Consumer Protection for a Lessee Who Rent a Property in Indonesia: Does that Exist?

In the US, the phrase “customer is king” has become a commonly used term in the business world. This philosophy is based on the idea that satisfied customers are returning customers, which helps businesses to grow and thrive. It is a concept that has resonated well with consumers and has led to a range of consumer protection laws, aimed at ensuring that the customer is always treated fairly.

There are many interesting cases related to the consumer protection, for example the McDonald’s Case, also known as the “Hot Coffee” lawsuit, arguably as one of the most famous cases in consumer protection history. A case of a 79-year-old woman purchased a cup of coffee from a McDonald’s drive-thru and accidentally spilled the coffee on her lap and suffered third-degree burns. She sued McDonald’s, arguing that the coffee was unreasonably hot and that the restaurant failed to adequately warn her of the dangers. The case went to trial and she was awarded a certain amount of money in damages.

Or the Pepsi Harrier Jet case is a classic example of how a promotional campaign to consumer can go wrong. The case involved Pepsi offering consumers the chance to earn points towards winning various prizes, including a Harrier jet aircraft. When a man named John Leonard decided to take advantage of this promotion and claim his Harrier jet – a military-grade fighter plane valued at $23 million; Pepsi refused to fulfill the request, citing a disclaimer in the campaign rules that stated the Harrier Jet reward was only a hypothetical and intended for advertising purposes only.  The Pepsi Harrier Jet case is a cautionary tale for companies engaging in promotional campaigns to carefully craft their advertisements and avoid confusing or misleading language.

In Indonesia, the government formed a special agency called Badan Perlindungan Konsumen (BPSK)/Consumer Protection Agency to protect consumer interest, including a lessee who rent a property in Indonesia. For example, foreigners who rent a villa are protected under Indonesian consumer protection law, which ensures that customers are treated fairly and have their rights upheld. This law applies to all rental agreements, and the lessor is not limited to corporation but also individual, and is designed to prevent exploitation and ensure that customers receive the services they have paid for.

The most common issues are related to the misrepresentation of the properties because the lessee only see the property via online platforms without having opportunity to inspect the property in person. Based on the photos and descriptions provided, the potential lessee usually books properties online.

However, the photographs and descriptions provided online do not always accurately represent the actual state of the property. The lessees may fall to the misrepresentation of property pictures sent online, arriving at their booked villa only to find a different standard of accommodation than what they were promised.

The role of BPSK is crucial in protecting lessees from such misrepresentations. Consumer Protection Agency operate to ensure that businesses provide accurate and truthful information about their goods and services. They also aim to protect consumers from unfair business practices, such as false advertising or misleading promotion.

In conclusion, the misrepresentation of property is a pressing issue for lessees. However, with the involvement of consumer protection agency, it is possible to help the lessee to get their rights as they were promised.

Disclaimer: The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only.  Information on this website may not constitute the most up-to-date legal or other information.

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