Indonesia
Modernizing IP: Leveraging Technology and Global Collaboration Against Piracy
Indonesia’s IP protection framework is governed by laws such as the Copyright, Trademark and Patent Acts, with enforcement handled by Commercial and District Courts. Right holders can pursue civil, criminal, or administrative actions, securing remedies such as injunctions, damages, and customs enforcement. The rise of online piracy and counterfeiting presents significant challenges, but Indonesia is stepping up efforts through AI-driven monitoring, stricter penalties, and collaborations with major e-commerce platforms. As digital threats evolve, the country is strengthening international cooperation and modernizing its law enforcement strategies to safeguard IP rights.
Share to your networks!
A. Legal Framework
- Law 7/1994 on Ratification of the WTO Agreement;
- Law 30/1999 on Arbitration and Alternative Dispute Resolution;
- Law 30/2000 on Trade Secrets;
- Law 31/2000 on Industrial Designs
- Law 32/2000 on Layout Design of Integrated Circuits;
- Law 17/2006 on Latest Amendment to Law 10/1995 on Customs;
- Law 28/2014 on Copyright;
- Law 20/2016 on Trademarks and Geographical Indications as amended by Government Regulation in Lieu of Law 2/2022
- Law 65/2024 on Latest Amendment to Law 13/2016 on Patents.
Indonesia is a member of international agreements such as the TRIPS Agreement, the Paris Convention, and the Berne Convention, all of which include policies regarding IP enforcement, and this makes the country’s enforcement authoroties in line with global standards.
B. IP Enforcement Mechanisms
IP holders can enforce their rights through:
- Civil Enforcement
- Injunction: IP holders may request a temporary injunction to the Commercial Court to stop the unauthorized use of their rights.
- Lawsuit/Claim: IP holders may file a lawsuit with the Commercial Court to seek damages, and, simultaneously, request a provisional claim for the same purpose as an injunction.
*NB: cases involving trade secret infringement fall under the jurisdiction of the District Court.
- Administrative and Other Enforcement:
- Custom Recordation: IP holders, based on a court-approved request by the IP holders or their representative, can apply for Customs Recordal to the Directorate General of Customs and Excise, which allows authorities to suspend infringing goods from being cleared in the customs area and to detain suspected infringing imports or exports.¹
- Criminal Enforcement: IP holders have the right to file a criminal report with relevant law enforcement authorities in Indonesia against IP infringement.
- Alternative Dispute Resolution: IP holders may resolve disputes through negotiation, mediation, conciliation, or arbitration, under Law 30/1999.
¹ Government Regulation 20/2017 concerning Controlling The Import Or Export Of Goods Suspected Of Being Or Originating From Intellectual Property Rights Infringement From The Proceeds Of Intellectual Property Rights Infringement
In general, enforcement of IP rights can be pursued through civil and criminal proceedings. Criminal cases are handled by the District Court, while civil cases are handled by the Commercial Court, except for Trade Secrets which are handled by the District Court.
- Commercial Courts at the District Court level in key provincial capitals—Jakarta, Semarang, Surabaya, Medan, and Makassar—have jurisdiction over IP disputes except for Trade Secrets cases, while appeals are handled by the Supreme Court.
- For criminal proceedings, IP enforcement authorities such as the DGIP, Customs, and Police can also collaborate to handle infringement cases.
C. Remedies and Penalties
Under civil routes, legal remedies include but are not limited to damages and injunctions. Additionally, authorities can block or disable pirate websites based on government regulations. While under criminal routes, the infringer may also face fines or imprisonment.
Under criminal routes, the infringer can face the following penalties:
No. | Type of IP | Violation | Sanctions |
1. | Trade Secret |
*Exceptions: Public interest disclosures, reverse engineering.² | Up to 2 years of imprisonment and/or a fine of up to IDR300,000,000.³ |
2. | Trademark | Unauthorized use of an identical registered trademark for similar goods or services. | Up to 5 years of imprisonment and/or a fine of up to IDR2,000,000,000⁴ |
Unauthorized use of a substantially similar trademark for similar goods or services. | Up to 4 years of imprisonment and/or a fine of up to IDR2,000,000,000.⁵ | ||
Use of counterfeit trademarks on goods that pose health hazards, environmental harm, or fatalities. | Up to 10 years of imprisonment and/or a fine of up to IDR5,000,000,000.⁶ | ||
Trading goods, services, or products known or reasonably suspected to be counterfeit. | Up to 1 year of detention and/or a fine of up to IDR200,000,000.⁷ | ||
3. | Patent | Unauthorized manufacture, use, sale, importation, lease, transfer, or offer for sale or lease of a patented product or process. (Complaint-based offense) NB: considered a criminal offense if it causes health/environmental harm or leads to fatalities; mediation is required before prosecutions).
