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Non Disparage Agreement for Indonesia

Non Disparage Agreement Template for Indonesia

A Non-Disparagement Agreement under Indonesian law is a legally binding document that prohibits parties from making negative or derogatory statements about each other. This agreement is structured in accordance with Indonesian Civil Code principles and takes into account specific provisions of Indonesian defamation laws, both under the Criminal Code (KUHP) and the Electronic Information and Transactions Law (ITE Law). The document outlines specific prohibited actions, establishes the scope and duration of non-disparagement obligations, and provides remedies for potential breaches while ensuring compliance with Indonesian legal requirements regarding freedom of expression and contractual obligations.

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What is a Non Disparage Agreement?

The Non-Disparagement Agreement serves as a crucial legal instrument in Indonesian business and employment relationships where protecting reputation and maintaining professional relationships is paramount. This document is commonly used during employment separations, business partnership dissolutions, or settlement agreements, where there is a need to prevent potential reputational damage through negative statements or actions. The agreement must comply with Indonesian legal framework, including the Civil Code (KUHPer), Criminal Code (KUHP), and Electronic Information and Transactions Law (ITE Law). It typically includes specific definitions of prohibited conduct, scope of restrictions, duration of obligations, and enforcement mechanisms, while carefully balancing these restrictions with legally protected rights to expression under Indonesian law.

What sections should be included in a Non Disparage Agreement?

1. Parties: Identifies and defines all parties to the agreement, including their legal names, addresses, and any relevant corporate details

2. Background: Establishes the context and purpose of the agreement, including the relationship between the parties

3. Definitions: Defines key terms used in the agreement, particularly what constitutes 'disparagement' under the agreement

4. Scope of Non-Disparagement: Details the specific types of statements and actions that are prohibited, including both direct and indirect disparagement

5. Duration: Specifies the time period during which the non-disparagement obligations remain in effect

6. Mutual Obligations: Outlines the reciprocal nature of the non-disparagement obligations between the parties

7. Exceptions: Lists permitted disclosures and statements, such as those required by law or court order

8. Remedies for Breach: Specifies the consequences of violating the agreement, including potential damages and enforcement mechanisms

9. Governing Law and Jurisdiction: Establishes Indonesian law as the governing law and specifies the jurisdiction for dispute resolution

10. Notices: Details how official communications between parties should be made and delivered

11. Entire Agreement: Confirms that this document represents the complete agreement between the parties regarding non-disparagement

What sections are optional to include in a Non Disparage Agreement?

1. Social Media Provisions: Specific provisions regarding social media usage and online communications, particularly relevant for public figures or companies with significant online presence

2. Confidentiality Obligations: Additional provisions linking non-disparagement to confidentiality obligations, useful when sensitive information is involved

3. Third Party Rights: Provisions extending protection to related parties such as affiliates, officers, or employees

4. Survival Clause: Specifies which obligations survive the termination of any related agreements, particularly important in employment contexts

5. Alternative Dispute Resolution: Provisions for mediation or arbitration before court proceedings, recommended for high-profile parties

6. Public Statements: Guidelines for making public statements or press releases, relevant for public figures or corporate entities

7. Return of Materials: Requirements regarding the return or destruction of materials that could be used for disparagement, relevant in employment or business separation contexts

What schedules should be included in a Non Disparage Agreement?

1. Schedule 1: Defined Protected Parties: List of specific individuals or entities protected under the agreement beyond the main parties

2. Schedule 2: Approved Public Statements: Pre-approved language for public statements about the relationship between the parties

3. Schedule 3: Communication Guidelines: Detailed guidelines for acceptable and unacceptable forms of communication

4. Appendix A: Notification Procedures: Detailed procedures for reporting potential violations and handling disputes

5. Appendix B: Social Media Guidelines: Specific rules and examples regarding social media behavior, 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

Jurisdiction

Indonesia

Cost

Free to use

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