The Release and Hold Harmless Agreement is a critical risk management tool used in Indonesian business and personal contexts. It is commonly employed when one party wishes to be absolved from liability for specific actions, events, or circumstances, while the other party agrees to assume the associated risks. This document type is particularly relevant in situations involving potentially risky activities, property use, or business transactions. The agreement must comply with Indonesian Civil Code requirements and cannot contravene public policy or mandatory legal provisions. It should clearly specify the scope of the release, consideration provided, and include all necessary elements for enforceability under Indonesian law. The document is especially important in commercial relationships where clear allocation of risk and liability is essential.
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1. Parties: Identifies and defines all parties to the agreement, including the Releasor and Releasee
2. Background: Provides context for the agreement, including relevant circumstances and relationships between the parties
3. Definitions: Defines key terms used throughout the agreement
4. Scope of Release: Clearly defines what claims, rights, or actions are being released
5. Hold Harmless Provisions: Details the specific indemnification and hold harmless obligations
6. Consideration: States the consideration being provided in exchange for the release
7. Representations and Warranties: States that parties understand the agreement and have the authority to enter into it
8. Governing Law: Specifies Indonesian law as governing law and relevant jurisdiction
9. Execution: Signature blocks and execution requirements
1. Future Claims: Used when the release needs to cover potential future claims
2. Insurance Provisions: Include when specific insurance requirements need to be maintained
3. Confidentiality: Added when the release involves confidential information or terms
4. Severability: Include when there's a need to ensure remaining provisions survive if some are found invalid
5. Return of Property: Used when physical or intellectual property needs to be returned as part of the release
6. Non-Disparagement: Added when parties agree not to make negative statements about each other
7. Dispute Resolution: Include when specific dispute resolution procedures are desired
1. Schedule A - Released Claims: Detailed list of specific claims, rights, or actions being released
2. Schedule B - Excluded Claims: List of claims specifically excluded from the release
3. Schedule C - Released Parties: Comprehensive list of all parties covered by the release if extending beyond primary parties
4. Appendix 1 - Supporting Documents: Any relevant supporting documents referenced in the main agreement
5. Appendix 2 - Insurance Requirements: Detailed insurance requirements if applicable
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