I Gde Sandy Satria
Universitas 17 Agustus 1945 Surabaya

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Analysis of Legal Protection for Public Shareholders in Public Limited Companies (PT Tbk) Through the Principle of Majority Rule, Minority Protection Andria Marchelia; Muhammad Ridha Febriyani; I Gde Sandy Satria
Ipso Jure Vol. 3 No. 5 (2026): Ipso - June
Publisher : PT. Anagata Sembagi Education

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.62872/saf5d372

Abstract

A Public Limited Liability Company (PT Tbk), as a legal entity whose shares are widely owned by the public, presents a fundamental challenge in corporate governance: how to balance the authority of the majority with the protection of minority shareholders. The principles of majority rule and minority protection serve as the normative foundation that supports this balance within the Indonesian corporate legal framework. This study comprehensively examines how these principles are implemented in the provisions of Law Number 40 of 2007 concerning Limited Liability Companies (UUPT) and relevant Financial Services Authority (OJK) regulations. The research method used is a normative juridical approach with a statutory approach and a conceptual approach. The results show that although the regulatory framework is quite comprehensive in regulating protection mechanisms, there are a number of normative gaps and practical challenges in its enforcement, particularly regarding transparency, information disclosure, and access to justice for public shareholders. This study recommends strengthening enforcement mechanisms and special regulations against oppressive actions by controlling shareholders
Party Supremacy in Indonesian Democracy: A Critical Analysis of Unlimited Tenure and Recall Power Demas Brian Wicaksono; Sultoni Fikri; I Gde Sandy Satria; Muhammad Mutawalli Mukhlis; Paul Atagamen Aidonojie
Pamulang Law Review Vol. 9 No. 1 (2026)
Publisher : Prodi Hukum S1 - Fakultas Hukum - Universitas Pamulang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32493/palrev.v9i1.60019

Abstract

This study is grounded in the background of the practice of party-led recall and the dominance of political parties in determining the political direction of the state, both of which give rise to contradictions with the principles of constitutionalism and the rule of law. Within the context of Indonesia’s open-list proportional electoral system, the recall mechanism and the absence of term limits for political party leadership constitute anomalies that undermine the principles of popular sovereignty and political accountability. This condition generates a constitutional paradox: political parties are recognized as the principal actors in the formation of public power pursuant to Article 6A paragraph (2) and Article 22E paragraph (3) of the UUD NRI 1945, yet they are not subjected to the same standards of public accountability imposed upon state institutions. The objective of this research is to analyze how the practice of recall and the authoritarian concentration of power within political parties may give rise to constitutional dysfunction and weaken the principles of democratic representation. This study employs a normative-juridical method and a comparative approach by examining Constitutional Court decisions as well as constitutional practices in several democratic states, including Germany and the Netherlands. The findings of this research demonstrate that political parties in Indonesia function not merely as electoral gatekeepers, but also as parliamentary executioners capable of removing duly elected legislators without public involvement. Such a condition produces the subordination of parliament to party elites and distorts the principle of political accountability, which in a democratic system ought to operate vertically between representatives and their constituents. Furthermore, the absence of mechanisms limiting the power of party leaders, coupled with the lack of obligations concerning internal transparency, reinforces the dominance of political parties as private entities exercising substantial public influence. Accordingly, the Constitutional Court should develop and adopt the public function doctrine in order to construe political parties as quasi-state actors subject to the principles of constitutional accountability and constitutional supremacy.