Contract Renewal Duration

	Contract Renewal Duration Flexible Contract Renewal Duration You can change the contract renewal duration when the contract status is set to Free or Active. Flexible contract renewal duration enables you to create service contract renewal of different time periods. Complete the following steps to create a renewal for an existing service contract: Enter the new contract renewal duration in the Renewal Period field of Contract Changes tab in the Service Contracts (tsctm3100m000) session. Save the service contract. Open the Contract Changes (tsctm3120m000) session. Use one of the following methods to open the session: Click Contract Changes icon on the toolbar. Click Contract Changes in the specific menu. Create a new contract change of type Renewal. Save the contract. The duration of the created renewal is specified in Step 1. The renewal duration determines the method based on which the coverage and cost terms are copied. Following are the two possible scenarios that pertain to renewal duration: Different Duration : When the service contract duration and renewal duration are different, only the active coverage and cost terms are renewed. Same Duration : When the service contract duration and renewal duration are same, a dialog box is displayed with two methods by which the coverage and cost terms are copied and renewed. Only Active : Renews only the active coverage and cost terms. All : Renews all the coverage and cost terms. Cancel : Renewal is not saved. Click Activate Contract... on the toolbar or select the option from the Specific menu to activate the renewed contract. Note For Original Contract with status set to Free, the modified value in the Renewal Period field of Contract Changes tab in the Service Contracts (tsctm3100m000) session, must be equal to or less than the original service contract duration. The reason being, the original contract considers the service contract renewal duration as its activation period. For all subsequent renewals of the contract, the renewal duration can be greater than the contract duration. Update contract duration and expiry date in the contract To change the duration you can modify the value in the Renewal Period field of Contract Changes tab in the Service Contracts (tsctm3100m000) session. The contract duration and expiry date are updated in the contract after you activate the contract change of type renewal. Example A service contract is defined with effective date as January 01 2006 and expiry date as December 31 2006. The service contract is renewed for another year. Following data is updated in the contract: Contract Duration : 2 years Expiry Date : December 31 2007.