News & Legal Update

A.M | Oktarina Counselor at Law is one of the law firms participating in the International Conference “The Future of ADR In Asia- The Collaborative Approach” at Sunway Hotel, Phnom Penh Cambodia

A.M | Oktarina Counselor at Law is one of the law firms participating in the International Conference “The Future of ADR In Asia- The Collaborative Approach” at Sunway Hotel, Phnom Penh Cambodia   International Conference “The Future of ADR In Asia- The Collaborative Approach” organized by the Collaboration between Indonesia Dispute Board (IDB) and Cambodian Centre for Mediation (CCM) on 15th May, 2024 at Sunway Hotel, Phnom Penh, Cambodia, attended by dispute resolution experts, Indonesian Supreme Court Judges, Lawyers, Businessmen, and Academics from ASEAN countries,  including Cambodia, Indonesia, Singapore, Vietnam, and Australia.  One of them who participated was Poppy Putri Hidayani, S.H., LL.M., CPM, Mediator who is also an Internship Associates at A.M | Oktarina Counselor at Law. The purpose of this international conference is to give a message to professional practitioners of dispute resolution outside the court to better understand the process as well. At the same time through this conference, the organizers want to convey a message to practitioners of out-of-court dispute resolution that in the current era, out-of-court disputes are not for resolving it’s not just for family disputes even the international community has now reached a stage where they can use out-of-court dispute resolution mechanisms to resolve international trade disputes or also cross-border disputs. President of the Indonesian Dispute Council (DSI) Prof. Sabela Gayo, S.H., M.H., Ph.D., said, “The Indonesian Dispute Council today has implemented a historic agenda of holding an International Conference on Alternative Dispute Resolution in Asia in the future with the theme Collaborative Approach,” The event is certainly not only a form of cooperation between the Indonesian Dispute Council (DSI) and the Cambodian Mediation Center (CCM), but there will also be more opportunities for Mediators from both countries to exchange knowledge and experience in carrying out their profession as Professional Mediators.   For more information, please contact: partner@amoktarina.net pasaribu@amoktarina.net 0817779122  

A.M | Oktarina Counselor at Law is one of the law firms participating in the International Conference “The Future of ADR In Asia- The Collaborative Approach” at Sunway Hotel, Phnom Penh Cambodia Read More »

Procedures Of Application For And Issuance Of Transportation Business License For BBG (CNG), LPG, LNG

