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Contract review in Bali means reading the agreement clause by clause, against Indonesian law and against the documents behind it, before you sign or pay. It is the cheapest protection you can buy: a lease, a sale agreement or a management contract that looks fine in English can still name the wrong owner, leave out an extension right or be unenforceable because of its language.
Fees: each review is quoted before it starts, based on the length and type of contract. Deeds that follow carry the capped notary fee. See notary fees in Bali.
Which contracts do we review and draft?
- Villa and land leases. Duration, rent schedule, renewal option, termination, sublease and building rights, and what happens to your buildings when the term ends. See lease agreements.
- Sale and purchase agreements (PPJB). The preliminary contract before the AJB: price, deposit, conditions, deadlines and who pays which tax.
- Rental and villa management contracts. Who collects income, who holds the licences, fees and how either side can end it.
- Construction contracts. Scope, payment stages and responsibility for permits such as the PBG and SLF.
- Business agreements. Partnership, service, supplier and employment contracts, shareholder and investment agreements. See company deeds.
- Marital agreements. Prenuptial and postnuptial agreements for mixed marriages. See prenup and postnup.
What does a contract review check?
Language. An agreement with an Indonesian party must be in Bahasa Indonesia, with a version in English or your language. An English-only loan agreement has been declared void by a Jakarta court, so a one-language contract is a risk in itself.
Authority to sign. Is the person signing the registered owner, an heir with the consent of the other heirs, or a director with authority? A lease signed by the wrong person can fall apart years later.
The documents behind it. The certificate number, land area and owner in the contract should match the certificate at the land office. For property, review works best together with property due diligence.
Money. Deposits, payment stages and escrow, so funds are released only when legal milestones are met, and never to an unauthorised agent.
The end of the deal. Renewal and extension terms, termination rights, and what happens to buildings, deposits and licences when the contract ends.
Form. Whether the agreement should be a notarial deed. A notarized lease is far stronger evidence than one signed under hand, and some agreements, such as a prenup, only work as a notarial deed.
Private agreement or deed?
A sale and purchase agreement binds the parties, but it does not transfer land. Only an AJB signed before a PPAT and registered at BPN does that. The PPAT and sale deeds page explains the steps after the PPJB.
How does a contract review work?
Send the draft, the other party's name and your deadline. You get a written list of issues and proposed changes, in English, and the team can negotiate the changes with the other side or draft a fresh version in Indonesian and English. Never sign, and never pay a deposit, before that review is done.
