The Concept of Law and Economics in Civil and Commercial Proceedings

Abstract

This article proposes legal development and efficiency regarding civil and commercial procedural principles. Such procedural principles apply in accordance with objective and literal as specified in the civil rights. The process has the main objective to uphold justice with the aim to be fair and impartially equality. However, when considering fundamental needs of people, law does not only uphold justice but also reach the demand of public interest. Another aspect is quality of living, balance between income and expense, opportunity and loss. The content of law does not limit all aspects of life. When considering the meaning of economics, these cover the use of limited natural resources in response to human needs with the best interest. The economic principle links with legal effectiveness. If law is not effective enforcement, this will lead to some impacts in macroeconomics. For example, unemployment, goods price, inflation and other indirect problems (criminal problems in property context). Based on this reason, author studies and proposes the combination between law and economics application in order to support legal efficiency called law and economics or the analysis of legal economics. The selected issue of law, legal philosophy, legal interpretation, legal design, and legal assessment are as follows. 1. The author proposes that expertized lawyers and legal economics should work together in legal enactment or legal amendment processes. 2. The author proposes the use of law and economics knowledge in promoting teaching, training, discussing with law students and other people involved in civil and commercial procedures (e.g. courts, civil prosecutors, lawyers, executing officers). 3. The author proposes to take law and economics concept to be applied efficiently in civil and commercial procedures. The assessment is based on law and economic concepts along with the use of instruments to improve law effectiveness, for example, technology, big data etc. 4. The author proposes the law and economics concept applied in legal enactment particularly both civil and commercial and civil procedural codes amendment. In order to increase economic efficiency, legal preventive measures for settling disputes or legal punishment amendments to offenders are two instances to achieve strong legal enforcement. Civil justice system is not only uphold justice with impartiality but also reconciling civil and commercial problems to all litigants, involved people. It also helps to safe governmental budget and overall economic systems. All proposed law and economics concept can contribute the legal effectiveness of civil and commercial procedures.