Abstract

The implementation of fiduciary guarantee execution in the current Indonesian legal system still raises various juridical problems, especially after the birth of the Constitutional Court Decision Number 18/PUU-XVII/2019 which changed the mechanism for implementing creditors' executory rights. This condition causes legal uncertainty regarding the execution procedure, determination of default, the position of the fiduciary guarantee certificate, and the limits of the creditor's authority in withdrawing the collateral object. On the other hand, weak legal arrangements also create an imbalance in legal protection between creditors and debtors in national financing practices. Based on these conditions, this study aims to analyze the juridical problems that arise in the implementation of fiduciary guarantee execution based on the Indonesian legal framework and formulate an ideal legal reconstruction to ensure balanced protection for creditors and debtors. This study uses normative legal research methods with a statute approach, a conceptual approach, and a case approach. The results of the study show that juridical problems in the implementation of fiduciary guarantee execution are caused by the disharmonization of legal norms, the unclear concept of default, the weak effectiveness of the executory title of the fiduciary certificate, the inconsistency of law enforcement, and the absence of clear technical arrangements regarding execution procedures after the Constitutional Court Decision Number 18/PUU-XVII/2019. This condition results in weak legal protection for creditors as well as causing potential violations of debtors' rights in the practice of withdrawing collateral objects. This study also found that the ideal legal reconstruction must be carried out through the establishment of objective default parameters, the regulation of transparent and humane execution procedures, the strengthening of legal protection for creditors and debtors, supervision of the use of debt collectors, the digitization of the fiduciary administration system, and the establishment of a fast and fair dispute resolution mechanism. Thus, the legal reconstruction of the execution of fiduciary guarantees is expected to be able to create legal certainty, legal justice, and legal benefits in a balanced manner in the Indonesian legal system

Keywords: Legal, Reconstruction, Fiduciary, Security, Execution, Enhance, Creditor, Protection, Indonesian, Legal, System