INDONESIA Law and Practice Contributed by: Nico Angelo Putra Mooduto, Mahareksha Singh Dillon, Talitha Amanda Ekadhani and Bagas Ananta, SSEK Law Firm
The defendant has the right to file an objection ( verzet ) to the default judgment within 14 days of receiving notice. By submitting a verzet , the defendant can reo- pen the case and present their defence, resulting in a full examination of the merits. Once a verzet is filed, the previous default judgment is suspended pending retrial, and the case proceeds as if the defendant had initially appeared. 3.7 Representative or Collective Actions Class action claims are permitted in Indonesia. A class action is defined as a legal procedure in which one or more individuals represent a group in a lawsuit, either on their own behalf or on behalf of others with similar legal or factual issues. To qualify for a class action, there must be common legal or factual issues among the claims of the class members, which should predominate over individual issues. The class must be large enough to make indi- vidual lawsuits impractical, emphasising practicality and efficiency. The claims or defences of the repre- sentative parties must be typical of those of the class, and their interests should align with those of the class members. Additionally, the representative parties must adequately protect the interests of the class, ensuring competency and avoiding conflicts of interest. If the court determines that a class action may pro- ceed, notice must be given to all potential class mem- bers, detailing the lawsuit, the class, and the right to opt out. Those who opt out retain the right to pursue individual lawsuits. If the case is not settled, it proceeds to trial, and the court’s judgment binds all class members, except those who opted out. Any proposed settlement must be approved by the court to ensure it is fair, reason- able, and adequate for the class members. The con- siderations of the judges for class action lawsuits are no different from those for lawsuits filed by individuals or legal entities. 3.8 Requirements for Cost Estimate There is no specific statutory obligation under civil procedure law that mandates lawyers to provide cli- ents with a cost estimate of potential litigation at the outset. However, ethical standards and guidelines set
by the Indonesian Bar Association require advocates to act transparently and in the best interest of their clients. This includes discussing and clarifying the expected legal fees and costs involved in a case.
4. Pre-Trial Proceedings 4.1 Interim Applications/Motions
Interim applications or motions are permissible in civil proceedings in Indonesia. Interim motions are gener- ally filed at an early stage to address urgent matters or issues that could impact the case’s progress or the parties’ rights before the final judgment. It can also be made during the proceedings if new circumstances arise that require the court’s intervention. Parties may apply for interim measures such as to prevent an act that could harm the applicant’s inter- ests, to secure assets to satisfy a potential judgment, or for specific relief pending the outcome of the case. In practice, the success rate for interim applications is low. 4.2 Early Judgment Applications A party may request a decision on preliminary legal issues that could expedite the resolution of the case. For example, a defendant may file an objection/ exception ( eksepsi ) challenging the court’s jurisdic- tion to adjudicate the dispute. If the court upholds the objection, it may issue a ruling on the matter without proceeding to a substantive hearing. A ruling on an objection regarding the court’s competence is deemed a final decision. In addition to the jurisdictional exception, a defendant may also seek to have the plaintiff’s case dismissed without the panel of judges examining the merits. This can be done by filing exceptions on the basis that the lawsuit has been filed against the wrong party or because of non-compliance with procedural rules. However, unlike jurisdictional exceptions, rulings on these procedural objections are typically issued at the conclusion of the trial, similar to cases where the sub- stantive issues have been fully examined.
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