By AMO Lawyer in conjunction with the Indonesia Directorate General of Oil and Gas Procedures for Obtaining Temporary Business License 1.   Business Entity should submit an application for Business License to the Minister of Energy and Mineral Resources through the Director General of Oil and Gas by enclosing the documents specified in the administrative and technical requirements. The application will be further processed upon completion and fulfillment of the specified administrative and technical requirements. All application documents will be returned if the administrative and technical requirements are not completed. The Business Entity may resubmit application upon completion of all required documents. 2.   The completed administrative and technical documents submitted by the Business Entity will be assessed and evaluated by the Directorate General of Oil and Gas. 3.   For clarification of administrative and technical data and company’s performance, the Business Entity should conduct a presentation. 4.   Site visit will be conducted to ensure the conformity of the administrative data with the information of the Business Entity’s plan. 5.   The Directorate General of Oil and Gas will examine and evaluate the administrative and technical data for approval/refusal of the Temporary Business License. 6.   The Director General of Oil and Gas on behalf of the Minister of Energy and Mineral Resources will issue the Temporary Business License with effective period of maximally 3 (three) years with regard to the approved application for Business License. Procedures for Obtaining Business License 1.   Business Entity shall complete the documents specified in the requirements for issuance of Business License. 2.   Business Entity shall submit an application for Business License. 3.   The Directorate General of Oil and Gas will examine and evaluate the administrative and technical data for approval/refusal of Business License. 4.   The Director General of Oil and Gas on behalf of the Minister of Energy and Mineral Resources will issue the Business License with effective period of maximally 20 (twenty) years with regard to the approved application for Business License. Service Standard In order to provide excellent service to Business Entities, the service process will be completed within 10 working days upon fulfillment of all requirements and accurate completion of all required documents.   TRANSPORTATION BUSINESS LICENSE Transportation Business License for Gas Fuel (CNG), LNG and LPG A.   TEMPORARY BUSINESS LICENSE 1.   Administrative Requirements: a.   The Company’s Deed of Incorporation and its amendment that have been approved by the competent authority. b.   Company Profile. c.   Company Tax Registration Number (NPWP). d.   Certificate of Company Registration (TDP). e.   Certificate of Business Domicile. f.   A written declaration with sufficient stamp duty regarding the company’s commitment to operational safety, occupational health, environmental management and local people development. g.   A written declaration with sufficient stamp duty regarding the company’s commitment to complying with the prevailing laws and regulations. h.   Principle Approval from the Local Government with regard to location for the construction of facilities and infrastructure. i.   A written declaration with sufficient stamp duty regarding the company’s willingness to accept the site visit made by the staff of the Directorate General of Oil and Gas. 2.   Technical Requirements: a.   Preliminary Feasibility Study. b.   Funding guarantee arrangement or any other funding guarantee; c.   Waste Management Plan; d.   Environmental Study Plan; e.   Plan regarding type, quantity, capacity and operating area of transportation facility including the technology to be used. f.   Plan regarding product, standard and quality of product to be transported. g.   Relevant Agency’s Recommendation. Land Ministry of Transportation ●    Motor Vehicle Inspection (KIR) Book/Periodic Inspection Book ●    Copy of Vehicle’s Identification Number (STNK) Directorate of Metrology, Directorate General of Domestic Trade ●    Certificate of Measuring Device Calibration Sea Directorate General of Sea Transportation, Ministry of Transportation ●    SIUPAL (Sea Shipping Business License) ●    Vessel Registration Card ●    Hull Classification Certificate ●    International Oil Pollution Prevention Certificate ●    Certificate of Seaworthiness ●    Nautical Certificate of Registry/Ship Flag Certificate of Registry ●    ISM Code (Document of Compliance and Safety Management Certificate) ●    Route Plan (RPT) ●    Certificate of Equipment ●    Certificate of Machinery ●    Certificate of Fitness for LPG/LNG Directorate of Metrology, Directorate General of Domestic Trade ●    Certificate of Measuring Device Calibration 3.   Obligations of the business entity: a.   Within 2 years upon issuance of the Temporary Transportation Business License, the Business Entity shall execute: ●    Head of Financial Agreement ●    Facility Procurement Agreement Extension may be granted for maximally 1 (one) year. The Temporary Business License shall lawfully expire if within the specified period the Business Entity fails to fully perform the aforesaid obligations. b.   Submit report in writing to the Minister of Energy and Mineral Resources through the Director General of Oil and Gas regarding the progress in the performance of the obligations as referred to in letter a once every 1 (one) month. c.   Complete the procurement of the Transportation facilities and infrastructure within 3 (three) years and such period may be extended for maximally 2 (two) years if the facility procurement process has reached 60% completion. The principle approval shall lawfully terminate if within the specified period the Business Entity fails to complete the procurement of the required Transportation facility and infrastructure. d.   Submit a report to the Minister of Energy and Mineral Resources through the Director General of Oil and Gas regarding the progress in the procurement of the Transportation facility and infrastructure as referred to in letter c above once every 1 (one) month. e.   Submit an application for Transportation business license to the Minister of Energy and Mineral Resources through the Director General of Oil and Gas upon completion of all obligations under the Temporary Business License. 4.   Sanctions Notwithstanding the provision of Article 1266 of the Indonesian Civil Code, the Temporary Transportation Business License for Gas Fuel (CNG), LNG and LPG may be revoked and rendered null and void if: a.   the Business Entity violates any of the prevailing statutory regulations. b.   the Business Entity fails to fulfill its obligations and the provisions set out in the Temporary Transportation Business License for Gas Fuel (BBG/CNG), LNG, LPG. B.   BUSINESS LICENSE 1.   Administrative Requirements:

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Financing Liabilities in Mining Company Compliance

