Haidilao Opens Its First Halal Hotpot Restaurant in Indonesia, with QUEEN LAW FIRM Supporting the Project

Posted by Dr. Guan Yue on 21/01/2026

On 15 January 2026, Haidilao officially launched its new project in Indonesia — its first halal hotpot restaurant, “SIZZLING HOTSPOT.” The project has been systematically developed and prepared over approximately six months, from early-stage planning through to its official opening and commencement of operations. This launch represents a significant milestone in Haidilao’s Indonesia market strategy, highlighting the brand’s commitment to localization, as well as its consistent emphasis on regulatory compliance and halal standards.

As the world’s largest Muslim-majority country, Indonesia maintains a structured regulatory framework and relatively high compliance standards in the food and beverage sector, particularly in relation to halal requirements, licensing, and operational governance. The opening of SIZZLING HOTSPOT reflects not only Haidilao’s active response to local consumer demand, but also the company’s disciplined approach to cross-border operations, where compliance and governance are treated as core foundations for sustainable business growth. Throughout the six-month preparation period, the project advanced in a structured manner to ensure a stable and scalable operational model.

During the project development, QUEEN LAW FIRM served as Haidilao’s legal counsel team for this project and maintained close coordination with relevant stakeholders to support the orderly progress of the project through to its successful launch and transition into operational stage.

Following the opening, QUEEN LAW FIRM formally delivered the relevant licenses and permits to the store manager, completing the required handover procedures. This delivery represents an important compliance milestone and signifies that the restaurant has entered a more structured operational phase. Operating licenses and permits serve as a critical legal basis for commercial activities and support stable, compliant, and sustainable operations.

The launch of SIZZLING HOTSPOT is widely viewed as a key step in Haidilao’s continued expansion in Indonesia. As consumer expectations continue to rise across brand experience, service quality, and food safety, Haidilao remains committed to integrating product innovation, service enhancement, and localized operational strategies. The successful opening of this project — built through six months of preparation — also provides valuable practical experience and a replicable foundation for future expansion, particularly within Indonesia’s halal dining segment.

SIZZLING HOTSPOT has now entered its operational stage. Haidilao will continue to advance the development plans for this project, further refining its operational framework, strengthening its store network, and expanding brand presence across Indonesia. With this restaurant as a starting point, Haidilao will continue to deepen its long-term strategic footprint and drive the project’s sustained growth and scalability.

Looking ahead, QUEEN LAW FIRM will continue to serve as Haidilao’s legal counsel for this project, supporting its ongoing development and contributing to stable long-term operations and expansion. QUEEN LAW FIRM will continue to uphold high professional standards and a prudent approach, working alongside the client to support the project’s sustainable development within Indonesia.

The opening of SIZZLING HOTSPOT represents not only Haidilao’s latest achievement in international expansion, but also an important example of a Chinese restaurant brand entering and developing within the halal market in Southeast Asia. As the project continues to mature, Haidilao is expected to further strengthen its influence in Indonesia and create new momentum for broader growth in the region.

ANNUAL REVIEW 2025 – QUEEN LAW FIRM

Posted by Admin on 28/12/2025

The year 2025 marked a year of steady consolidation and advancement for QUEEN LAW FIRM in its development as a professional, structured, and internationally oriented law firm. Throughout the year, we continued to refine our integrated legal service system, covering cross-border commercial matters, contract drafting and review, legal opinions and due diligence, criminal and civil litigation, as well as retainer legal counsel services.

We were honored to serve numerous global multinational corporations, Chinese Central State-Owned Enterprises (SOEs), and large corporate groups, delivering legal services that emphasize compliance, risk control, and practical enforceability.

I. Strengthening Cross-Border Commercial Legal Services

In 2025, QUEEN LAW FIRM focused on cross-border commercial matters involving foreign investment, joint ventures, mergers and acquisitions, and complex business structures.

Our approach ensures that each transaction structure is:

legally compliant,
commercially viable, and
practically enforceable.

This enables clients to manage legal risks effectively in cross-border operations.

II. Contract Drafting and Review with a Transaction-Driven Approach

Contracts serve as the legal embodiment of transaction structures and risk allocation. During 2025, QUEEN LAW FIRM provided bespoke, non-template-based contract drafting and review services, including:

Joint venture and shareholders’ agreements
M&A transaction documents and ancillary agreements
Long-term commercial, supply, distribution, and framework agreements
Service, technology, and project-related contracts

Our review goes beyond textual revisions, focusing on rights and obligations, risk allocation, default mechanisms, dispute resolution, and enforceability. Even under tight timelines, contracts were delivered efficiently without compromising legal integrity.

III. Legal Opinions and Legal Due Diligence for Chinese Central SOEs

(i) Legal Opinions

QUEEN LAW FIRM was engaged to issue legal opinions for Chinese Central SOEs and large state-backed enterprises in connection with overseas investments, financing, and strategic transactions.

