Terminate and Replace a Subscription Item

Leverage the “Subscription Item(s) to Terminate” and “Terminate As-Of Date” fields when creating a new Subscription Item which replaces (and thus, ends) another Subscription Item linked to the same Subscription, i.e. in the case of an upsell or downsell. These fields are located on the Subscription Item > Preferences tab.

To end a Subscription Item and not replace it, refer to the Subscription Cancellation feature instead.

Once set, the Subscription Item(s) to Terminate and Terminate As-Of Date fields cannot be modified.

Keep in mind

• Charges and usage linked to the terminated Subscription Item will not carry over to the replacement Subscription Item.

Termination Requirements

• Subscription Items intended for termination must have an End Date after ‘today.’ See Date examples below.
• Subscription Items cannot be terminated and replaced across different Subscriptions.
• This functionality may not be used to terminate a prepaid Subscription Item.

Charge Behavior After Cancellation

Before leveraging termination behavior, it is recommended to review the ‘Preserve Canceled Charges’ behavior on the Subscription Item being terminated.

The ‘Preserve Canceled Charges’ behavior defined on the Subscription will apply to all related Subscription Items by default, unless overridden on a specific Subscription Item.

• By default, the ‘Don’t Preserve Canceled Charges’ behavior is enabled on the Subscription and all Subscription Items.

Don’t Preserve Cancelled Charges

If ‘Don’t Preserve Charges’ is selected,

• Offsetting Charges are created for any Billed Charges (i.e. Charge Status = ‘Billed', ‘Excluded - Zero Quantity’, or ‘Excluded - Zero Amount’) related to this Subscription Item with a Service Period End Date after the selected Termination Date.
• The offsetting Charge has the Termination Date set as the Bill Date, to be available for immediate billing.

Preserve Canceled Charges

If ‘Preserve Charges’ is selected, any Billed Charges beyond the Cancellation Date will remain, and no offset Charges will be created.

Example Behavior

Subscription Item ‘A’ has a Monthly (Calendar) Charge Schedule, and an End Date of December 31, 2023.

• The month of November was billed in advance, on November 1, for the November 1 - 30 Charge
• Period.
  On November 15, an upsell occurred.
  
  • A new Subscription Item, ‘B’, is created, and terminates Subscription Item ‘A’ as of November 15.

If ‘Don’t Preserve Charges’ is selected on Subscription Item ‘A’:

• An offsetting Charge is generated for the dates of November 16 - 30, with a prorated amount for the period, and a Bill Date of November 15.
• Charges are regenerated and the Charge for the December period is deleted.

If Preserve Charges’ is selected on Subscription Item ‘A’:

• No changes are made to the November Charge (i.e. it remains billed for the full November 1 - 30 period).
• Charges are regenerated and the Charge for the December period is deleted.

Terminate a Subscription Item

Subscription Item termination is managed on the new Subscription Item doing the replacing.

To terminate and replace a Subscription Item:

1. Review the Subscription Item to be terminated, and edit the ‘Preserve Canceled Charges’ behavior if necessary.
2. Create a new Subscription Item or edit an existing one.
   • • Under the Preferences subtab, go to the Subscription Item(s) to Terminate field and select a Subscription Item to terminate.
     • Next, enter a date in the Terminate As-Of Date field to specify when the Subscription Item should end.
3. Save the record.
4. Navigate back to the Subscription Item that was terminated, where the following updates have been made:
   • • The Subscription Item End Date is updated to the specified ‘Terminate-As-of-Date’.
       
       • The ‘Terminate-As-of-Date’ is also set as the ‘Cancellation Date’ on the Subscription Item.
     • The prior Subscription Item End Date is preserved in the ‘Original End Date’ field for reporting purposes.
     • Charges beyond the Termination Date have been deleted.
     • Depending on the ‘Preserve Canceled Charges’ behavior selected, Billed Charges with a Service End Date beyond the Terminate-As-Of-Date have been preserved or offset.

Note: Once a Subscription Item has terminated another Subscription Item, the Subscription Item(s) to Terminate and Terminate As-Of Date fields may not be modified on the Subscription Item doing the replacing.

Termination Date Examples