The Mutual Agreement To End Tenancy is used in Indonesia when both landlord and tenant wish to terminate their lease agreement before its natural expiration or to formally document an agreed-upon termination at the end of the lease term. This document is essential in the Indonesian property market, where it helps prevent future disputes by clearly documenting the termination terms, property condition, financial settlements, and mutual releases. It should be drafted in compliance with the Indonesian Civil Code (KUHPerdata), particularly Articles 1548-1600 governing rental agreements, and relevant housing regulations. The agreement is commonly used in both residential and commercial contexts, providing legal protection for all parties while ensuring a smooth and documented transition of property possession.
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1. Parties: Identification of the landlord and tenant with complete legal names and addresses
2. Background: Reference to the original tenancy agreement, its date, and property details
3. Definitions: Key terms used in the agreement including 'Termination Date', 'Property', 'Original Lease', etc.
4. Mutual Agreement to Terminate: Clear statement of both parties' agreement to end the tenancy and the effective termination date
5. Property Condition and Inspection: Requirements for property condition upon surrender and inspection procedures
6. Return of Security Deposit: Terms for the return of the security deposit, including timeline and any deductions
7. Settlement of Outstanding Amounts: Agreement on final utility bills, rent, and other payments
8. Keys and Access Devices: Arrangement for returning all keys and access devices
9. Release of Obligations: Mutual release from future obligations under the original lease
10. Governing Law: Specification that Indonesian law governs the agreement
11. Execution: Signature blocks and execution requirements
1. Forwarding Address: Section for tenant's forwarding address for future correspondence, used when tenant is moving to a new location
2. Remaining Occupants: Required when there are other occupants who need to vacate the property
3. Abandoned Property: Procedures for handling any property left behind, included when there's risk of abandonment
4. Maintenance Issues: Specific arrangements for outstanding repairs or maintenance, used when there are unresolved maintenance matters
5. Early Termination Fee Waiver: Included when waiving any early termination fees that would normally apply under the original lease
6. Confidentiality: Terms regarding confidentiality of the agreement, used in sensitive situations
7. Dispute Resolution: Alternative dispute resolution procedures, included for high-value or complex terminations
1. Schedule A - Property Inventory: Detailed list of property condition and inventory at termination
2. Schedule B - Payment Settlement: Breakdown of final payments, including security deposit deductions if any
3. Schedule C - Original Lease Agreement: Copy of the original lease agreement being terminated
4. Schedule D - Property Photographs: Dated photographs documenting property condition at termination
5. Schedule E - Utility Readings: Final utility meter readings and payment arrangements
6. Appendix 1 - Handover Checklist: Checklist for property handover process and requirements
7. Appendix 2 - Inspection Report: Final property inspection report signed by both parties
Relevant legal definitions
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Relevant Teams
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Real Estate Operations
Tenant Relations
Asset Management
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Lease Administration
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Risk Management
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Relevant Roles
Property Manager
Real Estate Agent
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Tenant Relations Manager
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Real Estate Lawyer
Housing Coordinator
Lease Administrator
Building Manager
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