As one of object’s character, a building could be putted as a collateral for a
credit application. Characteristically, a building could be putted as a mortgage which
regulated on Mortgage Act of Legislation Number 4 Year of 1996 as the primary
regulation towards the mortgage practice. Other option is to put a building as a
fiduciary based on Fiduciary Act of Legislation Number 42 Year of 1999. The rights
of the land is the main object of a mortgage deal, where the building is set upon it.
Fiduciary is the opposite of the mortgage law, which bind the building itself without
the right of the land. Determinating the rights of the land where the building set up is
important in order to decide which kind of collateral will be used. The research in
CIMB Niaga Surabaya as one of common bank in Indonesia was done by comparing
data and the credit draft. The main aim of the research is to find out whether the
fiduciary of a building is lawful or not. At the end of the research, the conclusion was
made that the fiduciary of the building is lawful and acceptable according to the
Fiduciary Act of Legislation except the using of the Building License as the evidence
of the ownership of the building, which we know that Building License is not a proof
of the ownership
