FINAL LEGAL CERTAINTY AND BINDING OF ARBITRATION AWARDS IN BUSINESS DISPUTE SETTLEMENT AT THE INDONESIAN NATIONAL ARBITRATION BOARD (BANI)
Sari
The increasingly fierce and dynamic world of competition in business will increase the potential for disputes between business actors. Regarding these disputes, there are two options for resolution, namely litigation and non-litigation, but in general business actors choose non-litigation, especially arbitration, because they are considered in line with the business world, are more effective, efficient, guaranteed confidentiality and have decisions that are final and binding. The principle of final and binding is found in arbitration arrangements, both national and international. This paper is intended to analyze the validity of annulment of arbitral awards in district courts and the consistency of the articles relating to the nature of arbitral awards regarding final and binding legal certainty. The conclusion obtained is that the arbitral award still leaves many questions that confuse business people. This was caused by a discrepancy/uncertainty in the Arbitration Law. The law still opens opportunities for the disputing parties to pursue litigation with arguments that are difficult to prove and there are no detailed instructions. The verdict has not provided legal certainty for the litigants. They can easily apply for annulment of the arbitral award at the District Court. It is considered necessary to revise or update the law relating to the principle of being final and binding on arbitral awards. Unsynchronized or inconsistent regulations and articles related to arbitral awards must be adjusted so that legal certainty is born for the parties. This effort can be carried out by involving the government or related parties outside the litigation process, for example by revising law number 30 of 1999 concerning Arbitration and Alternative Dispute Resolution, especially final and binding legal certainty when confronted with the cancellation of a decision to the District Court.
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DOI: http://dx.doi.org/10.33603/hermeneutika.v7i2.8740
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