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Provisions for Hosting Esports Tournaments and Leagues in Indonesia

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Provisions for Hosting Esports Tournaments and Leagues in Indonesia

Provisions for Hosting Esports Tournaments and Leagues in Indonesia
Yudistira Adipratama, S.H., LL.M.K-CASE Lawyer

Bacaan 10 Menit

Provisions for Hosting Esports Tournaments and Leagues in Indonesia

PERTANYAAN

With the popularity of esports in Indonesia, local and international event organizers are competing to host esports tournaments and leagues in Indonesia. For this reason, what are the requirements that event organizers must consider to be able to organize esports tournaments and leagues in Indonesia?

DAFTAR ISI

    INTISARI JAWABAN

    Event organizers both local and international who wish to host esports championships in Indonesia must pay attention to several legal considerations, such as:

    1. obtain permission from the Esports Federation of Indonesia (Pengurus Besar Esports Indonesia/PB ESI) as the branch of esports in Indonesia to organize leagues and tournaments with prize pools of Rp15 million and above;
    2. obtain a recommendation from PB ESI if the sports championship brings in a mass of live spectators;
    3. obtain a crowd permit from the police; and
    4. comply with the provisions of personal data protection that apply in Indonesia.

    Please take a look at the review below for a further explanation.

    ULASAN LENGKAP

    Thank you for your question.

    This article is an English translation of Ketentuan Penyelenggaraan Turnamen dan Liga Esports di Indonesia, written by Yudistira Adipratama, S.H., LL.M. from K-Case Lawyer, published on the 18th of June 2024.

    All legal information available on Klinik hukumonline.com has been prepared for educational purposes only and is general in nature (read the complete Disclaimer). In order to obtain legal advice specific to your case, please consult with Justika Partner Consultant.

    The Difference between Tournaments and Esports Leagues

    The popularity of esports in Indonesia certainly opens up opportunities for local and international event organizers to host esports championships in Indonesia. The hosting of sports championships or tournaments itself is the responsibility of the sports branch organization.[1] So for the esports branch, the implementation of its hosting is under the guidance of the Esports Federation of Indonesia (Pengurus Besar Esports Indonesia/PB ESI) as the branch of esports in Indonesia. In this case, PB ESI divides esports championships into tournaments and leagues with the following differences:

    AspectsTournamentsLeagues
    DefinitionAn esports tournament is a competition organized under a license issued by PB ESI.[2]An esports league is a series of esports competitions held within Indonesia and recognized by PB ESI.[3]
    ClassificationClassified by the magnitude of large, medium, and small-scale prizes/rewards.[4]

    Classified by levels, namely:[5]

    1. exclusive esports league
    2. esports league 1
    3. esports league 2 and
    4. amateur esports leagues.
    Host/OrganizerMay be organized by the tournament organizing vendor.[6]Can only be organized by PB ESI[7] and official partners of the relevant branch of sport.
    LicensingThe relevant sports branch will issue licenses and recommendations for its organization.[8] In addition, large-scale and medium-scale esports tournaments are required to obtain permission from PB ESI and supervision by involving PB ESI members in the planning and the organization. Without PB ESI's permission and supervision, the tournament is illegal and can be dismissed by PB ESI.[9]The relevant sports branch will issue permissions and recommendations for its organization.[10] Esports matches in the form of leagues can only be held with permission from PB ESI. Then, leagues organized without permission from PB ESI are illegal and can be dismissed by PB ESI.[11]
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    Furthermore, to hold an esports championship, event organizers must meet the technical requirements of the branch and recommendations from PB ESI.[12] In this case, the provisions of the technical requirements of the branch in question are in the form of the obligation to obtain PB ESI permission in organizing large or medium scale tournaments, as well as leagues.[13]

