Who's Legally Represents The Company In Indonesia?

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By:

Team of Hukumindo

Previously, the Hukumindo.com platform has talk about "What Types of Land Ownership May Company Obtain In Indonesia?" you may read also "Principles of Buying Land in Indonesia", and on this occasion we will discuss about Who's Legally Represents The Company In Indonesia?

We assume that when you make the choice to start a business in Indonesia, you understand which sectors are open or closed for foreign investment. In this article, we also assumed that you as a foreign investor have established a company in Indonesia. And to run a company, of course you need sufficient knowledge of corporate law in Indonesia. Or at least, on this precious occasion we will increase lightly your knowledge about company law in Indonesia.

Governing Law

The main sources of law governing limited liability companies in Indonesia are Law Number: 40 of 2007 Concerning Limited Liability Company. In addition, other laws are also regulated, including Law Number: 3 of 1982 concerning Compulsory Company Registration and Law Number: 11 of 2020 concerning Job Creation. Also, various implementing regulations under it.

The Company Organs In Indonesia

To answer the questions referred to in the article, we must first understand the company's organs first. There are three organs in a company, the first is the general meeting of shareholders, second is the board of directors, and the last is the board of commissioner. 

What is the General Meeting of Shareholders? As stipulated in Article 1 point 4, what is meant by General Meeting of Shareholders is the Company's Organ which has authority not given to the Board of Directors or the Board of Commissioners within the limits specified in this law and/or the articles of association.

What is a the Board of Director? As stipulated in Article 1 point 5, what is meant by the board of director is a company organ that is authorized and fully responsible for the management of the Company for the benefit of the Company, in accordance with the purposes and objectives of the Company and represents the Company, both inside and outside the court in accordance with the provisions of the articles of association.

What is a the Board of Commissioner? As stipulated in Article 1 point 6, what is meant by the board of commissioner is the Company's organ in charge of conducting general and/or specific supervision in accordance with the articles of association and providing advice to the Board of Directors. 

Who's Legally Represents The Company In Indonesia?

Then, who's legally represents the company in Indonesia? To answer this question, we must still refer to Law Number: 40 of 2007 Concerning Limited Liability Company, especially Article 1 point 5, where the board of directors is the one who legally represents the company in Indonesia, both inside and outside the court.

And as a tips, in the practice of corporate law in Indonesia, there are also rules that allow the board of directors to delegate their authority to one or several company employees for certain purposes. This provision refers to article 103, Law Number: 40 of 2007 Concerning Limited Liability Company. And if you have any issue with this topic, contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:

Mahmud Kusuma Advocate

Law Office

Jakarta - Indonesia.

E-mail: mahmudkusuma22@gmail.com

________________

Reference:

1. Law Number: 40 of 2007 Concerning Limited Liability Company.

What Types of Land Ownership May Company Obtain In Indonesia?

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By:

Team of Hukumindo

Previously, the Hukumindo.com platform has talk about "How To Buy Land In Indonesia?" you may read also "Principles of Buying Land in Indonesia", and on this occasion we will discuss about What Types of Land Ownership May Company Obtain In Indonesia?

In this article, we assumed that you as a foreign investor have established a company in Indonesia. It is also assumed that you as a foreign investor have understood the basic principles of buying land in Indonesia. And also assumed that you understand how to buy land in Indonesia. In general, not all types of land ownership in Indonesia can be gain by companies. Only certain types of land ownership are allowed. Make sure the land you have purchased is certified according to the company's needs at the relevant National Land Agency office. 

Governing Law

This law was officially named Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles, which regulates the rights to land, water and air. It also includes basic rules and provisions for control, ownership, use or utilization of national agrarian resources in Indonesia, land registration, criminal provisions and transitional provisions.[1] If we look at Law No. 5 of 1960 in a limited way, in fact the Agrarian Law regulates land law in a narrow sense.[2] Through Law No. 5 of 1960, regulates matters of land use. The land rights regulated in the law include land ownership rights, cultivation rights, building use rights, use rights, lease rights, land clearing rights, and rights to collect forest products.[3] 

Regarding the title of the article here, the law that regulates and relates to the types of land ownership that can be obtained by companies in Indonesia is Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles. Derived legal rules that are directly related to Law No. 5 of 1960 is Government Regulation No. 24 of 1997 concerning Land Registration and its amendments.

Types of Land Ownership

To understand the types of land ownership in Indonesia, we must first understand land rights. What are land rights? According to Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles: "The rights to land as referred to in paragraph (1) of this article authorize the use of the land in question, as well as the body of the earth and water and the space above it, only as necessary for interests directly related to the use of the land within the limits according to This Act and other higher legal regulations". 

