Validity of Land Rights Transfer Based on Debt with Collateral of Land Certificate under Indonesian Law

Abstract

Debt agreement with land certificate guarantee, the accesoir agreement is a guarantee agreement by way of installation of Mortgage which then for repayment if there is negligence / default, an auction is carried out as regulated in Law Number 4 of 1996 concerning Mortgage but in this case it is actually used as a sale and purchase between debtors and creditors. This may cancel the registration of the transfer of land rights that has been carried out by the Purchaser who was previously the Creditor Party. This study uses a normative juridical research method and uses a statutory approach, a conceptual approach, and a case approach. The data sources used are secondary data sources with primary legal sources, secondary legal sources, and tertiary legal sources. Data analysis in this study is a qualitative analysis method with deductive reasoning logic.The results obtained are that the Deed of Sale and Purchase of land rights based on debts and receivables is considered invalid because it is a form of simulation agreement, which is a continuation of accounts payable which if the collateral is a plot of land then it should be the installation of Mortgage Rights. This is based on Article 1131 of the Indonesian Civil Code and the rules contained in Law Number 4 of 1996 concerning Mortgage Rights. Another thing that happened was that the making of the Sale and Purchase Deed was based on the Sale and Purchase Agreement Deed and the Power of Attorney to Sell which contained legal defects so that it affected its validity. The cancellation of land rights can be carried out by means of an application through the Head of the Regency/City Land Office which is then forwarded to the Head of the Provincial Regional Office as described in Article 125-130 of the Regulation of the State Minister of Agrarian Affairs/Head of the National Land Agency Number 9 of 1999 concerning Procedures for Granting and Cancellation of State Land Rights and Management Rights which are the Implementing Regulations of Government Regulations Number 24 of 1997 concerning Land Registration.