3Authoring Contract Terms

This chapter contains the following:

This topic provides an overview of contract terms authoring on the Contract Terms tab when you create or edit the contract by selecting the Create Contract and Edit Contract tasks in the Manage Contracts page or the Contracts work area.

Just what actions you can take during contract terms authoring depends on your implementation, your privileges, and contract type. Some contracts may have their contract terms already populated from a contract terms template and permit you only to add and delete clauses from the Contract Terms Library. Other contracts may allow you to create nonstandard clauses or require you to answer questions to determine if additional clauses are required. For some contracts, you may attach the contract terms in a separate document and not use the authoring capabilities of the application at all.

The following diagram outlines the contract terms authoring process:

  1. If the contract terms are not applied in the Contract Terms tab, then you must add them either by selecting a contract terms template or by attaching the contract terms in a file. Choosing a contract terms template populates the tab with the contract terms from that template. If you choose to attach the contract terms as a document, then you must continue to work outside the application.

  2. Some contract terms templates require you to run the Contract Expert feature and enter additional information to determine if more clauses are required.

  3. You can edit the contract terms either in the application or outside the application using Microsoft Word 2007.

  4. You must enter any missing values for variables.

  5. Optionally, you can change the contract terms source, either switching to a different contract terms template or attaching the terms in a document. Alternately, you can remove all of the contract terms completely.

  6. You can also check for any clause updates in the Contract Terms Library.

  7. You can run a report detailing the changes you made to the contract terms applied from a template and have the deviations report submitted for approval along with the contract.

  8. The last step before submitting the contract for approval is to validate your contract terms and eliminate any errors.

This graphic provides an overview of contract terms authoring.

Specifying the Source of Contract Terms

The first step in the contract terms authoring process is to specify the source of your contract terms. The contract source can be either a contract terms template or an external document.

Running Contract Expert

Some contract terms templates require you to run the Contract Expert feature to determine whether additional clauses must be added. You can tell if you must run Contract Expert when the Clauses tab includes the Contract Expert Last Run indicator before the contract terms preview region. When you run Contract Expert by selecting the Run Contract Expert action, Contract Expert may ask you to enter values for contract variables and to answer questions. If you don't run Contract Expert on a contract that requires it, then you receive a warning message during contract validation.

Editing Contract Terms

Depending on the contract , you can, add, move, and delete clauses and sections. For example, you can add standard clauses, substitute alternate clauses for existing clauses, edit standard clauses or create nonstandard clauses that are specific to the contract.

  • You edit the contract terms by using the outline. You preview the clauses on the right.

  • You can edit the contract terms outside the application using Microsoft Word. You select the Download Contract action to export the contract terms to a file, make your edits, and select the Upload Contract action to import your changes back into the application.

Entering Missing Variable Values

Select the Edit Variable Values action to enter any missing variable values. The Clauses tab displays the number of missing values in the Pending Variables indicator. You must enter any missing values before you submit the contract for approval. Missing variable values generate warnings during contract validation. Entering variable values using this action is equivalent to entering these values when running Contract Expert.

Checking for Clause Updates

Select the Check for Clause Updates action to check if a more recent clause version is available in the Contract Terms Library.

Changing the Contract Source and Removing Contract Terms

Select the Change Contract Source action to change the source of the contract terms from one template to another, from a template to an attachment, or from an attachment to a template.

  • If you change templates, the application removes all sections and clauses added by the original template, including any you have edited. Only new clauses you added are kept under the Unassigned section heading.

  • If you decide to attach the contract terms in a file to replace those from a template, then you have the option of retaining the terms from the template for reference. If you replace attached contract terms with those from a template, then the attachment is stored as one of the contract documents.

  • Select the Remove Contract Terms action to remove all contract terms from the contract. Removing contract terms removes all contract terms documents.

Reviewing Deviations and Validating Contract Terms

Select the Review Contract Deviations action to generate a report that lists differences between the contract terms in the contract and the contract terms in the contract terms template. The deviations report lists:

  • Standard clauses you added, edited, or deleted

  • Alternate clauses you selected to replace the standard clauses

  • Nonstandard clauses you created for this contract

  • Missing clauses recommended by Contract Expert

  • Outdated clause versions

  • Policy deviations

You can attach the report with your comments to the notification the application sends to approvers when the contract is submitted for approval. The report is automatically refreshed at the time the contract is submitted to ensure it contains the latest information.

Select the Validate Contract Terms action to determine if the contract terms are ready to be submitted for approval. Validation can generate both errors and warnings. You must correct the errors. Correcting the warnings is optional. For example, you receive an error if:

  • The contract terms contain a clause that the Contract Terms Library administrator has updated, placed on hold, or made inactive.

  • The contract terms template is inactive.

  • The contract terms contain incompatible clauses.

  • A section in the contract terms does not contain any clauses.

  • A contract terms amendment does not contain a description.

  • Some of the contract variables do not have values.

You receive a warning if you did not run Contract Expert as required by the contract terms template or you did not answer all of the Contract Expert questions. The application runs the validation process automatically when you attempt to submit the contract for approval, and displays any remaining errors and warnings at that time.

Contract Source Selection

Considerations for Selecting Contract Source

The first step in the contract terms authoring process is to specify the source of your contract terms. Here are the two ways you can add contract terms to a contract using the Contract Source option:

  • Attached

  • Terms Template

In some contracts, contract terms are applied automatically from contract terms templates based on rules set up by the Contract Terms Library administrator. In other contracts, you must add the contract terms yourself. You can either accept the template recommended by the application, select a different template, or attach the contract terms in a separate document. Depending on your permissions, you can change the source of the contract terms at any time by selecting the Change Contract Source action.

When adding or changing the contract terms using terms template, you can select either:

  • A template derived from the structured terms template

  • A template derived from the simplified terms template

Here's a diagram that illustrates different options you can use to add contract terms and associated actions you can perform to edit contract terms:

This graphic describes the types of contract source
and associated actions to edit the contract terms.

Attached

Using the Attached option, you can create the contract terms by adding all the terms and conditions in a document and uploading the document as an attachment. Use this option to upload your document in common document formats such as Microsoft Word, XPS, XML, scanned image, and PDF.

You can use the attached option when you don't want to:

  • Use the authoring capabilities available within the application.

  • Use a contract terms template to add the approved contract terms stored in the centralized repository.

  • Use the deviations reporting and clause analysis features.

  • Use flexibility available within the application to handle translation.

  • Use application driven standard and style for authoring your contract.

  • Use the Contract Expert feature to determine if the contract deviates from company policies or if any additional clauses are required

Note: Specifying that the contract source is an attached file and uploading a file isn't the same thing as attaching a file to the contract on the Documents tab. The latter only attaches a supporting document.

