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Indonesia Law System
   Introduction to Law – Part 3
      (The Courts and ADR)
Civil Court System

• As you will remember, civil law deals with
  the relationships between individuals
• The civil court system provides a place for
  individuals to settle their arguments
• You can think of it like a boxing match where
  the court is the boxing ring, the judge is the
  referee, and the individuals are the fighters

                                                   2
Civil Court System (cont.)

• The civil courts are arranged in a hierarchy
• Court cases begin in the lower courts
• If an individual loses, they can appeal to a
  higher court
• They hope that the higher court will change
  the decision of the lower court in their favour


                                                    3
Civil Court System (cont.)

• For example, a dispute over a contract would
  start in the City Court
• If the person who loses launches an appeal,
  the case would go to the High Court
• An appeal from the High Court would go to
  the Supreme Court



                                                 4
Appeal Process

    District Court
        (city)


     High Court
     (Province)


    Supreme Court




                     5
Civil Court System (cont.)

• The Supreme Court is the highest civil
  court & Criminal Court in Indonesia
• However, not every case goes to appeal
• Each time you appeal, you have to pay your
  lawyers
• It is free to go all the way to the Supreme
  Court. ( In Fact is very Expensive )
Terminology

Some common legal words and phrases used in
  English civil law
• civil proceedings: a court action in a civil
  matter such as contract
• claimant: the person who starts the civil
  proceedings in order to get some kind of
  remedy (eg money)
• defendant: the party whom the claimant
  seeks the remedy against
                                                 7
Terminology (cont.)

• to sue: to bring civil proceedings against
  someone (ie the defendant)
• The claimant sues the defendant to try to get
  a remedy (such as the payment of money)
• If the court agrees with the claimant’s
  argument the claimant will be successful and
  win his case
  – (the court finds in his favour)
                                                  8
Terminology (cont.)

• If the court thinks that the defendant has a
  better argument than the claimant then the
  defendant will win
   – (the court finds in favour of the defendant)
• Usually, the party who loses a civil court case
  has to pay their own legal costs and the legal
  costs of the winner

                                                    9
Terminology - Example

• Wang enters into a contract with Zhang
• They agree that Zhang will pay Wang £100
  for some S.H.E DVDs
• Wang delivers the DVDs to Zhang, but
  Zhang refuses to pay him £100
• Therefore, Wang sues Zhang for £100
• That is, Wang brings civil proceeding against
  Zhang to try to make him pay £100
                                                  10
Terminology – Example (cont.)

• Wang is the claimant
• Zhang is the defendant
• The court decides that Wang has a better
  argument than Zhang
• The court finds in favour of Wang
• Wang wins
• Zhang must pay Wang £100 plus Wang’s
  legal costs plus his own legal costs
                                             11
Alternative Dispute Resolution

• The civil court system is adversarial
• One person “fights” another
• Like in a boxing match, they are
  opponents
• There is a winner and a loser at the end
  of the case
• There is no attempt to reach a
  compromise
                                             12
Alternative Dispute Resolution
            (cont.)
• This may not be in the best interests of the
  claimant and the defendant – especially if
  they had a close relationship before the court
  action
• Because of this, there are some procedures
  which can be used instead of court action
• These are known as Alternative Dispute
  Resolution (ADR)
                                                   13
Forms of ADR

•   Arbitration
•   Administrative Tribunals
•   Ombudsman
•   Mediation and Conciliation




                                 14
Arbitration

• In this procedure, the two parties ask an
  independent third party (an arbitrator) to
  settle their argument instead of going to court
• This might be part of the contract or
  something which they agree to later
• The arbitrator is often an expert in a relevant
  area

                                                    15
Arbitration (cont.)

• In our earlier example, instead of a court
  action, Wang and Zhang could have asked
  Zhuge Liang to act as their arbitrator to settle
  the dispute over the £100 payment




                                                     16
Advantages of Arbitration

Compared to a court action, arbitration is:
• More private
  – courts are public places
  – court actions are often reported in the media
• More informal
• Usually faster
  – do not have to follow court procedures

                                                    17
Advantages of Arbitration (cont.)

• Less expensive
• Gives access to an expert
  – judges are not experts in every area of business
• Less antagonistic




                                                       18
Administrative Tribunals

• Administrative tribunals deal with arguments
  between individuals and government
  institutions
• They are created by legislation
• Examples
  – Employment Tribunals
  – Social Security Tribunals
  – Immigration Appeal Tribunal
                                                 19
Advantages of Tribunals

Compared to court action, tribunals are:
• Usually faster
• Less expensive
• More informal
• More flexible
  – not so many rules to follow
• Consist of experts in appropriate areas
• More private
                                            20
Disadvantages of Tribunals

• Appeals procedure not as good as the court
  system
• Some poor people are entitled to legal aid (ie
  financial support) in court actions but not in
  tribunals




                                                   21
Ombudsman
• An ombudsman (or woman) is an official who
  investigates complaints from individuals about
  government departments
• The person complains that the administration of
  the department is below acceptable standards
  (maladministration)




                                                22
Disadvantages of the
        Ombudsman System


• A person must first complain to their MP
  (Member of Parliament), who passes the
  complaint to the Ombudsman
• Ombudsman has a much narrow area to operate
  in than a court or tribunal