In the opinion of the author, 'land rights' are simply a 'power' granted by law to a specific area of land to be used as long as it does not contrary with the law. This means that when a company owns land rights in Indonesia, it has the power to use it for investment and/or economic purposes in general. 

According to Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles, especially Article 16, Land rights include: [4]

1. Right of ownership;
2. Cultivation rights;
3. Building rights;
4. Right to use;
5. Lease rights;
6. Land clearing rights;
7. The right to collect forest products;
8. Other rights that are not included in the rights mentioned above which will be stipulated by law as well as rights of a temporary nature as mentioned in Article 53.

1. What is meant by right of ownership? According to Article 20 paragraph (1) Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles: "Right of Ownership are hereditary, strongest and most complete rights that can be owned by people on land, taking into account the provisions in Article 6". Only Indonesian citizens can have right of ownership. 

2. What is meant by cultivation rights? According to Article 28 paragraph (1) Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles: "Cultivation rights are rights to cultivate land which is directly controlled by the State, within the period as referred to in Article 29, for agricultural, fishery or animal husbandry companies.". Cultivation rights are granted for a period of 25-35 years. 

3. What is meant by building rights? According to Article 35 paragraph (1) Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles: "Building Rights is the right to construct and own buildings on land that is not he/her's own, with a maximum period of 30 years." Can be extended for a period of 20 years. 

4. What is meant by right to use? According to Article 41 paragraph (1) Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles: "Right to Use is the right to use and/or collect proceeds from land directly controlled by the State or land owned by another person, which gives the authority and obligations specified in the decision to grant it by the official authorized to give it or in an agreement with the land owner, which is not a lease agreement, rent or land management agreement, everything as long as it does not conflict with the spirit and provisions of this law".

5. What is meant by lease rights? According to Article 44 paragraph (1) Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles: "A person or a legal entity has the right to lease land, if he has the right to use land owned by another person for building purposes, by paying the owner a sum of money as rent." The mechanism for paying the rent can be done at a certain time or at a certain time of period, before or after the land is used.

Regarding the last two types of land rights (Land clearing rights and The right to collect forest products),  is not close-related to this article, so it will not be discussed further. While regarding 'Other Rights' that are not included in the rights mentioned above which will be stipulated by law as well as rights of a temporary nature as mentioned in Article 53 of Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles will be further subject to discussion. 

What Types of Land Ownership Can Company Obtain In Indonesia?

So, last question, what types of Land Ownership can company obtain in Indonesia? To answer this question, we still have to refer to Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles, especially to article number 16 as mentioned above. 

If we examine further, it is possible that when a company is established in Indonesia, it will be allowed to obtain land rights of the following types: 

1. Cultivation Rights (Hak Guna Usaha/HGU);
2. Building Rights (Hak Guna Bangunan/HGB);
3. Lease Rights (Hak Sewa).

These are land rights that are 'commonly' used in Indonesia by companies. Make sure your company's land ownership rights in Indonesia are in accordance with applicable law. And if you have any issue with this topic, contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:

Mahmud Kusuma Advocate

Law Office

Jakarta - Indonesia.

E-mail: mahmudkusuma22@gmail.com

________________

References:

1. "Ulasan UU Pokok Agraria (UU No 5 Tahun 1960)", www.rumah.com., Diakses pada tanggal 6 November 2021, https://www.rumah.com/panduan-properti/kenali-uu-no-5-tahun-1960-lebih-dekat-18542

2. Ibid.

3. Ibid.

4. Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles.

How To Buy Land In Indonesia?

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By:

Team of Hukumindo

Previously, the Hukumindo.com platform has talk about "Principles of Buying Land in Indonesia" read also: "How To Check The Validity of Indonesian Advocates?" and "How to Obtain Indonesian Citizenship?", and on this occasion we will discuss about 'How To Buy Land In Indonesia?'

We assume that you have understood the basic principles of buying land in Indonesia as previously article published. As a continuation of the article, this article will discuss the practical stages of buying land in Indonesia. According to the author's experience, there are at least 6 stages that must be passed when you are going to buy land in Indonesia. 