Structured Terms Template

In the structured terms template, the contract terms are created using the building blocks of individual clauses and sections stored in the Terms Library page. This template requires your contract administrator to manually break down the contract terms into sections and clauses, store them in the Contract Terms Library, and then arrange them in a template. Once the contract terms template is approved, you can start using it in your contracts.

It's ideal, wherever possible, to use this template in your contracts to significantly automate the contract authoring process with centralized templates and clauses.

As this template uses clauses stored in the Contract Terms Library, it's easier and faster to update a clause used in multiple templates. Once you modify a clause information in the Contract Terms Library, all the templates using the same clause reflect the updated information automatically. This ensures accuracy and consistency in the language of the contract terms across all contracts using the same clause or template.

Use the structured terms template when you want to:

  • Use deviations reporting and clause analysis features to find out added, edited, and deleted information in your clauses. The deviations report lists:

    • Standard clauses you added, edited, or deleted

    • Alternate clauses you selected to replace the standard clauses

    • Nonstandard clauses you created for this contract

    • Missing clauses recommended by Contract Expert

    • Outdated clause versions

    • Policy deviations

    • View and analyze the changes done in each clause of the contract

  • Edit the contract terms from either the application or word document.

  • Use application driven standard and style for authoring your contract.

  • Use flexibility in handling translation for clauses.

  • Compare edited clause with the standard clause stored in terms library.

  • Prevent others from editing the contract terms at the same time. Thus eliminating information silos.

  • Assign or change the numbering scheme from within the application.

  • Use the Contract Expert feature to specify which clauses are mandatory for a contract or protected against updates during negotiation

Simplified Terms Template

In the simplified terms template, the contract terms are created by adding all the information in a word document and uploading this document as an attachment in the DOCX format. This template enables your contract administrator to create a terms template quickly and easily by simply uploading an existing legal terms document without enforcing application driven segmentation, formatting, or style. Adding all the contract terms in one document helps in avoiding the complexity and efforts of breaking the contract terms into individual sections and clauses and then arranging them in a contract terms template.

The simplified terms template enables you to add the approved terms document stored in the centralized repository so that the same document can be reused across multiple contracts. Because clauses are directly used from a document and not retrieved from the Contract Terms Library, the updated or rearranged clauses information isn't automatically reflected in all the simplified terms templates. To keep the information consistent, you must individually update the information in all the templates. This can create consistency issues in the contract terms language when you have the same clause or terms document used across multiple simplified terms templates.

You can use the simplified terms template when you want to:

  • Use the ease of authoring contract terms in the word document by ignoring the level of clause scrutiny offered with the structured terms template.

  • Avoid using the application driven standard and style for creating terms document.

  • Prevent others from editing the contract terms at the same time. Thus eliminating information silos.

  • Use the Contract Expert feature.

Depending on the contract, its status, and your privileges, you may be able to change the contract source by selecting the Change Contract Source action on the Contract Terms tab, for instance by replacing the current contract terms template with another.

You can use this action to do the following:

  • Switch templates

  • Replace the contract terms in the application with an attached file

  • Replace the contract terms attached in a file with those in another file

  • Replace the contract terms attached in a file with those from a contract terms template

Switching Templates

Switching templates by applying a different template removes all of the contract terms applied from the old template, including any that you may have edited and changed into nonstandard clauses. The application moves any standard clauses you added or any nonstandard clauses you created from scratch to the Unassigned section. The Unassigned section, which is created automatically, doesn't appear in the printed contract. You must move any clauses from the Unassigned section to other sections if you want them to be part of the new contract terms.

Note: If you're switching templates in Oracle Fusion Purchasing or Oracle Fusion Sourcing contracts, then you can retain contract terms deliverables by selecting the Retain All Deliverables option.

Replacing the Contract Terms in the Application with an Attached File

You may need to attach the contract terms to replace the contract terms in the application, if you're editing the contract terms in Microsoft Word and there are too many changes to import back into the application. When you change the contract terms source from a contract terms template to an attached file, the application removes all of the contract terms and contract documents. You can select the Retain Structured Terms for Reference option to include the contract terms in the contract deviations report, contract terms validation, and clause analysis.

Replacing One Attached File with Another

When you change the contract terms source from one file to another, the application deletes the old file if the file name is the same. If the new file name is different, then the application preserves the file you're replacing in contract Documents.

Note: The old file is not preserved in Oracle Fusion Sourcing because negotiation documents don't include the Documents tab.

Replacing an Attached File with a Contract Terms Template

When you replace an attached contract terms file with the terms from a contract terms template, the application retains the file for reference on the Documents tab except in Oracle Fusion Sourcing where the file is deleted.

Depending on your permissions of the contract type and the contract status you can edit the contract terms displayed in the Clauses tab by using the outline. You must refresh the preview pane to see the results of your edits.

On the Clauses tab you can:

  • Edit clauses

  • Edit sections

  • Change the numbering style

Editing Clauses

You can edit standard clauses or create a completely new clause using one of the following actions:

Different clause types permit different actions. For example, you can only select alternate clauses for clauses where alternates are available and you cannot edit protected clauses or delete mandatory clauses unless you have special permissions. Mandatory and nonstandard clauses are highlighted with icons as are clauses with available alternates. The following table summarizes what actions are available for different clause types.

Clause Available Actions

Standard

  • Add

  • Move

  • Delete

  • Edit to create a nonstandard clause

Nonstandard

  • Create by adding and editing a standard clause or create an entirely new nonstandard clause

  • Move

  • Delete

  • Edit

Protected

  • Add

  • Move

  • Delete

  • Edit only with special privileges

Mandatory

  • Move

  • Delete only with special privileges

  • Edit only with special privileges

Alternate

  • Move

  • Edit to create a nonstandard clause

  • Delete

  • Select an alternate clause

Editing Sections

You can add, edit, delete, and move sections. When you move or delete a section, you move or delete its contents provided you have the permission to do so. For instance, you cannot delete a section if that section includes a mandatory clause and you do not have the special permission required to delete such clauses. When adding or editing a section, you have the option of selecting predefined sections from the Contract Terms Library or creating your own.

Changing the Numbering Style

You can change the numbering style of the contract terms by selecting the Change Numbering Scheme action.

Contract Terms Library administrators set up contract terms templates to apply contract terms and conditions based on the type of contract you're authoring. Depending on the setup, the application can automatically apply the contract terms and conditions from a template or let you select which contract terms template to apply manually.

A contract terms template you apply on a contract can do the following:

  • Add sections and clauses from the Contract Terms Library into your contract.

  • Specify which numbering scheme and layout will be used in the printed contract terms.

