User Story

CSP needs possibility of assigning commitments to Customers in PB in order to bind them to use services provided by CSP on specific terms. In case the commitment terms are not full filled  CSP needs possibility of applying penalties to Customers as the sum of all discounted amounts that are provided to them during the commitment period.

Example of use

When Customer signs a Contract with SP for service usage he is offered with 2 options: 

  • to be committed to an open-ended contract with a regular price that can be terminated at any time without penalties;
  • to be committed to a contract with its period of validity (12/18/24/36 months), with a discounted price and penalties in case of early termination.

The discounted prices provided within time-limited 12/18/24/36 months contracts are special prices for service recurring fee, device rent or both. Once Special offer period ends, usual price of the bought package is applied to Customer. In case Customer terminates contract earlier than he was committed to12/18/24/36 months pass - penalties as the sum of all discounts provided to him during the service usage period are applied to him.

Current Solution

Currently the desired way of applying penalties to Customer is not supported in full. As a workaround it's possible to use 'minimum subscription period' on subscription applied to Customer for using service and specify there cancellation fee. But cancellation fee can be specified only as a fixed value or remaining subscription charges. But SP needs that the cancellation fee is calculated automatically as the sum of discounts applied with that particular subscription. 

Also CSP needs possibility to set period for which penalties should calculated starting from 0 months, it means that Contract in that case will be terminated without any penalties. 

Stakeholders and their benefits

Who are the users / whom we bring value to?

Benefit /
Stakeholders		Special offers for recurring and one-time  feesTighter
Control over Customer's charges		Replaces
Human in penalty calculation		Regulatory
Requirement to provide special offer in case Customer is committed to contract with some period		Revenue assurance
Owner of CSP


✓
Sales/marketing of CSP
✓

✓
Network operations /
Support of CSP

✓

End user✓




Use Cases

Use case#1: General contract terms

Roles: Service provider, Customer, PortaBilling, System engineer

Preconditions: Customer John Smith signs a contract for 24 months for period 02.06.2019 - 02.06.2021 for 'TV: 78 basic channels' package. Customer John Smith is created in PortaBilling with monthly billing period. 

Service Provider offers the following packages:

PackageTermMonthly feeSet-up fee (one-time fee)TV-set price (one-time fee)Set-top-box rental/month
TV: 78 basic channelsopen-ended16 EUR45 EUR400 EUR3 EUR
TV: 78 basic channels24 months13.50 EUR0 EUR0.01 EUR2 EUR
Inet+TVopen-ended19 EUR45 EUR400 EUR3 EUR
Inet+TV24 months16 EUR0 EUR0.01 EUR3 EUR
200 minopen-ended7.50 EUR45 EUR--
200 min 24 months4 EUR0 EUR--

Use scenario #1.1 Contract termination on the day of its signing [MR87-0]

  • On 01.06.2019 John Smith contacts SP and asks for buying TV service.
  • Operator offers single TV service: 78 basic channels and Inet+TV bundle, both services are provided within 24 months contract or open-ended one.
  • John Smith agrees to sign for bundle 'I-net+TV' for 24 months.
  • On 01.06.2019 John Smith signs contract for 24 months for period '01.06.2019' - '01.06.2021'.
  • On 01.06.2019 system engineer visits John Smith and installs equipment for providing service.
  • John Smith checks connection to I-net and TV resolving capacity. John Smith doesn't like them.
  • John Smith informs system engineer that he wants to break contract.
  • On 01.06.2019 System engineer informs Operator of customer care saloon about this.
  • On 01.06.2019 Operator terminates contract for John Smith. No penalties applied. No charges applied for this day.

Use scenario #1.2 Discounted pricing followed by regular charges upon expiration of special offer [MR87-0, bug]

  • On 02.06.2019 John Smith starts using TV service for 13.50 EUR/month. 
  • On 02.06.2019 John Smith is charged at once 45 EUR - 100% discount = 0 EUR for set-up fee.
  • On 02.06.2019 John Smith is charged at once 400EUR-399.99EUR= 0.01EUR for device.
  • On 02.06.2019 balance of John Smith becomes 0.01 EUR. 
  • On 01.07.2019 invoice#1 is generated and it includes prorated fee for 29 days of usage in June and one-time fees:
Service 
TV 
Service fee (for 29 days of Jun)15.46 EUR (16/30*29)
Discount for service fee-2.41 EUR (15.46 EUR - 13.05 EUR)
Total service fee13.05 EUR (13.50/30*29)
Rent fee (for 29 days in Jun)2.9 EUR (3/30*29)
Discount for rent fee-0.97 EUR (2.90 EUR - 1.93EUR)
Total rent fee1.93 EUR (2/30*29)
Price of device400 EUR
Discount for device

-399.99 EUR (400 EUR - 0.01 EUR)

Total price of device0.01 EUR
Set-up fee45 EUR
Discount for set-up fee-45 EUR
Total set-up fee0 EUR
AMOUNT DUE14.99 EUR
  • John Smith pays an invoice#1. And continues using service. 
  • John Smith continues using service and pays invoices regularly. 
  • On 02.06.2021 contract with special offer is closed. 
  • Starting from 03.06.2021 charges of open-ended contract without discounts are applied. 
  • On 01.07.2021 invoice#24  is generated and it includes prorated fee for June according to special offer and regular conditions contracts: 
TV ServiceService FeeDiscount for service fee (open-ended contract fee - special offer contract fee)Total service feeRent fee

