Legal Risk Mitigations on Trademark Rights as Bank Guarantee Credit

Abstract

Credit problem and even bad credit are a problem for banks, because the existence of credit problem is not only decrease the bank incomes but decrease the profit. This research has a purpose to examine the risk mitigation on object guarantee in form of trademark rights which conducted by bank. The method used here is normative method by statutory and conceptual approach. This research used Burgerlijk Wetboek (BW), the Constitutions Number 20/2016 about Brands and Geographic indication, the Constitution of Banks, The Constitution Number 42/1999 about the Fiduciary Guarantee and Implementing the Regulation as legal material, and books, journal, research report, and article as secondary material. The result of this analysis showed that guarantee as bank effort to ward off legal risk such as weakness of the alliance until not fulfilled the contractual terms or not perfect of collateral binding even the cancellation of the brand certificate. Based on the result, this research concluded that bank have to anticipate legal risk which possible appeared from a brand, such as binding of principal agreement that which does not fulfill the conditions of the validity of the agreement or the collateral agreement which is not perfect the binding, even on the brand certificates is possibly to be cancelled.