Newly Minted Indonesia E-Commerce Regulation - Chapter 2

In this chapter, the remaining key areas in Government Regulation No. 80 year 2019 on Commerce through Electronic System or E-commerce (GR 80) will be discussed. The following key areas will impact local and foreign e-commerce business actor:

Personal Data Protection
Each personal data treated as individual or entity proprietary and is therefore entitled to have a protection. The business actor (as defined in previous article), must ensure that personal data must be processed in accordance with the purpose of its designation, such as for data submission. 

GR 80 also requires that each business actor to have protection system to avoid leakage or to prevent unauthorised use of or unlawful act towards personal data. Accordingly, the business actor is liable for losses or damages arisen from such actions. The protection of personal data provisions is essentially adapting European data protection standard and/or APEC Privacy Frameworks.

GR 80, peculiarly, does not regulates cross-border personal data transfer. It prohibits personal data transfer designated out of Indonesia jurisdiction unless the other countries have the equal personal data protection standard with Indonesia, which depending on Ministry of Trade's discretion.

Dispute Resolution
GR 80 allows e-commerce dispute resolution through an Online Dispute Resolution - which subject to the choice of forum and law between the Parties. In light of this, online dispute resolution is basically similar with regular dispute resolution such as mediation, arbitration or escalation to government under relevant ministries or court proceeding.

In terms of dispute between the business actor and consumer, GR 80 allows the consumer who suffers losses or damages from E-commerce business actor to file a claim against the business actor through Consumer Dispute Resolution Body or BPKN. Alternatively, consumer may file a lawsuit through a court civil proceeding based on their domicile.

Sanction
There is no civil or criminal sanctions towards the violation of GR 80. The regulation only stipulates administrative sanctions against business actor for the breach of law as follow:

1. warning letter (divided in 3 terms);
2. being listed in the Priority List of Surveillance;
3. being blacklisted;
4. temporary blocking of e-commerce services; or
5. business license revocation.

In the event that any business actor do not resolve the issues after the third warning letter, consequently, such business actor will be listed in the Priority List of Surveillance.

Written by: Threeas Novayanti