    As we have mentioned, this is a provision that must be fulfilled, because if it is not fulfilled, the tournament or league will be considered illegal and can be terminated by the authorities.[14] Furthermore, if the technical requirements of the branch are not fulfilled, the event organizing vendor can also be subject to sanctions in the form of a maximum imprisonment of 2 years and/or a maximum fine of Rp1 billion.[15]

    Meanwhile, a recommendation from PB ESI is required if the esports tournament or league directly brings in mass audiences/spectators.[16] If the recommendation is not owned by the event organizing vendor, the vendor may be subject to sanctions in the form of imprisonment for a maximum of 2 years and/or a maximum fine of Rp1 billion.[17] In addition, specifically for foreign persons and/or legal entities, the organization of championship events or esports tournaments must be carried out in partnership with PB ESI.[18]

    Provisions for Organizing Championships based on Regulations of Esports Federation of Indonesia

    Next, we will explain more about the provisions for organizing esports tournaments and leagues based on the Regulations of Esports Federation of Indonesia.

    1. Tournaments

    In the Regulation of Esports Federation of Indonesia, the tournament scale is divided based on the amount of cash prize or prize pool awarded in the tournament with the following conditions:[19]

    Type of ScaleAmount of Prize PoolProvisions of the Organization
    Large ScalePrize pool of more than IDR100 million.   
    • Must obtain the permission and supervision of PB ESI by involving PB ESI members in the planning and the organization.
    • Must obtain a recommendation from PB ESI if bringing in a mass of live spectators.
    Medium ScalePrize pool between IDR15 million and IDR100 million.
    • Must obtain the permission and supervision of PB ESI by involving PB ESI members in the planning and the organization.
    • Must obtain a recommendation from PB ESI if bringing in a mass of live spectators.
    Small ScalePrize pool is less than IDR15 million.Must obtain a recommendation from PB ESI if bringing in a mass of live spectators.

    Another thing that needs to be considered by vendors organizing esports championship events with large and medium scale prize categories, can only be held by event organizers registered with PB ESI to prevent the decreasing standards of organizing esports tournaments in Indonesia.[20]

    Large and medium scale tournament organizers are also required to report to PB ESI on the structure of participants, organizer structure, and legality of vendors or partners involved in organizing esports tournaments.[21]

    In this case, there is a classification of event organizers based on the scale of the tournament as follows:[22]

    1. 1st class tournament organizing vendor: entitled to organize tournaments on a large, medium or small scale;
    2. 2nd  class tournament organizing vendors: entitled to organize tournaments on a medium and small scale; and
    3. 3rd  class tournament organizer vendor: entitled to organize tournaments on a small scale.

    Then, to become a 1st and 2nd class tournament organizing vendor, the event organizer must meet the following requirements:[23]

    1. submit a registration application to PB ESI;
    2. pay the registration fee; and
    3. pay annual dues to PB ESI.

     

    1. Leagues

    In practice, leagues are divided into the following tiers:[24]

    1. Exclusive esports leagues: franchised leagues organized by game publishers.[25]
    2. Esports league 1: a national-level competition held regularly and features Indonesian professional teams or athletes.[26]
    3. Esports league 2: a league for Indonesian professional teams or athletes to compete for a spot in league 1.[27]
    4. Amateur esports league: a league intended for amateur esports teams to have the opportunity to compete in esports league 2.[28]

    Like tournament organizers, league organizers must also be vendors registered with PB ESI and their organizers must obtain permission from PB ESI.[29]

     

    Crowd Permit

    In organizing an on-site (physical) esports championship that brings in the masses, a crowd permit is also required by the Indonesian National Police as mandated in the Field Manual of the Chief Indonesian National Police No. Pol/02/XII/95 which regulates permissions and notifications of community activities. The crowd permit is granted based on the number of physical attendees of an esports championship with the following conditions:

    1. Crowd permits that bring in a crowd of 300-500 people, must complete a certificate from the local village head, and a photocopy of the ID card of the event organizer.
    2. Crowd permits that bring in a crowd of more than 1000 people, must complete the crowd permit application letter, activity proposal, identity of the event organizer, and permit for the place where the activity takes place.

