Government Mandates Some Electronic Contracts to be Written in Bahasa Indonesia

Rimba Supriyatna, M Yasin, Mahinda Arkyasa

The use of Bahasa Indonesia in electronic contracts has been mandated by the recent issuance of Government Regulation No. 82 of 2012 on Implementation of Electronic Systems and Transaction (PP 82/2012).

Article 1 (15) of PP 82/2012 defines electronic contracts as made by parties using an electronic system, while Article 48 (1) states that electronic contracts and other contracts intended for Indonesian citizens must be made in Indonesian.

Sudaryatmo, Chairman of Indonesian Consumers Association (YLKI), argued in an interview (30/12) that PP 82/2012 should provide a distinction between national electronic contracts and international electronic contracts.

He explained that while PP 82/2012 may be implemented for domestic electronic contracts, there may be issues about international electronic contracts because there is no universal regulation that mandates the use of Bahasa Indonesia for international electronic contracts.

David ML Tobing, a lawyer Hukumonline interviewed about the issue (2/1), pointed out that although Bahasa Indonesia contracts may not be a problem domestically,  it may create issues for international businesses and consumers, who often trade goods or services online.  

David explained that usually, online businesses include a statement of compliance in their electronic contracts stating that the consumer must comply with the business’ country of origin law and languages regardless of the nationality of the consumer.

He also highlighted the phrase ‘intended for Indonesian citizen’ stated in Article 48 (1) of PP 82/2012. The phrase, according to David, must be clarified because usually, an online electronic contract should be valid for all people, or if it a contract is specifically categorized, it is usually not by nationality.

Gatot Dewa S Broto, a Director at the Ministry of Communication and Information, confirmed with Hukumonline via telephone on Sunday (30/12) that “the use of Bahasa Indonesia in an electronic contract will be elaborated in a Minister Regulation.”

He explained that Article 48 (1) was based on an assumption that an electronic transaction is made between an Indonesian business and Indonesian consumers, and intends to protect consumers from being tricked by Indonesian electronic transaction organizers that often use foreign languages to obfuscate information.

The Ministry of Communication and Information spokesman confirmed that the Government has no intention of limiting electronic transactions between Indonesian and foreign parties.

(eli)

Rimba Supriyatna, M Yasin, Mahinda Arkyasa

The use of Bahasa Indonesia in electronic contracts has been mandated by the recent issuance of Government Regulation No. 82 of 2012 on Implementation of Electronic Systems and Transaction (PP 82/2012).

Article 1 (15) of PP 82/2012 defines electronic contracts as made by parties using an electronic system, while Article 48 (1) states that electronic contracts and other contracts intended for Indonesian citizens must be made in Indonesian.

Sudaryatmo, Chairman of Indonesian Consumers Association (YLKI), argued in an interview (30/12) that PP 82/2012 should provide a distinction between national electronic contracts and international electronic contracts.

He explained that while PP 82/2012 may be implemented for domestic electronic contracts, there may be issues about international electronic contracts because there is no universal regulation that mandates the use of Bahasa Indonesia for international electronic contracts.

David ML Tobing, a lawyer Hukumonline interviewed about the issue (2/1), pointed out that although Bahasa Indonesia contracts may not be a problem domestically,  it may create issues for international businesses and consumers, who often trade goods or services online.  

David explained that usually, online businesses include a statement of compliance in their electronic contracts stating that the consumer must comply with the business’ country of origin law and languages regardless of the nationality of the consumer.

He also highlighted the phrase ‘intended for Indonesian citizen’ stated in Article 48 (1) of PP 82/2012. The phrase, according to David, must be clarified because usually, an online electronic contract should be valid for all people, or if it a contract is specifically categorized, it is usually not by nationality.

Gatot Dewa S Broto, a Director at the Ministry of Communication and Information, confirmed with Hukumonline via telephone on Sunday (30/12) that “the use of Bahasa Indonesia in an electronic contract will be elaborated in a Minister Regulation.”

He explained that Article 48 (1) was based on an assumption that an electronic transaction is made between an Indonesian business and Indonesian consumers, and intends to protect consumers from being tricked by Indonesian electronic transaction organizers that often use foreign languages to obfuscate information.

The Ministry of Communication and Information spokesman confirmed that the Government has no intention of limiting electronic transactions between Indonesian and foreign parties.

(eli)

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