Tenant Agency Agreement Template for Indonesia

The Tenant Agency Agreement is essential for property owners in Indonesia who wish to engage professional real estate agencies to find and secure suitable tenants for their properties. This document is commonly used when property owners lack the time, expertise, or resources to manage tenant procurement independently. The agreement, governed by Indonesian law including the Civil Code (KUHPerdata) and relevant real estate regulations, establishes the scope of the agency's authority, commission structure, and service expectations. It includes crucial provisions for property marketing, tenant screening, lease negotiation, and commission terms, while ensuring compliance with local property laws and regulations. The document is particularly important in Indonesia's dynamic real estate market, where professional agency services are increasingly vital for successful property leasing.

1. Parties: Identification of the property owner and the tenant agency, including full legal names, addresses, and registration details

2. Background: Context of the agreement, including the owner's intention to engage the agency for tenant procurement services

3. Definitions: Key terms used throughout the agreement, including 'Property', 'Services', 'Commission', 'Tenant', etc.

4. Appointment and Authority: Formal appointment of the agency and scope of authority granted by the property owner

5. Agency Services: Detailed description of services to be provided by the agency, including marketing, tenant screening, and documentation

6. Term and Termination: Duration of the agreement and conditions for termination by either party

7. Commission Structure: Details of agency fees, payment terms, and conditions for commission eligibility

8. Obligations of the Agency: Specific duties and responsibilities of the agency, including reporting requirements and service standards

9. Obligations of the Property Owner: Property owner's responsibilities, including providing necessary information and maintaining the property

10. Property Information: Details about the property(ies) covered by the agreement

11. Representations and Warranties: Legal assurances from both parties regarding their capacity and authority

12. Liability and Indemnification: Allocation of risks and responsibilities between parties

13. Dispute Resolution: Process for handling disagreements, including mediation and jurisdiction

14. Governing Law: Specification of Indonesian law as the governing law

15. General Provisions: Standard clauses including notices, amendments, and severability