diff --git a/ethchain/state_manager.go b/ethchain/state_manager.go
index 3b67381ea7..4f009b6d34 100644
--- a/ethchain/state_manager.go
+++ b/ethchain/state_manager.go
@@ -84,7 +84,7 @@ func (sm *StateManager) BlockChain() *BlockChain {
 	return sm.bc
 }
 
-func (sm *StateManager) MakeContract(state *State, tx *Transaction) *StateObject {
+func (sm *StateManager) MakeStateObject(state *State, tx *Transaction) *StateObject {
 	contract := MakeContract(tx, state)
 	if contract != nil {
 		state.states[string(tx.CreationAddress())] = contract.state
@@ -123,18 +123,24 @@ func (sm *StateManager) ApplyTransaction(state *State, block *Block, tx *Transac
 	// If there's no recipient, it's a contract
 	// Check if this is a contract creation traction and if so
 	// create a contract of this tx.
+	// TODO COMMENT THIS SECTION
 	totalGasUsed := big.NewInt(0)
 	if tx.IsContract() {
 		err := sm.Ethereum.TxPool().ProcessTransaction(tx, state, false)
 		if err == nil {
-			contract := sm.MakeContract(state, tx)
+			contract := sm.MakeStateObject(state, tx)
 			if contract != nil {
-				sm.EvalScript(state, contract.Init(), contract, tx, block)
+				script, err := sm.EvalScript(state, contract.Init(), contract, tx, block)
+				if err != nil {
+					return nil, fmt.Errorf("[STATE] Error during init script run %v", err)
+				}
+				contract.script = script
+				state.UpdateStateObject(contract)
 			} else {
 				return nil, fmt.Errorf("[STATE] Unable to create contract")
 			}
 		} else {
-			return nil, fmt.Errorf("[STATE] contract create:", err)
+			return nil, fmt.Errorf("[STATE] contract creation tx:", err)
 		}
 	} else {
 		err := sm.Ethereum.TxPool().ProcessTransaction(tx, state, false)
@@ -331,10 +337,10 @@ func (sm *StateManager) Stop() {
 	sm.bc.Stop()
 }
 
-func (sm *StateManager) EvalScript(state *State, script []byte, object *StateObject, tx *Transaction, block *Block) {
+func (sm *StateManager) EvalScript(state *State, script []byte, object *StateObject, tx *Transaction, block *Block) (ret []byte, err error) {
 	account := state.GetAccount(tx.Sender())
 
-	err := account.ConvertGas(tx.Gas, tx.GasPrice)
+	err = account.ConvertGas(tx.Gas, tx.GasPrice)
 	if err != nil {
 		ethutil.Config.Log.Debugln(err)
 		return
@@ -351,11 +357,13 @@ func (sm *StateManager) EvalScript(state *State, script []byte, object *StateObj
 		Value:       tx.Value,
 		//Price:       tx.GasPrice,
 	})
-	closure.Call(vm, tx.Data, nil)
+	ret, err = closure.Call(vm, tx.Data, nil)
 
 	// Update the account (refunds)
 	state.UpdateStateObject(account)
 	state.UpdateStateObject(object)
+
+	return
 }
 
 func (sm *StateManager) notifyChanges(state *State) {
diff --git a/ethchain/state_object.go b/ethchain/state_object.go
index 4046054db3..4d615e2fef 100644
--- a/ethchain/state_object.go
+++ b/ethchain/state_object.go
@@ -28,8 +28,7 @@ func MakeContract(tx *Transaction, state *State) *StateObject {
 		value := tx.Value
 		contract := NewContract(addr, value, ZeroHash256)
 
-		contract.script = tx.Data
-		contract.initScript = tx.Init
+		contract.initScript = tx.Data
 
 		state.UpdateStateObject(contract)
 
diff --git a/ethchain/transaction.go b/ethchain/transaction.go
index 6ae7e77e1c..25d63879bd 100644
--- a/ethchain/transaction.go
+++ b/ethchain/transaction.go
@@ -16,7 +16,6 @@ type Transaction struct {
 	Gas       *big.Int
 	GasPrice  *big.Int
 	Data      []byte
-	Init      []byte
 	v         byte
 	r, s      []byte
 
@@ -24,8 +23,8 @@ type Transaction struct {
 	contractCreation bool
 }
 
-func NewContractCreationTx(value, gas, gasPrice *big.Int, script []byte, init []byte) *Transaction {
-	return &Transaction{Value: value, Gas: gas, GasPrice: gasPrice, Data: script, Init: init, contractCreation: true}
+func NewContractCreationTx(value, gas, gasPrice *big.Int, script []byte) *Transaction {
+	return &Transaction{Value: value, Gas: gas, GasPrice: gasPrice, Data: script, contractCreation: true}
 }
 
 func NewTransactionMessage(to []byte, value, gas, gasPrice *big.Int, data []byte) *Transaction {
@@ -115,10 +114,6 @@ func (tx *Transaction) Sign(privk []byte) error {
 func (tx *Transaction) RlpData() interface{} {
 	data := []interface{}{tx.Nonce, tx.GasPrice, tx.Gas, tx.Recipient, tx.Value, tx.Data}
 
-	if tx.contractCreation {
-		data = append(data, tx.Init)
-	}
-
 	return append(data, tx.v, tx.r, tx.s)
 }
 
diff --git a/ethchain/types.go b/ethchain/types.go
index 9964bbe3bf..e0fdd5191c 100644
--- a/ethchain/types.go
+++ b/ethchain/types.go
@@ -322,3 +322,10 @@ func IsOpCode(s string) bool {
 	}
 	return false
 }
+
+func AppendScript(init, script []byte) []byte {
+	s := append(init, byte(oRETURN))
+	s = append(s, script...)
+
+	return s
+}
diff --git a/ethpub/pub.go b/ethpub/pub.go
index cd002b5004..e726c66f36 100644
--- a/ethpub/pub.go
+++ b/ethpub/pub.go
@@ -141,7 +141,9 @@ func (lib *PEthereum) createTx(key, recipient, valueStr, gasStr, gasPriceStr, in
 			}
 		}
 
-		tx = ethchain.NewContractCreationTx(value, gas, gasPrice, mainScript, initScript)
+		script := ethchain.AppendScript(initScript, mainScript)
+
+		tx = ethchain.NewContractCreationTx(value, gas, gasPrice, script)
 	} else {
 		// Just in case it was submitted as a 0x prefixed string
 		if len(initStr) > 0 && initStr[0:2] == "0x" {