Discount for rent fee

(open-ended contract fee - special offer contract fee) 

Total rent feeAmount due
Special offer (2 days)

1.07 EUR 

(16/30*2)

-0.17 EUR
(1.07 - 0.9)		0.9 EUR

0.2 EUR

(3/30*2)

-0.07 EUR

(0.2 - 0.13)

0.13 EUR


18.76 EUR

Regular (28 days)14.93 EUR 
14.93 EUR2.8 EUR
2.8 EUR
  • John Smith pays invoice#24 and continues using service. 
  • On 01.08.2021 Invoice#25 for July is generated and it includes: 
ServiceService FeeRent feeAmount due
TV16 EUR3 EUR19 EUR

Use scenario #1.3 Customer prolongs current Contract [MR87-0]

  • On 02.06.2019 John Smith starts using TV service for 13.50 EUR/month. 
  • He uses service and pays invoices regularly.
  • 02.06.2021 is the last day of contract with special offer. 
  • On 01.06.2021 Operator contacts John Smith and reminds that 02.06 is the last day of contract, so whether  he is going to prolong with the same conditions.
  • John Smith agrees.
  • Operator set the activation date for Contract for a new period from '03.06.2021' - '03.06.2023'.
  • Starting from 03.06.2021 contract is prolonged for a new period with same conditions.

Use scenario #1.4 Customer prolongs current Contract and buys TV set for special offer price [MR87-0]

  • On 02.06.2019 John Smith starts using TV service for 13.50 EUR/month. 
  • He uses service and pays invoices regularly.
  • 02.06.2021 is the last day of contract with special offer. 
  • On 01.06.2021 Operator contacts John Smith and reminds that 02.06 is the last day of contract, so whether  he is going to prolong with the same conditions.
  • Operator informs John Smith that according to the contract terms there is a TV set for a special price 1 EUR if he agrees to prolong for 24 months.
  • John Smith agrees.
  • Operator set the activation date for Contract for a new period from '03.06.2021' - '03.06.2023'.
  • John Smith continues using service and on 01.08.2021 informs SP that he terminates contract.
  • On 01.08.2019 Operator terminates contract of John Smith in CRM and set the period for penalty cancellation to '03.06.2021 - 01.08.2021'.
  • On 01.09.2020 invoice for August is generated and it includes penalty for contract termination: 399.99 EUR for TV set and 4.83 EUR penalty for service + 1.93 EUR rent fee penalty. Total 406.75 EUR.

Use scenario #1.5 Customer buys one more new service that is bundled with existing one [MR87-0]

  • On 02.06.2019 John Smith starts using TV service.
  • On 01.07.2019 invoice#1 is generated and it includes prorated fee for 29 days of usage in June and one-time fee - 14.99 EUR.
  • John pays an invoice#1 and continues using service. 
  • On 08.07.2019 John Smith contacts SP to buy I-net service additionally. 
  • John Smith is informed that to add I-net to his monthly package it's needed to sign a new contract for bundle service 'TV+I-net' for 16 EUR/month + 3 EUR rent fee for a new period. 
  • John Smith agrees. On 08.07.2019 his old contract is closed without penalties and new one for bundle is activated for period '08.07.2019 - 08.07.2021'. 
  • On 01.08.2019 invoice#2 for July is generated and it includes prorated fees of old contract and new contract: 
ServiceService FeeDiscount for service fee (open-ended contract fee - special offer contract fee)Total Service feeRent feeDiscount for rent fee (open-ended contract fee - special offer contract fee)Total Rent feeTotalAmount due
TV (old con-t 7 days)

3.61 EUR

(16/31*7)

0.57 EUR (3.61 - 3.05)

3.05 EUR 

(13.50/31*7)

0.68 EUR 

(3/31*7)

-0.55 EUR (0.68 - 0.23)

0.23 EUR

(2/31*7)

3.28
17.99 EUR
Bundle (new con-t 24 days) 

14.71 EUR

(19/31*24)

-2.33 EUR (14.71 - 12.39)

12.39 EUR

(16/31*24)

2.32 EUR 

(3/31*24)

-

2.32 EUR 

(3/31*24)

14.71
  • John pays invoice#2 and continue using service. 
  • On 01.09.2019 invoice#3 for August is generated and it includes:
ServiceService FeeDiscount for service fee (open-ended contract fee - special offer contract fee)Total service feeRent fee

Discount for rent fee

(open-ended contract fee - special offer contract fee)

Total rent feeAmount due
Bundle19 EUR-3EUR (19 - 16)16 EUR3 EUR-3 EUR19 EUR

Use scenario#1.6 Customer buys one more new service that can't be bundled with existing one [MR87-0]

  • On 02.06.2019 John Smith starts using TV service.
  • On 01.07.2019 invoice#1 for June is generated and it includes prorated fee for 29 days of usage in June and one-time fees - 14.99 EUR.
  • John pays an invoice#1 and continues using service. 
  • On 08.07.2019 John Smith contacts SP to buy VoIP service additionally. 
  • John Smith is informed by operator that it's needed to sign another separate contract for VoIP service. 

  • John Smith agrees and signs Contract for period '08.07.2019 - 08.07.2021'.

