Commercial Court

Commercial Court

Legal Basis

The Commercial Court was established by Act Number 1 Year 1998 on Bankruptcy and Suspension of Payment. It is a specialized court established under the jurisdiction of general court with authority to hear and decide certain commercial cases. When it was established, it has sole authority to hear bankruptcy and suspension of payment cases. Later the authority is expanded to include dispute on Intellectual Property Cases. Recently commercial court’s authority has been expanded to include disputes in the process of liquidation of bank’s conducted by the Savings Guarantee Agency (Lembaga Penjamin Simpanan-LPS).

Jurisdiction

Currently the authority of commercial court covers the following cases:

  1. Bankruptcy and Suspension of Payment Cases and all matter related to it, including annulment of preferential transfer, review to the result of verification of claims.

  2. Intellectual property right which include Industrial Design, Integrated Circuit Design, Patent, Trade Mark and Copyright.

  3. Savings Guarantee Agency which include dispute which cover liquidation process and claim over annulment of all legal action committed by bank which caused reduction of assets or increase in bank’s obligation, committed within the past year prior to the revocation of the license.

Place of Seat

Commercial court is a specialized court of first instance under the jurisdiction of general court. The Commercial Courts sits in District Court of Central Jakarta, District Court of Medan, District Court of Semarang, District Court of Surabaya, and District Court of Makassar.

Training and Education

Training and Education

The Supreme Court training facility is located in Ciawi, 40 km south of Jakarta. It offers in-house Judicial and Management and Leadership Training Programme for court officials. The main programme for judicial education programme covers:

  1. Integrated education program for candidate judges

  2. Continuing Judicial education

  3. Education for registrar and bailiffs

In addition to regular judicial education programme, Supreme Court Judicial Training Center also conducts training & certification programme for the following specialisation:

  1. Anti Corruption Judges

  2. Bankruptcy

  3. Intellectual Property

  4. Environment

  5. Juvenile Justice

Supreme Court Judicial Training Facilities can support 1000 person in the main auditorium, and have class rooms with 40, 60, and 80 person capacities. It is also supported by language, computer and moot court laboratorium, library, dining room, health facility and sport center. It also able to accommodation approximately 400 people.

Chamber System

Chamber System

In order to maintain the consistency of the Supreme Court judgment, improve the professionalism of the Justices, and To accelerate the process of case handling, since 2012, the Supreme Court establishes the chamber system with the following composition :

  • Criminal Chamber

  • Civil Chamber

  • Religious Chamber

  • Military Chamber

  • State Administrative Chamber

Composition

Composition

The Supreme Court of the Republic of Indonesia sits in the capital city of the country, and is the apex of Indonesian Judiciaries. According to the Law, Supreme Court can have up to 60 justices, however, at present, there are 51 Justices sits in the Supreme Court in addition to 10 Ad Hoc Justices.[1]

The Supreme Court coordinates some 352 court of first instance and 30 appellate court under court of general jurisdiction, 359 court of first instance and 29 appellate court under Religious Court, 28 court of first instance and 4 appellate court under State Administrative Jurisdiction and 19 court of first instance under military court jurisdiction and 1 special court and 1 appellate military court. Supreme Court also supervise no less than 31,000 court officials which consist of 7,900 judges, 9,180 acting registrars, 6,030 bailiffs and 10,247 court staff.[2]

Each court jurisdiction is supervised and managed by Directorate General, which consist of Directorate General of General Court Body (https://badilum.mahkamahagung.go.id), Directorate General of Badan Religious Court Body (https://badilag.mahkamahagung.go.id/) Directorate General of Military and State Administrative Court Body (https://ditjenmiltun.mahkamahagung.go.id/)

Sources :
[1] Supreme Court of the Republic of Indonesia, Annual Report 2016

[2] Supreme Court of the Republic of Indonesia, Annual Report 2016

The Vision and Mission of Indonesian Judiciary

The Vision and Mission of Indonesian Judiciary

Vision

“To bring Court excellent values into reality”

 

Mission

1. Maintaining Judicial independency

2. Providing parties in disputes with fair legal services;

3. Increasing the quality of the court leadership;

4. Increasing credibility and transparency of the court

General

General

According to Article 24 of 1945 Constitution, the judiciary power in Indonesia shall be carried out by Supreme Court and a Constitutional Court.