The First Stage: Research The Land Object You Are Going To Buy

At this early stage, it is important to research the suitability of the land certificate that you are going to buy with the land that is the object of the certificate. Pay close attention to whether the land certificate you are going to buy is registered in the relevance National Land Agency office. If the land certificate that will become the object of sale and purchase is registered in the National Land Agency, then the buying and selling process can be continued. Pay close attention to whether the data listed on the land certificate that you are going to buy is in accordance with the facts on the ground. Pay attention to the address of the land object that you are going to buy, whether it is in accordance with the facts on the ground. Also pay attention to the land area, whether it is appropriate. Also pay attention to the boundaries of the land that you will buy whether it is appropriate. Also pay attention to other details related to this matter. 

Second Stage: Research The Land Seller

Pay attention to the compatibility between the Owner's Name on the land certificate and the Identity Card of the person who will make the sale. When going to sell land, in general, a proof of payment of Land and Building Taxes (PBB) for the last 5 years is also required. Pay attention to the suitability and compliance of the seller with this tax. In the event that the seller is a married couple, a letter of approval from the spouse is required. Likewise, if someone is divorced, a divorce certificate is needed. Also pay attention to other accessories from the seller such as the Taxpayer Identification Number (NPWP) and other things as details. 

Stage Three: Prepare Your Legal Eligibility As Buyer

As a buyer, you must have considered the economic aspects of buying land later. Things such as access to major roads, distance to the port, availability of adequate electricity, land prices, availability of labor around the land location, calculation of labor wages, availability of production raw materials, security, and other things you must have consider beforehand. After considering the economic aspects of the land that you will buy, then the buyer must prepare himself to be legally eligible as a buyer. It is assumed in this article that the buyer is a limited liability company, not an individual. In such a case, a Company Establishment Deed, Company Taxpayer Identification Number (NPWP), Company Registration Certificate, Board of Directors' Identity Card, and other necessary accessories are required. 

Fourth Stage: Process of Making Sale and Purchase Deed

If the object of land that will become the object of sale and purchase has been examined by you and is suitable for a transaction, and the Seller has also fulfilled the requirements to conduct the transaction and you as the Buyer are also legally eligible to purchase the land, then the sale and purchase process can be carried out. 

If it meets the legal requirements for buying and selling, then The Deed of Sale and Purchase of land must be made by the Land Deed Maker Official (PPAT) and or Notary. The making of the Sale and Purchase Deed must be attended by the seller and the buyer. And at least two witnesses need to be present. The Land Deed Making Officer (PPAT) will read and explain the contents of the deed. If the seller and buyer agree with the contents, the deed will be signed by the seller, buyer, witness and the Land Deed Making Official (PPAT). The deed is made in two original sheets, one is kept by the Land Deed Making Officer (PPAT) and the other sheet will be submitted to the National Land Agency office for transfer of names. Copies will be provided to both the seller and the buyer.[1]

In addition to the components of the basic cost of buying land that you have to spend, please be aware at this stage that both the Seller and the Buyer will be subject to tax on the transaction to be executed. The seller must pay income tax (PPh). While the Buyer is required to pay Customs for the Acquisition of Land and Building Rights (BPHTB). Income tax (PPh) and Customs for the Acquisition of Land and Building Rights (BPHTB) can be paid at the Bank or Post Office. Before the Income Tax (PPh) and Customs for the Acquisition of Land and Building Rights (BPHTB) are paid off, the deed cannot be made. At this stage also consider other costs in detail.

Fifth Stage: Transfer of Ownership/Name to the Office of the National Land Agency

After the Sale and Purchase Deed (AJB) is completed, the Land Deed Making Officer (PPAT) submits the Sale and Purchase Deed (AJB) file to the relevant National Land Agency office for the transfer of names. The files submitted are include: a). A letter of application for transfer of name which has been signed by the buyer; b). Sale and Purchase Deed from Land Deed Making Officer (PPAT); c). Land Rights Certificate; d). Photocopy of the identity of the seller and buyer; e). And other necessary letters. 

After the file is submitted at the National Land Agency office, there will be a receipt that will be submitted to the Applicant. The name of the buyer as the holder of new land rights will be written on the pages and columns in the land book and certificate of ownership, with the signature of the head of the National Land Agency office or the appointed relevant official.[2] In reality, the process at this stage requires its own time. Regarding the process of transfer names at the relevant National Land Agency (BPN), you can authorize someone else to take care of it.

Sixth Stage: Master and Use the Land You Have Purchased

As the final part in the process of buying and selling land in Indonesia, while waiting for the transfer of names at the relevant National Land Agency (BPN), the land that you have purchased can be controlled and used. Present your ownership at the location of the land object that you have purchased. You have been able to do fencing/guardrail on the land that you have purchased. Either on the north, south, east and west sides of the land you have purchased. 

