A dispute over the domain name Netflix.co.id in Indonesia decided in May, sets a nice clear precedent for Indonesia's new domain name arbitration procedure. Indonesian domain name registrar PANDI established an arbitration system for Indonesian country level CTLDs recently. For more on the local domain name system see here. The system known under the acronym PPND PANDI is established under Government Regulation No. 82 of 2012 on Electronic Systems and Transactions. It broadly follows the UDRP system, so offered a cost effective and efficient alternative to going to court, previously the only option.

The system operates because registrants have signed up to PANDI's terms. The procedure is that the Complainant files a complaint to PPND PANDI based on one of 3 available grounds (based on a Registered trade mark, Registered Business Name or if it is contrary to public order - which means bad faith). The time frame under the rules is 2 months, but it may take longer since there are some steps during the process with no clear time frame in the regulations - such as the time limit for the PANDI to form the Panel once the objection and the response has been submitted by both parties.

Arbitrators are appointed to hear cases from a current panel of 10. There may be a single or a panel of 3 Arbitrators depending on the procedure followed in the case. The Arbitrators are IP Practitioners, Lecturers/Academics and Officers from Ministry of Communication and Informatics.

The Netflix.co.id domain name was registered by a local registrant. The Arbitrator decided in favour of the US trademark owner on the basis of their prior registration and ordered the domain name to be transferred to Netflix, Inc.

Since then a further case over bmw.id has also been decided. Until this new arbitration system, court was the only option and so few domain name disputes had been heard. Now brand owners can feel secure that a solid arbitration system is working.