The Lease and License Agreement serves as a crucial document in Indonesian property transactions, providing a comprehensive framework for property usage while ensuring compliance with local regulations. This document is particularly relevant when parties need to establish both occupancy rights and operational permissions within Indonesian jurisdiction. It is commonly used for commercial, industrial, or retail properties where the tenant requires both physical space and specific authorizations to conduct their business. The agreement must comply with the Indonesian Civil Code, Basic Agrarian Law, and relevant property regulations, while addressing key aspects such as rent, maintenance obligations, permitted use, and regulatory compliance. This document type is especially important in contexts involving foreign investment, as it must incorporate specific provisions required under Indonesian investment laws.

1. Parties: Identification of the lessor/licensor and lessee/licensee, including their legal status and authorized representatives

2. Background: Context of the agreement, including property details and purpose of the lease and license

3. Definitions: Definitions of key terms used throughout the agreement

4. Grant of Lease and License: Specific details of what is being leased and licensed, including the scope of permitted use

5. Term and Renewal: Duration of the agreement and conditions for renewal

6. Rent and License Fees: Payment terms, amounts, schedules, and review mechanisms

7. Security Deposit: Amount, terms, and conditions for return of the security deposit

8. Utilities and Services: Responsibilities for utilities, maintenance, and essential services

9. Use and Occupation: Permitted uses, restrictions, and compliance requirements

10. Maintenance and Repairs: Responsibilities for maintenance, repairs, and improvements

11. Insurance and Liability: Required insurance coverage and allocation of risks

12. Assignment and Subletting: Restrictions and conditions for transfer of rights

13. Default and Termination: Events of default, remedies, and termination procedures

14. Return of Property: Conditions and procedures for returning the property

15. Governing Law: Specification of Indonesian law as governing law

16. Dispute Resolution: Procedures for resolving disputes

17. Notices: Methods and addresses for official communications

18. General Provisions: Standard boilerplate clauses including severability, entire agreement, and amendments