diff --git a/base/src/org/compiere/model/MDunningRunEntry.java b/base/src/org/compiere/model/MDunningRunEntry.java
index 9e0b02e068..c946dfb756 100644
--- a/base/src/org/compiere/model/MDunningRunEntry.java
+++ b/base/src/org/compiere/model/MDunningRunEntry.java
@@ -22,6 +22,7 @@ import java.util.ArrayList;
 import java.util.Properties;
 import java.util.logging.Level;
 
+import org.adempiere.exceptions.BPartnerNoAddressException;
 import org.compiere.util.CLogger;
 import org.compiere.util.DB;
 import org.compiere.util.Env;
@@ -40,6 +41,7 @@ public class MDunningRunEntry extends X_C_DunningRunEntry
 	 * 
 	 */
 	private static final long serialVersionUID = 2028055451030209868L;
+	
 	/** Logger								*/
 	private static CLogger		s_log = CLogger.getCLogger (MPayment.class);
 
@@ -106,30 +108,58 @@ public class MDunningRunEntry extends X_C_DunningRunEntry
 			setC_BPartner_Location_ID (locations[0].getC_BPartner_Location_ID());
 		else
 		{
-			for (int i = 0; i < locations.length; i++)
-			{
-				MBPartnerLocation location = locations[i];
+			MBPartnerLocation firstActive = null;
+			MBPartnerLocation firstBillTo = null;
+			for (int i = 0; i < locations.length; i++)
+			{
+				MBPartnerLocation location = locations[i];
 				if (!location.isActive())
+				{
 					continue;
-				if ((location.isPayFrom() && isSOTrx)
-					|| (location.isRemitTo() && !isSOTrx))
-				{
-					setC_BPartner_Location_ID (location.getC_BPartner_Location_ID());
-					break;
-				}
+				}
+				else if (firstActive == null)
+				{
+					firstActive = location;
+				}
+				if ((location.isPayFrom() && isSOTrx)
+					|| (location.isRemitTo() && !isSOTrx))
+				{
+					setC_BPartner_Location_ID (location.getC_BPartner_Location_ID());
+					break;
+				}
+				else if (firstBillTo == null && location.isBillTo())
+				{
+					firstBillTo = location;
+				}
+			}
+
+			// If IsPayFrom or isRemitTo is not found among the BP Locations, check IsBillTo
+			// if that isn't available, we should use any active location
+			if(getC_BPartner_Location_ID() == 0)
+			{
+				if (firstBillTo != null)
+				{
+					setC_BPartner_Location_ID (firstBillTo.getC_BPartner_Location_ID());
+				}
+				else if (firstActive != null)
+				{
+					String msg = "@C_BPartner_ID@ " + bp.getName();
+					if (isSOTrx)
+						msg += " @No@ @IsPayFrom@";
+					else
+						msg += " @No@ @IsRemitTo@";
+					msg += " & @IsBillTo@";
+					log.info(msg);
+					setC_BPartner_Location_ID (firstActive.getC_BPartner_Location_ID());
+				}
 			}
 		}
 		if (getC_BPartner_Location_ID() == 0)
 		{
-			String msg = "@C_BPartner_ID@ " + bp.getName();
-			if (isSOTrx)
-				msg += " @No@ @IsPayFrom@";
-			else
-				msg += " @No@ @IsRemitTo@";
-			throw new IllegalArgumentException (msg);
+			throw new BPartnerNoAddressException(bp);
 		}
 		//	User with location
-		MUser[] users = MUser.getOfBPartner(getCtx(), bp.getC_BPartner_ID());
+		MUser[] users = MUser.getOfBPartner(getCtx(), bp.getC_BPartner_ID(), null);
 		if (users.length == 1)
 			setAD_User_ID (users[0].getAD_User_ID());
 		else
diff --git a/base/src/org/compiere/process/DunningRunCreate.java b/base/src/org/compiere/process/DunningRunCreate.java
index 867cfbfd15..ea3b3c478e 100644
--- a/base/src/org/compiere/process/DunningRunCreate.java
+++ b/base/src/org/compiere/process/DunningRunCreate.java
@@ -21,11 +21,14 @@ import java.sql.PreparedStatement;
 import java.sql.ResultSet;
 import java.util.logging.Level;
 
+import org.adempiere.exceptions.BPartnerNoAddressException;
+import org.compiere.model.MBPartner;
 import org.compiere.model.MDunningLevel;
 import org.compiere.model.MDunningRun;
 import org.compiere.model.MDunningRunEntry;
 import org.compiere.model.MDunningRunLine;
 import org.compiere.model.MInvoice;
+import org.compiere.model.MPayment;
 import org.compiere.util.DB;
 import org.compiere.util.Env;
 
@@ -252,16 +255,19 @@ public class DunningRunCreate extends SvrProcess
 				if (DaysBetweenDunning != 0 && DaysAfterLast < DaysBetweenDunning && !m_level.isShowAllDue () && !m_level.isShowNotDue ())
 					continue;
 				//
-				createInvoiceLine (C_Invoice_ID, C_InvoicePaySchedule_ID, C_Currency_ID, GrandTotal, Open,
+				if (createInvoiceLine (C_Invoice_ID, C_InvoicePaySchedule_ID, C_Currency_ID, GrandTotal, Open,
 					DaysDue, IsInDispute, C_BPartner_ID, 
-					TimesDunned, DaysAfterLast);
-				count++;
+					TimesDunned, DaysAfterLast))
+				{
+					count++;
+				}
 			}
  