In the next stage, you have been able to build buildings on the land that you have purchased as part of the production equipment you need. At this stage, you as the new owner of the land that you have purchased, have been able to take benefit of it. As a legal practitioner, we recommend that you do Legal Due Diligence (LDD) first before making material transactions such as buying land, this is solely to avoid losses that may be incurred in the future. Related to this, please read our article entitled: "How to Avoid Fraud in Investment by Using Legal Tools". And if you have any issue with this topic, contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:

Mahmud Kusuma Advocate

Law Office

Jakarta - Indonesia.

E-mail: mahmudkusuma22@gmail.com

________________

References:

1. "Syarat Serta Prosedur Jual Beli Tanah dan Bangunan", www.cermati.com, diakses pada tanggal 2 November 2021 https://www.cermati.com/artikel/syarat-serta-prosedur-jual-beli-tanah-dan-bangunan

2. Ibid. 

Principles of Buying Land in Indonesia

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By:

Team of Hukumindo

Previously, the Hukumindo.com platform has discussed about "How To Check the Validity of Indonesian Advocates?", read also "If I Get Fired, What Are My Rights According to Indonesian Law?" and on this precious occasion will be discussed about Principles of Buying Land in Indonesia?

In this article, it is assumed that you already understand which business sectors are open or closed for foreign direct investment in Indonesia. Read the previous article "Latest Negative List of Investments In Indonesia". It is also assumed that you have understood how to set up a company in Indonesia. Read the previous article of Hukumindo.com titled: "Process and Requirements for Establishing a Limited Liability Company for Foreign Investment". And now to run the company that you have founded in Indonesia, you need land as a place to establish a production unit. In this article, we will briefly explain tips so that you are free from legal defects or disputes when buying land in Indonesia. 

The Principle of Buying Land in Indonesia

This principle is important to be used as a guide when you are going to buy land in Indonesia. If applied when you make land purchase transactions as intended, God willing, you will be free from legal defects or disputes afterwards. Or at least, the application of this principles will minimize the negative impact. 

Apply the "free, clean and clear" principles when buying land in Indonesia. What is meant by principles of free, clean and clear here?[1], [2].

What is meant by the "free" principle here is the land you are going to buy is free from disputes. 

What is meant by the "clean" principle here is the land that you are going to buy is not being used for any activity, or occupied by another person or anyone who does not have rights. 

What is meant by the "clear" principle here is refers to the land boundaries that exist in the field according to those in the certificate.

In addition, the author explains here that the "free" principle is related to certainty regarding the suitability of the land you are going to buy with the land certificate. You can check in the field and check with the National Land Agency regarding this. Make sure its suitable. Regarding the "clean" principle here, make sure in the field that the land you are going to buy is not controlled and/or being used by other parties who are not entitled to it. Make sure the land you are going to buy is ready for you to use. And the last, regarding the "clear" principle here, is related to the boundaries of the land that you will buy. Make sure the North, South, East and West boundaries of your land. In the event that the land you are going to buy is properly cared for, usually there is a kind of land stake as a boundary marker for the land you are going to buy. And if you have any issue with this topic, contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:

Mahmud Kusuma Advocate

Law Office

Jakarta - Indonesia.

E-mail: mahmudkusuma22@gmail.com

________________

References:

1. "Ini Tata Cara Jual Beli Tanah yang Sah di Mata Hukum", www.popbela.com., diakses pada tanggal 28 Oktober 2021, https://www.popbela.com/career/inspiration/natasha-cecilia-anandita/tata-cara-jual-beli-tanah/4

2. "Prosedur Tepat Beli Tanah", www.rumah.com., Diakses pada tanggal 28 Oktober 2021, https://www.rumah.com/berita-properti/2017/6/155415/prosedur-tepat-beli-tanah

How To Check The Validity of Indonesian Advocates?

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By:

Team of Hukumindo

Previously, the Hukumindo.com platform has discussed about "If I Get Fired, What Are My Rights According to Indonesian Law?", read also: "How to Obtain Indonesian Citizenship?", and on this occasion will be discussed about the issue of How To Check the Validity of Indonesian Advocates?

Definition of Advocate

In Indonesia, advocate is defined as: "...a person whose profession is to provide legal services, both inside and outside the court, who meet the requirements and based on the provisions of the Law on Advocates". 

