Our Partner for Shipping and Maritime team, I Ketut Dharma Putra Yoga (Yoga), is an accomplished Indonesian lawyer who has assisted a range of clients with shipping-related issues, including both wet and dry shipping. Given his understanding of the needs of clients and potential clients in the sector, he provides several key shipping issues in Indonesia to help clients and potential clients grasp the basic legal solutions, as shown below.

Time Bar

1 (one) year after the delivery of goods or after the date of which the goods should have been delivered.

2 (years) since the day of collision or the damage occurred.

Indonesian law does not regulate a general time bar for exercising maritime lien claim. However, Indonesian law does provide specific time bar for certain claims related to maritime lien.

Yes, the claimant may file a claim against the defendant within the time bar period to prevent the time bar, such as through a demand letter.

Enforcement

No, all shipping cases are examined in the relevant district court.

No, the enforcing party must initiate a new proceeding in the relevant Indonesian court.

Yes, but the international arbitral award must first be registered with the Central Jakarta District Court, or, the claimant may liaise directly with the relevant harbor master, presenting such award and request an arrest.

Limitation of Liability

Indonesian Commercial Code provides limitation of liability up to the amount of 50 Dutch East Indies Guilder per cubic metre of the net tonnage of the vessel. However, no Indonesian court has established precedents regarding the determination of liability limitation.

Indonesian law limits the liability based on the proportion of the parties’ faults.

The conditions are, among others, the involved parties’ consent and failure of the shipper to inform the nature and value of the goods to the carrier properly.

Arrest of Vessel

The vessel may be arrested in the event that she is involved in a criminal or civil case.

The claimant seeking to enforce ship arrests shall file a formal application with an Indonesian court for a conservatory attachment order.

No, Indonesia also does not adopt the concept of sister ships.

Indonesian law provides no timeline on the process of ship arrest.

It would depend on, among others, the location of the vessel in Indonesia as it will involve different local authorities (e.g., district court).

In practice, a bank guarantee or corporate guarantee is commonly acknowledged by Indonesian court.

Registration of Vessel

A vessel eligible for registration in Indonesia must: have a minimum of 7 GT, be owned by an Indonesian citizen or legal entity, or be owned by a joint venture company whose majority of shares held by an Indonesian national or legal entity.

Wreck Removal

The ship owner has an obligation to undertake wreck removal at the latest 180 (one hundred eighty) calendar days since the ship ran aground or sank.

The authority will take over the wreck removal at the expense of the owners. In some cases, the authority may also give sanction to relevant insurers (P&I Club), which could be in the form of services suspension for certification of insurance with respect of civil liability for oil pollution damage, civil liability for bunker oil pollution damage, etc.

The authority will refuse to offer operational support for the vessel. The authorities may also issue warnings, suspend or revoke licences.

Compensation to Injured Crew

The shipping company shall bear the costs of medical treatments and medicines for the illness or injuries sustained by seafarers while onboarding the vessel.

In general, the shipping company shall bear the cost of medical treatment for at least 4 (four) months since the crew is injured or ill. If such injury is the result of a work-related accident, the period shall not exceed 12 (twelve) months.

Should you have any questions or require further discussion, please contact our Partner:

I Ketut Dharma Putra Yoga (Yoga)
E: [email protected]
P: +62823 7828 7888