Legal Sublease Agreement Template for Indonesia

The Legal Sublease Agreement is a crucial document used when an existing tenant wishes to transfer their leasehold rights partially or wholly to another party while maintaining their original lease agreement with the landlord. This document is particularly important in the Indonesian legal context, where property transactions must comply with specific civil code requirements and local regulations. The agreement typically includes detailed provisions about the property, rental terms, maintenance responsibilities, and the relationship between all parties involved. It must align with Indonesian property law requirements and often requires the original landlord's consent. The Legal Sublease Agreement serves to protect all parties' interests while ensuring compliance with both the master lease terms and Indonesian legal framework, including relevant provisions of the KUHPerdata and local property regulations.

1. Parties: Identification of the Head Tenant (Sublessor) and Subtenant (Sublessee), including complete legal names, addresses, and identification numbers as required by Indonesian law

2. Background: Context of the sublease arrangement, including reference to the master lease and confirmation of the head tenant's authority to sublease

3. Definitions: Definitions of key terms used throughout the agreement, including specific Indonesian legal terminology

4. Property Details: Detailed description of the subleased property, including its address, boundaries, and specific areas included/excluded

5. Term and Renewal: Duration of the sublease, commencement date, expiry date, and any renewal options, ensuring compliance with the master lease term

6. Rent and Payment Terms: Rental amount, payment schedule, method of payment, and any escalation provisions

7. Security Deposit: Amount, payment terms, conditions for return, and permitted deductions

8. Permitted Use: Specified authorized uses of the property in compliance with Indonesian zoning and property laws

9. Maintenance and Repairs: Responsibilities of each party for maintenance, repairs, and property upkeep

10. Utilities and Services: Allocation of responsibility for utility connections, payments, and related services

11. Insurance Requirements: Required insurance coverage for both parties as per Indonesian regulations

12. Alterations and Improvements: Conditions and restrictions for making changes to the property

13. Assignment and Further Subletting: Restrictions and conditions on further assignment or subletting

14. Default and Remedies: Events of default and corresponding remedies available to either party

15. Termination: Conditions and procedures for early termination

16. Governing Law and Dispute Resolution: Specification of Indonesian law as governing law and dispute resolution procedures

17. Notices: Process and addresses for formal communications between parties

18. Execution: Signing requirements and formalities as per Indonesian law