Legal Analysis in the Implementation of Per Se Illegal and Rule of Reason Approaches in Cooking Oil Cartel
Abstract
Cartels are classified as serious violations of competition law because they affect
price volatility, which in turn affects consumers' purchasing power. Law no 5 of
1999 regulates about monopolistic practices and unfair business competition
which then obliged all business actors to implement a fair business activity. But
still there are some people who don’t complying the regulation like the occurrence
of cases of alleged violation of Article 5 and Article 19 letter c of Law Number 5
Year 1999 which involved 27 palm oil companies producing cooking oil with the
discovery of 1.1 million litters of cooking oil stockpiled in a storage warehouse in
Deli Serdang. With problem formulation, namely, why the KPPU stated all the
reported cooking oil producers are not proven to have committed a cartel and how
to implement the per se illegal and rule or reason approaches in this case. This
research uses normative method with 3 approaches that is statute approach, case
approach, and conceptual approach. This study concludes that KPPU decided
that the reported parties were not proven to have violated the law since there are
elements of the article that are not fulfilled. For the implementation of approach
in article 5 uses a per se illegal approach, which means that the action is deemed
to have violated fair business competition without the need for further analysis.
Meanwhile, Article 19c which uses the rule of reason approach requires further
evaluation of actions that were violated by business actors, consideration, and
determination of whether these actions impede competition by showing the
consequences for other business actors or the general economy.
Collections
- Law [2335]