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Late Payment Dispute Letter Template for Indonesia

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Key Requirements PROMPT example:

Late Payment Dispute Letter

"I need a Late Payment Dispute Letter for my manufacturing company to send to a client who has failed to pay three consecutive invoices totaling IDR 250,000,000, with the oldest invoice dating back to January 2025; we've already sent two reminder emails with no response."

Document background
The Late Payment Dispute Letter is a crucial business document used in the Indonesian legal context when a party fails to meet their payment obligations as per agreed terms. This document serves as a formal written record of the payment dispute and typically precedes any legal action. It should reference relevant sections of the Indonesian Civil Code (KUH Perdata) and include specific details about the outstanding payment, including original invoice numbers, dates, amounts, and any applicable late payment penalties or interest. The letter should maintain a professional tone while clearly stating the consequences of continued non-payment. It's particularly important in Indonesian business culture to demonstrate that reasonable attempts have been made to resolve the dispute amicably before pursuing legal remedies. The document should be prepared in accordance with Indonesian legal requirements and may need to be drafted in both Indonesian and English for international business relationships.
Suggested Sections

1. Sender and Recipient Details: Full legal names and addresses of both parties, including any reference numbers

2. Date and Reference Line: Current date and relevant reference numbers for the original transaction or agreement

3. Subject Line: Clear indication that this is a late payment dispute notice

4. Original Transaction Details: Specific details of the original transaction, including date, invoice number, and amount

5. Payment Terms Reference: Reference to the agreed payment terms from the original contract or invoice

6. Outstanding Amount: Clear statement of the total amount outstanding, including any applicable late fees or interest

7. Demand for Payment: Formal demand for immediate payment with specific deadline

8. Legal Consequences: Statement of potential legal actions if payment is not received

9. Contact Information: Details for making payment and discussing the matter

10. Closing and Signature: Professional closing, name and position of sender, and signature

Optional Sections

1. Previous Communications: Summary of previous attempts to resolve the matter, used when there has been prior correspondence

2. Payment Plan Proposal: Suggested payment plan terms, included when willing to accept installment payments

3. Interest Calculation: Detailed breakdown of interest charges, included when claiming interest on the outstanding amount

4. Dispute Resolution Options: Proposed methods for resolving the dispute, included when willing to negotiate or mediate

5. Business Impact Statement: Description of how the late payment affects your business, included when emphasizing urgency

Suggested Schedules

1. Original Invoice: Copy of the original invoice(s) relating to the unpaid amount

2. Contract Extract: Relevant sections of the original contract showing payment terms

3. Payment History: Record of any partial payments made and outstanding balance

4. Communication Log: Copies of previous payment requests and correspondence

5. Delivery Confirmation: Proof of delivery of goods or services if relevant to the dispute

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

Manufacturing

Retail

Construction

Professional Services

Technology

Healthcare

Transportation and Logistics

Real Estate

Financial Services

Wholesale Trade

Agriculture

Energy

Telecommunications

Education

Hospitality

Relevant Teams

Finance

Legal

Accounts Receivable

Credit Control

Collections

Treasury

Risk Management

Commercial Operations

Business Administration

Corporate Governance

Relevant Roles

Chief Financial Officer

Finance Manager

Accounts Receivable Manager

Credit Controller

Collections Specialist

Legal Counsel

Business Development Manager

Account Manager

Financial Controller

Treasury Manager

Risk Manager

Commercial Director

Operations Manager

Company Secretary

Managing Director

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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