Counterparty Initiated Contracts Overview

Overview: What Are Counterparty Initiated Contracts?

These are contracts created and shared by an external party (the counterparty), which you can import into Zoho Contracts for internal review, collaboration, signature tracking, and post-execution management.

You can import contracts in two states:

• Draft Contracts – Shared by the counterparty for review and negotiation before signing.
• Signed Contracts – Already executed and ready for post-signature tracking and management.

Workflow of Counterparty Initiated Contracts

Managing a counterparty-initiated contract in Zoho Contracts follows a structured five-step process:

1. Importing the Contract

Whether you receive a draft or a signed version, begin by importing the contract into Zoho Contracts:

• Fill in the contract details form.
• Upload the document and define its current state (draft or signed).

2. Negotiation

For draft contracts:

• Review and suggest edits using in-document comments.
• Collaborate internally before sharing with the counterparty.
• Continue discussions until mutual agreement is reached on the terms.

3. Collaboration

Team members and stakeholders can:

• Edit the draft document.
• Add contextual comments.
• Ensure the content aligns with internal requirements and external agreements.

4. Signature Process

Once both parties agree:

• Upload the signed document shared by the counterparty.
• Add signer details and attach the digital signature certificate (if applicable).
• Zoho Contracts will automatically mark the contract as Active based on its effective date.

5. Post-Execution Management

Once active, the contract can be fully managed within Zoho Contracts  just like internally initiated contracts. Key post-execution actions include:

·        Obligations

Assign and track obligations to responsible owners for timely execution.

For more information, see Adding and Managing Obligations in a Counterparty Initiated Contract.

·        Renewals & Extensions

Capture and manage details when the contract is renewed or extended by the counterparty.

For more information, see Renewing and Extending a Counterparty Initiated Contract.

·        Amendments

Update the contract with amendment details as they occur.

 For more information, see  Amending a Counterparty Initiated Contract.

·        Termination

Log the termination request or document details when the contract is terminated.

 For more information, see Terminating a Counterparty Initiated Contract.