These opinions supported:

internal decision-making,
compliance and audit processes, and
transaction execution and project implementation.

Many were completed under compressed decision timelines while maintaining a high standard of legal prudence.

(ii) Legal Due Diligence

We led and participated in legal due diligence exercises covering:

corporate structure and ownership history,
material contracts and guarantees,
regulatory compliance and administrative risks,
employment, potential disputes, and asset ownership.

Due diligence findings were directly integrated into transaction structures and risk mitigation mechanisms.

IV. Criminal Litigation and Risk Management

Throughout 2025, QUEEN LAW FIRM handled a range of criminal matters, including economic crimes, cross-border cases, and matters involving criminal–civil overlap.

Our approach emphasizes procedural safeguards, evidentiary standards, and early-stage legal intervention to contain criminal exposure and protect clients’ business and personal interests.

V. Civil and Commercial Litigation / Arbitration

QUEEN LAW FIRM represented clients in high-value, complex civil and commercial disputes, including:

contract and investment disputes,
shareholder and corporate control disputes,
cross-border breach and enforcement matters.

Our dispute resolution strategy remains outcome-oriented, with strong emphasis on enforceability.

VI. Retainer Legal Counsel Services

Our retainer services provide ongoing legal support in:

daily operational compliance,
contract review and negotiations,
corporate governance,
employment and compliance investigations,
urgent legal issue response.

This enables clients to shift legal risk management toward a preventive and strategic model.

VII. Efficient Response to Time-Critical Matters

Clients frequently require expedited legal support due to commercial timelines or regulatory windows. QUEEN LAW FIRM operates with a mature workflow and experienced judgment, allowing us to deliver high-quality legal work within compressed timeframes, without sacrificing accuracy or reliability.

VIII. Closing and Appreciation

The most meaningful achievement of QUEEN LAW FIRM in 2025 lies in the long-term trust established with our clients. We extend our sincere appreciation to all clients for their continued confidence and collaboration.

Looking ahead to 2026, QUEEN LAW FIRM remains committed to serving as a stable, reliable, and solution-oriented legal partner in an increasingly complex global business environment.

Queen Law Firm Assists Haidilao’s Project in Indonesia — Empowering Chinese Brands to Go Global

Posted by Admin on 10/11/2025

As globalization accelerates, more and more Chinese enterprises are expanding into Southeast Asia. As a leading brand in China’s restaurant industry, Haidilao has taken another significant step in its global expansion with its project in Indonesia.

Queen Law Firm is honored to have been entrusted to provide legal support and professional advisory services for this project, ensuring smooth progress and compliance throughout. With deep insight into cross-border investment regulations and a precise understanding of both Chinese and Indonesian business environments, we are committed to building a solid, secure, and efficient legal foundation for our clients’ long-term development.

This collaboration reflects Haidilao’s strong confidence in Queen Law Firm’s expertise and international capabilities, further reinforcing our leadership position in the China–Indonesia legal service sector.

“Professionalism builds trust;
Global vision drives progress.”

Queen Law Firm will continue to uphold integrity, precision, and excellence, providing comprehensive legal support to help more Chinese enterprises thrive in the international market.

Drug Users: Should They Be Jailed or Sent to Rehabilitation Centers? — The Intersection of Law and Reality in Indonesia

Posted by Dr. Guan Yue on 27/10/2025

1. Introduction: A Social Question That Demands an Answer

In Indonesia, narcotics are more than just illegal substances; they represent a multidimensional problem involving law, health, and human rights. Whenever the media reports that a drug user has been arrested, the same question arises: should they be imprisoned, or would it be better to send them to rehabilitation centers?

2. Law and Policy: The Dual Path of Jail and Rehabilitation

Law No. 35 of 2009 on Narcotics provides a dual response. On one hand, it criminalizes drug use; on the other, it mandates medical and social rehabilitation for users. In other words, the law does not entirely push users into prison but leaves open a path toward recovery.

This shift is not merely theoretical. In April 2025, reports highlighted that under the new Criminal Code (KUHP), the government is promoting “restorative justice”, ensuring that more drug users will be sent to rehabilitation centers instead of being incarcerated. It was noted that Indonesia’s prisons are designed for 140,000 inmates but currently hold over 270,000, more than half of whom are drug-related offenders. (Antara News, April 8, 2025)

3. Prison: Deterrence or a Vicious Cycle?

Proponents of imprisonment argue that jail has a deterrent effect and sends a strong message of “zero tolerance.” For those involved in trafficking or smuggling, imprisonment is indeed necessary.

But does jailing every drug user really solve the problem? In practice, many inmates can still access narcotics in prison, with some admitting that they “learned more about drug dealing inside jail.” Overcrowded conditions further erode the rehabilitative function of prisons, making incarceration for users a potentially counterproductive cycle.

4. Rehabilitation: Treating Users as Patients, Not Just Criminals

Rehabilitation offers a different path, treating drug use as a health issue rather than a crime. Rehabilitation centers provide medical treatment, counseling, vocational training, and social support to help users recover and reintegrate into society.

