Valid a Sale and Purchase Binding Agreement, Rights Not Yet Transferred

Abstract

Discrepancies between the execution of a Sale and Purchase Binding Agreement (PPJB) and the transfer of land rights may result in breach of contract, legal uncertainty, and questions concerning the scope of Notary/Land Deed Official (PPAT) liability. This study aims to analyze the legal regulation and implementation of PPJBs, the authority of Notaries/PPATs, and the causes, forms, and legal consequences of breach of contract based on Karanganyar District Court Decision Number 28/Pdt.G/2022/PN.Krg. This study employs a normative legal research method using statutory, case, and conceptual approaches, supported by a literature review and information obtained from a Notary. A PPJB that satisfies the requirements of Article 1320 of the Indonesian Civil Code is legally binding on the parties pursuant to Article 1338; however, it does not automatically effectuate the transfer of land rights. A breach of contract arises from the failure to perform contractual obligations, whereas the liability of a Notary/PPAT depends on whether the official has violated duties imposed by law. The findings underscore the importance of distinguishing between the validity of an agreement, the authenticity of a deed, breach of contract, and the transfer of land rights. This distinction is essential for determining the respective legal consequences and liabilities arising from a PPJB.