The Minister of Finance has issued Regulation No. 40/PMK.04/2018 regarding Customs Recordation, Preventive Measure, Guarantee, Suspension, Monitoring and Evaluation on import and export control of Goods suspected of infringing Intellectual Property Rights ("MFR No. 40/2018"). MFR No. 40/2018 is the implementing regulation of Government Regulation No. 20 of 2017 on Import and Export control for Goods suspected of infringing Intellectual Property Rights.
MFR No. 40/2018, which came into force on 16 June 2018, contains specific provisions on: (i) the recordation of intellectual property at the Directorate General of Customs and Excise; (ii) the preventive measure; (iii) the guarantee; and (iv) the customs suspension order.
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The amendment process of Law No. 5 of 1999 on the Prohibition of Monopolistic Practices and Unfair Business Competition ("ICL") started 2 years ago, but the process was delayed due to the selection procedure of the KPPU's commissioners for the office term of 2018-2023 (Komisi Pengawas Persaingan Usaha - the Indonesian Competition Authority). As the commissioners have now been appointed, the House of Representatives ("DPR") is now putting its focus on the amendment of the ICL. According to the DPR's schedule, the amendment should be finalised on 19 July 2018 and will be promulgated shortly after.
At the current state of discussion, there are some differences between the Government's and the DPR's positions on the amendment. The key amendment issues include the augmentation of administrative fines, mandatory pre-closing merger notification, introduction of leniency programme and extra-territorial jurisdiction application. Further change on the ICL amendment is still possible until the amendment is passed.
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The Government has issued Presidential Regulation No. 20 of 2018 ("Regulation 20/2018") to streamline the expatriate employment process in Indonesia. These matters were previously regulated by Regulation of the President of Republic Indonesia No. 72 of 2014 on the Recruitment of Foreign Workers and the Implementation of Education and Training for Understudy Workers ("Regulation 72/2014"). Regulation 20/2018 came into force on 29 June 2018 and repealed Regulation 72/2014.
Regulation 20/2018 transposes several requirements from Regulation 72/2014, i.e. that expatriates may only assume positions that cannot be filled by Indonesians, and expatriate employee must provide training and knowledge-transfer to an Indonesian worker.
The most important change brought about by Regulation 20/2018 is the abolition of the requirement for an Expatriate Manpower Employment License (Izin Mempekerjaken Tenaga Kerja Asing ("IMTA")). Currently, a prospective employer needs to apply for an IMTA and subsequently submit an Expatriate Manpower Employment Plan ("RPTK") with the Ministry of Manpower, before it can employ an expatriate. The new Regulation will only require the prospective employer to submit an RPTK to the Minister for approval. The approved RPTK will then double up as an IMTA.
This is a significant change given that the requirement to obtain a license before hiring an expatriate has long been entrenched in Indonesian law.
The House of Representatives on 25 May 2018 passed into law a bill on terrorism, Law No. 5/2018 on the amendments to Law No. 15/2003 on the Enactment of Government Regulation in lieu of Law No. 1/2002 on the Eradication of Terrorism Crimes ("Bill"), after it had been shelved for almost two years. The pressure to approve and pass the Bill came after a series of terror attacks jolted Indonesia in the early part of May. Three churches in separate locations in Surabaya were attacked on 13 May 2018, leaving 18 people dead and at least 40 others injured. The attacks came three days after a riot at a detention centre at the police mobile brigade headquarters in Jakarta took place, leaving 6 members of the police anti-terrorist squad dead. On separate incidents, terrorists also attacked the Surabaya police office and a police headquarter in Sumatra.
The key features of the Bill include:
- sanctions against:
- any person who brings or sells chemical weapons for committing a terrorism act
- any person who joins the terrorism organisation
- any person who attends, recruits or organises a military training for committing a terrorism act
- any person who engages in a war for the terrorism
- any person who disseminates any content in order to incite a person for committing terrorism act
- any person who engages a terrorism act trough a minor
- introduction of a new sanction in the form of revocation of the right to hold a passport for a certain period of time;
- protection of victims of terrorism acts;
- prevention of terrorism acts; and
- roles and involvements of Indonesian National Armed Force (TNI).
It came into operation on 22 June 2018.
After implementing the Case Tracking Information System (Sistem Informasi Penelusuran Perkara) as a form of transparency and accountability for Indonesia’s judicial system, the Supreme Court on 4 April 2018 enacted Regulation No. 3 of 2018 regarding Online Case Administration in Courts ("Regulation 3/2018"). Regulation 3/2018 is a significant technological advance for lawyers and individuals. It grants parties litigating in court online access to do these processes: (i) case registration; (ii) court summons; and (iii) issuance of court decision / stipulation.
To be granted access, lawyers must first register themselves online through the Court Information System (Sistem Informasi Pengadilan) provided by the Supreme Court.
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On 22 March 2018, the Indonesian Government issued the new public procurement rules, i.e., Presidential Regulation No. 16 of 2018 on the Public Procurement of Goods and Services ("Regulation 16/2018"). It came into effect on 1 July 2018.
Regulation 16/2018 replaces the rules under Presidential Regulation No. 54 of 2010 on the Government Procurement of Goods and Services, which were amended several times, the most recent of which was through Presidential Regulation No. 4 of 2015. Regulation 16/2018 regulates the procurement of goods / services by government agencies (i.e. Ministries/Institutions/Regional Government Agencies) that are wholly or partially financed through the state / regional budget.
Regulation 16/2018 seeks to simplify the procurement rules by setting out the details of the procurement procedures, as much as possible, in the implementing regulations, e.g., the Head of Public Procurement of Goods/Services Agency (Lembaga Kebijakan Pengadaan Barang/Jasa Pemerintah - "LKPP") Regulation.
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