This article explains how to record and exercise extensions for Standalone and Subcontract records. Use this process to manage contract duration and any associated value increases beyond the initial term.

Prerequisites

• Contract Type: Must be a Standalone or Subcontract. Extensions are not applicable to Head Agreements.

• User Permissions: Ensure you have the necessary roles to access and edit contract records and trigger approvals.

Create and Exercise an Extension

1. Navigate to the Contract: Open the contract record you wish to extend.

2. Locate Extension Block: Scroll to the summary block for Extensions.

   

3. Add Extension: Click Add to create a new extension.

   • Result: A new record is created with a status of Draft.

4. Enter Details: Input the duration and, if applicable, the Extension Value.
   

   • Result: The Draft extension is now included in the contract's Maximum End Date.
     

5. Submit for Approval: Approvals settings will route the extension for review.

   • Result: Once approved, the status changes to Exercised.

Result: The contract's Current End Date and the Duration Summary table will automatically update to reflect the exercised extension.

Limits & Notes

• Head Agreements: These contracts do not store duration or value, making extensions and variations irrelevant.

• Status Impact: Only Exercised extensions affect the Current End Date; Draft extensions only impact the Maximum End Date.

• Initial Setup: Extensions can also be established during initial contract creation via setup or procurement award.
  

What's Next / Related

• Generate Extension Documents: To create a formal document for this extension, see Document Templates (Mail Merge).

• Contract Variations: Learn how to manage price and duration variations for existing contracts.