Termination options on lease contracts
A termination option can affect the calculations on an (active) lease contract. Similarly, any change in the termination option data, for example modifying the dates, will require a remeasurement on the contract line.
'Reasonably certain' termination option on lease contracts
If a termination option is 'reasonably certain', calculations are based on the proposed end date and the execution amount of the termination option. If a termination option is changed to 'not reasonably certain', the end date of the contract line is used for calculations.
You can use the Switch to reasonably certain (Y/N) field on the contract option to set the termination option from 'reasonably certain' to 'not reasonably certain' (default setting of this field is No). If you set the Switch to reasonably certain (Y/N) field to Yes, this means that the termination option is reasonably certain to be executed. There can only be one reasonably certain option at the same time for one contract. If you set an option to 'reasonably certain' while there is already another 'reasonably certain' option, Planon will automatically set this last option to 'not reasonably certain' (this only applies to termination options).
 | You can prepare multiple options with the Switch to reasonably certain set to Yes. As long as you do not have active options, they will not be reasonably certain. You can have multiple renewal, termination and purchase options. If you make them active, the following applies:
If the option is not reasonably certain, these rules do not apply. |
If a termination option is set to 'reasonably certain', Planon:
• recalculates the commitments
• will automatically perform a remeasurement
If a termination option is set to 'not reasonably certain' to be executed, Planon:
• recalculates the commitments
• will automatically perform a remeasurement