This approach has been reinforced by policy statements. In October 2025, the head of the National Narcotics Agency (BNN) emphasized that “drug users have the right to rehabilitation, not automatic imprisonment.” He stressed that rehabilitation is a pathway back to productivity, not jail. (Antara News, October 14, 2025)

Moreover, in May 2025, authorities confirmed that users who voluntarily report themselves for rehabilitation will not face prosecution. (INP Polri, May 2025)

5. A Real Case: How the Court Chose Rehabilitation

This shift is not only theoretical but also reflected in judicial practice.

Take the Troy Smith case in Bali in 2024. Smith, an Australian citizen, was found in possession of a small amount of methamphetamine. Initially charged with trafficking — which carries a life sentence — he was later reclassified as a user, not a trafficker. The court ultimately sentenced him to six months in a rehabilitation facility in Bali rather than prison. (Adelaide Now, 2024)

This case demonstrates that the “rehabilitation instead of prison” pathway is already being applied in Indonesia’s judicial system.

6. From Reality to Choice: A Delicate Balance

Indonesia stands at a crossroads. Public fear of drugs drives harsh measures, while overcrowded prisons force the government to find alternatives.

The most effective solution may be a differentiated approach: pure users should be directed to rehabilitation, while traffickers and smugglers should remain subject to imprisonment.

7. Conclusion: Finding Balance Between Law and Humanity

From a legal perspective, the core issue is how to balance punishment with humanity. Prison emphasizes deterrence, while rehabilitation emphasizes healing.

As the BNN has stated: “The state is not here to punish, but to help.” The future of Indonesia’s drug policy should therefore not be about simply “locking people up,” but about providing a smarter and more humane legal response.

Queen Law Firm: Your Trusted Partner for Foreign Investment in Indonesia

Posted by Admin on 28/09/2025

Entering the Indonesian market offers significant opportunities, but it often also presents its own challenges. Dynamic regulations, import licensing complexities, tax management, and compliance with local policies are not easy to handle without the right expertise. Queen Law Firm is here to ensure that your steps as a foreign investor in Indonesia are efficient, smooth, and legally protected.

Why Do You Need Queen Law Firm?
As a foreign investor, you will inevitably face key questions such as:

How can you establish a Foreign Investment Company (PMA) legally, efficiently, and without obstacles?
What should you do if the products you import into Indonesia are subject to quota restrictions or specific technical regulations?
How can you obtain Value Added Tax (VAT) refunds quickly and securely?

These questions are our main focus. Our team of experts—consisting of corporate, fiscal, customs, and tax law professionals—is ready to provide you with practical and strategic solutions.

Comprehensive Support for Your PMA Establishment and Operations
Queen Law Firm understands that establishing a PMA goes beyond administrative formalities. We assist you from the very beginning: determining the right business structure, the ideal shareholding composition, and the appropriate KBLI codes that match your business sector.
We ensure that every stage of your company’s establishment complies with the latest legal requirements, including the Investment Law, the Omnibus Law (Job Creation Law), and the Online Single Submission (OSS-RBA) system. Our goal is simple: to ensure your business is legally protected, so you can focus on growth without worrying about legal risks.

Expertise in Navigating Import Rules and Quotas
Importing certain goods into Indonesia—such as solar mounting structures—often faces barriers in the form of quotas or specific technical recommendations from the relevant ministries. Queen Law Firm has extensive experience in helping foreign investors accurately identify the Harmonized System Code (HS Code) for their products.
Why is this important? Because accurate HS Code classification determines import duty rates, tax treatment, and whether your goods are subject to restrictions or freely allowed into Indonesia. Our team will provide precise regulatory research, direct consultation with the Directorate General of Customs and Excise, and legal assistance in obtaining technical recommendations from relevant ministries, such as the Ministry of Industry and the Ministry of Energy and Mineral Resources (ESDM).

Fast and Secure VAT Refund Strategies
One of the main challenges for PMAs is managing VAT refunds for import and domestic trade transactions. At Queen Law Firm, our tax experts have in-depth knowledge of VAT refund procedures under the latest regulations, particularly Regulation of the Minister of Finance No. 209/PMK.03/2021. We ensure that you can obtain refunds optimally and in full compliance with the law.
We will assist you in:

Preparing complete and accurate tax documents.
Ensuring timely filing of VAT returns.
Managing VAT refund administration efficiently through the electronic system of the Directorate General of Taxes (DJP).
Avoiding audit risks and administrative sanctions arising from non-compliance in VAT management.

Long-Term Strategic Legal Partnership
Queen Law Firm is not just a law firm assisting you during the establishment phase. We act as your strategic partner, providing long-term legal support. We offer regular legal audits, strategic consultations for business expansion planning, and guidance in responding to regulatory changes.
We believe that your investment success in Indonesia is determined not only by capital or product quality but also by the right legal and fiscal strategies from the very beginning.

