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Narrating The Effective Law for Foreign Direct Investment Meliala, Aurora Jillena; Prakasa, Adinda Putri; Woods, Jonathan Andre
Indonesian Journal of International Law
Publisher : UI Scholars Hub

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Abstract

Amidst the inflation phenomenon, the government approach to raising interest rates, and the threat of global recession, Foreign Direct Investment plays a pivotal role in boosting targeted economies. However, investors impugn the investment regulations’ efficacy and alternative dispute resolutions. Specifically, in the case of International State Dispute Settlement, to be claimed as an essential process in the investment regime, it has to guarantee the rights of private parties to sue a sovereign nation under the protection of public international law – usually manifested on BIT clauses. However, this study showed. BITs do not serve to attract additional FDI. While BITs indicate the certainty of law, they have not been acknowledged to signal a safe investment climate. Potential investors seem to have little awareness or appreciation of specific BITs. In this study, we conduct empirical legal research —underlying Economic Analysis of Law and Comparative Study. The data were collected by interviewing Executive Directors and surveying investor members from various chambers of commerce in Indonesia. The ultimate aim of the approach is to contribute to a systematic understanding of shaping, strengthening, and narrating the effective law as the determinant of foreign direct investment based on empirical data and direct inquiries from investors. In this article, we give an overview of the concept of FDI and trace the original rules and core principles governing FDI, followed by outlines of the current framework for foreign investment. We then discuss varying degrees expected by investors with different characteristics, such as nationality, in discussing the effectiveness of the law.
Urgensi Harmonisasi Kepailitan Lintas Batas Terhadap Kewenangan Kurator dalam Eksekusi Aset Debitor (Studi Implementasi Uncitral Model Law di Korea Selatan Zahra, Fatimah Az; Meliala, Aurora Jillena
Jurnal Locus Penelitian dan Pengabdian Vol. 4 No. 12 (2025): JURNAL LOCUS: Penelitian dan Pengabdian
Publisher : Riviera Publishing

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58344/locus.v4i12.5321

Abstract

The development of global trade has led to the emergence of cross-border insolvency, where the debtor’s assets are scattered in several countries and create legal challenges for curators in executing bankruptcy estates. Indonesia, which still adheres to the territoriality principle under Law Number 37 of 2004, faces significant barriers in recognizing and enforcing foreign bankruptcy decisions, resulting in ineffective cross-jurisdictional asset resolution and losses for creditors. This research employs a normative juridical method and a comparative approach by examining the implementation of the UNCITRAL Model Law on Cross-Border Insolvency in South Korea. The findings show that legal harmonization through the adoption of the Model Law can strengthen the curator’s authority in executing assets across jurisdictions, as well as enhance legal certainty and creditor protection. It is recommended that Indonesia undertake bankruptcy law reform by adopting the principles of the UNCITRAL Model Law as an effort to modernize its national insolvency regime in response to global trade dynamics.
Legal Protection for MSMEs as Borrowers in Peer-to-Peer Fintech Lending under on OJK Regulation Number 77/POJK.01/2016 Christmas Petra Keppy; Aurora Jillena Meliala
Jurnal Ilmiah Dunia Hukum VOLUME 10 ISSUE 1 OCTOBER 2025
Publisher : PDIH Untag Semarang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.56444/jidh.v10i1.6778

Abstract

The development of fintech Peer-To-Peer (P2P) lending services in Indonesia has opened up faster, more flexible, and affordable access to financing for Micro, Small, And Medium Enterprises (MSMEs), but has also given rise to problems of high interest rates, over-indebtedness, and imbalances in borrower bargaining power compared to providers. This study examines the form of legal protection for MSMEs as borrowers in fintech P2P lending services based on POJK Number 77/POJK.01/2016 and the development of interest limit regulations through the AFPI code of ethics, SEOJK Number 19/SEOJK.06/2023, and POJK Number 4/2024. The method used is normative legal research with a normative juridical approach, based on analysis of laws and regulations, literature, and secondary data related to P2P lending practices. The results show that POJK 77/2016 initially only provided preventive and repressive protection based on transparency and complaint mechanisms without explicit interest limits, so it is insufficient to suppress excessive interest practices and total costs. The shift to price-based regulation through formal interest caps strengthens legal protection for MSMEs by limiting the maximum daily economic benefit and total costs, reducing the risk of predatory practices and over-leverage, while maintaining P2P lending’s role as an alternative source of financing for MSMEs.
Regulatory Vacuum in Indonesian Law on AI Model Training: Legal Responsibility for Copyright Infringement in Kadrey Vs. Meta Rheyna Reva Rachman; Aurora Jillena Meliala
Jurnal Ilmiah Dunia Hukum VOLUME 10 ISSUE 1 OCTOBER 2025
Publisher : PDIH Untag Semarang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.56444/jidh.v10i1.6724

