Can H1-B transfer and H-1B extension can take place at the same time?


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I am currently working as a contractor and my H1-B will expire on Oct 1, 2017. My contractor will file for my H1-B extension.(giving me hardtime)
But, if my client takes me as a full-time employee, Will they need to do H1 transfer first and then do H1 extension again before Oct 1?
Can both H1 transfer and extension can be done at the same time?

Also, my client has not given any confirmation and they say that the things to take me as a full-time employee is under process. So I dont want to waste any more time 
and will ask my contractor to file an H1 extension. 

I have below questions:
1. If my current employer(contractor) files for my H1 extension and during that process can my Client (if they are willing to take me full-time) do my H1 transfer and H1 extension 
at the same time?
2. Am I late for my H1 extension. H1 expiring on Oct 1,2017.


I am really stressed about this and I am worried if I am getting too late for H1 extension. Any help would really be appreciated.


Thanks in advance

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