Indemnification Agreement Template for Indonesia

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Key Requirements PROMPT example:

Indemnification Agreement

"I need an Indemnification Agreement under Indonesian law for a large-scale construction project in Jakarta, where my company (as the main contractor) needs to indemnify the project owner against any third-party claims arising from construction activities starting March 2025."

Document background
This Indemnification Agreement template is designed for use in Indonesian business transactions where one party seeks to protect another against specific risks, losses, or liabilities. The document is particularly relevant in corporate transactions, joint ventures, service agreements, and other commercial arrangements where risk allocation is crucial. The agreement must comply with Indonesian legal requirements, including the Civil Code (KUHPerdata) and relevant corporate regulations. It includes comprehensive provisions for claim procedures, defense mechanisms, and dispute resolution, tailored to the Indonesian legal context. This template is commonly used in various scenarios such as corporate restructuring, asset purchases, service agreements, or project developments where clear risk allocation is essential.
Suggested Sections

1. Parties: Identification of the Indemnifier and Indemnitee, including their legal status and authority to enter into the agreement

2. Background: Context of the agreement, relationship between parties, and basis for the indemnification obligation

3. Definitions: Key terms including 'Losses', 'Claims', 'Indemnified Events', and other relevant definitions

4. Scope of Indemnification: Detailed description of what losses, damages, and circumstances are covered by the indemnification

5. Indemnification Process: Procedures for making claims, notice requirements, and timing of indemnification payments

6. Defense of Claims: Procedures for defending third-party claims, including control of defense and settlement

7. Limitations and Exclusions: Specific limitations on liability and excluded events or damages

8. Duration: Term of the indemnification obligations and survival periods

9. Representations and Warranties: Basic representations about authority to enter agreement and validity of obligations

10. Governing Law and Jurisdiction: Specification of Indonesian law as governing law and choice of forum for disputes

11. Miscellaneous: Standard provisions including notices, amendments, assignment, and severability

Optional Sections

1. Insurance Requirements: Required when the indemnifier must maintain specific insurance coverage to support indemnification obligations

2. Security Provisions: Used when collateral or security is required to secure the indemnification obligations

3. Cross-Indemnification: Included when both parties are providing reciprocal indemnification

4. Regulatory Compliance: Required for regulated industries or when specific regulatory requirements apply

5. Currency and Payment Terms: Necessary when dealing with international parties or specific payment mechanisms

6. Language Provision: Required when agreement is bilingual (Indonesian and English versions)

Suggested Schedules

1. Schedule of Specific Indemnified Events: Detailed list of specific events or circumstances covered by the indemnification

2. Schedule of Pre-Existing Claims: List of known claims or circumstances that are excluded from coverage

3. Schedule of Insurance Requirements: Detailed specifications of required insurance coverage

4. Schedule of Notice Information: Contact details and procedures for sending notices under the agreement

5. Appendix A - Claim Form Template: Standard form for submitting indemnification claims

6. Appendix B - Power of Attorney: Standard form of power of attorney for claim handling (if required)

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 legal definitions
Relevant Industries

Manufacturing

Construction

Energy and Resources

Financial Services

Technology

Infrastructure

Mining

Oil and Gas

Real Estate Development

Transportation and Logistics

Healthcare

Telecommunications

Relevant Teams

Legal

Risk Management

Finance

Compliance

Corporate Secretariat

Commercial Operations

Business Development

Project Management

Operations

Executive Leadership

Insurance

Treasury

Relevant Roles

Legal Counsel

Chief Legal Officer

Risk Manager

Chief Financial Officer

Commercial Director

Contract Manager

Compliance Officer

Corporate Secretary

Business Development Manager

Project Manager

Operations Director

Chief Executive Officer

Investment Manager

Insurance Manager

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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