Legal Protection against Consumers at the Execution of the Fiduciary Which Is Not Registered (Unregistered Fiduciary) in Indonesia

Abstract

The distribution of funds by giving credit to the people in need is mostly done by banks or financial institutions in Indonesia by way of executing fiduciary. Fiduciary institutions have been regulated in Law No. 42 of 1999 on Fiduciary which requires registration of the objects of fiduciary to the Office of Fiduciary Registration. Then Fiduciary Registration Office will issue a fiduciary certificate that has executorial power which is similar to the decision of a judge who has permanent legal force. In practice there is a phenomenon of fiduciary execution by fiduciary receiver if the fiduciary giver does not carry out his/her obligations in accordance with the agreement, even though the agreement is not made in accordance with a notary deed and such fiduciary is not registered (unregistered), this is certainly very detrimental to the consumer. This study aims to find out and analyze on the implementation of legal protection for consumers during the execution of unregistered fiduciary. Legal protection for consumers during the execution of unregistered fiduciary is governed under the provision of Article 3 of the Regulation of the Minister of Finance of the Republic of Indonesia Number 10/PMK.010/2012, Article 1365 of the Civil Code, Article 368 of the Criminal Code, Article 4 letter a and Article 18 of the Law on Consumer Protection.