  • Require you to run the Contract Expert feature to determine whether additional clauses are required in the contract or to determine if the contract conforms to company policies.

  • Permit you to edit some or all of the contract terms and conditions. Some clauses may be protected from editing.

  • Include contract deliverables for tracking scheduled milestones, such as performance reviews, and other commitments, such as references and proof of insurance.

The following figure provides an example of how you work with a contract terms template:

  1. The application applies the terms and conditions from the contract terms template either automatically or when you select the template manually.

  2. The Contract Terms tab now contains the contract terms and conditions from the template. The sections and clauses are numbered according to the template's numbering scheme. In enterprise contracts, the Deliverables tab lists the contract deliverables (shown in the boxes demarcated with dotted lines).

  3. You can edit the clauses on the Contract Terms tab using the outline.

  4. If the template requires you to run Contract Expert, you may be asked to answer questions and enter values for contract variables. Depending on your entries, Contract Expert may insert additional clauses that weren't present in the template itself.

This figure shows the role of a contract terms template
during contract authoring.

Adding and Editing Sections and Clauses

The contract terms template can include all the boilerplate clauses required for a contract such as a warranty, for example, or just a few of the common clauses such as the governing jurisdiction. These are inserted automatically into the contract terms when the template is applied.

Depending on your privileges, you can add additional standard clauses, substitute an alternate clause for an existing clause, edit standard clauses or add new nonstandard clauses that are specific to the contract. Any change you make to the clauses applied from the template will be recorded as a clause deviation in the contract deviations report you run before you submit the contract for approval.

Running Contract Expert

Some contract terms templates require you to run the Contract Expert feature to determine whether additional clauses must be added. You can tell if you must run Contract Expert when the Clauses tab includes the Contract Expert Last Run indicator before the contract terms preview region. When you run Contract Expert by selecting the Run Contract Expert action, Contract Expert may ask you to enter values for contract variables and to answer questions. If you don't run Contract Expert on a contract that requires it, then you receive a warning message during contract validation.

Adding Contract Deliverables

If the contract terms template includes contact deliverables, then these deliverables are visible only when the template is applied to a contract. You can use these contract deliverables in a contract for the submission and tracking of contractual deliverables such as reports and inspections. These deliverables are updated both by employees within your organization and by external party contacts designated as the responsible party contacts on the deliverables. Contractual deliverables are listed in a clause in the contract terms.

This topic lists and briefly describes the actions for authoring contract terms. The actions in the Actions menu are divided into four groups.

There are actions for:

  • Authoring within the application

  • Authoring in Microsoft Word

  • Checking your work

  • Starting over

Note: The Actions menu appears only after you add contract terms. Which actions are available on a contract depends on your implementation, the contract type, and the contract life cycle.

Actions for Authoring Within the Application

The following actions are related to authoring within the application:

Action Description

Edit Variable Values

Select the Edit Variable Values action to enter any missing variable values. The Clauses tab displays the number of missing values in the Pending Variables indicator. You must enter any missing values before you submit the contract for approval. Missing variable values generate warnings during contract validation. Entering variable values using this action is equivalent to entering these values when running Contract Expert.

Run Contract Expert

Some contract terms templates require you to run the Contract Expert feature to determine whether additional clauses must be added. You can tell if you must run Contract Expert when the Clauses tab includes the Contract Expert Last Run indicator before the contract terms preview region. When you run Contract Expert by selecting the Run Contract Expert action, Contract Expert may ask you to enter values for contract variables and to answer questions. If you don't run Contract Expert on a contract that requires it, then you receive a warning message during contract validation.

Actions for Authoring Contract Terms Using Word

The following table lists the actions you can use for editing the contract terms outside the application using Word.

Action Description

Download Contract

Use the Download Contract action to export the contract terms sourced from:

  • The structured terms template as an XML file you can edit in Word.

  • The simplified terms template as a DOCX file you can edit in Word.

Upload Contract

Use the Upload Contract action to import the edits you made in Word. You can only upload a file that was originally downloaded from the application. The upload process for the simplified terms template requires the file to be in the DOCX format.

Lock Contract Terms

Use the Lock Contract Terms action to prevent anyone from editing the contract terms in the application while you are editing the contract terms offline in Word.

Actions for Checking Your Work

The following table lists the actions for checking the contract terms meet your organization's standards.

Action Description

Review Contract Deviations

Select the Review Contract Deviations action to generate a report that lists differences between the contract terms in the contract and the contract terms in the contract terms template. The deviations report lists:

  • Standard clauses you added, edited, or deleted

  • Alternate clauses you selected to replace the standard clauses

  • Nonstandard clauses you created for this contract

  • Missing clauses recommended by Contract Expert

  • Outdated clause versions

  • Policy deviations

Check for Clause Updates

Select the Check for Clause Updates action to check if a more recent clause version is available in the Contract Terms Library.

Validate Contract Terms

Select the Validate Contract Terms action to determine if the contract terms are ready to be submitted for approval. Validation can generate both errors and warnings. You must correct the errors. Correcting the warnings is optional. For example, you receive an error if:

The application automatically performs the same contract terms validation whenever you submit the contract for approval.

Actions for Starting Over

The following table lists the actions you can use to start over.

Action Description

Change Contract Source

Select the Change Contract Source action to change the source of the contract terms from one template to another, from a template to an attachment, or from an attachment to a template.

If you change templates, the application removes all sections and clauses added by the original template, including any you have edited. Only new clauses you added are kept under the Unassigned section heading.

Remove Contract Terms

Select the Remove Contract Terms action to remove all contract terms from the contract. Removing contract terms removes all contract terms documents.

If you don't find the standard clause you need in the Contract Terms Library, then you can create a nonstandard clause either by adding a similar standard clause and editing it or by creating an entirely new nonstandard clause.

Creating a Nonstandard Clause by Editing a Standard Clause

Adding a similar standard clause and editing it makes it possible at any time to revert back to the most recent version of the original standard clause and to compare the nonstandard clause text with the text of the most recent version of that standard clause.

Creating a New Nonstandard Clause

Creating an entirely new nonstandard clause doesn't permit you to revert to a similar standard clause or compare the text. Both types of nonstandard clauses are listed as deviations in the Contract Deviations report submitted along with the contract for approval.

If a Contract Expert-enabled contract terms template is applied to your contract, then you must run Contract Expert to determine if the contract deviates from company policies or if any additional clauses are required. When you run Contract Expert, you may be asked to enter values for contract variables or to answer questions . Based on your responses, Contract Expert may suggest additional clauses from the Terms Library for insertion into the contract terms. If you fail to run Contract Expert on a contract which requires it, then you will receive a warning when you attempt to submit the contract for approval or when you download the contract for editing in Word 2007 or later versions. You can run Contract Expert at that time.