The author prefers to use the term advocate, because this term is used as the law regulates it. In Indonesia, other terms are known such as 'legal advisor', 'lawyer', 'attorney' or 'Pokrol', only because there is a law that regulates it, namely the advocate law, its common that this term is used. With the enactment of the Law Number: 18 of 2003, it is appropriate to submit to the law that only advocates may carry out the profession to provide legal services both inside and outside the Court.

Governing Law

The profession of advocate in Indonesia is regulated in Law Number: 18 of 2003 concerning Advocates. The law regulates matters relating to the position of advocates, such as appointments, oaths, status, prohibitions and rights and also obligations.

Based on the Law on Advocates, there are terms that must be understood for anyone who will use the services of an advocate:

1. Legal services, are services provided by advocates in the form of providing legal consultation, legal assistance, exercising power of attorney, representing, accompanying, defending, and taking other legal actions for the legal interests of clients.
2. Client, is a person, legal entity, or other institution that receives legal services from an Advocate.
3. Advocates Organization, is a professional organization established under this Law.

How To Check the Validity of Indonesian Advocates

Remember the definition of Advocate above, advocate must meet the requirements and based on the provisions of the Law on Advocates. Article 2 of Law Number: 18 of 2003 concerning Advocates, set the following conditions:

1. Those who can be appointed as Advocates are graduates with a higher education background in law and after attending special education for the Advocate profession carried out by the Advocates Organization.
2. Advocates are appointed by the Advocates Organization.
3. A copy of the decision letter on the appointment of Advocates as referred to in paragraph (2) shall be submitted to the Supreme Court and the Minister.

Article 3 of Law Number: 18 of 2003 concerning Advocates requires the following to be appointed as advocates:

1. Citizens of the Republic of Indonesia;
2. Residing in Indonesia;
3. Does not have the status of a civil servant or a State Official;
4. At least 25 (twenty five) years old;
5. Hold bachelor's degree with a legal higher education background as referred to in Article 2 paragraph (1);
6. Pass the examination held by the Advocates Organization;
7. Internship for at least 2 (two) years continuously at the Advocate's office;
8. Have never been convicted of a criminal offense punishable by imprisonment of 5 (five) years or more;
9. Behave well, honest, responsible, fair, and have high integrity.

Based on the provisions of Articles 2 and 3 of Law Number: 18 of 2003 concerning Advocates, there are several legal products related to proving someone as an advocate:

1. Letter of Appointment as an Advocate (Issued by advocate organization); and
2. Certificate of Oath as an Advocate (Issued by Head of the relevant Provincial High Court);
3. Advocate membership card (Issued by advocate organization).

When you are in Indonesia and have the intention to use legal services through an advocate, it is very important to choose a legally-valid lawyer. Checking the advocate validity you will choose becomes a necessary so that there will be no losses occur in the future. So, its alright to ask your advocate about their validity such as: (a). Letter of Appointment as an Advocate, (b). Certificate of Oath as an Advocate and (c). Advocate membership card, for your safety. 

Be smart that civil servants, state apparatus or law graduates who do not qualify as advocates cannot be your attorney and therefore cannot represent your legal interests in Indonesia. For anyone who claims to be an advocate but can't prove his legitimacy, perhaps that you're out of luck and maybe a fraud is going on. If you have any issue with choosing the right advocate to represent your interest in Indonesia, contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:

Mahmud Kusuma Advocate

Law Office

Jakarta - Indonesia.

E-mail: mahmudkusuma22@gmail.com

________________

References:

1. "Undang-Undang Advokat", id.wikipedia.org, Diakses pada tanggal 23 Oktober 2021, https://id.wikipedia.org/wiki/Undang-Undang_Advokat

2. Law Number: 18 of 2003 concerning Advocates.

If I Get Fired, What Are My Rights According to Indonesian Law?

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By:

Team of Hukumindo

Previously, the Hukumindo.com platform has discussed about "How to Obtain Indonesian Citizenship?", read also: "How to Open a Police Report in Indonesia?" and on this occasion will be discussed regarding "If I Get Fired, What Are My Rights According To Indonesian Law?"

Termination of employment is the end of the employment relationship due to some reason, as a results in the termination of the rights and obligations between the worker and the entrepreneur.[1] The governing law that regulates employment termination in Indonesia is Law Number: 13 of 2003 concerning Manpower. What are the rights of workers under Indonesian law when he/she was fired by his company? This article assumes that you work in Indonesian jurisdiction and in an Indonesian company.

