Factors Causing Buyers to be Declared in Default in Public Auctions of State/Regional Property at the Mataram State Property and Auction Service Office

Abstract

The purpose of this study is to analyze the factors that cause buyers to be declared in default in public auctions of state/regional property and to analyze the impact of buyers being declared in default on the management of state/regional property. The type of research used is empirical legal research, which uses facts obtained from human behavior during interviews or direct observation with the relevant parties. In addition, empirical research is also used to observe the results of human behavior in the form of physical remnants or archives. The results of the study show that the public auction of state/regional property held by the Mataram State Property and Auction Service Office (KPKNL) aims to analyze the factors that cause buyers to be declared in default in the auction of state/regional property and the impact of buyers being declared in default on the management of state/regional property. The factors causing buyers to be declared in default include the unavailability of funds that the auction winner is supposed to use to fulfill their obligations. Auction winners face difficulties in settling their obligations due to various issues within the payment obligation period, such as force majeure and others. The impact of buyers being declared in default is that it can disrupt the smooth process of managing state/regional property, leading to financial losses and slowing down the process of utilization and transfer of property ownership.