Title:
The Efficiency and Effectiveness of E-commerce Consumer Protection Law Enforcement in Indonesia's Digital Economy

Authors:
Yanto Sufriadi, Alauddin, Indonesia

Abstract:

The Government's policy of implementing social restrictions to prevent the spread of COVID-19 has led to an increased reliance on the internet for daily needs, triggering significant growth in the digital economy. However, this rise in internet usage has also resulted in a surge in crimes that harm consumers. The government must enhance the efficiency and effectiveness of consumer protection law enforcement. This paper aims to analyze the relationship between digital economic growth and e-commerce fraud and evaluate the efficiency and effectiveness of consumer protection law enforcement in Indonesia. This normative legal research employs economic and statutory approaches, utilizing primary legal materials such as laws and government regulations, and secondary legal materials including books, research findings, journals, and electronic information. The study concludes that while digital economic growth in Indonesia spiked during the COVID-19 pandemic, it was accompanied by a rise in e-commerce fraud. Consumer protection law enforcement, as regulated by consumer protection laws, is relatively efficient in terms of dispute resolution time since consumer lawsuits can be settled quickly. However, it is less efficient for business actors who bear the costs of attending examinations at consumer dispute resolution agencies and/or court hearings. Dispute resolution between consumers and business actors is highly effective, prioritizing agreements between the parties and resolving nearly all consumer complaints. The study recommends that all disputes between consumers and business actors in electronic trading be resolved electronically (Online Dispute Resolution) to ensure justice for all parties involved.

DOI: https://doi.org/10.51505/IJEBMR.2024.8601