveness in responding to situations and conditions as well as community needs as in the current era of covid-19. meanwhile, in addition to the usefulness and justice values that are trying to be presented from the digitalization of this gms, there is legal certainty in carrying out this digitalization either through article 77 of the limited liability company law (uupt) or pojk number 16/pojk.04/2020 as an effort to achieve legal certainty in the ius constitutum to achieve the goals and needs of the community. 9 syarifah indah safitri and wardani rizkianti, “rapat umum pemegang saham perusahaan terbuka dalam masa pandemi berdasarkan peraturan otoritas jasa keuangan nomor 16/pojk.04/2020,” call for paper national conference for law studies: pembangunan hukum menuju era digital society (2020): 577, file:///c:/users/user/downloads/1509-5136-1-sm.pdf. https://journal.unnes.ac.id/nju/index.php/jpcl/index 52 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index b. the legitimacy of authority and position of general meeting of shareholders through online media or teleconference the continuous development of technology and the covid-19 pandemic requires many activities to be accommodated online to prevent the spread of the virus. one of the activities required to follow the health protocol is the general meeting of shareholders of a limited liability company. this has been stated in article 77 of law number 40 of the year 2007 concerning limited liability companies, which stipulates that the general meeting of shareholders of a limited liability company can also be held through teleconference, videoconferencing, or other electronic means that allow all gms participants to see and hear each other directly and participate in the meeting. in addition, there are at least 3 (three) cumulative conditions that must be met to take advantage of teleconferencing media, such as10: a. participants must see each other in person; b. participants must listen to each other directly; c. participants participate in the meeting. this means that if one of the conditions above cannot be met, then the implementation of the activity does not meet the requirements. this is the problem at the gms through online media and teleconference because, in article 77 of the limited liability company, members of the gms cannot participate after all the shareholders are not in the same place. the provisions of law number 40 of the year 2007 led to a new procedure that any changes related to the articles of association of the limited liability company must have minutes of the meeting which must be stated in an authentic deed, namely an act notary11. however, because 10 sinardi syawal s siagian, “legalitas cyber notary dan tandatangan dalam rapat umum pemegang saham,” universitas sumatera utara, no. 061 (2014), https://mkn.usu.ac.id/images/27.pdf. 11 ibid. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 53 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the gms is conducted with an electronic mechanism, the resulting data is also electronic data. based on article 90 of law number 40 of the year 2007 concerning limited liability companies, every gms holding, minutes of the gms must be drawn up and signed by the chairman of the meeting and at least 1 (one) shareholder appointed from and by the participants of the gms. the signature as referred to in paragraph (1) is not required if the minutes of the gms are made with a notary. therefore, if the making of a notary deed is done conventionally, then there is no problem. however, if it is done through online media and teleconferencing, there are several problems, namely that the minutes of the meeting must be signed by all meeting participants. in making a conventional deed, the closing part of the pact indicates that the appearers, witnesses, and notaries are present at the same place and time. while the gms of limited liability company is through a teleconference, the location of the gms participants is different from other participants, so it must be stated clearly after the deed so as not to cause the deed to become an underhanded deed. however, electronic information and transaction law number 11 of the year 2008 has stated that electronic information and/or electronic documents and/or their printouts are valid legal evidence and are an extension of legal evidence following the applicable procedural law in indonesia12. however, electronic information can be easily falsified and sent to various places within seconds, even though the role of these documents is very important and can be used as strong evidence, so to overcome this, there is a requirement that documents that can be used as evidence must be viewable, sent, and stored in paper form. so, if based on law number 2 of the year 2014, perfect evidence is only authentic. based on the meaning stated in article 1868 of the civil code, there are two forms of the authentic 12 waringin seto and hudi asrori s., “keabsahan rapat umum pemegang saham perseroan terbatas dengan bukti kehadiran para pemegang saham secara online,” repertorium 6, no. 1 (2019): 1–15. https://journal.unnes.ac.id/nju/index.php/jpcl/index 54 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index deed, such as13: 1. official deed/relaas deed/events deed, which is a deed made by (door) public officials, containing descriptions of public officials that are seen and witnessed by the general officials themselves at the request of the parties, so that the actions or deeds of the parties carried out are poured into an authentic deed. 2. deed of parties/deed of partij, namely deed made before (tenoverstan) public officials, containing descriptions or statements, statements of the parties given or told before public officials. the parties want their descriptions or statements to be put in an authentic deed form. from this grouping, it can be concluded that the deed of the gms through online media and teleconferences is classified as an official deed. if viewed from the provisions of the official deed, the validity of the notary’s statement in the form of the gms deed through online media and teleconference can be ascertained its legitimacy, even though the gms parties do not sign the deed, as long as it has been signed by the notary as the maker of the deed. this is because the minutes containing the description witnessed by the legal notary itself at the request of the parties are then poured in the form of a notary so that it becomes authentic and has perfect evidence power. based on article 77 of the limited liability company law, the gms through teleconference media is explicitly possible to be held, as long as it guarantees that the interaction is real. this is reflected in the provisions which state that all gms participants see and hear each other directly and participate in the meeting. this rule is a legal development that seeks to accommodate technological developments by providing convenience in the implementation of the gms14. the terms of the quorum and the requirements for making gms 13 siagian, “legalitas cyber notary dan tandatangan dalam rapat umum pemegang saham.” https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 55 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index decisions through electronic media are the same as conventional gms. both comply with and refer to the requirements stipulated in article 86, article 88, and article 89. the resolution of the gms is valid if the conditions for holding it have been fulfilled and attended by the shareholders by fulfilling the quorum provisions and the number of shareholders as determined by the company law and the company’s articles of association14. the position of the authentic deed as evidence of the general meeting of shareholders of a limited liability company held by teleconference in the development of technology, especially during the covid-19 period, which requires many activities to be carried out online or online, the provisions in the latest limited liability company law also provide breakthroughs with discourse and ideas to combine advances in information technology with the process of making authentic certificates. all forms of writing or deeds that are not authentic deeds are called private deeds or in other words all types of deeds that are not made by or before a public official. the power of proving the deed is underhanded, not as wide and as high as the degree of authentic ink. authenticity has the power of outward, formal, and material proof. not so with a private deed, which does not have the power of external evidence, but is limited to formal and material evidence with a much lower weight than an authentic deed. based on the provisions contained in article 1868 of the civil code and law number 30 of the year 2004 concerning the position of a notary (uujn), a deed is classified as an authentic deed if: (a) the form is determined by law, article 38 position of notary law (uujn); (b) made by or before a public official, in the case of a notary, article 1 point 1 in conjunction with article 15 paragraph (1) 38 position of notary law (uujn); 14 edmon makarim, notaris & transaksi elektronik kajian hukum tentang cybernotary atau electronik notary (jakarta: pt raja grafindo persada, 2013). https://journal.unnes.ac.id/nju/index.php/jpcl/index 56 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index (c) the public official must have the following powers: (1) place/region of office, article 52 paragraph (1) and article 53 position of notary law (uujn); (2) people (appears and witnesses), article 52 paragraph 10 and article 53 position of notary law (uujn); (3) time, article 4 and article 25 position of notary law (uujn); (4) substance/material contained in the deed, article 15 paragraph (1) position of notary law (uujn). global problems facing the world, such as the technologicaleconomic revolution, trade, investment, competition, and trade-commerce have an impact on legal services for notary services. by itself, the service of notary services has changed, apart from the company, notaries also experience a dilemma, namely that the notary is between the state, society, and the market. although until now the position of a notary is essentially still using the model and pattern of notarial service at the beginning of the 19th century, following the demands of the notary era, he must also be a pioneer in the field of legal services to the public in the era of globalization15. by utilizing electronic media, including the creation of an authentic child-based gms teleconference. a notary is one of the officials authorized to make an authentic deed as stipulated in article 1 paragraph (1) of law number 30 of the year 2004 concerning the position of a notary. in terms of the limited liability company law, in principle, the strength of proof of the minutes of the gms made by a notary or deed derived from the minutes of the meeting which is then drawn up before a notary in the form of a deed of statement of meeting resolutions (pkr) can be seen from the shareholders who have attended the gms through a teleconference held to prove that the shareholders participated in the implementation of the gms through teleconference by filling out the attendance list and approving and 15 wardani rizkianti, “akta otentik rapat umum pemegang saham (rups) melalui media telekonferensi (mekanisme pembuatan dan kekuatan pembuktiannya),” jurnal yuridis 8, no. 33 (2014): 44, file:///c:/users/user/downloads/172-400-1-sm.pdf. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 57 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index approving the resolutions of the gms through teleconference, whether witnessed directly by a notary or not witnessed by a notary. concerning the position of the board of directors, in this case, which is fiduciary, which is recognized in the company law to a certain extent, the responsibility of the board of directors becomes very high (high degree) because it relates to the management of the company. not only is he responsible for intentional dishonesty (dishonesty), but he is also legally responsible for acts of mismanagement, negligence, or failing or not doing something important to the company16. the signing of the gms attendance list to prove that the shareholders are present can be done in the conventional (direct) way, namely if the shareholders have returned to the company’s premises within a period not exceeding 30 (thirty days), secondly, it can be signed directly at the shareholders’ premises. exists using a circular resolution, if it has been signed by all shareholders then it can be evidence that the third teleconference gms has been held, can be sent via facsimile then it can be evidence that the shareholders have attended the teleconference gms because what is signed is on paper and the signature is affixed to the original document so that the strength of proof refers to the explanation of article 77 paragraph (4) of law number 40 of the year 2007 concerning limited liability companies explaining that it is approved and signed physically or electronically. based on the provisions of article 5 paragraph (1) and (2) law number 11 of 2008 concerning electronic information and transaction law (uu ite) which states that electronic documents and/or their printouts are legal evidence following procedural law in force in indonesia. then it also refers to article 6 of the electronic information and transaction law, such as: “if there are other provisions other than those stipulated in article 5 paragraph 4 of the electronic information and 16 munir fuady, perseroan terbatas paradigma baru (bandung: pt. citra aditya bakti, 2003). https://journal.unnes.ac.id/nju/index.php/jpcl/index 58 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index transaction law, it must be in written or original form, electronic information is considered legal as long as the information contained in it can be accessed, displayed, guaranteed its integrity and can be accounted for to explain a situation.” because the notary is one of the officials authorized to make an authentic deed, therefore the minutes of the meeting made by the notary at the time of the gms by teleconference is an authentic deed. if the implementation of the gms is carried out following the provisions of the position of notary law (uujn) and limited liability company law (uupt) as described above, which is produced and signed in the form of an original document, not an electronic document following the provisions of article 5 of law number 11 of 2008 concerning electronic information and transaction law, it states: “stipulations regarding electronic information and/or electronic documents as well as in the form of a letter as referred to in paragraph (1) must not be made in written form by law deed maker.” so the deed of minutes of gms has the power of proof attached to it is perfect (volledig bewijskracht) and binding (bindendebewijskracht) as stipulated in article 1870 of the civil code/article 285 rbg. if there is other evidence submitted by another party that meets the formal and material requirements, then it does not reduce the strength of the wrong meeting/deed of minutes of gms which is perfect and the binding force is perfect. the gms agenda has 3 (three) powers of evidence, such as17: 1) the power of external/external evidence, in the sense that the deed of minutes of the gms can prove its validity is commonly referred to in latin as deed publica probants seipsa. therefore, the judge and the litigant are obliged to consider that the deed of minutes of the gms is an authentic deed so that the opposing party can prove that the deed in question is not an authentic deed. 17 ikhsan lubis, “digital transformation the general meeting of shareholders of a limited liability company,” jurnal ilmiah penegakan hukum 8, no. 2 (2021): 160– 173, file:///c:/users/user/downloads/5877-24495-2-pb.pdf. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 59 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index 2) the power of formal evidence, in the sense of a notary’s statement as a public official in writing as stated in the deed, is carried out and witnessed by a notary as a public official who has the authority to make the deed in carrying out his position. this is the basis that everything stated in the deed, whether written directly by a notary or stated by the presenters, is stated to be true as the information submitted and desired by the parties, including in the strength of this evidence, the certainty of the validity of the deed, the correctness of the signatures contained in the deed, the identity of the people present and about exactly where the deed was made. 3) the strength of material evidence, in the sense that the contents of the deed are considered to be proven as true against everyone who orders the making of the deed as evidence against him. the deed of the meeting’s decision is also an authentic deed because it has complied with the provisions of the law as an authentic deed, even though the contents of the deed are derived from the minutes of the gms under the hands which is a private deed, if it has been stated in the deed of statement of meeting resolutions (pkr), then the deed is an authentic deed. the differences between an authentic deed and a private deed include: 1) an authentic deed has a definite date while regarding the date of a private deed it is not always the case; 2) grosse of an authentic deed in some respects has executive power, while private deed does not have executive power. conclusion the emergence of the covid-19 pandemic is a steppingstone that must be carried out for today’s society, including the organs that operate in limited liability companies. the limitations caused by this event caused many obstacles to the holding of a general meeting of shareholders in a limited liability company which is usually held conventionally, now https://journal.unnes.ac.id/nju/index.php/jpcl/index 60 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index it must be carried out without creating a kind of crowd that could become the rope for the spread of the covid-19 virus. given that the nature of the law itself is progressive, which means it will never be final and must be adaptive to developments that occur and the needs of the community, law number 40 of the year 2007 concerning limited liability companies (uupt) provides options that can be used in the current pandemic conditions. based on article 77 of the limited liability company law, the urgency of the community to carry out a digital form of digitalization at the gms digitally has been supported by that the gms can be conducted through teleconference media, video conferences, or other electronic media facilities that allow all participants to interact with each other, see, hear directly and participate in meetings. if the gms is conducted online, then the minutes of the general meeting are in digital form, which with the existence of law number 11 of the year 2018 the legitimacy of the summary of the general meeting is already a legal document. with this, the urgency of digitizing the general meeting of shareholders has been supported by the existence of law in indonesia and its legitimacy has been recognized. with the covid-19 pandemic which has been considered the new normal in people’s lives, efforts to develop facilities and infrastructure by the government are very necessary, considering that the digitalization of the gms is urgent in today's conditions. as for laws that are progressive and adaptive, where there is legal certainty in the implementation of the digitization of the gms, it can still be re-supported so that the legitimacy of this matter is not ambiguous. this can also be a preventive measure against errors to occur if there are provisions that limit the implementation of the gms digitally. references abdulkadir muhammad. hukum perusahaan indonesia. bandung: pt citra aditya bakti, 2010. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (1) (2022) 41-62 61 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index edmon makarim. notaris & transaksi elektronik kajian hukum tentang cybernotary atau electronik notary. jakarta: pt raja grafindo persada, 2013. kliklegal.com. “urgensi e-notary di saat pandemi, pergolakan antara kepastian hukum dengan kemanfaatan hukum sumber: urgensi enotary di saat pandemi, pergolakan antara kepastian hukum dengan kemanfaatan hukum | kliklegal.” kliklegal.com. last modified 2020. accessed march 13, 2022. https://kliklegal.com/urgensi-enotary-di-saat-pandemi-pergolakan-antara-kepastian-hukumdengan-kemanfaatan-hukum/. lubis, ikhsan. “digital transformation the general meeting of shareholders of a limited liability company.” jurnal ilmiah penegakan hukum 8, no. 2 (2021): 160–173. file:///c:/users/user/downloads/5877-24495-2-pb.pdf. munir fuady. perseroan terbatas paradigma baru. bandung: pt. citra aditya bakti, 2003. nea ningtyas. “‘normal yang baru’: seperti apa tatanan kehidupan bersama covid-19?” jabar digital service. last modified 2020. accessed march 18, 2022. https://opendata.jabarprov.go.id/id/artikel/normal-yang-baruseperti-apa-tatanan-kehidupan-bersama-covid-19. otoritas jasa keuangan republik indonesia. peraturan otoritas jasa keuangan republik indonesia nomor: 16 / pojk.04 / 2020 tentang pelaksanaan rapat umum pemegang saham perusahaan secara elektronik. indonesia, 2020. https://www.ojk.go.id/id/regulasi/documents/pages/pelaksanaanrapat-umum-pemegang-saham-perusahaan-terbuka-secaraelektronik--/pojk 16-2020.pdf. putra, arya, rizal pratama, and ferdi kusuma fadillah. “penguatan digitalisasi perbankan dalam pelayanan costumer service nasabah secara digital di masa covid-19.” simbur cahaya 5 (2018): 312–322. file:///c:/users/user/downloads/1443-4957-1-pb.pdf. rizkianti, syarifah indah safitri and wardani. “rapat umum pemegang saham perusahaan terbuka dalam masa pandemi berdasarkan peraturan otoritas jasa keuangan nomor 16/pojk.04/2020.” call for paper national conference for law studies: pembangunan hukum menuju era digital society (2020): 577. file:///c:/users/user/downloads/1509-5136-1-sm.pdf. satjipto rahardjo. “hukum progresif: hukum yang membebaskan.” hukum progresif 1, no. 1 (2011): 4. https://journal.unnes.ac.id/nju/index.php/jpcl/index 62 rahmanda, adhi & widanarti available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index https://ejournal.undip.ac.id/index.php/hukum_progresif/article/vie w/1009. selznick, phillipe nonet and philip. hukum responsif: pilihan di masa transisi (law and society in transition: toward responsive law). jakarta: nusamedia, 2003. seto, waringin, and hudi asrori s. “keabsahan rapat umum pemegang saham perseroan terbatas dengan bukti kehadiran para pemegang saham secara online.” repertorium 6, no. 1 (2019): 1–15. siagian, sinardi syawal s. “legalitas cyber notary dan tandatangan dalam rapat umum pemegang saham.” universitas sumatera utara, no. 061 (2014). https://mkn.usu.ac.id/images/27.pdf. wardani rizkianti. “akta otentik rapat umum pemegang saham (rups) melalui media telekonferensi (mekanisme pembuatan dan kekuatan pembuktiannya).” jurnal yuridis 8, no. 33 (2014): 44. file:///c:/users/user/downloads/172-400-1-sm.pdf. zaeni asyhadie. hukum bisnis (prinsip dan pelaksanaannya di indonesia). jakarta: pt. raja grafindo persada, 2010. *** declaration of conflicting interests the authors state that there is no conflict of nterest in the publication of this article. funding information none acknowledgment the authors thank to the anonymous reviewer of this article vor their valuable comment and highlights. history of article submitted : february 27, 2021 revised : april 25, 2021 accepted : may 23, 2022 published : may 31, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. the notary's responsibility regarding deliberate dishonesty actions andyna susiawati achmad faculty of law, universitas pelita harapan, surabaya, indonesia