We are pleased to share the Fourth Quarter 2015 E-Newsletter with you. This newsletter covers our latest events, office activities and legal articles by our lawyers.

On 6-9 November 2015, our Principals, Mr Tony Budidjaja and Ms Juni Dani have attend Lawasia 28th Conference in Sydney, Australia. The theme of this conference is Cross-Border Law and Practice in The Asia Pacific Region encompasses discussion of developments in black letter law and of issues that arise in the intersects between the law, the legal profession and the wider community.

Both Tony Budidjaja and Juni Dani were speakers at this conference. Tony Budidjaja presented about The Internationalization of Legal Practice in Indonesia. In his presentation he discussed about how the increase in cross-border works poses several challenges to legal profession, court, regulator in Indonesia. He explain that there are still no clear rules for the regulation of foreign lawyers and foreign law practice in Indonesia. The only law in Indonesia that deals with foreign law practice is Article 23 of Advocate Act of 2003.

He also explain that The Advocates Law does not address issues of interest to foreign lawyers, such as cooperation between Indonesian law firms and foreign law firms or the hiring of local lawyers by foreign firms and It is also not clear which body has the legitimate right to regulate the establishment of foreign lawyers.

As conclution He said, there is an increasing domination of foreign-based law firms in Indonesia’s legal services market so the time has come for Indonesian lawyers to compete or cooperate with lawyers from other countries.

Meanwhile, Juni Dani has presented about Termination of Employment Issue in Indonesia.  She explained  general legal framework regarding termination of employment, its issues and the steps of how the termination of employment could be conducted under Law No 13 of 2003 (“Manpower Law”).

Specifically, she points out the grounds for termination in Indonesia’s Manpower Law and explains several interesting issues regarding this matter, among others:

1. Issue related to termination based on employee’s severe misconduct;
2. Issue related to termination based on violation of company’s regulation, employment agreement or collective bargaining agreement;
3. Issue related to termination based on employee’s voluntary resignation;
4. Issue related to termination based on company’s efficiency measures; and
5. Issue related to termination of foreign employee.

In conclusion, she argues that termination of employment in Indonesia can be time consuming and costly, and it is important to set up a tool to minimize exposure of employer’s liabilities by drafting and updating company regulations; and proposing pre-termination discussions.

We are pleased to share the Third Quarter 2015 Newsletter with you. This newsletter covers our latest events, office activities and legal articles by our lawyers.

On 15 July 2015, the Indonesian Capital Investment Coordination Board (Badan Koordinasi Penanaman Modal or “BKPM”) issued a circular letter on new mechanism and procedures for Principle License application, aimed particularly at businesses in consultation service sectors, as an effort to boost investors’ commitment and investment realization (formally, the Circular Letter No. 16 of 2015 concerning the New Mechanism and Procedures to Submit Foreign Investment Principle License Application at the Central One-Stop Integrated Services of BKPM for Consultation Services Other than Public Works Sector and Any Other Certain Business Sectors – “New Certain Business Sectors Mechanism”). This New Certain Business Sectors Mechanism is effective as of 3 August 2015.

We are pleased to share our Principal, Mr. Tony Budidjaja, contribution in the 2016 edition of The Asia-Pacific Arbitration Review.  The Asia-Pacific Arbitration Review 2016 delivers business-focused intelligence and analysis to help general counsel, arbitrators and counsel in private practice to avoid the pitfalls and seize the opportunities of international arbitration. Written exclusively by leading arbitrators and legal counsel, the wealth of experience and knowledge of the contributors makes The Asia-Pacific Arbitration Review of particular value to those conducting international business in the Asia-Pacific region today.

Please find the PDF version here or follow this link: http://globalarbitrationreview.com/reviews/asia-pacific-arbitration-review-2016/ to visit the online page in Practical Law website.

We hope you will find the information to be valuable and informative.

We are pleased to share our Principals’, Mr. Tony Budidjaja and Ms. Juni Dani, contribution in the Practical Law Global Guide 2015/16: Corporate Governance & Director’s Duties in Indonesia. The contribution covers a Q&A guide to corporate governance law in Indonesia. It also provides an overview of board composition, the comply or explain approach, management rules and authority, directors’ duties and liabilities, transactions with directors and conflicts, company meetings, internal controls, accounts and audit, institutional investors and reform proposals.

Please find the PDF version here, or follow this link: http://uk.practicallaw.com/8-506-7779 to visit the online page in Practical Law website.

We hope you will find the information to be valuable and informative.

We would like to announce that our principal at B&A, Juni Dani has been recognized as a Leading Lawyers Rising Star for the practice area “Shipping, Maritime & Aviation” by Asialaw  in the 2015 Edition .

Asialaw Profiles is essential reading for corporate executives, in-house counsel and anyone with a professional interest in the Asia-Pacific. The guide to the leading regional and domestic law firms in the Asia-Pacific is researched, written and edited by a team of journalists based in the region who know the region.

