Information Sharing Agreement Template for Indonesia

An Information Sharing Agreement is a legally binding contract that establishes the terms and conditions for exchanging confidential, sensitive, or personal data between organizations in Indonesia. This document is crucial for maintaining compliance with Indonesia's comprehensive data protection framework while enabling necessary business collaborations and information exchanges.

When do you need this document?

You need an Information Sharing Agreement when your organization plans to exchange data with external parties such as business partners, service providers, research institutions, or government agencies. This is particularly important for financial institutions sharing customer data for compliance purposes, healthcare providers collaborating on patient care, technology companies integrating systems, or research organizations conducting joint studies. The agreement becomes essential when dealing with personal data under Indonesia's PDP Law, cross-border data transfers, or when regulatory requirements mandate formal data sharing protocols. Educational institutions sharing student information, professional services firms collaborating on client matters, and companies engaging third-party data processors also require this agreement to establish clear legal boundaries and responsibilities.

Key legal considerations

Your Information Sharing Agreement must address several critical legal elements to ensure enforceability and compliance. Data classification provisions should clearly define the types of information being shared, including personal data, confidential business information, and proprietary data. Security and confidentiality clauses must specify technical and organizational measures for protecting shared information, including encryption requirements, access controls, and incident response procedures. The agreement should establish clear purposes for data use, limitations on secondary use, and data retention periods. Liability allocation provisions are crucial, defining each party's responsibilities for data breaches, unauthorized use, or non-compliance with applicable laws. Include termination clauses that address data return or destruction requirements, and ensure the agreement includes dispute resolution mechanisms and governing law provisions.

Legal requirements in Indonesia

Indonesian law imposes specific requirements for information sharing agreements, particularly under Law No. 27 of 2022 on Personal Data Protection. Your agreement must comply with data subject consent requirements, lawful basis for processing, and cross-border transfer restrictions outlined in the PDP Law. The Electronic Information and Transactions Law No. 11 of 2008 governs the validity of electronic agreements and digital signatures, requiring compliance with electronic document standards. Government Regulation No. 71 of 2019 mandates specific security requirements for electronic systems handling sensitive data. The agreement must incorporate data localization requirements where applicable, ensuring Indonesian personal data is processed within approved jurisdictions or under adequate safeguards. Include provisions for regulatory reporting, data subject rights fulfillment, and compliance with sector-specific regulations that may apply to your industry. The Indonesian Civil Code governs contract formation and enforcement principles, requiring clear offer, acceptance, and consideration elements for validity.