Escheat a Payment

Your organization issues a check to a supplier, but the supplier does not deposit it and the check becomes stale. Possibly, the supplier has gone out of business and you must now transfer the amount to the State if no legal heirs or claimants exist.

Here are some simple steps to achieve this business requirement:

1. Identify the payments to escheat.
2. Void the identified payments using the Update a payment action of the payables payments REST resource.

   Note:

   You do not need to cancel the original invoices. The idea is to update the State or Tax authorities, modeled as a third party, on the unpaid invoice installments.

3. Define third-party payment supplier and address using REST APIs by using the Create a supplier action and the Create an address action. This can be a one-time setup for a State or Tax authority.
4. Update the supplier with the third-party payment relationship using the Third-Party Payment Relationships REST Resource.
5. Update the invoice installments with the third-party payment details using the Update an invoice installment action of the Invoice Installments REST resource.

   Note:

   The goal here is to update the third-party payment relationships on existing unpaid invoices and pay them to the State or Tax authorities, modeled as third-party.

6. Process payments to third-party payments by referring to How Payment Process Requests Are Processed.

Note:

These steps are a few of many available modes. Review and add more steps if you are using additional functionality. For example, if you are using the invoice approval workflow, you must complete the invoice approval process before you can pay the invoices.