Children involved in legal issues require a resolution process that prioritizes their protection and best interests. In this context, restorative justice implemented through a diversion mechanism serves as an approach to prevent children from becoming entangled in the formal criminal justice system, focusing instead on restoration. This study aims to analyze the application of restorative justice in resolving criminal cases involving children, in accordance with Law Number 11 of 2012 concerning the Juvenile Criminal Justice System. Furthermore, it seeks to identify the various factors that hinder its implementation. The research employs both statutory and conceptual approaches to examine the juvenile criminal justice system and the concept of restorative justice. The study was conducted over a six-month period, utilizing data collected through a literature review. Its scope encompasses the treatment of children in conflict with the law and the regulations governing restorative justice in Indonesia. The primary data is derived from library research, and qualitative analysis is used to understand the application of restorative justice in resolving cases involving children. The findings indicate that restorative justice is applied through diversion at the investigation, prosecution, and trial stages, involving the child, the victim, their families, and other relevant parties. However, its implementation continues to face obstacles, including limited understanding among law enforcement officials, a lack of consent from victims, resource constraints, challenges in inter-agency coordination, and social stigma. Consequently, there is a need to enhance the capacity of law enforcement officials, strengthen coordination, provide support to the involved parties, and promote public education to optimize the application of restorative justice.