|
|
4. | Copyright | Violations include:¹²
| Up to 2 years of imprisonment and/or a fine of up to IDR300,000,000.¹³ |
Unauthorized reproduction or distribution. |
| ||
Unauthorized commercial use of a person’s portrait. | A fine of up to IDR 500,000,000 (unauthorized portrait use).¹⁷ | ||
Copyright piracy. NB: All Copyright violations are complaint-based offenses |
| ||
5. | Industrial Design | Unauthorized use. NB: complaint-based offense | Up to 4 years of imprisonment and/or a fine of up to IDR300,000,000.²⁰ |
Other violations involved in employment include:²¹
NB: complaint-based offense | Up to 1 year of imprisonment and/or a fine of up to IDR45,000,000.²² | ||
6. | Geographical Indication | Unauthorized use of a mark that has a complete or substantial similarity to a registered geographical indication. NB: complaint-based offense | Up to 4 year of imprisonment and/or a fine of up to IDR2,000,000,000.²³ |
Trading goods or services known to be derived from geographical indication disputes. NB: complaint-based offense | Up to 1 year of detention and/or a fine of up to IDR200,000,000.²⁴ |
² Article 15 of Law 30/2000
³ Article 17 of Law 30/2000
⁴ Article 100 Paragraph (1) of Law 20/2016
⁵ Article 100 Paragraph (2) of Law 20/2016
⁶ Article 100 Paragraph (3) of Law 20/2016
⁷ Article 102 of Law 20/2016
⁸ Article 161 of Law 13/2016
⁹ Article 162 of Law 13/2016
¹⁰ Article 163 Paragraph (1) of Law 13/2016
¹¹ Article 163 Paragraph (2) of Law 13/2016
¹² Article 7 Paragraph (3) and Article 52 of Law 28/2014
¹³ Article 112 of Law 28/2014
¹⁴ Article 113 Paragraph (1) of Law 28/2014
¹⁵ Article 113 Paragraph (2) of Law 28/2014
¹⁶ Article 113 Paragraph (3) of Law 28/2014
¹⁷ Article 115 of Law 28/2014
¹⁸ Article 113 Paragraph (4) of Law 28/2014
¹⁹ Article 114 of Law 28/2014
²⁰ Article 54 Paragraph (1) of Law 31/2000
²¹ Article 7 Paragraph (1) to Paragraph (3) and Article 32 of Law 31/2000
²² Article 54 Paragraph (2) of Law 31/2000
²³ Article 101 of Law 20/2016
²⁴ Article 102 of Law 20/2016
Remedies and penalties for IP disputes in Indonesia are typically enforced through civil lawsuits and criminal sanctions. In civil cases, IP holders can seek damages for losses suffered. In criminal cases, the infringer may face fines and/or imprisonment depending on the severity of the disputes. Authorities may also seize and destroy infringing goods.
D. Alternative Dispute Resolution
Yes, Indonesia provides alternative dispute resolution mechanisms for IP disputes, allowing parties in a legal relationship to resolve disputes through arbitration or any other ADR methods, provided there is a prior agreement explicitly stating that any potential disputes will be resolved through ADR rather than litigation.
Despite its availability, ADR is rarely used for IP disputes. The government established BAM HAKI, an arbitration and mediation institution, but it remains inactive. Most IP disputes, particularly clear-cut infringement cases, are resolved in the Commercial Court.
D. Emerging Challenges
IP enforcement in Indonesia faces growing challenges in the digital era, with increasing cases of digital piracy, counterfeit goods, and trademark infringement, often facilitated through online marketplaces and social media. To combat this, DGIP collaborates with e-commerce platforms like Tokopedia, Shopee, and Lazada to remove illegal products and utilizes technology to detect infringements. The public is also encouraged to report infringements via the DGIP website or related platforms.
Despite these efforts, enforcement remains difficult due to online anonymity, low public awareness, and evolving piracy methods. In response, DGIP is enhancing international cooperation and developing AI-based technologies to improve monitoring while enforcing strict penalties, including imprisonment and fines, against violators. ²⁵
²⁵ SYL, “Tantangan Membasmi Pelanggaran Kekayaan Intelektual di Era Digital”, Kementerian Hukum Republik Indonesia DJKI, 3 Februari 2025, https://www.dgip.go.id/artikel/detail-artikel-berita/tantangan-membasmi-pelanggaran-kekayaan-intelektual-di-era-digital?kategori=Berita%20Resmi%20Desain%20Industri
E. Future Trends
In our view, IP enforcement in Indonesia will continue to evolve along with various regulatory improvements. Despite progress in the legal aspect, challenges remain, especially in dealing with the rampant circulation of counterfeit goods on e-commerce platforms. To address this, the Indonesian Government continues to strengthen protection mechanisms, including through cooperation with several e-commerce platforms. However, in the end, the success of IP enforcement remains dependent on policy consistency, technology utilization, and increased stakeholder awareness and compliance.
The Authors:
Adolf M Panggabean
Partner, ADCO Law
[email protected]
Adolf Martua Panggabean is a seasoned legal professional with more than two decades of experience. He has been involved in handling various clients on aspects of Intellectual Property (IP) registration in Indonesia, including the protection of patents, trademarks, copyrights, and industrial designs. He also represents clients in intellectual property disputes, in both civil and criminal proceedings.
Andini Naulina Rahajeng
Associate, ADCO Law
[email protected]
Andini Naulina Rahajeng is a dedicated and highly skilled legal professional with over three years of experience as an Associate at a prominent law firm specializing in Intellectual Property (IP) Law, Corporate Law, and Commercial Disputes. With a strong foundation in both litigation and non-litigation matters, Andini has demonstrated exceptional expertise in handling complex IP cases, including trademark registration, infringement disputes, and intellectual property digitalization.
Mutia Ufara Rahmadani
Legal Writer, ADCO Law
[email protected]
Mutia Ufara Rahmadani is an astute and accomplished Legal Writer with a strong academic foundation and a growing reputation for delivering impactful legal narratives. At ADCO Law, she is a pivotal contributor, translating complex legal concepts into compelling articles and strategic content that enhances the firm’s visibility and client engagement.
Disclaimer: The following article is intended for general informational purposes only and should not be interpreted as legal advice by ADCO Law. The viewpoints expressed herein do not represent the official legal stance of any of these firms. Consequently, the firms cannot be held accountable for any actions taken by individuals who use this article for purposes other than those for which it is intended.
© 2025 ADCO Law. All Rights Reserved.