[vc_row][vc_column][vc_column_text]By: AMO Lawyers Contributors: Noverizky Tri Putra Pasaribu S.H LL.M (Adv)[/vc_column_text][vc_tta_tabs][vc_tta_section title=”English” tab_id=”1539672689117-39c88d08-c03e”][vc_column_text]In international business transaction, it is very common for entrepreneur to conduct the financing or loan transaction. This transaction generally is to support the entrepreneur business activity for certain sector such the construction development, company capital injection, contractor settlement payment, to secure the process of the facilities and infrastructure construction and etc. Accordingly, before the Bank may proceed with its approval for the entrepreneur financing or loan transaction, the Bank commonly proceed with its full compliance investigation covering Legal Due Diligence and Financial Due Diligence, where each of the corporate sector, license, government approval, capital current condition, debt and other loan, third party agreement, financial recapitulation, financial report and other elements shall be check very thoroughly. Specifically for the mining company, there is one specific factor that currently becomes a high level of concern or threat for the Bank related with its approval for the financing or loan transaction, respectively for the government approval to the mining company to proceed with its activity for the financing or loan transaction with the Bank. As you may aware, every entrepreneur who wishes to conduct its business in the mining sector shall require complying with the Law No 4 of 2009 concerning mineral and coal mining (“Mining Law”). At the beginning, the holder of IUP (Mining License) and IUPK (Special Mining License) shall have the obligation to conduct a report for its mining activity which regulated under Article 111 of the Mining Law, as follow “Mining Permit holders and Special Mining Permit holders must submit reports in writing periodically on activity plans and implementation of mineral and coal mining business activities to the Minister, governors, or regents/mayors within their authority”. The detail of this written report shall be governed under Government Regulation. One of the detail reference that being use for mining activity report is regulated under the Article of 101 to 105 of the Government Regulation No 23 of 2010 concerning the Implementation of the Mineral and Coal Mining Activity (“PP No 23/2010”) covering the written report for the Work and Budget Plan (Rencana Kerja dan Anggaran Biaya/”RKAB”) where Work and Budget plan shall include change of capital activity for the financing or loan transaction governed under the Ministry Regulation of Energy and Mineral Resources of Republic of Indonesia No 27 of 2013 concerning the Procedure and Determination of the Stock Divestment Price, and the Change of Capital Investment in the Mineral and Mining Coal Sector (“Permen No 27/2013”)    Under Article 15 Permen No 27/2013 stipulated that “the Change of Capital Investment only can be conducted after obtained the approval from the Ministry, Governor or Head of Region/Mayor as in accordance with its authority” and the Change of the Capital Investment shall include the following: the change of investment and financing resources; the change of the company status from Foreign Direct Investment Company (FDI) to the National Investment Company (PMDN) and vice versa; the amendment of Article of Associations; the change of the Director and Board of Commissioner; and the change of Shareholders ownership. For more detail, the regulation provided in the Article 16 of the Permen No 27/2013 stipulated that the request for the change of investment financial resources as provided before shall be conducted with the following required documents, as follow: a. Ground / reason for the change of investment and financial resources; b. Evidence of settlement for the Dead-rent for the IUP Exploration Holder, IUPK Exploration Holder, IUP Operation Production Holder, IUPK Operation Production Holder; c. Evidence of settlement for production dues consecutively for the period of the last 2 (two) years for the IUP Operation Production Holder and IUPK Operation Production Holder; d. Evidence of settlement for production dues for the IUP Exploration Holder and IUPK Exploration Holder that owned the temporary license to conducted the transporting and selling activity. And IUP Operation Production Holder specifically for processing and or refinement that harness the connatural mineral; e. Audited financial report for the last 2 (two) years by the Public Accountant; f. The Facility or Loan Agreement or Financing and credit Agreement; g. The Copy of IUP Exploration Certificate or IUPK Exploration Certificate or IUP Operation Production Certificate or IUPK Operation Production Certificate owned by the mining company registered at the General Directorate of Mining and Mineral Resources and has been declared clean and clear. Furthermore the issue is, that the legal infringement of this provision is not regulated under the Article 30 of Permen No 27/2013 concerning administration sanction. Although such sanction does not stipulated under the Permen No 27/2013, the obligation to obtain the approval from the Ministry, Governor or Head of Region/Mayor as in accordance with its authority for the change of the capital investment and financial resources shall keep binding the mining company. In practice, this issue has become a very imperative concern from the Bank, considering that to conduct the financing or loan transaction, every mining company must in the full compliance position (comply to all obligation under the prevailing law and regulation) except for other obligation that has yet to arise based on the prevailing law and regulation. Further in practice, the Bank shall request to the mining company to provide a security or guarantee in order for the Bank to have the legal immunity to proceed with its approval for the financing or loan transaction as regulated under the prevailing Indonesian Law. To understand its broader context, the mining company generally shall provide the following documents of security in the form of: Corporate guarantee and certificate; Director guarantee and certificate; Commissioner guarantee and certificate; Comfort Letter; etc.   The following security documents as abovementioned shall become the basis or ground of legal immunity for the Bank to provide the financing or loan transaction to the mining company as regulated under the prevailing law and regulation in Indonesia. Therefore, the security for such compliance can be conducted by the mining company and shall not be waived without exception as agreed

