Termination Of Rental Lease Agreement Template for Indonesia

The Termination Of Rental Lease Agreement is a crucial document used in Indonesian property law when parties wish to formally end their rental relationship. It is typically employed when either the landlord and tenant mutually agree to end the lease before its natural expiration, or when one party exercises their right to terminate according to the original lease terms. This document must comply with Indonesian Civil Code requirements and local property regulations, particularly Government Regulation No. 44 of 1994 regarding residential properties. It includes essential elements such as property details, termination date, final settlement terms, and property handover procedures. The agreement serves as legal evidence of the lease termination and helps prevent future disputes by clearly documenting all parties' obligations and rights during the termination process.

1. Parties: Identification of the landlord and tenant, including their full legal names, addresses, and any relevant registration numbers

2. Background: Reference to the original lease agreement, including its date, property details, and current rental terms

3. Definitions: Key terms used in the agreement, including 'Termination Date', 'Property', 'Original Lease', and 'Final Settlement'

4. Termination Declaration: Clear statement of mutual agreement to terminate the lease, or unilateral termination notice as applicable

5. Effective Date of Termination: Specific date when the lease will terminate and tenant must vacate the property

6. Final Settlement Terms: Details of any outstanding rent, utility payments, or other financial obligations to be settled

7. Property Handover Process: Procedure for returning keys, inspecting property condition, and documenting any damage

8. Security Deposit Settlement: Terms for the return or withholding of security deposit, including deductions if applicable

9. Release of Obligations: Mutual release of future obligations under the original lease agreement

10. Governing Law: Confirmation that the agreement is governed by Indonesian law

11. Execution: Signature blocks for all parties and witness requirements