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Is it possible for dispute resolution resolved through online arbitration?

In a seminar that we have conducted, one of the participants asks, whether the settlement of disputes through arbitration forum can be done online? Basically there is no particular legislation in Indonesia that explicitly regulates whether the arbitration process is eligible to be completed through online media.

Essentially, a settlement through arbitration is an agreement between the parties made in writing either before or after the dispute. In the agreement the parties are required to determine whether the selection of the chosen arbitration carried out through arbitration agencies or ad-hoc arbitration.

In the arbitration agreement the parties are entitled to determine the procedure that will be used during investigation. The provisions should not be contrary to what have been regulated in the Law of Arbitration.

If the parties do not determine their own provisions related to arbitration procedural law to be used, the investigation mechanism will be carried out as the provisions of the Arbitration Law. The selected dispute resolution through an arbitration institution, the investigation will be carried out according to the rules and events /program of the selected institutions, unless stipulated otherwise by the parties.

There are several provisions in the Arbitration Law directly regulating the parties or their representations. They are required to be present in court at a predetermined time. They need to be present at the first trial after the defendant respond or answer, as stipulated in Article 40 of the Arbitration Law. In such a case, unless otherwise determined by the arbitrator or panel of arbitrators, the parties are required to attend the offline hearing.

The provision states that it must be done through an offline meeting between the parties in particular. The provision also regulates its mechanism through an alternative dispute resolution (APS). As stipulated in Article 6 paragraph (2) Arbitration Law, it says that:

Settlement of disputes or differences of opinion through alternative dispute resolution referred to paragraph (1) resolved in the direct meeting by the parties within a period of fourteen (14) days and the results are set forth in a written agreement.

So, what is the APS?

The APS is a way of settling disputes or differences of opinion in a procedure agreed by the parties. It is an out-of-the-court settlement, done through consultations, negotiations, mediations, conciliations or expert assessments.

Consequently it is understood that the arbitration proceedings can be done either by doing a physical/offline meeting or can be carried out online . As long as there are no specific rules which specify a step or checks that it should be carried out directly.

We can assist you in resolving your problems in the forum both national and international arbitration by first checking the facts and documents. You can contact us via e-mail or +62821 1234 1235

Author :

Ali Imron S.H.I


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