Document background
The Non-Reliance Letter Hold Harmless Letter is a crucial document in Indonesian business transactions where one party shares information with another but needs to protect themselves from potential liability. It is commonly used in due diligence processes, M&A transactions, and business negotiations where preliminary information is exchanged. The document serves dual purposes: first, it documents that the recipient is not relying on the provided information for making decisions, and second, it includes hold harmless provisions protecting the information provider from future claims. Under Indonesian law, particularly considering the Civil Code (KUH Perdata) and related commercial regulations, this document helps establish clear boundaries of liability and responsibility while facilitating necessary information exchange in business transactions. It's particularly relevant in situations where information is shared on a preliminary or informal basis, or where the provider cannot verify the complete accuracy of all shared information.
