Karya Ilmiah
SKRIPSI (6399) - Corporate Civil Liability Of Parent Companies For Damages Caused By Human Rights Violations Of Foreign Subsidiaries Under Indonesian Law
This undergraduate thesis explores the potential avenues under Indonesian law for establishing corporate civil liability on parent companies for the human rights violations of their foreign subsidiaries. It examines two legal issues: 1) the extent of parent company liability under Indonesian law; and 2) the establishment of parent company liability for human rights violations of a foreign subsidiary. In assessing such issues, it utilizes three approaches, namely statutory, case, and conceptual. This undergraduate thesis discovers that Law No. 40 of 2007 concerning Limited Liability Companies restricts parent liability through the principles of separate legal personality and limited liability. However, establishing parent liability for human rights violations of a foreign subsidiary may be plausible if the corporate veil is pierced. Furthermore, parent liability may be used through Article 1365 of the Indonesian Civil Code, which requires the parent company to owe a duty of care pursuant to unwritten law. This may be developed by looking into the parent company’s influence on its subsidiary’s business operations and human rights policies. Due care of the parent company is further cultivated by relying on the expectation of an enterprise to prevent, mitigate, and address human rights impacts throughout its value chain, as endorsed by the United Nations Guiding Principles on Business and Human Rights. Alternatively, the application Article 1367 of the Indonesian Civil Code poses a possibility, but its utilization should be done on a case-by-case basis, contingent on the human rights violation and the dependence of the subsidiary towards the parent company.
032011133070 | 6399 | Ruang Skripsi | Tersedia |
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