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Indemnity Contract

Indemnity Contract Template for Indonesia

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Key Requirements PROMPT example:

Indemnity Contract

"I need an Indemnity Contract governed by Indonesian law for a large-scale construction project in Jakarta, where our company (as the main contractor) needs protection against subcontractor-related risks and potential third-party claims, with the agreement to be effective from March 1, 2025."

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Document background
The Indemnity Contract serves as a crucial risk management tool in Indonesian business transactions, providing a framework for one party (Indemnitor) to compensate another (Indemnitee) for specified losses, damages, or liabilities. This document is essential when parties need to allocate risks in business relationships, mergers and acquisitions, service agreements, or construction projects. The contract must comply with Indonesian law, particularly the Civil Code (KUHPer) and corporate regulations, and requires dual-language formatting as per Law No. 24 of 2009. It's commonly used in scenarios involving corporate guarantees, project developments, or business transactions where risk transfer is necessary. The document includes detailed provisions for claim procedures, payment terms, and dispute resolution mechanisms, all tailored to the Indonesian legal and business environment.
Suggested Sections

1. Parties: Identification of the Indemnitor (party providing indemnity) and Indemnitee (party being indemnified), including full legal names and addresses

2. Background: Context of the indemnity arrangement, relationship between parties, and purpose of the agreement

3. Definitions: Definitions of key terms used throughout the agreement, including 'Indemnified Events', 'Losses', and 'Claims'

4. Scope of Indemnity: Detailed description of what losses, damages, or liabilities are covered by the indemnity

5. Indemnification Process: Procedures for making claims, including notice requirements, timing, and documentation

6. Payment Terms: Terms and conditions for payment of indemnification, including currency, timing, and method

7. Limitations and Exclusions: Specific limitations on the indemnity obligation and excluded events or circumstances

8. Duration: Term of the indemnity agreement and any survival provisions

9. Representations and Warranties: Standard representations and warranties from both parties

10. Governing Law and Jurisdiction: Specification of Indonesian law as governing law and choice of forum for disputes

11. Language: Statement on dual language requirement and prevailing language in case of conflict

12. Execution: Signature blocks and execution requirements

Optional Sections

1. Security Provisions: Include when the indemnitor is required to provide security or collateral to support the indemnity obligation

2. Insurance Requirements: Include when specific insurance coverage is required to support the indemnity

3. Third Party Rights: Include when the indemnity extends to or affects third parties

4. Tax Provisions: Include when there are specific tax implications or allocations related to the indemnity payments

5. Force Majeure: Include when certain force majeure events might affect the indemnity obligations

6. Assignment and Transfer: Include when rights or obligations under the indemnity may need to be transferred

7. Confidentiality: Include when the indemnity relates to or requires protection of confidential information

Suggested Schedules

1. Schedule 1 - Specified Events: Detailed list of events or circumstances covered by the indemnity

2. Schedule 2 - Claim Procedures: Detailed procedures for making and processing indemnity claims

3. Schedule 3 - Contact Details: Contact information for notices and claims processing

4. Schedule 4 - Form of Claim Notice: Template for submitting indemnity claims

5. Appendix A - Supporting Documents: List of required supporting documents for various types of claims

6. Appendix B - Payment Details: Banking and payment processing information

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

alex.den.21@genieai.co
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Relevant Industries

Manufacturing

Construction

Financial Services

Technology

Energy

Mining

Infrastructure

Real Estate

Healthcare

Transportation

Telecommunications

Professional Services

Retail

Agriculture

Maritime

Relevant Teams

Legal

Finance

Risk Management

Compliance

Corporate Affairs

Operations

Commercial

Business Development

Insurance

Treasury

Corporate Governance

Project Management

Relevant Roles

Legal Counsel

Corporate Secretary

Risk Manager

Compliance Officer

Chief Financial Officer

Contract Manager

Project Manager

Business Development Director

Chief Executive Officer

Operations Director

General Counsel

Finance Director

Commercial Director

Insurance Manager

Corporate Governance Officer

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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