                                            23
Mediation and Conciliation

• These are the most informal of all ADR
  procedures
• In mediation, a third party (a mediator)
  helps the two people to communicate, but the
  mediator does not try to solve the dispute
• In conciliation, the third party may suggest
  ways of solving the argument

                                                 24

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Indonesia law system asdr 3 3 okay final

  • 1. Indonesia Law System Introduction to Law – Part 3 (The Courts and ADR)
  • 2. Civil Court System • As you will remember, civil law deals with the relationships between individuals • The civil court system provides a place for individuals to settle their arguments • You can think of it like a boxing match where the court is the boxing ring, the judge is the referee, and the individuals are the fighters 2
  • 3. Civil Court System (cont.) • The civil courts are arranged in a hierarchy • Court cases begin in the lower courts • If an individual loses, they can appeal to a higher court • They hope that the higher court will change the decision of the lower court in their favour 3
  • 4. Civil Court System (cont.) • For example, a dispute over a contract would start in the City Court • If the person who loses launches an appeal, the case would go to the High Court • An appeal from the High Court would go to the Supreme Court 4
  • 5. Appeal Process District Court (city) High Court (Province) Supreme Court 5
  • 6. Civil Court System (cont.) • The Supreme Court is the highest civil court & Criminal Court in Indonesia • However, not every case goes to appeal • Each time you appeal, you have to pay your lawyers • It is free to go all the way to the Supreme Court. ( In Fact is very Expensive )
  • 7. Terminology Some common legal words and phrases used in English civil law • civil proceedings: a court action in a civil matter such as contract • claimant: the person who starts the civil proceedings in order to get some kind of remedy (eg money) • defendant: the party whom the claimant seeks the remedy against 7
  • 8. Terminology (cont.) • to sue: to bring civil proceedings against someone (ie the defendant) • The claimant sues the defendant to try to get a remedy (such as the payment of money) • If the court agrees with the claimant’s argument the claimant will be successful and win his case – (the court finds in his favour) 8
  • 9. Terminology (cont.) • If the court thinks that the defendant has a better argument than the claimant then the defendant will win – (the court finds in favour of the defendant) • Usually, the party who loses a civil court case has to pay their own legal costs and the legal costs of the winner 9
  • 10. Terminology - Example • Wang enters into a contract with Zhang • They agree that Zhang will pay Wang £100 for some S.H.E DVDs • Wang delivers the DVDs to Zhang, but Zhang refuses to pay him £100 • Therefore, Wang sues Zhang for £100 • That is, Wang brings civil proceeding against Zhang to try to make him pay £100 10
  • 11. Terminology – Example (cont.) • Wang is the claimant • Zhang is the defendant • The court decides that Wang has a better argument than Zhang • The court finds in favour of Wang • Wang wins • Zhang must pay Wang £100 plus Wang’s legal costs plus his own legal costs 11
  • 12. Alternative Dispute Resolution • The civil court system is adversarial • One person “fights” another • Like in a boxing match, they are opponents • There is a winner and a loser at the end of the case • There is no attempt to reach a compromise 12
  • 13. Alternative Dispute Resolution (cont.) • This may not be in the best interests of the claimant and the defendant – especially if they had a close relationship before the court action • Because of this, there are some procedures which can be used instead of court action • These are known as Alternative Dispute Resolution (ADR) 13
  • 14. Forms of ADR • Arbitration • Administrative Tribunals • Ombudsman • Mediation and Conciliation 14
  • 15. Arbitration • In this procedure, the two parties ask an independent third party (an arbitrator) to settle their argument instead of going to court • This might be part of the contract or something which they agree to later • The arbitrator is often an expert in a relevant area 15
  • 16. Arbitration (cont.) • In our earlier example, instead of a court action, Wang and Zhang could have asked Zhuge Liang to act as their arbitrator to settle the dispute over the £100 payment 16
  • 17. Advantages of Arbitration Compared to a court action, arbitration is: • More private – courts are public places – court actions are often reported in the media • More informal • Usually faster – do not have to follow court procedures 17
  • 18. Advantages of Arbitration (cont.) • Less expensive • Gives access to an expert – judges are not experts in every area of business • Less antagonistic 18
  • 19. Administrative Tribunals • Administrative tribunals deal with arguments between individuals and government institutions • They are created by legislation • Examples – Employment Tribunals – Social Security Tribunals – Immigration Appeal Tribunal 19
  • 20. Advantages of Tribunals Compared to court action, tribunals are: • Usually faster • Less expensive • More informal • More flexible – not so many rules to follow • Consist of experts in appropriate areas • More private 20
  • 21. Disadvantages of Tribunals • Appeals procedure not as good as the court system • Some poor people are entitled to legal aid (ie financial support) in court actions but not in tribunals 21
  • 22. Ombudsman • An ombudsman (or woman) is an official who investigates complaints from individuals about government departments • The person complains that the administration of the department is below acceptable standards (maladministration) 22
  • 23. Disadvantages of the Ombudsman System • A person must first complain to their MP (Member of Parliament), who passes the complaint to the Ombudsman • Ombudsman has a much narrow area to operate in than a court or tribunal 23
  • 24. Mediation and Conciliation • These are the most informal of all ADR procedures • In mediation, a third party (a mediator) helps the two people to communicate, but the mediator does not try to solve the dispute • In conciliation, the third party may suggest ways of solving the argument 24