Legal Analysis of the Meaning of Fidelity and Fairness in Article 74 (2) of the Act of Number of 40 of 2007 on the Limited Company Against Implementation for the Company's Environment and Social Responsibility in Sustainable Development of Indonesia

Abstract

There is a reality of the existence of a company which has not had a significant impact on the welfare of society in Indonesia. It tends to damage the environment, whereas the obligation of the corporate social responsibility and environment has been regulated in The Act of Number of 40 of 2007 On the Limited Company. It is very important to perform a legal research comprehensively in particular with regard to the Meaning of Fidelity and Fairness in Article 74 (2) of The Act of Number of 40 of 2007 On the Limited Company against implementation for The Company's Environment and Social Responsibility in Sustainable Development of Indonesia. This research is a type of normative legal research focused on studying the rules in positive law with the approach of legislation, while the analysis used is the analysis of legal materials. The result of research shows that the meaning of fidelity and fairness for the fund to be budgeted the company if there is no benchmark how much the standard of payment, it means the such legal norms is ambiguous norms, and it does not guarantee legal certainty in implementation for The Company's Environment And Social Responsibility In Sustainable Development Of Indonesia, so there will be no certainty law that can ensure the company's objectives in creating a harmonious, balanced corporate relationship, in accordance with the values environment, culture and wisdom of the local community. It will be very difficult to achieve in a sustainable development in Indonesia.