Member Article

Overview

On 12 February 2019, the Minister of Laws and Human Rights (“MOLHR”) issued Regulation No. 2 of 2019 on The Settlement of Disharmony between Laws and Regulations through Mediation (“MOLHR Reg 2/2019”), which came into effect on 14 February 2019.

MOLHR Reg 2/019 replaces the previous regulation on the same subject, MOLHR Regulation No. 32 of 2017 on The Procedure for the Settlement of Disputes over Laws and Regulations through Non-Litigation.

Scope

MOLHR Reg 2/2019 reinstates the non-litigation settlement of disharmony issues between laws and regulations by introducing mediation. The types of laws and regulations between which disharmony can be resolved through mediation include:

1. Ministerial regulations;
2. Non-ministerial government institution* regulations;
3. Non-structural institution** regulations; and
4. Regional laws and regulations.

The above regulations can be submitted for mediation if they vertically and horizontally contradict each other and (i) cause disharmony between legal norms; (ii) conflicts of authority between ministries/institutions; (iii) cause injustice for communities and business actors; or (iv) disrupt the investment climate, business, as well as national and regional economic activities.

Mediation can commence upon receipt of the following:

1. an application from the parties; or
2. an order from the MOLHR; in which case, MOLHR will assign the Director General of Laws and Regulations (“DGLR”) to conduct the mediation without first receiving an application from any party.

Written by Vincent Ariesta Lie, Towy Aryanosa, and Putri Rachelia Azzura, read about the applications, mediation procedures, and comments in this link.