Alternative Consumer Dispute Settlement Forum in Areas Without Consumer Dispute Settlement Body

Although in many cases consumer disputes can be managed by a region’s Consumer Dispute Settlement Body (‘BPSK’), in the event that there is not yet a BPSK office in a city or regency, an alternative avenue to the local District Court is provided for by Directorate General of Domestic Trade Circular Letter No. 40/PDN/SE/02/2010 on Consumer Handling and Settlement of Disputes.

 

In the event that there is no BPSK office in the area, a disgruntled consumer may lodge a complaint with the local trade office (Dinas yang membidangi perdagangan) using a Consumer Complaint Form (Attachment I), submitted with any supporting evidence; receipts, invoices, residual items that have not been consumed, and so on.

 

The dispute settlement officer from the local trade office will then fill out a Consumer Complaint Settlement Matrix (Attachment II), used as the basis for mediation, containing a chronology of incidents, complaints, consumer demands, and referents to consumer protection regulations, principally Law No. 8 of 1999 on Consumer Protection.

 

The dispute settlement office must provide a mediation date and, within 7 days of the complaint being received, notify the consumer and the business subject to complaint that their presences are required.

 

During the mediation itself, the mediator will hear both parties, and assist the consumer and business to find a resolution of mutual agreement. Minutes will be kept throughout the proceedings.

 

If agreement is reached, the recorded minutes, along with the results of the settlement, will be drafted into a form (Attachment III) to be signed by the consumer, mediator, and ‘second party’ (i.e., business).

 

If the businesses are not satisfied by the consumer complaint, they are given 5 days to compose a formal rebuttal to a consumer complaint and related compensation requests. The mediator in this case will then set up a time for a further mediation process.

 

In the event a satisfactory agreement cannot be reached, the issue will be forwarded on to the local District Court.

 

At no point will any party be charged with fees for the mediation service.

 

The Circular Letter was issued on 15 February 2010.

 

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Although in many cases consumer disputes can be managed by a region’s Consumer Dispute Settlement Body (‘BPSK’), in the event that there is not yet a BPSK office in a city or regency, an alternative avenue to the local District Court is provided for by Directorate General of Domestic Trade Circular Letter No. 40/PDN/SE/02/2010 on Consumer Handling and Settlement of Disputes.

 

In the event that there is no BPSK office in the area, a disgruntled consumer may lodge a complaint with the local trade office (Dinas yang membidangi perdagangan) using a Consumer Complaint Form (Attachment I), submitted with any supporting evidence; receipts, invoices, residual items that have not been consumed, and so on.

 

The dispute settlement officer from the local trade office will then fill out a Consumer Complaint Settlement Matrix (Attachment II), used as the basis for mediation, containing a chronology of incidents, complaints, consumer demands, and referents to consumer protection regulations, principally Law No. 8 of 1999 on Consumer Protection.

 

The dispute settlement office must provide a mediation date and, within 7 days of the complaint being received, notify the consumer and the business subject to complaint that their presences are required.

 

During the mediation itself, the mediator will hear both parties, and assist the consumer and business to find a resolution of mutual agreement. Minutes will be kept throughout the proceedings.

 

If agreement is reached, the recorded minutes, along with the results of the settlement, will be drafted into a form (Attachment III) to be signed by the consumer, mediator, and ‘second party’ (i.e., business).

 

If the businesses are not satisfied by the consumer complaint, they are given 5 days to compose a formal rebuttal to a consumer complaint and related compensation requests. The mediator in this case will then set up a time for a further mediation process.

 

In the event a satisfactory agreement cannot be reached, the issue will be forwarded on to the local District Court.

 

At no point will any party be charged with fees for the mediation service.

 

The Circular Letter was issued on 15 February 2010.

 

......

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