andyna.susiawati@gmail.com astrid athina indradewi faculty of law, universitas pelita harapan, surabaya, indonesia astridathina@hotmail.com abstract a notary is a public official who performs his or her position based on the authority given to him or her by the law. a notary declares and states the wishes of all parties in the authentic deed according to his or her legal knowledge. prior to that, a notary has to make sure the deed does not violate the law, public order, or morality. one of the common problems with notarial deeds is when false statements are found in an authentic deed. the inclusion of false statements above into an authentic deed is a crime that is covered by article 263 paragraph (1) juncto paragraph 264 paragraph (1) of the indonesian criminal law. this research is normative juridical research with a statutory approach and conceptual approach. the conclusion of this research is most of the false statements found in authentic deeds came from the parties interested in the deed; however, this does not mean a notary cannot be involved. criminal law seeks material truth, and material truth cannot be assumed that the notary has only reiterated the wishes of the involved parties. the notary may make two kinds of mistakes, intentionally or negligently. therefore, it is necessary to distinguish between deliberate dishonesty and malpractice in notaries during their duties. a notary who intentionally submits false information to their deed the measures it called an act of deliberate dishonesty keywords notary law, authentic deed, deliberate dishonesty, malpractice journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:andyna.susiawati@gmail.com mailto:astridathina@hotmail.com https://orcid.org/0000-0002-8876-3023 https://orcid.org/0000-0002-6987-7287 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 133 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index introduction the important presence of notaries in society cannot be separated from their duty and authority. their function is to create authentic deeds and fulfill any other legal duties based on the official oath of the notary and notary law. the law stipulated that notary is a noble position and expected to keep their dignity as public officials.1 the philosophy of appointing a notary public officer is to provide legal certainty, order, and legal protection for every citizen who uses their services.2 based on law no. 30 the year 2004 regarding notary public, state gazette of the republic of indonesia year 2014 no. 117, supplement to state gazette of the republic of indonesia no. 4432 (hereinafter referred to law no. 30 the year 2004), as amended by law no. 2 the year 2014 regarding amendments to law no. 30 the year 2004 regarding notary public, state gazette of the republic of indonesia of 2014 number supplement to state gazette of the republic of indonesia number 5491 (hereinafter referred to as uujn), the law regulates such authority given to notaries to creates such authentic deeds. article 1 paragraph (1) of uujn stipulates that a "notary is a public official authorized to make authentic deed and has other authority as referred to in law this or under any other law". article 15 paragraph (1) of uujn stated, "notary public is authorized to make an authentic deed of all the deeds of the treaty, and the provisions required by legislation and/or desired by the interested parties to be stated in the authentic deed, date of making of the deed, saving the deed, giving grosse, copy and quotation of the deed, all of which during the making of the deeds are not also assigned or exempted to other official or another person as stipulated by law." the appointment and dismissal of a notary carried out by the 1 winanto wiryomartani, “notary malpractice in carrying out their duties and authorities,” global legal review 1, no. 2 (2021): 143. 2 simon nahak, “the liability of criminal law towards a notary official in the crime of embezzlement at the denpasar district court,” notariil jurnal kenotariatan 5, no. 2 (2020): 107–17. https://journal.unnes.ac.id/nju/index.php/jpcl/index 134 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index government, in this case, the minister whose duties and responsibilities cover the notary area, then the requirements of the general officer is a person appointed by the government with the task of authority to provide public services in certain fields, fulfilled by the notary position.3 notary in carrying out their position as acting notary protocol is regulated in article 1 number (13) of uujn, is a collection of documents that are state archives, which must be kept and maintained by a notary by statutory regulations, as furtherly explained in article 62 of the uujn.4 in fulfilling their duty, notaries must comply with the concept of verlijden, which means compiling, reading, and signing deeds. g. h. s. lumban tobing stated that verlijden's concept is the process of producing a deed in the form determined by law.5 thus, through this explanation, notaries in carrying out their duties do not mean to create authentic deeds on the will of the appeared alone, but must also adhere to the laws and regulations. notaries have a legal obligation to adjust the wishes of the parties in relevant regulations. notary also provides advice and explanations regarding the law to the related parties.6 furthermore, they also have the authority to refuse to make a deed on the condition that the parties' desire is contrary to or violated the law. notaries in carrying out their duties cannot be separated from their responsibilities, both morally and legally. notaries may be responsible for civil, administrative, and criminal liability.7 habib adjie, in their dissertation entitled "civil and administrative sanctions against notaries as public officials relating to 3 dewi padusi daeng muri, galang prayogo, and faisal arif, “the rights and obligations of notaries according to indonesian law concerning notary position,” international journal of mechanical engineering and technology 9, no. 8 (2018): 875–81. 4 megacaesa fuditia, ni made srinitri, and anis mashdurohatun, “legal protection of notary recipients of the protocol for deeds which allegedly is related to legal problems in semarang city,” jurnal akta 7, no. 2 (2020): 117. 5 g.h.s. lumban tobing, peraturan jabatan notaris (jakarta: gelora aksara pratama, 1982), 32. 6 muri, prayogo, and arif, “the rights and obligations of notaries according to indonesian law concerning notary position.” 7 kartini siahaan, “kedudukan hukum akta notaris sebagai alat bukti pada tindak pidana pemalsuan surat dalam proses peradilan pidana,” recital review 1, no. 2 (2019): 72–88. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 135 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index making deeds based on the law on notary positions" emphasized that notaries can be held accountable in carrying out their duties.8 habib adjie explained civil sanctions and administrative sanctions that can be imposed on notaries. uujn regulates the forms of civil law consequences for violations committed by a notary, starting from the consequences of decreasing the degree of the deed to be equal to the strength of the proof of the deed under the hand to things that can have implications for the notary accountability. article 16 paragraph (9) of uujn stipulates that if there is a notary violation related to the deed's witness, the deed's reading can cause the deed to be lowered. article 16 paragraph (12) of uujn opens up opportunities for liability by a notary when a notary commits negligence related to the administrative reporting of a will. article 16 paragraph (12) of uujn stipulates that "violation of the provisions of article 16 paragraph (1) letter j can be a reason for the party suffering losses to claim reimbursement of costs, compensation and interest from a notary". the same thing is also contained in article 44 paragraph (5) of uujn with the consequence of decreasing the degree of the deed if one violates the obligation to read the deed. many other articles bring the implications of the deed made by a notary to be downgraded. one of the impacts of the downgrade of a notary deed is that the parties harmed because of this can ask for accountability from the notary. as regulated in article 84 of uujn in general, when a notary causes harm to parties related to a violation of the obligation the parties can sue the notary for such compensation. in its development, many cases in practice give rise to criminal issues related to notarial deeds. there is a potential intersection of notary duties with violations under criminal law.9 a notary carrying out their or 8 habib adjie, “sanksi perdata dan administratif terhadap notaris sebagai pejabat publik berkaitan dengan pembuatan akta berdasarkan undang-undang jabatan notaris” (disertasi, program doktor fakultas hukum universitas airlangga, surabaya, 2007). 9 entin sholikhah and jawade hafidz, “perlindungan hukum terhadap jabatan notaris yang diduga melakukan malpraktek dalam proses pembuatan akta otentik,” jurnal akta 4, no. 1 (2017): 47–50. https://journal.unnes.ac.id/nju/index.php/jpcl/index 136 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index her duties is violating the provisions of criminal law will be held accountable based on the provisions of general criminal law, namely through the articles contained in the criminal code. notaries in carrying out their duties lately have been in contact with many criminal cases, especially notaries who have been suspected or charged with, even convicted of crimes of forgery of letters10 as regulated in article 263 paragraph (1) of criminal code, article 264 paragraph (1) of criminal code, and article 266 paragraph (1) of criminal code. generally, notaries are charged with the appearing client under the provisions of articles related to the crime of forgery of letters, forgery of authentic deeds, or categorized as co-actors who committed acts by article 55 paragraph (1) of the criminal code. this research is related and developed to previous research. a research paper was done by valentine phebe mowoka in 2014, titled "the implementation of notary's responsibility for the created deed".11 based on the research conclusion shows the duties and responsibilities of a notary is related to the deed, legal actions, and stipulations that created the right and obligation of the parties. it also aims to help the society that needs authentic written evidence. the legal consequence of a counterfeit deed is null and void as the notary did not fulfill the requirement objectively and subjectively. the other related research was done by kunni afifah in 2017, titled "the responsibility and legal protection of notary for the created deed based on civil law".12 the results indicate that a civil liability of a notary who committed an unlawful act is the notary shall account for his actions with civil sanctions in the form of reimbursement or compensation to the injured party on an unlawful act committed by a notary. the notary’s responsibility in the case of false information in the deed still needs to be 10 teresia din, “pertanggungjawaban notaris terhadap akta otentik terindikasi tindak pidana,” jurnal penelitian hukum de jure 19, no. 2 (2019): 171–83. 11 valentine phebe mowoka, “pelaksanaan tanggung jawab notaris terhadap akta yang dibuatnya,” lex et societatis 2, no. 4 (2014). 12 kunni afifah, “tanggung jawab dan perlindungan hukum bagi notaris secara perdata terhadap akta yang dibuatnya,” lex renaissance 2, no. 1 (2017): 10. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 137 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index investigated further, namely what limits can be used as a reference for a notary to be declared involved or not with the crime, for that it is necessary first to carefully examine what kinds of violations notary in carrying out their duties.13 hence, it will declare the appropriate concept to use to hold a notary accountable in the capacity of their position, whose primary function is actually to make the will of the parties’ constant into an authentic deed. the element of intent and negligence on the part of a notary is the main key to placing a notary responsible or not. for this reason, it is necessary to examine the concept of malpractice and deliberate dishonesty in carrying out the duties of a notary. based on this explanation, the formulation of the problem is presented: what is the basic concept of a notary’s responsibility in carrying out their duties? method this research is normative juridical research. this type of research will follow the nature of legal science, i.e., prescriptive and applied. the approach used in this legal research was a statutory approach and a conceptual approach. the statutory approach was carried out by starting to collect laws and regulations relating to notaries and criminal laws and regulations. the conceptual approach departs from the concept of notary error, intentional or negligence, and notary responsibility, followed by the concept of criminal responsibility, the concept of the crime of forgery of letters, and the crime of participation. the legal materials used were primary legal materials and secondary legal materials. primary legal materials are legal materials that are binding in nature, in the form of statutory regulations related to notaries and criminal acts, while secondary legal materials are closely related to primary legal materials because they 13 fabryan nur muhammad, yeni widowaty, and trisno raharjo, “penerapan sanksi pidana terhadap pemalsuan akta otentik yang dilakukan oleh notaris,” media of law and sharia 1, no. 1 (2019): 1–13. https://journal.unnes.ac.id/nju/index.php/jpcl/index 138 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index explain and reinforce primary legal materials, consisting of the opinions of scholars, doctrines, and expert opinions in various literature, related textbooks, legal journals, and various other official documents. result and discussions procedures for the implementation of notary duties related to the deed making process according to uujn an authentic deed based on article 1868 burgerlijk wetboek (hereinafter referred to as bw) is a deed in the form determined by law, drawn up by or in the presence of public officials in power for that purpose at the place where the deed was made. under article 1870 bw, an authentic deed provides the parties and their heirs and those who have rights from them with perfect evidence of what is contained therein. the important difference between an underhand deed and an authentic deed is that an authentic deed has perfect proving power. the perfection of the notarial deed as evidence, then the deed must be seen as it is. it does not need to be assessed or interpreted differently other than what is written in the deed.14 based on c.a. kraan on their dissertation report, de authentieke akte, the characteristics of authentic deeds are:15 1) a writing is intentionally made solely to be used as evidence or proof of the circumstances as stated in the writing made and stated by the competent authority. the writing is also signed by the presenters or only signed by the official concerned. 2) a writing until there is evidence to the contrary, is deemed to have come from an authorized official. 14 m. alie boediarto, komplikasi kaidah putusan mahkamah agung, hukum acara perdata setengah abad, swa justitia, jakarta, 2005, page 150 in adjie, “sanksi perdata dan administratif terhadap notaris sebagai pejabat publik berkaitan dengan pembuatan akta berdasarkan undang-undang jabatan notaris,” 48. 15 c.a. kraan, de authentieke akte, guoda qiunt bv, arnhem, 1984, 1981, h. 143 & 201 dalam herlien bodiono, kumpulan tulisan hukum perdata di bidang kenotariatan (bandung: citra aditya bakti, 2008), 214–15. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 139 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index 3) the statutory provisions that must be met; the provisions regulate the procedure for its manufacture (at least contain provisions regarding the date, place where a written deed was made, the name and position of the official who made it), the data where it can be known about these things. 4) an official who is appointed by the state and has characteristics and work that is independent (onafhankelijk-independence) and impartial (onpartijdig-impartial) in carrying out their position in accordance with the provisions of article 1868 bw juncto. article 1 pjn which is now changed to article 15 paragraph (1) uujn. 5) statements of facts or actions mentioned by officials are legal relations in the field of private law. objections to the truth of the contents of the deed made by a notary must be proven by the party who submits the objection, while the party holding the deed is not obliged to prove the truth of the deed they made. the deed made by a notary is an authentic deed, and its authenticity persists, even after they die. their signature on the deed still has power, even though they can no longer convey information about the events at the time of making the deed.16 regarding the authenticity of the notary deed, the state provides certain requirements. if a deed wishes to obtain a stamp of authenticity, which is contained in a notarial deed, then according to article 1868 bw, the deed in question must meet the following requirements:17 1. the deed must be made “by” (door) or “in the presence of” (tenoverstaan) a public official; based on the provisions of article 1 paragraph (1) of uujn, and article 15 paragraph (1) of uujn, then concerning notarial deeds regarding deeds, agreements, and stipulations, one of the public officials referred to in article 1867 here is a notary. 2. the deed must be made in the form determined by law; 16 nico, tanggungjawab notaris selaku pejabat umum (yogyakarta: cdsbl, 2003), 48– 49. 17 habib adjie, meneropong khazanah notaris dan ppat di indonesia (kumpulan tulisan tentang notaris dan ppat) (bandung: citra aditya bakti, 2009), 13–14. https://journal.unnes.ac.id/nju/index.php/jpcl/index 140 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index if it is related to a notary deed, it means that it is subject to the requirements for the form of a notarial deed as regulated in article 38 of uujn, as well as other requirements that are specifically specified in each law relating to legal actions in the deed. 3. the public official by or before whom the deed was made, must have the authority to make the deed; this authority relates to the authority of a notary as regulated in article 15 of the uujn and regarding the authority of the domicile and area of the office of a notary as regulated in article 18 of the uujn. this includes all other powers granted by the laws and regulations to a notary. some limits can determine whether or not a notary is authorized to make the deed. the notary is an office of trust.18 this implies that those who stint trustworthy positions and their office as a notary office of trust so that the office of notary positions of trust and people who run the office tasks can also believe that the two are mutually supportive. therefore, notaries who run their office must conceal everything about the deed made and all information obtained for a deed by the oath or pledge of the office unless the law determines the other as stipulated under uujn.19 chapter iii of uujn regulates the authorities, obligations, and prohibitions for notaries. article 15 paragraphs (1), (2), and (3) of uujn regulates the authority of a notary. article 15 paragraph (1) uujn stipulates that: “notaries are authorized to make authentic deeds regarding all actions, agreements, and provisions required by laws and/or desired by interested parties to be stated in authentic deeds, guarantee certainty of the date of making the deed, keep the deed, provide grosse, copies, and quotations. deed, all of that as long as the making of the deeds is not assigned or excluded to other officials or other people stipulated by law.” 18 rahmad hendra, “tanggungjawab notaris terhadap akta otentik yang penghadapnya mempergunakan identitas palsu di kota pekanbaru,” jurnal ilmu hukum 3, no. 1 (2012). 19 djuniatno hasan, agus ekhsan, and gunarto gunarto, “implementation of legal protection of confidential obligation notary in running position,” jurnal akta 7, no. 2 (2020): 223–28. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 141 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the authority as regulated in article 15 paragraph (1) of uujn is the main authority possessed by a notary. the state trusts notaries to make authentic deeds. authentic deeds were made by a notary, including all things unless specifically stipulated otherwise by law. the process of making a notarial deed consists of several stages. at the initial stage, before making the deed, the notary must assess the skills or authority of the appearers/parties who come to him. article 39 of uujn requires the appeared to be at least 18 (eighteen) years old or married and capable of carrying out legal actions. then the interested parties state their aims and objectives. the notary must be able to see the intent and purpose of the parties to make the deed.20 from this point, the function of the notary is very important. this function is related to the authority of a notary as a provider of legal counseling. the second stage of making a notarial deed is that the notary asks for all the completeness of documents related to legal actions in the deed. the document includes the original document and the photocopy of it. after everything is completed, the notary will prepare the minutes of the deed. the minutes of the deed that are by the aims and objectives of the parties are immediately processed by a notary by the requirements in the uujn. processing of this deed begins by presenting the witnesses of the deed, reading it by a notary, and the possibility of correction. after being well received by all parties related to the deed, the minutes of the deed will be signed and/or affixed with a thumbprint successively by the appearers, witnesses, and notaries.21 this is regulated in article 44 paragraph (1) of the uujn, namely: "immediately after the deed is read, the deed is signed by each appeared, witness, and notary, unless there are appearers who are unable to sign and state the reasons". the last stage of this whole process is for the notary to save the minutes of the deed that was made earlier because the minutes of the deed is part of 20 a.a. andi prajitno, pengetahuan praktis tentang apa dan siapa notaris di indonesia? (surabaya: putra media nusantara, 2010), 61. 21 ibid., 62. https://journal.unnes.ac.id/nju/index.php/jpcl/index 142 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the notary protocol, which is a state document. this is by the provisions in article 16 paragraph (1) letter b of the uujn. keeping these minutes is a crucial obligation carried out by a notary to ensure the authenticity of the deed. the minutes of the deed kept by the notary will make it easier to match the copy of the deed. the formal requirements for making a notarial deed are contained in the uujn, specifically related to the provisions of article 38 of the uujn. according to article 38 paragraph (1) uujn, it is determined that a notary deed must consist of 3 (three) parts, namely the initial part of the deed or the head of the deed; the body of the deed; and the end or closing of the deed. furthermore, article 38 paragraph (2) to paragraph (4) of uujn provides further elaboration of what things must be in each part of the deed: 1) the head of the deed must consist of: a) the deed's title; b) the number of the deed; c) hour, day, date, month, and year; d) and the full name of the public notary and notary's domicile. 