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Leks&Co Successfully Defends its Client on a State Administrative Claim

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Leks&Co Successfully Defends its Client on a State Administrative Claim

Jakarta, 2016. Our firm has successfully defended our client, PT Lubuk Sumber Jaya, owner of major shopping center in Batam, over a state administrative claim that is heavily related to the sale and purchase of shares that is objected by the seller’s spousal.

The main claim by the Claimant in this case, is a demand that several of state administrative (TUN) decisions (KTUN) issued by the Defendant i.e., Minister of Law and Human Rights, to be declared as void and obligated the Defendant to revoke those decisions. In this case, our firm represented the client as intervention defendant since those disputed state administrative claims are related to the change of shareholders in the company and should be declared as legally valid.

The panel of the judges decides that the claim is not within the jurisdiction of State Administrative Court and therefore, declared that the claim is inadmissible. The panel of judges considers, “…since what is disputed by the Claimant is related to the sale and purchase of shares…then even though the object of dispute is the TUN decision, but what is disputed by the Claimant is not related to the public law…then…the State Administrative Court is not authorized to examine and try it…” The firm submitted an absolute exception stating that the claim is not within TUN court’s jurisdiction of which exception is supported by the court. Moreover, the judges also consider that a decision that is only intended as information on the admission and record over a letter in a system that does not create any legal effect does not fulfil elements of KTUN. The decision was awarded on 1 August 2016 by the State Administrative Court of Jakarta. Responding to the court’s decision, Ivor Pasaribu says, “From this decision, one can learn that not any letter/decision issued by the government official will be considered as KTUN, as has been stipulated under the regulations. Another interesting view is also made by the expert witness in this case, where the expert explained that a transfer of movable goods (i.e., shares) does not need a spousal consent.”a view by expert witness in this case saying that a spousal consent is not needed for”

Leks&Co is recommended on commercial dispute resolution and real estate by Legal500, asialaw Profiles, and Benchmark Litigation. One Client said about the firm, “Attentiveness to client’s need and able to understand client’s perspective.”

If you have any queries, you may contact us through query@lekslawyer.com, visit our website www.lekslawyer.com or visit our real estate law blogs i.e., www.hukumproperti.com and www.indonesiarealestatelaw.com