Consumer Dispute Resolution: A Comparative Study between Indonesia and Common Law System Countries

Abstract

Since 2001, based on the mandate of Article 49 paragraph (1) of Law no. 8 of 1999 on Consumer Protection, BPSK (Badan Penyelesaian Sengketa Konsumen/Consumer Dispute Resolution Institution) has been established based on Presidential Decree No. 90/2001 on the establishment of BPSK in several cities in Indonesia. In some countries that embrace the Anglo Saxon legal system, consumer dispute cases are resolved by an institution called The Small Claims Court (SCC) and The Small Claims Tribunal (SCT). The difference in settlement through three institutions is that BPSK is a formal institution which resolves small disputes with low-cost, but does not limit the size of the lawsuit filed by consumers. On the other hand, SCT provides clear restrictions on claims that can be filed by consumers. At the completion done by SCC, the assemblies that resolved the case come from active and retired judges, while in BPSK the assemblies come from government, businessman and consumer with different backgrounds.

DOI: 10.5901/mjss.2017.v8n3p327