2) the body of the deed a) the full name, place, and date of birth, nationality, occupation, position, position, place of residence of the appearers and/or the person they represent; b) information regarding the position of acting against; c) the contents of the deed are the will and desire of the interested parties; and d) full name, place, and date of birth, as well as occupation, position, position, and residence of each identifying witness. 3) the closing of the deed a) a description of the reading of the deed; b) description of the signatory and the place of signing or translation of the deed, if any; https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 143 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index c) full name, place, and date of birth, occupation, position, position, and residence of each witness to the deed; and d) a description of the absence of changes that occurred in the making of the deed or a description of any changes which may be in the form of additions, deletions, or replacements. the formal requirement for a notary deed is that it must fulfill all the provisions of each part of the deed described in article 38 of the uujn. thus, a deed is said to have fulfilled the formal requirements for making a deed if it contains the beginning of the deed, the body of the deed, and the end of the deed, which contains a description of, among others, the date, month, year of making the deed, the contents of the deed, signed by the parties, witnesses and notaries, and confirmation of the reading and signing of the deed. the material requirements for making a notarial deed are conditions directly related to the legal requirements of an agreement according to law, i.e., fulfilling the provisions of article 1320 bw.22 article 1320 bw stipulates that there are 4 (four) conditions for the validity of an agreement: 1) consent of the individual who is bound thereby; 2) the capacity of the respective parties to conclude obligation; 3) a specific legal matter; 4) a legal cause. this material requirement confirms the position of the notary as the contractor of the deed, and the process of making this deed is a verlinden act, namely compiling, reading, and signing the deed, not merely opmaken or making a deed.23 fundamentally, the material requirements of a notarial deed can be fulfilled by both parties without the intervention of a notary, but because of their position as a deed constituency in the sense of a 22 i gusti agung oka diatmika et al., “perlindungan hukum terhadap jabatan notaris berkaitan dengan adanya dugaan malpraktek dalam proses pembuatan akta otentik” (doctoral dissertation, udayana university, 2014). 23 tobing, peraturan jabatan notaris, 32. https://journal.unnes.ac.id/nju/index.php/jpcl/index 144 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index verlijden deed, the notary must ensure that all the material requirements have been fulfilled perfectly. for example, the notary is obliged to clarify to the parties regarding the agreement they have made, then stabilize what has been explained by the parties about the agreement without having to reduce or add to what was explained by the parties in the deed. regarding the qualification requirements, the notary must check the skills and authority of the parties to carry out legal actions. the checks carried out by the notary are limited to formal checks. the notary can know this skill and authority based on the information and formal evidence presented by the parties themselves to the notary. likewise, with the terms of the object of the agreement and the cause of the agreement, the notary needs to clarify or check this with the parties. notaries carry out checks based on formal evidence, notary scientific knowledge, statements of the parties, as well as through things that can strengthen the formal truth of what is conveyed by the parties. the function of a notary in the concept of a verlijden act here is to determine whether everything is by the provisions of the legislation and other related regulations. as long as it has been fulfilled, the notary can immediately make a deed for the parties by constituting matters of deeds, agreements, stipulations, and events into the notarial deed. fulfillment of all formal and material requirements in the process of making a deed, then formally, according to uujn, the task of a notary in producing an authentic deed is completed. a deed made by a notary who has fulfilled all the legal requirements of the deed as an authentic deed, then the deed will acquire authenticity until the deed is declared invalid by the judiciary through an inkracht judge's decision.24 malpractice and deliberate dishonesty as a basis for notary responsibilities 24 habib adjie, hukum notaris indonesia (tafsir tematik terhadap undang-undang nomor 30 tahun 2004 tentang jabatan notaris) (bandung: refika aditama, 2009), 140. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 145 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index notaries who carry out their duties as public officials and professionals may make mistakes in the process of making the deed. uujn and the notary code of ethics have provided standard directions for the deed-making process that a notary must obey. violation of the standard procedure for making this deed is a form of notary violation which can be said as a form of notary error. this standard of professional standard procedure gave birth to the term professional error, which is generally referred to as an act of malpractice. people who carry out their duties professionally and professionally have standard procedures to recognize malpractice acts in carrying out their professional duties. the profession uses the term malpractice to describe negligence, irregularities, errors, or inability of professional practice to meet certain standards, which results in harm to service users. malpractice comes from the term "malpractice" which coughlin defines as: “professional misconduct on the part of a professional person, such as a physician, engineer, lawyer, accountant, dentist, or veterinarian. malpractice may be the result of ignorance, neglect, or lack of skill or fidelity in the performance of professional duties, intentional wrongdoing, or illegal or unethical practice.”25 black's law dictionary describes malpractice as: "professional misconduct or unreasonable lack of skill or failure of one professional rendering services to exercise that degree of skill and learning commonly applied under all the circumstances in the community by the average prudent reputable member of the profession with the result of injury, loss, or damage to the recipient of those services or to those entitled to rely upon them.”26 25 soerjono soekanto and herkutanto, pengantar hukum kesehatan (bandung: rermadja karya, 1987), 153. 26 bryan a. garner, black’s law dictionary, ed. st. paul minn, 7th ed. (minnesota: west group, 1990), 111. https://journal.unnes.ac.id/nju/index.php/jpcl/index 146 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the profession uses the term malpractice to describe an error committed by the professional community that causes the standard service procedure not to be as it should be. the malpractice act can harm certain parties who use the professional services of the profession. standards of obligation or service standards must be adhered to by a professional; if a professional violates these standards, they can be said to have committed malpractice. generally, a professional error is said to be malpractice if it meets the following elements:27 1) there is culpability; 2) the existence of damages; 3) the existence of a causal relationship. the types of malpractices committed by notary in carrying out their positions, such as:28 a notary makes a deed, but the person does not feel they are coming to the notary. one of the defenders is facing the notary who has their minute deed (the original deed) to see the signature directly, and the notary does not permit him. the notary only gives the copies of the deed. the notary does not want to show him the attachment of a copy of the land certificate that becomes the object of the notary deed. the existence of a notary makes the deed of sale and purchase of buildings and the release of state land ownership to each party. however, each party has no ownership of the land, a former hgb state land even though it has just ended. legally, malpractice is divided into 3 (three) main categories according to the field of law that is violated, namely criminal malpractice, 27 y.a. triana ohiwutun, bunga rampai hukum kedokteran (malang: banyumedia, 2007), 64. 28 enriko silalahi and akhmad khisni, “legal review of malpractice notary in the notary’s deed,” jurnal akta 5, no. 3 (2018): 648. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 147 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index civil malpractice, and administrative malpractice. the three categories will be explained as follows:29 1) criminal malpractice occurs when an action fulfills the formulation and elements of a criminal offense: the act (positive or negative) is a despicable act; it is carried out with the wrong mental attitude (mens rea) in the form of intentional, recklessness or negligence. criminal malpractice that is intentional, for example, a notary who intentionally participates in falsifying letters by making a deed of resignation that is not by the truth, or the notary has intentionally included false information regarding the identities of the parties. criminal malpractice that is careless or negligent, for example, one of the obligations of a notary, as in article 16 paragraph (1) of uujn, is to read the deed before the parties, but this can deviate when the reading of the deed is not desired by the parties concerned because the parties have read, know and understand the contents of the deed, provided that it is stated in the closing of the deed and on each page of the minutes of the deed initialed by the appearers, witnesses, and the notary as referred to in article 16 paragraph (7) of uujn. however, the notary failed to state the information in the closing section of the deed. hence, it was considered an oversight by the notary. 2) civil malpractice occurs when it does not carry out its obligations or does not provide its achievements as agreed (broken promises). actions that can be categorized as civil malpractice include: a) not doing what according to the agreement must be done; b) doing what according to the agreement must be done but too late to do it; c) doing what according to the agreement must be done but not perfect; and 29 amaliataufani, tinjauan yuridis malpraktek medis dalam sistem hukum indonesia (surakarta: fakultas hukum universitas sebelas maret, 2011) (see also the written article on access http://paradipta.blogspot.com/2011/02/malpractice.html). https://journal.unnes.ac.id/nju/index.php/jpcl/index 148 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index d) doing what according to the agreement should not be done 3) administrative malpractice occurs when it has violated administrative law. in this case, a notary may be subject to administrative sanctions if they does the following: a) running a notary practice without permission b) carrying out the practice of a notary that is not by its authority c) doing a notary practice with an expired permit according to liliana tedjosaputro, in the event of notary malpractice, the notary can also be subject to criminal, civil, and administrative charges.30 if the malpractice is carried out, it turns out that it also violates criminal law, civil law, and administrative law. the scope of malpractice carried out by a notary includes forms of denial or deviation or lack of ability from the duties and responsibilities of a notary either due to an error or due to negligence which can be accounted for by them to carry out professional obligations or based on trust.31 this malpractice can occur in the fields of ethics, and law, both criminal, civil, and administrative law.32 in finding forms of criminal responsibility for notary malpractice related to the procedure for making a deed, notary malpractice must be divided into 2 (two) classifications, i.e., unintentional notary malpractice and deliberate notary malpractice. malpractice carried out unintentionally occurs due to negligence (which in this case includes negligence is also carelessness, lack of knowledge, lack of experience, and other reasons on the part of the notary who was not intentional by the notary). it is referred to as pure malpractice. meanwhile, malpractice committed by a notary intentionally is referred to as an act of deliberate dishonesty. in discovering forms of criminal liability for notary malpractice related to the procedure for making a deed, notary malpractice must be divided into 2 (two) 30 liliana tedjosaputro, etika profesi notaris (dalam penegakan hukum pidana) (yogyakarta: bigraf publishing, 1995), 16. 31 ibid., 19. 32 ibid. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 149 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index classifications, i.e., unintentional notary malpractice and intentional notary malpractice. an example of malpractice that occurs in the making of a deed is the information regarding the time of signing the deed, which is not following the reality. the deed states that mr. a appeared before a notary on june 27th, 2015. when in fact, mr. a confronted and signed the deed on july 2nd, 2015. if the notary deed contains information that does not follow the actual time that occurred at the time of signing the deed, then there has been notary malpractice. it is necessary to prove whether the malpractice is pure malpractice or an act of deliberate dishonesty. uujn provides an opportunity for a notary to correct an administrative error committed against their deed so that a fatal error, as mentioned in the example above, is suspect, and the material truth must be sought regarding the involvement of a notary together with the appearers to include date information that does not match with reality intentionally. the information given by the notary and the appearance regarding the date of the deed indicates that a crime has occurred, which is related to the criminal act of forging letters as regulated in the criminal code. if the malpractice is proven to be pure malpractice without deliberate dishonesty, then the solution to fixing it is through the mechanism regulated in the uujn. there is no criminal act in it. on the other hand, if it can be proven that the information regarding the date was deliberately made by a notary together with the parties, then it means that there is malpractice containing an act of deliberate dishonesty, which causes the notary to be held criminally responsible for the act because it is a criminal law act. of course, related to the criminal act, the notary must be able to prove that they has fulfilled all the elements of a criminal act. if they does not meet the elements as specified in the criminal code, of course, the notary cannot be punished. actions, as mentioned above, are included in the realm of pure malpractice when the information regarding the date of making the deed is carried out by a notary due to negligence in terms of procedures, for https://journal.unnes.ac.id/nju/index.php/jpcl/index 150 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index example, due to several reasons for the negligence of employees, administrative errors, and others. the action can be said to be pure malpractice, but because the act which originally was pure malpractice contains indications of a violation of criminal law, it is necessary to seek the material truth of the violation. the search for material truth is to prove the existence of an error element in the notary. malpractice carried out unintentionally occurs due to negligence (which in this case includes negligence is also carelessness, lack of knowledge, lack of experience, and other reasons on the part of the notary who was not intentional by the notary). it is referred to as pure malpractice. meanwhile, malpractice committed by a notary intentionally is referred to as an act of deliberate dishonesty. understand deliberate dishonesty, which can be seen from an etymological perspective. deliberate dishonesty is english, where the word deliberate comes from the latin, delibero, which means "i consider, weigh well" or in bahasa indonesia “saya mempertimbangkan, dan menimbang dengan baik”. deliberate is an adjective that refers to something that is done intentionally or with a plan. dishonesty is an adjective that shows a trait that is not honest. when the two words are combined, deliberate dishonesty means “intentional or planned dishonesty”. the term deliberate dishonesty is long-established. the term is commonly used in england and other british common law countries. for example, in 1968, in the british case of r v. sinclair, sinclair and their friends were charged with fraud against their company, and the judge directed the judges that "to prove fraud, it must be established that the conduct was deliberately dishonest" that the act was intentional dishonesty). a more recent example is found in the new york consolidated laws, the bsc (business corporation) book, article 7, section 726, which states: “... https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 151 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index (b) no insurance under paragraph (a) may provide for any payment, other than the cost of defense, to or on behalf of any director or officer: (1) if a judgment or other final adjudication adverse to the insured director or officer establishes that their acts of active and deliberate dishonesty were material to the cause of action so adjudicated, or that they gained a financial profit or another advantage to which they was not legally entitled, or ...” notary malpractice, classified in the form of deliberate dishonesty, is an act that a notary intentionally carries out to commit an act of violating professional standards or legal norms. in the deliberate dishonesty act, there is a deliberate act of a notary which has implications for other violations of the law which are not only at the level of violation of the code of ethics, as well as the procedure for making a deed but lead to violations of the law, generally violations of criminal law. the involvement of a notary in this action is because it is done intentionally. a notary's error is indeed a deliberate mistake to be able to cause an advantage for himself, their colleagues, or certain benefits that they hopes to occur. pure malpractice or deliberate dishonesty acts as a consequence of responsibility for the notary. for every case involving a notary deed, it must involve an expert witness in the field of a notary to provide a clear picture to the judge and the public prosecutor regarding the duties and steps that are obligatory or not obligatory to be carried out by a notary. this is where the function of the notary organization and the notary supervisory board is. based on kepmenkumham no. m-01.ht.03.01 of 2003, the only notary organization recognized by the government is the "ikatan notaris indonesia". however, not a single word in the uujn, both in the articles and in the explanation, states that the notary organization referred to by the uujn is the indonesian notary association. the acknowledgment from the ministry of law and human rights that the indonesian notary association is the “single vessel” for notaries was finally reaffirmed through permenkumham no. m.02.pr.08.10 of 2004 in article 3 paragraph (1) https://journal.unnes.ac.id/nju/index.php/jpcl/index 152 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index letter b and repeated in article 4 paragraph (1) letter b. article 1 point 5 uujn states, "notary organizations are professional organizations of notary positions in the form of associations with legal entities". article 82 paragraph (1) uujn stipulates that: "notaries gather in one forum for notary organizations". article 82 paragraph (2) of the uujn stipulates that: "the notary organization as referred to in paragraph (1) is the only free and independent notary professional forum established with the intent and purpose to improve the quality of the notary profession. article 83 paragraph (1) uujn stipulates that: "notary organizations establish and enforce the notary code of ethics". this is different from the situation before the enactment of the uujn, which allowed notaries to gather in various notary organizations, which of course, would have consequences for the existence of various codes of ethics that apply to each of its members. it can be concluded that law enforcement and notary legal protection must go hand in hand to achieve justice. protection is given to them from the start in carrying out their duties as notaries starting with preventive supervisory actions and continuing with coaching actions and providing proper legal protection for notaries. whether it is deliberate dishonesty or malpractice, it can violate the law or violates rules only. however, the difference between both of them is if it is deliberate dishonesty the notary violates the rules or regulations on purpose. the legal consequence is the notary is involved and could be held legally responsible. meanwhile, if it is malpractice and the notary is inadvertent, the violation is general. therefore the legal consequence of malpractice is only the extent of moral. nonetheless, if the notary possibly did malpractice that cause a violation of law must be responsible for his or her involvement. notaries need to be understood by their profession that they are someone who has certain functions and duties that cannot be equalized with others who do not carry the task. law enforcement needs to be done properly. this shows that the notary is not above the law. every mistake they make bears legal responsibility. thus, it is hoped that violations in the future, especially https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 132-156 153 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index violations of criminal law involving notaries, will decrease, and perpetrators of violations can be dealt with as they should according to existing rules. conclusion the basis of the notary's responsibility in carrying out their duties is whether or not there has been malpractice. the notary is responsible for the malpractice they have committed, both pure malpractice and deliberate dishonesty. the notary's liability due to malpractice by a notary needs to be sorted out whether the malpractice is pure malpractice that occurred due to the negligence of the notary or malpractice that occurred because of the notary's intention, which means it is an act of deliberate dishonesty. then it needs to be seen again whether pure malpractice or deliberate dishonesty is only a procedural error that will lead to sanctions in terms of the code of ethics or uujn or is a malpractice action that violates legal norms to give birth to legal sanctions. malpractice sanctions are generally contained in the general code of ethics or general legal rules governing the profession. if there is a violation of the criminal law, the notary can be held criminally responsible. in the realm of criminal liability, the element of notary intent must be proven. intentional proof of a notary is proof that seeks material truth. both pure malpractice and malpractice are acts of deliberate dishonesty, placing a notary as a deed maker who can be held criminally responsible or accountable. references adjie, habib. hukum notaris indonesia (tafsir tematik terhadap undang-undang nomor 30 tahun 2004 tentang jabatan notaris). bandung: refika aditama, 2009. https://journal.unnes.ac.id/nju/index.php/jpcl/index 154 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index ———. meneropong khazanah notaris dan ppat di indonesia (kumpulan tulisan tentang notaris dan ppat). bandung: citra