Understanding Wills in Indonesian Law

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A will is a legal action commonly undertaken by Indonesian citizens and foreign nationals residing within Indonesian jurisdiction. This established practice enables individuals to arrange their assets in case of unexpected events, ensuring that their property, debts, and financial obligations do not lead to future legal issues.

Under Indonesian law, a will is a formal document containing a person’s wishes for their assets after they pass away. According to the Indonesian Civil Code (KUH Perdata), if no legally valid will exists, the inheritance will be distributed among the legal heirs. This underlines the importance of having a will to ensure that the distribution of assets aligns with the grantor’s specific wishes.

Material Requirements for a Valid Will Under Indonesian Law

The Civil Code includes several specific requirements that must be met for a will to be considered valid. These key provisions ensure the integrity of the will and protect the interests of all parties involved:

1. Impractical or Unethical Conditions (Article 888 Civil Code)
   If a will includes conditions that are impossible to fulfill or are against good morals, these conditions are deemed null and void.
2. Prohibition of Fideicommissum (Article 879 Civil Code)
   This article prevents the designation of someone as an heir or beneficiary with a requirement to pass on the inheritance, wholly or partially, to another person.
3. Marriage Validity Restrictions (Article 901 Civil Code)
   Wills cannot be made in favor of a spouse if the marriage lacks legal approval, as its validity can still be challenged in court.
4. Limitations on Bequests to Spouses (Articles 902 jo. 852a Civil Code)
   A spouse cannot inherit more than the legally designated portion if the deceased has children or descendants from a previous marriage. The spouse’s inheritance cannot exceed the smallest portion of a legitimate child’s share, and must not exceed one-quarter of the estate.
5. Inheritance of Joint Property (Article 903 Civil Code)
   Spouses can only bequeath items that belong to their share of marital property. If a jointly owned asset is included in the will, the recipient is not entitled to claim the item directly. Instead, they may receive compensation from the portion distributed to the heirs.
6. Restrictions on Specific Beneficiaries (Articles 904–907 Civil Code)
   This clause prohibits wills in favor of guardians, teachers, religious leaders, doctors, healers, or others who cared for the testator during a fatal illness, as well as notaries and witnesses involved in creating the will.
7. Limitations for Extramarital Children (Article 908 Civil Code)
   A will cannot grant more than the specified legal portion to an extramarital child, as outlined in Article 863 of the Civil Code.
8. Restrictions for Illicit Partners (Article 909 Civil Code)
   A will cannot provide for a proven illicit partner, as confirmed by a legally binding court ruling.
9. Ineligibility for Criminal Actions (Article 912 Civil Code)
   Individuals convicted of murdering the testator, concealing, destroying, or falsifying the will, or obstructing the testator’s wishes by force or violence, along with their spouses and children, are ineligible to inherit. This aligns with Article 838 Civil Code, which addresses the disqualification of unworthy heirs.

Reserved Portions (Legitieme Portie)

Wills must also respect the mandatory share (legitieme portie) that direct-line heirs (upward or downward) are entitled to claim. According to Articles 914–916 of the Civil Code, these reserved portions cannot be reduced by the will if the rightful heirs assert their claims.

Bequests of Non-Owned Assets

As per Article 903 Civil Code, only the testator’s personal assets can be bequeathed. If the will includes assets not legally owned by the testator, it is unenforceable, as the testator lacks the authority to distribute property they do not own. Consequently, heirs will only inherit assets that legally belong to the testator.

For expert assistance and to navigate these requirements effectively, please reach out to us. We have extensive experience in will preparation and estate planning, ensuring compliance with Indonesian inheritance law. Contact us for further details on how we can support your estate planning needs.

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