Partnering with Queen Law Firm: The First Step to Your Business Success
We understand that every business has its own uniqueness. Therefore, we provide a personalized, responsive, and solution-oriented approach. Don’t let regulatory and tax complexities become a barrier to your business in Indonesia.
Contact us today for a free initial consultation. Our team is ready to provide you with analysis and initial recommendations that will help you make business decisions with confidence and legal protection.
With Queen Law Firm, your investment in Indonesia is no longer just an opportunity—it is a guaranteed success.

Learning From the PT U Case: How to Avoid the Trap of Futures Investment in Indonesia

Posted by Irfan Disnizar on 03/09/2025

In recent years, the Indonesian public has become increasingly familiar with the term futures or futures trading. Some regard it as a modern investment instrument, others as a shortcut to getting rich. Many first hear of it through offers from friends or advertisements on social media. Yet, behind its alluring image, there are many bitter stories. One of them comes from the case of PT U—a futures brokerage company that once operated legally but was eventually frozen by the Commodity Futures Trading Supervisory Agency (Bappebti) and went into liquidation.

Many people felt deceived, lost their savings, and even suffered stress because their funds disappeared just like that. This article is not intended to discredit anyone. On the contrary, it seeks to draw lessons from the PT U case to educate the public: what futures are, how to protect oneself from risk, and what can be done if one has already become a victim.

WHAT ARE FUTURES AND WHY ARE THEY HIGH-RISK?

In simple terms, futures are trading contracts that promise the purchase or sale of a commodity or financial instrument in the future at a price determined today. In Indonesia, futures are regulated by Law No. 32 of 1997 on Commodity Futures Trading, as amended by Law No. 10 of 2011. Bappebti is the authority entrusted with supervision, similar to the Financial Services Authority (OJK) in the financial sector. Futures brokerage firms must be registered and officially licensed by Bappebti.

However, it is important to understand: futures are not savings, not deposits, and not fixed-interest investments. They are high-risk, high-return instruments. This means there is a chance of profit, but also a substantial risk of loss. Therefore, it is misleading when anyone promises guaranteed returns or “certain profits.”

LESSONS FROM THE PT U CASE

The PT U case provides a valuable lesson. Many customers deposited funds not through official mechanisms but via certain individuals’ accounts or under schemes claiming to be “more profitable.” Most also failed to sign the standard documents required by Bappebti. As a result, when PT U entered liquidation, many customers were not recognized as official clients. Their claims were rejected because, under the law, only funds deposited into official segregated accounts were protected.

What is a segregated account?
According to Bappebti Regulation No. 5 of 2018, every customer must have a separate account (segregated account). Customer funds must not be mixed with the company’s operational funds. The principle is similar to an escrow account: money can only be used for legitimate and recorded transactions. Unfortunately, the public’s lack of knowledge was exploited. In the end, when the company shut down, funds deposited outside official mechanisms were deemed non-existent in the system.

REAL RISKS FACING CUSTOMERS

The PT U case highlights several fatal risks that can befall the public:

Loss of Claim Rights
Funds not deposited into segregated accounts are automatically unrecognized. Thus, even with transfer receipts, the customer’s legal position is weak.
Total Financial Loss
Many victims lost their entire capital, often money earned through years of hard work.
Difficulty in Suing Management
Without official documents, it is very difficult to bring a case to court. Personal transfer records are often deemed insufficient.
Psychological Trauma
Many victims became reluctant to invest again and even suffered mental distress from feeling defrauded.

HOW TO PROTECT YOURSELF?

To avoid falling into the trap, the public should take the following preventive steps:

Check Legality
Ensure that the futures brokerage company is truly registered on Bappebti’s official website. Do not rely solely on brochures or testimonials.
Use a Segregated Account
Never deposit money into an individual’s personal account. Request that a segregated account be opened in your name, in compliance with regulations.
Sign Standard Documents
Pursuant to Bappebti Regulation No. 4 of 2020, every customer must sign standard agreements. These documents are the primary legal basis in case of disputes.
Avoid Promises of Fixed Returns
Remember: futures are speculative instruments. If someone promises “guaranteed profits,” it is a red flag.
Report Irregularities
If you find indications of violations, report them immediately to Bappebti or the police.

PUBLIC EDUCATION AS THE MAIN DEFENSE

Legal protection alone is not enough if the public does not understand the risks. Therefore, public education is crucial. Several measures can be taken:

Financial Literacy from an Early Age
The public must understand that investing is different from saving. Investment always carries risk.
More Aggressive Regulatory Campaigns
Bappebti should not only publish the list of licensed companies but also actively educate the public on fraudulent schemes.
Product Transparency
Brokerage firms must explain risks in plain language, not just technical figures.
Collaboration with Academics and Lawyers
Universities, law firms, and professional associations can create educational modules for the public.
Early Warning System
Indonesia can follow other countries that publish early warning lists of problematic companies to increase public vigilance.