The following figure illustrates what happens when you run Contract Expert by selecting the Run Contract Expert action from the Actions menu or by clicking the icon at the top of the preview section on the Clauses tab. The application:

  1. Prompts you to respond to questions and to specify values for variables. In some cases, additional questions may appear depending on the responses that you provide to previous questions. If you already ran Contract Expert on the contract before, the application remembers the values you entered previously.

  2. Evaluates your entries to determine if the contract requires additional clauses and displays them for your review.

  3. Inserts the selected clauses into the contract terms either in the locations that you specified on the terms template after you made these clauses conditional or in the designated default section under clauses or under terms.

  4. On subsequent runs, Contract Expert removes any clauses it inserted previously and starts evaluating afresh.

This figure illustrates the running of Contract Expert
during contract authoring.

Contract Expert Removes Any Clauses It Inserted Previously

If this is not the first time you are running Contract Expert, then the feature removes the clauses that it inserted previously, even if you moved them to other sections. Contract Expert does not remove any of the clauses you turned into nonstandard clauses by editing them.

Contract Expert Prompts You to Enter Additional Information

Contract Expert starts evaluating any business rules entered by the Contract Terms Library administrator for the contract terms template being used on your contract. If the rules require your entry, then Contract Expert displays pages where you enter variable values and answer questions. Answers to questions can trigger follow-up questions. In this figure, the answer to Question 1 triggered the follow-up Question 2.

Contract Expert Evaluates Your Entries and Displays Any Additional Clauses to Review

Contract Expert completes evaluating the business rules based on any additional information you provided and displays the recommended clauses for your review before inserting them into the contract terms.

You can reject a recommended clause by deselecting the Insert Into Document option on the Review Suggested Clauses page provided you have sufficient privileges. Your rejection is listed as a warning when you review contract deviations. If you do not have the required privileges, you cannot deselect this option.

Contract Expert Inserts Additional Clauses Into the Contract

Contract Expert inserts the additional clauses into the contract either in the locations that you specified on the terms template after you made these clauses conditional or in the designated default section under clauses or under terms.

Contract Terms in Microsoft Word

You can edit contract terms offline using Microsoft Word and import the edits back into the application from the Word document.

The following steps and figure outlines the process:

  1. Download the contract terms as an XML file to your desktop by selecting the Download Contract action in the Contact Terms tab. You can lock the contract terms in the application while you are editing them offline.

    A contract terms document created using:

    • the structured terms template is downloaded as the XML file.

    • the simplified terms template is downloaded as the DOCX file.

  2. Open the contract terms document that you downloaded.

  3. Edit the file using Microsoft Word and accept or reject all changes.

  4. Select the Upload Contract action to upload your changes. Depending on your needs, different options make it possible to update the structured terms in the application with your changes or simply attach them as a file. The different use cases numbered in the figure are discussed in the Uploading Your Edits section.

  5. If you decide to update the structured terms in the application, then you must review and accept the changes.

The following figure outlines the process for editing contract terms using the structured terms template outside the application using Microsoft Word.

This diagram outlines the process for editing contract
terms outside the application using Microsoft Word.

Downloading the Contract Terms

Here are the actions you can use to download the contract terms:

  • File format: Downloads the contract in RTF or Word format based on your selection.

  • Source:

    • Regenerated contract terms: Downloads the contract based on the latest contract information and variables saved in the application. When you download a regenerated document, all tracked changes in the document are cleared. This is used as the default option when you are downloading your contract for the first time.

    • Last revision document: Downloads the latest revision copy that was uploaded against the contract. With this option, changes made in the application are not reflected in the downloaded contract document. Use this option when you want to keep changes (between previous versions) tracked in Microsoft Word. This is used as the default option after the contract is downloaded once.

  • Lock contract terms until upload: Allows you to prevent others from editing the contract terms while you are working outside the application.

Editing Contract Terms Outside the Application

Now that you are ready to edit your contract terms in Word you have a choice to edit entirely offline or using the Oracle Contracts Microsoft Word Add-in. Either choice provides integration with the application but we recommend you consistently use one method or the other.

If you want to automatically update the contract terms in the application with the edits you make in the Word file, then you must:

  • Use only the file you downloaded for your edits.

  • Enable Word's change control features to track your changes and accept the changes before you upload the file.

  • Be aware of how your edits will be uploaded as described in the following section:

    • To edit the text of a clause, keep your edits within the boundary of the clause text and do not add any paragraph breaks or title headings.

    • To add a new clause, enter the clause title outside the boundary of an existing clause and apply the ClauseTitle2 style. Press Enter and add the clause text. The clause text should be automatically appear with the Normal style applied.

    • To add a new section, enter the section title outside the boundary of an existing clause and apply the Heading1 style.

There are no restrictions if you want to attach the edited file without updating the structured terms in the application.

Uploading Your Edits

After selecting the Upload Contract action to upload your edits, you can either update the contract terms in the application with your edits or attach the edited file.

The different use cases depend on your selection of the following three options:

  • Contract Source

    Specifies if you want the source of the contract terms to be the structured terms in the application or the file you are uploading.

  • Update Contract Terms Automatically

    If you want the edits in the file imported into the application.

  • Retain Structured Terms for Reporting

    If you chose the file as the source of contract terms, then you can retain the contract terms in the application for reviewing contract deviations and other reports.

The following table describes the different options for uploading contract terms edited outside the application using Microsoft Word.

Use Case Use Case Number Contract Source Selection Update Contract Terms Automatically Retain Structured Terms for Reporting Consequences

You want to import the edits from the file into the application.

1

Structured Terms

Selected

Not applicable for this use case.

  • The contract terms in the application are updated with the edits from the Word document.

  • The application remains the source of the contract terms.

  • The file with your edits is uploaded as a supporting document.

The edits in the Word file are so extensive that importing them into the application is impractical.

The contract terms in the file are so different, that running the contract deviations report against the terms in the application would be misleading.

2

Attached Document

Deselected

Deselected

  • The application is not updated with changes.

  • The Word file becomes the primary contract document.

  • The structured terms in the application are not retained for reports.

You do not want to import the edits into the application, but you want to retain the contract terms in the application for reporting.

3

Attached Document

Deselected

Selected

  • The application is not updated with your changes.

  • The Word file becomes the primary contract document.

  • The structured terms are retained for reporting.

You want to specify the attached file as the primary contract document, but want to import the changes into the application for more accurate reporting.

4

Attached Document

Selected

Selected

  • The application is updated with your changes.

  • The Word file becomes the primary contract document.

