Lien Notice Template for Indonesia

A Lien Notice alerts people that someone claims a legal right over property or assets to secure payment of a debt. In Indonesia, these notices play a key role in protecting creditors' interests, especially in commercial transactions and property dealings under the Civil Code (KUHPerdata).

When a creditor files a Lien Notice, it creates a public record of their claim and establishes priority over other potential creditors. This matters for banks, suppliers, and businesses who need to safeguard their financial interests. The notice must be properly registered with local authorities and typically includes details about the debt, the property involved, and both parties' information.

File a Lien Notice when you need to secure your rights as a creditor over someone's property or assets in Indonesia. Common scenarios include supplying materials for construction projects, providing business loans, or selling equipment with payment installments under the Civil Code (KUHPerdata).

Timing matters - file the notice as soon as you establish the credit relationship or discover payment issues. This protects your claim if the debtor faces financial troubles or bankruptcy. For construction projects, file before delivering materials. For asset-backed loans, register the lien when finalizing the loan agreement. This ensures your claim takes priority over later creditors.

• General Property Liens: Filed against real estate or buildings to secure construction debts or unpaid mortgages under Indonesian property law
• Mechanic's Liens: Used by contractors and material suppliers to claim payment for work on construction projects
• Tax Liens: Filed by government authorities for unpaid taxes on property or business assets
• Commercial Liens: Protect creditors in business transactions, especially for equipment financing or inventory supplies
• Maritime Liens: Specific to shipping industry claims, covering vessels and cargo under Indonesian maritime law

• Creditors: Banks, suppliers, and businesses who file Lien Notices to protect their financial interests when extending credit or providing goods
• Debtors: Property owners, businesses, or individuals whose assets become subject to the lien as security for payment
• Legal Professionals: Lawyers and notaries who draft and file the notices, ensuring compliance with Indonesian Civil Code requirements
• Government Officials: Local registry offices that process and maintain lien records
• Property Buyers: Individuals or companies who need to check for existing liens before purchasing assets

• Property Details: Gather complete descriptions of assets being liened, including addresses, registration numbers, or serial numbers
• Debt Documentation: Compile evidence of the debt amount, payment terms, and related agreements
• Party Information: Collect full legal names, addresses, and business registration details of both creditor and debtor
• Legal Verification: Check Indonesian Civil Code requirements for your specific lien type
• Registration Details: Prepare necessary forms and fees for local property registry office filing
• Digital Platform: Use our system to generate a legally-sound Lien Notice that includes all required elements

• Identification Section: Complete details of creditor and debtor, including legal names, addresses, and registration numbers
• Property Description: Precise details of the secured assets, including location, boundaries, or serial numbers
• Debt Details: Specific amount owed, payment terms, and underlying agreement references
• Legal Authority: Citation of relevant Indonesian Civil Code provisions establishing lien rights
• Priority Statement: Clear declaration of the creditor's priority position and rights
• Execution Clause: Date, location, and signature blocks for all required parties
• Registration Details: Information required for filing with local property registry

A Lien Notice differs significantly from a Lien Waiver in both purpose and effect under Indonesian law. While a Lien Notice establishes a creditor's security interest in property, a Lien Waiver does the opposite - it releases claims to payment or property rights.

• Legal Effect: Lien Notices create or preserve rights; Lien Waivers surrender or terminate them
• Timing of Use: Lien Notices are filed at the start of a credit relationship or when payment issues arise; Lien Waivers are typically signed after receiving payment
• Party Benefits: Lien Notices protect creditors' interests; Lien Waivers protect property owners from future claims
• Registration Requirements: Lien Notices must be officially registered; Lien Waivers generally don't require registration but need proper witnessing