 		}
 		catch (Exception e)
 		{
 			log.log(Level.SEVERE, "addInvoices", e);
+			getProcessInfo().addLog(getProcessInfo().getAD_PInstance_ID(), null, null, e.getLocalizedMessage());
 		}
 		finally
 		{
@@ -283,15 +289,30 @@ public class DunningRunCreate extends SvrProcess
 	 *	@param TimesDunned
 	 *	@param DaysAfterLast
 	 */
-	private void createInvoiceLine (int C_Invoice_ID, int C_InvoicePaySchedule_ID, int C_Currency_ID, 
+	private boolean createInvoiceLine (int C_Invoice_ID, int C_InvoicePaySchedule_ID, int C_Currency_ID, 
 		BigDecimal GrandTotal, BigDecimal Open, 
 		int DaysDue, boolean IsInDispute, 
 		int C_BPartner_ID, int TimesDunned, int DaysAfterLast)
 	{
-		MDunningRunEntry entry = m_run.getEntry (C_BPartner_ID, p_C_Currency_ID, p_SalesRep_ID);
+		MDunningRunEntry entry = null;
+		try 
+		{
+			entry = m_run.getEntry (C_BPartner_ID, p_C_Currency_ID, p_SalesRep_ID);
+		} 
+		catch (BPartnerNoAddressException e)
+		{
+			String msg = "@Skip@ @C_Invoice_ID@ " + MInvoice.get(getCtx(), C_Invoice_ID).getDocumentInfo()
+				+ ", @C_BPartner_ID@ " + MBPartner.get(getCtx(), C_BPartner_ID).getName()
+				+ " @No@ @IsActive@ @C_BPartner_Location_ID@";
+			getProcessInfo().addLog(getProcessInfo().getAD_PInstance_ID(), null, null, msg);
+			return false;
+		}
+		
 		if (entry.get_ID() == 0)
+		{
 			if (!entry.save())
 				throw new IllegalStateException("Cannot save MDunningRunEntry");
+		}
 		//
 		MDunningRunLine line = new MDunningRunLine (entry);
 		line.setInvoice(C_Invoice_ID, C_Currency_ID, GrandTotal, Open, 
@@ -304,6 +325,8 @@ public class DunningRunCreate extends SvrProcess
 		invoice.setC_DunningLevel_ID(m_run.getC_DunningLevel_ID());
 		if (!invoice.save())
 			throw new IllegalStateException("Cannot update dunning level information in invoice");
+		
+		return true;
 	}	//	createInvoiceLine
 
 	
@@ -359,14 +382,17 @@ public class DunningRunCreate extends SvrProcess
 				if (Env.ZERO.compareTo(OpenAmt) == 0)
 					continue;
 				//
-				createPaymentLine (C_Payment_ID, C_Currency_ID, PayAmt, OpenAmt,
-					C_BPartner_ID);
-				count++;
+				if (createPaymentLine (C_Payment_ID, C_Currency_ID, PayAmt, OpenAmt,
+					C_BPartner_ID))
+				{
+					count++;
+				}
 			}
  		}
 		catch (Exception e)
 		{
 			log.log(Level.SEVERE, sql, e);
+			getProcessInfo().addLog(getProcessInfo().getAD_PInstance_ID(), null, null, e.getLocalizedMessage());
 		}
 		finally
 		{
@@ -384,10 +410,20 @@ public class DunningRunCreate extends SvrProcess
 	 *	@param OpenAmt
 	 *	@param C_BPartner_ID
 	 */
-	private void createPaymentLine (int C_Payment_ID, int C_Currency_ID, 
+	private boolean createPaymentLine (int C_Payment_ID, int C_Currency_ID, 
 		BigDecimal PayAmt, BigDecimal OpenAmt, int C_BPartner_ID)
 	{
-		MDunningRunEntry entry = m_run.getEntry (C_BPartner_ID, p_C_Currency_ID, p_SalesRep_ID);
+		MDunningRunEntry entry = null;
+		try {
+			entry = m_run.getEntry (C_BPartner_ID, p_C_Currency_ID, p_SalesRep_ID);
+		} catch (BPartnerNoAddressException e) {
+			MPayment payment = new MPayment(getCtx(), C_Payment_ID, null);
+			String msg = "@Skip@ @C_Payment_ID@ " + payment.getDocumentInfo()
+				+ ", @C_BPartner_ID@ " + MBPartner.get(getCtx(), C_BPartner_ID).getName()
+				+ " @No@ @IsActive@ @C_BPartner_Location_ID@";
+			getProcessInfo().addLog(getProcessInfo().getAD_PInstance_ID(), null, null, msg);
+			return false;
+		}
 		if (entry.get_ID() == 0)
 			if (!entry.save())
 				throw new IllegalStateException("Cannot save MDunningRunEntry");
@@ -396,6 +432,7 @@ public class DunningRunCreate extends SvrProcess
 		line.setPayment(C_Payment_ID, C_Currency_ID, PayAmt, OpenAmt);
 		if (!line.save())
 			throw new IllegalStateException("Cannot save MDunningRunLine");
+		return true;
 	}	//	createPaymentLine
 
 	private void addFees()