Wonosari Religious Court Decision No. 108 of 2016: Christians Enter Into Musyarakah Financing Agreement

The plaintiff and the defendants, who were Christian, entered into a musyarakah financing agreement, dated 20 June 2013. The plaintiff submitted that damages owed by the defendants to the plaintiff totalled IDR 50,329,800, based on the defendants' default. After mediation, however, the parties agreed that the defendants would pay to the plaintiff IDR 36,460,800. This would be made in four instalments, the first three instalments being for IDR 300,000 each, and the fourth and final for IDR 35,560,000. If the defendants then defaulted on this revised agreement, the plaintiff had the authority to seize and sell the 2,975m2 property used by the defendants to leverage the agreement.

The court ordered that the parties adhere to the terms of this deed of reconciliation (akte perdamaian), and ordered them to share court costs of IDR 471,000.

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