Member Article

The Indonesia National Board of Arbitration (BANI), otherwise known as the BANI Arbitration Centre, provides a range of services in relation to arbitration, mediation, binding opinions and otherforms of dispute resolution.

In 2015 all of the original BANI founders passed away. On 8 September 2016 BANIPembaharuan(ie, the Renewed BANI) was created by way of Ministry of Law and Human Rights (MOLHR) Decision AHU-0064837.AH.01.07.TAHUN 2016 of 20 June 2016. As its official name is also BANI, it has become known as BANI Sovereign due to its office being in the Sovereign building.The original BANI is now referred to as BANI Mampang due to its office being in Mampang, Jakarta.

BANI Sovereign claims that it is a revised version of BANI Mampang. According to BANI Sovereign, BANI Mampang was based on a statute that authorised its founders to appoint the governing board. Further, BANI Sovereign has its own:

• code of ethics;
• rules; procedures;
• fee structures; and
• list of arbitrators.

BANI Sovereign was founded by several heirs of the BANI founders and caretakers due to rumoured tensions between them and the other BANI Mampang members.

However, the board of BANI Mampang does not recognise BANI Sovereign and claims that it has been using the BANI name unlawfully. The BANI Mampang board also claims that although nothing in the law requires BANI to have legal entity status, it is an institution with articles of association, an organisational structure and a work plan like any other organisation. The BANI Mampang board also argues that BANI has gained international recognition. It was among the initiators of such regional forums as the Asia-Pacific Regional Arbitration Group and the Regional Arbitral Institutes Forum. It is also a member of the International Council for Commercial Arbitration.

Click the link below to read about the court rulings on BANI duality written byAlexandra GerunganandHarris Toengkagiefor theInternational Law Office.