  • The structured terms are used for reporting.

Automatically Updating the Contract Terms in the Application

If you chose to update the contract terms in the application automatically, the application compares the contract terms in the file with those in the application and displays the changes in the Review Changes page.

Note: Before you upload, you must accept all tracked changes in the Word file. If the Accept and Reject buttons are not enabled on the Review tab, you can enable them by selecting Protect Document, Restrict Formatting and Editing and clicking Stop Protection.

The application considers some but not all edits as changes for importing. Examples of changes that do get imported include:

  • Adding a clause in the file will add the clause to the structured terms.

  • Deleting a clause in the file counts as a deletion of the clause in the structured terms.

  • Edits within the text of a standard clause, including the addition of spaces, turns the standard clause into a nonstandard clause.

  • Text that you add outside the boundary of an existing clause will be imported as a new clause.

  • Headings you insert are interpreted as sections or clause titles, depending on their style. If you insert a heading with the ClauseTitle2 style applied and that is followed by text with the Normal style applied, then the heading is imported as a clause title and the text as the clause text. If you enter a heading with the Heading1 style, then it will become a section.

  • If you add a new clause without a heading, then the application automatically creates a clause title with a clause number based on the number of such clauses without titles. The first title is Clause 1 and the title of the ninth such clause is Clause 9.

The application does not import some edits such as moving clauses or sections within the contract terms. Font changes are only imported if they are accompanied with another edit. For example, the application will ignore clause text you placed in italics if that is the only edit you made. Nor does the application import any edits you may make to the clause or section numbers. It retains the numbering in the structured terms.

Also not imported are any changes in variable values you made in the Word document. You must edit the variable values in the application after your upload.

You can use the Review Changes page to either accept or reject all of the changes and to merge any clauses that were split accidentally. If you want to reject individual changes, then you must cancel the upload, make additional edits to the Word document, and upload again.

The application retains the file you uploaded as a supporting document. If the file name is the same as the previous version you uploaded, then the previous version is overwritten.

When you edit contract terms offline using Microsoft Word, you can use the Oracle Contracts Add-in to update the contractual terms associated with a contract directly from the terms library. Within Microsoft Word you can search and add clauses or sections from the library to your contract. You can also perform other modifications such as adding, modifying or deleting existing sections, clauses, and variables.

To edit contract terms using the Microsoft Word add-in:

  • Download and install the Oracle Contracts Add-in for Microsoft Word.

  • Download a contract for offline editing and use the Oracle Contracts menu from within Microsoft Word to edit the contract terms.

Note: The process of downloading and uploading contract terms is the same whether or not you choose to use the add-in.

How You Install the Oracle Contracts Add-in for Microsoft Word

To edit contract terms using the Oracle Contracts Microsoft Word add-in, you first must download and install it.

Installing the Add-in

  1. Navigate to the Contract Terms tab of your contract.

  2. From the Actions menu, select Download Add-in for Microsoft Word.

  3. A ZIP file is downloaded to your default browser download location.

  4. Open and extract the ZIP file to a local folder.

  5. From the extracted files, run the setup.exe application file to install the add-in.

Note: You should repeat the download when a new version of the add-in has been released.

You can edit contract terms offline using the Oracle Contracts Microsoft Word add-in and import the edits back into the application from the Word document.

Using the Tools Menu

  • Use sign in and sign out to connect to the server. You must be connected to the server to:

    • Edit the values of user-defined variables.

    • Search for sections, clauses and variables in the Contract Terms Library that you may want to add to the contract terms.

    • Check for the latest available version of the add-in from the About tab.

    • Generate log files for the add-in.

  • The Generate Log File action lets you toggle generation of log files. Log file generation can assist in debugging any issues related to server connections as well as other issues.

Using the Actions Menu

  • Add Section

    1. Place your cursor in the contract terms document at the location at which you want to insert the section.

    2. Search for a section in the Terms Library.

    3. A list of section names matching the search criteria is displayed in the search pane.

    4. Select and add the section.

    5. The section title is inserted with the appropriate formatting.

  • Create Section

    1. Select the Create Section action.

    2. Enter the section title in the new text box.

    3. You can add clauses and variables, create clauses, and insert variables from the Oracle Contracts Terms Library as needed.

  • Add Clause

    1. Place your cursor in the contract terms document at the location in the section at which you want to insert the clause either after the section heading or after a clause in the section.

    2. Search for clauses in the Contract Terms Library. A list of clauses matching the search criteria is displayed in the search pane.

    3. Select and add the required clause to the section in the contract terms.

    4. The clause text is inserted with the appropriate formatting.

    5. You can click Clause Details or Preview in Word to see details about the clause before you insert it. The Preview in Word window displays a read-only version of the actual clause text.

    6. You can also modify the clause text that you just added. If you do so, this clause appears as a nonstandard clause once uploaded back to the application. You can revert back to the original standard clause in the application.

  • Create Nonstandard Clause

    • You can create a new clause in a section of the contract terms in Word using the Create Nonstandard Clause action. New text boxes are inserted in the appropriate places where you can enter the clause title and the clause text.

  • Insert Variables

    1. Place your cursor in the contract terms document at the location in the clause text at which you want to insert the variable.

    2. Search for variables in the Terms Library. A list of variables matching your search criteria is displayed in the search pane.

    3. Use Previous and Next to scroll through the list of variables and use Insert to add the variable value to the contract terms in the Word document.

      Note: Every variable must have a value. If the variable that you inserted does not already exist in the contract terms and therefore has no value, you must enter a value either in the Word Add-in or directly in the application.

Using the Edit Variable Values Menu

  • You can use the Previous and Next buttons to scroll through user variables in the document to find the ones that you want to edit.

  • You can edit user variables in the Microsoft Word contract and they are saved back to the application.

  • You cannot save edits to system variables made using the Oracle Contracts Microsoft Word add-in back to the application, but you can delete them.

Using the Help Menu

  • Check for Update

    • Use this action to see if there is a more recent version of the add-in that can be downloaded.

  • Server

    • Use this option to check the server instance name associated with the contract. This is the environment to which the updated contract is uploaded.

Actions Supported with Individual Contract Source

Here's the table that demonstrates supported Oracle Contracts Add-in actions with the individual contract source type:

Oracle Contracts Word Add-in Actions Structured Terms Template Simplified Terms Template Attached document

Add Section

Yes

No

No

Create Section

Yes

No

No

Add clause

Yes

Yes

Yes

Create Nonstandard Clause

Yes

No

No

Insert Variable

Yes

Yes

No

Download

Yes

Yes

Yes

Upload

Yes

Yes

Yes

Compare

Yes

Yes

Yes

What versions of Microsoft Word can I use with Oracle Contracts?

