THE LEGAL CONSEQUENCES OF DEFAULT ON A SAVING AND LOAN AGREEMENT TO JOINT RESPONSIBILITY GROUPS
This study aims to raise the issue of the legal consequences of default on savings and loan agreements to joint responsibility groups in Cooperative X. This study uses a Jurisdicial Normative method which is a study to find the truth based on legal scientific logic from the normative side. Sources of data obtained from literature, applicable regulations, and interviews with relevant parties. The results of the study can be concluded that the defaults carried out by one group member who is in a joint responsibility group will cause other members of the group to participate in fulfilling these obligations because it has been stated explicitly when the prospective member wants to register as a member in Cooperative X. Regulations relating to the implementation of the joint responsibility system itself are regulated in Article 1278 through Article 1295 of the Indonesia Civil Code. When there is a default in the joint responsibility group. in order to the obligations for the Savings and Loans Agreement previously submitted can be fulfilled, a discussion should be held on this matter through deliberations at a group meeting throught a mechanism that will be further explained.