Contract Review and Approval Procedure

Related Policy: Arcadia University Contract Review and Approval Policy 
Responsible Office: Office of General Counsel
Initial Date: May 14, 2014
Date of Revision: April 8, 2015

These Procedures are directly related to the Contract Review and Approval Policy (“Policy”) found at See Policy for the definition of any capitalized terms contained in this document.

A. Contract Originators are responsible for obtaining a contract form from the vendor or third party or requesting a contract form from the Office of General Counsel.  The preferred form of contract is the Independent Contractor Agreement.

1. The Contract Originator must then complete the following steps:

  • Step 1: Complete the Contract Routing and Approval Form (CRAF). This form is intended to standardize the routing of all Contracts.
  • Step 2: If this is a contract for monetary consideration, complete the Purchase Requisition Form (PRF).
  • Step 3: Read the entire document to confirm that the Contract is clear and consistent; is complete and accurately reflects the intentions of the parties; is consistent with University mission and is in the best interests of the University; does not include a provision for automatic renewal; and does not contain requirements with which the University cannot comply.
    • Submit Contract together with the CRAF and PRF, electronically, if available, and forward it to the Vice President, department chair, program director or other supervisor for review.
    • If practicable, send the document in an editable format. Microsoft Word documents are highly preferred. Explain to your contact that the agreement will be sent for legal review and that we need an editable version so that we can send redlined edits. The turnaround time for contract review and approval may take three to four weeks, so this time frame should be factored into the process.

B. The Department Chair, Vice President, Program Director or Other Supervisor must then:

  1. Review the Contract, the CRAF and/or the PRF and confer with the Contract Originator about the terms and conditions; and
  2. Once satisfied, sign the CRAF where indicated and deliver it to the Purchasing Department, along with a completed and approved PRF and the proposed Contract.

C. The Purchasing Department must then:

  1. Review the CRAF and the PRF for completeness and accuracy; and
  2. Review the proposed Contract from a general business perspective and add comments, if any, for the Office of General Counsel; and
  3. Submit the CRAF, the PRF, and the proposed Contract to the Office of General Counsel for legal review.

D.  The Office of General Counsel must then:

  1. Log the Contract;
  2. Review the CRAF and proposed Contract;
  3. Negotiate modifications with the vendor or third party, as necessary, or contact the Contract Originator with revisions; and
  4. Once the terms and conditions are approved per its legal and business form, sign the CRAF and deliver the CRAF and proposed Contract to the appropriate authorized signatory as defined in Paragraph III(C) of the Policy.

E:  The Authorized Signatory must then:

  1. Review and sign the CRAF and proposed Contract; and
  2. Return the signed CRAF and signed Contract to the Office of General Counsel.

F:  The Office of General Counsel must then:

  1. For monetary Contracts, return the CRAF and the signed Contract to the Purchasing Department for creation of the Purchase Order (“PO”) and transmission of the Contract and PO to the vendor or third party;
  2. For nonmonetary Contracts, retain a copy and return the CRAF and original Contract to the Contract Originator.  Contract Originator will deliver a copy to the third party and the original to the appropriate office as set forth in Paragraph IIID of the Policy; and
  3. Retain a copy of the signed Contract. 

G:  The Purchasing Department must then:

  1. Create PO; and
  2. Review documents to ensure all reviews, initials and signatures are in order. Match the Contract with the pending open requisition;
  3. Transmit the PO and Contract to the vendor or third party;
  4. Send an electronic copy to the Contract Originator and add the e-documents to Nolij and the Purchasing Department warehouse file directory;
  5. Update the contract tracking log for completion of this Contract review process; and
  6. Pay vendor or third party invoice after confirmation that goods and/or services are satisfactory.