International Arbitration and Its Implications for National Legal Sovereignty
DOI:
https://doi.org/10.70826/jsisnu.v3i1.1246Keywords:
International Arbitration, National Legal Sovereignty, Foreign Investment, ISDS, International LawAbstract
International arbitration is a dispute resolution mechanism increasingly used in cross-border legal relations, particularly in the areas of international trade and foreign investment. While international arbitration provides legal certainty and protection for investors, it also has implications for national legal sovereignty, particularly when a country must comply with arbitral awards outside the national judicial system. This study aims to analyze the implications of international arbitration on national legal sovereignty by examining the legal framework of international arbitration and the response of the Indonesian legal system to international arbitral awards. The research method used is qualitative research with a normative juridical approach through a literature review of laws and regulations, international treaties, and related legal literature. The results indicate that international arbitration has the potential to limit state authority in establishing public policy, but still plays an important role in creating legal certainty and a conducive investment climate. Therefore, a strategy is needed to strengthen national legal sovereignty through regulatory reform, a consistent role for national courts, and increased institutional capacity so that the state can safeguard national interests without neglecting international legal commitments.
Downloads
References
Alvarez, J. E. (2022). The public international law regime governing international investment. Hague Journal on the Rule of Law, 14(2), https://link.springer.com/content/pdf/10.1007/s40803-022-00170-2.pdf 203–224.
Anggraeni, Y. S. (2023). Peran arbitrase internasional ICSID dalam upaya perlindungan terhadap investor asing di Indonesia. Civilia: Jurnal Kajian Hukum dan Pendidikan Kewarganegaraan, 2(3), 96–106. https://jurnal.anfa.co.id/index.php/civilia/article/download/397/350
Born, G. B. (2021). International commercial arbitration and the rule of law. Journal of International Arbitration, 38(3), 301–328. https://kluwerlawonline.com/api/Product/CitationPDF/TOC/JOIA2021029
Gaillard, E. (2021). The normative power of international arbitration. Arbitration International, 37(2), 233–250. https://academic.oup.com/arbint/article-pdf/37/2/233/38910394/aiab007.pdf
Hidayat, A., & Pramudya, R. (2022). Kedaulatan negara dan tantangan arbitrase internasional dalam hukum investasi Indonesia. Jurnal Hukum IUS QUIA IUSTUM, 29(3), 489–508. https://journal.uii.ac.id/IUSTUM/article/download/23345/13478
Junaidi, J. (2024). Implikasi perlindungan investor asing dalam arbitrase internasional terhadap kedaulatan negara: Studi kasus Churchill Mining. Kultura: Jurnal Ilmu Hukum, Sosial, dan Humaniora, 2(10), 872–884. https://jurnal.kolibi.org/index.php/kultura/article/download/3960/3795/14646
Moses, M. L. (2022). The principles and practice of international commercial arbitration. Loyola University Chicago International Law Review, 19(1), 1–22. https://lawecommons.luc.edu/cgi/viewcontent.cgi?article=1590&context=lucilr
Putra, A. R., & Anggriawan, T. P. (2025). Pengaruh globalisasi terhadap reformasi regulasi arbitrase di Indonesia terkait peran strategis Badan Arbitrase Nasional Indonesia (BANI). Suloh: Jurnal Fakultas Hukum Universitas Malikussaleh, 13(2), 523–544. https://ojs.unimal.ac.id/suloh/article/view/22248
Rahman, F. (2023). Konsep ketertiban umum dalam pengakuan dan pelaksanaan putusan arbitrase internasional di Indonesia. Jurnal Yudisial, 16(2), 211–229. https://jurnal.komisiyudisial.go.id/index.php/jy/article/download/707/pdf
Sari, N. J., Zulfikar, A. A., & Dorlah, S. (2024). Implementation of international arbitration awards in Indonesia from the perspective of legal value theory. Jurnal Media Hukum, 31(1), 167–185. https://journal.umy.ac.id/index.php/jmh/article/download/20026/ World
Sauvant, K. P., & Sachs, L. E. (2021). The policy implications of investment arbitration. Journal of Investment & Trade, 22(5), 697–725. https://brill.com/downloadpdf/journals/jwit/22/5/article-p697_1.pdf
Schill, S. W. (2021). Reforming investor-state dispute settlement. ICSID Review – Foreign Investment Law Journal, 36(2), 229–251. https://academic.oup.com/icsidreview/article-pdf/36/2/229/38955245/siaa009.pdf
Setiawan, D. (2021). Peran Badan Arbitrase Nasional Indonesia dalam menjaga kepastian hukum penyelesaian sengketa bisnis. Jurnal RechtsVinding, 10(2), 247–264. https://rechtsvinding.bphn.go.id/ejournal/index.php/jrv/article/download/748/468