  • On 01.08.2019 invoice#2 is generated and it includes fee for both services (TV and VoIP-prorated):
ServiceTVVOIP (prorated fee for 24 days)
Service fee16 EUR

5.81 EUR

(7.50/31*24)

Discount for service fee (open-ended contract fee - special offer contract fee)2.50 EUR (16-13.50)-2.71 EUR
Total service fee13.50 EUR3.1 EUR
Rent fee3 EUR
Discount for rent fee (open-ended contract fee - special offer contract fee)

1 EUR (3-2)


Total rent fee2 EUR
AMOUNT DUE21.60 EUR 

Use scenario#1.7 Cancellation penalty for Customer that has 2 different services at one address [MR87-0]

  • continued after scenario#1.6 after " On 01.07.2019 invoice#1 is generated and it includes prorated fee for 29 days of usage in June and one-time fees - 14.99 EUR."
  • John pays an invoice#1 and continues using service. 
  • On 08.07.2020 John Smith informs SP that he wants to terminate contract for VoIP service.
  • John Smith used voice calls service for one year. For this period he paid 47.1 EUR for '200 min'  packages. 
  • On 08.07.2020 is the last day of usage voice calls service. 
  • On 08.07.2020 Operator terminates contract and set period for which penalty should be calculated: from 08.07.2019 to 08.07.2020. 
  • On 01.08.2020 invoice#14 is generated and it includes fee for TV service and prorated fee for 8 days in July + cancellation penalty for VoIP service Contract: 
ServiceTVVOIP (fee for 8 days)Cancellation penalty for VoIP 
Service fee16 EUR

1.94 EUR 

(7.50/31*8)


1st month of usage (July 2019) - 24 days: (7.50 EUR - 4 EUR)*24/31=2.71 EUR

last month of usage (July 2020) - 8 days: (7.50 EUR - 4 EUR)*8/31=0.9 EUR

10 full months: 11months * (7.50 EUR - 4 EUR)= 3.5*11 = 38.50 EUR

Total penalty: 42.11 EUR

Discount for service fee (open-ended contract fee - special offer contract fee)-2.50 EUR (16 - 13.50)-0.9 EUR 
Total service fee13.50 EUR 1.03 EUR (4/31*8)
Rent fee3 EUR
Discount for rent fee (open-ended contract fee - special offer contract fee)-1 EUR (3 - 2)
Total rent fee2 EUR
Total for July16.53 EUR
Penalty42.11 EUR
Amount due58.64 EUR

Use scenario#1.8 Customer moves to a new address with technical conditions at that address to provide the current service [MR87-0]

  • John Smith informs SP that he moves to a new address and informs that he wants to continue using service there on same conditions.
  • Operator informs John Smith that it will be needed to take his equipment (modem and set-top-box) there. The contract terms and conditions will remain as they are.
  • CRM system via API or admin manually changes address details in PortaBilling for John Smith Customer.
  • Nothing happens with Contract of John Smith and its terms.

Use scenario#1.9 Customer moves to a new address without technical conditions at that address to provide the current service [MR87-0]

  • John Smith informs SP that he moves to a new address and informs that he wants to continue using service there on same conditions.
  • Operator informs John Smith that there is no technical possibility to provide there the same service. So the current contract should be terminated.
  • CRM system or Admin manually terminates Contract of John Smith, no penalties applied for service and rent fee (because it's fault of SP that he can't provide service there).
  • Penalty for device TV-set that was bought by special price is applied 399.99 EUR (400 EUR - 0.01 EUR). 399.99 EUR is included to the next invoice of John Smith. 

Use scenario#1.10 Customer moves to a new address without technical conditions to provide current service there and signs new contract for available service at that address [MR87-0]

  • John Smith informs SP that he moves to a new address and informs that he wants to continue using service there on same conditions.
  • Operator informs John Smith that there is no technical possibility to provide there the same service. So the current contract should be terminated.
  • Operator offers a new Product for John available at that address. John Smith agrees. 
  • CRM system or Admin manually terminates Contract of John Smith. No penalties applied. 
  • John Smith signs new Contract and uses new service according to new contract. 


Use case #2: Changing of Package 


Roles: Operator of contact center, Customer, PortaBilling

Preconditions: Customer John Smith signs a contract for 24 months for period '02.06.2019 - 02.06.2021' for 'TV: 78 basic channels' package. 

Customer John Smith is created in PortaBilling with monthly billing period.

Service Provider offers the following packages:

PackageTermMonthly feeSet-up fee (one-time fee)TV-set price (one-time fee)Set-top-box rental/month
TV: 78 basic channelsopen-ended16 EUR45 EUR400 EUR3 EUR
TV: 78 basic channels24 months13.50 EUR0 EUR0.01 EUR2 EUR
TV: 20 TV channelsopen-ended9 EUR45 EUR400 EUR3 EUR
TV: 100 TV channels24 months23 EUR0 EUR0 EUR2 EUR


Use scenario #2.1 Penalty for package downgrade [MR87-0, partial]

  • Starting from 02.06.2019 John Smith uses TV service and every month pays for the package without any delays. 