In the event of termination of employment, based on Article 156 paragraph (1) of Law Number: 13 of 2003 concerning Manpower, the worker is entitled to severance pay, service award, and compensation money.[2]

Severance Pay

Severance pay is the right of the employee affected by the Termination, commonly in the form of money from the company/employer as a result of the Termination of Work. The amount is the same as the basic salary plus other fixed allowances or the same as the salary each month.

The amount of severance pay are vary, depending on the employee's tenure. For example, for a period of less than a year, you will get one month's salary, while for a period of one to two years you will get two months of salary, and so on.

Service Award

The long service award is given as a sign of employee loyalty to a company. The condition, you must work at least 3 years in the company.

The calculation of the award money is based on Article 156 paragraph (3) of Law Number: 13 of 2003 concerning Manpower. For example, if the service period is three to six years, you will receive an award of two months' wages.

Compensation Money

The compensation for the rights of employees affected by termination of employment is compensation for the rights of workers who have not been taken. The explanation for this compensation is regulated in Article 156 of Law Number: 13 of 2003 concerning Manpower. For example, the cost of annual leave, the cost of returning employees and their families to a new place of work, housing reimbursement and medical treatment are set at 15% of the severance pay and period of service pay.

If you have difficulty claiming the rights as mentioned above to the company where you used to work, contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:

Mahmud Kusuma Advocate

Law Office

Jakarta - Indonesia.

E-mail: mahmudkusuma22@gmail.com

________________

References:

1. "Pemutusan Hubungan Kerja", id.wikipedia.org., Diakses pada tanggal 21 Oktober 2021, https://id.wikipedia.org/wiki/Pemutusan_hubungan_kerja

2. "PHK Bisa Terjadi Kapan Saja, Ketahui Prosedur dan Hak-hakmu Sebelum Terjadi", blog.pluang.com., Diakses pada tanggal 21 Oktober 2021, https://blog.pluang.com/artikel/hak-karyawan-phk/

3. Law Number: 13 of 2003 concerning Manpower.

How to Obtain Indonesian Citizenship?

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By:

Team of Hukumindo

Previously, the www.hukumindo.com platform has discussed about "Knowing KITAS (Limited Stay Permit Card) In Indonesia", "First Legal Aid When a Foreigners Arrested By The Police", read also: "How to Open a Police Report in Indonesia?", and on this occasion will be discussed about the issue 'How to Obtain Indonesian Citizenship?'

Definition of Citizen according to Indonesian Law

In addition to being regulated in Article 26 of the 1945 Constitution, citizens are also regulated in Law Number: 12 of 2006 concerning Citizenship of the Republic of Indonesia. The following is the definition of a citizen according to the law as stated in Article 4 letter "a" (most relevant to this article):[1]

• 'Any person based on laws and/or based on an agreement between the Government of the Republic of Indonesia with other countries prior to the enactment of this Law has become an Indonesian citizen';

This means, in this article, it is assumed that you are a foreign citizen who wishes to acquire Indonesian citizenship. And based on the provisions of Article 4 letter "a" Law Number: 12 of 2006 concerning Citizenship of the Republic of Indonesia above, as far as it fulfills the legal provisions governing it, it is legal to obtain Indonesian citizenship. The phrase 'based on laws' above, is in line with the meaning of as long as it fulfills the applicable legal provisions, then translated through the requirements and procedures as follows.

Requirements to be an Indonesian Citizen

The requirements for obtaining Indonesian Citizens, as regulated in Article 9 of Law Number: 12 of 2006 concerning Citizenship are:[1]

1. 18 years old or married (even if they are not yet 18 years old);
2. At the time of submitting the application, have lived in Indonesia for 5 consecutive years or 10 non-consecutive years;
3. Physically and mentally healthy;
4. Able to speak Indonesian and recognizes the state foundation of "Pancasila" and the 1945 Constitution;
5. Never been sentenced to a criminal sentence/imprisonment for being proven guilty of a crime/crime punishable by imprisonment of 1 year or more;
6. Obtaining Indonesian citizenship does not result in dual citizenship, because it is not recognized in the Indonesian legal system. In other words, the citizenship status of other countries must be relinquished;
7. Have a job or have a steady income;
8. Paying money/citizenship fees to the State Treasury. For further information regarding the amount of this fee, please contact the nearest Indonesian Immigration Office.

In addition to the 8 conditions mentioned above, logically someone who will apply to obtain the status of an Indonesian citizen must not be in a condition that is not permitted by Law Number: 12 of 2006 concerning Citizenship, such as being in military service or a civil servant in another country. 

