What is collaborative liability in SAP FI-CA - Contract Accounts Receivable and Payable?

SAP Term: collaborative liability

• Component: FI-CA

• Component Name: Contract Accounts Receivable and Payable

• Description: Includes several natural or legal persons who all act as a debtor for the entire receivable or for specific partial amounts of this receivable. This type of liability can also include a third-party debtor, such as when a court defines a wage garnishment for the employer of a debtor.

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• Key Concepts: 
  Collaborative liability is a feature of the FI-CA Contract Accounts Receivable and Payable component of SAP. It allows for the sharing of liabilities between two or more parties. This feature is useful for companies that have multiple partners in a contract, such as joint ventures or consortiums. 
  
  How to use it: 
  In order to use the collaborative liability feature, you must first set up the contract accounts receivable and payable in SAP. This includes setting up the partner relationships, defining the liabilities, and assigning the liabilities to each partner. Once this is done, you can then use the collaborative liability feature to share the liabilities between the partners. 
  
  Tips & Tricks: 
  When setting up the contract accounts receivable and payable in SAP, it is important to ensure that all of the partner relationships are correctly defined. This will ensure that the collaborative liability feature works properly and that all of the liabilities are shared correctly between the partners. 
  
  Related Information: 
  For more information on setting up contract accounts receivable and payable in SAP, please refer to SAP's documentation on FI-CA Contract Accounts Receivable and Payable. Additionally, there are many online resources available that provide tutorials and tips on how to use this feature.