  • On 25.05.2020 John Smith has used service for 11 months and 24 days.
  • On 25.05.2020 John Smith informs SP about changing his package of TV service to a cheaper one. 
  • Operator in contact center offers John Smith a package of 20 basic channels for 9 EUR/month without binding to specific period of contract. John Smith agrees.
  • John Smith asked to terminate his contract on 26.05.2020.
  • On 26.05.2020 Contract for TV service is terminated by the Operator.  When terminating Operator sets period to calculate penalties from the beginning of contract 02.06.2019 till 25.05.2020.
  • Operator sees the penalty for contact cancellation of John Smith, it's prorated according to the period of applying recurring fee. 
  • The total amount of discounted prices for the period of 02.06.2019 - 25.05.2020 is:
First month of usage (29 days/SERVICE)First month of usage (29 days/RENT fee) 10 full months(SERVICE)10 full months (RENT)25 days of last month (SERVICE)25 days of last month (RENT)

(Regular price-Special offer price)*29days and divide by 30:

(16EUR-13.50EUR)*29/30= 2.42EUR

(Regular price-Special offer price)*29days and divide by 30:

(3EUR-2EUR)*29/30=0.97EUR

16EUR-13.5EUR=2.5EUR

2.5EUR*10= 25EUR

3 EUR-2EUR=1EUR

1EUR*10=10EUR

(Regular price-Special offer price)*25days and divide by 31:

(16EUR-13.5EUR)*25/31=2.02 EUR


(Regular price-Special offer price)*25days and divide by 31:

(3EUR-2EUR)*25/31=0.81


Discount: -0.81 EUR
Discount: -2.42 EURDiscount: -0.97 EURDiscount: 25 + 10 = -35 EURDiscount: -2.02 EUR
TOTAL DISCOUNT: 2.42+0.97+35+2.02+0.81+399.99 (TV-set disсount)+45 (set-up discount)= -486.21 EUR
  • New contract  for period '26.05.2020 - no termination date' is activated for John Smith by Operator. 
  • On 01.06.2020 statistics is calculated and an invoice#12 for May is generated for John Smith in PortaBilling.
  • It includes prorated charges for May+cancellation penalty: 
ServiceFeeDiscount for service fee (open-ended contract fee - special offer contract fee)Total service feeRent feeDiscount for rent fee (open-ended contract fee - special offer contract fee)Total rent feeCancellation penaltyFee for 5 days according to new contractAmount due
TV

12.90 EUR

(16/31*25)

-2.08 EUR (12.90 - 10.89)

10.89 EUR

(13.5/31*25)

2.5 EUR

(3/30*25)

-0.83 EUR (2.50 - 1.67)

1.67 EUR

(2/30*25)

486.21 EUR

16 EUR/31 days=0.52 EUR *5=2.58 EUR

501.35 EUR


Use scenario #2.2 Changing of package to a one with higher recurring fee - no cancellation penalty [MR87-0]

  • Starting from 02.06.2019 John Smith uses TV service and every month pays for the package without any delays. 

  • On 25.05.2020 John Smith has used service for 10 months and 24 days.
  • On 25.05.2020 John Smith informs SP about changing his package of TV service to a one with higher recurring price.  
  • The new package includes 100 TV channels for 23 EUR/month. Total 23 EUR.
  • Operator sets that old Contract of John Smith will be closed on 25.05.2020 23:59:59 with no period to calculate penalties .
  • On 25.05.2020 old contract is closed in PortaBilling via API. No penalties are applied. 
  • On 26.05.2020 new contract is activated for period '26.05.2020 - 26.05.2022'.
  • On 01.06.2020 invoice#12 is generated and it includes prorated charges according to the old and new contracts and NO cancellation penalty:
Service fee (25 days in May (old con-t))Discount for Service fee (open-ended contract fee - special offer contract fee)Service fee Total

Rent fee 25 days in May rent (new con-t)

Discount for rent fee (open-ended contract fee - special offer contract fee)Total rent feeService fee (5 days of new contract in May)Discount for service feeTotal service feeAmount due

12.90 EUR 

(16/31*25)

-2.01 EUR (12.90 - 10.89)

10.89 EUR

(13.50/31*25)

2.42 EUR

(3/31*25)

-0.81 EUR (2.42 - 1.61)1.61 EUR

3.71 EUR 

(23/31*5)

-3.71 EUR

  16.21 EUR

  • John Smith pays invoice#12. 
  • On 01.07.2020 invoice#13 for June is generated and it includes 23 EUR monthly fee according to the new contract.

Use case #3: Early cancellation of contract with special offer conditions 

Roles: Service provider, Customer, PortaBilling

Preconditions: Customer John Smith signs a contract for 24 months for period '02.06.2019 - 02.06.2021' for "TV: 78 basic channels" package. 

Customer John Smith is created in PortaBilling with monthly billing period. 

Service Provider offers the following packages:

PackageTermMonthly feeSet-up fee (one-time fee)TV-set price (one-time fee)Set-top-box rental/month
TV: 78 basic channelsopen-ended16 EUR45 EUR400 EUR3 EUR
TV: 78 basic channels24 months13.50 EUR0 EUR0.01 EUR2 EUR
I-net/100Mbps +TV/78 channelsopen-ended23 EUR45 EUR400 EUR3 EUR
I-net/100Mbps +TV/78 channels24 months19 EUR0 EUR0.01 EUR2 EUR


The following invoicing settings are used in scenarios: 

  • Use regular invoices - Enabled;

  • Invoice template - Default template;

  • Generate invoice pdf - On demand;

  • Send the invoice via email - Never;

  • Payment grace period, days - 1 billing period. 

