Customer Contracts

Implementation Considerations
Customer contracts are outline customer agreements that display when sales materials or
services are sold within a certain time period.
The standard version of the SAP System contains the following categories of contracts:
Master Contracts
The master contract is a document in which you can group contracts together as lower
level contracts. Thus, all the data that refers to other documents remains consistent. The
master contract contains the general terms which apply for all lower level contracts.
Quantity Contracts
A quantity contract is an agreement that your customer will order a certain quantity of a
product from you during a specified period. The contract contains basic quantity and price
information, but does not specify delivery dates or quantities.
Value Contracts
A value contract is a contractual agreement with a customer that contains the materials
and/or services that they may receive within a time period and up to a target value. A
value contract can contain certain materials or a group of materials (product hierarchy,
assortment module).
ServiceContracts
A service contract is an agreement that contains the conditions for offering a certain
service to the customer. You can manage rental and maintenance contracts in the
standard version of the SAP System. A service contract contains validity dates,
cancellation conditions, price agreements, and information on possible follow-up actions.

See also:
Changing Data at Header Level.



Master Contracts
Definition
The master contract is a document under which you can group contracts as lower level
contracts. It contains the general terms which apply for all the lower level contracts over a
specified period.
Use
You group contracts as lower level contracts under a master contract to ensure that
The terms in the master contract are granted in all the lower level contracts
The data in all lower level contracts remains consistent
You can group the following documents under a master contract:
Quantity contracts
Value contracts
Service contracts
The link between the master and lower level contracts is controlled by the referencing procedure
which is assigned to the master contract type in Customizing. The referencing procedure
determines which data is copied from the master contract into the lower level contracts
Structure
A master contract contains header data only. In the master contract, you can record:
Business data
Partner data
Contract data
Billing plan data
On the overview screen of the master contract, there is a list of all the lower level contracts
which refer to it. You can branch from this list into the individual contracts.
See also:
Contract Grouping