Document background
The Termination of Lease Agreement is used when both parties mutually agree to end their lease relationship before the original termination date, or to formally document the end of a lease at its natural conclusion. This document is essential in the Indonesian property market, where formal documentation of lease terminations is crucial for legal certainty. It should be used whenever a lease is being ended, whether for residential or commercial properties, to protect both parties' interests and ensure compliance with Indonesian law. The agreement typically includes details about the original lease, termination date, property handover requirements, settlement of financial obligations, and release of future claims. It must comply with the Indonesian Civil Code and relevant property regulations, while also addressing practical aspects such as utility transfers and security deposit returns.
