diff --git a/README.md b/README.md
index 197ce7a..c25402b 100644
--- a/README.md
+++ b/README.md
@@ -314,6 +314,8 @@ Spec:
   Pool Name:      zfspv-pool
   Recordsize:     4k
   Volume Type:    DATASET
+Status:
+  State: Ready
 Events:           <none>
 ```
 
@@ -488,7 +490,7 @@ Name:         pvc-e1230d2c-b32a-48f7-8b76-ca335b253dcd
 Namespace:    openebs
 Labels:       kubernetes.io/nodename=zfspv-node1
 Annotations:  <none>
-API Version:  openebs.io/v1alpha1
+API Version:  zfs.openebs.io/v1alpha1
 Kind:         ZFSVolume
 Metadata:
   Creation Timestamp:  2019-11-22T09:49:29Z
@@ -505,6 +507,8 @@ Spec:
   Pool Name:      zfspv-pool
   Snap Name:      pvc-34133838-0d0d-11ea-96e3-42010a800114@snapshot-3cbd5e59-4c6f-4bd6-95ba-7f72c9f12fcd
   Volume Type:    DATASET
+Status:
+  State: Ready
 Events:           <none>
 
 Here you can note that this resource has Snapname field which tells that this volume is created from that snapshot.
diff --git a/changelogs/unreleased/121-pawanpraka1 b/changelogs/unreleased/121-pawanpraka1
new file mode 100644
index 0000000..343a0b1
--- /dev/null
+++ b/changelogs/unreleased/121-pawanpraka1
@@ -0,0 +1 @@
+Fixes an issue where PVC was bound to unusable PV created using incorrect values provided in PVC/Storageclass
diff --git a/deploy/sample/zfspvcr.yaml b/deploy/sample/zfspvcr.yaml
index 85e47f1..8acae36 100644
--- a/deploy/sample/zfspvcr.yaml
+++ b/deploy/sample/zfspvcr.yaml
@@ -1,4 +1,4 @@
-apiVersion: openebs.io/v1alpha1
+apiVersion: zfs.openebs.io/v1alpha1
 kind: ZFSVolume
 metadata:
   name: pvc-34133838-0d0d-11ea-96e3-42010a800114
@@ -16,3 +16,5 @@ spec:
   recordsize: 8k
   thinProvision: "off"
   volumeType: DATASET
+status:
+  state: Ready
diff --git a/deploy/yamls/zfsvolume-crd.yaml b/deploy/yamls/zfsvolume-crd.yaml
index 2f29b19..0822e60 100644
--- a/deploy/yamls/zfsvolume-crd.yaml
+++ b/deploy/yamls/zfsvolume-crd.yaml
@@ -32,6 +32,10 @@ spec:
     description: Size of the volume
     name: Size
     type: string
+  - JSONPath: .status.state
+    description: Status of the volume
+    name: Status
+    type: string
   - JSONPath: .spec.volblocksize
     description: volblocksize of volume
     name: volblocksize
@@ -216,6 +220,18 @@ spec:
           - poolName
           - volumeType
           type: object
+        status:
+          properties:
+            state:
+              description: State specifies the current state of the volume provisioning
+                request. The state "Pending" means that the volume creation request
+                has not processed yet. The state "Ready" means that the volume has
+                been created and it is ready for the use.
+              enum:
+              - Pending
+              - Ready
+              type: string
+          type: object
       required:
       - spec
       type: object
diff --git a/deploy/zfs-operator.yaml b/deploy/zfs-operator.yaml
index b202f3f..a16f531 100644
--- a/deploy/zfs-operator.yaml
+++ b/deploy/zfs-operator.yaml
@@ -53,6 +53,10 @@ spec:
     description: Size of the volume
     name: Size
     type: string
+  - JSONPath: .status.state
+    description: Status of the volume
+    name: Status
+    type: string
   - JSONPath: .spec.volblocksize
     description: volblocksize of volume
     name: volblocksize
@@ -237,6 +241,18 @@ spec:
           - poolName
           - volumeType
           type: object
+        status:
+          properties:
+            state:
+              description: State specifies the current state of the volume provisioning
+                request. The state "Pending" means that the volume creation request
+                has not processed yet. The state "Ready" means that the volume has
+                been created and it is ready for the use.
+              enum:
+              - Pending
+              - Ready
+              type: string
+          type: object
       required:
       - spec
       type: object
diff --git a/docs/import-existing-volume.md b/docs/import-existing-volume.md
index 9210a39..34636e2 100644
--- a/docs/import-existing-volume.md
+++ b/docs/import-existing-volume.md
@@ -151,6 +151,8 @@ spec:
   ownerNodeID: pawan-3 # should be the nodename where ZPOOL is running
   poolName: zfspv-pool # poolname where the volume is present
   volumeType: DATASET # whether it is a DATASET or ZVOL
+Status:
+  State: Ready
 ```
 
