Susilo Wardani
Faculty of Law, University of Muhammadiyah Purwokerto, Indonesia

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Dynamics of Developers' Legal Liability for Breach of Contract Regarding Subsidized Housing Facilities: An Empirical Study in Purbalingga Regency Sabryan Likhan Nugraha; Marsitiningsih; Susilo Wardani; Astika Nurul Hidayah
Lex Journal: Kajian Hukum & Keadilan Vol 10 No 3 (2026): September
Publisher : Faculty of Law, University of Dr. Soetomo

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.25139/lex.v10i3.12503

Abstract

Housing is a basic necessity for the public, and its implementation within subsidized housing programs involves developers who are responsible for providing houses along with their supporting facilities. In practice, various issues persist, including delays in construction and home handover, non-compliance with building specifications, and the unavailability of public infrastructure, facilities, and utilities, all of which result in financial and non-financial losses for consumers. This study aims to analyze developers' legal liability for breach of contract regarding subsidized housing facilities in Purbalingga Regency, as well as the underlying factors contributing to such breaches. Using an empirical legal research method with a qualitative approach, this study relies on literature reviews and field research supported by interviews with relevant stakeholders, with data analyzed descriptively. The findings indicate that developers' legal liability is fulfilled through executing unfulfilled obligations, repairing structural damages, delivering required housing facilities, and providing compensation to consumers. Meanwhile, dispute resolution is generally pursued through formal legal notices (somasi), deliberation, mediation, and complaints to the local government. Breaches of contract are driven by internal factors, such as poor financial management and weak development planning, alongside external factors, including delays in mortgage (KPR) disbursements, land administration bottlenecks, limited governmental oversight, and consumers' low understanding of legal agreements. Therefore, strengthening regulatory supervision, refining the substance of the Preliminary Sale and Purchase Agreement (PPJB), and enhancing consumer legal literacy are essential to ensuring legal certainty and consumer protection in the provision of subsidized housing.