Patent ID: 7536354

Claim:
A method for use in an electronic multiparty accounts receivable and accounts payable system intended for use by at least two system participants who have contracted with one another and who may owe debts to one another under one or more underlying contracts and who both use the electronic multiparty accounts receivable and accounts payable system to manage their respective debt obligations and wherein with respect to a specific debt obligation, the system participant owed the debt is deemed a creditor participant and the system participant owing the debt is deemed a debtor participant, the method comprising: storing information reflecting debts owed by the debtor participant in an electronic data storage means of the electronic multiparty accounts receivable and accounts payable system; constructing an electronic invoice from the debt information stored in the electronic data storage means reflecting amounts owed to the creditor participant by the debtor participant on one or more underlying contracts; presenting the electronic invoice reflecting amounts owed to the creditor participant by the debtor participant to the debtor participant for authorization; reviewing the information reflected in the electronic invoice by one or more of the credit participant and the debtor participant; authorizing the electronic invoice when the debtor participant agrees with the information reflected in the electronic invoice or when the debtor participant declines to contest the information, wherein authorization signifies that the debt reflected in the electronic invoice has become a payment obligation due on a date certain; confirming the electronic invoice by the debtor participant, wherein confirmation transforms the debt reflected in the electronic invoice owed by the debtor participant into an independent payment obligation due on a date certain for a sum certain and free of defenses to the underlying contract; storing the confirmation in the electronic data storage means of the electronic accounts receivable and accounts payable system; and designating the confirmed electronic invoice as an electronic promissory note constituting an independent payment obligation of the debtor participant to the creditor participant; wherein the creditor participant transfers the independent payment obligation due on the date certain for the sum certain to a third party entity as an electronic promissory note for settling a separate obligation between the creditor participant and the third party entity.