You can enter contract text in the Contract Terms Library or the Contract Terms tab using Microsoft Word. The versions of Microsoft Word that Oracle Contracts supports are listed on the System Requirements for Oracle Applications Cloud page (www.oracle.com/us/products/system-requirements/overview).

Terms Template FAQs

You can add sections and clauses to a contract terms template on the Clauses tab while editing the template. Alternately, you can set up Contract Expert rules to suggest clauses based on the circumstances of each contract.

Use the outline region to add sections and clauses that will be present in all contracts created with the template. You must add at least one section using the Actions menu before you can add clauses. If you do not find the clause you need while adding clauses, you can create one from the Add Clauses window. You must refresh the preview of your template by clicking the Refresh icon.

Also, you can create rules to add clauses that vary contract to contract. Contract Expert can add clauses based on variable values and answers to questions contract authors supply when they author the contract.

While both document types and contract types are contracts, document types encompass all purchasing and sales documents that are deemed contracts. Contract types include only enterprise contracts.

For sales, the list of document types is restricted to contract types, those contracts created within the Oracle Fusion Enterprise Contract Management (ECM) application itself. If you enabled the Enable Contract Terms in Oracle Fusion Procurement feature for the option Procurement Contracts during implementation, then the following procurement document types are available:

  • Auction

  • Bid

  • Blanket Purchase Agreement

  • Contract Purchase Agreement

  • Standard Purchase Order

  • RFI

  • RFI Response

  • RFQ

  • Sourcing Quote

Contract type is an administrator-created classification for enterprise contracts which determines contract functionality, including the presence of lines and contract terms. You create contract types during contract setup by selecting the Create Contract Types task.

Specify a contract terms template as the default for a document type when you want that template to be automatically applied to a contract of that type.

You can also apply contract terms templates to contracts using Contract Expert rules. If a Contract Expert rule specifies a default contract terms template, the application ignores the document type default you specify here. However, should the Contract Expert rules you set up pick multiple templates, then the application uses the document type default you set here as a tiebreaker.

A contract terms template can be approved for authoring only when all of its clauses are approved as well. If any of the clause versions you added to the template are drafts, then the application lets you review a list of those drafts and submit them for approval along with the contract terms template. The draft clauses can include any draft clause versions as well as clauses drafted specifically as part of the contract terms template using the Create Clause button.

If any of the clauses are already available in an approved version, then you can choose to use the approved version in the template instead of submitting the drafts for approval. You can make the substitution on the review page by deselecting the draft.

You can copy a contract terms template from a global business unit for use in a local business unit. Before you do, you must ensure that any clauses you want copied along with the template are either adopted or localized. Any clauses in the copied template that are not adopted or localized in the local business unit are automatically removed.

Why can't I edit the contract terms template?

You cannot edit the contract terms template if you have insufficient privileges or the contract terms template is in a status that does not permit you to make modifications.

You must add at least one section to the contract terms template before you can add clauses and the template must be in a status that permits editing.

You must enable Contract Expert in a contract terms template if you want to use Contract Expert rules with the template. Contract Expert rules can default the template to a new contract, recommend additional clauses, and indicate any policy deviations in contracts that use the template.

Note: If you do not enable Contract Expert on a template, contract authors cannot run Contract Expert in contracts that use the template and no Contract Expert rules apply, not even those you specify as valid for all templates.

Contract Terms FAQs

You select contract terms layout templates during contract type setup. Contract printing uses these predefined layout templates. For example, you may have selected a terms layout template that only prints the summary of amendments made to contract terms or a terms layout template that prints both the amendment summary and the amended contract terms and conditions. Alternatively, you can also control the printing of the amendment summary without adjusting the terms layout template for each contract in the Contract Terms tab. You can configure the printing options available on the page when creating and editing clauses and when adding and editing sections as part of contract or template authoring.

For example, you can do the following:

  • Suppress title and skip numbering or only skip numbering while doing the following:

    • Editing a section or clause for a terms template or contract

    • Adding a section or clause to a terms template

    • Adding a section or creating a nonstandard clause to add to a contract

  • Align the section title or start a section on a new page while doing the following:

    • Creating a new section while authoring a terms template or while authoring terms and conditions for a contract

    • Adding a new section from the terms library to the terms template or contract

    • Editing a section in the terms template or contract

Using the skip numbering and suppress name for a section or suppress title for a clause options, you can independently exclude the number and title associated with sections or clauses from a contract. Based on the selected options, the contract is printed as follows:

  • When the suppress name or title option is selected on a section or clause, the application prints the contract only with the number associated with the section or clause, but suppresses the title.

  • When the skip numbering option is selected on a section or clause, the application prints the contract by skipping numbering and moving the numbering up one level for subsection or clause. In this case, the contract displays only the title associated with that section or clause.

  • When both options are selected on a section or clause, the application prints that section or clause without the number and title.

Keep in mind that these printing options are only available for contracts in Draft and Under Amendment statuses. Although, you can use these printing options on all templates including those for which approved contracts exist, the options you select will only apply to future, yet to be approved contracts. These printing configurations only show in the PDF, RTF, and HTML formatted output of the contract.

If you submitted a single draft clause for approval from the Edit Clause page, then you can stop approval of this clause from the same page. If you submitted a draft clause along with several other draft clauses for approval with a terms template, then you cannot stop the approval of this clause using the Stop Approval action from the Edit Clause page. In such a case, you must withdraw the terms template from approval using the Stop Approval action on the Edit Terms Template page. This stops approval of all draft clauses submitted for approval with the terms template and reverts their status from Pending Approval back to Draft status. If the terms template submitted for approval also has clauses in Pending Approval status and Approved status, then stopping terms template approval has no effect. These clauses remain as approved and pending approval clauses in the Terms Library.

For clauses in the process of localization that you withdraw from approval, in addition to the status of the clause being reverted, the adoption type is also reset to the previous Available for Adoption value.

Note: Stopping approval of a clause does not remove it from use. The clause is available as a draft clause in the Terms Library.

For approved clauses and approved terms templates, the Stop Approval action is no longer available. Once a terms template is approved, all draft clauses on the terms template are also approved. After a clause is approved, you can delete it, put it on hold, or enter an end date on the clause if you want to remove it from use.

Note: If the terms template is approved, then all draft clauses automatically become approved. Clauses in Pending Approval status stay in the same status till you approve these clauses individually from the Edit Clause page.

For approved clauses on the terms template, stopping terms template approval has no effect. These clauses remain approved clauses in the Terms Library.