  • '2 billing periods' after invoice is generated and not paid the services are stopped, charging is stopped, Customer is suspended due to non-payment.

Use scenario #3.1 Сontract with special offer cancellation penalty [MR87-0, partial]

  • Starting from 02.06.2019 John Smith uses TV service. 
  • On 02.06.2019 John Smith is charged at once 45 EUR - 100% discount = 0 EUR for set-up fee.
  • On 02.06.2019 John Smith is charged at once 400 EUR-399.99 EUR= 0.01 EUR for device.
  • On 02.06.2019 balance of John Smith becomes 0.01 EUR. 
  • On 01.07.2019 invoice#1 is generated with following charges:
ServiceFeeDiscount for service fee (open-ended contract fee - special offer contract fee)Total Service feeRent feeDiscount for rent fee (open-ended contract fee - special offer contract fee)Total rent feeTV setDiscount for TV setTV set total priceSet-up feeDiscount for set-up feeTotal set-up feeAmount due
TV

15.47 EUR

(16/30*29)

-2.42 EUR

13.05 EUR

(13.50/30*29)

2.9 EUR

(3/30*29)

-0.97 EUR

1.93 EUR

(2/30*29)

400 EUR-399.99 EUR0.01 EUR45 EUR-45 EUR0 EUR14.99 EUR
  • John Smith pays an invoice#1 and continue using services. 

  • On 31.05.2020 John Smith informs SP that he terminates contract.  31.05.2020 is the last day of the contract. 

  • On 31.05.2020 11 months and 29 days of contract passed.
  • For this period John Smith paid in total 161.55 EUR ((13.50*11)+(13.50/30*29)) for service and 23.93 EUR ((11*2)+(2/30*29)) for set-top-box rent and 0.01 EUR for TV set and 0 EUR set-up fee. 
  • On 31.05.2020 Contract of John Smith is terminated by Operator. When terminating contract Operator sets period to calculate penalties from the beginning of contract 02.06.2019 till 31.05.2020.
  • On 01.06.2020 statistics is calculated and invoice#12 for May is generated.
  • Generated invoice includes charges for May period + cancellation fee for contract:
ServiceService FeeDiscount for Service fee (open-ended contract fee - special offer contract fee)Total service feeRent feeDiscount for rent fee (open-ended contract fee - special offer contract fee)Total rent feeCancellation penalty (sum of all discounts provided during period of usage)Amount due
TV16 EUR-2.5 EUR (16 - 13.50)13.50 EUR3 EUR


1 EUR (3-2)2 EUR

Prorated discount for 29 days of usage in June 2019: 

(Regular price - Special price)*29days of usage and divide by 30:

(16EUR-13.5EUR)*29/30= 2.42EUR

Total in June: 2.42 EUR

Total for 11 full months: 16EUR - 13.5EUR= 2.5 EUR*11months = 27.50EUR

Total: 29.92 EUR










502.38 EUR






Prorated discount for Rent fee for 29 days in June 2019: 

(Regular price - Special price)*29days of usage and divide by 30:

(3EUR-2EUR)*29/30=0.97EUR

Total in June: 0.97 EUR

Total for 11 full months: 3EUR-2EUR=1EUR*11months =11 EUR

Total: 11.97 EUR






Discount for TV set buying: 400 EUR -0.01 EUR = 399.99 EUR

Discount for set-up fee: 45 EUR - 0 EUR = 45 EUR

Total cancellation fee:  486.88 EUR

Use scenario#3.2 Early termination of Contract after contract change [MR87-0, partial]

  • Starting from 02.06.2019 John Smith uses TV service. 
  • John Smith pays invoices regularly and on 01.07.2020 informs SP that he wants to change the package to Bundle I-net/100 Mbps+TV/78 channels for 19 EUR month. 
  • John Smith is informed by SP that his current Contract will be closed a new one for a new term will be activated. 
  • John Smith agrees and his Contract is terminated on 01.07.2020 without any penalties applied as he buys a service with higher monthly fee. 
  • On 01.07.2020 contract for period '01.07.2020 - 01.07.2022' is activated for John Smith. 
  • John Smith starts using services according to a new contract. 
  • On 07.09.2020 John Smith informs SP that he terminates Contract. 
  • On 07.09.2020 Contract for John Smith is terminated by Operator. When terminating contract Operator sets period to calculate penalties from the beginning of contract 01.07.2020 till 07.09.2020.
  • On 01.10.2020 Invoice#16 for John Smith is generated and it includes: 
ServiceService Fee for August Discount Total Service fee Charge for 7 days in SeptemberCancellation penalty for 2 months from 01.07-07.09Total
I-net+Tv19 EUR-19 EUR EUR

(23EUR-19EUR)*2months=4*2= 8 EUR

(23EUR-19EUR)*7days/30= 0.94 EUR

32.28 EUR

Use scenario#3.3 Early termination of Contract when Customer has been suspended either because of voluntary temporary suspension or because of non-payment [MR87-0, partial]