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The Financial Services Authority Regulation Number 32/POJK.04/2015

THE FINANCIAL SERVICES AUTHORITY REGULATION NUMBER 32/POJK.04/2015 CONCERNING CAPITAL INCREASES WITH PRE-EMPTIVE RIGHTS FOR PUBLIC COMPANIES (“OJK Regulation No 32/2015”) By: AMO Lawyers Contributors: 1. Translated by: Gilang Mursito Aji S.H LL.M (Adv); 2. Review by: Noverizky Tri Putra Pasaribu S.H LL.M (Adv); Several Important notes from OJK Regulation No 32/2015, as follow: Considering that in order to fulfill the needs of Public Companies in increasing their capital by issuing Pre-Emptive Rights and to increase the quality of public disclosure of information, it is deemed necessary to finalize the regulations concerning the implementation of capital increase in Public Companies that issue Pre-Emptive Rights to its shareholders by enacting the Regulation of Financial Services Authority concerning Capital Increases With Pre-Emptive Rights for Public Companies. Under Article 2 OJK Regulation No 32/2015, If a Public Company required to increase its capital by issuing shares and/or other Equity Securities which either can be converted into shares or give right to buy shares, the concerned Public Company shall provide PER to all of its shareholders in accordance with a certain ratio as their shares ownership percentage. This is conjunction with Article 3 of the same regulation which provide that the obligation to provide PER in shares issuance and/or other Equity Securities as stipulated by Article 2 shall not applicable if the Public Company issues shares in the form of: Bonus Shares which are considered as the Dividend Shares as a result of profit balance that are capitalized as a company capital; and/orBonus Shares which are not considered as the Dividend Shares as a result of shares distribution or other equity elements that are capitalized as a company capital. Moreover, provided under Article 4 of the OJK Regulation No 32/2015, PER is a transferrable right and can be proven by: Ownership records provided in Public Company or Securities Administration Agencies’ list of shareholders;PER certificate issued by the Public Company for shareholders registered at specific date;PER coupon which can be parted from share certificate;Confirmation or a Securities account report issued by Custodian. For more detail information and further reference you may contact us at info@amoktarina.co and n.pasaribu@amoktarina.co and you may download the translated version of the OJK Regulation No 32/2015 below:

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AMO Partnership

A.M | Oktarina Counselor At Law (“the Firm”) has the most potential and professional people working together and merging into one embodied system. One of the Firm Corporate Strategy is to engage with other potential firm and legal entity around the world: Shiftinpartners: http://www.shiftinpartners.com/ We are engaging with the Shiftin and partners to provide a comprehensive service to all of our client. This, including merge with the Firm international portfolio and the International standard which exist in the United Emirat Arab (EUA) and all around the globe where the Shiftin and partners operated. The Shiftin and Partners is one of the most well known and respective commercial and consulting firm in the World. Their main core operation shall be dealing with several market and commercial practice from: 1. Strategy Development 2. Strategy Translation 3. Risk Management 4. Initiative Management 5. Cascading and Alignment 6. Human Capital Alignment 7. Strategy Communication 8. Operational Innovation 9. Reporting Decision Making For more detail please open the above website or contact our lawyer at info@amoktarina.co and n.pasaribu@amoktarin.co  please refer to our contact section as provided under this website. #Incoming Search: Advokat Jakarta, Corporate Lawyer Jakarta, Legal Consultant Jakarta

