The COVID-19 Speech by the Chief Justice of the Supreme Court of the Republic of Indonesia at the 9th CACJ Meeting, delivered on 7 October 2021, may be accessed here: Link here

Indonesia Site Map



This page is being finalised by the Member State

Specialized Tribunals

Specialized Tribunals

Business Supervisory Competition Commission

The Business Supervisory Competition Commission (Komisi Pengawas Persaingan Usaha-KPPU) is established by Act Number 5 Year 1999 on the Ban on Monopolistic Practice and Unfair Trade Practices (Anti Monopoly Law) as independent body to oversee the implementation of Anti Monopoly Law and answer to the President.

The commission have the authority to initiate investigation based on incoming complaint and/or its own initiatives against alleged action of business actors which violates Anti Monopoly Law. The Commission also have quasi-judicial nature where it can make decision over the results of the investigation. Further, the Commission’s decision shall have final and binding power (art 46 (1) Anti Monopoly Law) if not asked for review. The party can request the Commission’s decision to be reviewed by the District Court (art 44 (2) Anti Monopoly Law), and the review can be appealed to the Supreme Court (art 46 (3) Anti Monopoly Law).

Article 35 of Anti Monopoly Law sets the following duties to the Commission:

  1. conducting evaluations of contracts that might cause monopolistic practices and/or unfair business competition as regulated under Articles 5 through 16

  2. conducting evaluations of business activities and/or entrepreneurs’ behavior that might cause monopolistic practices and/or unfair business competition as regulated under Articles 17 through 24;

  3. conducting evaluations if there is any abuse or not in the dominant position that might cause monopolistic practices and/or unfair business competition as regulated under Articles 25 through 28;

  4. taking actions based on the authority of the Commission as regulated under Article 36; e. providing suggestions and consideration on Government policy related to monopolistic practices and/or business competition;

  5. set up guidelines and/or publication related to this Law;

  6. providing periodic report on the work results of the Commission to the President and the House of Representative.

The Commission also have the following authorities:

  1. receiving reports from the public and/or business actors concerning allegations of monopolistic practices and/or unfair business competition;

  2. conducting investigations on allegations of any business activity and/or actions by business actors that might cause monopolistic practices and/or unfair business competition;

  3. conducting investigations and/or examination on allegation cases of monopolistic practices and/or unfair business competition reported by the public or by business actors or based on the findings by the commission as a result of its investigation;

  4. concluding the results of the investigation and/or examination whether there is any monopolistic practices and/or unfair business competition or not;

  5. summoning business actors alleged to have violated the provisions in this law;

  6. summoning and bringing witnesses, expert witnesses and anybody considered knowing of any violation to the provisions in this law;

  7. requesting assistance from the investigators to bring the business actors, witness, expert witness or anybody as referred to under Paragraph e and f of this article, who are not willing to fulfill the summon by the Commission to appear;

  8. requesting information from the Government agency with regard to the investigation and/or examination of the business actors violating provisions in this law;

  9. obtaining, investigating and/or evaluating letters, documents, or other evidence for the purpose of investigation and/or examination;

  10. deciding and determining if there is any loss or not suffered by other business actors or the public;

  11. notifying the Commission’s decision to the business actors alleged of conducting monopolistic practices and/or unfair business competition; l. imposing and administrative sanction to the entrepreneurs violating provisions in this law.

Consumer Dispute Resolution Body

The Consumer Dispute Resolution Body (Badan Penyelesaian Sengketa Konsumen-BPSK) is a quasi-judicial body for consumer dispute sitting in city/regency all over-Indonesia as stipulated in Act Number 8 Year 1999 on Consumer Protection. The Body’s main task is to review consumer dispute outside the general court, on the basis of voluntary submission of the parties. The Body consist of representatives of state apparatus, consumer and business actors or principal appointed by Minister of Trade. In the course of handling the case, the Body shall have the authority to review the accuracy of the report and responses from the disputing parties, observe or request to review payment evidence, invoice lab test result or other evidences, the decision of the Body shall be final and binding for the parties.

