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Temporary Lease Agreement for Indonesia

Temporary Lease Agreement Template for Indonesia

A standardized legal document governed by Indonesian law that establishes a temporary leasing arrangement between a lessor and lessee for a specified property and duration. The agreement complies with the Indonesian Civil Code (KUHPerdata) and relevant property regulations, incorporating essential provisions for rent payment, maintenance responsibilities, security deposits, and termination conditions. It includes specific protections and obligations for both parties as required under Indonesian property law, with provisions for dispute resolution and clear terms for property usage and maintenance.

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What is a Temporary Lease Agreement?

The Temporary Lease Agreement serves as a crucial legal instrument in Indonesian property transactions, designed for situations requiring fixed-term property usage rights. This document type is essential for both residential and commercial property arrangements in Indonesia, structured in accordance with the Indonesian Civil Code (KUHPerdata) and the Basic Agrarian Law (UU No. 5/1960). It's particularly relevant when parties need to establish clear, time-bound property usage rights without transferring ownership. The agreement includes comprehensive details about property conditions, rental terms, parties' obligations, and compliance requirements with local regulations. Temporary Lease Agreements are commonly used for both domestic and foreign lessees, though additional provisions may apply for foreign parties under Indonesian investment laws.

What sections should be included in a Temporary Lease Agreement?

1. Parties: Identification of lessor and lessee with complete legal names, addresses, and identification numbers as required by Indonesian law

2. Background: Context of the lease arrangement and brief description of the property

3. Definitions: Definitions of key terms used throughout the agreement

4. Property Details: Detailed description of the leased property including address and boundaries

5. Term and Renewal: Duration of the lease, commencement date, end date, and any renewal options

6. Rent and Payment Terms: Rental amount, payment schedule, method of payment, and late payment consequences

7. Security Deposit: Amount, terms of holding, and conditions for return of the security deposit

8. Utilities and Services: Responsibility for utility payments and services

9. Maintenance and Repairs: Obligations of both parties regarding property maintenance and repairs

10. Use of Property: Permitted uses of the property and any restrictions

11. Rights and Obligations: Specific rights and obligations of both lessor and lessee

12. Insurance: Required insurance coverage and responsibilities

13. Termination: Conditions and process for early termination

14. Governing Law: Specification of Indonesian law as governing law and jurisdiction

15. Dispute Resolution: Process for resolving disputes between parties

16. Notices: Method and addresses for official communications between parties

17. Signatures: Execution clause and signature blocks for all parties

What sections are optional to include in a Temporary Lease Agreement?

1. Furniture and Fixtures: Detailed terms regarding furnished properties - include when property is leased with furnishings

2. Subletting: Terms for subletting - include when subletting might be permitted

3. Pets: Rules regarding pets - include when pets are allowed or specifically prohibited

4. Property Modifications: Terms for allowing modifications - include for commercial leases or when modifications might be permitted

5. Force Majeure: Provisions for unforeseen circumstances - recommended for longer-term leases

6. Building Rules: Specific building or complex rules - include for properties in managed buildings/complexes

7. Commercial Use: Special terms for business use - include when property may be used for commercial purposes

8. Foreign Lessee Provisions: Special requirements for foreign lessees - include when lessee is not Indonesian

What schedules should be included in a Temporary Lease Agreement?

1. Schedule A - Property Description: Detailed description of property including floor plans and boundaries

2. Schedule B - Inventory List: Detailed list of furniture, appliances, and fixtures included in the lease

3. Schedule C - Condition Report: Documentation of property condition at commencement of lease

4. Schedule D - Building Rules: Copy of building rules and regulations if applicable

5. Schedule E - Payment Schedule: Detailed breakdown of rent payments and due dates

6. Appendix 1 - Required Permits: Copies of relevant permits and certificates

7. Appendix 2 - Property Photos: Photographic evidence of property condition

8. Appendix 3 - Utility Agreements: Copies of relevant utility transfer or agreement documents

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

Rental Agreement

Cost

Free to use
Relevant legal definitions












































Clauses


































Relevant Industries

Real Estate

Residential Property

Commercial Property

Retail

Hospitality

Manufacturing

Warehousing

Office Space

Education

Healthcare

Tourism

Entertainment

Industrial

Agriculture

Construction

Relevant Teams

Legal

Real Estate

Facilities Management

Operations

Finance

Compliance

Risk Management

Corporate Services

Administration

Property Management

Asset Management

Business Development

Procurement

Relevant Roles

Property Manager

Real Estate Agent

Legal Counsel

Facilities Manager

Operations Director

Chief Financial Officer

Business Development Manager

Contract Administrator

Compliance Officer

Real Estate Investment Manager

Asset Manager

Property Administrator

Leasing Manager

Risk Manager

Corporate Services Manager

Relocation Specialist

Housing Coordinator

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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