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Cancellation Of Rental Agreement

Cancellation Of Rental Agreement Template for Indonesia

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Key Requirements PROMPT example:

Cancellation Of Rental Agreement

"I need a Cancellation of Rental Agreement for my Jakarta residential property, where the tenant and I have mutually agreed to terminate the lease early on March 1, 2025, with specific provisions for returning the security deposit within 7 days of property inspection."

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Document background
The Cancellation of Rental Agreement is a crucial legal document used in Indonesia when parties mutually agree to terminate their existing rental arrangement. It is commonly used when either the landlord and tenant agree to end the lease before its scheduled termination date, or when formalizing the end of a rental period. This document, governed by the Indonesian Civil Code (KUHPerdata) and relevant property regulations, serves to protect both parties' interests by clearly documenting the termination terms, including property handover requirements, security deposit arrangements, and settlement of any outstanding obligations. It's essential for both residential and commercial properties and can be utilized by individual landlords, corporate property owners, and property management companies. The agreement should comply with local regulations and may need to be adapted based on specific regional requirements within Indonesia.
Suggested Sections

1. Parties: Identification of the landlord and tenant with their complete legal names, addresses, and any relevant registration numbers

2. Background: Reference to the original rental agreement including its date, property address, and current rental terms

3. Definitions: Definitions of key terms used in the cancellation agreement

4. Termination Date: Clear specification of when the rental agreement will be terminated

5. Mutual Agreement to Terminate: Statement of mutual consent to terminate the agreement and release from future obligations

6. Security Deposit: Terms for the return of the security deposit, including any deductions and timeline

7. Property Handover: Requirements and process for returning the property to the landlord

8. Settlement of Accounts: Agreement on final payment of rent, utilities, and other charges

9. Release of Claims: Mutual release from future claims related to the rental agreement

10. Governing Law: Confirmation that the agreement is governed by Indonesian law

11. Execution: Signature blocks and execution requirements

Optional Sections

1. Outstanding Repairs: Details of any repairs required or damages to be addressed before termination

2. Utility Transfer: Procedures for transferring or terminating utility accounts, if applicable

3. Key Return: Specific requirements for returning keys, access cards, or other property access items

4. Forwarding Address: Tenant's new address for future correspondence and deposit return

5. Third Party Rights: Provisions relating to any third party interests or guarantors

6. Early Termination Fee: Any agreed fees for early termination, if applicable

7. Personal Property: Provisions for handling any remaining personal property after vacation

Suggested Schedules

1. Property Condition Report: Documented condition of the property at the time of termination

2. Inventory List: List of any fixtures, fittings, or furniture included in the original rental

3. Settlement Statement: Detailed breakdown of final financial settlement including rent, deposits, and any deductions

4. Handover Checklist: Checklist of items to be completed before property handover

5. Original Rental Agreement: Copy of the original rental agreement being terminated

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Real Estate

Property Management

Residential Housing

Commercial Property

Retail

Industrial

Hospitality

Office Space

Student Housing

Senior Living

Relevant Teams

Legal

Real Estate

Property Management

Facilities Management

Operations

Asset Management

Tenant Relations

Contract Administration

Risk Management

Compliance

Relevant Roles

Property Manager

Real Estate Manager

Leasing Manager

Legal Counsel

Facilities Manager

Asset Manager

Property Administrator

Tenant Relations Manager

Operations Manager

Contract Administrator

Real Estate Director

Housing Coordinator

Building Manager

Compliance Officer

Risk Manager

Industries
Indonesian Civil Code (KUHPerdata) - Book III, Chapter VII: Contains fundamental provisions regarding lease agreements (Articles 1548-1600), including requirements for termination and the rights and obligations of both landlord and tenant
Law No. 1 Year 2011 on Housing and Settlement Areas: Provides regulatory framework for residential properties and includes provisions affecting rental arrangements and their termination
Government Regulation No. 44 of 1994: Regulates the implementation of residential houses lease agreements and includes specific provisions about termination conditions
Law No. 8 Year 1999 on Consumer Protection: Ensures fair treatment of tenants as consumers and provides protection regarding termination rights and procedures
Regional Building Regulations (Peraturan Daerah): Local regulations that may contain specific provisions about rental properties and their termination in specific regions of Indonesia
Indonesian Contract Law Principles: General principles of contract law including mutual consent (kesepakatan) and good faith (itikad baik) requirements for contract termination
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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