    Provisions on Personal Data Protection

    In addition to fulfilling the provisions for organizing esports championships based on the Regulations of Esports Federation of Indonesia and obtaining crowd permits based on the Field Manual above, event organizers also need to comply with the provisions on personal data protection. In this regard, event organizers must implement adequate security measures to protect participants' personal data such as names, addresses, telephone numbers, etc.[30]

    According to our opinion, event organizers should not display or distribute such names as part of the tournament without the prior consent of the participants. Event organizers should only display nicknames or pseudonyms that have been agreed upon by participants. The agreement on the names displayed is in practice contained in the esports championship registration form, which contains the matters that participants need to agree to participate in the esports championship. 

    By understanding and following the applicable regulations, event organizers can ensure that the esports tournaments and leagues held can run smoothly following applicable laws in Indonesia.

    These are the answers we can provide, we hope you will find them useful.

    Legal Basis:

    1. Law Number 11 of 2022 on Sports;
    2. Law Number 27 of 2022 on Personal Data Protection;
    3. Field Manual of the Chief of Indonesian National Police No. Pol/02/XII/95 on Permission and Notification of Community Activities;
    4. Regulation of Esports Federation of Indonesia Number 034/PB-ESI/B/VI/2021 on the Implementation of Esports Activities in Indonesia.

    Reference:

    Esports Federation of Indonesia accessed on Friday, 21st  of June 2024, at 16:00 Western Indonesian Time.


    [1] Article 50 section (1) Law Number 11 of 2022 on Sports (“Sports Law”)

    [2] Article 1 number 37 Regulation of Esports Federation of Indonesia Number 034/PB-ESI/B/VI/2021 on the Implementation of Esports Activities in Indonesia (“Regulation of Esports Federation of Indonesia”)

    [3] Article 1 number 38 Regulation of Esports Federation of Indonesia

    [4] Article 16 section (1) Regulation of Esports Federation of Indonesia

    [5] Article 13 section (5) Regulation of Esports Federation of Indonesia

    [6] Article 23 section (1) Regulation of Esports Federation of Indonesia

    [7] Article 13 section (1) Regulation of Esports Federation of Indonesia

    [8] Article 54 section (1) Sports Law

    [9] Article 16 section (2) and (3) Regulation of Esports Federation of Indonesia

    [10] Article 54 section (1) Sports Law

    [11] Article 13 section (1) and (2) Regulation of Esports Federation of Indonesia

    [12] Article 52 and 54 section (1) Sports Law

    [13] Article 13 section (1) and Article 16 section (2) Regulation of Esports Federation of Indonesia

    [14] Article 13 section (2) and Article 16 section (3) Regulation of Esports Federation of Indonesia

    [15] Article 103 section (1) Sports Law

    [16] Article 54 section (1) Sports Law

    [17] Article 103 section (2) Sports Law

    [18] Article 54 section (3) Sports Law

    [19] Article 16 Regulation of Esports Federation of Indonesia

    [20] Article 22 section (1) Regulation of Esports Federation of Indonesia

    [21] Article 18 section (1) Regulation of Esports Federation of Indonesia

    [22] Article 23 section (1) Regulation of Esports Federation of Indonesia

    [23] Article 23 section (2) Regulation of Esports Federation of Indonesia

    [24] Article 13 section (5) Regulation of Esports Federation of Indonesia

    [25] Article 1 number 41 Regulation of Esports Federation of Indonesia

    [26] Article 1 number 42 Regulation of Esports Federation of Indonesia

    [27] Article 1 number 43 Regulation of Esports Federation of Indonesia

    [28] Article 13 section (10) Regulation of Esports Federation of Indonesia

    [29] Article 13 section (1) and Article 22 section (1) Regulation of Esports Federation of Indonesia

    [30] Article 4 section (3) letter (a) Law Number 27 of 2022 on Personal Data Protection

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