Property lawyers in Bali

A property lawyer works for you alone: checking that the seller or lessor holds the right they are offering, reviewing the lease or purchase terms, advising on the structure, and acting if a dispute arises. This differs from the notary or land deed official (PPAT), who makes the official deed for the transaction (PP 37/1998 Article 2).

The structure matters because of what foreigners may hold. Freehold (Hak Milik) is for Indonesian citizens only (UU 5/1960 Article 21(1)). A foreigner resident in Indonesia may hold a right of use (Hak Pakai, Article 42) or rent land for a building (Hak Sewa, Article 45); a company formed under Indonesian law may hold a right to build (Hak Guna Bangunan, Article 36). See can a foreigner own land in Bali and PT PMA for property investors.

• The scope: title and permit due diligence, contract drafting or review, structure advice, company work, dispute work. Each priced or excluded.
• What the due diligence covers: the land certificate and its holder, the zoning that applies to the plot, existing encumbrances, and access to the plot.
• Whether the lawyer will attend the signing before the notary or PPAT.
• Fee basis: fixed, hourly or a percentage, as the firm states it.
• Who in the firm does the work, and whether they are Indonesian advocates.
• Whether the firm also acts for the seller, the agent or the developer in the same deal.

• Advocate status. An advocate is appointed by an advocate organisation (UU 18/2003 Article 2(2)) and must take an oath at the High Court of their domicile before practising (Article 4(1)). Ask for the advocate’s membership card and organisation.
• Foreign lawyers may not practise or open a legal office in Indonesia; an Indonesian firm may employ them as staff or experts in foreign law with government permission (UU 18/2003 Article 23). Ask who signs the advice.
• Conflicts. Ask in writing whether the firm acts for any other party to the transaction.

• A structure that puts freehold land in an Indonesian citizen’s name on the foreign buyer’s behalf. Ask the lawyer to explain in writing how it squares with UU 5/1960 Article 21 and Article 26(2), which voids transfers that give freehold, directly or indirectly, to a foreigner.
• Advice given only by someone who is not an Indonesian advocate.
• The lawyer is introduced by, or paid by, the seller or the agent.
• Pressure to sign before the due diligence report is written.
• A deed offered only in English. Notarial deeds must be made in Indonesian (UU 2/2014, amending Article 43 of the notaries law), with a translation where a party does not understand.

We have no published sample of due diligence or contract timings in Bali yet. Ask the lawyer for a written timetable for due diligence before you pay any deposit to a seller or lessor.