Partner Function screening - how does it work?

Dear Experts,
I would appreciate some input concerning the following issue we are facing:
We have currently set-up Embargo screening as such:
-- Determination Procedure: LEEMB
-- Partner Group Export: ZEMBEX
-- Legal Regulation: ZEMBW
-- Country Groups: CTNTRYG_ALL (both from / to)
-- Embargoed country: SY as top level country embargo
-- Activation of Legal Regulation "Excluding Domestic' vs "Including Domestic"
Partner Groups contains the following 5 partner functions:
-- AG / RE / RG / WE (Standard 4: Ship-to / Bill-to / Payer / Sold-TO )
-- ZE (End - User)
We are experiencing issues when executing the following sales transaction:
Case 1:
Sales from DUBAI to DUBAI but with ZE partner Function to country SY.
When using the setting 'Exclude Domestic' the system does not trigger any embargo situation as Dubai-Dubai is not embargoed not taking into account ZE partner function country SY.
Case 2:
Sales from DUBAI to DUBAI but with ZE partner Function to country SY.
When using the setting 'Include Domestic' the system does trigger an embargo situation as SY is embargoed.
We were expecting the Embargo situation in "Case 1" as we were expecting the system to loop through all partner functions activated (all 5), find SY on the ZE partner function (thus being Export) and hitting the SY embargo ban.
Could someone explain why case one is seen as an "domestic trade" in GTS not hitting Embargo checks or explain the logic for the Partner Function screening? It seems that even though the 5 partner are activated in the partner group they are not all checked...
Any thoughts are welcome...
regards

Hi Mark,
This looks to be correct behaviour, In case 1, you are excluding a domestic scenario from the checks for the activated embargo regulation. A domestic scenario is based on ship-to being in the same country so DUBAI to DUBAI is clearly a domestic one so the system wont run through the check on other PFs.
Case 2 is exactly the same, only you are saying that you want to include domestic scenarios like DUBAI to DUBAI. In this case the check of the countries of the partner functions contained in partner group occurs and embargo is seen on SY.
I think the configuration is behaving exactly as designed here. Anymore questions let me know.
Michael

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