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Early Termination Of Rental Agreement for Indonesia

Early Termination Of Rental Agreement Template for Indonesia

A legally binding document governed by Indonesian law that facilitates the early termination of a rental agreement between a landlord and tenant before its original end date. This agreement outlines the terms and conditions for ending the lease prematurely, including the agreed termination date, settlement of outstanding payments, return of security deposits, and mutual release of future obligations. The document ensures compliance with Indonesian Civil Code (KUHPer) requirements and local property regulations, providing clear documentation of the parties' agreement to terminate the existing lease and their respective responsibilities during the termination process.

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What is a Early Termination Of Rental Agreement?

The Early Termination of Rental Agreement is a crucial document used in Indonesian property law when parties need to formally end a rental arrangement before its scheduled completion. This document is essential when circumstances require premature termination of a lease, whether due to tenant relocation, landlord's need to reclaim the property, or mutual agreement between parties. It must comply with Indonesian Civil Code (KUHPer) requirements, particularly Articles 1548-1600 governing rental agreements, and any applicable local property regulations. The agreement typically includes specific provisions for termination date, property handover procedures, financial settlements, and mutual releases, protecting both parties' interests while ensuring a legally sound termination process. It's particularly relevant in both residential and commercial contexts, requiring careful attention to local legal requirements and customary practices in Indonesian property management.

What sections should be included in a Early Termination Of Rental Agreement?

1. Parties: Identification of the Landlord and Tenant, including their full legal names, addresses, and any relevant registration numbers

2. Background: Brief recital of the original rental agreement details, including property address, original term, and reference to the desire for early termination

3. Definitions: Definition of key terms used in the agreement, including 'Termination Date', 'Original Agreement', 'Property', and other relevant terms

4. Termination Date: Specific date when the rental agreement will be terminated and the tenant will vacate the property

5. Tenant Obligations: List of tenant's responsibilities before vacating, including property condition, utility payments, and final inspection requirements

6. Landlord Obligations: Landlord's commitments regarding security deposit return, final inspection, and any agreed repairs

7. Financial Settlement: Details of any financial arrangements, including security deposit return, pro-rated rent calculations, and any termination fees

8. Release of Obligations: Mutual release of future obligations under the original rental agreement post-termination

9. Governing Law: Confirmation that the agreement is governed by Indonesian law

10. Execution: Signature blocks for all parties and witnesses

What sections are optional to include in a Early Termination Of Rental Agreement?

1. Property Damage Settlement: Include when there are specific agreements about repair of damage or wear and tear to the property

2. Remaining Tenant Provisions: Include when multiple tenants are on the original lease and not all are terminating

3. Security Deposit Deductions: Include when specific deductions from the security deposit are agreed upon

4. Forwarding Address: Include when there needs to be a formal record of the tenant's new address for future correspondence

5. Dispute Resolution: Include when parties wish to specify a particular method for resolving any future disputes

6. Force Majeure Clause: Include when termination is related to unforeseen circumstances or events beyond parties' control

What schedules should be included in a Early Termination Of Rental Agreement?

1. Schedule A - Property Inventory: Detailed list of property condition and inventory at the time of early termination

2. Schedule B - Financial Statement: Breakdown of all financial calculations including pro-rated rent, deposits, and any fees

3. Schedule C - Original Rental Agreement: Copy of the original rental agreement being terminated

4. Schedule D - Property Photographs: Documentation of property condition at termination

5. Appendix 1 - Handover Checklist: Checklist of items to be completed before final handover of the property

6. Appendix 2 - Utility Transfer Forms: Forms and procedures for transferring or terminating utility services

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

Cost

Free to use
Relevant legal definitions






























Clauses

























Relevant Industries

Real Estate

Property Management

Residential Housing

Commercial Property

Retail

Hospitality

Industrial

Legal Services

Property Development

Facilities Management

Relevant Teams

Legal

Property Management

Real Estate Operations

Facilities

Contract Administration

Tenant Relations

Asset Management

Compliance

Property Services

Lease Administration

Relevant Roles

Property Manager

Real Estate Agent

Legal Counsel

Leasing Manager

Facilities Manager

Property Administrator

Contract Manager

Real Estate Attorney

Housing Coordinator

Tenant Relations Manager

Asset Manager

Property Operations Manager

Compliance Officer

Real Estate Portfolio Manager

Industries






Teams

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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