| # Contract (tpctm1600m000) Use this session to create and maintain data for a contract. Note A contract can be linked to multiple projects. However, a project can be linked to only one contract. The contract comprises of data for business partners, pricing and funding, shipment, delivery terms, and so on. A contract can have multiple contract line items. Contract deliverables can be physical items as well as services such as training and installation. Related topics Contract types Contract data set-up Agreement Sales Contract An agreement with the business partner that defines the terms and conditions like deliverables, billing plan, payment terms and so on. A contract can be linked to one or more projects. Sold-to Business Partner Usually a customer's purchase department, the business partner who orders goods or services from your organization, that owns the configurations you maintain, or for whom you perform a project. The agreement with the sold-to business partner can include the following: Default price and discount agreements Sales order defaults Delivery terms The related ship-to and invoice-to business partner Address A full set of addressing details, which include the postal address, access numbers for telephone, fax, and telex, e-mail and Internet address, identification for taxation purposes, and routing information. Contact The person with whom you discuss business transactions. For example, you address questions, quotations, and follow-up calls, direct mail, and promotional gifts to the contact. The contact's data include the name, telephone number, e-mail address, and other details. Sales Office Sales Office Program A group of related projects managed in a coordinated way to obtain more benefits and control. Program Manager The employee who is the program manager for the contract. Search Argument An alternative form of a description used for convenience during searching. Typically, it is an abbreviation, an acronym, or a mnemonic alternative to a full description. Execution Contract Manager The employee who is the contract manager. Project An endeavor with a specific objective to be met within the prescribed time and financial limitation, and that has been assigned for definition or execution. Financials Status contract status Note If the contract header is Canceled, all lines are also set to Canceled. Contract Type contract type Hold Reason The reason for putting the contract on hold. Phase The identification of a stage or a phase during the execution of the contract, for example, bidding, printed, sent to customer, and so on. Currency The currency of the contract amount. Exchange Rate Type A way to group currency exchange rates. You can assign different currency exchange rates to different invoice-to business partners and/or to different types of transactions (purchase, sales, and so on). Contract Amount The amount specified for the contract. Currency The currency used to express the contract amount. Total Contract Lines The total of all contract line amounts. Note Contract lines with the status Free are not considered when calculating the total amount. For example:
Contract Line | Amount | Status
1 | 100,000 | Active
2 | 200,000 | Active
3 | 300,000 | Free
The total amount of the contract lines is calculated as 300,000. However, if the status of the third contract line is set to Active, the total amount will be 600,000. Currency The currency of the total contract line amounts. Acceptance Point The acceptance point. Allowed values Acceptance Point Dates Contract Award Date The date when the contract is awarded. Effective Date The date when the validity period of the contract starts. Expiry Date The date when the validity period of the contract ends. Selling General Internal Sales Representative The internal sales representative, defined in the Employees - General (tccom0101m000) session . The sales representative is used as a reference with the invoice in the Transfer Project Data to Central Invoicing (tppin4200m000) session. External Sales Representative The employee who is the external sales representative for the contract, defined in the Employees - General (tccom0101m000) session. Contract Execution The contract type indicates whether your company executes the project as main contractor or as a subcontractor. Allowed values Contract Execution Financials Currency Rate The currency exchange rate to convert the transaction currency to the displayed home currency. Rate Factor The factor by which the amount in the transaction currency or the invoice currency is divided before LN converts it to a home currency. A rate factor is often used for currencies that have a relatively low price, for example, Korean Won. Home Contract Amount The contract amount in home currency. In Home Currency One of a company's base currencies in which LN registers and reports amounts. In a multicurrency system, up to three home currencies can be defined: The local currency Two reporting currencies Approved for Invoicing The amount approved for invoicing for the contract. Currency The currency of the approved for invoicing amount for the contract. Home Invoiced Amount The approved for invoicing amount in home currency. Invoiced to Date The amount invoiced till date for the contract expressed in the contract currency. Note The invoiced amount is based on the revenue transactions registered in the Revenue Transactions (tpppc3805m000) session and includes the invoiced amounts of any contract type/invoice type and processed through Invoicing. The holdback amount, advance payments and manual revenues are not included in the invoiced amount. Invoiced to Date The invoiced to date amount expressed in the home currency. Total Funded Amount The maximum amount that is funded for the contract. Note This is a display field. The value in this field is defaulted based on the aggregate of the funded amounts for all the contract lines linked to the contract. Funded Amount in Home Currency The total contract funded amount expressed in the home currency. Funding Distribution The default method used to determine the distribution of the contract fund amount. Allowed values Funding Distribution Default value By default, this field is set to None. Tracking Created by The user who creates the record. Creation Date The date when the record is created. References First Reference The reference text to be printed on the invoices, for example, the name of a contact person or a customer reference number. Second Reference The reference text to be printed on the invoices, for example, the name of a contact person or a customer reference number. Text The text related to the contract. Invoicing Invoicing Invoice-to Business Partner The business partner to which you send invoices. This usually represents a customer's accounts payable department. The definition includes the default currency and exchange rate, invoicing method and frequency, information about the customer's credit limit, the terms and method of payment, and the related pay-by business partner. Address A full set of addressing details, which include the postal address, access numbers for telephone, fax, and telex, e-mail and Internet address, identification for taxation purposes, and