Transportation Contract Template for Indonesia

A comprehensive legal agreement governed by Indonesian law that establishes the terms and conditions for transportation services between a service provider and a client. The document covers essential aspects including service scope, operational requirements, safety standards, liability provisions, and compliance with Indonesian transportation regulations. It incorporates specific requirements under Indonesian transportation laws, including Law No. 22/2009 on Traffic and Road Transportation, and relevant modal-specific regulations for air, sea, or rail transport as applicable. The contract ensures proper risk allocation and clear performance standards while maintaining compliance with local regulatory requirements.

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What is a Transportation Contract?

The Transportation Contract serves as a crucial legal framework for establishing and managing transportation services in Indonesia. This document is essential when engaging professional transportation services for regular cargo movement, logistics operations, or specialized transportation needs. The contract incorporates requirements from Indonesian transportation laws, including Law No. 22/2009 on Traffic and Road Transportation, Law No. 17/2008 on Shipping, and other relevant regulations depending on the mode of transport. It is designed to protect both service providers and clients by clearly defining service expectations, operational requirements, safety standards, and liability provisions. The document is particularly important in Indonesia's complex transportation landscape, where multiple modes of transport may be required and regulatory compliance is strictly enforced.

What sections should be included in a Transportation Contract?

1. Parties: Identification of the transportation service provider and the client, including their complete legal names, registration numbers, and addresses

2. Background: Context of the transportation arrangement and brief description of the parties' business relationship

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

4. Scope of Services: Detailed description of the transportation services to be provided, including routes, frequency, and type of cargo/passengers

5. Term and Renewal: Duration of the contract and conditions for renewal

6. Service Provider Obligations: Key responsibilities of the transportation provider, including compliance with regulations, maintenance, and safety standards

7. Client Obligations: Responsibilities of the client, including providing accurate cargo information and necessary documentation

8. Safety and Compliance: Safety requirements, regulatory compliance, and adherence to Indonesian transportation laws

9. Insurance and Liability: Insurance requirements, liability limitations, and indemnification provisions

10. Payment Terms: Pricing, payment schedule, invoicing procedures, and payment methods

11. Performance Standards: Service level agreements, performance metrics, and quality standards

12. Termination: Conditions and procedures for contract termination, including notice periods

13. Force Majeure: Provisions for unforeseen circumstances affecting contract performance

14. Dispute Resolution: Procedures for resolving disputes, including jurisdiction under Indonesian law

15. General Provisions: Standard contractual clauses including notices, amendments, and governing law

What sections are optional to include in a Transportation Contract?

1. Special Equipment Requirements: Used when specific vehicles or equipment are required for the transportation services

2. Customs and International Transport: Required for cross-border transportation services

3. Dangerous Goods Handling: Necessary when transporting hazardous materials

4. Environmental Compliance: Added when specific environmental standards must be met

5. Subcontracting: Include when subcontracting of services is permitted

6. Technology and Tracking Systems: Required when specific technology or tracking systems are part of the service

7. Staff Requirements: Include when specific staffing qualifications or training are required

8. Fuel Price Adjustment: Used when fuel price fluctuation mechanisms need to be included

What schedules should be included in a Transportation Contract?

1. Schedule A - Service Routes and Frequencies: Detailed routes, delivery points, and service frequencies

2. Schedule B - Rate Card: Detailed pricing structure and rates for different services

3. Schedule C - Vehicle/Vessel Specifications: Technical specifications of transportation vehicles or vessels to be used

4. Schedule D - Performance Metrics: Detailed KPIs and measurement methodologies

5. Schedule E - Insurance Requirements: Specific insurance types and coverage amounts required

6. Schedule F - Operating Procedures: Detailed operational procedures and protocols

7. Schedule G - Safety Standards: Specific safety requirements and compliance standards

8. Appendix 1 - Required Documentation: List of required permits, licenses, and documentation

9. Appendix 2 - Contact Details: Key personnel and emergency contact information

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

Jurisdiction

Indonesia

Publisher

Genie AI

Document Type

Service Contract

Cost

Free to use

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