AJB Is Not Valid Proof of Land Ownership: What Is the Reason?

KOMPAS.com - Many members of the public still regard the Deed of Sale and Purchase (AJB) as valid proof of land ownership. However, in Indonesian land law practice, this assumption is not entirely accurate.

The AJB is indeed important in the transaction process, but it is not the document that determines final ownership status.

So, what is the actual function of the AJB and why can it not be considered valid proof of ownership?

Quoting the website of the West Pasaman National Land Agency (BPN) Office, the AJB is a document made by the Land Deed Official (PPAT) as evidence that a sale and purchase transaction has occurred between the seller and the buyer.

This document confirms that the land rights have been legally transferred from one party to another.

“The AJB is merely proof of the sale and purchase transaction between the seller and the buyer, usually made in the presence of a PPAT (Land Deed Official),” states the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN) on its official website, quoted on Tuesday (28/4/2026).

The BPN emphasises that possessing an AJB does not automatically allow the holder to use it as legal proof of land ownership. A name change process and issuance of a new land certificate are required as valid ownership documents.

“The AJB does not make you the legal owner until the name change process and certificate issuance are carried out at the BPN,” states the Ministry of ATR/BPN.

The AJB itself is an important stage in the land administration process, serving as the basis for changing ownership data at the land agency.

In Indonesia’s land system, legally recognised land ownership must be recorded and proven with a certificate.

Valid proof of ownership is the Certificate of Ownership (SHM) or other types of certificates issued by the National Land Agency (BPN).

As long as the name change process has not been completed and the certificate has not been issued in the buyer’s name, ownership has not fully transferred administratively.

The land certificate, such as the SHM, is an official state document that records the physical and juridical data of a plot of land. This certificate has the strongest legal force because it has undergone verification and registration by the state.

Unlike the AJB, the certificate serves as the primary proof in the event of future disputes.