One of the fields you can use to classify your database contacts is Contact Status. If you would like to designate a Contact Status not already available in your database, you have the ability to add new Contact Statuses.
To do so, under your Manage Your Account menu, select Manage Database Lists:
The body of the Manage Database Lists page contains all of the lists that you can edit in expanded form. You can work with individual database lists by clicking their name in the Lists box to the right:
After you've clicked Contact Status List, your page will refresh displaying only this list:
Note that beneath some of the Contact Statuses displayed here, e.g. Not Specified, that these are system Contact Statuses and cannot be edited or removed. You can, however, add new Contact Statuses by clicking the Add button in the top right corner. You'll then see the below dialog:
Just type in the name for your new Contact Status and click Save Contact Status. If you had added a new Status named "Terminated Client", you would then see it in your list of Contact Statuses, as below:
As you can see, those Contact Statuses that have been manually added to your database have both Edit and Delete options beneath them, meaning you can edit their name or delete them entirely.
After adding your Contact Status, it will then be available in the menu when editing a contact's Status.