Creating a Purchase Contract

You cannot create a new purchase contract with status of "Active", "Approved", "Canceled", "Complete", or "Expired". In the same way, you cannot update an existing purchase contract if it has any of those statuses. To have a status of "Submitted for Approval" or "Approved", purchase contracts must contain at least one purchase contract line. Once a purchase contract has a status of "Approved" or "Active", it cannot be deleted.

Purchase contracts are automatically set to a status of "Complete" when:

• The amount in the Amount on Order field reaches the amount specified in the Maximum Amount To Order field of the purchase contract.
• The quantity in the Quantity on Order field reaches the quantity specified in the Maximum Quantity to Order field of the purchase contract.
• The status of all its purchase contract lines is "Complete".

The Supplier Site lookup lists only active supplier sites. If you don't see the supplier site you wish to associate with your purchase contract, check that the supplier site is active. Once a supplier site is associated with a purchase contract, it can only be deactivated if the purchase contract header has a status of "Canceled", "Complete" or "Expired".

The Supplier Contact lookup lists only active supplier contacts. If you don't see the supplier contact you wish to specify for your purchase contract, check that the supplier contact is active. Once a supplier is associated with a purchase contract, it can only be deactivated if the purchase contract header has a status of "Canceled", "Complete" or "Expired".

The end date is the date that you specify that the contract will run until. You can leave the end date field blank when you create the purchase contract if you wish the contract to continue indefinitely, or if you have not yet determined when the purchase contract must end. If you enter a purchase contract end date, it must occur after the purchase contract start date. Purchase contracts are automatically set to a status of "Expired" when they reach their end date.

You can specify the maximum amount and quantity that can be ordered for a purchase contract. You can also create a purchase contract with an unlimited amount or quantity by leaving these fields blank.

We recommend that you do not specify a maximum quantity for your contract if any of its contract lines is reflecting subscriptions for intangible items such as software licenses.

The Ship to Warehouse lookup lists all the warehouses that are available for you to ship the purchase contract items to. All of the warehouses listed are active. If you don't see the warehouse you wish to specify for a purchase contract in the lookup, check that the warehouse is active. Once a warehouse is associated with a purchase contract, it can only be deactivated if the purchase contract header has a status of "Canceled", "Complete" or "Expired".