Contracts Urbana

Forms | FAQs | Glossary | Who To Ask

Common Problems

1. Does the contract involve a sponsored project or activity?

• If the contract is with a governmental agency and has reporting requirements, check with the Office of Sponsored Programs and Research Administration (OSPRA) to see if they should review it. 
  • Contracts from International Programs and Studies typically also go to OSPRA for review and signature.
  • Contracts for Police Training Institute, Continuing Ed, Fire Training Institute, and Institute of Aviation from the State of Illinois, or funded in whole or in part by the federal government should be processed by OSPRA in order to be administered by Grants and Contracts, Post-Award. 

2. Does the contract say it is between “The Board of Trustees of the University of Illinois” and the other party or “The Board of Trustees of the University of Illinois on behalf of its College of…” and the other party?

• Contracts must have The Board of Trustees as the contracting agent.  This language can be inserted into a third party contract, if necessary, or you can ask your vendor or client to make the change.

3. Is there a Contract Approval/Routing Form (CARF)? 

• The CARF is available online under Forms in the OBFS home page.
  • Please note that there are different CARF’s for each campus.  Make sure that you use the Urbana-Champaign CARF.
  • At a minimum, faculty/staff and department head approvals (signatures) are required.
  • Additional signatures may be required, dependent on the amount of the contract.  For more information on using the CARF, see the Contract Review Process page.

4. Is the contract for $25,000 or more (payable or receivable)?

• If so, you must obtain the Dean or Director-level approval, as indicated by that individual’s signature on the Contract Approval/Routing Form (CARF).

5. Is the contract for $50,000 or more (payable or receivable)?

• If so, you must obtain Vice Chancellor or Chancellor-level approval, as indicated by that individual’s signature on the Contract Approval/Routing Form (CARF).

6. Is the contract for an expenditure of $250,000 or more?

• If so, it must have the signature of Chief Legal Officer (in University Counsel) and Chief Executive Officer (University President). 

7. Has University Legal Counsel seen the document?  Or, is it an approved template that does not need their review?

• If it is not an approved template, or it is a template that has had changes made to it, the contract must be routed to University Counsel for review and approval.  For more information about routing, see the Contract Types and Contract Review Process pages.

8. Is this a Memorandum of Understanding (MOU) or Memorandum of Agreement (MOA)?

• If so, in addition to Legal Counsel’s approval, the Chancellor’s Office must also sign the Contract Approval/Routing Form (CARF), indicating their approval of the agreement.

9. Is the scope of work clearly defined?  Is the project reasonable in terms of work and reporting expectations?

• These questions should be answered at the department and/or college level before you proceed with processing a contract.

10. What is the length/term of the contract?

• Certain types of contracts are limited in term by University policy (examples include leases, revenue generating agreements, and others.)  See Policy Section 2.3 Contracts and Leases or Section 5.12 Revenue Generating Activities for more information.

11. Are there insurance requirements?

• Contact the Office of Risk Management for assistance in issuing certificates of insurance and/or confirming coverage limits.

12. Is “governing law” addressed in the contract?

• If so, it should always be the State of Illinois.

13. Is there a clause addressing “indemnification” or “liability”?

• As a government entity, we are extremely limited in what we can accept in regards to terms assigning indemnification and liability.
• Contact University Counsel or the Office of the Assistant Vice President for Business and Finance for assistance in interpreting these clauses.

Last Updated: July 8, 2011