With consistent education, people will not only be more discerning in choosing investments but also more resilient against fraudulent persuasion.

IF YOU ARE ALREADY A VICTIM, WHAT CAN BE DONE?

For those who have already suffered losses, there are still legal avenues, although not easy:

Civil Claim for Unlawful Acts (Tort)
Based on Article 1365 of the Civil Code. If negligence or unlawful conduct by company management can be proven, customers can claim damages.
Claim of Abuse of Circumstances
In some cases, judges may consider that customers were deceived because their ignorance was exploited. This doctrine is recognized in civil law practice, though not always easy to prove.
Criminal Report
If fraud or embezzlement is suspected, victims may report under Article 378 of the Criminal Code (fraud) or Article 372 of the Criminal Code (embezzlement).
Class Action
If there are many victims, a class action lawsuit can be pursued to strengthen legal standing.

Although results do not always guarantee the recovery of funds, legal action is important as a form of resistance so that perpetrators do not walk free.

REFLECTIONS FROM THE PT U CASE

The PT U case reveals two sides. On the one hand, regulations are already fairly robust, such as the requirement for segregated accounts and Bappebti’s supervision. On the other hand, there remain major gaps because the public is undisciplined and easily lured by sweet promises.

Therefore, the PT U case should serve as a mirror. We cannot only blame regulators or companies. Customers too have a duty to be critical, cautious, and compliant with procedures.

CONCLUSION

Futures trading is legal in Indonesia and can serve as a legitimate investment instrument. But legality alone is not enough. Risks always exist and can be fatal if the public is undisciplined.

From the PT U case, three key messages emerge:

Prevention is cheaper than cure. Do not be tempted by sweet promises; always check legality and use segregated accounts.
Public education must be strengthened. Only with proper financial literacy can society resist fraudulent schemes.
Do not remain silent if harmed. Pursue legal avenues: tort claims, abuse of circumstances, criminal reports, or class actions.

With the right understanding, we can turn the PT U case into a valuable lesson so that both Indonesians and the international community are better protected in the future.

Futures are not to be feared, but neither should they become a trap. It all comes down to legal discipline and our collective awareness.

Legal Retainer: A Strategic Investment for Foreign Investment Companies (PMA) in Indonesia

Posted by Admin on 16/08/2025

A. Introduction

For foreign investors establishing or expanding their business in Indonesia, the greatest challenge is often not capital or market access, but the ability to understand and comply with Indonesia’s complex legal and regulatory framework.
Indonesia’s legal system is unique—a combination of national laws, regional regulations, and sectoral policies that may change at any time.
For Foreign Investment Companies (PMA), consistent legal assistance is not only about fulfilling compliance requirements but also about ensuring smooth business operations. One of the most effective solutions is engaging a legal retainer.

B. What is a Legal Retainer and Why is it Important for PMAs?

A legal retainer is a long-term cooperation between a company and a law firm, where the company pays a fixed fee (monthly or annually) in exchange for ongoing legal services within an agreed scope.
For PMAs, this is equivalent to having an external legal department that is always ready to assist—from establishment, daily operations, to dispute resolution.

Key benefits of a legal retainer for PMAs include:

Legal certainty from the start: Guidance on company structure, shareholding composition under the Positive Investment List, business licensing through OSS-RBA, and sectoral permits.
Ongoing operational support: Contract review, regulatory monitoring, labor relations advice, and preventive dispute handling.
Company Regulations (PP) compliance: Drafting and updating Company Regulations in line with the Manpower Law/Job Creation Law, and securing approval from the local Labor Office. This protects the company’s interests while providing clarity for employees.
Cost efficiency: More economical than hiring a full-time in-house legal team, as the retainer covers access to experienced lawyers across multiple legal areas.
Consistency and in-depth understanding: The retainer develops knowledge of the company’s business model and strategy, allowing for precise and practical legal advice.

C. Two Stories, Two Outcomes: PMA Journeys in Indonesia

Imagine two foreign investment companies entering the same industry with similar capital and business plans.
The only difference:

Company A engaged a legal retainer before establishment.
Company B handled legal matters on its own and only sought lawyers when problems arose.

1. The Beginning: Establishment

Company A was guided from the start: structure aligned with investment regulations, legal documents complete, licenses issued on time, and Company Regulations (PP) drafted early to govern employment clearly.
Company B faced repeated license rejections, non-compliant documents, and lacked PP, causing internal confusion and months of delay.

2. Growth Stage: Operations

Company A reviewed contracts with the retainer team, complied with new regulations, and updated its PP every two years. Supplier disputes were resolved through preventive negotiation.
Company B entered into a disadvantageous distribution contract without legal review. PP was only prepared after an inspection by the Labor Office, forcing mid-course adjustments.

