In the relationship between consumers and Financial Services Business Actors (PUJK), such as banks, financing companies, insurance companies, and financial technology (fintech) providers, disputes can arise from differing understandings of a financial product or service, or from one party’s failure to perform its obligations under an agreement. As financial products and services continue to evolve, the potential for disputes is something both consumers and PUJK need to keep in mind.
As a general rule, PUJK are required to provide a complaint service so consumers can try to resolve problems that arise. However, if a complaint does not lead to an agreement, consumers can pursue dispute resolution through the courts or outside the courts. One out-of-court alternative is the Financial Services Sector Alternative Dispute Resolution Institution (LAPS SJK). This process is also tied to the consumer protection framework under Peraturan Otoritas Jasa Keuangan Nomor 22 Tahun 2023 and Undang-Undang Nomor 4 Tahun 2023 tentang Pengembangan dan Penguatan Sektor Keuangan.
However, before submitting an application to LAPS SJK, consumers need to understand the available resolution mechanisms, the filing requirements, and the costs that may arise. This understanding is important so that consumers can choose the right path for resolving their dispute, taking into account their legal interests and financial capacity.
Three Dispute Resolution Mechanisms through LAPS SJK
LAPS SJK offers three dispute resolution mechanisms: mediation, arbitration, and binding opinion. Each mechanism has different characteristics and legal consequences.
- Mediation
Mediation is a dispute resolution process in which a neutral mediator helps the parties reach an agreement. The mediator facilitates communication and negotiation but does not issue a decision that forces a resolution on the parties.
This mechanism may be worth considering when the consumer and the PUJK still have room to negotiate, for example over the settlement of a claim, the performance of contractual obligations, or a disputed loss.
- Arbitration
Arbitration is the out-of-court resolution of civil disputes based on a written arbitration agreement. The dispute is examined by an arbitrator, who then issues an arbitral award.
Before choosing this mechanism, the parties need to check whether an arbitration agreement exists, whether as a clause in the main agreement or as a separate agreement made after the dispute arose. The parties should also weigh the costs and legal consequences of an arbitral award.
- Binding Opinion
A binding opinion can be used when the parties need an interpretation of a particular issue in their contractual relationship, for example a difference in how a contract clause is interpreted. This mechanism differs from mediation, which aims at an agreement, and from arbitration, which produces a decision on the dispute.
Retail and Small Claims Disputes: Value Limits and Fee Waiver
One important thing consumers should know is that there is a category called Retail and Small Claims. Under Pasal 19 ayat (1) of Peraturan LAPS SJK Nomor PER-06/LAPS-SJK/I/2021 tentang Biaya Layanan Penyelesaian Sengketa, the dispute value limits are as follows.
| Financial services sector | Dispute value limit |
|
Financing, pawnshops, and financial technology |
Maximum of Rp200,000,000 |
|
Banking, capital markets, life insurance claims, venture capital, and credit guarantees |
Maximum of Rp500,000,000 |
| General insurance claims |
Maximum of Rp750,000,000 |
The fee waiver applies specifically to mediation services in the retail and small claims category. Accordingly, consumers should not assume that every dispute resolution mechanism, including arbitration, is automatically free of charge simply because the amount claimed falls below these limits.
Consumers need to confirm that their dispute meets the requirements for retail and small claims mediation. If mediation does not produce an agreement and the dispute proceeds to arbitration, arbitration fees still apply.
Breakdown of LAPS SJK Dispute Resolution Fees
Peraturan LAPS SJK Nomor PER-06/LAPS-SJK/I/2021 tentang Biaya Layanan Penyelesaian Sengketa sets out the fee components for each dispute resolution mechanism. The amount of the fees depends on the type of service, the dispute value, and the applicable provisions. Therefore, consumers need to understand the fee breakdown before submitting an application.
- Arbitration Fees
Under the arbitration fee provisions of Peraturan LAPS SJK Nomor PER-06/LAPS-SJK/I/2021 and its Lampiran II, the arbitration fee components include:
|
Arbitration application registration |
Rp2,500,000 |
|
Arbitration administration |
Based on dispute value; minimum Rp10,000,000 |
| Arbitrator fee |
Based on dispute value; minimum Rp25,000,000 |
| Examination cost deposit |
Rp5,000,000 from the Applicant and Rp5,000,000 from the Respondent |
Administration fees and arbitrator fees are calculated on a tiered basis according to the dispute value, rather than by simply applying a single percentage to the entire amount claimed. The regulation also allows for additional examination costs depending on the needs of the case.
Sample Calculation for a Rp500 Million Dispute
As an illustration, a consumer files a banking dispute with a claim value of Rp500,000,000 through LAPS SJK arbitration. Based on the formula in Lampiran II of Peraturan LAPS SJK Nomor PER-06/LAPS-SJK/I/2021, the calculation is as follows:
- Registration fee: Rp2,500,000.
- Arbitration administration fee: For disputes up to Rp500,000,000, the stated formula is 9% of the dispute value × 30% × 80%, so Rp500,000,000 × 9% × 30% × 80% = Rp10,800,000.
- Arbitrator fee
For disputes up to Rp500,000,000, the stated formula is 9% of the dispute value × 70% × 80%, so Rp500,000,000 × 9% × 70% × 80% = Rp25,200,000.
- Examination cost deposit
The Applicant deposits Rp5,000,000 and the Respondent deposits Rp5,000,000, for a total initial deposit of Rp10,000,000.
- Mediation Fees
For commercial mediation, Lampiran III of Peraturan LAPS SJK Nomor PER-06/LAPS-SJK/I/2021 sets a registration fee of Rp2,500,000; an administration fee of 33.33% of the arbitration administration rate, with a minimum of Rp5,000,000; a mediator fee of 33.33% of the arbitrator fee rate, with a minimum of Rp12,000,000; and a meeting cost deposit of Rp2,500,000 from each party. These provisions need to be read together with the fee waiver for retail and small claims.
- Binding Opinion Fees
For the binding opinion mechanism, Lampiran III of Peraturan LAPS SJK Nomor PER-06/LAPS-SJK/I/2021 lists a registration fee of Rp2,500,000; an administration fee of Rp2,500,000; a Panel Team fee based on agreement, with a minimum of Rp50,000,000; and a hearing cost deposit of Rp2,500,000 from each party. Based on these components, the illustrative initial amount before other costs is at least Rp60,000,000, including the deposits of both parties totaling Rp5,000,000.
Conclusion
LAPS SJK offers an out-of-court alternative for dispute resolution between consumers and PUJK. However, each mechanism has different characteristics, requirements, and cost implications. Mediation can be a good choice when the parties still have room to reach an agreement, whereas arbitration and binding opinion should be weighed carefully against the goals of the resolution and the fee structure.
If you are facing a dispute with a bank, financing company, insurance company, or another financial services business actor, Mangatur Nainggolan Law Firm (MNL) can help review your documents, analyze your options for resolution, and prepare legal steps that serve your interests.
References:
- Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector;
- Financial Services Authority Regulation Number 22 of 2023 concerning Consumer and Public Protection in the Financial Services Sector;
- Financial Services Authority Regulation Number 61/POJK.07/2020 concerning Alternative Dispute Resolution Institutions in the Financial Services Sector;
-
LAPS SJK Regulation Number PER-06/LAPS-SJK/I/2021 concerning Dispute Resolution Service Fees.
Author: Fawzy Gomgom Sinaga, S.H.
Editor: Robby Simamora, S.H.,M.H.