9 - The Small Claims Court

Summary

In 2015, the Supreme Court passed a regulation to allow for a small claims mechanism. This has been a remarkably easy law reform projects with few constraints. The explanation lies in the widespread support for the procedures from the Supreme Court and many stakeholders. The Supreme Court has managed to take bold steps in the regulation of court procedures. The Supreme Court’s power and willingness to do so is important, because sometimes the parliament does not have the legislative capacity or will to produce a quality law in a relatively fast time. Consequently, the Supreme Court must use its technical knowledge to issue a regulation first. The legislative process will follow by adopting regulations that prove themselves in practice. The small claims mechanism is a breakthrough in Indonesia. It has established a new and simplified means of hearing and resolving small claims in the courts. The regulation of the small claims mechanism has enhanced civil procedural law as a whole. While it is too early to tell what the future of the small claims mechanism will look like, its strong institutional backing means it is likely to be a key means of resolving small claims in the future.