BILLS OF EXCHANGE NOT PAID IN THE CASE OF THE SALE AND PURCHASE OF TEXTILE MACHINERY
Based on the “funding agreement,” the financier has paid the machine’s purchase price for the buyer’s interest to the seller. The financier then issued Bills of Exchange/Wesel, which the buyer then accepts with a promise to pay the financier when the bill matures. With the emergence of a dispute between the buyer and the seller on the implementation of the contents of the sale and purchase agreement, the financier cannot be involved in this dispute.
The buyer is still obligated to pay the bill that has been accepted by the financier when the bill is due. The buyer of goods who refuses to pay for the bill that has been accepted will result in them having committed an “unlawful act,” with the obligation to pay the money order plus compensation money to the financier.
The sale and purchase agreement for the goods is separate from the funding agreement for the sale and purchase.
- Supreme Court Decision No. 529 K/Pdt/1995, dated 8 January 1999
Source: Compilation of Supreme Court Abstract Legal Decisions on the Law of Debts and Receivables, By: Ali Boediarto, S.H. Publisher: Indonesian Judges Association, Page 454.
Best regards,
Fredrik J. Pinakunary