The limit of material claim in the small claims court regulated in PERMA Number 4 of 2019 can be seen as a limitation towards the choice of forums for resolving disputes. Therefore, this research initiates a legal breakthrough that allows the limit of material claim to be deviated by agreement or contract. After analyzing the relevant legal sources, it can be concluded that the formation of a small claims court based on an agreement is in accordance with the principles of quick, simple, and affordable trial. In line with the utilitarian approach and economic analysis of law, it is expected that the expansion of the range of small claims court procedures will bring benefits to the community, especially incresing the ease of doing business in Indonesia. This idea does not violate the basic principles of a small claims court because it only changes the terms of a dispute that can be resolved by a small claims procedures, while the mechanism for examining the case still refers to the existing regulations. The formulation of the norm can be read:淭he maximum value of the lawsuit is IDR 500,000,000.00 (five hundred million rupiah), unless otherwise agreed with a written agreement that expressly states that the dispute resolution chosen is a small claims court forum of which the material claims exceed the maximum limit regulated in PERMA Number 4 of 2019.
The Nature of Forming a Small Claims Court Based on an Agreement
Based on the preamble of PERMA Number 2 of 2015, a small claims court was made to manifest the principle of a fast, simple, and affordable trial. The embodiment of the principle of speedy justice in a small claims court mechanism is the examination period which is relatively faster than the examination period in ordinary lawsuits.11 The meaning of affordable trial can be found in the Elucidation of Article 2 paragraph (4) of Law Number 48 of 2009 concerning Judicial Power (hereinafter referred to as 11 Winly A. Wangol, 淎sas Peradilan Sederhana Cepat dan Biaya Ringan dalam Penyelesaian Perkara Pidana Menurut KUHAP, Lex Privatum 4, no. 7 (Agustus 2016) :43. Law Number 48 of 2009), namely 渃ourt fees that can be reached by the public. The implication of this requirement is that the case is examined by a single judge. Because it is examined by a single judge, the judge has full control over the trial, which will have an impact on reducing the density of case settlement.12 With a shorter examination process, the cost of the case will also be lighter. Furthermore, the meaning of simple trial that underlies the small claims court mechanism can be seen in the Elucidation of Article 2 paragraph (4) of Law Number 48 of 2009, namely: 渨hat is meant by simple is that the examination and settlement of cases are carried out in an efficient and effective manner. Based on the Large Indonesian Dictionary (KBBI), the word effective means 渃an bring results/success; there is an effect.13 Meanwhile, the word efficient is interpreted as 渁ppropriate to (produce) something (by not wasting time, energy, cost).14 Moreover, the principle of this simple trial cannot be separated from the principle of fast and affordable trial because fast and affordable justice uphold judicial efficiency. Efforts to optimize the realization of the principles of fast, simple, and affordable trial continue to be carried out by improving several norms in PERMA Number 2 of 2015 through PERMA Number 4 of 2019. One of the improvements that best reflects efforts to optimize small claims courts is regarding changes to the maximum value of the material claims in a small claims court, namely from IDR 200,000,000.00 (two hundred million rupiah) to IDR 500,000,000.00 (five hundred million rupiah). Although the regulation provides some leniency, it still limits the choice of forum to resolve disputes.
Small Claims Court Mechanism based on an Agreement
The mechanism of a small claims court is different from a ordinary lawsuit. The difference lies in the stages of completion, duration of the examination, type of dispute, number of parties, domicile of the parties, presence of the parties, number of judges who decide cases, the role of judges, legal remedies, and the maximum value of the material claims.
Elimination of the maximum value of the material claims will not sacrifice accuracy and thoroughness in seeking truth and justice. The benchmark for conducting examinations and considering decisions accurately and carefully is based on the law (due to law).34 Thus, in examining, considering, and deciding, judges must still do so within the legal corridor. The formation of small claims court based on an agreement do not violate legal principles and are still in accordance with the spirit of a small claims court that puts forward the principles of fast, simple, and affordable trial. So, there needs to be a legal breakthrough in the regulation regarding the small claims court. This legal breakthrough is accepted in progressive legal theory, which views the law as not a final scheme but continues to change, move, and change with the times. 35 Thus, the formation of small claims courts based on an agreement can be carried out in the eyes of the law as long as it is stated in the amendment to PERMA Number 4 of 2019.
Penulis : Faizal Kurniawan
Faizal Kurniawan, Xavier Nugraha, Ave Maria Frisa Katherina , and Julienna Hartono Small Claims Court Based on An Agreement to Support Ease of Doing Business In Indonesia. Vol 17 no 2 tahun 2022. Jurnal Pandecta.





