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Consumer Arbitration Agreement

Consumer Arbitration Agreement Template for Indonesia

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Key Requirements PROMPT example:

Consumer Arbitration Agreements

"I need a Consumer Arbitration Agreement template for my Indonesian e-commerce platform that will launch in January 2025, compliant with BANI rules and including provisions for online dispute resolution."

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Document background
Consumer Arbitration Agreements are essential legal instruments for businesses operating in Indonesia that wish to establish clear, efficient, and legally compliant dispute resolution mechanisms with their consumers. These agreements must carefully balance the rights of consumers under Indonesian Consumer Protection Law with the efficiency of arbitration as a dispute resolution method. The document provides a framework compliant with Law No. 30 of 1999 on Arbitration while ensuring accessibility and fairness for consumers. It's particularly relevant in today's digital economy where consumer transactions are increasingly complex and cross-jurisdictional. The agreement typically includes provisions for arbitrator selection, cost allocation, procedural rules, and enforcement mechanisms, all tailored to the Indonesian legal context and consumer protection requirements.
Suggested Sections

1. Parties: Identification of the business entity and the consumer, including complete contact details

2. Background: Context of the underlying consumer transaction and the agreement to arbitrate

3. Definitions: Clear explanations of key terms used in the agreement, particularly technical arbitration terminology

4. Agreement to Arbitrate: The core agreement to submit disputes to arbitration, including scope of arbitrable matters

5. Arbitration Process: Step-by-step explanation of how the arbitration will be initiated and conducted

6. Selection of Arbitrator: Process for selecting the arbitrator(s) and requirements for arbitrator qualifications

7. Applicable Law: Specification of Indonesian law as governing law and relevant regulations

8. Language of Arbitration: Specification of the language to be used in arbitration proceedings

9. Costs and Fees: Allocation of arbitration costs and fees between parties

10. Confidentiality: Provisions regarding confidentiality of the arbitration proceedings

11. Enforcement: Provisions regarding the binding nature and enforcement of the arbitral award

Optional Sections

1. Online Arbitration Provisions: Specific provisions for conducting arbitration online, used when parties agree to virtual proceedings

2. Multi-Language Provisions: Additional provisions when documents may need to be in multiple languages, used for non-Indonesian speaking consumers

3. Class Action Waiver: Provisions preventing class action arbitration, used where permitted by Indonesian law

4. Emergency Arbitrator: Provisions for appointing an emergency arbitrator for urgent matters, used in time-sensitive consumer disputes

5. Mediation-First Requirement: Requirement to attempt mediation before arbitration, used when parties want to encourage amicable settlement

Suggested Schedules

1. Schedule 1: Arbitration Rules: Detailed rules of the chosen arbitration institution (e.g., BANI Rules) or ad hoc arbitration rules

2. Schedule 2: Fee Schedule: Detailed breakdown of administrative fees, arbitrator fees, and other costs

3. Appendix A: Arbitration Request Form: Standard form for initiating arbitration proceedings

4. Appendix B: Code of Ethics: Code of ethics for arbitrators and parties during the arbitration process

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Retail

E-commerce

Financial Services

Telecommunications

Insurance

Healthcare

Travel and Tourism

Real Estate

Consumer Electronics

Automotive

Online Services

Food and Beverage

Education

Relevant Teams

Legal

Compliance

Customer Service

Risk Management

Operations

Consumer Affairs

Dispute Resolution

Regulatory Affairs

Business Development

Corporate Governance

Relevant Roles

Legal Counsel

Consumer Rights Officer

Compliance Manager

Customer Service Manager

Risk Manager

Contract Administrator

Business Development Manager

Operations Director

Dispute Resolution Specialist

Corporate Secretary

Regulatory Affairs Manager

Chief Legal Officer

Customer Experience Director

Industries
Law No. 30 of 1999 on Arbitration and Alternative Dispute Resolution: The primary arbitration law in Indonesia that governs arbitration proceedings, enforcement of arbitration agreements, and recognition of arbitral awards
Law No. 8 of 1999 on Consumer Protection: Provides fundamental consumer rights and protections, including regulations on dispute resolution mechanisms involving consumers
Indonesian Civil Code (Kitab Undang-undang Hukum Perdata): Contains basic provisions on contract formation, validity, and enforcement that apply to arbitration agreements
Law No. 7 of 2014 on Trade: Contains provisions relevant to consumer transactions and dispute resolution in commercial relationships
BANI Arbitration Rules: Rules of Indonesia's main arbitration institution (Badan Arbitrase Nasional Indonesia) that may be incorporated into consumer arbitration agreements
Minister of Trade Regulation No. 69 of 2018: Regulates the use of standard clauses in consumer contracts, which is relevant for arbitration clauses in consumer agreements
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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