Document background
The Deposit Rental Agreement serves as a crucial legal instrument in Indonesian property transactions, designed to protect both landlord and tenant interests in rental arrangements. This document is essential when establishing a new rental relationship or updating existing deposit terms, providing clear guidelines for deposit handling under Indonesian law. The agreement typically accompanies a main lease agreement and should be used whenever a security deposit is required for property rental. The document ensures compliance with Indonesian Civil Code (KUHPerdata) requirements and includes specific provisions for deposit amount, payment timing, holding conditions, permitted deductions, and return procedures. It helps prevent disputes by clearly documenting the parties' rights and obligations regarding the security deposit.
