This paper will address the issue of reference trajectory modification in the presence of actuator saturation constraints. A stable adaptive trajectory modification scheme is proposed that ensures the stability of the closed loop system under actuator constraints. Also, the specific issues of the effects of actuator constraints on controller performance and stability is studied in detail. In particular, the performance of the control law is evaluated by considering the spacecraft rendezvous problem with realistic actuator constraints. The essential ideas and results from computer simulations are presented to illustrate the algorithm developed in paper.