Consistent law enforcement and legal certainty in public and private sectors are key to a country’s economic development.
Poor legal certainty creates obstacles to foreign investment, making it crucial to establish a balanced legal framework that safeguards both public and private interests, combats corruption, and ensures consistency in judicial rulings.
These issues were discussed in a focus group discussion (FGD) titled “Private and Public Law in Motion: A Comparative Exploration of Legal Regimes,” featuring legal experts from Indonesia, Canada, and the United States. The event took place at the Faculty of Law, Universitas Gadjah Mada (FH UGM), on Friday (Feb. 7).
Professor Paripurna P. Sugarda, a professor of commercial law at FH UGM, emphasized the importance of cooperation between the government and the private sector in strengthening Indonesia’s legal infrastructure to drive economic progress.
“Legal certainty remains a challenge for us in advancing the economy,” he said.
He further elaborated on the Public-Private Partnership (PPP) model for public infrastructure development, in which the government plans infrastructure needs while the private sector funds, develops, and manages projects for an agreed-upon period.
“By involving the private sector, the state can reduce budget burdens and utilize greater resources,” he explained.
Dr. Dian Rositawati, from the Indonesian Institute for Independent Judiciary, stressed the importance of judicial competency in interpreting laws holistically—beyond normative aspects—to consider the influence of public actors on judicial decisions. She highlighted the role of constitutional principles in ensuring a fair judicial system.
“Issues such as corporate social responsibility (CSR), environmental protection, and technological developments shape the interaction between public and private law, where the Supreme Court plays a key role,” she said.
Meanwhile, Dr. Binziad Kadafi, a member of the Judicial Commission, pointed out major challenges in Indonesia’s judiciary, particularly public distrust due to bribery, case brokerage, and corruption.
“While internal oversight exists, it remains ineffective. The Judicial Commission only oversees judges, often neglecting court clerks and other judicial staff,” he stated.
Despite efforts such as court system automation, internal monitoring remains limited, especially regarding high-ranking judicial officials. Dr. Kadafi stressed the need for stronger transparency and accountability in judicial processes.
From an international perspective, Deepti Panda, a doctoral candidate at Queen’s University, Canada, addressed global legal challenges, including sovereign insolvency, international arbitration, and their impact on national policies.
She discussed how international treaties such as the New York Convention and the ICSID (International Centre for Settlement of Investment Disputes) help resolve state disputes.
“Debt-ridden countries are often forced to divert assets and revenue to fulfill international obligations, sometimes at the expense of their citizens’ welfare,” she explained.
Aliyah Shaheedah Sabree, a judge in the U.S. state of Michigan, shared insights from her eight years of judicial experience. She discussed key challenges in the justice system, including corruption, low judicial salaries, and inequality in legal access.
“The justice system often disadvantages individuals with limited resources, so we must ensure equal access,” she emphasized.
She highlighted Michigan’s proactive response to emerging technologies like Artificial Intelligence (AI) and data protection. When AI tools like ChatGPT emerged in 2022, Michigan was among the first states to establish a task force to explore its impact on the judiciary.
“Ignoring AI is not a solution. We need to adapt,” she said.
In October, Michigan’s judiciary released a report with recommendations from judges and lawyers on AI use in the court system. Sabree noted that judicial professionals, often older and cautious about new technology, must be trained in AI applications.
Efforts to improve accessibility have included 24/7 virtual interpreters and AI-assisted workload management for judges.
“Michigan has one of the largest court systems in the U.S., handling over 50,000 cases in seven years. Any effort to improve judicial efficiency is highly valuable,” she concluded.
The discussion underscored the need for innovative legal strategies and greater transparency to enhance legal certainty in Indonesia and beyond, ultimately fostering sustainable economic development.
Author: Lintang
Editor: Gusti Grehenson
Photographer: Donnie