The Contract Process

If you need University Procurement Services to process a contract or lease, you must allow Procurement 60 days to do so.  Please note that this policy does not apply to real estate contracts or leases.

Supplier contracts often contain terms and conditions that are inconsistent with, or contrary to Rutgers' legal and business terms and conditions. Therefore, additional advisory is required from other Rutgers units who handle:

In these instances, we will negotiate with the supplier to arrive at a contract that is

  • consistent
  • in accordance with Rutgers' terms and conditions
  • protective of Rutgers’ interests

Remember, no supplier can begin work or deliver goods until both Rutgers and the supplier have executed the contract, and until a purchase order is issued. Contracts can only be signed by those authorized on the signatory matrix or University Procurement Services. 


Types of Contracts

There are several types of contracts that require units to enter into an agreement with suppliers.

  • Supplier contract request – a supplier requests the University to sign a separate contract, which is provided with the quote containing the company’s terms and conditions. The request requires review and negotiation by University Procurement Services.
  • Statement of Work (SOW) – a service or good that requires a detailed description of services rendered. You will provide a Statement of Work (SOW) outlining the nature of the purchase; this may also include a quote from the supplier. You will attach the forms to the requisition and a purchase order will be generated upon University Procurement Services' approval.
  • Service Agreement or Master Service Agreement – a contract that may result from an RFP or a supplier request. These contracts are negotiated through University Procurement Services.
    • Service Agreements: a unit-specific purchase of goods or services with a defined Statement of Work (SOW), including a Price Schedule.
    • Master Service Agreement: a University-wide engagement with one supplier.  The University enters into this contract when the unit repetitively purchases goods or services from the same supplier(s).  The agreement may include: 1) a defined Statement of Work (SOW); 2) a Price Schedule (e.g. copiers, office supplies, lab supplies etc.); 3) Terms and Conditions.