 Modify the parameters :-
diff --git a/pkg/apis/openebs.io/zfs/v1alpha1/zfsvolume.go b/pkg/apis/openebs.io/zfs/v1alpha1/zfsvolume.go
index bc9a4e3..80df30d 100644
--- a/pkg/apis/openebs.io/zfs/v1alpha1/zfsvolume.go
+++ b/pkg/apis/openebs.io/zfs/v1alpha1/zfsvolume.go
@@ -30,6 +30,7 @@ import (
 // +kubebuilder:printcolumn:name="ZPool",type=string,JSONPath=`.spec.poolName`,description="ZFS Pool where the volume is created"
 // +kubebuilder:printcolumn:name="Node",type=string,JSONPath=`.spec.ownerNodeID`,description="Node where the volume is created"
 // +kubebuilder:printcolumn:name="Size",type=string,JSONPath=`.spec.capacity`,description="Size of the volume"
+// +kubebuilder:printcolumn:name="Status",type=string,JSONPath=`.status.state`,description="Status of the volume"
 // +kubebuilder:printcolumn:name="volblocksize",type=string,JSONPath=`.spec.volblocksize`,description="volblocksize of volume"
 // +kubebuilder:printcolumn:name="recordsize",type=string,JSONPath=`.spec.recordsize`,description="recordsize of created zfs dataset"
 // +kubebuilder:printcolumn:name="Filesystem",type=string,JSONPath=`.spec.fsType`,description="filesystem created on the volume"
@@ -39,7 +40,8 @@ type ZFSVolume struct {
 	metav1.TypeMeta   `json:",inline"`
 	metav1.ObjectMeta `json:"metadata,omitempty"`
 
-	Spec VolumeInfo `json:"spec"`
+	Spec   VolumeInfo `json:"spec"`
+	Status VolStatus  `json:"status,omitempty"`
 }
 
 // MountInfo contains the volume related info
@@ -198,3 +200,12 @@ type VolumeInfo struct {
 	// Default Value: ext4.
 	FsType string `json:"fsType,omitempty"`
 }
+
+type VolStatus struct {
+	// State specifies the current state of the volume provisioning request.
+	// The state "Pending" means that the volume creation request has not
+	// processed yet. The state "Ready" means that the volume has been created
+	// and it is ready for the use.
+	// +kubebuilder:validation:Enum=Pending;Ready
+	State string `json:"state,omitempty"`
+}
diff --git a/pkg/apis/openebs.io/zfs/v1alpha1/zz_generated.deepcopy.go b/pkg/apis/openebs.io/zfs/v1alpha1/zz_generated.deepcopy.go
index 6f591a4..afc768c 100644
--- a/pkg/apis/openebs.io/zfs/v1alpha1/zz_generated.deepcopy.go
+++ b/pkg/apis/openebs.io/zfs/v1alpha1/zz_generated.deepcopy.go
@@ -66,6 +66,22 @@ func (in *SnapStatus) DeepCopy() *SnapStatus {
 	return out
 }
 
+// DeepCopyInto is an autogenerated deepcopy function, copying the receiver, writing into out. in must be non-nil.
+func (in *VolStatus) DeepCopyInto(out *VolStatus) {
+	*out = *in
+	return
+}
+
+// DeepCopy is an autogenerated deepcopy function, copying the receiver, creating a new VolStatus.
+func (in *VolStatus) DeepCopy() *VolStatus {
+	if in == nil {
+		return nil
+	}
+	out := new(VolStatus)
+	in.DeepCopyInto(out)
+	return out
+}
+
 // DeepCopyInto is an autogenerated deepcopy function, copying the receiver, writing into out. in must be non-nil.
 func (in *VolumeInfo) DeepCopyInto(out *VolumeInfo) {
 	*out = *in
@@ -149,6 +165,7 @@ func (in *ZFSVolume) DeepCopyInto(out *ZFSVolume) {
 	out.TypeMeta = in.TypeMeta
 	in.ObjectMeta.DeepCopyInto(&out.ObjectMeta)
 	out.Spec = in.Spec
+	out.Status = in.Status
 	return
 }
 
diff --git a/pkg/builder/volbuilder/build.go b/pkg/builder/volbuilder/build.go
index a25945f..7f10d64 100644
--- a/pkg/builder/volbuilder/build.go
+++ b/pkg/builder/volbuilder/build.go
@@ -160,6 +160,12 @@ func (b *Builder) WithVolumeType(vtype string) *Builder {
 	return b
 }
 