aditya bakti, 2009. ———. “sanksi perdata dan administratif terhadap notaris sebagai pejabat publik berkaitan dengan pembuatan akta berdasarkan undang-undang jabatan notaris.” disertasi, program doktor fakultas hukum universitas airlangga, surabaya, 2007. afifah, kunni. “tanggung jawab dan perlindungan hukum bagi 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silalahi, enriko, and akhmad khisni. “legal review of malpractice notary in the notary’s deed.” jurnal akta 5, no. 3 (2018): 647–54. soekanto, soerjono, and herkutanto. pengantar hukum kesehatan. bandung: rermadja karya, 1987. tedjosaputro, liliana. etika profesi notaris (dalam penegakan hukum pidana). yogyakarta: bigraf publishing, 1995. tobing, g.h.s. lumban. peraturan jabatan notaris. jakarta: gelora aksara pratama, 1982. wiryomartani, winanto. “notary malpractice in carrying out their duties and authorities.” global legal review 1, no. 2 (2021): 143–56. *** https://journal.unnes.ac.id/nju/index.php/jpcl/index 156 adyna & astrid available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index declaration of conflicting interests the authors state that there is no conflict of interest in the publication of this article. funding information none acknowledgment none history of article submitted : august 29, 2022 revised : september 19, 2022 accepted : november 3, 2022 published : november 28, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. protection of patent rights in the genetic engineering development to support the development of new capital city of indonesia febri noor hediati faculty of law, mulawarman university, indonesia febrinoorhediati@fh.unmul.ac.id abstract this research is motivated by the existence of an area in the new capital city's support area that has a tropical rainy climate and abundant natural resources, including forest plants and black orchids with special habitats that have the potentials to generate commercial profits. the study's findings applied a normative juridical method with a statutory and conceptual approach to explain patent rights on genetic engineering. by developing genetic engineering to produce useful products, many local and foreign investors will later be attracted to the use of patents for genetically engineered products. it is expected that in the future, both local communities and foreign investors will think creatively about how to develop a genetic engineering science and register patent protection for the final product. genetic engineering requires technical skills, agricultural knowledge, ecological knowledge, medical knowledge (including medicine and healing procedures), and knowledge of genetic resources, therefore, a separate institution is required to study, research, and develop the potentials of the new capital city’s natural resources. the state can protect genetic engineering development by registering a patent. aside from being the seat of government, it has the potential to be a source of assistance and support for the national economy, one of which is in the field of intellectual property rights, specifically patent rights. keywords patent rights, genetic engineering, new capital city journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:febrinoorhediati@fh.unmul.ac.id https://orcid.org/0000-0002-8876-3023 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 115 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index introduction in the current era of modernization, technology plays a crucial role in enhancing the quality of life, as it constantly adapts to new circumstances. innovative, creative, and one-of-a-kind technologies are evolving with the times. it is a challenge for our nation to catch up with global technological advancements so that we do not fall behind developed nations. in terms of human resources, indonesia is not inferior to other developed nations when it comes to conducting research. however, it is unfortunate that there is still a lack of government support for indonesian researchers who discover various types of technology, so that many of them export their inventions. whereas a significant number of other nations take advantage of the invention technology of indonesian first and even purchase patents for the technology. considering this event, the government should place a higher priority on human resource development, particularly in the capital city and its surroundings, which have a significant impact on the movement of the capital city by providing policies that are conducive to the development of research and give the highest level of recognition to citizens who have discovered new technology-based inventions in various fields that can be used for the benefit of the community, this country can be made more progressive. there are indigenous species and other genetic resources in every nation. indonesia is one of these countries because of the abundance of its genetic resources, which include all kinds of ecosystems and plant, animal, and microbial life1 with the expectation that citizens will generate new inventors. genetic engineering is the process of modifying the genes of an organism in order to enhance its characteristics.2 this genetic engineering's 1 teng berlianty, kerta patrika, formulasi pengaturan disclosure requirements sumber daya genetik sebagai hak paten, vol 39 no. 2, august, 2017, https : // ojs. unud.ac.id/ index.php/kerthapatrika,page 1 2 www. kompasiana.com. accessed october 1, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index 116 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index scope includes plants, medical procedures, and technology. the support area in the new capital city has an abundance of plant resources, such as forest plants and black orchids, which are native to east kalimantan. because natural resources are widely available in indonesia, there is great potential for the development of this technology here. indonesia is an archipelagic nation comprised of more than 13,000,000 islands. indonesia is situated along the trajectory of the biodiversity distribution of the asian continent (java island, kalimantan, and sumatra), the australian continent (papua island), and the wallacea transitional area (sulawesi island, maluku, ntt). indonesia has a very high level of biodiversity despite occupying only 1.3% of the earth's surface. in the form of food, clothing, and shelter, biodiversity provides consumption value. as a source of carbohydrates, the indonesian population consumes more than one hundred species of grain plants and tubers. a minimum of 100 species of legumes, 450 species of fruits, and 250 species of vegetables and mushrooms are also consumed, while 940 species of plants produce ingredients for traditional medicines that are widely used in the pharmaceutical industry. containing a high economic potential value.3 the technology of genetic engineering is one of the newest technologies currently being developed. there is great potential for the development of this technology in areas where indonesia has abundant natural resources. there is hope for the development of the entire island of kalimantan in terms of human resources, infrastructure, and technology as a result of the relocation of the nation's capital. in order for the island of kalimantan to no longer be synonymous with environmentally destructive coal exploration mines. numerous things in kalimantan can be enhanced by genetic engineering technology. for instance, it can be used to study the evolution of plants, animals, treatment methods, and other natural elements found on the island of kalimantan. 3 country profile indonesia dalam balai kliring keanekaragaman hayati, http://bk.menlh.go.id/?module=pages&id=(profile) derived on 01 october 2022) https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 117 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index innovative genetic engineering technology could lead to new inventions whose intellectual property rights can be protected by laws and rules if they are registered as patents. because the invention that was made has economic value in the world of business and trade. it will be unfortunate that inventions made through arduous work do not get protection from the government and can be copied or claimed by irresponsible people. in addition, the patent law in indonesia lacks clear rules about inventions related to genetic resources, which is a problem because, as time goes on, technology gets better and better. with a possible plan for genetic engineering development in the area around the new capital city in which, after a new invention came out, needed legal protection. based on the above description, the following major issues will be investigated: (1) how should existing genetic engineering be developed, or what potential in the new capital city and surrounding community should be explored again? (2) what are the government's efforts to provide legal protection for genetic product patents? (3) what are the effects of the advancement of science and technology in genetic engineering on the economic and human resource development of the new capital city? method the research method is a way to solve problems or develop knowledge using the scientific method.4 the research method used by the author is a normative juridical approach. normative research is defined as research that examines various legal rules of a formal nature, such as laws and other regulations related to problems, as the object of study for this type of research is legislation and library materials5. the normative juridical approach is based on the provisions of the legislation (black letter law) and 4 efendi jonaedi, 2018, ibrahim johnny, metode penelitian hukum normatif dan empiris, jakarta, prenada media, page 3 5 soerjono dan abdurrahman, 2003 , metode penelitian hukum, jakarta : rineka cipta, page 57 https://journal.unnes.ac.id/nju/index.php/jpcl/index 118 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the concept approach.6 and the normative legal research method that examines the law from an internal perspective with legal norms as the object of research.7 according to soerjono soekanto, the normative juridical approach is legal research conducted by examining library materials or secondary data as a basis for research by conducting a search on regulations and literature related to the problem being studied.8 the data used in this study are secondary data, whereas the data used to address the issues raised in this article were derived from a literature study. the laws and regulations governing patents are the primary source of legal data. secondary data consists of expert opinion doctrines written in legal books, the outcomes of legal research that can be used to explain primary legal materials. and secondary materials are obtained by reviewing books, literature, and papers as part of document studies. then there is tertiary material, which can be obtained by searching data on the internet, as well as magazine and newspaper opinions. the research is specified as descriptive-analytical because it will reveal the facts and analyze the existing legal phenomena at the current time.9 . result and discussions genetic engineering technology and its development in the indonesia new capital city a. definition and scope of genetic resources according to the wipo, traditional knowledge is utilized as knowledge. in a community, technical knowledge and skills have been 6 zainuddin ali, 2010, metode penelitian hukum, yogyakarta, sinar graphic, page 89 7 pasek, i made, 2017, metode penelitian hukum normatif dalam justifikasi teori hukum, jakarta, prenada media group, page 12 8 soerjono soekanto and sri mamudji, 2001, penelitian hukum normatif (suatu tinjauan singkat), rajawali press, jakarta, pages 13-14) 9 soerjono soekanto, 1986, pengantar peneltian hukum, jakarta: ui press, page 10 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 119 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index passed down from generation to generation. according to minister of law and human rights regulation no. 13 of 2017 on communal intellectual property data, traditional knowledge is an intellectual work in the field of knowledge and technology that contains elements of traditional heritage and is produced, developed, and maintained by the community. the traditional knowledge is comprised of technical skills, craftmanship, agricultural knowledge, ecological knowledge, medical knowledge, including drugs and healing procedures, as well as knowledge pertaining to genetic resources and traditional handicraft-making skills. genetics is a branch of biology that studies genetic material about its structure, how it reproduces, how it works, how it changes and its recommendations.10 therefore, the concept of genetics itself is how traits are passed down to a wider range. genetic engineering is the application of technology to the addition or modification of organisms' genetic material.11 thereby, this technology combines genes from various species, including those from agriculture, plantations, and animal husbandry. the article 2 of the international treaty on plant genetic resources for food and agriculture defines plant genetic resources for food and agriculture as genetic material derived from plants with actual or potential food and agricultural value. genetic resources include not only plants and animals that can be utilized by humans, but also all living things that have the potential to provide economic value and genetic value. below are the types of genetic resources, such as:12 1) plants all of the genetic resources found in seeds, tissues, and other plant parts. for instance, red fruit, long jack, curcuma zanorrhiza or temu 10 elya nusantari, 2015, genetika (belajar genetika dengan mudah dan komprehensif), yogyakarta: dee publish, page 2 11 derek harvey, kim bryan, trevor day, 2019, genetika terapan, bandung: pt. pakar raya, page 5 12 andriano purba, 2017, perlindungan sumber daya genetika berdasarkan uu nomor 13 tahun 2016 tentang paten, thesis of the faculty of law, university of north sumatra https://journal.unnes.ac.id/nju/index.php/jpcl/index 120 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index lawak, as well as other plant-related parts including leaf stems, plant bark, roots, and soil that are attached to plants. 2) animals all genetic resources found in tissues, other animal parts such as eggs, embryos in animals that live on land and sea (including birds), for example are genetic resources in gembrong goats, garut’s sheep or bali’s cattle (saliva, sperm, etc.). 3) microbes microbial microbial genetic resources are genetic resources associated with micro-organisms or microbes, such as bacteria, archaea, viruses, protozoa, molds, yeasts, and related materials, and/or containing microorganisms, such as palm wine, tempeh, blood curd, brem which is a solid cake and beverage made of fermented glutinous rice, fermented food, rice field snake feces used as rat poison, soil, mud in accordance with article 26 of law 13 of 2016 on patents, if an invention is derived from genetic resources, the origin of the genetic resources must be clearly stated in the invention's description. the utilization of genetic resources adheres to statutory regulations and international agreements in the field of genetic resources. according to government regulation no. 21 of 2005, genetically engineered products have a new genetic makeup as a result of modern biotechnology. plant biotechnology cannot be separated from plant breeding techniques such as conventional/traditional crossbreeding and modern biotechnology techniques such as genetic engineering of plant tissue culture. therefore, there are benefits of genetically modified plants, namely improved plant quality that confers resistance to pests and diseases. b. the government's efforts to develop patent rights on genetically engineered technology in the new capital city of indonesia https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 121 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index patent rights are a type of intellectual property rights regime classification. according to law number 13 of 2016, patent rights are "exclusive rights granted by the state to inventors for their inventions in the field of technology for a certain period of time to carry out the invention themselves or to grant permission to other parties to implement them." as a result, the patent itself is an intangible movable object. according to article 503 of the civil code, each object is both bodily and non-bodily.13 because of the nature of patent rights, they can be transferred to others and are guaranteed fiduciary. furthermore, patent rights can be transferred through license agreements, endowments, grants, and inheritance. in terms of stimulating and enhancing economic growth and technological advancement, patents play a crucial role. it is as if everyone in the community can enjoy patent-protected technological works thanks to the innovations that have been brought to the industry. the work must be registered immediately to the directorate general of intellectual property rights if the creators want to secure exclusive rights to the creation. to ensure legal protection in the future. legal protection has its own purpose so that later entrepreneurs will compete to improve their innovation work, create jobs in the technology industry, create a conducive atmosphere for healthy business competition and improve people's welfare. as in the case of genetically engineered products, innovation technology must be registered to receive legal protection. therefore, it is highly anticipated that the government will make efforts to protect patents through the directorate general of intellectual property by mapping patent potentials arising from new inventions based on engineering technology. therefore, cooperation between the directorate general of intellectual property and research institutions is required to minimize legal consequences and losses that may arise in the future if there is a problem with the patent rights of a genetically engineered product that 13 subekti dan tjiprosudibio, 2003, kitab perundang-undang hukum perdata, jakarta, pradnya paramita, page 157 https://journal.unnes.ac.id/nju/index.php/jpcl/index 122 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index creates legal and justification problems, particularly in the new capital city area and its surroundings. genetic engineering technology has enormous potential if it is developed on the island of borneo. moreover, indonesia is known as one of the richest sources of biodiversity, which is derived from abundant natural resources, one of which is forest plants and black orchid plants which are the characteristics of east kalimantan. the government's role here is also important, it is useless if there are abundant biological natural resources, especially in east kalimantan, but the government does not have awareness. strengthening awareness can be carried out by providing literate understandings of intellectual property rights, science and technology development, especially in genetic engineering technology. recent changes in technology have led to changes in lifestyle and healthy eating habits, so the government must support a healthy lifestyle with all-herbal foods and medicines. the right use of these natural resources is needed to come up with new ideas in genetic engineering technology. also, the issue of digital engineering is growing quickly, but it has not been supported by the issue of the legal status of genetic engineering. most people still think that genetic engineering is in the public domain. the future of genetic engineering looks good and interesting, so it could be a big opportunity for people in the area around the new capital city of indonesia. as a result, the local government that supports the new state capital region began working with the lipi biotechnology research center (puslit) to develop innovative patent technology inventions in genetic engineering. plant biotechnology refers to a branch of biology that studies the use of living things, either animals or plants. on the other hand, there are obstacles that must be overcome by the government, including numerous issues related to climate change, the high intensity of natural disasters in east kalimantan such as floods, damage and decreased carrying capacity of the environment itself, and outbreaks of infectious diseases among humans, animals, and plants. the government https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 123 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index must anticipate these challenges in order to minimize the problems associated with supporting innovation in genetic engineering technology by modifying the policy structure so that it is good and appropriate for its portion or objective. legal protection of patent rights on genetic products a. subjects and objects of patent patent rights are one of the intellectual property rights contained in various other intellectual property rights regimes. whereas in this right, the state provides legal protection to inventors for the results of their hard work on technological inventions. the inventor is the subject of the patent. the inventor can be a single person, a group of people, or a legal entity. inventors create inventions by putting their innovative ideas into the form of technology. inventions are creative ideas materialized in the form of the inventor's work. these inventions can be created by the inventors themselves, or they can be transferred to someone else. the transfer of inventions in accordance with law no. 13 of 2016 pertaining to patents, including inheritance, grants, wills, endowments, written agreements and other reasons justified under the provisions of the law. the object of the patent itself is an intangible movable object on intellectual property rights. this patent is extremely important because it is required to process raw materials, which are then reprocessed into industrial products with a high market value or selling power. the industry includes industrial technology in the fields of agriculture, livestock, and education.14 14 abdul kadir muhammad, 2000, hukum ekonomi hak kekayaan intelektual, bandung: pt. citra aditya bakti, page 206 https://journal.unnes.ac.id/nju/index.php/jpcl/index 124 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index b. patent rights on genetically engineered technology products along with the development of technology, particularly in the use of living creatures created by allah swt, specifically plants that are used as media or invention tools. in addition to technology that is constantly evolving, there is also biotechnology that develops to engineer by modifying specific genes as well as in modified plant products to confer advantages or characteristics over similar plants. for instance, cabbage plants that have undergone a relatively lengthy maturation process prior to being harvested, so that the cabbage plant has its own distinguishing characteristics among other cabbage plants. in compliance with article 109 of law no. 13 of 2016 on patents, the indonesian government can implement patents on its own, one of which is based on the consideration of a very urgent need for the benefit of the community and is limited and non-commercial in nature. the purpose of the urgent need is to benefit the community, as in the medical and agricultural fields. in the implementation of patent rights by the government, the following are included: expensive pharmaceutical/biotechnology products, chemical products or biotechnology related to agriculture that are required for food security, veterinary drugs required to combat widespread animal pests/diseases, and processes or products to deal with natural disaster/environmental disaster. article 6 of the international treaty on plant genetic resources for food and agriculture outlines the steps involved in utilizing plant genetic resources for food and agriculture, such as: 1) strive for equitable agricultural policies that, where applicable, promote the development and maintenance of diverse agricultural systems that encourage the sustainable use of agricultural biodiversity and other natural resources. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 125 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index 2) enhance and preserve biodiversity by increasing diversity within and between species for the benefit of farmers, particularly those who produce and use their own varieties and apply ecological principles for maintaining soil fertility and controlling weeds and diseases. 3) encouraging plant breeding with farmer participation, particularly in developing nations, thereby enhancing the capacity to develop varieties, especially those adapted to social, economic, and ecological conditions, including in marginal areas. 4) expanding the genetic foundation of crops and increasing the genetic diversity available to farmers. 5) increase the number of users of underutilized locally adapted and locally adapted plants, varieties, and species. 6) encouraging the expansion of the use of diverse varieties and species in the management of attached land, the conservation and sustainable use of plants, and the establishment of close ties between plant breeding and agricultural development to reduce crop vulnerability and genetic erosion and to promote increased global food production in accordance with sustainable development. 7) adjust breeding strategies and regulations pertaining to variety release and seed distribution. to prevent the extinction of the unique flora of east kalimantan, specifically the black orchids, genetic engineering techniques are required. in addition, there is a large forest area, which can be used to stimulate forest plant productivity through forest restoration. however, there are obstacles to the development of genetic engineering of forest plants, one of which is the lack of knowledge about the molecular aspects of growth properties and wood quality.15 15 anto rimbawanto, rekayasa genetika tanaman kehutanan di indonesia : potensi dan tantangan, jurnal analisis kebijakan kehutanan vol. 3 nomor 1 , maret 2006, page 64 https://journal.unnes.ac.id/nju/index.php/jpcl/index 126 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index if the patent has been registered with the directorate general for intellectual property rights, it provides legal protection for the invention of crossbreeding plants using genetic engineering such as black orchids and wild forest plant. in order to obtain legal protection of patent rights, the following conditions must be met: 1) novelty, 2) inventive steps, and 3) industrial application. in addition to the state providing legal protection for the community against genetically engineered plantation products under the patent law, which is intended to recognize the discovery of genetic products in plantations, the community is also entitled to protection under the consumer protection act. legally, a patent is protected if it has been registered and if there are regulations governing it, but there are no comprehensive regulations and derivative regulations regarding genetically modified plants. in addition to the patent law, the government should consider specific regulations and their derivatives for later genetically modified plants. the impact of genetic engineering science technology development on the growth of the new capital city of indonesia in accordance with government regulatory policies and technological advancements in their application and practice, intellectual property rights play an essential role in their utilization. in addition, legal protection is essential in today's global competition so that subsequent inventors can compete to develop new genetic engineering technologies. genetic engineering is defined as the science of altering (modifying) the characteristics of organisms (living things) through the manipulation of genetic material, particularly dna, and the transformation of specific genes to create new forms of life.16 in east kalimantan, tomato plant quality has 16 anton apriyanto, 2007, potensi ketidakhalalan produk pangan dan masalah pangan hasil rekayasa genetika, bandung: pt. dunia pustaka jaya https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 127 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index been started to improve through genetic engineering by delaying ripening and altering anthocyanin content. 17 the rapid development of genetic engineering science and technology has subsequently permeated many fields, including medicine, pharmacy, agriculture, and animal husbandry. in genetic engineering technology, by combining the use of natural materials or abundant biological wealth in indonesia, particularly in the east kalimantan region, with the application of traditional technology-based knowledge, it is possible to produce new intellectual property rights products, namely patent innovations. natural materials or biological wealth will be changed in different ways. one of these ways is by making transgenic organisms, which are made when the traits of one organism are changed to include those of another organism. drugs and vaccines are pharmaceutical products, just like enzyme products. there are a lot of plants that make food ingredients whose genes have been changed to make natural food that is better and can last longer without getting eaten by pests. if in the health sector, care will be better and more advanced. if it is more efficient in agriculture and uses fewer chemical pesticides, it tends to use natural ingredients. if, in the field of animal husbandry, production technology can be used to raise the number of animals, this will improve the efficiency and quality of feed. below are the benefits obtained from genetic engineering methods, such as:18 1. reduce costs and increase the supply of many materials now used in medicine, agriculture, and industry 2. developing superior agricultural crops 17 bptp kaltim www.kaltim.litbangpertanian.go.id accessed october 1, 2022 18 sutarno, rekayasa genetika dan perkembangan bioteknologi di bidang peternakan, proceeding biology education conference vol 13 (1), 2016 https://journal.unnes.ac.id/nju/index.php/jpcl/index 128 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index 3. exchanging genes from one organism to another according to human wishes, induces cells to make materials that have never been made before. with our ability to use genetic engineering methods supported by indonesia, which inherits abundant biological and plant resources, it will affect the development of science in fields such as processed foods, beverages, and traditional medicines. indonesians, particularly those in east kalimantan, can benefit from the experience of other countries that are skilled at producing or processing plant and animal resources. in brazil, for example, snake venom/venom is being processed into drugs to treat high blood pressure. in terms of the direct impact of technological developments in the new capital city area, which serves as the economic center. the surrounding technological developments are significantly influenced. which is still a relatively new technological area. it is hoped that by incorporating this new technology, residents living in the area surrounding the new state's capital will be automatically motivated to learn new things and increase their creativity in order to produce an innovation on patents. regarding the direct socio-cultural impact, with the introduction of new technology, the community's mindset will gradually become more open. furthermore, the developed technology will have a significant impact on economic development, making the community more creative and innovative. the impact of increased competition in the world of technology is becoming more stringent. while the indirect effects include causing changes and shifts in lifestyle, as well as the creation of new values and procedures, namely local wisdom, which is the majority of the population surrounding the new state capital area, namely the dayak and kutai tribes. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 129 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index conclusion the way to develop genetic engineering among the people of the new capital city of indonesia is to issue patent innovations, particularly in genetic engineering. if genetic engineering technology is developed on the island of borneo, it has enormous potential. in addition, indonesia is renowned as one of the world's richest sources of biodiversity, because of its abundance of natural resources. one of them is black orchid plant and forest plant. moreover, the government's role here is also crucial; it is pointless if east kalimantan's natural resources are abundant, but the government does not have awareness. through cooperation between the government and the research center (puslit) biotechnology lipi in the supporting areas of the new capital city. government efforts to provide legal protection for patent rights on genetic products are intended to provide full support to the public by facilitating access to legal protection through the registration of intellectual property rights in the field of patents. the invention of crossbreeding plants through genetic engineering is protected by a patent. the rapid development of genetic engineering technology, which has since permeated various fields including medicine, pharmacy, agriculture, and animal husbandry, has had a significant impact on the economic and human resource development of a new capital city. by combining the use of natural materials or abundant biological wealth in indonesia, particularly in the east kalimantan region, with the application of traditional technology-based knowledge, it is possible to produce new intellectual property rights products, namely innovations in the field of patents. by utilizing genetic engineering techniques supported by indonesia, which possesses an abundance of biological and vegetable resources, it will affect the development of science in emerging fields such as processed foods, beverages, and traditional medicines. furthermore, the black orchid plants were genetically engineered to prevent extinction, and https://journal.unnes.ac.id/nju/index.php/jpcl/index 130 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index plant modifications such as tomatoes and forest plants were carried out for breeding. the government pays more attention to the research and development of ipr products in the field of patents, especially genetic engineering from the research results of indonesian children, so that the people of indonesia can feel the benefits and impacts. the government fully supports the use of living creatures created by allah s.w.t., specifically plants used as media or invention tools. as in the case of plant products that have been altered to possess advantageous or distinguishing qualities in comparison to similar plants. in addition, the government facilitates patent legal protection through the registration of intellectual property rights. the government must develop alternative regulations and specifications for genetically modified crops and genetic engineering inventions. with the development of genetic engineering technology, more competent and innovative innovations will be able to provide benefits to the surrounding community, particularly in the region surrounding the new capital city of indonesia. in addition to providing community benefits, it can also contribute to the country's economic growth. references apriyanto, anton. potensi ketidakhalalan produk pangan dan masalah pangan hasil rekayasa genetika, bandung: pt. dunia pustaka jaya. 2007. bptp kaltim www.kaltim.litbangpertanian.go.id country profile indonesia dalam balai kliring keanekaragaman hayati , http://bk.menlh.go.id/?module=pages&id=(profile) harvey, derek, kim bryan, and trevor day. genetika terapan, bandung: pt. pakar raya. 2019. johnny, ibrahim. metode penelitian hukum normatif dan empiris, jakarta, prenada media. 2018. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 114-132 131 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index muhammad, abdul kadir. hukum ekonomi hak kekayaan intelektual, bandung: pt. citra aditya bakti, 2000. nusantari, elya. genetika (belajar genetika dengan mudah dan komprehensif), yogyakarta: dee publish. 2015. pasek, i made. metode penelitian hukum normatif dalam justifikasi teori hukum, jakarta, prenada media grup. 2017. purba, andriano. perlindungan sumber daya genetika berdasarkan uu nomor 13 tahun 2016 tentang paten, skripsi fakultas hukum universitas sumatera utara. 2017. rimbawanto, anto. rekayasa genetika tanaman kehutanan di indonesia : potensi dan tantangan. jurnal analisis kebijakan kehutanan vol. 3 nomor 1 , maret. 2006. soekanto, soerjono. pengantar peneltian hukum, jakarta: ui press. 1986. soekanto, soerjono, and sri mamudji. penelitian hukum normatif (suatu tinjauan singkat), rajawali pers, jakarta. 2001. subekti dan tjiprosudibio. kitab perundang-undang hukum perdata, jakarta, pradnya paramita. 2003. sutarno, rekayasa genetika dan perkembangan bioteknologi dibidang peternakan, proceeding biology education conference vol 13. no. 1. 2016. teng berlianty, kerta patrika, formulasi pengaturan disclosure requirements sumber daya genetik sebagai hak paten, vol 39 no. 2, agustus 2017, https://ojs.unud.ac.id/index.php/kerthapatrika www. kompasiana.com. zainuddin ali. metode penelitian hukum, yogyakarta, sinar grafika. 2010. https://journal.unnes.ac.id/nju/index.php/jpcl/index https://ojs.unud.ac.id/index.php/kerthapatrika 132 febri noor hediati available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index declaration of conflicting interests the authors state that there is no conflict of interest in the publication of this article. funding information none acknowledgment none history of article submitted : august 29, 2022 revised : october 11, 2022 accepted : october 12, 2022 published : november 28, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. digital literacy and development of santripreneur asset quality through the leadership role of kyai: a case study of islamic boarding schools muchammad shidqon prabowo faculty of law, wahid hasyim university, indonesia shidqonprabowo@unwahas.ac.id ratih pratiwi faculty of economic and business, wahid hasyim university rara@unwahas.ac.id bagus pambudi head of sub-division of control and evaluation of the planning, research, and development agency of batang regency baguspb@gmail.com melyn eta coriala faculty of economic and business, wahid hasyim university melyneta@gmail.com mohamad abdul aziz faculty of economic and business, wahid hasyim university mohamadabdulaziz270301@gmail.com abstract islamic boarding schools in the current global era need to increase their capacity as islamic educational institutions that have advanced civilizations. with the emergence of global developments regarding economic conditions in asean countries (within the scope of southeast asia), one of which is marked by the presence of the aec (asean economic community), the indonesian people must improve their soft skills amid the global market journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:shidqonprabowo@unwahas.ac.id mailto:rara@unwahas.ac.id mailto:baguspb@gmail.com mailto:melyneta@gmail.com mailto:mohamadabdulaziz270301@gmail.com https://orcid.org/0000-0002-8876-3023 https://orcid.org/0000-0002-8876-3023 https://orcid.org/0000-0002-8876-3023 https://orcid.org/0000-0002-8876-3023 https://orcid.org/0000-0002-8876-3023 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index 158 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index competition to be competitive. islamic boarding schools need to respond to global challenges so that islamic values do not fade with the incessant development of industrial and economic globalization. this study aims to analyze the implementation of the law on information and electronic transactions in the use of electronic media in islamic boarding schools and analyze kyai’s strategy in empowering santri entrepreneurship and government support in the role of islamic boarding schools as a catalyst for the community’s economy. this collaborative research for community service is located in batang regency. the analysis technique uses the interactive analysis model, namely the anlaysis of data reduction, data presentation, and drawing conclusions or verification. the results show that in facing the disruptive era, islamic boarding schools in addition to implementing islamic values in the use of digital media, it is necessary to socialize the law on information and electronic transactions to santri so that they can provide a borderline in the use of digital media following applicable regulations apply in indonesia. islamic boarding schools have the potential for economic empowerment, considering that many islamic boarding schools have built cooperatives, developed various business units or small and medium-sized industries, and have a cubator business. the government develops entrepreneurship in islamic boarding schools with the program “one islamic boarding school one product”. keywords santripreneur, kyai leadership, implementation of law, information and electronic transactions, strategic assets introduction indonesia has an education system that has long been a strong and rooted educational model as the basis of islamic knowledge, namely the islamic boarding school educational institution. today, islamic boarding schools have experienced a lot of extraordinary value shifts, especially in the learning system. in the past, islamic boarding schools were still considered taboo when talking about everything in the world, let alone developing an entrepreneurial system, now many islamic boarding schools support islamic boarding schools through business units, and islamic boarding schools increase business results which open up opportunities for santri to https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 159 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index develop their creativity and innovation. this shows that islamic boarding schools encourage entrepreneurship values, which include independence, hard work, discipline, and honesty1. law number 18 of the year 2019 regulates islamic boarding schools regulate the implementation of educational functions, da’wah functions, and community empowerment functions. article 18 states that the function of islamic boarding schools is as an educational or educational institution; as a means of islamic da’wah and community economic empowerment2. the law mandates that islamic boarding schools must be able to become pillars to empower the community economically. islamic boarding schools carry out the function of education as part of the implementation of national education. the function of islamic boarding school education is to form students who excel in filling indonesia’s independence and are able to face the times. islamic boarding schools provide formal and/or non-formal education. islamic boarding schools carry out the function of da’wah to relize islam rahmatan lil’alamin. islamic boarding schools carry out community empowerment functions that are oriented towards improving the welfare of the pesantren and the community. in carrying out the function of community empowerment, islamic boarding schools carry out activities in preparing independent and skilled human resources so that they can play an active role in development. the role of pesantren in character education is that pesantren must act as guardians and preservers of religious values; islamic boarding schools as educational institutions, of course, are also required to play themselves as reformers of religious understanding; and as religious education institutions and social-community education, pesantren can also carry out their roles, duties, missions, and functions as inspiration, motivators, and 1 nimim ali, “model pendidikan pesantren berbasis wirausaha dan implikasinya terhadap kemandirian santri,” jurnal pendidikan glasser 4, no. 2 (2020): 72, https://doi.org/10.32529/glasser.v4i2.735. 2 republic of indonesia, “law of the republic of indonesia number 18 year 2019 concerning islamic boarding schools” (2019). https://journal.unnes.ac.id/nju/index.php/jpcl/index 160 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index dynamists in the implementation of development at the local and regional levels in their respective regions3. the view that islamic boarding schools only focus on salaf affairs has shifted to how to empower themselves to be able to become economic actors as a means of earning a living for productive things including worshiping better4. worship costs money, umrah, and hajj even require very high costs. infaq and alms also cost money. the more income, the more infaq and alms so that the community’s economy will be awakened. currently, many islamic boarding schools do not only focus on inculcating religious values, ethics, and knowledge but also develop the spirit of inculcating entrepreneurial values in the hope of carrying out social transformation in appreciating changes and forming an attitude of independence and maturity so that they can answer challenges the era of global competition5. islamic boarding schools are also one of the oldest social education institutions in indonesia. the beginning of islamic boarding schools in indonesia functioned as a means of islamization in indonesia6. then furthermore islamic boarding schools functioned as a means of public education in the formation of islamic religious character. the development of pesantren is influenced by socio-cultural changes that occur in the community to meet the needs of the community. the development of pesantren requires an innovation program that is relevant to the sociocultural changes of society to maintain its functions and goals continuously7. 3 mita silfiyasari and ashif az zhafi, “peran pesantren dalam pendidikan karakter di era globalisasi,” jurnal pendidikan islam indonesia 5, no. 1 (2020): 127–35, https://doi.org/10.35316/jpii.v5i1.218. 4 sohibun sohibun and filza yulina ade, “pengembangan media pembelajaran berbasis virtual class berbantuan google drive,” tadris: jurnal keguruan dan ilmu tarbiyah 2, no. 2 (2017): 121, https://doi.org/10.24042/tadris.v2i2.2177. 5 muh hafidz, “the role of pesantren in guarding the islamic moderation,” inferensi: jurnal penelitian sosial keagamaan 15, no. 1 (2021): 117–40, https://doi.org/10.18326/infsl3.v15i1.117-140. 6 ahmad saipudin, afi nuruz zahrok, and nur aini, “regulasi pendidikan diniyah non formal oleh,” cermin jurnal manajemen dan pendidikan berbasis islam nusantara 1, no. 1 (2021): 11–15, https://ejournal.staidakrempyang.ac.id/index.php/cermin. 7 ahmad saifudin, “pendidikan kewirausahaan dalam prespektif idialisme santripreneur,” intizam : jurnal manajemen pendidikan islam 3 (2019): 55–65. