Conceptually, the lifecycle can be split into the three stages of contract drafting, formation, and execution. Given the contract template model, the drafter role constructs an instance of the template. In this phase the contractual roles, abstract business interactions and contractual situations are specified. Furthermore, if the drafter acts as a regulator, rules and constraints can be added which should be adhered to during the contract execution phase. The template typically has a number of free variables that are agreed upon in the next phase.
Participants assume contract roles and negotiate the details of their responsibilities.
The relationships between contract parties are created and are captured in the contract statements using the policy expressions that imply obligations and rights of parties. Contract execution phase Actual delivery of contract consideration happens. Typically this phase constitutes service or goods delivery, invoicing, bill calculation, presentment and payment. The interactions between the parties may be monitored for their conformance to the terms of the contract. 3 Scope of the proposed work Standardization effort is required to enable enterprises to interact with each other and electronic marketplaces.