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Money Settlement Agreement Template for Indonesia

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Key Requirements PROMPT example:

Money Settlement Agreement

"I need a Money Settlement Agreement between PT Jaya Konstruksi (debtor) and PT Bank Sentral (creditor) for settling a corporate loan of IDR 5 billion, to be paid in monthly installments starting March 2025, with specific provisions for early repayment options."

Document background
The Money Settlement Agreement is a crucial legal instrument used in Indonesian business and legal practice when parties need to formalize the resolution of financial obligations or monetary disputes. This document is particularly relevant in situations involving debt restructuring, dispute resolution, or structured payment arrangements. It must comply with Indonesian Civil Code requirements and Bank Indonesia regulations, particularly regarding payment systems and financial transactions. The agreement typically includes detailed payment terms, release provisions, and security arrangements if applicable. It's commonly used by businesses, financial institutions, and individuals seeking to document settlement terms in a legally binding manner that provides certainty and protection for all parties involved.
Suggested Sections

1. Parties: Identification and details of all parties involved in the settlement

2. Background: Context of the original debt or obligation and circumstances leading to settlement

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

4. Settlement Amount: Clear statement of the agreed settlement sum and currency

5. Payment Terms: Detailed payment schedule, method, and conditions of payment

6. Release and Discharge: Mutual release of claims upon completion of settlement payments

7. Representations and Warranties: Statements confirming parties' authority and capacity to enter agreement

8. Confidentiality: Obligations regarding confidentiality of settlement terms

9. Governing Law: Specification of Indonesian law as governing law

10. Dispute Resolution: Procedure for resolving any disputes arising from the agreement

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

12. Entire Agreement: Confirmation that this document represents the complete agreement between parties

Optional Sections

1. Installment Payment Provisions: Detailed terms for installment payments, used when settlement is not paid as lump sum

2. Security Arrangements: Details of any collateral or security provided, used when settlement includes security

3. Tax Provisions: Allocation of tax responsibilities, used when settlement has significant tax implications

4. Third Party Rights: Provisions regarding rights of third parties, used when other parties have interests in the settlement

5. Force Majeure: Provisions for unforeseen circumstances, used in long-term settlement arrangements

6. Non-Admission of Liability: Statement that settlement does not constitute admission of liability, used in dispute settlements

7. Bank Guarantee: Terms of bank guarantee if required, used when payment security is needed

Suggested Schedules

1. Payment Schedule: Detailed breakdown of payment dates and amounts

2. Original Debt Documentation: Copies of documents evidencing original debt or obligation

3. Corporate Authorizations: Copies of corporate approvals and authorizations

4. Security Documents: Details and copies of security arrangements if applicable

5. Bank Account Details: Specified bank accounts for settlement payments

6. Power of Attorney: If settlement involves authorized representatives

7. Calculation of Settlement Amount: Detailed calculation showing how settlement amount was determined

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

Banking & Finance

Legal Services

Corporate Services

Debt Collection

Insurance

Real Estate

Manufacturing

Trading & Commerce

Construction

Professional Services

Relevant Teams

Legal

Finance

Treasury

Credit Control

Collections

Risk Management

Compliance

Corporate Secretariat

Account Management

Business Development

Relevant Roles

Legal Counsel

Finance Director

Chief Financial Officer

Credit Manager

Collections Manager

Risk Manager

Corporate Secretary

Compliance Officer

Treasury Manager

Account Manager

Settlement Officer

Legal Manager

Financial Controller

Business Development 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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