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Basic Tenancy Agreement Template for Indonesia

A comprehensive legal document governed by Indonesian law that establishes the terms and conditions for the rental of residential or commercial property. This agreement outlines the rights and obligations of both landlord and tenant, including rent payment terms, security deposit requirements, maintenance responsibilities, and conditions for termination. It incorporates relevant provisions from the Indonesian Civil Code (KUHPerdata) and applicable local property regulations, ensuring compliance with Indonesian property law while providing a clear framework for the rental relationship.

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What is a Basic Tenancy Agreement?

The Basic Tenancy Agreement serves as a fundamental legal instrument in Indonesian property rental transactions, providing essential protection for both landlords and tenants. This document is typically used when establishing a straightforward rental arrangement for residential or commercial property in Indonesia, incorporating key provisions required under Indonesian law, particularly the Civil Code (KUHPerdata) and relevant property regulations. The agreement covers crucial aspects such as rental terms, payment obligations, maintenance responsibilities, and termination conditions, while remaining adaptable to various property types and rental situations. It's designed to be clear and comprehensive while maintaining compliance with Indonesian legal requirements and local property regulations.

What sections should be included in a Basic Tenancy Agreement?

1. Parties: Identification and details of the landlord and tenant, including full legal names, identification numbers (KTP/passport), and addresses

2. Background: Brief context of the agreement and property rental arrangement

3. Definitions: Definitions of key terms used throughout the agreement

4. Property Details: Comprehensive description of the rental property, including address and specific included areas

5. Term and Commencement: Duration of the lease, start date, and end date

6. Rent and Payment Terms: Rental amount, payment schedule, method of payment, and late payment consequences

7. Security Deposit: Amount, terms of holding, and conditions for return of the security deposit

8. Utilities and Service Charges: Responsibility for utility payments and other service charges

9. Use of Property: Permitted use of the property and any restrictions

10. Maintenance and Repairs: Responsibilities of both parties regarding property maintenance and repairs

11. Tenant Obligations: Key responsibilities and obligations of the tenant

12. Landlord Obligations: Key responsibilities and obligations of the landlord

13. Termination: Conditions and process for terminating the agreement

14. Governing Law: Specification of Indonesian law as governing law and jurisdiction

15. Notices: Process and addresses for formal communications between parties

What sections are optional to include in a Basic Tenancy Agreement?

1. Insurance: Requirements for property and contents insurance, used when specific insurance coverage is required

2. Subletting: Terms regarding subletting or assignment, included when subletting might be permitted

3. Pets: Rules regarding keeping pets in the property, included when pets are allowed or specifically prohibited

4. Renovation and Alterations: Terms for making changes to the property, included when modifications might be permitted

5. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in areas prone to natural disasters

6. Building Rules: Specific rules of the building or complex, included for properties in managed buildings

7. Special Provisions for Foreigners: Additional terms for foreign tenants, included when the tenant is not Indonesian

8. Furniture and Fittings: Terms regarding furnished properties, included when the property is rented furnished

What schedules should be included in a Basic Tenancy Agreement?

1. Inventory List: Detailed list of furniture, appliances, and fittings included in the rental

2. Property Condition Report: Detailed description of the property condition at the start of tenancy

3. House Rules: Specific rules and regulations for the property or building complex

4. Payment Schedule: Detailed breakdown of rent, deposit, and other payment obligations

5. Utility Reading Records: Initial meter readings for utilities at the start of tenancy

6. Maintenance Schedule: Schedule of regular maintenance activities and responsibilities

7. Photos of Property: Photographic evidence of property condition at commencement

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

Document Type

Rental Agreement

Cost

Free to use

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