Mediation in the Settlement of Business Disputes in Indonesia

Abstract

The history mankind shows always be conflict of interest between one human to another, as indeed is the reason d’etre law conflict of human interest. This implies that the law is there to eliminate or at least to minimize conflicts or disputes occur in the community, so as to create order and peace. Problems : What is the essence of mediation in the settlement of business disputes in Indonesia; and How the legal consequences of mediation in the settlement of business disputes in Indonesia.This research is a normative law, meaning that the assessment is based on the theories, principles, norms, and regulations and then analyzed by qualitative descriptive. Mediation is the settlement of disputes are conducted either by a third party, outside the judicial system and in the judicial system. The legal consequences of mediation in business disputes in Indonesia can be considered through the contents of the agreement made by the parties to the dispute, referring to the provisions of Article 1320 and Article 1338 of the Civil Law Act.The essence of mediation in the settlement of business disputes in Indonesia, wwhich meets the wishes of the parties to the dispute or the achievement of a peace and no one feels humiliated let alone defeated. Both parties feel that the essence of mediation is respected in accordance with the principle of deliberation which is the law of Indonesia’s ideals towards social harmonization. The legal consequences of mediation in business disputes in Indonesia, may occur cancellation of the agreement or the agreement null and void.

Keywords: Mediation; Business disputes; Indonesia.