BANI Urge BusinessOwners to Use Arbitration in Dispute Settlement
2 September 2016 10:46 WIB
TEMPO.CO, Jakarta - The Indonesia National Board of Arbitration (BANI) has urged business owners to use arbitral institutions in every dispute involving business owners and entities. Arbitration is the best way fot the settlement of dispute outside the court.
“Arbitration is the middle way in any dispute, thus business owners are not required to go to court, which usually takes a long time,” said BANI chairman M. Husseyn Umar in Jakarta, August 31, 2016.
Aside from its short process, he went on, settlement of disputes in arbitral institutions is less expensive and more confidential, citing closed-door trials.
“Even though arbitrations for settlement of dispute are based on consensus or agreement, the legal status of arbitral rulings has the same effect of those of the court, [In addition, arbitral rulings] are final and binding, different to the court where appeals may be filed,” M. Husseyn said.
BANI senior arbiter Agus G. Kartasasmita added that arbitration process can lasts 180 days to six months and a quicker settlement may be pursued.
BANI noted that from 2009 to 2013, 30.8% of total cases were construction disputes, 20.8% were leasing disputes, 15% were trade dispute, 7.55% were mining/energy disputes, 6.7% were financial disputes, 6.7% were investment disputes, 3.8% were agency disputes, 2.5% were transportation disputes, 1.7% insurance disputes and 4.6% were other disputes.
“The stakeholders are business owners and agreements are made on an equal footing, regardless of the respective power [of the warrring parties]. The agreement in an arbitration must be made on an equal footing. Business owners want a quick arbitration process, without having to endure legal issues which could take years to settle,” Agus said.
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