Humans require fundings in fulfilling their needs in life, such as primary, secondary, and tertiary necessities. Funds are used for some purposes such as venture development, working capital, investment, etc. In accordance to the function of bank which is to gather and distribute fundings to the society, banks may distribute such fundings in the form of loan. The granting of loan from banks as creditors is written in a loan agreement document. In fact, there will always be risk of non performing loan, which lead to the process of Cession, to shift the creditor’s right to claim debt payment, from Bank (as Assignor) to a new creditor (as Assignee). Repeated process in assigning right to claim receivables may cause loss to the Assignee, and the right of the Asignee has to be protected by the law. The method used in this study is the juridical normative method on a descriptive analytical nature. The study also uses statue approach and conceptual approach. The aims of this research is to have further review and analysis, about how Indonesian legal system regulates the settlement of credit, related with cession / assignment, which has been done more than once. The conclusion that can be drawn is: Cession is a legal action which causes a main legal consequences, that is shifted right to claim payment of debt, from first creditor to the new creditor. Debtor still have obligation to pay the debt, but now to the new creditor. In fact, cession is done because the first creditor consider several conditions in the debtor, that makes the debt potentially unpaid. The new creditor has to consider and understand the risks before signing cession agreement. Repeated cession has no clear regulation in Indonesia, but it’s commonly done by bankers and credit practicioners. This research sugests: government should issue regulation regarding the implementation of repeated cession, in order to protect the rights of the last Assignee. For bankers and credit practicioners, repeated cession should not be considered as recommended way to solve non-performing loans.
The legality of an agreement needed to provide protection for the parties. The diverting of receivable of title has been made by the parties through the cession agreement. The cession agreement has been diverting more than once, through sales and pruchase agreements. On process of repeated cession, the legality was ambiguity. In Article 1313 Indonesian Civil Code state "An agreement is an act pursuant to which one or more individuals commit themselves to one another". It means that the agreement creates rights and obligations among the parties. Legal protection is needed for the parties. The decree of Supreme Court No. 268 / K / PDT, does not provide protection for the buyer of repeated cession. On Article 28D paragraph 1 ofThe 1945 Constitution of The Republic of Indonesia "Every person shall be entitled to recognition, guaranty, protection, and equitable legal certainty as well as equal treatment before the law". This study aims to determine of legal protection for the buyer on repeated cession also for to find out the legality of repeated cession. This research uses a normative judicial method. This research aims to discover the legality and legal protection for the buyer of repeated cession. This research concludes that the repeated cession are legal, and legal protection for buyer are provide by the law. The decree of supreme court has deviation the agremeents/ law.
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