3. Crisis Stage: The Real Test

Three years later, Company A faced a major dispute. With well-maintained documentation and clear PP, its retainer quickly prepared a resolution strategy. A settlement was reached without damaging business relations.
Company B sought legal help only after the dispute escalated. With incomplete documents and inadequate PP, resolution consumed excessive time and costs.

4. Lessons from Two Companies
The difference in outcome was not determined by capital or product, but by legal planning and consistent support.

Company A treated the legal retainer as a strategic investment to protect the business, address risks swiftly, and save costs compared to building an internal legal team.
Company B delayed legal management and ended up paying a higher price—financially and reputationally.

D. Common Legal Retainer Services for PMAs

A legal retainer for PMAs typically covers:

Licensing assistance—applications and renewals.
Drafting and reviewing domestic and international contracts.
Drafting, revising, and securing approval of Company Regulations (PP) or Collective Labor Agreements (PKB).
Labor law advice and handling of industrial relations disputes.
Intellectual property protection—trademarks, patents, industrial designs.
Tax compliance, including optimization of fiscal incentives for foreign investors.
Dispute resolution strategies—litigation and alternative dispute resolution (ADR).

E. Conclusion: Choosing a Retainer is Choosing Business Security

In today’s fast-moving and challenging business environment—especially in a complex market like Indonesia—a legal retainer is not just a service provider but a long-term strategic partner.

With predictable costs, PMAs gain:

Legal protection from the very beginning.
Clear and enforceable Company Regulations to manage employment relations.
Rapid response when issues arise.
Peace of mind to focus on business growth.

A legal retainer ensures that a company not only complies with the law but is also prepared to seize opportunities and avoid hidden risks.
The question is no longer “Do we need a legal retainer?”, but rather “How prepared are we to prevent risks from the start?”

Foreign Nationals and Criminal Liability in Indonesia: Why You Need a Local Legal Counsel Who Speaks Your Language

Posted by Admin on 31/07/2025

With Indonesia’s growing economy and increasingly open investment and labor markets, the number of foreign nationals residing and working in Indonesia continues to rise. However, behind this opportunity lies a real risk—many foreigners find themselves entangled in criminal legal issues, whether due to a lack of knowledge about the Indonesian legal system, administrative mistakes, or falling victim to fraud or criminalization schemes.

Having represented numerous foreign clients, Queen Law Firm understands that the most fundamental need for a foreign national facing legal troubles is to have a local legal counsel who not only understands the Indonesian legal system in depth but also communicates fluently in the client’s native language, including Mandarin.

A. Common Criminal Offenses Faced by Foreign Nationals

Based on our observation and experience, the following types of criminal cases are the most common among foreign nationals, whether as suspects or victims:

1. Immigration Violations
The most frequent issues include:

Overstaying visa validity
Misusing visas (e.g., using a tourist visa for work or business)
Entering or exiting Indonesia without proper documentation

These are governed by Law No. 6 of 2011 on Immigration and may result in administrative sanctions (fines, deportation) or criminal penalties (imprisonment).

2. Drug Offenses
Indonesia enforces a strict zero-tolerance policy against narcotics. Many foreign nationals are prosecuted due to:

Carrying luggage unknowingly containing narcotics
Serving as couriers without knowledge of the content
Consuming drugs legal in their home countries but classified as narcotics in Indonesia

Law No. 35 of 2009 on Narcotics prescribes severe penalties, including the death penalty for serious offenses such as trafficking or smuggling.

3. Fraud and Illegal Investment Schemes
Foreign nationals may fall victim to fraud or, in some cases, are countersued by their local partners for:

Embezzlement
Fraud in investment cooperation
Violating business license requirements or operating in restricted sectors

Such charges are usually prosecuted under Article 378 (Fraud) or Article 372 (Embezzlement) of the Indonesian Penal Code.

4. Violence and Private Disputes
Foreign nationals may also be involved in:

Domestic violence (KDRT)
Fights or altercations
Minor assaults
Sexual harassment allegations often stemming from cultural misunderstandings

Without adequate understanding of local customs and legal procedures, these cases can become highly complicated and risky to the individual’s reputation and liberty.

5. Violations of Public Morality or Ethics
Indonesian law, including the Penal Code and regional regulations, still recognizes offenses such as:

Adultery
Indecent acts
Violations of public morality

Actions deemed acceptable in the foreigner’s home country may be considered criminal under Indonesian law.

B. Why Foreign Nationals Are Vulnerable to Criminal Prosecution

1. Lack of Legal Awareness
Many foreign nationals arrive in Indonesia without receiving proper legal orientation. The difference between legal systems often leads to serious misunderstandings.

2. Language and Cultural Barriers
Legal proceedings are conducted entirely in Bahasa Indonesia. Without a lawyer or interpreter fluent in the client’s language, the risk of misinterpretation and inadequate legal defense increases.

3. Procedural Missteps During Police Examination
Foreigners often undergo police questioning without legal assistance, despite having the right to be accompanied. This can lead to unintended confessions or signing documents without understanding their implications.

