Customer hierarchy

Hi,

I have created rebate agreements R1 and R2 with recipients(customers) C1 and C2.

According to standard process when i create sales orders OR1 and OR2 with customers C1 and C2,rebate conditions should take values from rebate agreement of customer with top most hierarchy.

In my issue C1 is at the top level hierarchy and rebate condition values should be from the rebate agreement R1 for both the sales orders OR1 and OR2.

But its not happening so.rebate condition values are from their respective rebate agreements R1 for OR1 and R2 for OR2.It is not following the standard customer hierarchy.I checked the standard settings everything is maintained.

Please suggest me the solution for this.