Procedure for Becoming an Indonesian Citizen

The procedure for becoming an Indonesian citizen is as regulated in Articles 10-18 of Law Number: 12 of 2006 concerning Citizenship, namely:[2]

1. The application is submitted in writing in (bahasa) Indonesian on paper with the seal of the Republic of Indonesia, addressed to the President of the Republic of Indonesia through the Minister of Law & Human Rights, and submitted to the relevant Immigration Officer;
2. If the application is submitted abroad, the application can be made through the Embassy of the Republic of Indonesia in the country concerned and will be forwarded to the Minister of Law & Human Rights;
3. The Minister of Law & Human Rights will forward the application to the President of the Republic of Indonesia no later than 3 (three) months from the date of receipt of the application, accompanied by various considerations;
4. The President of the Republic of Indonesia may accept or reject the application;
5. If accepted, a Presidential Decree (Keppres) of the Republic of Indonesia will be issued no later than 3 (three) months from the receipt of the application and will be submitted to the person concerned no later than 14 (fourteen) days from the date of the Presidential Decree;
6. If the application is rejected, the Minister of Law & Human Rights will notify the person concerned no later than 3 (three) months from the receipt of the application, along with the reasons for the rejection;
7. The Embassy of the Republic of Indonesia abroad will summon the applicant to take an oath or pledge allegiance to the Unitary State of the Republic of Indonesia no later than 3 (three) months after the Presidential Decree was sent to the person concerned. In this case, the Presidential Decree will be effective as of the date of taking the oath or statement of promise;
8. If at the time of taking the oath or statement of promise it turns out that the applicant is not present without a valid reason, then the Presidential Decree will automatically be deemed null and void;
9. After taking the oath or statement of promise, the applicant is required to submit his/her immigration documents/letters to the Embassy of the Republic of Indonesia within a period of no later than 14 (fourteen) days;
10. Copies of the Presidential Decree and Minutes of the Oath-taking/Statement of Promise are valid evidence of the acquisition of Indonesian Citizen status for the person concerned. In this case, the Minister of Law & Human Rights will announce the name concerned as a legal Indonesian citizen through the State Gazette of the Republic of Indonesia.​

The procedure referred to in numbers 1 to 10 above is called ordinary naturalization. In addition to naturalization in general, Article 20 of Law Number 12 of 2006 concerning Citizenship also regulates naturalization in a special way. The requirement to become an Indonesian citizen by means of special naturalization, which refers to foreign nationals who have rendered services to the Republic of Indonesia or for reasons of state interest after obtaining consideration from the state institution, the House of Representatives of the Republic of Indonesia. However, if the foreigner who applies for the Special Naturalization will later cause him to have dual citizenship, then the naturalization will not be granted.[3] 

In practice, naturalization is preferentially given to many athletes as a shortcut to defend a country in a sporting event. This also happened in Indonesia. For example, a soccer player born in Brazil was then naturalized to become an Indonesian citizen. This special naturalization process instantly entitles a person to defend a new country that has naturalized him in international sporting events. 

There is also a topic regarding the technical contents of the application letter to obtain Indonesian citizenship and its attachments, which will be discussed on another occasion. If you have any issue to Obtain Indonesian Citizenship, contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:

Mahmud Kusuma Advocate

Law Office

Jakarta - Indonesia.

E-mail: mahmudkusuma22@gmail.com

________________

References:

1. "Warga Negara: Pengertian, Syarat, dan Tata Cara Memperoleh Kewarganegaraan", www.detik.com, Penulis: Kristina, Rabu, 08 Sep 2021, diakses pada tanggal 15 Oktober 2021, https://www.detik.com/edu/detikpedia/d-5714082/warga-negara-pengertian-syarat-dan-tata-cara-memperoleh-kewarganegaraan.

2. "Memperoleh Kembali Kewarganegaraan RI", Kedutaan Besar Republik Indonesia Di Dili Republik Demokratik Timor-Leste, diakses pada tanggal 15 Oktober 2021, https://kemlu.go.id/dili/id/pages/memperoleh_kewarganegaraan_ri_/1771/etc-menu

3. Ibid.

4. "Cara dan Syarat-Syarat Menjadi Warga Negara Indonesia atau WNI", tirto.id., diakses pada tanggal 15 Oktober 2021, https://tirto.id/cara-dan-syarat-syarat-menjadi-warga-negara-indonesia-atau-wni-ghnS

5. Law Number: 12 of 2006 concerning Citizenship.

Knowing KITAS (Limited Stay Permit Card) In Indonesia

(iStock)

By:

Team of Hukumindo

Previously, the Hukumindo.com platform has discussed about "How to Open a Police Report in Indonesia?", and on this valuable occasion will be discussed about Knowing 'Limited Stay Permit Card' or KITAS In Indonesia? 

