Abstract

The objective of this paper is to reveal, conceive and analyze: 1) appraisal on simple verification to bankruptcy verdicts by judges, 2) the significance of indebtedness by judges and any implications over its verification and 3) new constructions of legal behavior on judges in order to realize fair and just laws in accordance with verification of bankruptcy based on progressive laws.In order to reach the objective, doctrinal and non-doctrinal legal studies are applied. A doctrinal legal study is used to review any developed and conceptualized laws on doctrines. The objective of the doctrinal legal study is to provide secondary data that procured from legislation inventory, verdicts of judges, to review related literature with its certain issues, and to analyze those pieces of information based on deductive methodology. Moreover, a non-doctrinal legal study is used to review any developed laws that based on valid, customized and developed in the public. A non-doctrinal legal study is conducted by procuring primary data from observation method, profound interviews, and analyzing those data with an interactive inductive method. In order to promote the two approaches, the researcher used several theories: theory on behavior legal studies, theory on legal hermeneutics and theory on progressive laws.This study has shown that: 1) simple verification is an absolute requisition that restricts judge's competence in the Commercial Court in order to verify whether a debtor who is filing for bankruptcy evidently proven to pay all his due debts and whether it is collectible or not. Judges on the Commercial Court has a tendency and assessment to make a verdict on bankruptcy as soon as possible and immediately implemented as specified on Article 8 paragraph (4) Bankruptcy Laws of 2204; 2) There is a tendency of correlation between judges' comprehension on indebtedness and its verdicts. There are two debt comprehensions, which are a narrow comprehension, refers to textual interpretation, and extensive comprehension refers to contextual interpretation; 3) Progressive laws are relatively relevant to act as a basis and reference on judges' legal behavior and reconstruction in carrying out the bankrupt statement application. This is based on historic legal culture values under positive legal paradigm which experienced difficulties to present ideal, humanist and responsive laws as well as to protect the public. Hence, legal culture values of judges shall be renewed in order to adjust with needs and development of legal sciences as well as economic growth, which has redefined our way of thinking, interpretation, and ethics. Keywords: judge verdict, bankruptcy case, legal behavior. DOI : 10.7176/JLPG/81-10

Highlights

  • 1.1 Background To give loan by a creditor to debtor has been practiced for centuries in the social community

  • The objective of this paper is to reveal, conceive and analyze: 1) appraisal on simple verification to bankruptcy verdicts by judges, 2) the significance of indebtedness by judges and any implications over its verification and 3) new constructions of legal behavior on judges in order to realize fair and just laws in accordance with verification of bankruptcy based on progressive laws.In order to reach the objective, doctrinal and non-doctrinal legal studies are applied

  • The objective of the doctrinal legal study is to provide secondary data that procured from legislation inventory, verdicts of judges, to review related literature with its certain issues, and to analyze those pieces of information based on deductive methodology

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Summary

Introduction

1.1 Background To give loan by a creditor to debtor has been practiced for centuries in the social community. A company that is not able to pay any of its indebtedness shall be charged under a bankrupt verdict by the Commercial Court, whether it is requested by creditor or debtor or other third parties as specified on Law Number 37/2004 regarding Bankruptcy 3and Postponement to Pay its Debt (hereinafter refers to Bankruptcy Law www.iiste.org of 2004). Any bankrupt individuals shall forfeit its properties and be submitted to curator,whom will be assisted by Supervisory Judge that is appointed by Commercial Court.3Bankruptcy is to confiscate and execute to all of debtor’s properties to pay debts4to the creditor5in paripassu6or its equivalent, except there is a creditor with the privilege to take precedence.. Bankruptcy is applied to a debtor (both in individual, mutual business, or legal body) who unable to pay any of its debts to a creditor Any bankrupt individuals shall forfeit its properties and be submitted to curator,whom will be assisted by Supervisory Judge that is appointed by Commercial Court.3Bankruptcy is to confiscate and execute to all of debtor’s properties to pay debts4to the creditor5in paripassu6or its equivalent, except there is a creditor with the privilege to take precedence. Bankruptcy is applied to a debtor (both in individual, mutual business, or legal body) who unable to pay any of its debts to a creditor

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