The Supreme Court (www.mahkamahagung.go.id) is the apex of the judiciary as stipulated by Act Number 5 Year 2004 on the Amendment of Act Number 15 Year 1985 on the Supreme Court, and established to carried out the following functions:

1. Judicial function, as the implementer of judicial power, as the apex of judiciary which hear and decide upon the cassation cases to develop consistency in implementation of the law as well as to hear and decide upon the special review over a final and binding court decision.

2. Judicial Review function, to review whether a legislation under the level of Law is inconsistent with senior level legislation;

3. Advisory function, to provide advice or consideration to other High State Agency, and to the President in order to grant or reject clemency request.

4. Supervisory function, to conduct the ultimate supervision function to the implementation of judiciary and to the conduct of court officer;

5. Regulating function, to regulate matters necessary for the proper implementation of the court function in the case where there are matters not sufficiently regulated by Laws and establish necessary regulation to fill in the gap within the procedural law;

6. Administrative function, to regulate and establish policies in the field of organization and work procedure, formulate technical administrative policies and implement the management of state owned assets.

 

Source :
M Hatta Ali, Peradilan Sederhana Cepat & Biaya Ringan Menuju Keadilan Restoratif, Alumni, Bandung, 2012, h. 13-15.

Independence Era

Independence Era

1945-1949

Article II Transitional Provisions of 1945 Constitution states that, every state agencies and laws previously present shall be deemed applicable as long as the no new agencies/laws introduced according to the constitution. This means that all regulation concerning judicial bodies shall be deemed applicable as long as no new amendment is introduced.

With occupation of Dutch Government in some part of Indonesia, the Dutch issue regulation concerning judiciary power through Verordening Number 11 Year 1945 which establish judiciary power within the general court jurisdiction to be carried out by Landgerecht and Appelraad using HIR as its procedural law.

In this era, government also enact Act Number 19 Year 1948 on National Judiciary which has never been effectively implemented.

1949-1950

Article 192 of the Federation Republic of Indonesia stipulates that Landgerecht shall be changed into District Court and Appelraad to be changed into Appeal Court.

1950-1959

Enactment of Emergency Act Number 1 Year 1951 has then unified the composition, power and procedure of all court of first instance and all appellate court in Indonesia, as well as eliminates some courts, including adat court and self-governing court.

1959 until the Enactment of Act No. 14 Year 1970

During this period there are several specialized court under the ambit of the court of first instance in general court, namely Economic Court (Emergency Act Number 7 Year 1955), Landreform Court (Act Number 21 Year 1964). Further, in the year 1970 government passes Act Number 14 Year 1970 which stipulates in article 10 that there are 4 court jurisdictions, namely general court, religious court, military court and state administrative court.

Post Constitutional Amendment

After the amendment of 1945 Constitution in the early 2000, the judiciary power is carried out by Supreme Court and a Constitutional Court. The important event taking place during this period is handing over the authority of courts management from executive into Supreme Court which results the Supreme Court have authority over management of human resources, finance and asset of all courts in Indonesia.

Japan Colonial Government

Japan Colonial Government

The Japan colonial government in Indonesia commence in 8 March 1942 and Japanese colonial government issue the Japanese Army Laws in 8 March Number 1 which states that all laws and regulation from the government of Netherlands Indie shall be continuously applicable as long as not inconsistent with the regulation from the Japanese Army. For the court structure, Japanese Government enact Act Year 1942 Number 14 on the Court Regulation Under the Government of Dai Nippon Army, whereas under this Law, several courts were established, which is actually, continuance from the existing courts.

Gun Hoon

Sub-District Court, which is continuance from districtsgerecht.

Ken Hooin

The Regency Court, which is continuance from regenschapsgerecht.

Keizai Hooin

The Police Court, which is which is continuance from Landgerecht.

Tihoo Hooin

The District Court, which is continuance from Lanraad.

Kooto Hooin

Appellate Court which is continuance from Raad van Justisie.

Saikoo Hooin

The Supreme Court, which is continuance from Hooggerechtshof.

The Japanese government era abolish dualism within the Indonesian court system which is by Osamu Seirei 1944 No.2 it was established that Tihoo Hooin is the court for all group of citizen, by using the HIR as procedural code.

