The Brokerage Agreement For Sale Of Property is a crucial document used when a property owner wishes to engage a professional broker or brokerage firm to sell their property in Indonesia. This agreement establishes the legal framework for the relationship between the property owner and the broker, detailing the scope of services, commission structures, and mutual obligations. It's essential for both residential and commercial property transactions in Indonesia and must comply with various regulations including the Indonesian Civil Code, Ministry of Trade Regulation No. 33/M-DAG/PER/8/2008, and other relevant property laws. The document is particularly important as it protects both parties' interests by clearly defining the terms of engagement, marketing responsibilities, commission triggers, and dispute resolution mechanisms. It's commonly used by individual property owners, corporate entities, and property developers seeking professional representation in the Indonesian real estate market.
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1. Parties: Identification of the property owner and the broker/brokerage firm, including complete legal names and addresses
2. Background: Context of the agreement, including the owner's intention to sell and broker's qualifications
3. Definitions: Key terms used throughout the agreement including Property, Commission, Listing Price, etc.
4. Appointment and Scope: Formal appointment of broker and detailed scope of services to be provided
5. Term and Termination: Duration of the agreement, renewal terms, and conditions for termination
6. Broker's Rights and Obligations: Detailed responsibilities including marketing, showing property, negotiating, etc.
7. Owner's Rights and Obligations: Owner's commitments, including providing accurate information and property access
8. Commission Structure: Detailed breakdown of commission rates, payment terms, and triggering events
9. Property Details: Description of the property and listing price
10. Marketing Authorization: Permission and terms for marketing the property
11. Representations and Warranties: Statements of fact by both parties regarding authority, property condition, etc.
12. Confidentiality: Terms regarding handling of confidential information
13. Liability and Indemnification: Allocation of risks and responsibilities between parties
14. Governing Law: Specification of Indonesian law as governing law and jurisdiction
15. General Provisions: Standard clauses including notices, amendments, entire agreement, etc.
1. Multiple Property Provisions: Additional terms when agreement covers multiple properties
2. International Marketing: Specific provisions for marketing to international buyers
3. Co-Brokerage Terms: Terms for working with other brokers and commission sharing
4. Digital Marketing Provisions: Specific terms for online marketing and virtual showings
5. Special Commission Structures: Alternative commission arrangements or bonus structures
6. Property Management: Additional terms if broker will provide property management services
7. Force Majeure: Provisions for unforeseen circumstances affecting performance
1. Schedule A - Property Details: Detailed description of property, including legal description, fixtures, and exclusions
2. Schedule B - Commission Structure: Detailed breakdown of commission calculations and payment terms
3. Schedule C - Marketing Plan: Specific marketing activities and timeline
4. Schedule D - Property Documentation: List of required property documents and certificates
5. Schedule E - Authorized Personnel: List of authorized representatives from both parties
6. Appendix 1 - Property Photos: Official photos of the property for marketing purposes
7. Appendix 2 - Required Licenses: Copies of broker's licenses and certifications
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