diff --git a/Components/admin/Csr/Modals/NewBookings.tsx b/Components/admin/Csr/Modals/NewBookings.tsx
index 55bcabe..048af26 100644
--- a/Components/admin/Csr/Modals/NewBookings.tsx
+++ b/Components/admin/Csr/Modals/NewBookings.tsx
@@ -128,7 +128,7 @@ const ADD_ON_PRICES = {
   extraSlippers: 30,
 };
 
-const statusOptions = ["pending", "approved", "declined", "checked-in", "checked-out", "cancelled", "completed"];
+const statusOptions = ["pending", "approved", "declined", "checked-in", "checked-out", "cancelled", "completed", "failed"];
 const paymentMethods = ["cash", "gcash", "bank-transfer", "credit-card"];
 
 export default function NewBookingModal({ onClose, initialBooking, onSuccess }: NewBookingModalProps) {
diff --git a/backend/controller/bookingController.ts b/backend/controller/bookingController.ts
index 25bddf8..12efdb3 100644
--- a/backend/controller/bookingController.ts
+++ b/backend/controller/bookingController.ts
@@ -64,6 +64,7 @@ export const updateBookingDetails = async (
       "checked-in",
       "completed",
       "cancelled",
+      "failed",
     ];
     if (typeof status !== "undefined" && status !== null) {
       if (typeof status !== "string" || !validStatuses.includes(status)) {
@@ -345,7 +346,8 @@ export interface Booking {
     | "confirmed"
     | "checked-in"
     | "completed"
-    | "cancelled";
+    | "cancelled"
+    | "failed";
   add_ons?: AddOnItem[];
   created_at?: string;
   updated_at?: string;
@@ -995,7 +997,7 @@ export const updateBookingStatus = async (
     // If status is provided, validate it
     const validStatuses = [
       "pending", "approved", "rejected", "confirmed",
-      "checked-in", "completed", "cancelled",
+      "checked-in", "completed", "cancelled", "failed",
     ];
     if (typeof status !== "undefined" && status !== null) {
       if (typeof status !== "string" || !validStatuses.includes(status)) {
@@ -1419,4 +1421,4 @@ export const getRoomBookings = async (
       { status: 500 },
     );
   }
-};
\ No newline at end of file
+};
diff --git a/backend/migrations/2026-03-02-add-failed-booking-status.sql b/backend/migrations/2026-03-02-add-failed-booking-status.sql
new file mode 100644
index 0000000..24726df
--- /dev/null
+++ b/backend/migrations/2026-03-02-add-failed-booking-status.sql
@@ -0,0 +1,52 @@
+-- Staycation/backend/migrations/2026-03-02-add-failed-booking-status.sql
+-- Migration: allow booking.status = 'failed' for edit/update flows.
+--
+-- IMPORTANT:
+--  - BACKUP your database before running this migration.
+--  - Run in staging first.
+--  - This script is idempotent for environments with varying constraint names.
+
+BEGIN;
+
+-- Drop existing booking status check constraint(s) regardless of generated name.
+DO $$
+DECLARE
+  c RECORD;
+BEGIN
+  FOR c IN
+    SELECT conname
+    FROM pg_constraint
+    WHERE conrelid = 'booking'::regclass
+      AND contype = 'c'
+      AND pg_get_constraintdef(oid) ILIKE '%status%'
+      AND pg_get_constraintdef(oid) ILIKE '%pending%'
+      AND pg_get_constraintdef(oid) ILIKE '%approved%'
+  LOOP
+    EXECUTE format('ALTER TABLE booking DROP CONSTRAINT IF EXISTS %I', c.conname);
+  END LOOP;
+END
+$$;
+
+ALTER TABLE booking
+  ADD CONSTRAINT booking_status_check
+  CHECK (
+    status IN (
+      'pending',
+      'approved',
+      'rejected',
+      'confirmed',
+      'checked-in',
+      'completed',
+      'cancelled',
+      'failed'
+    )
+  );
+
+COMMIT;
+
+-- Verify constraint now allows failed.
+SELECT conname, pg_get_constraintdef(oid)
+FROM pg_constraint
+WHERE conrelid = 'booking'::regclass
+  AND contype = 'c'
+  AND pg_get_constraintdef(oid) ILIKE '%status%';
diff --git a/backend/models/bookings.sql b/backend/models/bookings.sql
index 494cd91..9bf68d8 100644
--- a/backend/models/bookings.sql
+++ b/backend/models/bookings.sql
@@ -22,7 +22,8 @@ CREATE TABLE booking (
       'confirmed',
       'checked-in',
       'completed',
-      'cancelled'
+      'cancelled',
+      'failed'
     )),
 
   rejection_reason TEXT,