The body shall handle and resolve consumer dispute, by way of mediation or arbitration or conciliation; providing consumer protection consultation, conduct supervision on the inclusion of standard clause; file report to the investigator for violation of Act Number 8 Year 1999 on Consumer Protection, receive written as well as unwritten complaint from consumer on the event of violation of the right of consumer, summon business actors suspected to commit violation on consumer protection, summons and make present witness, expert witness and/or anyone regarded as having knowledge on the violation of Act Number 8 Year 1999, request assistance from investigator to make present, business actors, witness, expert witness or anyone which refuse to comply with the summons served by the Body; to obtain, study and/or review any letter, document, or other evidences for the purpose of investigation and/or inquiry, decide and determine, the presence of loss at the consumer side; to notify the decision to the business actors violating the consumer protection; impose administrative sanction to business actors violating the Law;

The Body must decide on the matter no later than 21 working days after the claim is received; and in the period of no later 7 working days upon receiving the decision, the parties can file for objection to the District Court. The parties will be regarded as accepting the order if in 14 days upon receiving the order make no response at all. If the parties failed to comply with the order within 14 days upon receiving the order, the Body may file the order to the investigator, which may use them as initial sufficient evidence to commence investigation and request the District Court to issue write of execution over such order.

In the case of review by the District Court, the District court must issue their decision in maximum 21 days after receiving such request. The District Court decision can be appealed to the Supreme Court which must make its decision no later than 30 days upon receiving the request.

Public Information Commission

The Public Information Commission is independent agency mandated to oversee the implementation of Act Number 14 Year 2008 on Transparency of Public Information by way of issuing technical implementing regulation, and resolving public information dispute by way of mediation and non-litigation adjudication.

The commission is established in national and regional level. The national commission sits in the capital city and the regional commission sits in the capital of provinces and city/regencies. In the course of implementation of its duties, the commission shall have the following authorities, to summons and/or conduct meeting among the parties to the dispute; request the public body to produce notes or relevant materials related to the process to decide the dispute; to request explanation or to summons public official as well as all relevant parties as witness in the resolution of a public information dispute; to take oath of any witness being heard in non-litigation adjudication to resolve public information dispute; and establish code of ethic to be published to public to ensure public can review the performance of the commission.

The National Public Information Commission’s jurisdiction shall cover the authority to resolve public information dispute related to national public body and provincial public body and/or city/regency public body as long as the public information commission in such level has not been established.

The provincial Public Information Commission’s jurisdiction shall cover the authority resolve public information dispute related to relevant provincial public body and the jurisdiction of city/regency public information commission jurisdiction shall cover authority to resolve public information dispute over public body in the relevant city/regency.

Trade Mark Appeal Committee

The Trade Mark Appeal Committee is regulated under Government Regulation Number 7 Year 2005 and responsible to receive, examine and decide upon the appeal filed by the applicant over the rejection of Trademark Registration according to the substantive reasons as stipulated in Article 4, 5 or 6 of Trade Mark Law.

The committee sits under the Directorate General of Intellectual Property Ministry of Law and Human Rights.

In conducting examination, the Chairman of Appeal Commission shall establish a panel in odd number of commissioner, consist of at least 3 commissioners, one of them must be the Senior Examiner which has not involved in conducting substantive examination to the Trade Mark registration being rejected.

Patent Appeal Committee

Patent appeal Committee is tasked to receive, examine and decide upon appeal filed over the rejection to the application of patent, if under substantive examination reported by Examiner shown that Invention requested failed to meet provisions stipulated in article 2, 3,5, 6, 35, 52 (1), 52 (2) or exceptions under article 7 of Patent Law, or if the substantive examination shows that invention filed by applicant failed to meet provisions under article 36 (2) or (3) of Patent Law.

The committee sits under the Directorate General of Intellectual Property Ministry of Law and Human Rights.

Types of Dispute Resolution

Types of Dispute Resolution

In addition to ordinary dispute resolution through the channel provided by the court system, Indonesia recognize Arbitration and Alternative Dispute Resolution. Act Number 30 Year 1999 provides the foundation for recognition of arbitration, both national and international arbitration award.

There are several national arbitration body available in Indonesia, the oldest one is Badan Arbitrase Indonesia (BANI) established by the Chamber of Commerce, established in 1977.

