Understanding Agreement Statuses and Workflow

Agreements move through a clear lifecycle with four possible statuses. Understanding each status—and how to transition between them—helps you manage agreements confidently and avoid mistakes.

The Four Agreement Statuses

1. Draft

What it means:
You’re creating or editing the agreement. It’s not visible to clients yet.

What you can do:

• Edit content freely
• Add/remove/reorder sections
• Change client or project
• Preview how it will look
• Delete the agreement
• Finalize or send to client

What clients see:
Nothing. Draft agreements are completely private.

Visual indicator:
Gray badge or label

2. Pending

What it means:
Agreement has been sent to the client and is awaiting their signature.

What you can do:

• View the agreement (read-only)
• Recall back to Draft (if you need to make changes)
• Cancel the agreement
• Resend reminder email
• Download PDF
• Copy public link

What clients see:
Full agreement with signature section enabled. They can review and sign.

Visual indicator:
Yellow or warning-colored badge

Automatic transitions:
When client signs → changes to Signed

3. Signed

What it means:
Client has electronically signed the agreement. It’s now a binding contract.

What you can do:

• View signed agreement (read-only)
• View signature details (who signed, when, IP address)
• Download signed PDF
• Copy public link
• Duplicate to create similar agreement

What clients see:
The signed agreement with signature displayed (read-only).

Visual indicator:
Green or success-colored badge

Important: You cannot edit signed agreements. They’re legally binding documents.

4. Cancelled

What it means:
The agreement was cancelled before the client signed. It’s no longer active.

What you can do:

• View the agreement (read-only)
• Duplicate to create a new agreement
• Delete if no longer needed

What clients see:
May show “Agreement Cancelled” or prevent access.

Visual indicator:
Red or gray badge

Important: Cancellation is typically permanent. Create a new agreement if you need to try again.

Status Flow Diagram

Typical workflow:

1. Create agreement → Draft
2. Finalize/Send → Pending
3. Client signs → Signed

Alternative paths:

• Draft → Cancelled (abandon before sending)
• Pending → Draft (recall to make changes)
• Pending → Cancelled (cancel before client signs)
• Pending → Signed (client signs)

Status Transition Rules

From Draft

Can transition to:

• Pending – Send to client via email or manually finalize
• Cancelled – Cancel if no longer needed

Cannot skip to:
Signed (client must sign from Pending status)

From Pending

Can transition to:

• Draft – Recall to make edits
• Signed – Automatic when client signs
• Cancelled – Cancel before client signs

Cannot transition to:
Nothing directly (all transitions covered above)

From Signed

Cannot transition to any other status. Signed is final.

What if you need changes?
Create a new agreement or addendum. Never edit signed agreements without client knowledge and consent.

From Cancelled

Cannot transition to any other status. Cancelled is permanent.

Alternative:
Duplicate the cancelled agreement to create a fresh Draft version.

Finalizing Agreements (Draft → Pending)

Two ways to move from Draft to Pending:

1. Finalize (manual)
Changes status to Pending without sending email. Use if you’ve already shared the link via other means.

2. Finalize and Email
Changes status to Pending AND sends notification email to client with agreement link. Most common method.

Both methods make the agreement read-only and enable client signing.

Recalling Agreements (Pending → Draft)

Why recall:

• You spotted an error after sending
• Client requested changes
• You need to update terms

How to recall:

1. Open the Pending agreement
2. Click Actions → Recall
3. Confirm the action

What happens:

• Status changes to Draft
• Client loses access (link becomes inactive or shows “Under revision”)
• You regain editing ability
• Make changes, then resend

Best practice:
Notify the client: “I’m making a quick update to the agreement and will resend shortly.”

Cancelling Agreements

When to cancel:

• Client declined verbally
• Project fell through
• Agreement is no longer relevant
• You made a mistake and want to start fresh

How to cancel:

1. Open the agreement (Draft or Pending status)
2. Click Actions → Cancel
3. Confirm

What happens:

• Status changes to Cancelled
• Agreement becomes read-only
• Client can no longer sign (if Pending)
• Remains in your list for records

Cannot undo:
Cancelled agreements usually cannot be reactivated. Duplicate if you need to try again.

Client Signing (Pending → Signed)

Automatic transition:
When a client completes the signature process on a Pending agreement, it automatically becomes Signed.

You receive notification:

• Dashboard alert
• Email (if configured)
• Timestamp of when they signed

What’s recorded:

• Client’s legal name
• Signature image
• Date and time
• IP address (for audit trail)

Status in List Views

In your agreements list, status badges help you quickly scan:

• Draft (gray) – Still working on it
• Pending (yellow) – Waiting on client
• Signed (green) – Good news—signed!
• Cancelled (red/gray) – No longer active

Filter by status:
Click status filters to show only Drafts, Pending, Signed, or Cancelled agreements.

Status and Editing Permissions

Can fully edit:

• Draft – Full editing access

Cannot edit:

• Pending – Must recall to Draft first
• Signed – Legally binding; no edits allowed
• Cancelled – Read-only

Status and Agreement Actions

Available actions depend on status:

Best Practices

✅ Keep agreements in Draft until perfect: Review thoroughly before sending.

✅ Use Finalize and Email: Ensures client receives notification and link.

✅ Communicate when recalling: Let clients know you’re making updates.

✅ Don’t cancel unnecessarily: Cancelled agreements stay in your list. Only cancel if truly done.

✅ Download signed PDFs: Keep local copies of signed agreements for records.

✅ Never edit signed agreements: They’re legal contracts. Changes require client agreement and potentially a new document.

✅ Track Pending agreements: Follow up if clients haven’t signed after several days.

Common Questions

Can I skip Draft and go straight to Pending?
No. Agreements always start as Draft. You must intentionally finalize them.

What if I accidentally finalize an incomplete agreement?
Recall it to Draft, fix the issues, and resend.

How long should agreements stay Pending?
As long as needed. Some clients sign immediately; others take days or weeks. Use reminders to nudge them.

Can clients see Draft agreements?
No. Draft agreements are completely private until you finalize them.

What happens if I delete a Signed agreement?
Deletion is permanent. Be cautious. Download a PDF copy before deleting if you need records.

Can I manually mark an agreement as Signed?
Usually no. Signing must happen through the client signature process for legal validity.

What if a client verbally agrees but doesn’t sign?
Follow up and ask them to sign electronically. Verbal agreements lack the documentation and audit trail.

Do cancelled agreements affect my records?
They remain visible in your list (filter by Cancelled to see them). They don’t affect reporting but provide history.

Related Articles

• Introduction to Agreement Management
• Sending Agreements to Clients via Email
• Managing Agreement Status Transitions
• How Clients Sign Agreements Electronically