Refunds for Concert Ticket Purchases from the Perspective of Consumer Protection Regulations
Refunds for Concert Ticket Purchases from the Perspective of Consumer Protection Regulations
By : A.M Oktarina Counsellors at Law
Contributors : Pramudya Yudhatama, S.H., Putri Shaquilla, S.H., Khaifa Muna Noer Uh’Dina,S.H., Raysha Alfira,S.H.
Reviewer : Noverizky Tri Putra Pasaribu, S.H., L.L.M (Adv).
A. Background
We just went through the COVID-19 pandemic some time ago. This was then marked by the return of concert business from well-known artists, both local and international. Of course, this is a “breath of fresh air” for fans who almost always miss seeing their idols in person. We may see, many artists are competing to announce their presence in Indonesia. Call it Coldplay, one of the internationally renowned bands whose presence, ticket sales are very presenting extraordinary euphoria. But like two sides of a coin, this also needs to be a concern from the regulatory aspect. Euphoria is also required to be corrected with vigilance and caution. In this case, the law is again a “limiter” and a “reminder” in that sea of euphoria. But how come?
Whether or not we may do it, we certainly need to look at what legal aspects are related to organizing concerts. There are so many things that may be peeled and become a concern. Especially is our caution as consumers, how to mitigate it? So we as consumers must be introspective and have another perspective on all possible risks. Before the concert is carried out, of course we cannot deny the risks that beyond anyone’s control. Conditionally there might be a natural disaster, or a regulations, even or for something that cancel the concert? So what about tickets that has been purchase? Because of this, regulations are present to fill the legal construct. In the legal aspect of Indonesia, as consumers we are protected by the presence of the consumer protection law. Specifically related to this may be seen from several regulation and any legal aspect. This may be described as follows in the legal basis section.
B. Legal Basis
- Indonesia Civil Code (“Civil Code”);
- Law Number 8 of 1999 concerning Consumer Protection (“UUPK“)/ Consumer Protection Law;
- Government Regulation of the Republic of Indonesia Number 80 of 2019 concerning Trading Through Electronic Systems (“PP PMSE“).
For the first, we must to see and understand that in Article 1320 of the Civil Code, regarding the legal terms of the agreement, it is regulated as follows:
“For the validity of an agreement needs four qualifications:
- the consent of those who bind themselves;
- the capability to make an agreement;
- the a particular object;
- a lawful cause;”
Looking at the regulation, it should be remembered first, that the sale of concert tickets is an agreement that gives rise to legal rights for the parties who agree to it.
Article 1239 of the Civil Code:
“Every engagement to do something, or not to do something, shall be settled by reimbursement of costs, losses and interest, if the debtor fails to fulfill his obligations.”
Looking at the regulation, the Civil Code implicitly regulates the diction of refunds for engagements. Of course, with consumers buying tickets at a certain price, they must have fulfilled the elements of engagement that give rise to rights and obligations. In addition, Article 1239 of the Civil Code, in line with the Government of Indonesia as the regulator, which ratified and enacted UUPK. In particular, Article 4 letter (h) and Article 7 letter (g) mention the refund mechanism that reads:
Article 4 letter (h):
“The right to obtain compensation, compensation and/or replacement, if the goods and/or services received are not in accordance with the agreement or are not as they should be;”
Article 7 letter (g):
“Provide compensation, compensation and/or replacement if the goods and/or services received or utilized are not in accordance with the agreement.”
This is also contained in the PP PMSE, in Article 71 that reads:
“Every domestic PPMSE and/or overseas PPMSE that receives payments must have or provide a mechanism that can ensure the refund of the Consumer in the event of cancellation of the purchase by the Consumer.”
*PPMSE here means the Operator of Trading Through Electronic Systems (vide Article 1 number 11 PP PMSE)
This is also further emphasized by the choice of domestic or international settlements contained in PP PMSE, as in articles 72 and 74 as follows:
Article 72 of the PP PMSE (3):
“In the event of a dispute between Internal Business Actors State and Consumers, Consumers may sue Business Actors through a dispute resolution agency Consumers or submit to the judiciary in place of domicile of the Consumer.”
Article 74 of the PP PMSE (1) and (2):
“The parties have the authority to determine court forum, arbitration, or settlement institution other alternative disputes authorized to handle disputes that may arise from an international PMSE he made.”
“In the event that the parties do not make a choice of forum as referred to in paragraph (1), determination jurisdiction of courts, arbitrations, or institutions other authorized alternative dispute resolution handle disputes that may arise from transactions is based on the principle of Civil Law international.”
However, if consumers are still not satisfied with their rights, consumers may take legal remedies at UUPK, such as filing a lawsuit in the general judicial environment, as stated in Article 45 of the UUPK, Article 47 of the UUPK:
Article 45 of the UUPK:
- “Every aggrieved consumer can sue business actors through institutions in charge of resolving disputes between consumers and business actors or through courts in the general judicial environment.”
Article 47 of the UUPK:
“Settlement of consumer disputes outside the court is held to reach an agreement on the form and amount of compensation and / or on certain actions to guarantee that there will not be a recurrence or will not recur the losses suffered by consumers.”
Article 49 of the UUPK:
- “The government established a consumer dispute resolution body in Level II Regions for out-of-court settlement of consumer disputes.”
C. Conclusion
Looking at and referring to the regulations above, it may be analyzed that consumer protection law has provided space for consumers to express their rights to a refund, and has been given room for resolution, but in it is implementation, consumers must be more thorough and careful about the tickets to be purchased. Consumers who feel aggrieved, may make the necessary legal efforts as we explained above. However, consumers must also understand that there are obligations and limitations that they must also comply with. Because buying tickets should be symbiosis of mutually beneficial mutualism. Apart from that, ticket manufacturers/sellers, in this case, also need to understand the refund regulations in Indonesia. So that the parties are both enlightened from a legal perspective, understand each other’s rights and obligations, and respect each other. So in the event, the Coldplay concert, or any other different concert cancel, due to any reason the customer should have taken any legal remedy to obtained the refund ticket or any other compensation through the above legal construct or remedies.
On the basis of the above, of course we as consumers still should not ignore this. Responsibility, vigilance, and risk mitigation need to be increased by always paying attention to applicable legal aspects. Of course, so that a sense of security and comfort in implementation is always maintained and provides a good and memorable experience.
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