LEGAL ISSUES IN THE ANNULMENT OF INTERNATIONAL ARBITRAL AWARD IN THE HIMPURNA AND KARAHA BODAS IN INDONESIA

Law enforcement of international arbitral award in Indonesia is still lacking. Sank, annulments of the award hare occurred in Indonesia. The Himpurem and Karalta Bodas. arc two notorious cases that show the annulment of the internationat arbitral awards by a court in Indonesia. However, several legal issues. haye arisen on this annulment, because Mc jitdges in their decision relied on a wrong interpretation to the provision of the United Nation Con¬vention on the Recognition and Enforcement of Foreign Arbil ral A wards 1958 ( the New York Convention), and the parties agreement. This paper will analyse the error of the Indonesian court in annulling the Himpurna and Karaha Bodas awards. This paper will then demonstrate the judges\u27 misinterpretation to the New York Convention provision concerning refusal and annulment ofibreign arbitral award. This paper ultimately will suggest how to create a proper legal enviroment iii Indo¬nesia to apply international arbitration. Keywords: international arbitral award, anmulment, legal issue