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Revocable License To Use Property for Indonesia

Revocable License To Use Property Template for Indonesia

This document establishes a revocable license agreement for property use under Indonesian law, particularly governed by the Indonesian Civil Code (KUHPerdata) and Basic Agrarian Law No. 5 of 1960. It creates a temporary, non-exclusive right to use specified property while maintaining the licensor's ability to revoke the permission with appropriate notice. The agreement details the scope of permitted use, duration, fees, maintenance responsibilities, and termination rights, while ensuring compliance with both national and local Indonesian property regulations. Unlike a lease, this agreement offers more flexibility for the property owner while providing the licensee with clearly defined usage rights.

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Revocable License To Use Property

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What is a Revocable License To Use Property?

The Revocable License To Use Property is a crucial document in Indonesian business operations where temporary or flexible property usage arrangements are needed. This agreement is particularly valuable when full leasehold rights are unnecessary or undesirable, offering property owners greater control while providing users with defined usage rights. The document complies with Indonesian property law framework, including the Basic Agrarian Law and Civil Code, making it suitable for various commercial, industrial, and institutional purposes. It's commonly used for situations ranging from pop-up retail spaces to temporary storage facilities, incorporating essential elements such as usage terms, fee structures, and termination rights. The agreement's revocable nature provides significant flexibility while still offering sufficient security for business operations.

What sections should be included in a Revocable License To Use Property?

1. Parties: Identification of the Licensor (property owner) and Licensee (permitted user), including their complete legal names, addresses, and any registration numbers

2. Background: Context of the agreement, including brief description of the property and purpose of the license

3. Definitions: Key terms used throughout the agreement, including 'Property', 'Permitted Use', 'License Period', and 'License Fee'

4. Grant of License: Specific details of the license being granted, including scope and nature of permitted use

5. License Period: Duration of the license, including start date and any renewal provisions

6. License Fee: Amount, payment schedule, and method of payment for the license

7. Permitted Use: Detailed description of how the Licensee may use the property, including any restrictions

8. Licensee's Obligations: Requirements for property maintenance, compliance with laws, and other responsibilities

9. Licensor's Rights and Obligations: Responsibilities of the property owner and rights to inspect/access the property

10. Revocation and Termination: Circumstances under which the license can be revoked or terminated, including notice requirements

11. Property Condition: State of the property at commencement and return requirements

12. Governing Law: Specification of Indonesian law as governing law and jurisdiction for disputes

What sections are optional to include in a Revocable License To Use Property?

1. Insurance: Requirements for property and liability insurance, used when the property value or usage risks warrant insurance coverage

2. Utilities and Services: Responsibility for utility payments and services, included when the property requires active utility connections

3. Alterations: Rules regarding modifications to the property, needed when alterations might be contemplated

4. Assignment and Sublicensing: Restrictions on transfer of rights, included when there's a need to explicitly prohibit or regulate transfer

5. Security Deposit: Terms for security deposit if required, included when property value or risk warrants

6. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in longer-term licenses

7. Environmental Compliance: Environmental obligations and restrictions, necessary for properties where environmental concerns exist

8. Access Hours: Specific times when the property can be accessed, needed for shared facilities or properties with restricted access

What schedules should be included in a Revocable License To Use Property?

1. Property Description: Detailed description of the licensed property, including address, boundaries, and relevant certificates

2. Property Plan: Floor plans, site maps, or other visual representations of the licensed property

3. Fee Schedule: Detailed breakdown of license fees, payment dates, and any incremental increases

4. Permitted Use Details: Comprehensive list of permitted activities and any specific restrictions

5. Condition Report: Detailed assessment of property condition at commencement of license

6. Building Rules: Any applicable building or facility rules that the Licensee must follow

7. Required Permits: List of governmental or regulatory permits required for the permitted use

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

License Agreement

Sector

IP

Cost

Free to use
Relevant legal definitions









































Clauses





































Relevant Industries

Real Estate

Retail

Manufacturing

Education

Hospitality

Technology

Agriculture

Mining

Construction

Logistics

Entertainment

Religious Services

Healthcare

Professional Services

Relevant Teams

Legal

Operations

Facilities Management

Real Estate

Risk Management

Compliance

Corporate Services

Business Development

Property Administration

Contract Management

Relevant Roles

Property Manager

Facilities Manager

Real Estate Director

Legal Counsel

Operations Manager

Business Development Manager

Contract Administrator

Risk Manager

Compliance Officer

Asset Manager

Chief Operating Officer

Commercial Director

General Manager

Corporate Services Manager

Property Rights Administrator

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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