Netherlands Indie Colonial Period

Netherlands Indie Colonial Period

The first formal national court system was established by the Dutch colonial government, the court organization was firstly established by the Netherlands-Indie government on the date of 1 May 1848 through the passing of the Regulation on the Court Structure and Judicial Policy 1848 (RO). The ROs regulates the structure of the court in accordance with the composition of society at that time. Article 1 RO mention that there are 6 types of courts:

districtsgerecht

With authority to hear civil dispute with Indonesian citizen defendant with value below f20-.

regenschapgerecht

With authority to hear civil dispute for native Indonesian with value between f.20-f.50 and as appellate court for decisions of districtsgerecht.

landraad

Is an ordinary court for native Indonesian and with some exceptions civil cases which involve Chinese peoples with legal status equally treated as Native Indonesia, or in the case where they were withdrawn by European or Chinese, in addition to that, landraad also serves as an appellate court for cases decided by regenschapgerecht as long as appeal is possible.

rechtbank van omgang amended in 1901 into residentiegerecht and in 1914 into landgerecht.

To hear cases in the first and final instance by not distinguish any origins to the people who become the defendant.

raad van justisie

Sits in Jakarta, Semarang and Surabaya hear cases which involve the citizen of all origins in accordance with applicable regulation.

hooggerechtshof

Is the apex of judicial power and sits in Jakarta to supervise the implementation of court in overall Indonesia.

Overview of Indonesian Judiciary

Overview of Indonesian Judiciary

The judicial power in Indonesia is regulated under article 24 of the Constitution which stipulates that the judiciary power shall be implemented by Supreme Court and a Constitutional Court. In addition to that, article 24 B (1) of the Constitution also stipulates the presence of a Judicial Commission which is independent in nature, and have authority to nominate appointment of Supreme Court Justices and have other authorities in order to safeguard and uphold the honour, dignity and conduct of judges.

The court system itself is founded upon four pillars, namely, the general court, religious court, state administrative court and military court.

The Court of General Jurisdiction have authority over general criminal and civil matters for general people, including family law for non-moslem people. Especially in Nanggroe Aceh Darussalam, criminal matters belong to Mahkamah Syari’ah or religious court, which in other regions only have authority over civil matters.

Under the court of general jurisdiction, specialized courts were established, namely, Commercial Court, Anti Corruption Court, Fisheries Court, Human Rights Court and Industrial Relation Court.

The Commercial Court sits in 5 locations,[1] and have jurisdiction over bankruptcy and Intellectual Property Cases.

The Anti Corruption Court sits in district court in every capital of provinces,[2] and have jurisdiction over criminal act of corruption.

The Fisheries Court have authority over criminal act of fisheries and sits in total of 10 courts.[3]

The Human Rights Court have authority to hear gross violation of human rights and sits in the Capital City .[4]

In addition to that, according to Act Number 14 Year 2002 there is also Tax Court with authority to hear and decide cases over appeal to the decision made by Tax Office on Tax dispute, Tax Office sits in the Capital City.

The Religious Court have the authority over family dispute for moslem citizens, which include dispute over divorce, inheritance, and custody. Later, according to Act Number 21 Year 2008 on Syari’ah Banking, the authority of the Religious Court has been further expanded to also handle economic syari’ah cases.

The State Administrative Court have the authority to hear disputes arising in the field of state administrative between individual or legal entity against agency or State Administrative Officials, either in central or in region as result of the issuance of State Administrative Decision, including dispute on employment of civil servant in accordance with applicable regulations.

Crimes committed by members of the armed forces are heard before the Military Court.

Each court jurisdiction consists of first instance and appellate court. Court of First Instance sits in every capital of city/regency, while appellate court sits in the capital of provinces, except for the state administrative court which have broader jurisdiction.

 

Sources :
[1] Through Presidential Decree Number 97 Year 1999 on the Establishment of Commercial Court in the District Court of Ujung Pandang, Medan, Surabaya and Semarang

[2] Law Number 46 Year 2009 on the Anti Corruption Court

[3] Law Number 31 Year 2004 on Fisheries

[4] Law Number 26 Year 2000 on Human Rights Court