CROSS-BORDER BANKRUPTCY REVIEWED FROM THE PERSPECTIVE OF LEGAL CERTAINTY

Abstract This study aims to identify and analyze the legal implications related to bankruptcy boedel abroad and assess whether Indonesia's bankruptcy law can be applied in other countries where the debtor's assets are located. Based on Law Number 37 of 2004 concerning Bankruptcy & Debt Payment Obligation Suspension Law, Article 212 of the Bankruptcy & Debt Payment Obligation Suspension Law explains that after a judgment regarding bankruptcy is issued, all assets of a debtor become bankruptcy bonds, both assets located in the territory of Indonesia and assets located outside the territory of Indonesia. When the bankruptcy process has entered the insolvency stage, the curator will settle all debtor bankruptcy assets, both in Indonesia and outside Indonesia. But in reality, the execution of bankruptcy assets outside the territory of Indonesia cannot be carried out. The theory used in this study is the theory of legal certainty by Roscoe Pound which considers that law is a social engineering tool that aims to create harmony and harmony so that it can optimally meet the needs and interests of humans in society. Through normative juridical research, based on the results of the study, it can be found that bankruptcy judgments imposed in Indonesia against bankruptcy assets located outside the territory of Indonesia cannot be enforced. Bankruptcy laws decided in one country do not apply to other countries where the bankruptcy estate is located. This is because it is contrary to the principle of territorial and state sovereignty. These two principles hinder the execution of law from one country to another, unless there is a bilateral agreement that regulates it between the countries concerned. Legal certainty in cross-border bankruptcy decisions has not been fulfilled, because even though court decisions have permanent legal force, in reality they are still unenforceable. So that this is considered not to be able to realize harmony and has not met the needs of the community in obtaining justice.