PLM Batch Termination/Reverse Termination

Lease Charges

To terminate or reverse terminate a single lease charge, access actions from the PLM Lease Charges page.

Terminate a Lease Charge

When terminating a lease charge, the invoice is automatically created based on the Invoice Remaining option. Terminations that are processed with this option turned on cannot be reversed.

Charges that use lease component accounts cannot be terminated.

Terminate Charge with Invoice Automatically Created

To terminate a single lease charge with the invoice automatically created, follow these steps:

1. From the All Leases View list, select a lease to view it on the PLM Lease.
2. Select a lowest level for the lease, and select Charges > Lease Charges.
3. On the PLM Lease Charges page, select a charge and select Charge Details > Termination.
4. On the PLM Batch Termination/Reverse Termination page, select the Termination Date and Reason Code.
5. Turn on Invoice Remaining to automatically create the invoices for the remaining amounts for the terminated leases. After turning on this option, ensure to specify the various Invoice Options.
6. If needed, turn on Apply Termination Charge to apply a charge. After turning on this option, specify the Apply Termination Options.

When Invoice Remaining or Apply Termination Charge is turned on, the reverse termination action is not available for the terminated charge. Also, the description in the termination history shows that reverse termination is not allowed.

7. Select other options as needed.
8. Select Terminate.
9. The PLM Batch Termination Log opens. Select Preview and Close.

In the termination log, you can see the lease charge or charges listed. If there is an error in the termination process, you can see the reason for it in the PLM Batch Termination Log.

The invoice is automatically created and can be manually posted at a later time. Also, the status of the lease charge is updated to Terminated.

Terminate Charge and Manually Create Invoice

To terminate a single lease charge and then manually create the invoice, follow these steps: 

1. From the All Leases View list, select a lease to view it on the PLM Lease.
2. Select a lowest level for the lease, and select Charges > Lease Charges.
3. On the PLM Lease Charges page, select a charge and select Charge Details > Termination.
4. On the PLM Batch Termination/Reverse Termination page, select the Termination Date and Reason Code.
5. Turn off Invoice Remaining.
6. If needed, turn on Apply Termination Charge to apply a charge. After turning on this option, specify the Apply Termination Options.

When Apply Termination Charge is turned on, the reverse termination action is not available for the terminated charge. Also, the description in the termination history shows that reverse termination is not allowed.

7. Select other options as needed.
8. Select Terminate.
9. The PLM Batch Termination Log opens. Select Preview and Close.

In the termination log, you can see the lease charge or charges listed. If there is an error in the termination process, you can see the reason for it in the PLM Batch Termination Log.

10. The last invoice must be manually created based on the following: 
    • If all billing lines for the lease charge are fully processed with no outstanding amounts, the status of the lease charge is updated to Terminated.
    • If the billing lines have outstanding amounts and need to be processed, the status of the lease charge is updated to Last Billing.
11. Use the PLM Invoice Creator to create the invoices for the remaining billing lines. After the invoices are created, the status for the lease charge is updated to Terminated.

After the lease charge is terminated, no edits or additions can be made to it. Also, any meters there were attached to consumption charges become available and can be used for different leases.

Reverse Terminate a Lease Charge

A terminated lease charge cannot be reversed if any of the following is true: 

• Invoice Remaining or Apply Termination Charge was turned on when the termination was processed.
• The meter that was associated with the consumption charge is being used by a different lease.

To reverse the termination of a lease charge, follow these steps: 

1. From the All Leases View list, select a lease to view it on the PLM Lease.
2. Select a lowest level for the lease, and select Charges > Lease Charges.
3. On the PLM Lease Charges page, select a charge that has been terminated and select Charge Details > Reverse Termination.
4. The PLM Batch Termination Log opens. Select Preview and Close.

In the termination log, you can see the lease charge or charges listed. If there is an error in the termination process, you can see the reason for it in the PLM Batch Termination Log.

After the reversal is processed, the status of the lease charge changes to Active and all billing details for the lease charge are as they were previous to the termination. For a consumption charge, the meter is reattached to the charge.

