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Simple Building Contract

Simple Building Contract Template for Indonesia

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Key Requirements PROMPT example:

Simple Building Contract

"I need a Simple Building Contract for a small residential development project in Jakarta, Indonesia, with a construction timeline of 8 months starting March 2025, including specific provisions for local community engagement and environmental protection."

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Document background
The Simple Building Contract is specifically designed for use in the Indonesian construction industry where a straightforward, comprehensive agreement is needed for building projects. It is most appropriate for small to medium-sized construction projects where the scope and requirements are clearly defined, and the project complexity does not warrant a more elaborate contract form. This document incorporates key requirements from Indonesian construction law, including Law No. 2 of 2017 on Construction Services and related regulations, while maintaining accessibility for non-legal professionals. The contract includes essential provisions for project execution, payment terms, quality standards, and dispute resolution, structured to facilitate smooth project delivery while protecting the interests of all parties involved. It is particularly useful when a balance is needed between legal thoroughness and practical usability in the Indonesian construction context.
Suggested Sections

1. Parties: Identification and details of the contracting parties (Owner/Employer and Contractor)

2. Background: Context of the agreement and brief project overview

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

4. Scope of Work: Detailed description of the construction work to be performed

5. Contract Sum: Agreed price for the works and payment terms

6. Time for Completion: Project timeline, completion date, and milestone requirements

7. Contractor Obligations: Key responsibilities and duties of the contractor

8. Owner Obligations: Key responsibilities and duties of the owner

9. Materials and Workmanship: Quality standards and requirements for materials and work

10. Variations: Process for handling changes to the scope of work

11. Health and Safety: Safety requirements and compliance with Indonesian regulations

12. Insurance and Indemnity: Required insurance coverage and indemnification provisions

13. Defects Liability: Defects correction period and responsibilities

14. Termination: Grounds and process for contract termination

15. Dispute Resolution: Process for resolving disputes under Indonesian law

16. Governing Law: Confirmation of Indonesian law as governing law

Optional Sections

1. Environmental Protection: Additional environmental requirements for environmentally sensitive projects

2. Performance Security: Requirements for performance bonds or guarantees for larger projects

3. Quality Assurance: Detailed quality control procedures for complex projects

4. Subcontracting: Rules and procedures for engaging subcontractors

5. Site Conditions: Specific provisions regarding site access and conditions

6. Force Majeure: Provisions for unforeseen circumstances affecting project completion

7. Intellectual Property: IP rights provisions if design elements are involved

8. Local Community Obligations: Requirements for community engagement in sensitive areas

Suggested Schedules

1. Schedule 1 - Scope of Works: Detailed technical specifications and drawings

2. Schedule 2 - Contract Sum Breakdown: Detailed breakdown of costs and payment schedule

3. Schedule 3 - Project Timeline: Detailed project schedule and milestones

4. Schedule 4 - Site Information: Site details, access points, and relevant site conditions

5. Schedule 5 - Required Permits: List of required permits and responsibilities

6. Schedule 6 - Insurance Requirements: Detailed insurance coverage requirements

7. Schedule 7 - Quality Standards: Specific quality standards and testing requirements

8. Appendix A - Forms: Standard forms for variations, completion certificates, etc.

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Construction

Real Estate

Property Development

Infrastructure

Residential Development

Commercial Development

Industrial Development

Hospitality

Retail

Education

Relevant Teams

Legal

Construction

Project Management

Operations

Procurement

Risk Management

Commercial

Property Development

Contracts Administration

Technical Services

Relevant Roles

Construction Manager

Project Manager

Contract Administrator

Legal Counsel

Property Developer

Architect

Quantity Surveyor

Site Manager

Procurement Manager

Risk Manager

Commercial Director

Operations Manager

Building Inspector

Construction Supervisor

Development Manager

Industries
Indonesian Civil Code (KUHPerdata): The fundamental law governing contracts and agreements in Indonesia, including provisions for formation, execution, and termination of contracts
Law No. 2 of 2017 on Construction Services: The primary legislation governing construction services in Indonesia, including requirements for construction contracts, responsibilities of parties, and dispute resolution
Government Regulation No. 29 of 2000: Regulation on Construction Services Implementation covering technical requirements, construction implementation, and quality standards
Law No. 13 of 2003 on Manpower: Governs labor relations and workers' rights in construction projects, including safety requirements and working conditions
Law No. 28 of 2002 on Buildings: Regulates building requirements, technical standards, and safety requirements for construction projects
Government Regulation No. 50 of 2012: Regulation on the Implementation of Occupational Safety and Health Management Systems in construction
Law No. 32 of 2009: Environmental Protection and Management Law governing environmental impact considerations in construction projects
Minister of Public Works Regulation No. 45/PRT/M/2007: Technical guidelines for state building construction, providing standards and specifications
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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