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A Notice of Proposal to Strike Off is an official warning from Indonesia's Ministry of Law and Human Rights that a company might be removed from the national business registry. This happens when a company fails to meet its legal obligations, like submitting annual reports or maintaining proper business activities.

Companies usually receive this notice before permanent closure, giving them 60 days to respond. They can either prove they're still active and compliant, or voluntarily dissolve the business properly. If there's no response, the Ministry will proceed with striking off the company, meaning it can no longer legally operate in Indonesia.

Consider issuing a Notice of Proposal to Strike Off when your company discovers dormant or non-compliant businesses in its corporate group. This formal notification helps streamline your corporate structure by removing inactive subsidiaries, reducing administrative burden and potential liabilities under Indonesian law.

The notice also proves valuable when dealing with companies that have ceased operations without proper dissolution procedures. By initiating the strike-off process, you protect your interests as a creditor or business partner, ensuring clarity in the business registry and preventing future complications with abandoned corporate entities.

• Voluntary Strike-Off Notice: Initiated by company directors who wish to close inactive businesses and clear tax obligations
• Regulatory Non-Compliance Notice: Issued by authorities when companies fail to submit annual reports or maintain proper documentation
• Dormant Company Notice: Used for businesses showing no financial activity for two consecutive years
• Administrative Strike-Off Notice: Applied when companies lack proper management structure or registered office
• Creditor-Initiated Notice: Filed by creditors seeking to remove debtor companies that have ceased operations

• Ministry of Law and Human Rights: Issues the Notice of Proposal to Strike Off and oversees the company removal process
• Company Directors: Receive the notice and must respond with evidence of active business operations or accept dissolution
• Corporate Secretaries: Handle compliance documentation and coordinate responses to strike-off notices
• Creditors: May object to the strike-off if they have outstanding claims against the company
• Business Registry Officials: Process the final removal of companies from the national register after the notice period

• Company Details: Gather complete legal name, registration number, and business address from official records
• Compliance History: Document any missed annual reports, tax filings, or regulatory requirements
• Financial Status: Compile evidence of business inactivity or non-compliance with minimum capital requirements
• Stakeholder Information: List all directors, shareholders, and known creditors who need notification
• Timeline Planning: Set clear dates for the 60-day response period and potential strike-off action
• Supporting Documents: Attach relevant corporate records proving grounds for strike-off proposal

• Company Identification: Full legal name, registration number, and registered address
• Legal Grounds: Specific reasons for proposed strike-off under Indonesian Company Law
• Notice Period: Clear statement of the 60-day response window and deadline
• Required Actions: Steps the company must take to prevent strike-off
• Consequences: Explanation of legal effects if company is struck off
• Authority Details: Official letterhead, reference numbers, and issuing office information
• Contact Information: Where and how to submit objections or responses

A Notice of Proposal to Strike Off differs significantly from a Notice of Termination in both purpose and legal effect within Indonesian business law. While both documents signal an end to something, their scope and implications are quite different.

• Legal Authority: Strike-off notices come exclusively from government authorities, while termination notices can be issued by any contracting party
• Scope of Impact: Strike-off affects the company's entire legal existence, whereas termination notices only end specific business relationships or agreements
• Response Timeline: Strike-off notices mandate a 60-day response period under Indonesian law, while termination notices follow contract-specific notice periods
• Reversibility: Strike-off actions can be reversed only through formal reinstatement procedures, but termination notices often allow for cure periods and negotiation