  • Starting from 02.06.2019 John Smith uses TV service. He pays invoices regularly.
  • On 01.09.2019 John Smith asks for temporary suspension of service from '01.09.2019' till '01.11.2019'.
  • Operator sets suspension period for John Smith from '01.09.2019' till '01.11.2019'.
  • On 01.09.2019 Operator initiates 10 EUR charge from CRM system for John Smith. His balance becomes 10 EUR.
  • Starting from 01.09.2019 service is suspended for John Smith.
  • On 01.10.2019 monthly charges for September are calculated 0 EUR and applied to balance of John Smith. His balance stays 10 EUR.
  • On 01.10.2019 invoice#4 for September is generated. Total amount to pay 10 EUR.
  • John Smith pays the invoice.
  • On 02.11.2019 service is activated, charging for it is also activated.
  • On 01.12.2019 invoice#6 for November is generated with total amount to pay 14.98 EUR (monthly fee for TV service+device rental). John Smith pays invoice.
  • On 01.01.2020 invoice#7 for December is generated with total amount to pay 15.50 EUR (monthly fee+device rental). John Smith doesn't pay invoice.
  • On 01.02.2020 invoice#8 for January is generated, with total amount 31 EUR (previous balance 15.50 + charges for January). John Smith doesn't pay invoice.
  • On 01.03.2020 invoice#9 for February is generated with total amount to pay 46.50 EUR (Previous balance 31 EUR+charges for February). John doesn't pay invoice.
  • On 01.04.2020 invoice#10 for March is generated with total amount to pay 62 EUR (previous balance 46.50 EUR + charges for March).
  • On 01.04.2020 charges are stopped for service and John is suspended due to non-payment.
  • On 20.04.2020 John pays the debt 62 EUR. From this date service and charging for it are activated.
  • On 01.05.2020 invoice#11 is generated and it includes prorated monthly charging for April - 5.68 EUR.  (13.50/30*11 days = 4.95 EUR service fee; 2/30*11=0.73 EUR rent fee).
  • On 01.06.2020 invoice#12 is generated for May with total amount to pay 15.50 EUR. John Smith pays invoice.
  • On 01.06.2020 John calls Customer care saloon and asks to terminate his Contract.
  • On 01.06.2020 Contract for John Smith is terminated by Operator. When terminating contract Operator sets period to calculate penalties from the beginning of contract 02.06.2019 till 31.05.2020.
  • On 01.06.2020 Contract for John Smith is terminated in PortaBilling.
  • On 01.07.2020 monthly charges are calculated and applied to balance of John Smith 0 EUR as there was no usage in June. Cancellation penalty is calculated as sum of all discounted amounts during the period of service usage,  periods of temporary suspension and suspension due to non-payment are excluded from calculations:
Discount for service fee 29 days in June 2019(open-ended contract fee - special offer contract fee) Discount for rent fee 29 days in June 2019 (open-ended contract fee - special offer contract fee)Discount for Device (open-ended contract fee - special offer contract fee)Discount for set-up fee (open-ended contract fee - special offer contract fee)

Service fee discount for period (2 full months till temporary suspension)

01.07.2019 - 31.08.2019

Set up fee discount

for period (2 full months till temporary suspension)

01.07.2019 - 31.08.2019

Service fee discount for period(4 full months + 29 days in November 2019)

02.11.2019 - 30.03.2020

Service fee discount for

period(4 full months + 29 days in November 2019)

02.11.2019 - 30.03.2020

Service fee discount for period after suspension due to debt ( 1 full month + 11 days in April 2020)

20.04.2020 - 01.06.2020

Service fee discount for

period after suspension due to debt

( 1 full month + 11 days in April 2020)

20.04.2020 - 01.06.2020

(16-13.50)/30*29 = 2.42 EUR


(3-2)/30*29 = 0.97 EUR400 EUR - 0.01 EUR = 399.9945 EUR - 0 EUR= 45 EUR

(16-13.50)=2.50 EUR

2.50 * 2= 5 EUR

(3-2)=1 EUR

1*2=2 EUR

(16-13.50)=2.50 EUR

2.50*4=10 EUR

(16-13.50)/30*29= 2.42 EUR

(3-2)=1 EUR

1*4=4 EUR

(3-2)/30*29= 0.97 EUR

(16-13.50)=2.50 EUR

2.50*1=2.50 EUR

(16-13.50)/30*11=0.92 EUR

(3-2)=1 EUR

1*1=1 EUR

(3-2)/30*11= 0.37 EUR

2.42 EUR0.97 EUR399.99 EUR45 EUR5 EUR2 EUR12.42 EUR4.97 EUR3.42 EUR1.37 EUR
Total: 2.42+0.97+399.99+45+5+2+12.42+4.97+3.42+1.37 = 477.56 EUR

  • Cancellation penalty is applied to balance of John Smith. His balance becomes 477.56 EUR.
  • On 01.07.2020 invoice#13 is generated with total amount to pay 477.56 EUR.

Use case#4 Contract movement between Customers

Roles: Operator of contact center, Customer, PortaBilling

Preconditions: Customer John Smith signs a contract for 24 months for period '02.06.2019 - 02.06.2021' for 'TV: 78 basic channels' package. 

Customer John Smith is created in PortaBilling with monthly billing period. 

