release of rights
Also called: penyerahan hak
The act of releasing rights over an asset, such as land, to another party.
What it means
Release of rights is a statement by a person to hand over or release their rights over an asset to another party. In the context of inheritance, an heir can release their share so it is transferred to another heir. The release is usually made in writing and endorsed by a notary or authorized official so it does not cause disputes. The term is also used in the transfer of land rights.
Why it matters for families
A release of rights made verbally is vulnerable to being denied later. Without a written document, an heir who has released their rights could claim their share back. This document is also needed for a bank or land office to process the transfer. The family needs to ensure the release is made knowingly and without pressure.
Example
For example, a child releases their rights over an inherited house worth Rp450 million so it can be given to their younger sibling who lives there. They make a release of rights letter before a notary. With that document, the transfer of rights can be processed without doubt.
Common misunderstanding
Many think a release of rights is enough to be stated in a family meeting. The correction is that the release should be made in writing and endorsed so it has legal force.