<![CDATA[ABSTRACT In terms of Indonesian (National) law, the existence of National Sharia Arbitration Board (BASYARNAS) as an Islamic arbitration institution has a very strong legitimacy because the current positive law enables an institution outside the judiciary to become a referee / judge in dispute settlement the parties. This can be seen in Law No. 4 of 2004 Article 3 paragraph 1 on the principal of judicial power and Law No. 30.In 1999 on Arbitration and Alternative dispute resolution of the parties. Indonesian National Arbitrage Agency. Both have the same authority to settle civil disputes by way of peace, but BASYARNAS in exercising its authority is guided by Al Quran and Al Hadist.BASYARNAS has the authority to resolve the business dispute of the parties in accordance with the BASYARNAS procedure rules in the case of handling disputes arising in the trade, industrial, financial, service, etc where the parties agree to submit the settlement to BASYARNAS. But BASYARNAS is not authorized to resolve disputes such as inheritance, grants, divorces etc. in that it is the authority of the Religious Courts.]]>
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