Abstract

The development of artificial intelligence (AI), particularly big data-based generative models, has created new challenges in copyright protection. This research examines the regulatory gap in Indonesian law regarding the use of copyrighted works as training data in AI model training, focusing on normative analysis and a case study of Kadrey Vs. Meta Platforms Inc. The research method used in this article is normative law, conducted by examining the legal norms contained in laws and regulations. The results of this study demonstrate that the widespread use of unauthorized creative works has the potential to violate the economic and moral rights of creators, while also opening up debate regarding the application of the principle of fair use in the context of modern AI. In Indonesia, the unclear definition of creator, the status of AI-generated works, and the lack of regulations regarding dataset transparency and permission mechanisms exacerbate the existing legal vacuum. This research concludes that Indonesia needs comprehensive legal reform to regulate the use of copyrighted works in AI training. Thus, regulatory updates are urgently needed to ensure that technological advancements do not diminish legal protection for creators and the national intellectual property ecosystem.
A Comparative Study of Digital Crypto Investor Protection Between Indonesian Law and Japanese Law Alfarel Endito Putra; Aurora Jillena Meliala
Jurnal Ilmiah Dunia Hukum VOLUME 10 ISSUE 1 OCTOBER 2025
Publisher : PDIH Untag Semarang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.56444/jidh.v10i1.6731

Abstract

The development of blockchain-based financial technology has created a trading tool known as crypto assets. The rapid growth of crypto assets in Indonesia and Japan offers financial innovation but also presents high risks, including speculation, fraud, and inadequate investor protection. This study aims to analyze and compare the forms of legal protection for crypto asset investors in Indonesia and Japan, as well as assess the role of the government and exchange companies in ensuring the security and public trust in digital assets. This study uses a normative juridical method with a comparative approach, through an analysis of laws and regulations, government policies, and case studies of Indodax (Indonesia) and Coinchek (Japan). The results of this study indicate that the Indonesian legal system, currently regulated by Commodity Futures Trading Regulatory Agency (Bappebti ) still treats crypto as a trading commodity, resulting in more administrative liability and not yet fully protecting investors. In contrast, Japan, through its Financial Services Agency (FSA), has designated crypto as a legal means of payment with a stronger protection system. This research confirms that the role of government and exchanges is the most important factor in achieving effective legal protection in the crypto asset sector.
Service Arrangements Colocation Data Center in Indonesia Fira Nurul Jannati; Atik Winanti; Aurora Jillena Meliala
International Journal of Society and Law Vol. 2 No. 2 (2024): August 2024
Publisher : Yayasan Multidimensi Kreatif

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61306/ijsl.v2i2.172

Abstract

This research aims to identify, know, and understand arrangements related to agreements Colocation Data Center between Service Provider Companies and Service Users and arrangements related to service services Colocation Data Center in Indonesia. This research uses a normative method with a conceptual approach and a comparative approach sourced from statutory regulations, expert thoughts, and other library materials, supported by interviews, and processed using qualitative data analysis techniques. So we can conclude that the arrangement is related to an agreement Colocation Data Center engender to a new type of agreement because there is a mixture of 2 (two) rental agreements and goods custody agreements which are not recognized in the Civil Code and have not yet been regulated related to services Colocation Data Center in Indonesia. Related to obligations for personal data protection, the position of Service Provider Company is not as a Personal Data Processor due to the hardware on which the data is processed, namely the server not owned by him as reviewed from Law Number 27 of 2022 concerning Protection of Personal Data as well as references for comparative regulations from GDPR and The Digital Personal Data Protection Act. 2023 (No. 22 of 2023).
Assessment of the Business Prospects of Bankrupt Debtors in the Implementation of the Going Concern Principle: A Legal Review Under Indonesia’s Bankruptcy Regime Albert Hasea Samuel Sihombing; Aurora Jillena Meliala
Eduvest - Journal of Universal Studies Vol. 6 No. 1 (2026): Eduvest - Journal of Universal Studies
Publisher : Green Publisher Indonesia

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.59188/eduvest.v6i1.52620

Abstract

This research examines the assessment of business prospects of bankrupt debtors in implementing the going concern principle under Indonesian Law No. 37 of 2004 on Bankruptcy and Suspension of Debt Payments (KPKPU). A significant gap exists between the normative objectives of going concern and its practical application in Indonesia's commercial court system. Indonesian bankruptcy regulations lack detailed technical mechanisms for prospectivity assessment, leading to ad hoc and subjective decision-making. Despite recognizing going concern as fundamental, success rates reach only 30-40% of filed cases, signaling systematic failures. This study uses a juridical-empirical approach with prescriptive-analytical methods, blending normative legal analysis and empirical data from curators, supervisory judges, and creditors. Comparative analysis with bankruptcy regimes in the United States, United Kingdom, Germany, and France identifies five key parameters: (1) liquidity and cash flow adequacy, (2) asset quality and marketability, (3) revenue generation capacity and market positioning, (4) management capability and turnaround experience, and (5) independent auditor opinion on going concern status. The research recommends a hybrid model integrating England's Company Voluntary Arrangement (CVA) (flexible, cost-effective), France's short observation periods (4-6 months with automatic stay), and simple litmus test-based assessment suited to Indonesian court capacity and MSME-dominated economy. This addresses unique challenges while ensuring creditor protection and efficiency. The framework boosts business rescue effectiveness and supports evidence-based bankruptcy reforms, especially amid Law 37/2004 revisions in the 2026 National Legislative Program (Prolegnas).