4. Complex and Evolving Administrative Regulations
Immigration, business licensing, and tax regulations frequently change. Administrative non-compliance may escalate into criminal matters if not handled properly.

C. Why You Need a Local (and Mandarin-Speaking) Legal Counsel

Dealing with the Indonesian criminal justice system requires the right legal strategy, smooth communication with law enforcement, and maximum protection of your legal rights. This is why it’s crucial to appoint competent local legal counsel who speaks your language.

Queen Law Firm offers:

Licensed and experienced attorneys in criminal law and foreign national assistance
In-house staff and sworn translators fluent in Mandarin, ensuring you fully understand legal proceedings
A strategic and proactive legal approach
Broad connections with legal institutions and government agencies, facilitating communications with Prosecutors, Police, Immigration, and Correctional Facilities

D. What We Do: Step-by-Step Handling of Your Case

If a foreign client faces criminal charges, Queen Law Firm will:

1. Initial Assessment and Case Review
Conduct a factual and legal evaluation of the case and assess the urgency of legal action.

2. Develop Legal Strategy and Provide Full Representation
This includes attending police examinations, preparing legal defenses, and handling the case through trial.

3. Coordinate with Family and Embassy Representatives
Maintain lawful and effective communication with your country’s embassy or consular office.

4. File Further Legal Remedies if Needed
Including objections (eksepsi), defense briefs (pledoi), appeals (banding), or even judicial review (peninjauan kembali).

E. Conclusion: Protect Yourself with the Right Legal Counsel

Indonesia’s criminal law system has its own particular characteristics and often differs significantly from that of your home country. Facing legal issues without a competent local lawyer is a highly risky decision.

If you or someone you know is a foreign national facing criminal proceedings in Indonesia—or seeking to mitigate legal risks in advance—Queen Law Firm is here to help. Contact us and secure your legal protection in a language you understand.

Foreign Investment in Indonesia: A Practical Guide to Establishing a Foreign Investment Company Made Simple

Posted by Admin on 16/07/2025

Indonesia is undergoing a major transformation in its investment landscape. Various legal reforms and licensing simplifications have opened up new opportunities for foreign investors to inject capital more easily, securely, and strategically. This article presents a practical overview of how to establish a Foreign Investment Company (PMA), based on the latest positive laws in Indonesia, summarized from an exclusive eBook prepared by the Queen Law Firm team.

A. Why Indonesia?

Indonesia is not only a large market—with over 275 million people and a rapidly growing middle class—but also a country strongly oriented toward investment growth. Since the enactment of the Job Creation Law and the launch of the OSS-RBA (Online Single Submission – Risk-Based Approach) system, the government has demonstrated a clear commitment to bureaucratic simplification and legal certainty.

The realization of foreign investment (PMA) in 2024 reached IDR 744 trillion, reflecting strong global investor confidence. Key sectors include technology manufacturing, new and renewable energy, digital logistics, and private healthcare.

B. Legal Structure Every Investor Must Understand

To establish a PMA, investors must understand the following legal framework:

Law No. 25 of 2007 on Investment, which guarantees legal certainty and asset protection for foreign investors.
The Job Creation Law and its derivatives, which streamline licensing through OSS-RBA and shift from the Negative Investment List to the Positive Investment List (DPI).
Sectoral regulations, which must still be considered for certain fields such as energy, health, education, and financial services.

Business Form Options
PMA is generally established in the form of a Limited Liability Company (PT) with foreign capital, requiring a minimum capital of IDR 10 billion and an initial paid-up capital of IDR 2.5 billion. Another option is setting up a Foreign Representative Office (KPPA), which is not permitted to engage in commercial activities but may conduct promotion, research, and supervision.

Location and KBLI Classification
Business location must align with the Spatial Detail Plan (RDTR) and have a KKPR. The business sector must match the correct KBLI (Indonesian Standard Industrial Classification) code to avoid rejection by the OSS system.

C. OSS-RBA System: Convenient but Not to Be Taken Lightly

OSS-RBA is a centralized, risk-based system. Each business sector is classified as low, medium, medium-high, or high risk—determining the type of license required.

Although OSS can be accessed directly by business actors, many foreign investors face challenges such as:

Incorrect KBLI input.
Data mismatches with the deed of establishment.
Additional permits required by sectoral ministries.

In practice, legal professional assistance ensures process accuracy and smooth compliance.

D. Don’t Miss Government Incentives and Facilities

Indonesia offers a range of fiscal and non-fiscal incentives, including:

Tax Holiday for up to 20 years.
Tax Allowance up to 30% of the investment value.
Exemption of import duties and VAT not collected.
Facilitated employment of foreign workers and expedited licensing in Special Economic Zones (KEK).

Eligibility requires alignment with national priority sectors and complete, valid documentation.

E. Legal Risks and Obligations That Must Not Be Ignored

Once established, a PMA must:

Submit Investment Activity Reports (LKPM) regularly.
Comply with foreign manpower regulations.
Fulfill environmental and zoning permits.
Adhere to tax rules and transfer pricing obligations.
Avoid nominee structures, which are prohibited.

