The Agreement To Sell And Contract Of Sale is a crucial legal document used in Indonesian business and property transactions when parties wish to document both their commitment to a future sale and the actual transfer of ownership in a single instrument. This document type is particularly relevant under Indonesian law, where it must comply with the Civil Code (KUHPer) and various property regulations. It is commonly used for both real estate and business asset transfers, providing comprehensive coverage from initial agreement through to completion. The document includes essential elements such as party details, property descriptions, payment terms, conditions precedent, and completion requirements, while incorporating necessary provisions for regulatory compliance, including any foreign ownership restrictions where applicable. It serves as both a binding commitment to sell and the actual instrument of sale, making it particularly useful for complex transactions where parties need certainty about both the future sale and its terms.
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1. Parties: Identification and details of the seller and buyer, including their legal capacity to enter into the agreement
2. Background: Context of the transaction, including brief description of the property/asset and the parties' intention to enter into a sale transaction
3. Definitions: Definitions of key terms used throughout the agreement
4. Object of Sale: Detailed description of the property or assets being sold, including all relevant specifications, conditions, and encumbrances
5. Purchase Price: The agreed purchase price, payment terms, method of payment, and payment schedule
6. Conditions Precedent: Conditions that must be fulfilled before the sale becomes effective
7. Representations and Warranties: Statements of fact and guarantees made by both parties regarding their capacity, authority, and the condition of the sale object
8. Rights and Obligations: Detailed responsibilities of both parties before, during, and after the sale
9. Transfer of Title: Process and timing for the transfer of ownership from seller to buyer
10. Completion: Details of the completion process, including timing, location, and documentation requirements
11. Default and Remedies: Consequences of breach and available remedies for both parties
12. Governing Law: Specification of Indonesian law as the governing law and relevant jurisdiction
13. Dispute Resolution: Process for resolving disputes, including choice of forum and method
14. Notices: Method and addresses for official communications between parties
15. Execution: Signature blocks and execution requirements
1. Due Diligence: Detailed provisions for buyer's right to conduct due diligence, used when selling complex assets or property requiring investigation
2. Broker/Agent Provisions: Terms relating to real estate agents or brokers, included when intermediaries are involved in the transaction
3. Foreign Ownership Provisions: Special provisions required when the buyer is a foreign entity or individual, addressing compliance with Indonesian foreign ownership laws
4. Environmental Matters: Environmental warranties and indemnities, included when selling land or industrial property
5. Employees/Staff Transfer: Provisions regarding the transfer of employees, used when selling a business as a going concern
6. Intellectual Property: Provisions regarding the transfer of associated intellectual property rights, used when selling businesses or products with IP components
7. Tax Provisions: Detailed tax arrangements and responsibilities, included for complex transactions with significant tax implications
8. Force Majeure: Provisions for unforeseen circumstances preventing performance, included for long-term or complex transactions
1. Property Description Schedule: Detailed technical description of the property or assets being sold
2. Payment Schedule: Detailed breakdown of payment terms and installments if applicable
3. Due Diligence Documents: List of documents provided or to be provided for due diligence
4. Form of Transfer Deed: Template of the deed of transfer to be executed at completion
5. Encumbrances Schedule: List of all existing encumbrances, liens, or claims on the property
6. Required Consents: List of regulatory or third-party consents required for the sale
7. Completion Checklist: List of documents and actions required for completion
8. Property Title Documents: Copies of relevant title documents and certificates
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Manufacturing
Retail
Agriculture
Mining
Construction
Technology
Hospitality
Industrial
Commercial Property
Residential Property
Automotive
Energy
Financial Services
Relevant Teams
Legal
Real Estate
Property Management
Commercial
Finance
Procurement
Business Development
Risk & Compliance
Operations
Corporate Affairs
Investment
Asset Management
Relevant Roles
Legal Counsel
Corporate Lawyer
Real Estate Manager
Property Developer
Business Development Manager
Chief Executive Officer
Chief Financial Officer
Commercial Director
Procurement Manager
Contract Manager
Property Manager
Asset Manager
Investment Manager
Risk Manager
Compliance Officer
General Manager
Operations Director
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