Early Lease Termination Addendum Template for Indonesia

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Key Requirements PROMPT example:

Early Lease Termination Addendum

"I need an Early Lease Termination Addendum for my retail business in Jakarta, as we're relocating to a new location by March 1, 2025; the addendum should include specific provisions for removing shop fittings and transferring utility accounts."

Document background
The Early Lease Termination Addendum is a critical document used in Indonesian property law when parties need to formally end a lease agreement before its scheduled expiration date. This document becomes necessary in various situations, such as tenant relocation, business closure, or mutual agreement to end the lease early. It must comply with Indonesian Civil Code (KUHPerdata) requirements, particularly Articles 1548-1600 governing lease agreements, and relevant property regulations. The addendum typically includes essential elements such as termination date, financial settlements, property handover requirements, and mutual releases. It serves both residential and commercial contexts, requiring careful consideration of local property laws and regulations. The document's structure ensures all parties' rights are protected while providing a clear framework for lease termination procedures.
Suggested Sections

1. Parties: Identification of all parties to the addendum, including the landlord and tenant(s), matching exactly with the original lease agreement

2. Background: Reference to the original lease agreement, including its date and key details, and brief explanation of the reason for early termination

3. Definitions: Definition of key terms used in the addendum, including 'Early Termination Date', 'Original Lease', and any other relevant terms

4. Early Termination Agreement: Clear statement of the agreed-upon early termination date and mutual agreement to end the lease

5. Financial Settlement: Details of any financial arrangements, including return of security deposit, remaining rent payments, or early termination fees

6. Handover Requirements: Specific conditions for property handover, including property condition requirements and inspection procedures

7. Release of Obligations: Mutual release of future obligations under the original lease, subject to completion of termination requirements

8. Surviving Provisions: Identification of any provisions from the original lease that will survive termination

9. Governing Law: Confirmation that Indonesian law governs the addendum

10. Execution: Signature blocks and execution requirements for all parties

Optional Sections

1. Utilities and Services: Section addressing the transfer or termination of utility accounts and services, used when these need specific handling

2. Outstanding Repairs: Details of any repairs or maintenance issues that need to be resolved before termination, included when there are specific property condition issues

3. Third-Party Notifications: Requirements for notifying relevant third parties (e.g., property management, insurance), included when such notifications are necessary

4. Alternative Dispute Resolution: Specific provisions for handling disputes related to the early termination, included when parties want to specify a particular dispute resolution method

5. Insurance Requirements: Specific provisions regarding insurance coverage during the termination period, included when insurance matters need special attention

Suggested Schedules

1. Schedule A - Property Inspection Checklist: Detailed checklist for final property inspection and condition assessment

2. Schedule B - Financial Settlement Calculation: Breakdown of all financial calculations including deposit returns, remaining payments, and any adjustments

3. Schedule C - Handover Protocol: Detailed protocol for property handover including timing, key return, and cleaning requirements

4. Appendix 1 - Original Lease Reference: Copy or key excerpts of relevant provisions from the original lease agreement

5. Appendix 2 - Required Notifications Template: Template letters or forms for required notifications to third parties

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

Relevant Industries

Real Estate

Residential Property

Commercial Property

Retail

Hospitality

Office Space

Industrial

Manufacturing

Healthcare

Education

Professional Services

Relevant Teams

Legal

Real Estate

Facilities Management

Operations

Risk & Compliance

Property Management

Asset Management

Contract Administration

Corporate Services

Tenant Relations

Relevant Roles

Property Manager

Real Estate Manager

Facilities Manager

Legal Counsel

Contract Administrator

Real Estate Agent

Leasing Manager

Asset Manager

Operations Manager

Property Administrator

Tenant Relations Manager

Corporate Real Estate Manager

Legal Operations Manager

Risk Manager

Compliance Officer

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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