Code 25: No Merchandise Received for Invoice

What is Deduction Code 25?

Code 25s are triggered when Walmart claims to have not received any merchandise for the invoice transmitted. Therefore, Code 25 deductions will always be for the full amount of the invoice.

Code 25s are often invalid and occur when the supplier transmits an invoice before the facility receives the order.

How to Prevent Valid Code 25s

• Invalid 25s are often a timing issue -- the invoice is sent to Walmart before order is shipped or is received at the Walmart facility

• Best practice is to not invoice before the order is shipped. We often recommend that suppliers schedule the invoice to be sent on the MABD

• Do not re-invoice once goods are delivered (this would cause code 30s); instead, dispute the existing code 25 deduction

Can Code 25s be Disputed?

Yes. In the Accounts Payable Disputes Portal (APDP) in Retail Link, provide the correct shipping documents to prove that the PO was delivered in full.

Root Cause Analysis for Code 25s

While timing is often a cause for Code 25s, there are other possibilities. Some suppliers will accidentally send a duplicate invoice for a PO. In this case, Walmart often deducts the cost of that invoice in the form of a Code 25 because, from their perspective, they have already paid for that order.

If the Code 25 is for an invoice that is not a duplicate, there are a number of other possibilities. Proving invalidity with certainty involves finding proof of delivery for a shipment that does not have a duplicate invoice whose price is the same as the PO. In this case, there is likely an error on Walmart’s part.

In cases where the PO and the invoice are in greater variance than merely presence or absence (i.e. the deduction does not match a quantity for an invoice that you think you’ve sent), there are various degrees of likelihood surrounding validity, and it will probably involve more targeted conversations with Walmart about which PO they did or did not receive.

At any step along the way, if there isn’t a match for the dollar amount of the deduction on any of the invoices, trying to understand what exactly the Code 25 applies to can be difficult, and discerning validity can become a guessing game.

How to Dispute Invalid Code 25s

Supporting Documentation:

• Freight bill showing in full. Collect: Bill of lading signed by the driver showing the PO was picked up in full. The Purchase Order number should be clearly noted on this document. Prepaid: Proof of delivery showing the PO was received in full. The Purchase Order number should be clearly noted on this document.

• Invoice (EDI 810) showing order quantity