Ministry of Trade Pushes for Regulations on E-Commerce and Three-Party Standard Clauses in the Consumer Protection Draft Bill

The government has proposed a number of changes to the Draft Bill on the Amendment to Law No. 8 of 1999 on Consumer Protection (“Law 8/1999”). Two points of concern for the Ministry of Trade are the regulation of Electronic Commerce (“E-Commerce”) and changes to the mechanism for establishing standard clauses.

Moga Simatupang, Director-General of Consumer Protection and Trade Order at the Ministry of Trade, stated that the government is currently still awaiting the draft initiated by the House of Representatives (“DPR”).

“We are currently still waiting for the DPR’s draft,” Moga told Hukumonline.

Nevertheless, several provisions prepared by the DPR are considered to align with the issues identified by the Ministry of Trade. One of these is accommodating the development of E-Commerce. In addition, the Ministry of Trade proposes changing the mechanism for establishing standard clauses (which have so far been unilaterally determined by businesses) to require the approval of three parties.

“Second, standard clauses, which have so far been unilaterally determined by business actors, will require the approval of three parties, and there are several other points that have been adjusted to reflect current conditions,” he added.