White Label Service Agreement Template for Indonesia
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What is a White Label Service Agreement?
The White Label Service Agreement is a crucial commercial contract used when a business wants to provide its services under another company's brand name in the Indonesian market. This arrangement is particularly common in sectors such as technology, financial services, and professional services, where companies seek to leverage existing service capabilities while maintaining their market presence. The agreement must comply with Indonesian law, including the Civil Code (Kitab Undang-undang Hukum Perdata), Law No. 20 of 2016 on Marks and Geographical Indications, and relevant sector-specific regulations. It typically includes detailed provisions on service delivery, quality standards, intellectual property rights, branding requirements, commercial terms, and risk allocation. The document is essential for businesses looking to expand their service offerings without developing in-house capabilities or those seeking to monetize their existing service infrastructure through white label partnerships.
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About the White Label Service Agreement
A White Label Service Agreement is a commercial contract that allows you to provide services under another company's brand name or enables another business to rebrand and resell your services in Indonesia. This arrangement is governed by Indonesian commercial law and requires careful consideration of trademark rights, service standards, and contractual obligations to ensure legal compliance and business success.
When do you need this document?
You need a White Label Service Agreement when entering partnerships where one party provides services that another party will rebrand and offer to their customers. Technology companies often use these agreements when offering software-as-a-service solutions through partner networks. Financial service providers require them when allowing banks or fintech companies to offer their payment processing or lending services under the partner's brand. Professional service firms use these agreements when providing specialized expertise through other consultancies or agencies. E-commerce platforms commonly employ white label arrangements for logistics, customer support, or payment services. The agreement becomes essential whenever you're either providing services to be rebranded or seeking to offer services developed by another company under your own brand identity.
Key legal considerations
The agreement must clearly define intellectual property rights and trademark usage permissions under Indonesian law. You need to specify quality standards and service level agreements to protect both parties' reputations and ensure customer satisfaction. Commercial terms including pricing, payment schedules, and revenue sharing arrangements require detailed provisions to prevent disputes. Liability allocation and risk management clauses are crucial, particularly regarding customer data protection and service failures. The contract should address termination procedures, including transition of customer relationships and return of confidential information. Exclusivity provisions, territorial restrictions, and non-compete clauses must be carefully balanced to protect legitimate business interests while complying with Indonesian competition law.
Legal requirements in Indonesia
Your White Label Service Agreement must comply with the Indonesian Civil Code (Kitab Undang-undang Hukum Perdata) governing contract formation and enforceability. Law No. 20 of 2016 on Marks and Geographical Indications regulates trademark licensing and brand usage rights, making proper trademark provisions mandatory. If your services involve consumer transactions, compliance with Law No. 8 of 1999 on Consumer Protection is required to ensure customer rights protection. Digital services must adhere to Law No. 19 of 2016 on Electronic Information and Transactions, including data protection and electronic signature requirements. Government Regulation No. 80 of 2019 on Trading Through Electronic Systems applies to online service delivery. The agreement should be executed in Indonesian language or include certified translations, and may require notarization depending on the service type and contractual value. Consider registering trademark licenses with the Indonesian Intellectual Property Office for additional legal protection.
GOVERNING LAW
Applicable law
This White Label Service Agreement is drafted to comply with Indonesia law. Key legislation includes:
Law No. 20 of 2016 on Marks and Geographical Indications: Regulates trademark protection and licensing, crucial for white label arrangements where branding and marks are key elements
Law No. 8 of 1999 on Consumer Protection: Ensures consumer rights protection and business obligations in providing products/services, including white-labeled offerings
Law No. 19 of 2016 on Electronic Information and Transactions: Governs electronic transactions and digital services, relevant if the white label service involves digital platforms or online delivery
Government Regulation No. 80 of 2019 on Trading Through Electronic Systems: Specific regulations for e-commerce and online business operations, applicable if the white label service involves online trading
Law No. 13 of 2003 on Manpower: Relevant for provisions related to service delivery, especially if the agreement involves personnel or workforce considerations
Law No. 24 of 2009 on National Flag, Language, Emblem and Anthem: Requires contracts with Indonesian parties to be drafted in Indonesian language (bilingual versions permitted)
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