Siahaan, M. I. H. (2025). Kepastian hukum di Indonesia terhadap penyelesaian sengketa penanaman modal asing melalui lembaga arbitrase internasional. Jurnal Ilmiah Global Education, 5(4). https://ejournal.nusantaraglobal.or.id/index.php/jige/article/download/3477/2463
Simangunsong, N. Y. (2025). ISDS dan arbitrase investasi dalam menjaga keseimbangan antara hak investor dan kedaulatan negara. Jurnal Ilmiah Wahana Pendidikan, 11(11.A), 135–146. https://jurnal.peneliti.net/index.php/JIWP/article/download/11864/8245
Tienhaara, K. (2021). Regulatory chill and investment arbitration. Transnational Legal Theory, 12(2), 243–266. https://www.tandfonline.com/doi/pdf/10.1080/20414005.2021.1901842
Utami, N. S., & Nugroho, B. A. (2024). Penguatan kapasitas hukum negara dalam menghadapi sengketa arbitrase internasional. Jurnal Legislasi Indonesia, 21(1), 67–82. https://ejurnal.peraturan.go.id/index.php/jli/article/download/1268/842
Vadi, V. (2022). Public policy and international investment law. International Community Law Review, 24(1), 1–25. https://brill.com/downloadpdf/journals/icla/24/1/article-p1_1.pdf
Winata, A. S. (2023). Ketidakpastian hukum dalam penyelesaian sengketa bisnis internasional melalui arbitrase internasional di Indonesia. IBLAM Law Review, 3(1), 89–98. https://ejurnal.iblam.ac.id/IRL/article/download/120/
https://journal.uii.ac.id/IUSTUM/article/download/23345/13478
Junaidi, J. (2024). Implikasi perlindungan investor asing dalam arbitrase internasional terhadap kedaulatan negara: Studi kasus Churchill Mining. Kultura: Jurnal Ilmu Hukum, Sosial, dan Humaniora, 2(10), 872–884. https://jurnal.kolibi.org/index.php/kultura/article/download/3960/3795/14646
Moses, M. L. (2022). The principles and practice of international commercial arbitration. Loyola University Chicago International Law Review, 19(1), 1–22. https://lawecommons.luc.edu/cgi/viewcontent.cgi?article=1590&context=lucilr
Putra, A. R., & Anggriawan, T. P. (2025). Pengaruh globalisasi terhadap reformasi regulasi arbitrase di Indonesia terkait peran strategis Badan Arbitrase Nasional Indonesia (BANI). Suloh: Jurnal Fakultas Hukum Universitas Malikussaleh, 13(2), 523–544. https://ojs.unimal.ac.id/suloh/article/view/22248
Rahman, F. (2023). Konsep ketertiban umum dalam pengakuan dan pelaksanaan putusan arbitrase internasional di Indonesia. Jurnal Yudisial, 16(2), 211–229. https://jurnal.komisiyudisial.go.id/index.php/jy/article/download/707/pdf
Sari, N. J., Zulfikar, A. A., & Dorlah, S. (2024). Implementation of international arbitration awards in Indonesia from the perspective of legal value theory. Jurnal Media Hukum, 31(1), 167–185. https://journal.umy.ac.id/index.php/jmh/article/download/20026/ World
Sauvant, K. P., & Sachs, L. E. (2021). The policy implications of investment arbitration. Journal of Investment & Trade, 22(5), 697–725. https://brill.com/downloadpdf/journals/jwit/22/5/article-p697_1.pdf
Schill, S. W. (2021). Reforming investor-state dispute settlement. ICSID Review – Foreign Investment Law Journal, 36(2), 229–251. https://academic.oup.com/icsidreview/article-pdf/36/2/229/38955245/siaa009.pdf
Setiawan, D. (2021). Peran Badan Arbitrase Nasional Indonesia dalam menjaga kepastian hukum penyelesaian sengketa bisnis. Jurnal RechtsVinding, 10(2), 247–264. https://rechtsvinding.bphn.go.id/ejournal/index.php/jrv/article/download/748/468
Siahaan, M. I. H. (2025). Kepastian hukum di Indonesia terhadap penyelesaian sengketa penanaman modal asing melalui lembaga arbitrase internasional. Jurnal Ilmiah Global Education, 5(4). https://ejournal.nusantaraglobal.or.id/index.php/jige/article/download/3477/2463
Simangunsong, N. Y. (2025). ISDS dan arbitrase investasi dalam menjaga keseimbangan antara hak investor dan kedaulatan negara. Jurnal Ilmiah Wahana Pendidikan, 11(11.A), 135–146. https://jurnal.peneliti.net/index.php/JIWP/article/download/11864/8245
Tienhaara, K. (2021). Regulatory chill and investment arbitration. Transnational Legal Theory, 12(2), 243–266. https://www.tandfonline.com/doi/pdf/10.1080/20414005.2021.1901842
Utami, N. S., & Nugroho, B. A. (2024). Penguatan kapasitas hukum negara dalam menghadapi sengketa arbitrase internasional. Jurnal Legislasi Indonesia, 21(1), 67–82. https://ejurnal.peraturan.go.id/index.php/jli/article/download/1268/842
Vadi, V. (2022). Public policy and international investment law. International Community Law Review, 24(1), 1–25. https://brill.com/downloadpdf/journals/icla/24/1/article-p1_1.pdf
Winata, A. S. (2023). Ketidakpastian hukum dalam penyelesaian sengketa bisnis internasional melalui arbitrase internasional di Indonesia. IBLAM Law Review, 3(1), 89–98. https://ejurnal.iblam.ac.id/IRL/article/download/120/
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 Imamuddin, Aulia Hafhazah, Wardatul Jannah
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