Term & Governing Law on KITAS (Residence Permit) In Indonesia

KITAS is a 'Limited Stay Permit Card', before being named 'KITAS' it was called 'KIMS' or 'Temporary Resident Permit Card'. This card is intended for Foreign Citizens working in Indonesia so that they can stay in Indonesia (a kind of resident permit) and must be extended once a year. To get this card, you must have a job in Indonesia and be sponsored by the company where the foreign citizen works.[1]

Governing Law on 'Limited Stay Permit Card' or KITAS In Indonesia, among them, are:[2]

1. Law No: 6 Year 2011 Regarding Immigration;
2. Law No: 13 Year 2003 Regarding Manpower;
3. Ministry of Law and Human Rights (Kemenkumham) Regulation No. 16 Year 2018 Regarding Procedures for Granting Visas and Stay Permits for Foreign Workers;
4. Presidential Regulation No: 20 Year 2018 Regarding The Use of Foreign Workers;
5. Government Regulation No: 31 Year 2013 Regarding The Implementing Regulations of Law No: 6 Year 2011 Regarding Immigration.
6. Ect.

Limited Stay Permit Cards (KITAS) are issued to:[3]

1. Foreigners who are legally married to Indonesian citizens;
2. Children of foreigners who are legally married to Indonesian citizens;
3. Children who at the time of birth in the Indonesian Territory father and/or mother holders of a Limited Stay Permit Card (KITAS);
4. Foreign nationals who enter the Indonesian Territory with a limited stay visa or foreigners who are granted status transfer from a visit Stay Permit;
5. The captain, crew, or foreign experts on board ships, floating equipment, or installations operating in Indonesian waters and jurisdictions in accordance with the provisions of laws and regulations;
6. Limited Stay Permit Card can also be given to Foreigners to do short work.

Foreign Workers referred here are includes:[4]

1. Work as an expert;
2. Conduct scientific research;
3. Participate in education and training;
4. Performing duties as a clergy;
5. Elderly tourists from abroad;
6. Foreigners who are former Indonesian citizens;
7. Foreigners in the context of investment;
8. Joining a husband or wife holding a Limited Stay Permit Card (KITAS);
9. Merge with the father and/or mother for children who are foreign nationals who have a legal family relationship with the father and/or mother who are Indonesian citizens;
10. Joining the father and/or mother holding a Limited Stay Permit Card or Permanent Stay Permit Card for children under 18 (eighteen) years old and unmarried;

The validity Period of The Limited Stay Permit Card Ends Because The Holder:[5]

1. Return to the country of origin and do not intend to enter the Indonesian Territory again;
2. Return to their country of origin and do not return again beyond the validity period of their Re-Entry Permit;
3. Obtaining the citizenship of the Republic of Indonesia;
4. The permit has expired;
5. The permit changes status to Permanent Stay Permit;
6. The permit is canceled by the Minister or the appointed Immigration Officer;
7. Subject to Deportation;
8. Died.

We summarize the procedures for managing ITAS for Foreign Workers as follows: 1). Applications are submitted by foreigners or their guarantors to the relevant Immigration Office; 2). Applications must be submitted within 30 days from the date of entry; 3). The Immigration Office checks the requirements that must be attached; 4). In the event that the inspection requirements have been met, the Head of the Immigration Office within a maximum of 4 (four) working days issues the Limited Stay Permit Card (KITAS). If you have any issue regarding your Limited Stay Permit Card (KITAS), contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:

Mahmud Kusuma Advocate

Law Office

Jakarta - Indonesia.

E-mail: mahmudkusuma22@gmail.com

________________

References:

1. "Prosedur Kartu Izin Tinggal Terbatas", www.bisaberes.com, diakses pada tanggal 8 Oktober 2021, http://www.bisaberes.com/prosedur-perizinan-kitas.php

2. "Apa Itu KITAS, Jenis, Kegunaan, dan Dasar Hukumnya", www.cermati.com, Editor: Irene Radius Saretta, diakses pada tanggal 8 Oktober 2021, https://www.cermati.com/artikel/apa-itu-kitas-jenis-kegunaan-dan-dasar-hukumnya;

3. www.bisaberes.com., Op. Cit.;

4. www.bisaberes.com., Op. Cit.