Innovative Conflict Resolution Framework: Advancing Legal Reform and Investment Climate in Central Sulawesi

Investment-related conflicts in Central Sulawesi reveal fundamental tensions between formal legal frameworks and customary law systems (hukum adat), creating legal uncertainty that undermines regional investment climate stability. The existing regulatory architecture governing dispute resolution demonstrates structural inadequacies in recognizing indigenous conflict resolution mechanisms while formal litigation processes contradict principles of legal certainty, procedural efficiency, and access to justice. This normative legal research examines the doctrinal foundations, regulatory frameworks, and jurisprudential principles governing investment dispute resolution, identifying critical gaps between ius constitutum (existing law) and ius constituendum (ideal law) while proposing legal policy innovations grounded in restorative justice paradigms and legal pluralism theory. This research employs normative juridical methodology, utilizing statute approach, conceptual approach, comparative approach, and case approach to analyze legal materials systematically. Primary legal materials encompass constitutional provisions, statutory regulations, government regulations, regional regulations, and judicial decisions. Secondary legal materials include legal treatises, law journal articles, and scholarly commentaries. Tertiary materials comprise legal dictionaries and legal encyclopedias. Legal reasoning proceeds through syllogistic deduction, legal interpretation, legal construction, and legal argumentation to develop prescriptive recommendations for regulatory reform. Analysis reveals that current legal frameworks inadequately integrate customary law systems within formal dispute resolution mechanisms, violating constitutional mandates recognizing indigenous legal traditions. The research proposes an integrated legal model harmonizing statutory law with customary law through: constitutional reinterpretation emphasizing legal pluralism; legislative reform establishing hybrid dispute resolution institutions; regulatory innovation creating procedural frameworks for customary law recognition; and judicial doctrine development applying restorative justice principles. Implementation requires coordinated legal reforms across legislative, executive, and judicial branches, establishing institutional infrastructure supporting legal pluralism while maintaining national legal unity principles.