In addition, after initiating the approval of a clause or terms template, you can, as the initiator, subsequently withdraw the terms template or clause from approval. To do this, navigate to the Initiated Tasks view of the Terms Library Worklist, select the approval notification that you want to stop approval for and click on the Withdraw action.

While editing a contract terms template, you can specify a clause to be mandatory in a contract where that template is applied as described in this topic. When you do, only authors who are granted the Override Contract Terms and Conditions Controls privilege by the system administrator will be able to delete it.

You can make a clause mandatory in a contract terms template you are editing by highlighting the clause in the outline region of the Clauses tab and then selecting the Make Mandatory action.

You can also make all clauses inserted by Contract Expert rules mandatory by selecting the Expert Clauses Mandatory option on the General tab, Contract Expert region. This will make any clauses recommended by Contract Expert mandatory for the contract.

What's the clause default section?

The clause default section is the contract terms section where the Contract Expert rules generally insert the clause. To specify the location of an expert suggested clause in relation to the other clauses, you may mark that clause as a conditional clause and then add it in the required location in the terms template associated with the business document. The location of the clause in the terms template takes precedence over the clause's default section when expert suggested clauses are inserted into the business document.

Oracle Contracts has the ability to dynamically add clauses by evaluating the rules that users set up using Contract Expert. These dynamically added clauses are generally placed in the default section defined for the clause, or in the Contract Expert section defined for the terms template.

You can choose to place these clauses in predefined locations in the contract in relation to other clauses. To do this, while creating a Contract Expert enabled terms template, use the Insert Conditional Clauses action to specify the predetermined locations in the terms template for Contract Expert suggested clauses applicable to the Contract Expert rules associated with the template. In this case, the Insert Conditional Clauses action automatically marks these Contract Expert suggested clauses as conditional.

However, if you create a new clause for the terms template and create the Contract Expert rule for it in the Terms Library, and then associate this rule to the terms template, you must manually mark this clause as a conditional clause before you can use the Insert Conditional Clauses action to predefine its location.

Validation for conditional clauses occurs during terms template approval. Warnings are displayed for the following cases.

  • If all Contract Expert suggested clauses for active clause selection rules associated with the terms template are added in the terms template as conditional clauses.

    Note: When you apply the terms template to a contract, conditional clauses are displayed on the contract only after you run Contract Expert on the contract and the conditions of the associated rules are satisfied.
  • If regular clauses have been marked as conditional.

    When you apply a terms template with regular clauses marked as conditional clauses, to a contract, these regular clauses marked as conditional clauses are not displayed in the contract.

  • If Contract Expert clauses added to the terms template were not marked as conditional clauses.

    When you apply this terms template to a contract, these clauses are displayed in the section as defined in the terms template and when you run Contract Expert on the contract, these clauses are inserted directly in the default section of the contract resulting in duplicate clauses in the contract.

Tip: You must revise an approved terms template to add or remove conditional clauses, if Contract Expert clause selection rules associated with the terms template are added or existing ones deactivated.

Contract Deliverables

Contract deliverables establish and track both contractual and noncontractual commitments that must be honored as part of negotiations and contractual agreements between businesses and suppliers or customers based on contract intent. These deliverables can be used in enterprise contracts, purchasing documents, and in negotiations.

This topic provides an overview of the following:

  • How you can use contract deliverables

  • Creating and managing contract deliverables

  • One-time and repeating deliverables

  • Where you can create and use contract deliverables

  • The different deliverable types

  • Fixed and relative due dates

  • Deliverable notifications

Using Contract Deliverables

You can use contract deliverables:

  • To communicate with the external party on the contract about commitments.

    To do this, the responsible party on the contract deliverable must update the contract deliverable such that this change is reflected in the Contracts application.

  • To submit any required documents

    For an enterprise contract, the external contact that is the responsible party on the deliverable can sign in to the Contracts application to submit a report and change the deliverable status to Complete.

  • As a repository of documents submitted in the negotiations

    All documents submitted as attachments are stored in the deliverable history and can be accessed from the deliverable itself.

  • To track a contract deliverable from the initial stages of a negotiation to the signed contract

    The application can automatically copy the appropriate deliverables from the negotiation document to the final contract.

  • To automatically calculate deliverable due dates

    You can set deliverable due dates relative to contract events, for example, a week before the contract is signed or comes into effect. The application automatically calculates the actual date the deliverable is due. You can also create multiple instances of a deliverable to track repeating deliverables, such as monthly reports.

  • To automatically notify interested parties when the deliverable is due or overdue

    You can set up the deliverable to automatically notify parties of an upcoming deadline or when the deliverable is overdue.

Creating and Managing Contract Deliverables

You create and manage contract deliverables in two separate interfaces. You create the contract deliverables while the contract is in negotiations. You manage the deliverables while the contract is active and in the process of being executed except for internal deliverables with fixed due date that you can manually activate before the contract is active.

Here is how the two interfaces work:

  1. You create the deliverable either in a contract terms template that can then be applied to the contract or directly in the contract. For the deliverable, you must enter the responsible party contact, the deliverable deadlines, and the notifications required.

  2. If deliverables are present in a contract terms template you apply to a contract, then the deliverables get copied to the contract automatically. The type of deliverables that are applied automatically can vary based on the document type.

  3. The application creates deliverable instances with the calculated deadlines based on your setups at the time the contract becomes active. For instance, if you created a deliverable that calls for the submission of a report every week after the contract is signed, then the application creates a separate instance of the deliverable for each week based on the date the contract was signed.

  4. You and the responsible party contact use the Manage Deliverables page to access and update each deliverable instance. In the example, each week the deliverable instance that is due that week is updated and any collateral attached.

  5. Based on your setups, the parties are automatically notified when the deliverable is due or overdue, or when one of the parties changes its status (dashed lines).

  6. The contractual deliverables you set up are listed in the printed contract terms when you add the deliverable variable to a clause.

The following figure shows two different interfaces you use to create and manage contract deliverables.

Two different interfaces you use to create and
manage contract deliverables.

One-Time and Repeating Deliverables

You can create both one-time and repeating deliverables. A one-time deliverable tracks the performance and deadlines for an individual required action that must be performed by one of the parties in the contract. A repeating deliverable tracks a deliverable that must be performed periodically, for instance a progress report that must be submitted every week after the agreement is signed.

The following diagram uses an example to illustrate the two variable types:

  • A one-time deliverable (Report 1) that the responsible party contact must provide that is due one week after the agreement is signed.

  • A repeating deliverable (Report 2) that the responsible party contact must provide weekly after the contract is signed.

After the contract is signed and active, the application automatically creates instances of the two deliverables which can be viewed and updated by the responsible party contact using the Manage Deliverables page and the Deliverables bin. The due dates for each deliverable in this example are based on the date the contract was signed.

