Referring to Article 1457 of the Civil Code, buying and selling is an agreement in which one party binds himself to deliver an item and the other party pays the promised price. What is meant by price is a valid means of payment in the form of a sum of money, while goods which become the object of sale and purchase of land and buildings are rights to land and/or buildings.

Article 9 of Law Number 5 of 1960 on Basic Regulations on Agrarian Principles (UUPA) states that Indonesian citizens are the only parties that can have a full relationship with the earth, water and space. Due to this reason, it is necessary to first examine the types of land rights as the object of the transaction as well as the parties before making a property sale and purchase transaction.

In a land sale and purchase transaction, if the land sale and purchase deed states that the land and building are one unit, and other conditions and procedures are met, the deed can be said to be valid.

The sale and purchase of land and buildings must also meet the legal requirements of the agreement stipulated by Article 1320 of the Civil Code, namely:

a. agree that those who bind themselves, meaning the legal subject conducting the transaction,must exist and make an agreement between the owner and the prospective recipient of the goods;
b. able to make an engagement so that the engagement made is valid according to law;
c. a certain matter, referring to a definite legal object, which in this case is the right to land and buildings;
d. a lawful reason, namely that the material of the agreement must be an act that is not prohibited by law, not violate public order and decency.

In addition to the legal terms of the agreement above, the sale and purchase transaction of land and buildings must be carried out before an authorized official, namely the Land Deed Officials (Pejabat Pembuat Akta Tanah/PPAT).

Currently, there are additional requirements needed in buying and selling transactions following the issuance of Presidential Instruction of the Republic of Indonesia No. 1 of 2022 on Optimizing the Implementation of the National Health Insurance Program. Based on Presidential Instruction No. 1 of 2022, the Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency (ATR/BPN) ensures that applicants for registration of transfer of land rights due to sale and purchase are active participants in the National Health Insurance program.

This provision has taken effect on March 1, 2022 in accordance with the letter of the Directorate General of Rights Determination and Registration of the Ministry.

This policy was adopted by the government in order to make the National Health Insurance (JKN) program run as optimally as possible. The use of membership documents of the Health Care and Social Security Agency (BPJS Kesehatan) as one of the requirements for buying and selling land is expected to increase the number of BJPS Health members. With the increase in JKN program participants, it means that more people will receive health insurance protection.

Law Number 40 of 2004 on the National Social Security System (SJSN) stipulates that BPJS Kesehatan participants are everyone, including foreigners who have worked for a minimum of 6 months in Indonesia, and who have paid contributions.

Then what if we do not have a BPJS Kesehatan membership document in buying and selling land/buildings, while the elements in Article 1320 of the Civil Code have been fulfilled?

The Ministry has explained that it will continue to serve and receive files submitted regarding the sale and purchase of land. However, the file will be withheld until the BPJS Kesehatan membership document is completed and added to the attachment to the requirements.

Author / Contributor:

Saghara Luthfillah Fazari, S.H.

Associate

Contact:

Mail : saghara@siplawfirm.id

Phone : +62-21 799 7973 / +62-21 799 7975

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