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Bill Of Sale Agreement for Indonesia

Bill Of Sale Agreement Template for Indonesia

A Bill of Sale Agreement under Indonesian law is a formal legal document that evidences the transfer of ownership of property from a seller to a buyer. Governed by the Indonesian Civil Code and relevant commercial regulations, this document serves as conclusive proof of sale and transfer of ownership. It includes detailed descriptions of the property being sold, the purchase price, payment terms, and specific warranties about the property's condition and ownership. The agreement must comply with Indonesian documentation requirements and may need to be notarized depending on the type and value of the property being transferred.

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What is a Bill Of Sale Agreement?

The Bill of Sale Agreement is a crucial legal document used in Indonesia when transferring ownership of property from one party to another. It serves as both a record of the sale transaction and proof of ownership transfer, essential for legal and tax purposes under Indonesian jurisdiction. This document is commonly used for various types of property transfers, from vehicles and equipment to personal property and certain real assets. The agreement must comply with the Indonesian Civil Code (Kitab Undang-undang Hukum Perdata) and may require specific formalities such as notarization depending on the type and value of property being transferred. It typically includes detailed property descriptions, warranties of ownership, confirmation of payment, and specific terms of the transfer, making it a comprehensive record of the transaction terms and conditions.

What sections should be included in a Bill Of Sale Agreement?

1. Parties: Identifies and provides full details of the seller and buyer, including their legal names, addresses, and any registration numbers for companies

2. Background: Brief context about the sale transaction and the parties' intention to transfer ownership of the specified property

3. Definitions: Defines key terms used throughout the agreement for clarity and legal certainty

4. Description of Property: Detailed description of the property being sold, including all relevant identifying information such as serial numbers, characteristics, or unique features

5. Purchase Price: Specifies the agreed purchase price and currency

6. Payment Terms: Details of how and when payment will be made, including any installment arrangements if applicable

7. Transfer of Title: Explicit statement of ownership transfer from seller to buyer and when this transfer becomes effective

8. Seller's Representations: Seller's warranties regarding ownership, condition of property, and authority to sell

9. Buyer's Acknowledgments: Buyer's confirmation of property inspection and acceptance of condition

10. Delivery: Terms and conditions for the physical transfer of the property

11. Governing Law: Specifies that Indonesian law governs the agreement

12. Execution: Signature blocks and execution requirements

What sections are optional to include in a Bill Of Sale Agreement?

1. Condition of Property: Detailed description of the property's condition, particularly important for used goods or equipment

2. Tax Obligations: Include when there are specific tax implications that need to be addressed between the parties

3. Registration Requirements: Include for sales of vehicles, land, or other assets requiring official registration

4. Insurance: Include when insurance is required during transit or for a specific period

5. Inspection Period: Include when the buyer is given a period to inspect the property before finalizing the sale

6. Encumbrances: Include when there's a need to address existing liens or encumbrances on the property

7. Force Majeure: Include for sales with delayed delivery or performance obligations

8. Dispute Resolution: Include when parties want to specify particular dispute resolution mechanisms

What schedules should be included in a Bill Of Sale Agreement?

1. Schedule A - Property Description: Detailed technical specifications, photographs, or drawings of the property being sold

2. Schedule B - Proof of Ownership: Copies of existing title documents, registration papers, or other ownership evidence

3. Schedule C - Payment Schedule: If payment is in installments, detailed breakdown of payment dates and amounts

4. Schedule D - Delivery Schedule: If multiple items or complex delivery arrangements, detailed delivery timeline and requirements

5. Appendix 1 - Condition Report: Detailed report on the current condition of the property, including any defects or issues

6. Appendix 2 - Required Registrations: List of necessary registrations or permits required for the transfer of ownership

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Indonesia

Publisher

Ƶ

Document Type

Sale Agreement

Cost

Free to use
Relevant legal definitions






























Clauses






























Relevant Industries

Automotive

Real Estate

Manufacturing

Retail

Agriculture

Mining

Construction

Technology

Maritime

Aviation

Heavy Equipment

Industrial Equipment

Consumer Goods

Transportation

Energy

Relevant Teams

Legal

Procurement

Sales

Finance

Compliance

Operations

Risk Management

Commercial

Administration

Documentation

Asset Management

Relevant Roles

Legal Counsel

Contract Manager

Procurement Manager

Sales Manager

Business Development Manager

Finance Manager

Compliance Officer

Property Manager

Asset Manager

Operations Manager

Risk Manager

Commercial Director

Chief Financial Officer

Chief Legal Officer

Administrative Officer

Documentation Specialist

Industries






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Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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