The First International Conference On Islamic Development Studies 2019, ICIDS 2019, 10 September 2019, Bandar Lampung, Indonesia

Research Article

Facing Cross Border: The Protection for Undertakings and Social Welfare in Indonesia

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  • @INPROCEEDINGS{10.4108/eai.10-9-2019.2289430,
        author={Ria  Setyawati and Irena Sasty Audila},
        title={Facing Cross Border: The Protection for Undertakings and Social Welfare in Indonesia},
        proceedings={The First International Conference On Islamic Development Studies 2019, ICIDS 2019, 10 September 2019, Bandar Lampung, Indonesia},
        publisher={EAI},
        proceedings_a={ICIDS},
        year={2019},
        month={11},
        keywords={cartel regulation commission of supervision on business competition cross-border regulation},
        doi={10.4108/eai.10-9-2019.2289430}
    }
    
  • Ria Setyawati
    Irena Sasty Audila
    Year: 2019
    Facing Cross Border: The Protection for Undertakings and Social Welfare in Indonesia
    ICIDS
    EAI
    DOI: 10.4108/eai.10-9-2019.2289430
Ria Setyawati1,*, Irena Sasty Audila1
  • 1: Universitas Airlangga, l. Airlangga No.4 - 6, Airlangga, Gubeng, Kota Surabaya, JawaTimur 60115, Indonesia
*Contact email: setyawati.ria@gmail.com

Abstract

Law Number 5 of 1999 on Prohibition of Monopolistic Practices and Unfair Competition (hereafter referred to as Law No. 5/1999), has governed the exhausted list of concerted practices which also known as the list of prohibited agreement on competition law. One form of the prohibited agreement is the so-called cartel. Cartel is regulated under Article 11 of Law No. 5/1999. The Commission of Supervision on Business Competition (KPPU in Indonesia) has handled the cartel case since the Commission was established in 1999. From several cartel cases, none of the cases have been linked to the cross-border cartel. The cross-border cartel is a real threat that KPPU must face for the welfare of domestic undertakings. Legal protection against cross-border cartel behavior is needed, not only for undertakings in a relevant market but also for social welfare. For national cartels, there are many obstacles that KPPU has to handle. Searching some adequate evidence for cartel agreements is one of the significant obstacles that KPPU has to solve. For cross-border cartel activity, the obstacles are more complex. Before KPPU facing any case of the cross-border cartel, it is essential to give an analysis about how Article 11 of Law No. 5/1999 can approach cross-border cartel cases. The second legal issue is examining what kind of legal remedies can be taken in a cross-border cartel case.