Note: Note that the name of each deliverable instance for a repeating deliverable is the same. The only difference is the due date.

The internal contact, requester, or responsible external party contact attaches the report file to the appropriate instance of the deliverable and changes its status to Complete.

The following figure illustrates the example of one-time and repeating deliverables.

Example of one-time and repeating deliverables.

Where You Can Create and Use Contract Deliverables

You can create contract terms deliverables both in buy-intent and sell-intent contract terms templates, in the Deliverables tab of an enterprise contract, and in Oracle Fusion Purchasing and Oracle Fusion Sourcing documents.

For purchasing, you can create and use deliverables on documents which include:

  • Blanket Purchase Agreement

  • Contract Purchase Agreement

  • Standard Purchase Order

For sourcing, deliverables are copied over from the negotiation document. Sourcing documents include:

  • Auction

  • Bid

  • RFI

  • RFI Response

  • RFQ

  • Sourcing Quote

Contract Deliverable Types

Deliverable types restrict where a deliverable is available and where it can be printed. There are three deliverable types, as mentioned in the following table:

Deliverable Type Where Available Description Where It Prints

Contractual Deliverables

Purchasing and sourcing (except RFI documents) documents and enterprise contracts

Deliverables that must be completed as part of the contract.

Prints in all documents:

  • As part of the Contract Terms Template preview

  • Enterprise contracts

  • Purchasing documents

  • Sourcing documents

Negotiation Deliverables

Sourcing only

Deliverables that are a part of a negotiation document but are not part of the final contract.

Prints as part of:

  • As part of the Contract Terms Template preview

  • Sourcing documents

Internal Deliverables

Purchasing documents and enterprise contracts

Deliverables that are used to track internal schedules and commitments.

Not printed as part of the contract terms.

Note: If you create a deliverable as part of a contract terms template and that deliverable is of a type that is not compatible with the contract where the template is applied, then the deliverable does not get created in that contract. For instance, a negotiation deliverable in a template is dropped when that template is applied to a purchase order but added when that same template is used for an RFQ.

Fixed and Relative Due Dates

You can specify a deliverable to be due on a specific date, such as the first of the month, or relative to a contract event, such as one week after the contract is signed.

The available events include:

  • The contract start and end dates

  • The dates the negotiations are opened and closed

  • The date the contract is signed

  • On negotiation documents, the date you receive a response from the responsible external party contact

The available contract events differ depending on where you create the deliverable and the deliverable type. For instance, for contractual deliverables you create in a contract terms templates, you can base the due dates on: Contract Canceled, Contract Closed, Contract Signed, Contract Start Date, and Contract End Date. Negotiation deliverables can be based on: Negotiation Closed, Negotiation Opened, and Response Received.

Deliverable Notifications

You can notify interested parties using Oracle BPEL Process Manager by email, voice message, instant messaging (IM), or short message service (SMS).

You can send automatic notifications:

  • Prior to the due date

  • When one of the parties changes the status of the deliverable

  • When a deliverable is overdue

  • When a deliverable must be escalated after the due date

Note: For these notifications to appear, the following processes must be running.
  • Send Contract Terms Deliverable Due Date Notifications

  • Send Contract Terms Deliverable Escalation Notifications

  • Send Contract Terms Deliverable Overdue Notifications

Who receives the notification depends on a combination of the notification type and the party who is responsible for the deliverable as listed in the following table. The requester is an internal party. The external contact is a supplier or customer contact.

Notification Type Responsible Party Recipients

Prior to due date

Internal

Internal Contact

Prior to due date

External

External Contact

Overdue

Internal

Requester, Internal Contact

Overdue

External

Requester, Internal Contact, External Contact

Status Change

Internal

Requester, Internal Contact

Status Change

External

Requester, Internal Contact, External Contact

Escalation

Internal and External

Requester, Internal Contact, Escalation Contact

Use the Manage Contract Deliverables task to communicate the status of deliverables to the purchasing department and to submit any required documents.

Contract deliverables are created by the buyer as part of the contract negotiations and are listed in the contract terms. Each deliverable includes information about the due date and can automatically notify you before it is due.

If a particular deliverable is due periodically, then the application creates separate instances for each of the due dates. Such repeating deliverables share the same name but have different due dates. For example, a safety report that is due every month after the contract is signed, results in multiple instances of the same deliverable each with the appropriate due date.

The following diagram outlines how you use contract deliverables to communicate with the buyer:

  1. Before the due date or when you receive a notification, you log onto the supplier portal. You can edit any deliverable in the Open or Rejected status.

  2. You can add a comment to the deliverable and attach any required files and submit the deliverable for buyer review.

  3. They buyer reviews your submission and indicates if the deliverable is accepted.

  4. If the buyer rejected the deliverable and it is in the Rejected status, then you can edit it and submit it for approval again.

  5. If the buyer rejects the deliverable and it is past due, the buyer changes the status to Failed to Perform. You cannot edit deliverables with this status.

Buyer Role in Deliverable Management

The buyer reviews the submission:

  • If the buyer accepts your submission, the application sets the deliverable to the Completed status.

  • If the buyer rejects the deliverable and it is not yet overdue, the application sets it to the Rejected status. If the rejected deliverable is overdue, then the buyer sets it to the Failed to Perform status. The buyer can also cancel the deliverable or modify the due dates on the deliverable by amending the contract.

Automatic Notifications

If you, the supplier, are the responsible party for the deliverable, then the buyer can set up notifications that inform you automatically:

  • Prior to the deliverable due date

  • When one of the parties changes the status of the deliverable

  • When a deliverable is overdue

Contract Deliverables FAQs

Internal deliverables are contract deliverables used to track schedules and commitments internal to the purchasing or sales organization. They are visible only to internal employees and are not printed as part of the contract terms. You can manually activate internal deliverables irrespective of contract status to create manageable deliverable instances.

Contractual deliverables are contract terms deliverables that track commitments that must be completed as part of the contract. External party contacts can view and edit only those contractual deliverables for which they are the responsible party contacts. Contractual deliverables are listed in the printed contract terms. These deliverables are automatically activated when the contract becomes active. You cannot manually activate contractual deliverables. Activation creates deliverable instances that you can manage using the Manage Deliverables task.

You can change the due dates, notifications, and other contract deliverable definition details in the Deliverables tab of a contract that is in Draft or Under Amendment status. Once the contract becomes active and deliverables are automatically activated creating deliverable instances, you can only make changes to deliverables status, notes and attachments using the Manage Deliverables task. For internal deliverables with a fixed due date that you can manually activate at any time irrespective of contract status, you can only make changes to deliverable definition details before you activate them.