The Urgency of the Principle of Public Policy as a Basis for Refusing the Execution of Commercial Arbitration Awards Submitted for Execution in Indonesia

Abstract

Arbitration as a dispute resolution has been recognized and accommodated in Indonesian positive law. Against international arbitral awards that are requested for enforcement in Indonesia, there is an obstacle regarding the refusal of execution of the award based on the violation of the principle of public policy. The limitative definition in the 1958 New York Convention and no further regulation of the principle of public policy provide uncertainty to the execution of international arbitration awards in Indonesia. The type of research used in this legal writing is normative legal research. Research that is evaluative research. The approaches used include a statutory approach, case approach, and conceptual approach. The technique of collecting legal materials is done through literature study using deductive legal logic. The results show that although there is no unity of meaning regarding the principle of public policy, every country definitely needs an emergency brake to protect national interests called the term public policy.