Legal Consequences of Acquiring Company of Mining License Holder That Has Not Obtained Government Approval toward Mining License Transfer and Control

Danang Muhammad Zawahirul Fahmi, Sukanda Husin, Rembrandt Rembrandt


The objectives of this research are 1) to find out the legal consequences of acquiring company of mining license holder that has not obtained government approval toward mining license transfer and control, 2) to find out the legal liabilities of company that acquires company of mining license holder. This legal research applies the method of normative juridical legal approach. The data analysis technique employs qualitative analysis. The results of this research revealed that the acquirer actually does not have any legal liability to the acquired party unless the acquirer is indeed proven to have committed bad faith during and after the acquisition process which could harm other parties including third parties. Thus, the acquirer can be held directly liable through the court or other ways. Meanwhile, the legal liability of the acquired party is that they must carry out an administrative process to the relevant agencies namely the Ministry of Energy and Mineral Resources, to fulfill the provisions referred to in Article 93 of the Mineral and Coal Law. The party that acquires the company of mining license holder has the same obligation as the acquired party. The acquirer must comply with the provisions in the form of obligations which are required to the mining license holder such as the provisions of Article 95 up to 112 of Mineral and Coal Law.


Law; Acquisition; Company; Mining Business

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- 1945 Constitution of the Republic of Indonesia

- Law No. 5 of 1960 concerning Basic Agrarian Principles

- Law of the Republic of Indonesia No. 4 of 2009 concerning Mineral and Coal Mining

- Law No. 40 of 2007 concerning Limited Liability Companies.

- Law No. 5 of 1960 concerning Basic Regulations on Agrarian Principles Article 2 paragraph (2) explaining that State control rights authorize to: a. regulate and administer the designation, use, supply and maintenance of the earth, water and space; b. determine and regulate legal relations between people and earth, water and space; c. determine and regulate the legal relationships of people and legal actions concerning the earth, water and space.

- Indonesia, Law of the Republic of Indonesia No. 4 of 2009 concerning Mineral and Coal Mining, in reviewing the letter “a”.

- Article 1338 of Civil Code: “All agreements are made in accordance with the applicable Law as a Law for those who make it. The agreement is irrevocable other than by agreement of both parties or for reasons determined by the Law. Approval must be carried out in good faith. (Civil Code 751, 1066, 1243 etc., 1266 etc., 1335 etc., 1363, 1603, 1611, 1646-3?, 1688, 1813.).”

- Article 51 of the Mineral and Coal Law.



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