What is a status in CLM?
🗺️ Overview
In CLM, a contract status represents the current stage of a contract within its lifecycle. Statuses help users understand where a contract stands, what actions are allowed, and what the next steps are.
Each contract moves through a set of clearly defined statuses, ensuring transparency, governance, and controlled progression from creation to completion and archiving.
🎯Purpose
Contract statuses are designed to:
Provide clear visibility into the current state of each contract
Enforce a governed contract lifecycle
Control which actions are allowed at each stage
Support collaboration between business, legal, and finance users
Prevent unintended or premature changes to contracts
🧑🦱 Who Can Use This
All users with access to the Contract Management module and specified contracts, can see on which Status the contract is.
Only Power Users can transition the contract through it’s lifecycle.
⏱️ Contract Statuses Explained
🔧 Draft
What it means
The contract is being created or prepared and is not yet ready for formal authoring or review.
What users can do
Create or update contract metadata
Upload or adjust documents
Assign related contract
Delete draft
Change owner
Configure signatories for further E-signing process
Set up reminders
Assign Viewers/Editors which should receive access further in the workflow
Move to Authoring
Activate a contract - if it was imported with the signed document
Draft contract can be saved with minimum changes made in the contract, validation rules are skipped on purpose
🔒 Authoring
What it means
The contract is actively being edited and reviewed, typically involving legal or other stakeholders.
What users can do
Edit contract metadata and documents
Edit contract relations
Change owner
Edit signatories for further E-signing process
Edit reminders
Lock the contract for editing to prevent parallel changes
Manage document versions
Delete a contract
Change owner
Move to Archive
Send for negotiation
Send for signing
View History
✅ Negotiation Approval
What it means
The contract is waiting for internal approval before it can be sent to the Negotiation phase.
This status is used when a contract is transitioned from Authoring to Negotiation and ensures the contract is approved before being shared for external review.
What users can do
View contract metadata and documents
Review the contract content before negotiation
Approve the contract to move it to Negotiation
Reject the contract to return it to Authoring
Provide a mandatory reason when rejecting
View History
🗣️ Negotiation
What it means
The contract is shared for external review to collect feedback, comments, and confirmations before signing.
What users can do
Edit contract metadata, documents, reminders, relations
Edit signatories for further E-signing process
Manage document versions
Share the contract for external review
Review internal and external comments
Track negotiation progress
Stop external review if needed
Send the contract for signing
Move the contract back to Authoring
Change owner
Move to Archive
View History
✅ Signing Approval
What it means
The contract is waiting for final internal approval before it can be sent for signing.
This status is used when a contract is transitioned from Authoring or Negotiation to Signing and confirms that the contract is final and ready to be signed.
What users can do
View contract metadata and documents
Perform a final review of the contract
Approve the contract to proceed to Ready for Signature
Reject the contract to return it to the previous status
Provide a mandatory reason when rejecting
View History
✏️ Ready for Signature
What it means
The contract content is finalized and prepared for signing.
What users can do
Review final contract content
Validate required contract information
Edit signatories for further E-signing process
Send the contract for manual (offline) signing or e-signing
Move back to Authoring or Negotiation if any change is needed
View History
✍️ E‑Signing
What it means
The contract has been sent for electronic signature and is currently in the e-signing process.
What users can do
View contract details and documents
Monitor signing progress and signatory status
Cancel the e‑signing process if required
Review signed document versions once completed
View History
🔏 Manual Signing
What it means
The contract is in the process of being signed outside the system (offline), for example using handwritten or external signing methods.
What users can do
Upload manually signed contract documents
Complete signing
View History
🖊️ Signed
What it means
The contract has been signed by all required parties, but is not yet active.
What users can do
Review the signed contract
Activate the contract
View History
📉 Active
What it means
The contract is legally effective and in force.
What users can do
View contract details and documents
Monitor contract duration, renewals, and key dates
Use the contract as a reference for business operations
Edit the contract
Change owner
Deactivate the contract
Terminate the contract
Renew the contract manually or automatically
View History
🛑 Terminated
What it means
The contract has been formally ended through a scheduled termination and is no longer legally effective.
What users can do
View contract metadata and documents
Review termination details (reason, notice date, effective date)
View signed and historical document versions
View History
Move the contract to Archive
🧩 Note:
Once a contract is terminated, it cannot be reactivated, renewed, or deactivated.
Inactive
What it means
The contract is no longer legally effective or in force, but is retained in the system for reference, compliance, and possible future actions (such as renewal or archiving).
What users can do
View contract details and documents
Use the contract as a reference for historical or audit purposes
Edit the contract
Change owner
Re-activate the contract through the renewal flow
Move to Archive
View History
🗃️ Archived
What it means
The contract is no longer active but is retained for reference and compliance.
What users can do
View archived contracts and documents
Access historical information without modifying the contract, except for linking related contracts and adding contract permissions
View History
🖇️ How Status Transitions Work
Contracts move through statuses in a controlled sequence
Only permitted users can change a contract’s status
Each status unlocks or restricts specific actions
Status changes ensure accountability and auditability
Best Practices
Keep contracts in Draft until all required metadata is prepared
Use Authoring when legal or formal review is required
Move contracts to Ready for Signature only once content is finalized
Ensure signed documents are uploaded before marking contracts as Signed
Activate contracts only when all conditions are met
Archive contracts once they expire or are no longer relevant