Dunning is a procedure employed to engage with businesses to recover outstanding payments for services rendered. This process encompasses various forms of communication, predominantly through emails, to remind clients about their delayed payments and to motivate them to clear their pending dues. Additionally, it includes automated attempts to retry charging to secure the owed funds.

inTandem billing

Step-by-Step Process:

1. Dunning process failed: The dunning process takes place in inTandem's license manager back-end. It does not impact the subscription or the business until the process ends with a failure to collect the funds.
2. Conclusion of Dunning Process: Upon dunning process failure, the subscription status is updated to 'Expired' immediately with cancellation and expiration dates set to Now. This status change triggers a Subscription Update webhook.

Partner billing

Step-by-Step Process:

1. Dunning process failed: The dunning process takes place in the partner's system.
2. Subscription update The partner must inform inTandem of the expiry of the subscription by calling the update subscription API setting the subscription to expire immediately:
   1. purchase_state = expired
   2. expiration_date = Now()
3. Final Status Update – The subscription status changes to *"Expired". This status change triggers a Subscription Update webhook, ensuring all systems reflect the final state.