The Effect of Equity Principles in Implementing Corporate Social Responsibility of Palm Oil Companies in Aceh Province, Indonesia

Abstract

This research focuses on studying the influence of equity principles in implementing social responsibility of palm oil companies in Aceh Province. The equity principle is mandated in Article 1339 of the Book of Civil Code which has been formulated in Article 74 paragraph (2) of Law Number 40 of 2007 concerning Limited Liability Companies. The research method in this article is normative juridical by using secondary data as the main data, and using field data as supporting data. Sources of legal material are obtained from primary, secondary and tertiary legal materials. Data analysis is done qualitatively by building arguments (legal reasoning). The effect of equity principles in the implementation of social responsibility of palm oil companies in Indonesia is contained in programs run by company due to the propriety of the company and the appropriateness of the people of Aceh. Thus the implementation of corporate social responsibility is in accordance with the appropriateness of Aceh, so that corporate social responsibility programs are beneficial to stakeholders. Keywords: Effect, Equity Principle, corporate social responsibility, palm oil. DOI: 10.7176/JLPG/120-07 Publication date: April 30 th 2022