Analysis of Civil Law Aspects in The Formation of Red and White Cooperatives in Indonesia

Abstract

The Red and White Cooperative as a form of economic organization in Indonesia has an important role in improving the welfare of its members through the principles of mutual cooperation and togetherness. However, in its formation, this cooperative cannot be separated from the applicable legal rules, especially in the aspect of civil law that regulates the relationship between the cooperative and its members, as well as the internal relationship between the management and members of the cooperative. This research aims to analyze the civil law aspects in the process of forming the Merah Putih Cooperative in Indonesia, focusing on the regulations governing the establishment of cooperatives, the rights and obligations of members, and the legal responsibilities of cooperative management. The method used is normative legal research with a legislative approach and a conceptual approach. The results of the study show that the establishment of cooperatives in Indonesia must meet the requirements stipulated in Law Number 25 of 1992 concerning Cooperatives and other relevant regulations. In addition, the formation of the Red and White cooperative must pay attention to the agreement between the members and the management, which must be legally valid and binding. Cooperative administrators have great legal responsibilities in the management of cooperatives, including in terms of financial management and dispute resolution that may arise. This study concludes that the civil law aspect is very important in ensuring the formation of a legitimate cooperative and the rights of its members are protected, as well as creating transparency and accountability in the management of cooperatives. Therefore, the strengthening of regulations and legal awareness among cooperative administrators and members needs to be improved to create a more professional and sustainable cooperative.