Service Provider offers the following packages:

PackageTermMonthly feeSet-up fee (one-time fee)Set-top-box rental/month
TV: 78 basic channelsopen-ended16 EUR45 EUR3 EUR
TV: 78 basic channels24 months13.50 EUR0 EUR2 EUR
'Travel channel' add-on package
2.50 EUR

Contract movement costs 1.50 EUR. Customer receives 100% discount for movement fee if the contract is moved with up-selling and new resident will pay higher monthly fee than previous customer and there is no need in visit of engineer.

There is no penalty for previous customer if new resident uses the same package or buys additional services and pays higher monthly fee.

Use scenario#4.1 Early contract termination after contract movement - penalty for last 12 months+set-up fee  penalties of previous user + new user penalties [MR87-0, partial]

  • continued after "On 31.05.2020 11 months  and 29 days of contract passed" from scenario#3.1
  • On 31.05.2020 John Smith contacts SP and informs the provider that he moves from his address and will not use services there anymore.
  • On 01.06.2020 invoice#12 is generated with monthly fee 13.5 EUR for John Smith.
  • John Smith pays invoice#12. 
  • On 02.06.2020 John Smith informs SP that a new resident wants to leave TV service and pay monthly for it.
  • Operator gathers needed info to add Customer to CRM.
  • Operator adds Customer in CRM system via API creates a new Customer Jonas Jonaitis in PortaBilling. 
  • Service Provider agrees on date of contract movement between Customers - 05.06.2020, so 04.06.2020 is the last day of contract for John Smith.
  • On 05.06.2020 Operator via CRM system moves the contact from John Smith to Jonas Jonaitis Customer. Charges are calculated starting from this day.
  • On 05.06.2020 Operator initiates 1.50 EUR charge via CRM system for Jonas Jonaitis Customer for Contract move. Balance of Jonas Jonaitis becomes 1.5 EUR.
  • Starting from 05.06.2020 Jonas Jonaitis starts using services . 
  • On 01.07.2020 invoice #13 is generated for John Smith and it includes prorated fee for 4 days in June - 1.8 EUR.
  • On 01.07.2020 invoice#1 is generated for Jonas Jonaitis, it includes prorated monthly fee 11.70 EUR for 26 days in June (13.50/30*26) + 1.50 from his balance. Total 13.20 EUR.
  • John Smith and Jonas Jonaitis pay invoices.  Jonas Jonaitis continues using service.
  • On 02.08.2020 Jonas Jonaitis informs SP that he terminates contract. 
  • On 02.08.2020 operator terminates Contract of Jonas Jonaitis in CRM system. 
  • When terminating operator sets that penalties from John Smith commitment should be applied and penalties from commitment of Jonas Jonaitis should be calculated and applied to balance of Jonas Jonaitis. 
  • Contract is terminated in PortaBilling. 
  • On 01.09.2020 invoice is generated and it includes prorated monthly fee for 2 days in August and cancellation penalty for last 12 months period of usage:
ServiceService fee for August (2 days)Discount for service fee (open-ended contract fee - special offer contract fee)Total service feeService Cancellation penalty for Aug 2019 - 29 days and 11 full monthsService Cancellation penalty for 2 days in August 2020Set-up fee penaltyRent fee for August 2020 - 2 daysRent fee cancellation penalty for Aug 2019 - 29 days and 11 full monthsRent fee cancellation penalty for 2 days in August 2020Total
TV(16/31*2)=1.03 EUR-0.16 EUR(13.50/31*2)= 0.87 EUR  


(16-13.5)*29days/31=2.34 EUR

16EUR-13.5EUR= 2.5 EUR*11 month = 27.5 EUR (11 months)
2.34 EUR+27.5 EUR= 29.84. EUR

(16-13.5)*2days/31days= 0.16 EUR45 EUR(2/31*2)=0.13 EUR

(3-2)*29days/31=0.94 EUR

3 EUR- 2 EUR= 1 EUR*11 month = 11 EUR

0.94 EUR + 11 EUR = 11.94 EUR

(3-2)*2days/31days= 0.06 EUR89.03 EUR


Use scenario#4.2 Contract movement with up-selling and early termination - penalty from previous user + new user penalties [MR87-0, partial]

  • continued after "On 31.05.2020 11 months and 29 days of contract passed" from scenario#3.1
  • On 31.05.2020 John Smith contacts SP and informs the provider that he moves from his address and will not use services there anymore.
  • John Smith informs SP that a new resident wants to leave TV service, the existing package of channels + additional channel 'TravelChannel' for 2.5 EUR/ month additionally. 
  • On 01.06.2020 invoice for John Smith is generated. He pays it. 
  • Operator gathers needed info to add Customer to CRM.
  • Administrator or CRM system creates a new Customer Jonas Jonaitis in PortaBilling. 
  • Service Provider and John agree on date of contract movement between Customers - 05.06.2020.
  • On 05.06.2020 Administrator moves the contact from John Smith to Jonas Jonaitis Customer. He starts using service. 
  • As Jonas Jonaitis signed for additional TV channel (and will pay more than John Smith paid according to this contract) - Jonas Jonaitis gets 100% discount for contract movement fee:
  • His balance is changed to: 1.5 EUR - 100% discount= 0 EUR.
  • On 05.06.2020 invoice for John Smith is generated and it includes prorated fee for 4 days in June - 1.8 EUR (13.50/30*4).
  • On 01.07.2020 invoice for Jonas Jonaitis is generated and it includes:
ServiceService fee for June (26 days)Discount for Service fee (open-ended contract fee - special offer contract fee)Total service fee for June (26 days)Additional channel 'TravelChannel' fee (26 days)Contract movement feeContract movement fee discountTotal Contract movement feeTotal
TV(16/30*26)=13.9 EUR -2.2 EUR (13.90 - 11.70)(13.50/30*26)= 11.7 EUR(2.5/30*26) = 2.17 EUR1.50 EUR-1.50 EUR (1.50 - 100% discount)0 EUR13.87 EUR
  • Jonas Jonaitis pays invoice and continues using service.
  • On 02.08.2020 Jonas Jonaitis informs SP that he terminates contract.
  • On 02.08.2020 operator terminates Contract of Jonas Jonaitis. 
  • When terminating operator sets that penalties from John Smith commitment should be applied and penalties from commitment of Jonas Jonaitis should be calculated and applied to balance of Jonas Jonaitis. 
  • On 01.09.2020 invoice is generated and it includes prorated monthly fee for 2 days in August and cancellation penalty for 12 months of usage:
ServiceService fee for August 2020 2 days  (basic package)Discount for Basic package (open-ended contract fee - special offer contract fee)Total service fee (basic package) for August  2020Fee for additional travel channel Cancellation penalty for Aug 2019 - 29 days and 11 months