+// WithVolumeStatus sets ZFSVolume status
+func (b *Builder) WithVolumeStatus(status string) *Builder {
+	b.volume.Object.Status.State = status
+	return b
+}
+
 // WithFsType sets filesystem for the ZFSVolume
 func (b *Builder) WithFsType(fstype string) *Builder {
 	b.volume.Object.Spec.FsType = fstype
diff --git a/pkg/driver/controller.go b/pkg/driver/controller.go
index db0f222..fda1be3 100644
--- a/pkg/driver/controller.go
+++ b/pkg/driver/controller.go
@@ -110,6 +110,7 @@ func CreateZFSVolume(req *csi.CreateVolumeRequest) (string, error) {
 		WithThinProv(tp).
 		WithOwnerNode(selected).
 		WithVolumeType(vtype).
+		WithVolumeStatus(zfs.ZFSStatusPending).
 		WithFsType(fstype).
 		WithCompression(compression).Build()
 
@@ -161,7 +162,9 @@ func CreateZFSClone(req *csi.CreateVolumeRequest, snapshot string) (string, erro
 	selected := snap.Spec.OwnerNodeID
 
 	volObj, err := volbuilder.NewBuilder().
-		WithName(volName).Build()
+		WithName(volName).
+		WithVolumeStatus(zfs.ZFSStatusPending).
+		Build()
 
 	volObj.Spec = snap.Spec
 	volObj.Spec.SnapName = snapshot
@@ -187,12 +190,22 @@ func (cs *controller) CreateVolume(
 	volName := req.GetName()
 	pool := req.GetParameters()["poolname"]
 	size := req.GetCapacityRange().RequiredBytes
+	contentSource := req.GetVolumeContentSource()
 
 	if err = cs.validateVolumeCreateReq(req); err != nil {
 		return nil, err
 	}
 
-	contentSource := req.GetVolumeContentSource()
+	selected, state, err := zfs.GetZFSVolumeState(req.Name)
+
+	if err == nil {
+		// ZFSVolume CR has been created, check if it is in Ready state
+		if state == zfs.ZFSStatusReady {
+			goto CreateVolumeResponse
+		}
+		return nil, status.Errorf(codes.Internal, "volume %s creation is Pending", volName)
+	}
+
 	if contentSource != nil && contentSource.GetSnapshot() != nil {
 		snapshotID := contentSource.GetSnapshot().GetSnapshotId()
 
@@ -205,6 +218,18 @@ func (cs *controller) CreateVolume(
 		return nil, status.Error(codes.Internal, err.Error())
 	}
 
+	_, state, err = zfs.GetZFSVolumeState(req.Name)
+
+	if err != nil {
+		return nil, status.Errorf(codes.Internal, "createvolume: failed to fetch the volume %v", err.Error())
+	}
+
+	if state == zfs.ZFSStatusPending {
+		return nil, status.Errorf(codes.Internal, "volume %s is being created", volName)
+	}
+
+CreateVolumeResponse:
+
 	sendEventOrIgnore(volName, strconv.FormatInt(int64(size), 10), "zfs-localpv", analytics.VolumeProvision)
 
 	topology := map[string]string{zfs.ZFSTopologyKey: selected}
diff --git a/pkg/generated/clientset/internalclientset/typed/zfs/v1alpha1/fake/fake_zfsvolume.go b/pkg/generated/clientset/internalclientset/typed/zfs/v1alpha1/fake/fake_zfsvolume.go
index b74a0a1..f509989 100644
--- a/pkg/generated/clientset/internalclientset/typed/zfs/v1alpha1/fake/fake_zfsvolume.go
+++ b/pkg/generated/clientset/internalclientset/typed/zfs/v1alpha1/fake/fake_zfsvolume.go
@@ -100,6 +100,18 @@ func (c *FakeZFSVolumes) Update(zFSVolume *v1alpha1.ZFSVolume) (result *v1alpha1
 	return obj.(*v1alpha1.ZFSVolume), err
 }
 
+// UpdateStatus was generated because the type contains a Status member.
+// Add a +genclient:noStatus comment above the type to avoid generating UpdateStatus().
+func (c *FakeZFSVolumes) UpdateStatus(zFSVolume *v1alpha1.ZFSVolume) (*v1alpha1.ZFSVolume, error) {
+	obj, err := c.Fake.
+		Invokes(testing.NewUpdateSubresourceAction(zfsvolumesResource, "status", c.ns, zFSVolume), &v1alpha1.ZFSVolume{})
+
+	if obj == nil {
+		return nil, err
+	}
+	return obj.(*v1alpha1.ZFSVolume), err
+}
+
 // Delete takes name of the zFSVolume and deletes it. Returns an error if one occurs.
 func (c *FakeZFSVolumes) Delete(name string, options *v1.DeleteOptions) error {
 	_, err := c.Fake.
diff --git a/pkg/generated/clientset/internalclientset/typed/zfs/v1alpha1/zfsvolume.go b/pkg/generated/clientset/internalclientset/typed/zfs/v1alpha1/zfsvolume.go
index b2b377f..d11e1ac 100644
--- a/pkg/generated/clientset/internalclientset/typed/zfs/v1alpha1/zfsvolume.go
+++ b/pkg/generated/clientset/internalclientset/typed/zfs/v1alpha1/zfsvolume.go
@@ -39,6 +39,7 @@ type ZFSVolumesGetter interface {
 type ZFSVolumeInterface interface {
 	Create(*v1alpha1.ZFSVolume) (*v1alpha1.ZFSVolume, error)
 	Update(*v1alpha1.ZFSVolume) (*v1alpha1.ZFSVolume, error)
+	UpdateStatus(*v1alpha1.ZFSVolume) (*v1alpha1.ZFSVolume, error)
 	Delete(name string, options *v1.DeleteOptions) error
 	DeleteCollection(options *v1.DeleteOptions, listOptions v1.ListOptions) error
 	Get(name string, options v1.GetOptions) (*v1alpha1.ZFSVolume, error)
@@ -132,6 +133,22 @@ func (c *zFSVolumes) Update(zFSVolume *v1alpha1.ZFSVolume) (result *v1alpha1.ZFS
 	return
 }
 
+// UpdateStatus was generated because the type contains a Status member.
+// Add a +genclient:noStatus comment above the type to avoid generating UpdateStatus().
+
+func (c *zFSVolumes) UpdateStatus(zFSVolume *v1alpha1.ZFSVolume) (result *v1alpha1.ZFSVolume, err error) {
+	result = &v1alpha1.ZFSVolume{}
+	err = c.client.Put().
+		Namespace(c.ns).
+		Resource("zfsvolumes").
+		Name(zFSVolume.Name).
+		SubResource("status").
+		Body(zFSVolume).
+		Do().
+		Into(result)
+	return
+}
+
 // Delete takes name of the zFSVolume and deletes it. Returns an error if one occurs.
 func (c *zFSVolumes) Delete(name string, options *v1.DeleteOptions) error {
 	return c.client.Delete().
diff --git a/pkg/zfs/volume.go b/pkg/zfs/volume.go
index d7ca48f..c637a48 100644
--- a/pkg/zfs/volume.go
+++ b/pkg/zfs/volume.go
@@ -157,6 +157,21 @@ func GetZFSVolume(volumeID string) (*apis.ZFSVolume, error) {
 	return vol, err
 }
 
+// GetZFSVolumeState returns ZFSVolume OwnerNode and State for
+// the given volume. CreateVolume request may call it again and
+// again until volume is "Ready".
+func GetZFSVolumeState(volID string) (string, string, error) {
+	getOptions := metav1.GetOptions{}
+	vol, err := volbuilder.NewKubeclient().
+		WithNamespace(OpenEBSNamespace).Get(volID, getOptions)
+
+	if err != nil {
+		return "", "", err
+	}
+
+	return vol.Spec.OwnerNodeID, vol.Status.State, nil
+}
+
 // UpdateZvolInfo updates ZFSVolume CR with node id and finalizer
 func UpdateZvolInfo(vol *apis.ZFSVolume) error {
 	finalizers := []string{ZFSFinalizer}
@@ -168,6 +183,7 @@ func UpdateZvolInfo(vol *apis.ZFSVolume) error {
 
 	newVol, err := volbuilder.BuildFrom(vol).
 		WithFinalizer(finalizers).
+		WithVolumeStatus(ZFSStatusReady).
 		WithLabels(labels).Build()
 
 	if err != nil {