The Issuance Of The Supreme Court Regulation No. 3 Of 2023: An Assessment Of How It Would Promote Arbitration In Indonesia

In a significant move towards improving the arbitration landscape in Indonesia, the Supreme Court issued Regulation No. 3 of 2023. This regulation aims to address the long-standing gaps in the Law No. 30 of 1999 on Arbitration and Alternative Dispute Resolution (AADR Law). Eva Fatimah Fauziah, Head of Legal Lab and Senior Associate of Practice Group International Arbitration and Litigation at Anggraeni and Partners, alongside Sri Purnama, a Junior Legal Research Analyst, have made noteworthy contributions to the Indian Journal of Arbitration Law, shedding light on these crucial developments.

Abstract

To ensure effectiveness of dispute resolution such as arbitration, underlying laws should be in harmony with international standards and cater the existing development developments. Indonesian arbitration law, the Law No. 30 of 1999 on Arbitration and Alternative Dispute Resolution [“AADR Law”], has remained the same since 1999 regardless there have been significant developments and evolution of the arbitration practice. Only after more than two decades there is finally an attempt to fill in the gaps existing in the AADR Law. This attempt came from the Supreme Court by issuing the Supreme Court Regulation No. 3 of 2023. The regulation provides more clarity regarding the appointment of arbitrators, right of recusal, and the examination of enforcement and annulment of arbitral awards. This article will showcase how these changes may affect the practice of arbitration in Indonesia.

For those interested in a deeper dive into the Supreme Court Regulation No. 3 of 2023 and its implications, the full article by Eva Fatimah Fauziah and Sri Purnama can be accessed here 

Sri Purnama

Junior Legal Research Analyst

[email protected]