Legal Literacy - This article discusses the polemic of using foreign languages in the names of Regional Public Companies (Perseroda). On one hand, Government Regulation 54/2017 prohibits the use of foreign languages. On the other hand, Law 40/2007 and Government Regulation 43/2011 provide flexibility to use any language. This article also criticizes Presidential Regulation 63/2019, which is considered to contradict the laws and regulations regarding Limited Liability Companies.

Prohibition of Foreign Languages in Perseroda Names

The name of a Perseroda is an essential part of the articles of association of the Perseroda. Considering that it is a minimal requirement that should be included in the articles of association of a Perseroda as stated in Article 17 paragraph (2) Government Regulation 54/2017 concerning Region-Owned Enterprises (Government Regulation 54/2017). This provision is in line with the provisions of Article 15 paragraph (1) of Law 40/2007 concerning Limited Liability Companies (Law 40/2007), which legitimizes similar minimal requirements for the articles of association of a Company.

There is an oddity when examining Article 15 paragraph (1) letter h of Government Regulation 54/2017 which expressive verbis stipulates that the Name of the Perseroda must not contain foreign languages. Whereas, if we pay attention, Article 15 paragraph (1) letter i of…