Temanggung Religious Court Determination No. 1397 of 2015

The plaintiffs, who granted authority to the Indonesian People's Consumer Protection Institute (Lembaga Perlindungan Konsumen Kerakyatan Indonesia) to appear on their behalf, submitted that the first defendant had sold their property (which was in the second plaintiff's name) to the second defendant, through the third defendant. The first plaintiff and first defendant had entered into a musyarakah financing agreement, dated 30 April 2013, pursuant to which the first plaintiff had leveraged the 469mproperty.

After making a series of repayments, pursuant to the agreement, the first plaintiff's business was declared bankrupt. The first defendant then served on the first plaintiff several warning notices, as well as notices that the leveraged property would be sold at auction to cover the first plaintiff's default. The first plaintiff submitted that while he had received the notices, he had not taken any relevant action, not because he was ignoring the first defendant, but because he was unable to make any repayments due to the financial predicament of his mining company. Now, the first plaintiff submitted, he was able to make repayments, despite the first defendant having already auctioned the leveraged property. The plaintiffs submitted that they had never agreed to the auction because they had never had the opportunity to first consult and deliberate before a shari'a arbitration board.

After receiving counsel from the court, however, the parties were able to reconcile their differences and the plaintiffs withdrew their action.

FirstPreviousPage 1 of of 20NextLast