Document background
The Transfer Of Service Agreement is a crucial document used when transitioning services from one provider to another in the Indonesian market. It becomes necessary when organizations decide to change service providers, undergo restructuring, or implement strategic sourcing decisions. This agreement, governed by Indonesian law including the Civil Code (KUH Perdata) and relevant commercial regulations, provides a comprehensive framework for managing the transition process. It typically includes detailed provisions for service scope, transition methodology, risk allocation, and compliance requirements. The document addresses specific Indonesian regulatory requirements, including manpower regulations if employee transfers are involved, data protection requirements, and sector-specific compliance obligations. It serves as both a operational and legal framework to ensure smooth transition while protecting the interests of all parties involved.
