Contract Management Checklist: From Draft to Execution to Renewal

Contract Management Checklist

Use this checklist for every contract your organisation enters into. Adapt the approval thresholds to match your organisation's authority matrix.

Stage 1: Contract Initiation

Business Need Assessment

• Business need clearly defined and documented
• Contract type identified (vendor, customer, employment, lease, NDA, etc.)
• Contract value estimated
• Contract duration determined
• Key obligations identified (what does each party need to do?)
• Contract owner assigned (who is responsible for managing this contract?)
• Legal review required? (Yes for contracts above ₹25 lakhs or high-risk contracts)

Counterparty Due Diligence

• Counterparty identity verified (company registration, GST number)
• Counterparty financial health assessed (for high-value contracts)
• Counterparty references checked (for new vendors)
• Blacklist check completed (sanctions, debarment lists)
• Conflict of interest check completed

Stage 2: Drafting

Template Selection

• Appropriate template selected from approved template library
• Template version is current (check template library for latest version)
• Template customised for specific transaction

Key Contract Terms

Ensure the following are clearly defined:

• Parties (full legal names, addresses, registration numbers)
• Scope of work / services / goods
• Pricing and payment terms
• Delivery / performance timeline
• Quality standards and acceptance criteria
• Intellectual property ownership
• Confidentiality obligations
• Liability and indemnification
• Termination rights and notice periods
• Dispute resolution mechanism
• Governing law and jurisdiction
• Force majeure

Version Control

• Document saved with version number (e.g., v1.0, v1.1)
• Version history maintained
• Previous versions not deleted

Stage 3: Review

Internal Review

• Business owner review completed
• Finance review completed (for contracts with financial obligations)
• Legal review completed (if required per authority matrix)
• Compliance review completed (if regulatory implications)
• All review comments documented and addressed

Counterparty Negotiation

• Counterparty redlines received and reviewed
• All redlines accepted, rejected, or counter-proposed with rationale
• Material changes escalated for approval
• Final agreed version confirmed with counterparty
• Negotiation history documented

Stage 4: Approval

Approval Matrix

Approval Process

• Approval request submitted with: contract summary, key terms, risk assessment, recommendation
• All required approvers have reviewed and approved
• Approval documented (email confirmation or digital approval record)
• Any approval conditions documented and addressed

Stage 5: Execution

Pre-Execution

• Final version confirmed - no further changes after approval
• Execution method determined (physical signature, digital signature)
• Authorised signatories identified for both parties
• Signing authority verified (board resolution, power of attorney if needed)

Execution

• Contract signed by all required parties
• Date of execution recorded
• Executed copy obtained from counterparty
• Executed copy stored in contract repository

Post-Execution

• Contract registered in [contract management](/blog/contract-management-best-practices) system
• Key dates entered: start date, end date, renewal date
• Renewal alerts set (90 days, 60 days, 30 days before expiry)
• Obligation alerts set for key milestones
• Contract distributed to relevant stakeholders
• Contract owner briefed on key obligations

Stage 6: Ongoing Management

Monthly Review (for active contracts)

• Obligations on track (payments, deliveries, reports)
• Counterparty performance meeting standards
• Any issues or disputes documented
• Upcoming milestones identified

Renewal Decision (90 days before expiry)

• Renewal decision made: renew / renegotiate / terminate
• If renewing: initiate renewal process (return to Stage 1)
• If renegotiating: initiate negotiation (return to Stage 3)
• If terminating: issue notice per contract terms

Amendment Management

For any contract amendments:

• Amendment need documented
• Amendment drafted and reviewed
• Amendment approved per authority matrix
• Amendment executed and stored
• Contract record updated

Stage 7: Termination / Expiry

Planned Termination

• Termination notice issued per contract terms
• Termination notice period complied with
• Final obligations completed (final payments, handover, etc.)
• Contract status updated to "Terminated"
• Records retained per retention policy

Expiry

• Contract allowed to expire (no renewal)
• All obligations completed before expiry
• Counterparty notified of non-renewal (if required)
• Contract status updated to "Expired"
• Records retained per retention policy

Contract Repository Requirements

For every executed contract, store:

• Executed contract (PDF, not editable)
• All previous versions
• Approval records
• Negotiation history
• Amendments
• Correspondence
• Performance records

Retention period: Minimum 7 years after contract expiry (or longer if required by specific regulations)

Compliance Deadline Tracker

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