Terminate Leases

Leases that have a lease-component charge can be terminated only after the initial journal entry has been created. When whole leases are terminated, the following occurs: 

• The end dates for all active charges for the lowest levels are updated with the termination date. Any previously terminated charge remains unaffected.
• The end dates for lowest levels that have an end date that has not passed are updated with the termination date. Any lowest level that has an end date that is earlier than the termination date are not affected.
• If all charges for the leases have been fully processed (e.g., billed), the statues of all lines for the leases and all leases are updated to Terminated.
  If charges for the leases still need to be processed, the statuses for those charges is updated to last billing, and the lease statuses remain active until the last charges are fully processed.
• The statuses for all billing periods that occur after the termination date and for which no invoices have been created are updated to Terminated.
• Invoices for the final periods up to and including the termination date are created.
  • When the termination date is the end of the month, the full amount for the period is on the invoices.
  • When the termination date is the first of the month, the invoices are prorated to a 1-day period.
• When proration is used, all price adjustment and abatement lines use the same proration fraction amount.
• Any units or meters that were attached to a lease become available for use with a different lease.
• For expense leases that use the lease accounting standard (e.g., ASC 842/IFRS 16), the amortization schedule is updated with the termination.
  • The amortization schedule amounts are prorated based on the termination date.
    Tip: To avoid prorating the last period, terminate the lease using the end date of a billing period.
  • All periods lines after the termination date are set to zero.
  • A line is added to the audit list for the termination.

Terminate a Single Lease

When terminating a lease, invoices are automatically created based on the Invoice Remaining option. Terminations that are processed with this option turned on cannot be reversed.

Terminate Lease with Invoices are Automatically Created

To terminate a single lease with the invoices automatically created, follow these steps: 

1. From the Lease List, select a lease to view on the PLM Lease.
2. Select Termination.
3. On the PLM Batch Termination page, select the Termination Date and Reason Code.
4. Turn on Invoice Remaining to create the invoices for the remaining amounts for the terminated leases. After turning on this option, ensure to specify the various Invoice Options.
5. If needed, turn on Apply Termination Charge to apply a charge. After turning on this option, specify the Apply Termination Options.

When Invoice Remaining or Apply Termination Charge is turned on, the reverse termination action is not available for the terminated lease. Also, the description in the termination history shows that reverse termination is not allowed.

6. Select Terminate.
7. The PLM Batch Termination Log opens. Select Preview and Close.

In the termination log, you can see the lease listed. If there is an error in the termination process, you can see the reason for it in the PLM Batch Termination Log.

The invoices area automatically created and can be manually posted at a later time. Also, the status of the lease is updated to Terminated.

Terminate Lease and Manually Create Invoices

To terminate a single lease and manually create the invoices, follow these steps: 

1. From the Lease List, select a lease to view on the PLM Lease.
2. Select Termination.
3. On the PLM Batch Termination page, select the Termination Date and Reason Code.
4. Turn off Invoice Remaining.
5. If needed, turn on Apply Termination Charge to apply a charge. After turning on this option, specify the Apply Termination Options.

When Apply Termination Charge is turned on, the reverse termination action is not available for the terminated lease. Also, the description in the termination history shows that reverse termination is not allowed.

6. Select Terminate.
7. The PLM Batch Termination Log opens. Select Preview and Close.

In the termination log, you can see the lease listed. If there is an error in the termination process, you can see the reason for it in the PLM Batch Termination Log.

8. The last invoices are created based on the following: 
   • If all billing detail lines for a lease charge are fully processed with no outstanding amounts, the status for those lease charges are updated to Terminated. If all the lease charges for the lease are terminated, the status of the lease is also updated to Terminated.
   • If any of the billing detail lines for any of the lease charges have outstanding amounts and need to be processed, the lease status remains active, while the those lease charges have an updated status of Last Billing. Only the statuses for lease charges that are fully processed are updated to Terminated.
9. Use the PLM Invoice Creator to create the invoices for the remaining billing detail lines for the outstanding lease charges. After the invoices are created, the statuses for those lease charges and the lease itself are updated to Terminated.

After the lease is terminated, no edits or additions can be made to the lease. Also, any meters there were attached to consumption charges become available and can be used for different leases.

Reverse Terminate Leases

The termination of a lease cannot be reversed in any of the following is true: 

• Invoice Remaining or Apply Termination Charge was turned on when the termination was processed.
• The meter that was previously attached to a charge of the lease is currently used by a different lease.

After the termination of a lease is reversed, the following occurs: 

• The termination history of the lease and the associated charges are updated with the date and user of when the termination was removed.
• The statuses for the leases and all lease charges are updated to Active.
• The termination date for the lease and all charges are cleared.
• The end dates for all lease lines are updated to the end dates before the termination.

Reverse the Termination of Several Leases

To reverse the termination of several leases, follow these steps: 

1. In the Search box type batch termination, and select the PLM Batch Termination/Reverse Termination page.
2. Set the Termination Process to Termination.
3. Select the Lease Type you want to terminate.
   The list is updated with all terminated leases.
4. Specify the Reverse Termination Date and select a Reason Code.
5. Select any records that you do not want to process, and select Remove.
6. Select Reverse Terminate.
7. The PLM Batch Termination Log opens. Select Preview and Close.

In the termination log, you can see the lease or leases listed. If there is an error in the termination process, you can see the reason for it in the PLM Batch Termination Log.