Abstract

Forest and land fires generally carried out by concession holders in recent years are very detrimental to the community, nation, and state. The purpose of this paper is to analyze and elaborate application of the principle of piercing the corporate veil for companies on forest and land burning and who should be responsible for the loss of society. Because it corresponds to the concept of the rule of law as a system of laws and regulations, the approach adopted is normative law. Primary, secondary, and tertiary legal materials are used in the research. The results of this study are that in the case of a forest and land burning company, based on Article 3 number 2 in particular letters b and c of Law 40/2007, the principle of limited liability for shareholders does not apply if the shareholder concerned either directly or indirectly in bad faith uses The Company for personal interest and or the shareholders concerned are involved in unlawful acts committedby the Company.

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