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 161 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index in the life of the islamic boarding schools, kyai has a central role, because it is in his hands that the wheels of islamic boarding schools’ life are determined. this includes the competence of kyai in dealing with the changes that occur. kyai who has an entrepreneurial spirit always thinks visionary to do all the anticipation in the changing times. such a kyai does not only serve himself but also serves the people, serves the santri, and all that is owned for the advancement of the islamic boarding schools and the santri and the community8. kyai in empowering santri and santri who are entrepreneurs is by emphasizing the main foundation, namely tawhid and sharia, not only trading theory and trading practices (noor, 2019). by being instilled with the provisions of monotheism and sharia, independence will emerge, and from independence will emerge piety, and sincerity in entrepreneurship. as in tawhid allah is al-mughnii and al-badiiy9. thus, the santri cannot be separated from what is called monotheism and the sharia. aqidah is also taught not in pieces, and in the sharia, there is worship and muamalah, between muamalah there is entrepreneurship. the results of the research hayana & wahidmurni (2019) show that the strategies applied by kyai in empowering entrepreneurship are carried out by providing entrepreneurship examples, providing field learning, giving assignments in islamic boarding schools business units, and providing motivation; the leadership style applied is a combination of democratic, transformative, and charismatic leadership styles; the presence of santri has an entrepreneurial spirit and an entrepreneur has a santri spirit10. 8 nur hayana and wahidmurni wahidmurni, “kepemimpinan kyai dalam memberdayakan kewirausahaan santri,” j-mpi (jurnal manajemen pendidikan islam) 4, no. 1 (2019): 1, https://doi.org/10.18860/jmpi.v4i1.7223. 9 guntur cahaya kesuma, “pesantren dan kepemimpinan kyai,” terampil : jurnal pendidikan dan pembelajaran dasar 1, no. 1 (2017): 99–117, http://ejournal.radenintan.ac.id/index.php/terampil/article/view/1308. 10 hayana and wahidmurni, “kepemimpinan kyai dalam memberdayakan kewirausahaan santri.” https://journal.unnes.ac.id/nju/index.php/jpcl/index 162 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index hidayat et. al (2019) performs community service by applying research results or theories to the wider community in various scientific aspects. the results of the service show that entrepreneurship training in islamic boarding schools builds the spirit of santripreneur so that santri can have independence and life skills. many santri who have graduated from islamic boarding schools, although scientifically relatively successful and recognized in the community, even tend to be prominent in their respective regions, but on the other hand, there are still many who experience problems of economic deficiency. therefore, it is necessary to strive for concrete steps, especially the empowerment of the entrepreneurial potential santri as carried out in several stages, namely (1) situation and needs analysis, (2) entrepreneurship seminars and talkshows, (3) acrylic handicraft training, and (4) entrepreneurship management training. the results of this service are in the form of handicrafts that have economic value and the participants get expertise that can be continuously developed and created so that it can make santri more productive and can be implemented to become a santripreneur11. this study seeks to reveal the role of kyai’s leadership in improving asset quality and empowering santri to become entrepreneurs, for this reason, the researcher tries to uncover what events were observed, examine the documents of islamic boarding schools, and what kyai, caregivers, santri, or islamic boarding schools stakeholders say about what they experience in islamic boarding schools in developing entrepreneurship. to achieve this goal, a qualitative approach is used with the type of case study research. batang regency encourages islamic boarding schools in batang regency to be economically independent. the independence of islamic boarding schools in terms of the economy can be helped by developing business centers. activities in islamic boarding schools will be more varied, 11 syamsul hidayat, muhammad saleh, and nani rohaeni, “pelatihan kewirausahaan menuju santripreneur di pondok pesantren al-mubarok kota serang,” ikraithabdimas 2, no. 3 (2019): 19–25. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 163 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index and not monotonous. the santripreneur program developed by islamic boarding schools in batang regency includes basic food shops, agribusiness, chicken farming, fish, and field/plantation management. however, an entrepreneurship training program is needed that is taught on an ongoing basis with the hope of improving the skills of the santri and growing their entrepreneurial spirit. islamic boarding schools also carry out self-development programs through the establishment of cooperatives. the cooperative was established to train the entrepreneurial spirit of students and provide students with entrepreneurial experience, so that the output of islamic boarding schools will be able to compete and survive when students have finished from islamic boarding schools12. islamic boarding schools’ efforts to equip santri with entrepreneurial interests in batang regency have been started through islamic boarding schools cooperatives (kopontren) and learning in classes, and additional training for santri in developing their talents, and interests so that they are expected to become entrepreneurial activities in the future, but have not produced significant results. thus, the most appropriate way to foster entrepreneurial interest in santri is the holding of entrepreneurship assistance to santri in an integrated and sustainable manner. in this way, santri will have qualified entrepreneurial skills and are supported by religious knowledge that will guard them to become entrepreneurs who have ethics and morals in doing business. in batang regency, 26 islamic boarding schools are developing and have santri, both mukim, and non-mukim. support for islamic boarding schools is not only in the form of capital and business training but also marketing of goods produced. however, assistance must continue. several islamic boarding schools in batang regency have become centers for making caps, such as the raudlotul muhtadin islamic boarding school. it can be an example. but unfortunately, not all islamic boarding schools can 12 zainal arifin sri wahyuni, “kepemimpinan demokratis nyai dalam pengembangan pondok pesantren,” journal of management in education (jmie) 1, no. 1 (2016): 94–106. https://journal.unnes.ac.id/nju/index.php/jpcl/index 164 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index face changes in the digital era so many islamic boarding school products are hampered in marketing that the problem does not stop at the lack of skills for production. santri needs to be given a stimulus by the islamic boarding schools in entrepreneurship because the santri are in a dormitory far from their parents, the information that can be obtained from the administrators of the islamic boarding schools, by all the support from the islamic boarding schools in entrepreneurship training is a joint effort to make santri active and entrepreneurial. with the hope that after the santri graduate, they will become productive people in all fields, especially becoming santripreneurs and reducing numbers in indonesia. the era of disruption demands that islamic boarding schools still maintain the characteristics of islamic boarding schools with the tri dharma of islamic boarding schools but can develop themselves by adapting to existing changes. the urgency of islamic boarding schools in the era of disruption is as a means of forming the character of the next generation of the nation that breathes monotheism. islamic boarding schools have also contributed a lot in providing various kinds of life experiences to santri including living individually, and socially, and equipping santri in the academic or vocational world. islamic boarding schools with islamic principles have become a competitive advantage in preparing their graduate santri to face the conditions of the asean economic community (aec)13. the high business spirit and the massive wave of entrepreneurial movement in the santri world on a national scale in the last decade gave birth to a new generation of santri, namely santripreneurs (humans who are pious in behavior, moral in behavior, established in mentality, proficient in business, and work). there are many works or business and entrepreneurial products from these santripreneurs that deserve to be developed and marketed more 13 mukaddis and idris parakkasi, “strategi pondok pesantren dalam persiapan memasuki masyarakat ekonomi asean,” jurnal iqtisaduna 3, no. 2 (2017): 1–13, http://repositori.uin-alauddin.ac.id/id/eprint/5734. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 165 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index broadly. responding to this phenomenon, as well as to support the policies and programs of the government of the republic of indonesia in the nation’s economic development amid the aec (asian economic community) vortex, it becomes very important to formulate a big concept on how to make the spirit of business, the wave of the entrepreneurial movement, and the works/products that exist in these santripreneurs can inspire and encourage the youth of the country to participate in building the economy of this country14. based on the description above, this research focuses on “kyai’s leadership in improving asset quality and empowering santripreneurs in batang regency.” this research will later look at how the pattern or leadership style of mrs. nyai at nahdlatul ulama’s flagship islamic boarding school in semarang; how is the concept of women’s leadership in the perspective of islamic studies in increasing female santri entrepreneurship and what steps will be taken by mrs. nyai in realizing female santri who are entrepreneurial. nyai also have an important role in community empowerment. community empowerment efforts are carried out by nyai by being directly involved with the community; interact and communicate with them. practically, nyai build their relationships by means of transformative, functional, and horizontal relationships. as a result, nyai can empower the socio-religious, economic, cultural, political, and educational lives of the community, but also remain the top leaders in the pesantren environment15. based on the description above, this research focuses on “digital literacy based on law number 11 of the year 2008 concerning information and electronic transactions and kyai’s leadership in improving asset quality and empowering santripreneurs in batang regency in the use of it.” the use of information technology according to the perspective of islamic 14 nur komariah, “pesantren di era mea dan global kasus pondok pesantren modern darussalam gontor ponorogo jawa timur,” n.d. 15 moh zammil, al muttaqin, and sigit priyo sembodo, “pola kepemimpinan perempuan di pondok pesantren darut thayyibah dan peran sosialnya di masyarakat,” irsyaduna: jurnal studi kemahasiswaan 1, no. 3 (2021): 273–88. https://journal.unnes.ac.id/nju/index.php/jpcl/index 166 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index studies in increasing entrepreneurship carried out by kyai as the leader of the islamic boarding school. based on this background, the formulation of the problem in this study is as follows: (1) how is the implementation of the law on information and electronic transactions in the use of electronic media in the islamic boarding school? (2) what is kyai’s strategy in empowering santri entrepreneurship? (3) how is the government’s support in the role of pesantren as a catalyst for the community’s economy? method in this study, the type of research used is descriptive qualitative research, namely the data collected in the form of words and pictures, not numbers. this study seeks to examine in more depth digital literacy based on law number 11 of the year 2008 concerning information and electronic transactions and kyai’s leadership in improving asset quality and empowering santripreneurs in batang regency in the use of information technology. this research is located in: (1) al hikmah islamic boarding school which is located at leses, gringsing jl plelen ketangangan km 2 ds sawangan gringsing; (2) darul ma’arif islamic boarding school having its address at banyuputih, batang; (3) al falah islamic boarding school which is located at gringsing, batang; (4) al istiqomah islamic boarding school having its address at gringsing, batang; (4) tpi al hidayah islamic boarding school which is located at gringsing, batang. this study uses two types of data as research material, namely primary data and secondary data. the primary data in this study are data regarding the organizational structure of the islamic boarding school, the products produced by the islamic boarding school, the marketing scheme and product management in the islamic boarding school, and the strategy for increasing the santripreneurs in the islamic boarding school. secondary data in this study is in the form of data on the number of santri, graduates https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 167 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index of santri, the number of production, and sales of islamic boarding school products. in this study, there were two informants including key informants, namely people who understood the problems being studied. the informants referred to as key informants in this study were kyai, leaders of islamic boarding schools in batang regency. non-key informants are people who are considered to know the problem under study. the non-key informants in this study are female santri, and the community around the islamic boarding school as consumers. the data collection techniques used in this study were observations or observations, interviews, and documentation to find data related and related to digital literacy based on law number 11 of the year 2008 concerning information and electronic transactions and kyai’s leadership in improving asset quality and empowering santripreneurs in indonesia. batang regency in the use of information technology. the documentation method is used to obtain secondary data. in this study, the data analysis used was descriptive. this means that data analysis aims to describe the research subject based on data from variables obtained from the group of subjects studied. result and discussions santri comes from the word cantrik which means santri of a kyai who also lives in the same environment and at first with a boarding school or hermitage16. islamic boarding school is an important part of developing social and economic education for santri. santri is someone who lives in a boarding school, to carry out knowledge, santri tends to have an advantage at one point in mastering islamic sciences and islamic personality, but in 16 kesuma, “pesantren dan kepemimpinan kyai.” https://journal.unnes.ac.id/nju/index.php/jpcl/index 168 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index terms of weak skills, both hard skills, and soft skills17. in the islamic boarding school community, there are santri, kyai, and traditional activities in the islamic boarding school, as well as buildings that function for the santri and the duration of the boarding school as a place of activity18. islamic boarding school is a structured and tiered non-formal education as stated in the government regulation on national education standards number 32 of the year 2013 and aims to create a generation that is competent, highly social, faithful, and pious as the goals of education are stated in the national education system law number 20 of the year 2003. the law on the national education system number 20 of the year 2003 regulates the basis, functions, and objectives of the national education system; head of organizing education; rights and obligations of citizens, parents, society, and government; learners; path, level, and type of education; the language of instruction; and compulsory education. education is held democratically and fairly and is not discriminatory by upholding human rights, religious values, cultural values, and national pluralism, and education is held as a systematic unit with an open and multi-meaning system. islamic boarding schools as educational institutions are regulated and supported by several regulations. among them, law number 18 of the year 2019 concerning islamic boarding schools regulates the implementation of the educational function, the function of da’wah, and the function of community empowerment. the enactment of law 18 of the year 2019 concerning islamic boarding schools is also to ensure the implementation of islamic boarding schools in carrying out educational functions, da’wah functions, and community empowerment functions. the law on islamic boarding schools is also the legal basis for affirming the level of quality, information on access to education for graduates, and 17 ahmad muhakamurrohman, “pesantren: santri, kiai, dan tradisi,” ibda` : jurnal kajian islam dan budaya 12, no. 2 (1970): 109–18, https://doi.org/10.24090/ibda.v12i2.440. 18 fuad nashori, “kekuatan karakter santri,” millah 11, no. 1 (2011): 203–19, https://doi.org/10.20885/millah.vol11.iss1.art10. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 169 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index employment opportunities. the law mandates that islamic boarding schools must be able to become pillars to empower the community economically. islamic boarding schools are very interested in entrepreneurship and thirst for marketing knowledge, especially online marketing, which is expected to support their lives after graduating from boarding school education. in addition, it is hoped that the santri will be able to start their entrepreneurial ideas from an early age in islamic boarding schools. the knowledge is needed as a provision for the life of the santri after leaving the cottage. electronic marketing such as mobile devices, smart products, and other artificial intelligence includes the broader concept of digital marketing that encompasses all institutions to communicate and deliver value to customers. in this study, several islamic boarding schools were used as samples in searching for data related to the implementation of law number 11 of the year 2008 concerning information and electronic transactions and the empowerment of santripreneurs in batang regency in utilizing information technology. picture 1: digital literacy based on law number 11 of the year 2008 concerning information and electronic transactions and kyai’s leadership in improving asset quality and empowering santripreneurs in batang regency https://journal.unnes.ac.id/nju/index.php/jpcl/index 170 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index implementation of the law on information and electronic transactions in the use of electronic media at islamic boarding schools in batang regency law on information and electronic transactions (ite) has the initial enthusiasm to keep indonesia's digital space in a clean, healthy, ethical, and productive condition. the law on information and electronic transactions in indonesia has the potential to be effective, supported by people who currently tend to always use electronic information technology as a basic need in responding to the development of modern times. this time and time is a matter of getting meaningful information. one of the forums that are considered to have the most role in the world of information and communication technology in indonesia today is the internet. some of the key points in the law on information and electronic transactions are distributing electronic documents containing immorality, gambling, fraud, extortion, and threats (article 27); distributing fake news or hoaxes to the public regarding ethnicity, religion, the race between groups (article 28); and spreading threats of violence or intimidation (article 29). at this time, many people have internet access, so the use of the internet is a medium for learning and information search. thus now many places that already provide internet services such as wifi, hotspots, etc. the internet has spread to all corners, both in the institutional environment in this case the government, education, economy, health sector, schools, islamic boarding schools, etc. accessing information, exchanging data, and processing online transactions can be done with the internet. however, unfortunately, the implementation of the law in islamic boarding schools has not been optimal. many islamic boarding schools have implemented policies not to use cell phones for santri. santri is allowed to use cell phones only at certain times to contact their families under the supervision of the management according to a predetermined schedule. so many do not https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 171 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index understand the law on information and electronic transactions and the dangers of hoaxes on social and digital media. an understanding of the dangers of hoaxes and the law on information and electronic transactions needs to be done as early as possible so that santri can get out of bed, santri can understand the dangers that lurk in cyberspace, adjust to regulations in using digital media, and be wise in using social media for their interests. the magnitude of the influence of information technology in the disruptive era 4.0 implies that there is a greater risk of information technology being used so the government feels that the development of information technology not only needs to be considered but also needs to be regulated in law. currently, one of the legal instruments that regulate information technology is law number 11 of the year 2008 concerning information and electronic transactions (ite law). the law on information and electronic transactions is a law that regulates all applicable information technology matters. learning innovations in islamic boarding schools are carried out by following technological developments and combined with islamic boarding schools’ culture, as a form of islamic boarding schools’ readiness to prepare santri to face the current globalization developments (suyatman, 2017). the provision of life skills will be needed by santri as a basic provision to achieve success in life after boarding. the provision of life skills can be applied in islamic boarding schools through educational activities which are unstructured in santri activities which are also known as a hidden curriculum that adapts to the islamic boarding schools’ culture19. the existence of an islamic boarding school that can answer the demands of the times is an embodiment of islamic values adopted as the implementation of hablun min allah and hablun min al-nas as well as fi aldunya hasanah and fi al-akhirati hasanah. this serves as the main task of an islamic educational institution that aims to regenerate scholars, as 19 agus hasbi noor, “pendidikan kecakapan hidup (life skill) di pondok pesantren dalam meningkatkan kemandirian santri,” empowerment 3, no. 2252 (2015): 1–31. https://journal.unnes.ac.id/nju/index.php/jpcl/index 172 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index leaders of the people, islamic boarding schools also produce santri who have an independent spirit, an independent spirit who does not depend on others20. islamic education as a long process to actualize all human potential so that human potential becomes actual. in the process of self-actualization, knowledge is needed about the existence of the right potential, situation, and environmental conditions to actualize it21. today, several things cannot be separated from the life of an individual in society. one of these things is information technology. information technology or known in english as information technology is a general term for any technology that assists humans in creating, changing, storing, communicating, and/or disseminating information22. individuals who live in a society, in general, are very dependent on information technology in their daily lives. this includes islamic boarding schools which also require electronic devices to connect with other islamic boarding schools. in islamic boarding schools, adhere to islamic rules and ways of using social media that are following “akhlak karimah” in the quran and sunnah, including the following: a) conveying information correctly, not fabricating or manipulating facts. in various kinds of literature on islamic communication we can find at least six types of speech styles or speeches (qaulan) which are categorized as rules, principles, or ethics of islamic communication, namely (1) qaulan sadida, (2) qaulan baligha, (3) qulan ma’rufa, (4) qaulan karima, (5) qaulan layinan, and (6) qaulan maysura. 