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Establishment of Foreign Direct Investment Company or FDI/PMA

Transnational transaction around the globe has force many of the business players to establish a strong legal entity in order to build their business power. This entity may in the form of company or limited liability Company, foundation, BV, PT, CV, Legal Firm, organization, LLC, and others. This variation of form shall require a legal base line for many shareholders and or business player in order to enter the market. In Indonesia, every entrepreneur require them self to abide by the prevailing laws which commonly known as the Company Law or Act No 40 of 2007. In Indonesia, the core of law that regulates the establishment of the Company are Law No. 25 of 2007 regarding Capital Investment (hereinafter referred to as “Investment Law”), and Law No. 40 of 2007 regarding Limited Liability Company (hereinafter referred to as “Company Law”). Under the Company Law, every single person or legal entity who wish to build them self a legal company or corporation, they shall require to follow the requirements of 2 (two) shareholders at minimum. This means, that there will be 2 people or legal entity which act as the shareholders or owners. The capital injection which needs to be provided by the shareholders minimally shall be Rp. 50.000.000 (fifty million Rupiah). However this capital injection requirement does not apply should the shareholders wishes to build and established the Foreign Direct Investment Company or PMA/FDI (which in this matter considered as the foreign national legal entity, this due to foreign shareholders who reside under the company establishment). According to the Indonesia Investment Coordinating Board (Badan Koordinasi Penanaman Modal) any legal entity and or person who wish to build and established PMA/FDI shall require a minimum at around of $ 250.000 (two hundred fifty thousand United States Dollar). For most foreign entrepreneur, this capital injection is considered very high and creates obstacles for investment. Therefore, in order to simplify the process and bridging between the foreign investment action and the government, AM | Oktarina Lawyers has the ability to execute the most probable process for this type of foreign national licensing. For more detail, please contact our lawyer.   t #Incoming Search: Advokat Jakarta, Corporate Lawyer Jakarta, Legal Consultant Jakarta

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The Company Structure

By AM | Oktarina Lawyers: The Company structure is created based on the Law No 40 of 2007 Concerning Limited Liability Company (“Company Law”). According to this Company Law, the company organ can be established in 2 ways: 1. The establishment of the Board of Directors: According to the Company Law, the Directors can be appointed through the General Meeting of Shareholders (GMS). The GMS shall be responsible to determined who will become the Directors The Company Law and common practice by GMS provides that the Directors may be appointed for 5 consecutive years. During these years, the Directors shall be responsible for in and out of court obligation and all financial close. The Directors can be divided into 5 common titles: (i) the President Directors; (ii) the Vice President Directors; (iii) the Chief Executive Officer (CEO); (iv) Chief of Operation Officer (COO); and (v) Chief Financial Officer (CFO). The Directors is not an EMPLOYEE. According to the Company Law, the Directors are not part of the management team BUT part of the Executive level, which determined directly by the GMS. Therefore, Law No 13 of 2003 Concerning Employment (“Employment Law”) shall not apply for the Directors. Only the terms provided by GMS and the Company Law apply for the Directors. In this case, all rights reserve by the Company Law The Directors only answer to the GMS, however since the Directors has to provide a clarification once it’s needed by the Commissioner, in some cases the Directors has to answer to the Commissioner. 2. The establishment of the Board of Commissioners: Similar to the Board of the Directors, the Board of Commissioner can be appointed through the GMS and for 5 consecutive years. Commissioner only answer to the GMS The Board of Commissioner function is to provide the supervision mechanism for the Directors action. Therefore the Board of Commissioner has the authority over the Directors. In some cases, the Directors action based on the Article of Association shall require the written approval from the Board of Commissioner; ex: (i) Financing Process or borrowing money; (ii) pledging the company assets; (iii) purchasing other company assets; (iv) releasing some company assets to other third party. The Board of Commissioner shall entitled to the have Directors monthly report if required and warn the Directors should the Directors action beyond its company projected business plan Similarly apply with the Directors; the Employment Law not binds the Board of Commissioner. Only the Company Law and the GMS has authorization over the Board of Commissioner. Both, the Directors and the Board of Commissioner shall be appointed by using the amendment of the Article of Association (Deed of the Article of Association). Therefore, it is very important to determine this deed after the GMS appointment through the Circular Resolution of the GMS and register it at the Ministry of Law and Human Rights. That being said, the validity of the deed is mandatory by law and shall become a strong evidence the Directors and Board of Commissioner titles. For more detail, please contact our lawyer at info@amoktarina.co or n.pasaribu@amokatrina.

