Abstract
Disclosure principles is the main principle in capital market which must be obeyed by issuers since the general offering until the company became public company, should do corporate action. The regulation of corporate action procedure in capital market is fundamentally an effort of law protection for the minority shareholders and independent shareholders. There is a collision between the regulation of company act and capital market act in the practice. This condition, by law, can be called as conflict of norm, as there is conflict between the statute. In facing the problem, principle of justice can be applied to legitimize and have normative influence. Principle of justice that underlies the application of preference to the two laws and regulations is lex specialis derogat legi generali principle. This principle is a method of resolving conflict of norm between specific norm and general norm. It means that the application of the preference principle is done by putting a side the norms or provisions, in this case is the company act by norms or specific provisions, which is the capital market act. Keywords: Corporate Action, Capital Market, Conflict of Norm, Preference. DOI: 10.7176/JLPG/111-05 Publication date: July 31 st 2021
Highlights
The implementation of disclosure principles by issuers in capital market is not conducted only at the general offering and must be obeyed after the company became public company
In every corporate action will influence the cost and the published amount. This view is told by Francis Groven who stated that corporate action occurs when changes are made to the capital structure or financial position of an issuer of a security that affect any of the securities it has issued.[1]
The emerging problem is the regulation in capital market act associated to the corporate action has special characteristic if it juxtaposed to the regulation in Law Number 40 of 2007 regarding Limited Liablity Company (“Company Act”)
Summary
The implementation of disclosure principles by issuers in capital market is not conducted only at the general offering and must be obeyed after the company became public company. Corporate action to get new capital, as in the first stock offering, right issue and bond publishing; 3. The emerging problem is the regulation in capital market act associated to the corporate action has special characteristic if it juxtaposed to the regulation in Law Number 40 of 2007 regarding Limited Liablity Company (“Company Act”). This case is seen after a company carries out initial public offering. In associated to corporate action carries out by public company, other than complying with the provisions stipulated in the Company Act, they are required to follow special requirements stipulated in Capital Market Act
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