Risks such as incorrect KBLI classification, illegal land status, or poorly drafted contracts can lead to license revocation or legal disputes.

F. 7 Key Tips for Foreign Investors

Check the DPI (Investment Priority List) and suitable KBLI code.
Choose a location compliant with RDTR and obtain KKPR.
Plan your capital and shareholding structure early.
Validate all legal documents before OSS submission.
Use a certified notary and sworn translator.
Submit LKPM reports on time and consistently.
Consult incentives early—Tax Holiday, Tax Allowance, or KEK benefits—so you don’t lose out on eligible rights.

G. When Do You Need Professional Help?

Although OSS-RBA is publicly accessible, technical complexities, sectoral variations, and the importance of legal strategy drive many foreign investors to retain a corporate law firm for full support. Proper legal assistance not only ensures compliance but accelerates business setup and strengthens investor positioning.

Queen Law Firm is your trusted legal partner for entering the Indonesian market lawfully, securely, and efficiently. With broad experience across sectors, we help simplify the complex legal process into actionable results.

The Importance of Halal Certification in Indonesia and the Strategic Role of Legal Professionals

Posted by Admin on 22/05/2025

With the rapid growth of the global Muslim consumer market, Indonesia — home to the world’s largest Muslim population — holds a strategically vital position in the halal product industry. Law No. 33 of 2014 on Halal Product Assurance and its implementing regulations have established a comprehensive national legal framework for halal certification. Since the issuance of Government Regulation No. 42 of 2024, the Indonesian government has accelerated the mandatory halal certification regime, making it a critical “market entry threshold” for many businesses.

I. Halal Certification: More Than Compliance, a Competitive Edge

For businesses in the food, beverage, cosmetics, pharmaceuticals, chemicals, fashion, logistics, and catering industries, obtaining halal certification in Indonesia is not only a legal requirement but a key strategic move. In Indonesia, the halal label is a symbol of consumer trust, product quality, and religious adherence. It significantly enhances brand competitiveness, expands market share, and strengthens Muslim consumer loyalty.

Moreover, Indonesia’s halal system has extraterritorial effect: products manufactured outside Indonesia but marketed within the country must still comply with Indonesian halal regulations. Foreign businesses that fail to address halal compliance adequately may face market access barriers, product recalls, and even administrative penalties.

II. The Vital Role of Legal Professionals in the Halal Certification Process

Although the technical processes of certification are handled by BPJPH and accredited halal inspection bodies (LPH), legal professionals play a crucial role in shaping and safeguarding the overall compliance strategy. Their involvement is indispensable at several key stages:

1. Structuring Compliance and Identifying Legal Risks

Lawyers assist businesses in designing a halal compliance framework from the outset, including reviewing supply chain contracts, distribution agreements, and raw material procurement policies to ensure they align with halal principles, while identifying any underlying legal risks.

2. Regulatory Communication and Liaison

Halal certification involves ongoing engagement with BPJPH, LPPOM MUI, and relevant regulatory ministries. Lawyers with in-depth knowledge of Indonesian law and administrative procedures serve as vital intermediaries, ensuring smooth communication and preventing procedural misunderstandings or delays.

3. Document Review and Legal Translation

The certification process requires comprehensive legal documentation, such as declarations of compliance, standard operating procedures (SOPs), ingredient lists, and production flowcharts. Lawyers ensure these documents are legally sound and provide certified legal translations that meet the expectations of authorities.

4. Handling Disputes and Administrative Remedies

If a company’s application is rejected or delayed, lawyers can guide and execute legal remedies such as administrative appeals, objections, or litigation strategies where appropriate.

III. Queen Law Firm in Action: End-to-End Legal Support for International Halal Certification

As a cross-border law firm deeply engaged in the Indonesian market, Queen Law Firm has successfully assisted numerous foreign companies from China, Singapore, South Korea, Japan, and Germany in obtaining halal certification in Indonesia. We recognize that each client’s compliance culture and business structure is unique; therefore, we apply a tailored legal services approach to ensure both legal certainty and operational feasibility.

Our services go beyond the certification process — we also provide post-certification compliance support, including regulatory updates, legal advice on supply chain changes, market inspection response strategies, and assistance with administrative enforcement. Our goal is to help clients maximize the commercial value of halal compliance in a sustainable way.

Conclusion

In the era of a growing global halal economy, halal certification in Indonesia is not merely an administrative formality but a strategic license to enter and thrive in the ASEAN market. In this complex intersection of compliance and opportunity, systematic legal involvement is the foundation for a company’s lawful, efficient, and competitive operations.

Queen Law Firm, as a legal advisor with extensive experience in the Indonesian regulatory landscape, remains committed to delivering strategic, responsive, and pragmatic solutions in halal certification — empowering clients to lead confidently in the global halal economy.