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Mr Alexander Diyakonov – Russia Legal Service

In terms of International view and service, we AM. | Oktarina Counsellors at Law has established a wide range of service which consolidate us with many professionals and lawyer around the world, one of them is Mr Alexander  Diyakonov. Acting as lawyer and professional for more than 25 years of experience in many legal issue and service, whether it’s internationally or domestic. Including but not limited to EU law and Non EU Law. My main fields of expertize are direct investments, M&A, due diligence, corporate law, securities, risk management, contract law and legal staff management as well as diverse litigations involved. In Russia I can offer to your potential clients a range of services related to some general and few special areas of law such as: Formation and maintenance of private and public companies with foreign capital  including memorandum, articles and shareholders agreements drafting, statutory registration, reporting, AGM and EGM convocation, minutes of board of directors drafting, substantial and party related transactions legal approval, maintenance of stock ledger, labor and other issues compliance. Establishment or registration of branches and  subsidiaries of foreign corporations, Diverse international and local commercial contract drafting, Including sale of goods, services,  supply contracts, franchise, lease agreements, construction contracts, shipment contracts, loan agreements, labor contracts, Tax policies engineering and consulting in view of best tax regimes applicable. M&A transactions Including the analysis of  target corporations, NDA and term sheet drafting, legal and financial due diligence, final agreement fine tuning and negotiation, financing procurement and related agreements drafting, Stock and bonds issuing with prospectus drafting, IP rights registration and transfer related transactions. IP disputes resolution and related litigations legal representation. Legal analysis in depth of potential commercial disputes in view to take a legal action and assess the reasonableness of such action, Legal representation in diverse commercial litigations , Legal representation in corporate disputes including derivative suits. Legal representation in tort legal actions, Legal representation in arbitration and alternative dispute resolution, Enforcement of court decisions and arbitral awards. Land and real estate transactions legal assistance, Staff recruiting and dismissal legal support. Commercial and corporate litigations including all sorts of disputes arising. Companies winding up and dissolution. Insolvency cases representation, Debt collection,

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Perceiving The Significance Of Maritime Labour Convention 2006

