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Final Payment Certificate (Construction) Template for Indonesia

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Key Requirements PROMPT example:

Final Payment Certificate (Construction)

"I need a Final Payment Certificate (Construction) for a completed 15-story commercial building project in Jakarta, Indonesia, with a final payment amount of IDR 25 billion, to be issued by March 2025."

Document background
The Final Payment Certificate (Construction) is a critical document used in the Indonesian construction industry to formalize the completion of payment obligations between parties. It is typically issued after the completion of works and following the issuance of the Completion Certificate, serving as the final financial settlement document for the construction project. This certificate is required under Indonesian construction law, particularly Law No. 2 of 2017 and Government Regulation No. 22 of 2020, and must comply with local tax regulations and construction industry standards. The document includes comprehensive financial information including the original contract sum, approved variations, adjustments, previous payments, retention release, and final amount due. It also considers any deductions, outstanding claims, and tax implications. The Final Payment Certificate represents the conclusion of the primary financial obligations under the construction contract and often serves as a prerequisite for the release of any remaining securities or guarantees.
Suggested Sections

1. Project Identification: Details of the construction project including contract reference number, project name, location, and dates

2. Parties: Identification of the Employer/Owner and Contractor, including their authorized representatives

3. Contract Reference: Reference to the original contract, including date, contract number, and any variations

4. Works Completion Status: Confirmation of works completion and reference to the Completion Certificate

5. Payment Summary: Summary of all previous payments, including interim certificates

6. Final Account Calculation: Detailed calculation of the final payment amount, including variations, adjustments, and deductions

7. Retention Release: Details of retention money to be released

8. Tax Declaration: Statement of tax implications and requirements as per Indonesian regulations

9. Certification: Formal certification statement by the authorized certifier/engineer

Optional Sections

1. Defects Liability Statement: Statement regarding completion of defects liability period - include if defects period has ended

2. Outstanding Claims Resolution: Section detailing resolution of any claims or disputes - include if there were disputed items

3. Performance Security Release: Details of performance security release - include if performance security was provided

4. Insurance Status: Statement on insurance requirements and current status - include if specific insurance obligations exist

5. Environmental Compliance: Confirmation of environmental obligations fulfillment - include for projects with significant environmental requirements

Suggested Schedules

1. Schedule A - Payment Calculation Details: Detailed breakdown of final payment calculation including all additions and deductions

2. Schedule B - List of Completed Variations: Complete list of all approved variations with their financial impact

3. Schedule C - Outstanding Items List: List of any minor outstanding items or agreed remedial works with associated values

4. Schedule D - As-Built Documentation Status: List of all as-built drawings and documentation submitted

5. Appendix 1 - Completion Certificate: Copy of the issued Completion Certificate

6. Appendix 2 - Tax Compliance Documents: Copies of relevant tax documentation and clearances

7. Appendix 3 - Release of Claims: Mutual release of claims document if applicable

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 | Serial Founder & Legal AI Author

Relevant legal definitions






























Clauses




















Relevant Industries

Construction

Infrastructure

Real Estate Development

Mining

Oil and Gas

Industrial Development

Commercial Property

Public Works

Transportation Infrastructure

Energy

Healthcare Infrastructure

Educational Facilities

Hospitality

Relevant Teams

Finance

Legal

Construction Management

Project Management

Commercial

Contracts Administration

Procurement

Accounts Payable

Quality Assurance

Operations

Risk Management

Relevant Roles

Project Manager

Construction Manager

Quantity Surveyor

Contract Administrator

Finance Director

Chief Financial Officer

Construction Director

Project Engineer

Site Manager

Commercial Manager

Claims Manager

Financial Controller

Legal Counsel

Procurement Manager

Cost Controller

Accounts Payable Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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