20 abubakar yakubu, “pondok, tsangaya, and old age spiritual wellbeing,” tafkir: interdisciplinary journal of islamic education 2, no. 2 (2021): 122–38, https://doi.org/10.31538/tijie.v2i2.44. 21 hudaidah zahra hana fadhilah, “paradigma baru pendidikan islam kontemporer di indonesia,” paramurobi: jurnal pendidikan agama islam 4, no. 1 (2021): 79–94. 22 habib irwanto and a r adawiyah, “orang tua melek teknologi pembelajaran (dampak positif pembelajaran daring bagi orang tua siswa mis al-quba medan),” fitrah: journal of islamic education 2, no. 2 (2021): 110–24, http://jurnal.staisumatera-medan.ac.id/fitrah. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 173 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index b) avoid prejudice/suudzon. a muslim in using digital media must be wise and understand that digital media users have a variety of thought patterns, and have different acceptances in understanding and receiving news so the use of social media must be done wisely so that no party is hurt. c) tabayyun in receiving the news. a muslim should check and examine the truth of the facts with the initial information he obtained so that there is no kidzb, backbiting, slander, and namimah. islamic boarding schools that strictly limit the use of digital media (tv, internet, wa, and social media) apply some of these principles in their every communication pattern. so it is hoped that in the future santri can get used to managing verbally both conventionally and through social media so that they can become a tool to become an environment that has a positive impact on human life. this restriction has also been carried out at the al hikmah islamic boarding school. kyai’s strategy in empowering santri entrepreneurship in the context of islamic boarding schools, the meaning of kyai is the caretaker or leader of the islamic boarding schools. in javanese tradition, islamic boarding school caregivers are called kyai, in sunda ajeungan (or kyai as well), in madurese-speaking areas they are called a nun or bendara abbreviated as ra23. there are several functions or positions of kyai 24; (1) kyai as a sole leader or sole authority holder in islamic boarding schools; (2) kyai as a filter for information in spurring changes in islamic boarding schools and the surrounding community; (3) kyai “ruler” of the islamic boarding schools who offers an agenda for socio-religious change, both 23 noor, “pendidikan kecakapan hidup (life skill) di pondok pesantren dalam meningkatkan kemandirian santri.” 24 amir fadhilah, “struktur dan pola kepemimpinan kyai dalam pesantren di jawa,” hunafa: jurnal studia islamika 8, no. 1 (2011): 101–20. https://journal.unnes.ac.id/nju/index.php/jpcl/index 174 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index concerning issues of religious interpretation in social life and the religious behavior of santri who will become community references. the social role of the ulema (kiai) in the midst of people's lives, both in terms of social, political, cultural and more specific aspects is the religious field, at least it has made the kiai a prominent figure and figure in society, so that trust in the kiyai is high because they are considered capable in the field of religion and religion25. kyai offers changes so that the islamic boarding school community does not experience a culture (cultural log) for the entry of foreign cultures that were previously considered to pollute the purity of the islamic boarding school tradition26. kyai is people who know of the verses of kawniyyah and qur’aniyyah as well as heirs of the prophets: 1) convey (tabligh) his teachings following the command; (q.s. al-maidah [5]: 67). 2) teach the quran to humans; (q.s. an-nahl [16]: 44). 3) decide the case or problem faced by the community; (q.s. al-baqarah [2]: 213). 4) give an example of practice, according to the hadith of aisyah, narrated by bukhari that the prophet’s behavior was to practice the quran. as a leader who is tasked with making people better people and on the path following his orders, this is easy. in an islamic boarding school institution, a kyai who has entrepreneurship in a boarding school not only serves himself but as a kyai must serve the people, and serve the santri. serving in this case gives all that it has. being a leader is inherent like serving and having a sense of affection and attention to those they lead. that love manifests in the form of concern for the needs, interests, dreams, and hopes of those they lead. in developing islamic boarding schools, of course, kyai has a strategy that is tailored to his capacity. several islamic boarding 25 nurmahmudah, “gaya kepemimpinan kiai dalam tradisi pesantren,” happiness 2, no. 2 (2018): 83–98. 26 nurul salis alamin, “implementasi pendidikan kepemimpinan di pesantren ( studi kasus di pondok modern darussalam gontor indonesia ),” jurnal tahdzibi 5, no. 1 (2020): 33–48, https://doi.org/10.24853/tahdzibi.5.1.33-48. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 175 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index schools leaders were studied, such as kyai saifudin from al hikmah islamic boarding school; kyai ahmad mualif from al falah islamic boarding school; kh ahmad zainuri from the al istiqomah islamic boarding school; and kh abdul manaf sya’ir from the al hidayah batang islamic boarding school showed that on a macro and micro economic scale, the potential of islamic boarding schools can be developed for the benefit of santri and the provision of independence for santri in the future. kyai not only acts as a leader in the boarding school but also acts as a central figure in the development of the boarding school because kyai is the sole owner of the islamic boarding school. in developing entrepreneurship in islamic boarding schools, kyai has his strategy to develop santri entrepreneurship in islamic boarding schools. among others are: 1. conducting agricultural agro-industry training. where the agribusiness they do can become a direct field of practice for santri to explore real life, can meet the logistical needs of islamic boarding schools from rice and agricultural products, as well as the desire to re-production and reindustrialize agricultural products to broaden santri entrepreneurial horizons. 2. there was several participant/santri, who were previously familiar with and interested in the computer sector and who were suspected of being able to develop a computer service business. however, they still needed more intensive training. however, this has not been realized. 3. kopontren development is managed by ndalem (snack). in some islamic boarding schools, there are male and female kopontren, but they are not structured because they only help provide santri’s needs such as stationery, snacks, fried foods, and food. management is still held by the administrators and santri only helps and observes for learning. the government’s real role in involving islamic boarding schools as a community economic catalyst https://journal.unnes.ac.id/nju/index.php/jpcl/index 176 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the santripreneur movement emerged in the year 2015 where the aim is to encourage the growth of new entrepreneurs in the boarding school environment, as well as to implement the government program making indonesia 4.0 in empowering small and medium industries (smi). with the santripreneur program, today’s santri learn not only to study religion but also to able to become entrepreneurs27. entrepreneurship is the nature of someone who has the passion to realize an innovative idea into a more creative real world, dare to take risks in creating new businesses, and work hard. creativity is the ability to create something new. something new, to solve problems and find new opportunities28. the current disruptive era has also entered the world of islamic boarding schools that want to create santri to be able to keep up with the changing times so that santri doesn’t get caught up in responding to the rush of information29. in indonesia at this time, many have created islamic boarding schools that refer to entrepreneurship education to become santripreneurs. the holding of the santripreneur program, further proves that islamic boarding schools, which are the world of religious education, are also moving to follow the shifts of the times. as the ministry of industry is committed to building a santripreneur program. which is to make the national industry independent based on sharia. santripreneur is a mindset in developing small and medium industries (smi) in islamic boarding schools. from the year 2013-2015, the smi directorate conducted coaching in various islamic boarding schools throughout indonesia. this is done by conducting thematic training 27 abd hamid wahid and halimatus sa’diyah, “pembangunan santripreneur melalui penguatan kurikulum pesantren berbasis kearifan lokal di era disruptif,” risâlah, jurnal pendidikan dan studi islam 6, no. 1 (2020): 80–99, https://doi.org/10.31943/jurnal_risalah.v6i1.130. 28 saifudin, “pendidikan kewirausahaan dalam prespektif idialisme santripreneur.” 29 hidayat, saleh, and rohaeni, “pelatihan kewirausahaan menuju santripreneur di pondok pesantren al-mubarok kota serang.” https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 177 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index according to the needs of industrial potential which will be carried out in islamic boarding schools. the growth of new entrepreneurs greatly spurred the resilience of the national economy to become stronger. this can have a chain effect on the country’s economy, such as an increase in labor absorption (bappenas, 2020). so the main keys to becoming a successful entrepreneur are two, namely smart and lots of networking. in its implementation, it is divided into two models, namely, industrial santri and creative santri30. the industrialized santri model, depending on the industrial unit and human resources within the islamic boarding schools environment, consists of santri and santri alumni who have completed their studies. meanwhile, the creative santri model is a training and mentoring activity for santri and alumni selected from various boarding schools in developing their potential to become creative, innovative professionals in the visual, animation, and multimedia fields according to the current industry31. considering the existence of islamic boarding schools which have a great influence on the surrounding community, this policy also has an impact on the surrounding community32. the government has paid great attention to the existence of islamic boarding schools in indonesia. as a form of attention, several regulations have been issued, including law number 18 of the year 2019 concerning islamic boarding schools, minister of religion regulation number 30 of the year 2020 concerning the establishment and implementation of islamic boarding schools, and presidential decree number 82 of the year 2021 concerning funding for the implementation of islamic boarding schools. the government introduced a new scheme related to funding for the implementation of islamic boarding schools, namely the islamic boarding schools endowment 30 wahid and sa’diyah, “pembangunan santripreneur melalui penguatan kurikulum pesantren berbasis kearifan lokal di era disruptif.” 31 wahid and sa’diyah. 32 fathudin moh. idil ghufron, achmad febrianto, saifuddin, siti ruqayyah, “pelaku umkm di pondok pesantren: tinjauan fenomenologis terhadap pandei effect,” jurnal ilmiah ekonomi 8, no. 1 (2022): 1027–39. https://journal.unnes.ac.id/nju/index.php/jpcl/index 178 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index fund which was allocated specifically for islamic boarding schools and was perpetual to ensure the sustainability of the development of islamic boarding schools’ education which was sourced and is part of the education endowment fund. the establishment of october 22nd as national santri day (nsd) is an acknowledgment of the role of the santri in the struggle to seize and defend indonesia’s independence from the hands of the invaders. the real efforts made by the batang regency government to encourage the entrepreneurial spirit of the santri, among others: 1. guidance, mentoring, and entrepreneurship briefing from relevant regional apparatuses. 2. simultaneous granting of funds to facilitate the use of production tools so that it is hoped that after graduating from the islamic boarding school, the santri will become in addition to being experts in the field of religious knowledge, as well as able to become reliable entrepreneurs. 3. conducting an expo/exhibition of msme products/entrepreneurial products. conclusion the current global developments must also be answered by islamic boarding schools to increase their capacity as islamic educational institutions that have advanced civilizations. the emergence of global developments regarding economic conditions in asean countries (within the scope of southeast asia) is marked by the presence of the aec (asean economic community) in which the indonesian people must improve their soft skills amid global market competition so that they are not inferior to the workforce. this is where the role of islamic boarding schools must also be able to answer these global challenges so that islamic values do not fade with the incessant development of industrial and economic globalization to https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 157 182 179 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index provide a borderline in the use of digital media following applicable regulations in indonesia. then, islamic boarding schools are now getting better and keeping up with the times. islamic boarding schools already have a system by improving services, updating with technology, and adding extra life skills to their santri without forgetting the mission to develop the religiosity of islamic religious da’wah so that islamic boarding schools already graduates become the frontlines that bring about improvement in indonesia, especially improvements in their role in creating a generation of islamic people who able to be a catalyst for the movement of economic sectors and entrepreneurship. islamic boarding schools also have the potential for economic empowerment, considering that many islamic boarding schools have built cooperatives, developed various business units or small and medium-sized industries, and have a cubator business. so that the government intervened to develop entrepreneurship in islamic boarding schools with the “one islamic boarding schools one product” program. facing the disruptive era, islamic boarding schools not only applied these principles in every communication pattern but also disseminated the law on information and electronic transactions in preparing santri to face the onslaught of digital media after a period of study at the boarding school. kyai’s leadership style with all its characteristics plays a major role in making islamic boarding schools a comprehensive educational institution that continues to exist following technological developments and provides life skills for santri and maintains relationships with other institutions and the community. entrepreneurship of santri in islamic boarding schools is expected to be used as a provision for santri for themselves to live in society later. with the entrepreneurship development stage, santri in islamic boarding schools should be taught to have skills and be honed, with the aim that after graduating from islamic boarding schools santri can open jobs for themselves and also for people in need, so the percentage of unemployment in indonesia will decrease. the entrepreneurship will generate a nominal value that supports the welfare of https://journal.unnes.ac.id/nju/index.php/jpcl/index 180 m. shidqon et.al available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index santri in islamic boarding schools including santri who can buy toiletries, buy books, school supplies, and pocket money. one way to expand the entrepreneurial network is through the alumni network, which can be a driving force and empower the marketing of islamic boarding school products. second, using a unique branded strategy and showing the identity of the islamic boarding schools. third, restructuring the management by incorporating elements of leadership in entrepreneurship in islamic boarding schools. then re-production and re-industrialization of islamic boarding school products to broaden the entrepreneurial insight of santri. islamic boarding schools as a catalyst for the community’s economy should be able to cooperate with the government to improve entrepreneurial competence with existing 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jurnal studi kemahasiswaan 1, no. 3 (2021): 273–88. *** declaration of conflicting interests the authors state that there is no conflict of interest in the publication of this article. funding information none acknowledgment none history of article submitted : september 9, 2022 revised : november 8, 2022 accepted : november 8, 2022 published : november 28, 2022 https://journal.unnes.ac.id/nju/index.php/jpcl/index attention required! | cloudflare please enable cookies. sorry, you have been blocked you are unable to access unnes.ac.id why have i been blocked? this website is using a security service to protect itself from online attacks. the action you just performed triggered the security solution. there are several actions that could trigger this block including submitting a certain word or phrase, a sql command or malformed data. what can i do to resolve this? you can email the site owner to let them know you were blocked. please include what you were doing when this page came up and 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this page came up and the cloudflare ray id found at the bottom of this page. cloudflare ray id: 7fbf247caf7420cd • your ip: click to reveal 129.74.145.123 • performance & security by cloudflare copyrights © author(s). this work is licensed under a creative commons attribution-noncommercial 4.0 international license (cc by-nc 4.0). all writings published in this journal are personal views of the author and do not represent the views of this journal and the author’s affiliated institutions. omnibus law and conflicting norms and their relevance to business ease in indonesia zuhri umar ma’ruf master of law, universitas diponegoro, indonesia daudmunastofhunsika@gmail.com lita tyesta addy listya wardhani master of law, universitas diponegoro, indonesia litatyesta@gmail.com abstract the problem of overlapping laws and regulations in indonesia has become a classic unresolved issue. the emergence of the omnibus law as a new method of drafting legislation in indonesia is expected to be able to resolve these problems. however, the constitutional court (mk) has decided that the job creation act which has been drafted using the omnibus law method is conditionally unconstitutional. this study aims to examine in depth the relevance of the omnibus law method to the harmonization of legislation in indonesia and its relation to the constitutional court's decision on conditionally unconstitutional. the research method used in this research is normative juridical using secondary data, such as primary legal materials, namely the job creation act and secondary legal materials, namely literature related to omnibus law. based on the results of the study, it is known that the relevance of the omnibus law method to the harmonization of laws and regulations in indonesia is the omnibus law method, which offers regulatory reforms that overlap each other even though law no. 15 of 2019 has not included this concept but harmonization of laws and regulations needs to be done. to resolve conflicting laws and regulations. this method is expected to be able to solve the problems of effective and efficient laws and regulations. it is also necessary to provide a legal basis regarding the omnibus law so that these regulations run well and do not cause problems in law enforcement in indonesia. keywords omnibus law, harmonization, regulation journal of private and commercial law a peer-reviewed journal published by faculty of law universitas negeri semarang, indonesia. the title has been indexed by doaj, sinta, garuda. issn 2599-0314 (print) 2599-0306 (online) online at https://journal.unnes.ac.id/nju/index.php/jpcl/index mailto:daudmunastofhunsika@gmail.com mailto:litatyesta@gmail.com https://orcid.org/0000-0001-5451-0178 https://orcid.org/0000-0002-1221-0457 https://doaj.org/toc/2599-0306?source=%7b%22query%22%3a%7b%22bool%22%3a%7b%22must%22%3a%5b%7b%22terms%22%3a%7b%22index.issn.exact%22%3a%5b%222599-0314%22%2c%222599-0306%22%5d%7d%7d%5d%7d%7d%2c%22size%22%3a100%2c%22sort%22%3a%5b%7b%22created_date%22%3a%7b%22order%22%3a%22desc%22%7d%7d%5d%2c%22_source%22%3a%7b%7d%2c%22track_total_hits%22%3atrue%7d https://sinta.kemdikbud.go.id/journals/profile/5230 https://garuda.kemdikbud.go.id/journal/view/13747 https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 100-110 101 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index introduction legislative regulations are all rules issued by authorized institutions based on the methods and procedures determined by law. legislation is hierarchical in nature so that it means that special rules must comply with general rules or the rules below must comply with the rules above. in addition to not being in conflict with the rules above, a law must not conflict with statutory regulations of equal degree, for example, one law may not conflict with other laws. so that the laws and regulations must be in accordance or in this study called harmonious, both vertically and horizontally. indonesia as a legal state based on pancasila which has the aim of realizing a safe, peaceful, secure, and orderly state life. ” the law guarantees every citizen in achieving a harmony, balance and harmony to create a safe and prosperous society. the logical consequence of the predicate of the rule of law in the indonesian state, means that every act or action of a person, both individually and in groups, the people and the government must be based on the provisions of the applicable laws and regulations. indonesia as a state of law is a country whose laws and regulations provide a sense of certainty, justice and benefit according to legal objectives. legislation is the result of the agreement of the indonesian people represented by their representatives, namely the government (legislative and executive) where the government observes the nation and state to regulate it, the existence of a statutory regulation must also be obeyed by all nations residing in a country. legislation in various forms and levels must be interrelated, aligned, and not overlapping so as to form an effective legal system that moves dynamically as well as comprehensively in realizing the goal of the indonesian rule of law, which is to protect every indonesian people and all of indonesia's bloodshed. regulations "laws are created basically to achieve legal goals, namely justice, certainty, and expediency. inconsistency and overlapping in laws https://journal.unnes.ac.id/nju/index.php/jpcl/index 102 zuhri u. m. & lita t.a.l.w. available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index and regulations. harmonious (interrelated, aligned and non-overlapping) laws are needed to realize the aspired legal goals. politics in indonesia, which has been changing since president soekarno's leadership until now is in the second period of the jokowi era leadership, has caused many regulations to be made and because of these political changes, there are also many regulations that make it difficult for those who carry them out. political changes that result in disharmony of laws and regulations have an impact on legal uncertainty and legislation becomes ineffective and inefficient. the problem of disharmony of regulations or laws and regulations is a complex problem. the complexity of the problem is actually divided into two problems, namely (1) the problem of regulatory disharmony; and (2) regulatory structuring problems. the problem of disharmony in regulations occurs at least as a result of (a) the planning of laws and regulations is not synchronized at the central and regional levels; (b) a lot of charge material that comes out from the provisions, resulting in hyper regulation; and (c) lack of coordination between related agencies1. in indonesia, there are several laws and regulations that substantially contradict each other. for example, the law that regulates the age limit for a person. the civil code determines the limit for a person to be declared an adult, namely when he is 21 years old or already married as specified in article 330 of the civil code. meanwhile, law number 30 of 2004 concerning the position of a notary (uu jn) and law number 1 of 1974 concerning marriage (uu p), determines the adult age limit for a person, which is at least 18 years old or married, as stipulated in article 39 paragraph 1 of uu jn in conjunction with uu p. this example shows that in indonesia there are still conflicts in the content of the provisions of one law with other laws, namely horizontal conflicts of laws and regulations. 