Establishing a law office in Indonesia cannot be done arbitrarily—it must comply with the prevailing legal regulations. Only individuals who meet certain legal requirements—namely, licensed advocates—are legally entitled to do so. These provisions are clearly regulated under the Advocate Law and various supporting regulations. Additionally, administrative challenges such as business domicile and establishment permits often become obstacles, especially for young advocates or new law firms.
Read Also: What Are the Requirements to Establish a Law Office in Indonesia?
Regulations on Who is Entitled to Establish a Law Office
According to Law No. 18 of 2003 on Advocates, only licensed advocates who hold a valid Advocate Practice License (SIP) from a professional organization such as PERADI are entitled to establish a law office. The business entity can take the form of a sole practice, law firm, or civil partnership.
Some of the legal requirements that must be met include:
- Having a deed of establishment (if in the form of a firm or partnership)
- Registered with the Ministry of Law and Human Rights
- Possessing a business Tax ID (NPWP), Business License (SIUP), and Company Domicile Certificate (SKDP)
- Having a legitimate business address located in a designated commercial area
- Officially reporting to the advocate organization, district court, and local government
Business entities such as limited liability companies (PT) are also starting to be used in practice, although their legality remains a subject of debate within Indonesia’s legal system.
Read Also: How to Start Your Own Law Firm on a Limited Budget
Penalties for Non-Advocates Establishing Law Offices
If a law office is established by someone who is not a licensed advocate, it constitutes a serious legal violation. Under Article 31 of the Advocate Law, individuals impersonating an advocate without official status may face imprisonment of up to 5 years and fines of up to IDR 50 million.
Using fake attributes or identity as an advocate can also be prosecuted under Article 378 of the Indonesian Penal Code (KUHP), which regulates fraud. Therefore, beyond being legally invalid, such violations may lead to severe criminal consequences.
Read Also: Do Law Offices Need to Be Legal Entities?
Challenges in Establishing a Law Office: Domicile and Legality
One of the biggest challenges in establishing a law office lies in administrative matters and domicile legality. Many law firms are hindered due to not having an office address in a legitimate commercial zone as stipulated by local government regulations. The processing of documents such as deeds, SIUP, and NPWP often consumes significant time, effort, and cost.
This poses a real obstacle, particularly for young lawyers or small firms just starting their professional journey.
Virtual Office: A Practical Solution for Young Advocates and New Firms
A virtual office is a smart alternative to overcome domicile and legal challenges without the high cost of renting physical office space. One of the best providers in Indonesia is vOffice.
With vOffice’s virtual office services, you can get:
- Strategic business addresses in officially zoned office areas
- Dedicated phone number for a professional image
- Representative meeting rooms
- Comprehensive legal documentation services, including deed, NPWP, SIUP, and PKP
- ISO 9001 Certification and over 50,000 satisfied clients
vOffice even holds a MURI Record as the virtual office provider with the most locations in Indonesia. The preparation process takes less than 24 hours—efficient and flexible.
If you are an advocate looking to establish a law office legally, efficiently, and quickly, vOffice’s virtual office is a highly recommended option.
Not only does it assist with legality, vOffice also supports your professional image and work flexibility. Focus on your legal practice while vOffice handles all your administrative needs.
For more details, visit the vOffice Virtual Office page.
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- Rent a Virtual Office in Jakarta
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What are you waiting for? Contact us now and get exclusive offers!
