Solving Conflicting Regulations through Non-Litigation System

Due to many overlapping and conflicting laws and regulations in Indonesia particularly in relation to regional government regulations with the central government regulations, the Ministry of Laws and Human Rights (“Ministry”) issued a Regulation No. 32 of 2017 on Settlement Procedure for Laws and Regulations Dispute through Non-Litigation System, which entered into force on 8 December 2017.

Scope of Dispute

Laws and Regulations Disputes mean laws and regulations that are contrary with one another both vertically or horizontally and consequently create:

• Conflict of legal norms;
• Conflict of authority between governmental institutions/bodies, or government institution and local government;
• Unfairness to the public and business players; and
• Inhibit investment climate, business and economic activities locally or nationally (“Dispute”).

This regulation gives an additional option to individuals or business players in the event they want to challenge the Ministerial or Local Government Regulations. Nonetheless, the result of this challenge is not in the form of final and binding decision, but recommendation, which is different if they challenge the laws and regulations through court.  On another note, the Minister’s own initiation does not give period of time to examine the conflicts laws and regulations which may lead to uncertainty.

If you have any questions  or require any additional information, please contact Afriyan Rachmad and Sianti Candra or the ZICO Law Partner you usually deal with.

This alert is for general information only and is not a substitute for legal advice.