1 dani muhtada and ayon diniyanto, “penataan regulasi di indonesia melalui lembaga independen,” pandecta: research law journal 16, no. 2 (2021): 278–90. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 100-110 103 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index an example of a vertical conflict of laws and regulations is the number of regional regulations related to licensing, regional economic growth, bureaucracy and ease of doing business, cancelled because they are not in line with the spirit of national development, namely accelerating central and regional economic growth by facilitating business licensing and cutting bureaucracy both at the centre and in the regions. based on this example, it can be said that the laws and regulations in indonesia overlap and contradict each other both vertically and horizontally. indonesia needs the regulation of laws and regulations in achieving the interests and welfare of the community. the problem of overlapping and conflicting laws and regulations in indonesia has been handled by the government by using the omnibus law drafting method. this method is not only intended to harmonize laws and regulations but also for economic purposes. the method of drafting laws and regulations called the omnibus law, which will solve problems related to complicated and lengthy regulations that are expected to have implications for indonesia's progress, especially in the economic sector. improving a statutory regulation will go through a very long process and also cost a lot of money. the large number of laws and regulations that need to be addressed requires a faster, more efficient and targeted breakthrough. the omnibus law method is considered capable of solving the problem of overlapping laws and regulations in indonesia. however, it should be noted that one of the laws that have been prepared by the government using the omnibus law method is law no. 11 of 2020 concerning job creation, hereinafter referred to as the job creation law. where the job creation law has been submitted for a judicial review (jr), namely the examination of the law against the basic constitution. the constitutional court (mk) decided that the job creation act was constitutionally conditional, and was given 2 (two) years to correct it. based on the description above, the problem of overlapping laws and regulations in indonesia has been managed by the government by using the https://journal.unnes.ac.id/nju/index.php/jpcl/index 104 zuhri u. m. & lita t.a.l.w. available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index omnibus law method in drafting laws so that they are in harmony with each other. however, with the decision of the jr mk which ruled that the job creation act was unconstitutional, it was doubtful that the omnibus law method had relevance to the harmonization of laws and regulations in indonesia. based on the description of the problems that the authors have put forward in the introduction, the authors formulate the problems as follows; what is the concept of the omnibus law method? what is the problem with disharmony of laws and regulations in indonesia? how is the relevance of the omnibus law method to the harmonization of laws and regulations in indonesia? the purpose of this study is to understand the omnibus law method, then this study aims to determine the disharmony of laws and regulations in indonesia and to determine the relevance of the omnibus law method with the harmonization of laws and regulations in indonesia. this research is different from the research on omnibus law conducted by firman freaddy busroh, this research focuses on the discussion of land regulation in indonesia (firman freaddy busroh, 2017a). furthermore, research on the harmonization of environmental regulations was carried out by fitria helmi and retno kusniati (helmi, fitria, 2021). another research on the preparation of regulations on investment in indonesia using the omnibus law method was carried out by vincent suriadinata (suriadinata, 2019). based on the comparison with previous research that discussed the omnibus law, it can be stated that this research is different from previous research and has novelty value. method the method of "research used in this study is a type of normative juridical research". normative juridical research is a research method by basing its analysis on the applicable laws and regulations. so the research https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 100-110 105 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index approach method used is the statutory approach. the data source of this research is secondary data in the form of legislation related to the omnibus law method and other literature related to research problems. the secondary data was obtained through literature study. data analysis was carried out qualitatively with a descriptive analytical approach. result and discussions understand the concept of the omnibus law method omnibus is not a term derived from indonesian, the word “omnibus comes from the latin word omnis which means all, if it is associated with the legal concept in the black law dictionary, omnibus law means many objects or goods at once; many things or have multiple purposes. likewise in gluck and connel, interpreting omnibus law as "combining several measures into one or combining various subjects into one law", furthermore the notion of omnibus law can be understood as a statutory regulation or regulation "made to target the main issues that can repeal or change several laws at once simple.2” the omnibus law is a comprehensive and comprehensive rule, not tied to one regime by making regulations “new laws to amend several laws at once. omnibus law is known as the omnimus bill which is often used in countries that follow the common law system such as the united states, canada, and australia. there needs to be a suitable position given to omnibus law so that it can run in indonesia which basically adheres to the civil law system.” the omnibus law that will be made consists of the job creation bill, the taxation bill, and the msme empowerment bill. the substance of the bill can replace part or all of the existing law3. the term omnibus law has 2 ricca anggraeni and cipta indra lestari rachman, ‘omnibus law in indonesia: is that the right strategy?’, in international conference on law, economics and health (advances in economics, business and management research, 2020), pp. 180–182. 3 adhi setyo prabowo, andhika nugraha triputra, and yoyok junaidi, “politik hukum omnibus law di indonesia,” pamator journal 13, no. 1 (2020): 1–6, https://doi.org/10.21107/pamator.v13i1.6923. https://journal.unnes.ac.id/nju/index.php/jpcl/index 106 zuhri u. m. & lita t.a.l.w. available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index become a new trend for legislators in indonesia, as well as a new experience for drafting laws and other regulations. indonesia uses the omnibus law method in the formation of laws and regulations because there are many conflicts between laws in indonesia, both horizontally and vertically. historically, omnibus law was adopted from the legal traditions of countries that adhere to the common law system, which was later adopted by other law systems with european continental styles such as indonesia. this model adopts the method between legal systems becoming commonplace these days due to globalization. common law countries such as america, canada, and ireland, for example, have used the omnibus law method in drafting various laws.4 the omnibus law method has the advantage of being able to resolve conflicting laws and regulations quickly, effectively, and efficiently. in addition, the omnibus law method can make the harmonization of government policies, both at the central and regional levels, to support the investment climate. finally, the application of the omnibus law method can make licensing management more integrated, efficient, and effective because it is able to break the bureaucratic chain that is too long, so that the coordination relationship between relevant agencies has been regulated in an integrated policy and will create legal certainty and legal protection for policy makers. or for legislators.5 however, in addition to the advantages, there are also disadvantages to the omnibus law method, including the fact that one law drawn up using the omnibus law method involves many things, so it takes a long time to discuss it and also involves many parties who must be involved in drafting the law.6 based on this description, it can be understood that the omnibus 4 fahmi ramadhan firdaus bayu dwi anggono, “omnibus law in indonesia: a comparison to the united states and ireland,” lentera hukum 7, no. 3 (2020): 319–36, https://doi.org/https://doi.org/10.19184/ejlh.v7i3.19895. 5 firman freaddy busroh, “konseptualisasi omnibus law dalam menyelesaikan permasalahan regulasi pertanahan,” arena hukum 10, no. 2 (2017): 227–250, https://doi.org/https://doi.org/10.21776/ub.arenahukum.2017.01002.4. 6 al sentot sudarwanto and dona budi kharisma, “omnibus law dan izin lingkungan dalam konteks pembangunan berkelanjutan,” jurnal rectsvinding 9, no. 1 (2020): 109– 23. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 100-110 107 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index law method was initially applied in countries that adhere to the camon law legal system, but in its development the omnibus law method is also applied by countries that adhere to the civil law legal system, such as indonesia. the omnibus law method is one of the methods of drafting laws and regulations that combines many regulatory materials and is prepared with one purpose, for example law no. 1 of 2020 concerning job creation, hereinafter referred to as the job creation act, which was drafted with the aim of facilitating business activities by cutting lengthy bureaucracy, making it more efficient. in addition, the establishment of the job creation law is to realize the goal of establishing the indonesian state government and realizing a prosperous, just and prosperous indonesian society based on pancasila and the 1945 constitution of the republic of indonesia. the omnibus law method is very necessary, considering the many positive impacts that will be obtained with the job creation act. however, along the way, it was discovered that the a quo job creation law, which incidentally was drafted using the omnibus law method, which in the a quo job creation act stipulates 11 (eleven) clusters of them; “licensing and sector business activities, cooperatives and msmes and village owned enterprises (bumdes), investment, employment, fiscal facilities, spatial planning, land and land rights, environment, construction and housing, economic zones, and goods and services clusters government", a judicial review has been proposed, namely the study of a law against the 1945 constitution of the republic of indonesia, and the constitutional court (mk) has decided that the a quo job creation law is conditional, meaning that if it is not corrected within 2 (two) years then unconstitutional job creation act. disharmonization of legislation in indonesia in principle, laws and regulations should be in harmony with each other. either between a higher regulation and a lower regulation or between one regulation, for example a law and another law, must also be in harmony, https://journal.unnes.ac.id/nju/index.php/jpcl/index 108 zuhri u. m. & lita t.a.l.w. available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index this alignment is also known as the harmonization of laws and regulations in indonesia7. harmonization of laws and regulations will be created if legislators carry out their duties properly without any intervention from any party or power. disharmonization of laws and regulations is a misalignment between laws and regulations both vertically and horizontally. disharmonization of laws and regulations is the opposite of harmonization of laws and regulations, namely harmony between one statutory regulation and other laws and regulations. the disharmony of statutory regulations can result in the law not being able to function as social control and legal uncertainty.” disharmonization of laws and regulations can occur due to the large number of laws and regulations so that legislators find it difficult and even unable to harmonize with each other.8 disharmonization of laws and regulations will result in law enforcement becoming increasingly difficult because of various conflicts that occur in law enforcement practices, another thing caused by disharmony of laws and regulations is the absence of the purpose of law, namely order in social life. indonesia is classified as a young country in terms of managing and implementing state life, this is because the country of indonesia has been colonized by the dutch and japanese for a long time. the colonial state made the legal system of the indonesian state also influenced by the legal system adopted by the colonial state, especially the netherlands. many legal products inherited from the netherlands are still applied in indonesia, both in the form of laws and other legislation. in this regard, the indonesian state, in fact, is still facing problems regarding its laws and regulations. the laws and regulations in indonesia overlap each other, even though this will make it difficult for indigenous and non-native people. they basically cannot be separated from the name of the law, besides that indonesia is a state of law, 7 kornelius benuf, “harmonisasi hukum: pemilu serentak dan ketenagakerjaan, analisis yuridis terhadap kematian kpps tahun 2019,” gema keadilan 6, no. 2 (2020): 196–216. 8 dedi sugiyanto, “nalisis yuridis pasal 5 ayat 2 undang-undang republik indonesia nomor 14 tahun 2002 tentang pengadilan pajak ditinjau dari pasal 24 ayat 1 dan ayat 2 undang-undang dasar negara republik indonesia tahun 1945,” al-adl : jurnal hukum 13, no. 1 (2021): 116–34, https://doi.org/http://dx.doi.org/10.31602/al-adl.v13i1.4248. https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 100-110 109 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index where everything in indonesia is regulated by law. legal regulations that make it difficult for legal users will have a very significant impact on the survival of the state, government, and society.9 irrelevant statutory regulations must be addressed immediately to realize legal goals, even state goals. without an improvement in national law in the form of harmonization of laws and regulations in indonesia, the goals of the indonesian state will be difficult to achieve. in a country that upholds the law, it has legal objectives, among others, order, tranquility, peace, prosperity, and happiness in the order of social life. hans kelsen said that the formation of the law is the initial series of law enforcement which is very important to pay attention to,10 by that means, the formation of laws and regulations is the main thing for the state, especially the state of indonesia, and is a condition for developing national law in indonesia. data from the ministry of law and human rights, the state of indonesia has 42,688 laws and regulations ranging from regulations at the central level such as laws, to regional levels such as regional regulations (perda). seeing the large number of laws and regulations in indonesia, it is no exaggeration to state that the indonesian state has experienced regulatory obesity which will have a negative impact on every sector. this regulatory obesity in indonesia has prompted president joko widodo to say that the omnibus law will be issued for the main reason, namely constraints in the economic sector. the inhibition of economic growth in indonesia does not rule out the possibility of obesity from the laws and regulations in indonesia. with that many laws, it will take a long time to harmonize the laws and regulations. with that, legal goals that impact on state goals will take longer to achieve. 9 agnes fitryantica, “harmonisasi peraturan perundang-undangan indonesia melalui konsep omnibus law,” gema keadilan 6, no. 3 (2019): 300–316, https://doi.org/https://doi.org/10.14710/gk.6.3.300-316. page 302. 10 hans kelsen, pure theory of law, terjemahan oleh raisul muttaqien, teori hukum murni: dasar-dasar ilmu hukum normatif (bandung: nusa media, 2014). page 41. https://journal.unnes.ac.id/nju/index.php/jpcl/index 110 zuhri u. m. & lita t.a.l.w. available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the relevance of the omnibus law to the harmonization of legislation in indonesia the omnibus law is one way out in the problem of conflict between government administrators, but it must be done at the level of the law. although “indonesia adheres to a civil law system, the omnibus law method can be used to overcome two things. the first is the issue of criminalizing state officials, because so far many government officials are afraid to use discretion in making policies regarding the use of the budget because if they are proven to be in losses they will be charged with the anticorruption law. the problem is that there is a conflict between the government administration law and the anti-corruption law, because in the anti-corruption law there are no elements that indicate malicious intent or mens rea, therefore law enforcement officers always look from a positivist perspective only for actions when these actions are carried out and there are losses to the state. so there is entanglement, while in the administration law there is discretion. second, it can be used for uniformity of central and regional policies in supporting the investment climate.” indonesia, which adheres to a civil law system, has not yet regulated the uu resulting from the omnibus law. indonesia does not regulate the umbrella law (omnibus law) because the laws in indonesia are the same. indonesia needs to enact law no. 15 of 2019 concerning the formation of laws and regulations to provide the position of omnibus law in indonesia. "to realize the harmonization of laws and regulations, there are several steps, including: the need to identify and analyze the problem of legal disharmony and look for the causes/roots of the problem.” problems regarding the disharmony of laws and regulations in indonesia will cause uncertainty in law enforcement in indonesia. this can be seen clearly if there is an act or legal action of a person, in one law it is declared a criminal act, while in another law the act is an administrative https://journal.unnes.ac.id/nju/index.php/jpcl/index journal of private and commercial law 6 (2) (2022) 100-110 111 available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index violation.11 based on this description, it can be seen that disharmony of laws and regulations will cause problems in law enforcement in indonesia. conducting “legal discovery efforts through legal methods through legal interpretation to build legal construction. perform legal reasoning on the results of the interpretation and construction of laws that have been built in order to meet the elements of logic. develop rational, structured, measurable and clear legal arguments accompanied by a good understanding of the legal system so as not to cause new legal problems. there are several advantages of applying the concept of omnibus law in resolving regulatory disputes in indonesia, including: addressing conflicting laws and regulations quickly, effectively and efficiently. uniform government policies both at the “central and regional levels to support the investment climate. licensing management is more integrated, efficient and effective. able to break the bureaucratic chain that lingers. improved coordination relations between related agencies because it has been regulated in an integrated omnibus regulation policy. there is a guarantee of legal certainty and legal protection for policy makers. however, in the implementation of the omnibus law, contributions from all lines are needed so that it can run effectively and efficiently. conclusion regulatory problems that have been piling up need to require a legal breakthrough through the omnibus law method, which offers improvements to overlapping regulations even though law no. 15 of 2019 has not included this concept but harmonization of laws and regulations needs to be done to resolve conflicting laws and regulations. conflicting laws and regulations such as for example the regulation on the adult age limit regulated in the civil code for women is 21 years, while those stipulated in 11 tanto lailam, “konstruksi pertentangan norma hukum dalam skema pengujian undang-undang,” jurnal konstitusi 11, no. 1 (2014): 18–42. https://journal.unnes.ac.id/nju/index.php/jpcl/index 112 zuhri u. m. & lita t.a.l.w. available online at https://journal.unnes.ac.id/nju/index.php/jpcl/index the population law are 17 years or already married. this method is expected to be able to solve the problems of effective and efficient laws and regulations. it is also necessary to provide a legal basis related to the omnibus law so that these regulations run well and do not cause problems in law enforcement in indonesia. references * agnes fitryantica. “harmonisasi peraturan perundang-undangan indonesia melalui konsep omnibus law.” gema keadilan 6, no. 3 (2019): 300–316. https://doi.org/https://doi.org/10.14710/gk.6.3.300-316. anggraeni, ricca, and cipta indra lestari rachman. “omnibus law in indonesia: is that the right strategy?” in international conference on law, economics and health, 180–82. advances in economics, business and management research, 2020. bayu dwi anggono, fahmi ramadhan firdaus. “omnibus law in indonesia: a comparison to the united states and ireland.” lentera hukum 7, no. 3 (2020): 319–36. https://doi.org/https://doi.org/10.19184/ejlh.v7i3.19895. benuf, kornelius. “harmonisasi hukum: pemilu serentak dan ketenagakerjaan, analisis yuridis terhadap kematian kpps tahun 2019.” gema keadilan 6, no. 2 (2020): 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