Abstract
This research set aims to (1) examine the factors motivating the businessmen to sell the subsidized fertilizer beyond its highest retail price, (2) analyze the legal consequences of the unlawful act, and (3) the government efforts to minimize the violation. This research is an empirical legal study, and the data were gathered through library research and interviews with respondents. The results exhibit that (1) the unlawful act was committed for getting high profit, prepaid income, fertilizer limited supply, customer ignorance of highest retail price policy, and transportation expenses, (2) the legal consequences of the unlawful act was that the businessmen were obliged to compensate the customers, and (3) the local government issued a warning letter to the subsidized fertilizer distributors about terminating their contract with an obligation to compensate the customers and provide regulation socialization to related parties.
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