The majority of CSMEs players in Gunung Kidul Regency never or rarely uses the contracts to run cooperation with outside parties. So far , they carry out the cooperation just relying only on trust.
Thus the results of research recently conducted by KKN PPM UGM students which is submitted by the Field Supervisor Enny Nurbaningsih, S.H, M. Hum, in 'Training Workshop on Trade Contract" recently at the Regent's Office of Gunungkidul. The event was followed by 20 CSME , three NGOs, 4 cooperatives of Gunung Kidul.
Enny added, the study was conducted to Mapping the Problems and Needs Assessment of CSMEs in Gunungkidul District. KKN PPM UGM student teams identify problems by spreading out questionnaires and conduct direct interviews at business places of craftsmen and CSMEs. As we know that in some areas of Gunungkidul district there are several well-known traditional crafts centers, among others wooden batik handicraft center in Bubung, the palm sugar processed food products center in Banyusoco, bamboo handicraft center in Semanu, and others.
Through training of contracts preparation technique with other business players, said Enny, they are expected to have the skill in drafting contracts to ensure legal certainty and continuity of their business activities since this contract provides all things related to the implementation of business cooperation including the settlement of all disputes arising from and/or the consequences arising from the execution of such contracts.
"Every business player has an improvedknowledge of commercial contracts and business agreements, and has a precision and discretion in formulating the process of cooperation as stipulated in the trade contract. When things happen outside of the plan, these would already have been anticipated with the best solution as outlined in the contract, thus no negative effect to both parties, "said the Head of Legal Governance of UGM.
The workshop opened by Vice Regent of Gunungkidul, Hj.
Badingah, S. Sos. accompanied by the Head of Industry and Trade Department, Drs. Budi Susanto, presented legal practitioner Mr R.Sumendro, S.H. as the speaker. Hj. Badingah, S. Sos. in his speech stated that the role of commercial contracts in the business world is very influential on all business process because all matters relating to the business process involving the parties will be bound by the contents of the contract.
"Every business player should have an understanding of the principle things that must be accommodated in commercial contracts and they should be able to formulate a trade contract that really accommodates the overall business activity." she explained.
In the meantime, R. Sumendro, S.H. highlights more on general overview of the law of agreements such as the requirements for validity of an agreement, the principles of the agreement, the kinds of agreements, rights and obligations of the parties to the agreement, to the structure and techniques of contract preparation. Sumendro further states that to be able to arrange a contract well, firstly one must recognize the requirements for validity of a contract in order not to cause conflict in its implementation at a later date. "A good agreement should not be contrary to laws, morals and public order." he said.