Contract Terms specify what conditions the customer is promising to meet.
Once a Contract has been assigned to a customer, specific products and services can be linked to a Contract Term. These associations are made in Customer Management.
There are four types of Contract Terms. A contract must have at least one Contract Term and can include one of each type. Each of the Contract Terms has at least one Penalty associated with it. The contract term types are:
Minimum Guarantee is based on usage or product charges. It may be a minimum dollar amount of usage, a minimum number of occurrences, or a minimum number of minutes that the customer has agreed to use in each bill period.
Maximum Guarantee is based on usage or product charges. It may be a maximum dollar amount of usage, a maximum number of occurrences, or a maximum number of minutes that the customer has agreed not to exceed in each bill period.
Term Commitment is based on length of service. The Value and Units default to the Contract Duration and Duration Type of the Contract Specification.
Service Count Commitment is based on the number of services that the customer has agreed to have active for the length of the contract. A contract with this contract term type can be assigned at the customer level only, not at the service level.
To set up a contract term, right-click in Contract Terms and select one of the Contract Term Types to display the applicable configuration form. Term and penalty configuration requirements vary based on the selected type. See: