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Freelance Independent Contractor Agreement for Indonesia

Freelance Independent Contractor Agreement Template for Indonesia

A comprehensive legal agreement governed by Indonesian law that establishes and regulates the relationship between a business entity and an independent contractor. This document clearly defines the scope of services, payment terms, and intellectual property rights while ensuring compliance with Indonesian civil code and relevant regulations. It includes specific provisions to distinguish the contractor relationship from employment, addressing tax obligations, confidentiality requirements, and termination conditions in accordance with Indonesian legal requirements.

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What is a Freelance Independent Contractor Agreement?

The Freelance Independent Contractor Agreement is essential for businesses operating in Indonesia that engage independent professionals for specific projects or services. This document is designed to comply with Indonesian Civil Code (KUHPerdata) and relevant employment regulations, particularly Law No. 13 of 2003 on Manpower, ensuring clear distinction from employment relationships. It's commonly used when engaging freelancers, consultants, or independent professionals for project-based work, technical services, or specialized expertise. The agreement includes crucial provisions for intellectual property rights, confidentiality, payment terms, and tax considerations, while incorporating necessary safeguards to maintain the independent nature of the relationship and comply with Indonesian regulatory requirements.

What sections should be included in a Freelance Independent Contractor Agreement?

1. Parties: Identification of the contracting parties, including full legal names, addresses, and any relevant registration numbers

2. Background: Context of the agreement and confirmation of the contractor's independent status

3. Definitions: Key terms used throughout the agreement

4. Scope of Services: Detailed description of the services to be provided by the contractor

5. Term and Termination: Duration of the agreement and conditions for termination

6. Compensation and Payment Terms: Fee structure, payment schedule, and invoicing requirements

7. Independent Contractor Status: Clear statement of independent contractor relationship and distinction from employment

8. Intellectual Property Rights: Ownership and transfer of IP created during the engagement

9. Confidentiality: Protection of confidential information and trade secrets

10. Contractor's Obligations: Key responsibilities, standards of work, and compliance requirements

11. Client's Obligations: Client's responsibilities and support provisions

12. Representations and Warranties: Statements of fact and promises by both parties

13. Limitation of Liability: Limits on parties' liability and indemnification provisions

14. General Provisions: Standard boilerplate clauses including notices, amendments, and governing law

What sections are optional to include in a Freelance Independent Contractor Agreement?

1. Non-Compete: Restrictions on competing activities, used when contractor will have access to sensitive business information

2. Equipment and Resources: Provisions regarding tools and resources, used when specific equipment or software is required

3. Insurance: Insurance requirements, used for high-risk services or when required by client policy

4. Data Protection: Specific data handling requirements, used when personal or sensitive data processing is involved

5. Force Majeure: Provisions for unforeseen circumstances, particularly relevant in long-term or critical service agreements

6. Dispute Resolution: Specific dispute resolution procedures, used when parties want to specify mediation or arbitration

7. Subcontracting: Terms for engaging subcontractors, used when subcontracting might be necessary

8. Foreign Currency Provisions: Currency exchange terms, used when payments are made in non-Indonesian Rupiah

What schedules should be included in a Freelance Independent Contractor Agreement?

1. Schedule A - Service Description: Detailed scope of work, deliverables, and technical specifications

2. Schedule B - Fee Schedule: Detailed breakdown of fees, rates, and payment milestones

3. Schedule C - Service Levels: Performance metrics and quality standards

4. Schedule D - Project Timeline: Project phases, milestones, and delivery dates

5. Appendix 1 - Required Qualifications: List of required certifications, licenses, or qualifications

6. Appendix 2 - Approved Subcontractors: List of pre-approved subcontractors if applicable

7. Appendix 3 - Client Policies: Relevant client policies the contractor must comply with

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Indonesia

Publisher

Ƶ

Cost

Free to use
Relevant legal definitions




































Clauses



































Relevant Industries

Technology

Creative Industries

Consulting

Professional Services

Digital Marketing

Education

Construction

Engineering

Media and Entertainment

Healthcare

Financial Services

Manufacturing

Research and Development

Architecture

Event Management

Relevant Teams

Legal

Human Resources

Finance

Procurement

Project Management Office

Operations

Information Technology

Marketing

Research and Development

Business Development

Relevant Roles

Freelance Developer

Independent Consultant

Project Manager

Graphic Designer

Content Writer

Digital Marketing Specialist

Technical Advisor

Business Analyst

IT Consultant

Research Consultant

Training Specialist

UX/UI Designer

Software Engineer

Financial Advisor

Social Media Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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