If you are using LawPay with your CosmoLex, it is best to perform all your credit card transactions through your CosmoLex software. However, let's say that a transaction was recorded but then voided in the LawPay portal - what then? Credit card transactions cannot be deleted in CosmoLex. If you attempt to void the transaction in your CosmoLex after voiding it in LawPay, you will receive the following message:
Since your CosmoLex software cannot locate a similar unvoided transaction in your LawPay, it will prevent this step and give you the above message. However, there are ways to properly account for the voided transaction in your CosmoLex software.
If the transaction is tied to an Operating Account, you will have to perform a Credit Memo. While this function is typically used to give money back to a client, in this case, it will be used to reconcile the voided transaction against your records.
Note - if the transaction is for payment of an invoice, you will have to unlink the payment from the invoice first. For assistance on how to do this function, click HERE and follow the instructions on deleting an invoice. After which, the funds will be moved to the Operating Account and held as a retainer.
To create a Credit Memo, first, go inside the Matter itself. From there, click the banking tab, and under the transactions section, click Action, then Credit Memo.
Once the Credit Memo box is opened, enter the amount of the original transaction in the Amount field. While it is common to produce a check for a Credit Memo, LawPay will credit the client their money back and thus we will use Wire/ACH-Out in the Type field. Then, note the situation in the Memo field for your own reference later. When done, click Save.
Once Saved, the transaction will be marked in your Operating Account and the retainer balance returns to its previous amount.
If the transaction voided in LawPay was the receipt of a Trust Retainer, go into matter details, click the banking tab, and under the transactions tab, click Trust Transactions.
Just as with the transaction in the Operating Account, enter the amount of the original transaction in the Amount field. Choose Wire/ACH-Out in the Type field, and add the client's name to the Pay To field. Finally, enter a note about the transaction in the Memo field and click Save.
After saving, the transaction will be recorded in your records and the Trust Retainer balance returns to its previous amount.