routing information. Contact The person with whom you discuss business transactions. For example, you address questions, quotations, and follow-up calls, direct mail, and promotional gifts to the contact. The contact's data include the name, telephone number, e-mail address, and other details. Invoice Type The invoice type determines the invoicing method for the contract. Allowed values Invoice Type Invoicing Method This method is only used for contract projects to invoice to Financials. Capital projects have no invoicing. Sales order projects use Invoicing for invoicing. Invoice Discount The percentage calculated as a discount on the invoice amount of the contract. Invoice Delivery Method A user-definable way to categorize invoices by their delivery method. LN prints invoices grouped by the invoice delivery method. Per invoice delivery method, LN sorts and prints the invoices within each ZIP/postal code by address. You can select a default invoice delivery method for each invoice-to business partner. Sales Type A sales order property that allows you to identify the kind of sale made and the kind of receivable. This property is used to post the sales to the correct Accounts Receivable account when the invoice is created. To post a sales invoice, LN retrieves the control account from the sales type linked to the sales order line, project contract, and so on. Project Text on Invoice If this check box is selected, LN prints the project related text on the invoices. Note If this check box is cleared, Infor LN prints the contract line text on the invoice. Billing Cycle The time interval defined to generate billing statement for the contract. Last Transferred to Invoicing The date when the contract is last invoiced. Next Invoice Date The date when the next invoice is generated. Rate Determiner The date used to determine the exchange rate. Allowed values Rate determiner. Advances / Installments Advance Payment Requests The method used to determine whether advance payment request is applied to the contract or contract line. Allowed values Advance Payment Requests Liquidation % Advances The liquidation percentage calculated to settle the invoices against the advances for the contract line. Note This field is enabled only if the Advance Payment Requests field is set to By Contract Line. Only the liquidation percentage * invoice amount is used to settle an advance payment request. The full invoice amount is used to settle the advance if no liquidation % is specified. Example: For an advance payment request for 2000 EUR , a percentage of 75% is defined on the contract line. If a delivery based invoice of 1000 EUR is sent to the customer, an amount of 750 EUR can be paid to settle the advance and the customer is invoiced for 250 EUR. If no percentage is set the maximum amount possible is settled. Installment Type The installment type for the contract. Allowed values Installment Type Installment Schedule The installment schedule for the contract. Note You can define the installment schedule for the contract only if the Installment Type field is set to Percentage. Number of Points The total number of points that you can distribute to the installments of the contract. Example
Contract amount by customer | EUR 600,000
Number of points | 300
Installment 1 | 100 points | EUR 200,000
Installment 2 | 75 points | EUR 150,000
Installment 3 | 75 points | EUR 150,000
Installment 4 | 50 points | EUR 100,000
- | - | EUR 600,000
Note This field is available only if the Installment Type field is set to Points. Labor Part of Contract Amount The percentage of the total contract amount based on the agreement with the main contractor for the labor costs. Note This field is relevant only in the Netherlands. You can view this field only if the WKA check box is selected in the General Project Parameters (tppdm0100s000) session. Labor B-Account This field is only relevant in the Netherlands. Note You can view this field only if the WKA check box is selected in the General Project Parameters (tppdm0100s000) session. Holdback Holdback The method used to determine how holdback is applied for the contract. Allowed values Holdback Holdback Percentage The holdback amount expressed as a percentage. You can define the holdback percentage only if the Holdback field is set to All Invoices or Based on Progress. Note If a holdback percentage is defined for a project and if the Use Holdback check box is selected for the installment linked to the project, the holdback percentage of the project is defaulted in this field. Progress Threshold The progress threshold percentage for the contract. You can define the threshold percentage only if the Holdback field is set to Based on Progress. Paying Paying Pay-by Business Partner The business partner from which you receive payments. This usually represents a customer's accounts payable department. The definition includes the default currency and exchange rate, the customer's bank relation, the type of reminders you send to the business partner, and the frequency of sending reminders. Address A full set of addressing details, which include the postal address, access numbers for telephone, fax, and telex, e-mail and Internet address, identification for taxation purposes, and routing information. Contact The person with whom you discuss business transactions. For example, you address questions, quotations, and follow-up calls, direct mail, and promotional gifts to the contact. The contact's data include the name, telephone number, e-mail address, and other details. Phone The phone number of the pay-by business partner. Payment Terms Agreements about the way in which invoices are paid. The payment terms include: The period within which invoices must be paid. The discount granted if an invoice is paid within a given period The payment terms allow you to calculate: The date on which the payment is due The date on which the discount periods expire The discount amount Late Payment Surcharge The percentage that is charged over the goods amount or over rendered services that the recipient of the invoice must pay if the invoice is not paid within a specified period. Payment Method The way in which the payment (purchase invoice) or the direct debit (sales invoice) takes place. The payment method defines details such as, the maximum amount, the type of due date, if foreign currencies are allowed, and which details must be printed on the report. These details are default values that you can change on the order or invoice as necessary. Bank Account Code The code that uniquely identifies the bank. Description The description or name of the code. Bank Account The bank account number. The bank account is identified by a number of the business partner with the bank indicated by the bank account code and displayed based on the bank account code. International Bank Account Number The international bank account number for the contract. This is a display field. Set Status to Sets the contract status to the selected value. Free Sets the contract status to Free. On Hold Sets the contract status to On Hold. Active Sets the contract status to Active. Closed Sets the contract status to Closed. Canceled Sets the contract status to Canceled. |