Indonesian Small Claim Regulation in Civil Procedure

After along waiting, Indonesia finally has small claim regulation in its civil procedure. The Supreme Court enacted Supreme Court Regulation Number 2 of 2015 on Procedure for the Settlement of Small Claim, on August 2015. The regulation has aims to guarantee access to justice simple, fast and low cost to anyone who seeks for justice, at the same time it may reduce the burden of cases which culminate at Supreme Court for cassation appeal. Small claim procedure prevails for the Ordinary Courts (District Court/ Pengadilan Negeri) only for civil cases meet certain requirements.

According to the Regulation, any civil case arises from breach of contract or unlawful act which the value is less than or equals to IDR 200,000,000.00 (USD 14,800) should be submitted and tried according to the small claim procedure. However, civil cases which should be tried in special court, such as bankruptcy petitions and intellectual property rights disputes which fall into Commercial Court’s jurisdiction, cannot be submitted and tried under small claim procedure. Moreover, civil case arises from land rights dispute also cannot be submitted and tried under small claim procedure. The Regulation also requires that the case should be simple, it should consists of one plaintiff and one defendent whose domicile falling into similar jurisdiction of the competent District Court. The case may consist of more than one defendant as long as they have strong related interests on the case.

The case will be tried by single judge appointed by Chief Judge of the District Court. The Judge will held a preliminary test to decide whether the case should be tried under small claim procedure or not. Once the decision assigns that the case should be tried under small claim procedure, the disputed parties will be summoned to attend for the first hearing. At the first hearing the Judge may suggest the parties to reach an amicably settlement; however if the parties cannot settle the dispute amicably, the proceeding will be continued with the deliverance of statement of claim and statement of defence. It is not allowed in small claim procedure request for provisional measure, replication, rejoinder, counter claim and third party intervention. The law of evidence for civil litigation shall govern the evidentiary procedure in small claim. The Judge shall render its final judgment in 25 days from the day of first hearing.

The party is not allowed to submit an appeal to the High Court. Any challenge against final judgment of small claim procedure shall be submitted into respected District Court which rendered the judgment. The challenge shall be submitted in seven days after notification of judgment to the party who submit such challenge. The other party shall be well informed that there is a challenge against the judgment, and he/ she has right to submit a counter memory. The Chief Judge of District Court will appoint a panel consists of three Judges to relitigate the case. The trial will only rely on the examination of the documents, there is no hearing and evidentiary procedure in the proceeding. The judgment shall be rendered its judgment in seven days after the appointment of the panel. Any further challenge, in kinds of appeal, cassation and revocation, is not allowed. The enforcement of final judgment, which reach res judicata effect, should be exercised according to the law of civil procedure.

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