What Are Contract Stages?
Contract Stages are manually set fields that categorize a contract based on its current phase in the lifecycle. They help teams monitor contract progress, make informed decisions, and manage renewals or terminations seamlessly.
Why Are Contract Stages Important?
Contract Stages ensure:
- Clear visibility into the contract's current phase.
- Efficient tracking of renewals, terminations, and ongoing processes.
- A structured roadmap for managing the entire contract lifecycle.
By aligning Contract Stages with Contract Statuses and Renewal Types, you can gain better control and insights into your contracts.
Types of Contract Stages
There are four Contract Stages, each representing a specific phase of a contract’s lifecycle:
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Renewed
- Indicates a contract has been successfully renewed.
- Automatically set when completing a renewal via a Tropic Workflow.
- You can manually mark a contract as Renewed on the Contract Details Page.
- Establishing a contract-to-contract association ensures clear tracking between original and renewed contracts.
Note: If an active contract is not being renewed, its stage should be set to Not Renewed instead.
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Not Renewed
- Represents a decision not to renew the contract at the end of its term.
- Reflects an opt-out action and signifies the contract will expire naturally.
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Terminated
- Indicates the contract was ended prematurely before its natural expiration date.
- Requires you to specify a termination date for clarity.
- For perpetual contracts (those without a set end date), marking them Terminated will change their status to Inactive.
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Renewal In Progress
- Represents an ongoing renewal process.
- Automatically set when a renewal request is initiated via Create Request.
- Establishes a clear link between the renewal request and the active contract for easier tracking.
How Contract Stages and Renewal Requests Interact
- When you create a renewal request, the contract’s stage is automatically updated to Renewal In Progress.
- Contracts with an Undetermined status cannot be marked as Renewal In Progress. You must add missing details like an End Date to enable renewal tracking.
How to Handle a Canceled Contract
A contract can be marked as Canceled for two reasons:
- Terminated: The contract was ended before its scheduled expiration.
- Not Renewed: A decision was made to let the contract expire without renewal.
To set either stage, manually edit the Stage field in the contract details.
Important Notes
- When you set a Contract Stage (e.g., Renewed, Not Renewed, Terminated), renewal reminders are disabled. This avoids redundancy and ensures clarity regarding the contract’s renewal status.
- Renewal reminders are unnecessary once an action has been taken on a contract.
Additional Resources
For more training guides and documentation, please visit our Help Center.