By AMO Lawyers Contributor: Noverizky Tri Putra Pasaribu S.H LL.M (Adv); Gilang Mursito Aji S.H LL.M (Adv); Maritime Labour Convention (“MLC 2006”) was established in Geneva, Swiss as a part of the International Labor Organization (“ILO”). This convention was adopted with the purpose as to make sure that the rights and needs of seafarers can be secured.  The MLC 2006 provides a set of comprehensive rights and protection at work for seafarers and aims to achieve a proper on board conditions covering various aspects, including working hours, health and safety, crew accommodation, seafarers’ welfare, and seafarers’ contractual arrangements. Another globally well-known convention regarding the maritime law is the United Nation Convention on The Law of the Sea (“UNCLOS”) which was concluded in 1982 and came into force in 1994. The UNCLOS defined the limits of the territorial seas of nations and the areas in which they could exploit the marine resources. Therefore, it did not provide any provisions regarding employment or working standards of seafarers as stipulated in MLC 2006. Although Indonesia had ratified the UNCLOS back in 1986, but this is not the case with the MLC 2006. Up until now, Indonesia has not yet become one of the Member States in MLC 2006. Nevertheless, an understanding of this Convention is of utmost importance for Indonesian seafarers, particularly for seafarers that are employed in a foreign ship. Therefore, in this article we will talk about the most important provisions of MLC 2006 that Indonesian seafarers or ship-owners have to take into consideration.   The Subject Matter of MLC 2006 1. The Requirements for Seafarers According to MLC 2006 The general mandatory requirements for seafarers to work in a ship according to MLC 2006: The minimum age for a person to be employed or engaged in a ship is 16 years old. However, a higher age requirement is needed in particular conditions such as where the work is likely to jeopardize their health or safety. In such conditions, the minimum age of the seafarers shall be 18 years old. Hold a valid medical certification issued by a duly qualified medical practitioner. This medical certification shall attest that they are medically fit to perform the duties they will carry out at the sea. The medical certificate shall be in accordance with the requirements provided in the International Convention on Standards of Training, Certificate, and Watch keeping for Seafarers 1978 as amended by the 2010 Manila Amendments (“STCW”). In addition, the persons concerned with the conduct of medical fitness examinations of seafarer candidates and serving seafarers (i.e. the competent authority, medical practitioners, examiners, and ship-owners) should follow the ILO/WHO Guidelines for Conducting Pre-sea and Periodic Medical Fitness Examinations for Seafarers, including any subsequent versions, and any other applicable guidelines published by the ILO, International Maritime Organization (“IMO”), or World Health Organization (“WHO”). Currently, the aforementioned standards are also being followed in Indonesia. Has successfully completed training and certification of competence required, particularly with regard to personal safety on board ship. This training and certification shall be in accordance with the mandatory instruments adopted by the IMO (i.e. STCW). The recruitment and placement system shall be efficient, adequate, and accountable. Moreover, it shall conform to the standards set out in MLC 2006. 2. Conditions of Employment The seafarers’ employment agreement shall be in writing and legally enforceable. Therefore, it shall be in compliance with the standards set out in the MLC 2006(i.e. it shall contain full identity of the seafarers and ship owner, the place and date of the agreement, wages, annual leave, termination conditions, health and security benefits, etc.). These standards have been duly complied by the Indonesian law (Governmental Decree of Republic Indonesia No. 7 Year 2000 concerning Seafarer/”PP no. 7 tahun 2000”). Accordingly, both parties may choose the applicable law for the seafarers’ employment agreement. However, an Indonesian Court will not recognize an agreement written in foreign language, thus it is highly advisable for Indonesian Seafarer to use Indonesian language for their employment agreement or at least it has to be made bilingually (e.g. English and Bahasa Indonesia). Seafarers shall have the freedom to enter the employment agreement. Furthermore, they shall have the opportunity to review and seek advice regarding the terms and conditions provided there. The payment of the wages shall be paid on monthly intervals basis and in accordance with minimum wage fixed by the international labour standards, which is US$614 for the basic monthly minimum wage as of 1 January 2016 (according to the Resolution of Joint Maritime Commission on 28 February 2014: http://www.ilo.org/global/about-the-ilo/newsroom/news/WCMS_236644/lang–en/index.htm). However, Indonesian Minimum Wage (based on Provincial/Regional Minimum Wage) is still far below this standard since many of the Indonesian seafarers are still being paid lower than US$400 per month. The normal working hour’s standard shall be no more than an eight-hour per day with one day of rest per week and rest on public holiday. In addition, the maximum hours of work shall be 14 hours in any 24-hour period and 72 hours in any seven-day period. Seafarers are entitled for an annual leave which subject to any collective agreement or national laws / regulations. In this respect, the annual leave with pay entitlement shall be calculated on the basis of minimum of 2.5 calendar days per month of employment. Seafarers have a right to be repatriated at no cost to themselves if the seafarers’ agreement expires while they are abroad; or when the agreement is terminated by the ship-owner or by the seafarer for justified reasons. Moreover, they are entitled to be repatriated when they are no longer able to carry on their duties in specific circumstances. Seafarers are entitled for adequate compensation in the case of injury, loss, or unemployment arising from the ship’s loss or foundering. The indemnity against unemployment for such cases may be limited to two months’ wages. Ships are required to have sufficient number of seafarers on board, taking into account the particular nature and conditions of the voyage. Member States of MLC 2006 shall

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