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Renewal orders deletion when Split Segment by Term feature is enabled

This topic explains regarding the status of invoice items and charge segments when you delete a renewal order on a subscription that uses the Split Segment by Term feature.

Split Segment by Term feature

This section applies to Orders-based tenants who have the Split Segment by Term feature enabled. If you have enabled the Order to Revenue feature, see the split segment workflow.

When the Split Segment by Term feature is enabled, renewing a subscription does not simply extend an existing charge segment. Instead, Zuora creates a new charge segment for each renewal term. For example, if a subscription previously had two charge segments, renewing it creates a third segment. The invoice term for that renewal period is associated with this new segment.

If you later delete a renewal order, Zuora rolls the subscription back to its previous version. The behavior of the invoice items that referenced the renewal's charge segment depends on whether a matching segment exists in the previous subscription version, and whether those charges have already been invoiced.

The deletion outcomes by scenarios are listed in the below table:

Scenario

Outcome

The renewal created a new segment that has no counterpart in the previous version, and the segment has already been invoiced.

The deletion is blocked. Zuora returns an error message, "This version of the subscription cannot be deleted since charges related to this version of the subscription have already been invoiced".

The renewal created a new segment that has not yet been invoiced.

The deletion proceeds, subject to other standard deletion checks (for example, canceled invoices or credit or debit memos that reference the segment).

Note: Zuora verifies whether the renewal segment can be pointed again to another segment in the previous subscription version, before deciding whether to allow the deletion. The deletion is not blocked because an invoice term is attached to the renewal segment (only when the invoiced charges have no prior segment to which it can be reverted).