Prorated cancellation penalty for 2 days in Aug 2020

Rent fee for 2 days Aug 2020Rent fee cancellation penalty for Aug 2019  - 29 days and 11 full monthsRent fee cancellation penalty for 2 days in August 2020Contract movement discount - penaltySet up fee penaltyTotal
TV(16/31*2)=1.03  EUR-0.16 EUR (1.03 - 0.87)(13.50 /31*2days) 0.87 EUR(2.50/31*2)=0.16 EUR

(16-13.5)*29days/31=2.34 EUR

16EUR-13.5EUR= 2.5EUR*11 months = 27.5 EUR (11 months)

2.34 EUR+27.5 EUR= 29.84 EUR

(16-13.5)*2days/31days= 0.16 EUR(2/31*2) = 0.13 EUR

(3-2)*29days/31=0.94 EUR

3 EUR- 2 EUR= 1 EUR*11 month = 11 EUR

0.94 EUR + 11 EUR = 11.94 EUR

(3-2)*2days/31days= 0.06 EUR1.5 EUR
45 EUR 90.69 EUR

Use scenario#4.3 Contract movement with down-selling [MR87-0]

  • continued after "On 31.05.2020 11 months and 29 days of contract passed" from scenario#3.1
  • On 31.05.2020 John Smith contacts SP and informs the provider that he moves from his address and will not use services there anymore.
  • John Smith informs SP that a new resident wants to leave TV service.
  • New resident Jonas Jonaitis informs SP that he wants to leave service but wants a package with lower recurring fee. 
  • Service Provider informs Jonas Jonaitis that contract movement is not allowed and a new contract for a new period and package should be signed.
  • Jonas Jonaitis agrees.
  • Contract for John Smith is terminated by Operator. When terminating contract Operator sets period to calculate penalties for John Smith from the beginning of contract 02.06.2019 till 31.05.2020.


Other requirements / constraints

  1. In case the owner of apartment dies - no cancellation fee applies. Customer confirmed that in such a case they will terminate the contract in a regular way with penalties. After that they will issue a manual credit for the amount of penalties.
  2. The history of changing contracts should be available for Service provider (it should be like PB audit log we already have for Customer) (we showed SP the audit log on Customer and he agrees on such similar web log for history of contracts). 
  3. The history of applied discounts to Customer should be available for Service provider. 
  4. If contract is open-ended there shouldn't be 0 xDR for discount (we were asked by QA).
  5. If special offer contract ends -  open-ended contract begins, nothing changes (product, service) - just discount disappears (special offer 16 EUR and discount 2.50 EUR, when open-ended begins just 16 EUR chanrge). (SP described his vision of transition from special to open-ended contract).
  6. Penalty for the discounted device should be applied regardless of the day of cancellation - if contract is signed for 24 months. 
  7. When PB receives instruction from Odoo CRM to terminate contract - Odoo will also instruct to apply or not apply penalty. 
  8. All actions with Contracts mentioned in BRS should be supported via API and PB GUI. 
  9. It shouldn't be possible to set the period for penalty calculation bigger than the term of signed Contract. 
  10. If no period for penalty calculation is set on contract termination - contract should be closed WITHOUT penalties. 
  11. Customers with open-ended contracts also can have discounts - BUT there won't be penalty for them;
  12. Customers can also have regular discounts that don't oblige them to use service for 12/18/24/36 months. Such discounts are not summed up with discounts of special offer contract and they are not considered when penalty is calculated.
  13. SP is not going to use PortaBilling invoices, instead he will query statistics data and will generate invoice .pdfs in 3rd party system. 
  14. It should be possible to set 'from'/to' period as ANY/ANY, not the first date of contract and last day on contract termination for penalty calculation. 
  15. The Contract with special offer for TV set can't be moved, it's closed for previous Customer as usually and new Contract is signed for new Customer. 
  16. Add possibility of changing end date for assigned contract to Account. (TT#716989#txn-48195889)

  17. ~10-15k contracts prolongation per month occurs.

1 Comment

  1. Unknown User (marius_kuklinskas)

    BRS is approved