DISPUTE SETTLEMENT BETWEEN THE ACTIVITY EXECUTION TEAM AND THE GOODS PROVIDER REGARDING THE USE OF VILLAGE FUNDS

Abstract

According to Law Number 6 of 2014 concerning Villages, villages have a strategic and vital role in development which is carried out using the development budget in the form of Village Fund Allocation (ADD). Villages can self-manage the use of village funds by procuring goods and services. Procurement of goods or services using village funds often experiences problems because the providers do not hand over the product to the activity execution team. This situation happens even though the provider has received a down payment for purchasing goods the village needs. As a result, development in the village is constrained. This condition gave rise to disputes between the activity execution team and the appointed goods or service provider, which may be reported to the authority. Disputes between the activity execution team and the provider in procuring goods and services using village funds are settled through administrative and civil law because the act is a default. The settlement is carried out through discussions to achieve consensus. If it fails, the settlement is carried out through discussions led by the village head. If it fails again, the procurement contract resolution service will conduct the settlement. The final way of settlement is by filing a lawsuit in court, not through criminal law.