Budidjaja & Associates Lawyers in cooperation with JunZeJun Law Offices has successfully conducted the first lawyer exchange that was completed on July 2015. One of B&A’s senior lawyers, Ms. Diana Kusumasari was stationed in JunZeJun Law Offices (君泽君律师事务所) in Guangzhou, P.R.C.

We are pleased to share the article about Trade & Investment in China – A Summary & Update by JunZeJun Law Offices.
Please find the PDF version here.

We hope you will find the information to be valuable and informative.

The use of arbitration to resolve international commercial disputes is steadily increasing in Indonesia and other parts of the Asia-Pacific region. This is due to renewed awareness and recognition that resolving disputes through arbitration is effective for businesses.

The Asia-Pacific Arbitration Review 2016 is a series of special reports that deliver business-focused intelligence and analysis designed to help the general counsel, arbitrators and private practitioners. The data can be used to avoid pitfalls and seize opportunities related to international arbitration. Published by the Global Arbitration Review, a leading international arbitration law journal and news service, the Asia-Pacific Arbitration Review provides an unparalleled annual update written by experts, which covers key developments in the business-legal sector.

In light of this, Budidjaja & Associates (B&A) is pleased to provide our valued clients and friends with free access to the Indonesian Chapter of Global Arbitration Review – the Asia-Pacific Arbitration Review 2016. The chapter was written by B&A Principal, Mr. Tony Budidjaja, who is an accredited mediator and arbitrator in Indonesia and a Fellow of the Chartered Institute of Arbitrators (CIArb). He also sits on the panel of approved mediators and arbitrators of Kuala Lumpur Regional Centre for Arbitration (KLRCA) and other dispute resolution institutions. The 2016 edition is Mr. Tony Budidjaja’s third contribution in GAR – the Asia-Pacific Arbitration Review.

The publication provides insights and analysis on the use of arbitration and enforcement of international arbitral awards in Indonesia.

The Indonesia chapter (and the publication itself) is not designed to replace traditional legal advice that a legal counsel provides. If you are looking for legal advice on Indonesian arbitration law, B&A is available to assist you. Our firm acts for a diverse range of domestic and foreign clients which includes leading national and international companies from progressive industries. With a proven track record of delivering effective solutions and outcomes for clients in their commercial objectives within the law, we can help your business achieve the best possible outcomes.
Interested individuals can purchase the book online through The Global Arbitration Review website.

For more information regarding B&A, please visit http://www.budidjaja.id. It is our pleasure to serve your legal needs.
If you have any further inquiries, please do not hesitate to contact our client relations team at[email protected].

We are pleased to announce that Budidjaja & Associates (B&A) once again has been shortlisted in IFLR1000 2015 Edition as Other Notable Law Firm in several practice areas such as Energy & Infrastructure and Financial & Corporate.

The IFLR1000 is a guide to the world’s leading financial law firms. B&A has continued to receive recognition from the publication since 2012. This acknowledgement serves as appreciation and proof of B&A’s commitment to serve our clients with excellence and integrity.

China has recently become the second largest economy in the world and is playing an influential role in the global economy. It has undergone a rapid development process, particularly in the construction sector, which inspires Indonesia.

The good news is Chinese investments are flourishing in Indonesia. The Chairman of Investment Coordinating Board, Franky Sibarani, also confirmed that China managed to make it to the top 10 of Indonesia’s biggest foreign investors during the first quarter of 2015.

As for Indonesia, lack of infrastructure has been one of the biggest hurdles for investors in the thriving region. Therefore, to help the nation pursue higher economic growth, Indonesia has established a plan to improve the availability of infrastructure under the National Medium-Term Development Plan 2015-2019. The plan includes cooperation with China in the infrastructure construction sector.

Our President, Joko Widodo, in an interview with Xinhua media last March (2015), also emphasized that Chinese investment is particularly needed by Indonesia in the infrastructure construction sector.

In support of the National Medium-Term Development Plan 2015-2019, as well as the invitation of President Joko Widodo for Chinese investors to develop a better relationship with China, the Indonesian government not only welcomes investors from China, but also Chinese tourists/visitors through a free-visa policy for 45 countries including China (People’s Republic of China). The free-visa policy is stipulated under Presidential Regulation No. 69 of 2015 on Free Visit Visa which was enacted on 10 June 2015.

Hopefully, the new free-visa policy can boost cooperation and relations between China and Indonesia.

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As part of B&A’s support to the Indonesian government’s plan in welcoming more Chinese investments, one of B&A’s senior lawyers, Ms. Diana Kusumasari will be temporarily stationed in JunZeJun Law Offices (君泽君律师事务所) in Guang Zhou, P.R.C. to assist and guide Chinese investors in understanding how to do business in Indonesia. For information on doing business in Indonesia, you may contact our China representatives, Ms. Diana Kusumasari ([email protected]) and / or (Ms. Saveria Iswara ([email protected]).