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Addendum Letter To Contract for Indonesia

Addendum Letter To Contract Template for Indonesia

An Addendum Letter to Contract is a formal document used under Indonesian law to modify, amend, or supplement an existing contract between parties. It must comply with the Indonesian Civil Code (KUHPer) and, where applicable, Law No. 24 of 2009 regarding language requirements. The document serves as a legally binding modification to the original agreement, detailing specific changes while maintaining the validity of unchanged terms. It requires proper execution by authorized representatives and may need to be bilingual if involving foreign parties, with the Indonesian version prevailing in case of inconsistencies.

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What is a Addendum Letter To Contract?

The Addendum Letter to Contract is a crucial document in Indonesian business practice used when parties need to modify an existing contractual arrangement without creating an entirely new contract. It is commonly employed when circumstances require changes to specific terms such as contract duration, pricing, scope of work, or delivery terms, while keeping the main contract structure intact. Under Indonesian law, particularly the Civil Code (KUHPer), such modifications must be clearly documented and agreed upon by all parties. The document must be drafted in Indonesian language as per Law No. 24 of 2009, though bilingual versions are common in international business contexts. It's essential for maintaining clear business relationships and ensuring legal compliance while adapting to changing business needs.

What sections should be included in a Addendum Letter To Contract?

1. Letter Header: Contains the letter reference number, date, and formal address to the recipient party

2. Original Contract Reference: Clear identification of the original contract being amended, including its title, reference number, signing date, and parties involved

3. Purpose Statement: Brief statement explaining the reason for the addendum

4. Amendment Details: Specific changes being made to the original contract, clearly stating the original clause and new modified version

5. Effective Date: When the amendments will take effect

6. Confirmation Statement: Statement that all other terms and conditions of the original contract remain unchanged

7. Closing and Signatures: Formal closing, signature blocks for all parties, and company stamps if required

What sections are optional to include in a Addendum Letter To Contract?

1. Recitals: Background information explaining the context and reasons for the amendments, used when complex circumstances need explanation

2. Definitions: Required only if new terms are being introduced in the addendum

3. Governing Law Restatement: Include only if there's a need to emphasize or modify the governing law provision

4. Language Compliance Statement: Statement about dual language versions if the addendum is bilingual, as per Law No. 24 of 2009

5. Corporate Approvals: Include when the addendum requires specific corporate or regulatory approvals

What schedules should be included in a Addendum Letter To Contract?

1. Schedule of Amendments: Detailed table or list of all modifications when changes are numerous or complex

2. Updated Price Lists or Commercial Terms: If the addendum involves changes to pricing or commercial terms

3. Corporate Authorizations: Copies of relevant board resolutions or powers of attorney authorizing the amendment

4. Supporting Documents: Any additional documents referenced in the addendum or necessary to understand the changes

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Indonesia

Cost

Free to use

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