Use of expired contracts

[vidhya_m]

Hello Experts,

I have a query regarding the usage of purchase contracts.

As a company, if I sign a contract with my vendor for a year, my contract will expire after that.

Should I be able to use this expired contract till I renew it?

I understand it is illegal to use an expired contract even for one day after the actual validity period. Is this opinion correct?

And is it the same for any industry irrespective of the size or the vertical it belongs to?

Kindly let me know how this is supposed to be.

Best Regards,

Vidhya

[Former Member · Accepted solution]

Hello Vidhya,

Your query looks more towards business angle.

Yes.It is illegal to use the expired contract or after validity.

If we talk about SRM

you can change the validity.

Or you can create new contract wrt old contract

or you have option to create a Bid Invitation for expired contract to finalise the new contract

BR

Dinesh

[former_member183819]

Hi

Did you look in to this wf and report

Contracts running out of target value, target quantity, or time, can be signaled with the Contract Alert Workflow WS1040022. This workflow will trigger an alert via SAP

BW or the report BBP_CONTRACT_CHECK.

it might be useful for you.

regards

Muthu

[vidhya_m]

Thanks a lot!!

But my question is more towards the business process itself. I want to know if i should be able to use an expired contract. Is it the correct practise?

Best Regards,

Vidhya