
The recognition and respect for customary law community in Bali (Pakraman) is mentioned in Article 18 (B)(2) of the 1945 Constitution of Republic of Indonesia. It states, "The State recognizes and respects the units of customary law communities along with their traditional rights as along asit still exists and in accordance with the development of society and the principles of the Unitary Republic of Indonesia which is regulated by the Law ". Pakraman is the unity of tradition and manners in the social life of Hindu people passed down from generation to generation in the bond of Kahyangan Tiga or Kahyangan Desa (three main temples within the Pakraman) that have particular area, their own properties and is entitled to manage its own household. Meanwhile the village administration is an authority that organizes village governments to regulate and manage the interests of the local community in the state government system. This article has two legal issues. First, how is the existence of customary law communities in the system of village administration in Bali? Second, how is the implementation and the authority of customary law communities in the village government system? This is as a normative legal research that employs statutory approach, conceptual approach and principles of law. Theoretically, the state recognizes the customary law community (in Bali) with the original composition as customary law community which has tradition and traditional rights. Bali customary law community (Pakraman) basically still can co-exist with the village administration in the implementation of the village administration.