There is also Capital Market Arbitration Board (Badan Arbitrase Pasar Modal-BAPMI) established solely to provide arbitration service for capital market dispute, and the most recently established is the Arbitration and Mediation Center (Pusat Arbitrase dan Mediasi) under the Asosiasi Pengusaha Indonesia (APINDO).



Civil Partnership

At present, establishment of a civil partnership does not require registration, or announcement. Article 22 of Commercial Code only require establishment of civil partnership to be conducted in verbal or in writings. In practice, parties establish civil partnership by way of notarial deed, and registration to the Registry of the relevant court and announcement in the Supplement of State Gazette.

Limited Liability Company

Establishment of Limited Liability Company follows the procedures set by the Company Law. In principle, a Limited Liability Company is established by way of a notarial deed, registration to the Ministry of Law and Human Rights, and announcement in the State Gazette.

Without registration to the Ministry of Law and Human Rights, the shareholders will be personally liable to the debt of the company.

Procedure to Establish a Limited Liability Company

In principal, establishment of a new business require approximately 23 days, with the following processes (source : Doing Business Survey Report 2017)

  1. Ordering Name of the Company (1 day)

  2. Notarial Deed, Article of Association (1 day)

  3. Legalization of Notarial Deed (1 day)

  4. Issuance of Domicile Letter (3 day)

  5. Tax ID Number (1 day)

  6. Business trading license and Company Registration Certificate (SIUP and TDP) (2 days)

  7. Worker’s Insurance (7 days)

Types of Business Entities

Types of Business Entities

Aside of the business entity owned by the government, In general, business entity in Indonesia consist of the following types:

Civil Partnership

Civil partnership is a company consist of 2 or more legal subject, there are 3 forms of partnership:

  1. Firms (Firma), regulated under Commercial Code, Firm is a partnership to carry out business by two or more people with joint name. Owner of the firm consist of several persons who engage in partnership and each partners shall set aside their personal assets as mentioned in the company’s article of association.

    Characteristic of a firms:

    • all partners are active in managing the company

    • unlimited responsibilities

    • firms will cease from existence if one of the member resign or deceased.

  2. Limited Partnership (Commandiatire Vennotschap or CV) is a partnership established by more than 2 partners. Limited Partnership recognize two types of partners:

    • Active partner is the partner who in charge of the running of the company and fully responsible of the company’s debt

    • Passive partner, is the partner who only invest funds to the active partner and not involve in the business of the company. Passive partner is responsible to the risks to the extent of the capital invested.

Profit of the company shall be divided to the members accordingly to the proportion as agreed in the article of association.

Limited Liability Company

A Limited Liability Company (Perseroan Terbatas-PT) is a legal entity which is an association of capital, established on the basis of agreement, conduct business activity on the basic capital which is wholly divided into shares and comply with the requirements as set by the company laws and its implementing regulation.

Limited Liability Company is the most commonly used type of business applicable in Indonesia.



Not all types of business are open for foreign investors. Foreign investors must observe Presidential Regulation No. 44/2016 on Negative List of Investment which sets the lines of business open and closed to foreign investors (Negative List of Investment/NLI). Under the NLI, foreign investors can identify business areas closed for foreign investment, business areas which can be fully owned by a foreign investor or those which require joint venture with a domestic investor. A certain privilege is given to investors from ASEAN countries where the NLI, based on ASEAN agreement, can provide a higher shareholding percentage compared to investors from other countries. The NLI will be reviewed every three years to accommodate the recent business updates.

Presidential Regulation Number 44 Year 2016 divide the sectors open to foreign investors to be as follows:

  1. Sector which is closed

  2. Sector which is open under condition, sectors reserved or partnering with Micro, Small Medium Enterprise and Cooperatives

  3. Sector which is open with certain condition.

International Law in Indonesia

International Law in Indonesia

International Law in Indonesia (Internasional Treatieses that Indonesian is Party To)

As fully independent country, Indonesia has been playing active role in international relation by conducting various international agreements with other countries, be it bilateral as well as multilateral.

For full lists of international agreements, treaties signed by the government of the Republic of Indonesia is accessible at

Link to Relevant Websites