Binding Agreement for Sale and Purchase of Land in a Notarial Manner Whose Certificate Object Bounding in the Right of Dependents

Cases of notarized land sales and purchase legal agreements where the object of the certificate is tied in mortgage rights were discovered in many housing estates in Jember. The origin of this issue was the seller’s desire to avoid bad credit by transferring his mortgage rights. This research’s technique is normative law, which is based on a conceptual and statutory approach. The collected research results indicate that the legal force of a notarially agreed-upon binding sale and purchase agreement does not meet the objective elements of the agreement, and the provision in the form of agreement performance is inconsistent with article 1320 of the Burgerlijk Wetboek. The agreement deed also breaches Law No. 4 of 1996 Article 11(2) letter g concerning Mortgage, which relates to the guarantee of the mortgage right not to transfer the object of the mortgage right, so rendering the agreement void. The legal effect of this notarized, binding sale and purchase agreement is that the house purchased on credit becomes a mortgaged property at the bank, allowing the bank to sue the debtor for the remaining credit payments. Efforts to settle the legal settlement of this sale and purchase agreement, include the creditor issuing subpoenas to the debtor requiring quick payment of all outstanding debts. The creditor may also sell the pawned goods at a public auction to settle the debtor’s account.