The Role of BPSK in Indonesia

BPSK is one of the consumer legal institutions domiciled in each District Level II district/city throughout Indonesia. It is regulated in Law №8 of 1999 concerning Consumer Protection. BPSK’s main task is to resolve disputes between consumers and providers of goods/services outside the general court.

In this case, the decision of BPSK is binding on the two parties to the dispute. As an institution that functions to protect consumers, here are some of the roles of BPSK in Indonesia.

1. Carry out the handling and settlement of consumer disputes.

By means of mediation, arbitration, or conciliation, BPSK has the role of resolving disputes experienced by consumers through the path of peace. The resulting settlement is usually in the form of giving compensation in the amount of money agreed upon by both parties. Many consumers choose to resolve the issue of the dispute through BPSK because it is cheap and easy.

2. Providing consultation on consumer protection.

In carrying out its duties, BPSK has a role in assisting consumers who feel disadvantaged by producers. In this case, consumers can consult the case that being faced to BPSK and then find the best solution. Cases brought to BPSK can still be submitted even without the consent of the other party. Enough with reports from consumers, cases can be processed.

3. Calling a business actor suspected of committing a violation.

BPSK can call on employers who are suspected of violating consumer protection laws. However, BPSK does not have the authority to summon the perpetrators. Nonetheless, BPSK can ask investigator assistance to present entrepreneurs who do not fulfill calls to resolve consumer disputes. The investigator referred to in this case is the National Police or certain Civil Servants Officers related to consumer protection.

4. Conduct research and examinations concerning consumer protection laws.

BPSK also has the role of obtaining, researching, and or evaluating letters, documents, or other evidence for investigation or examination. If needed, BPSK can also call and present witnesses, expert witnesses and/or anyone who is considered aware of violations of consumer protection laws. After conducting in-depth research, BPSK must decide and determine whether there is a loss on the part of the consumer or not.

5. Impose administrative sanctions on employers who commit violations.

In its completion, BPSK can impose administrative sanctions on employers who are proven to violate consumer protection laws. The decision issued by BPSK will need to be requested by the district court as the authorized party to carry out the execution.

Nevertheless, parties who are not satisfied with the completion of BPSK can submit an objection to the district court no later than 14 days after notification of the decision.

Those are the roles of BPSK in Indonesia that everyone should know. The function of BPSK is to handle and resolve consumer disputes outside the court. This institution was formed to protect consumer rights and help them to sue if needed.

This legal institution is deliberately set up to encourage producers to comply with agreements that have been agreed with consumers. However, if the disputing parties are not satisfied with the BPSK decision, they can still bring it to court.