Agreement Lifecycle

How an agreement moves through its states from creation to settlement

States

Every Pacta agreement is always in one of six states:

Created → Active → Settled
                ↘ Cancelled
                ↘ Disputed → Dispute Resolved

State	Value	Meaning
Created	0	Agreement exists on-chain. Waiting for deposits.
Active	1	Both parties have deposited. Waiting for conditions to be met.
Settled	2	All conditions met. Funds released to recipients.
Cancelled	3	Agreement was cancelled before settlement.
Disputed	4	A party raised a dispute. Waiting for arbiter to rule.
DisputeResolved	5	Arbiter has ruled. Funds distributed per resolution.

State Transitions

Created → Active

Happens automatically when both parties deposit their funds. The agreement moves to Active the moment the second deposit lands.

Active → Settled

Happens when:

1. All release conditions in the bitmask are satisfied
2. Any address calls settle()

Settlement is permissionless — bots, keepers, or AI agents can trigger it.

Active → Cancelled

• The creator can cancel before party B deposits
• Either party can cancel if only one has deposited
• Both parties can agree to cancel via mutualCancel()
• Anyone can cancel an expired agreement via cancelExpired()

Active → Disputed

Either party can raise a dispute at any time while the agreement is Active. Once raised, only the arbiter can move the agreement forward.

Disputed → Dispute Resolved

The arbiter calls resolveDispute() and specifies who wins. Funds are distributed accordingly.

In Code

import { PactaClient, AgreementState } from "@pacta/sdk"

const pacta   = new PactaClient({ network: "testnet" })
const agreement = await pacta.getAgreement("0xAGREEMENT_ID...")

switch (agreement.state) {
  case AgreementState.Created:
    console.log("Waiting for deposits")
    break
  case AgreementState.Active:
    console.log("Active — checking conditions")
    break
  case AgreementState.Settled:
    console.log("Settled — funds released")
    break
  case AgreementState.Cancelled:
    console.log("Cancelled")
    break
  case AgreementState.Disputed:
    console.log("Disputed — waiting for arbiter")
    break
  case AgreementState.DisputeResolved:
    console.log("Dispute resolved")
    break
}

Checking Deposit and Approval Status

const agreement = await pacta.getAgreement("0xAGREEMENT_ID...")

console.log("Party A deposited:", agreement.aDeposited)
console.log("Party B deposited:", agreement.bDeposited)
console.log("Party A approved:",  agreement.aApproved)
console.log("Party B approved:",  agreement.bApproved)

Claiming Funds After Settlement

Settlement does not automatically send funds to each party’s wallet. Each party must call claimCoin() to pull their allocation. This is by design — it keeps settlement atomic and gas efficient.

await pacta.claimCoin(signer, {
  agreementId: "0xAGREEMENT_ID...",
  coinType:    "0x2::sui::SUI",
})