INDONESIA Law and Practice Contributed by: Emir Nurmansyah, Theodoor Bakker, Ulyarta Naibaho and Adithya Lesmana, ABNR Counsellors at Law
to join the arbitration. An exception would be where the rights under an agreement have been assigned to a third party. If that agreement contained an arbitra - tion clause, that third party would, as an assignee, be bound to the arbitration clause.
of emergency arbitrators, the court should recognise the validity of an arbitral award rendered by an emer- gency arbitrator. In light of Articles 3 and 11 of the Arbitration Law, both of which stipulate that the national courts must refrain from examining disputes the parties have agreed to refer to arbitration, the national court should not be able to intervene once an emergency arbitrator has been appointed in accordance with the applicable institutional or ad hoc arbitration rules. 6.3 Security for Costs Under the Arbitration Law, there are no specific provi - sions on security for costs. In principle, the parties to a dispute could contractually agree to grant authority to the arbitrators to resolve this matter. 7. Procedure 7.1 Governing Rules The parties to a dispute that has been submitted to arbitration have the following options: • to draw up their own procedural rules or adopt the UNCITRAL rules or other rules for ad hoc arbitra - tion; • to use the rules of a national or international arbi- tration institution; or • to use the default rules contained in the Arbitration Law, which will in any event apply if neither of the preceding options has been chosen. 7.2 Procedural Steps Pursuant to the Arbitration Law, the following default procedural steps are prescribed. When a dispute arises, the respondent must be noti - fied in writing via mail, telex, facsimile or email. The notification must include: • the names and addresses of the disputing parties; • evidence of the agreed arbitration clause; • the disputed issues; • the basis for a claim and the claim amount; • the agreed dispute settlement procedure; and • the agreed or chosen number of arbitrators.
6. Preliminary and Interim Relief 6.1 Types of Relief
The Arbitration Law recognises that the availability of interim relief pending a final award is an important fea - ture of arbitration, including orders to prohibit actions that could cause imminent harm or to preserve assets to satisfy an award. Pursuant to Article 32 of the Arbi - tration Law, an arbitral tribunal is permitted to award preliminary or interim relief. Types of relief that can be awarded include: • a security attachment; • a deposit of goods with third parties; and • the sale of perishable goods. Similar relief is often provided for in varying levels of detail in the rules of arbitration institutions. 6.2 Role of Courts The courts do not play a role in ordering preliminary or interim relief in arbitration proceedings. Arbitral tri - bunals do not have the authority to grant or lift attach - ments in the same manner and with the same binding force as the Indonesian courts. Although an arbitral tribunal is granted the power to render relief within the parameters of an arbitral procedure, in practice complications arise when the claimant party attempts to enforce the relief granted by the arbitral tribunal. Indonesian law does not reg - ulate court implementation of preliminary or interim relief awarded in arbitration proceedings. It gener - ally adopts the position that only a final and binding decision awarded in arbitration proceedings can be enforced. The Arbitration Law does not contain any reference to the use of emergency arbitrators. However, if the parties have agreed on specific rules for the arbitra - tion – either institutional or ad hoc – that allow the use
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