Carolina Gas Transmission Corporation

Original Volume No. 1

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Effective Date: 11/01/2006, Docket: CP06- 71-001, Status: Effective

Original Sheet No. 191 Original Sheet No. 191 : Effective

23. FORCE MAJEURE AND LIMITATION ON SERVICE OBLIGATION

23.1 Force Majeure

(a) Relief from Liability. Neither Pipeline nor Shipper shall

be liable in damages to the other in the event of force

majeure. Force majeure means any act, omission, or

circumstance, whether foreseeable or not, occasioned by or

in consequence of any acts of God, strikes, lockouts,

disputes, or other industrial disturbances, acts of the

public enemy or of national or international terrorism,

wars, blockades, insurrections, riots, arrests, epidemics,

landslides, land subsidence, lightning, earthquakes,

hurricanes, fires, storms, storm warnings or advisories,

floods, washouts, and evacuations due to the threat of any

of the foregoing, arrests and restraints of rulers of

people and governments, present and future valid orders of

any governmental authority having jurisdiction (including

actions of the U.S. Department of Homeland Security or

other terrorism-related governmental authority), civil

disturbances, explosions, well blowouts, freezing of wells

or lines of pipe, breakage or accident to machinery or

lines of pipe, inability to obtain or delays in obtaining

easements or rights-of-way, shutting-in facilities for

making repairs, alterations or maintenance to wells,

pipelines, or plants, including gas processing plants, the

binding order of any court or governmental authority that

has been resisted in good faith by all reasonable legal

means, inability to obtain or unavoidable delay in

obtaining material, and any other cause, whether of the

kind herein enumerated or otherwise, not within the control

of the party claiming suspension and which by the exercise

of Good Utility Practice, reasonable care, and due

diligence such party is unable to prevent or overcome.

However, an event of force majeure shall not include lack

of funds or finances, the price or loss of fuel supply or

energy produced, or lack of markets. The settlement of

strikes, lockouts, disputes, or other industrial

disturbances shall be entirely within the discretion of the

party having the difficulty, and the above requirement that

any inability to carry out obligations hereunder due to

force majeure shall be remedied with all reasonable

dispatch, shall not require also the settlements of such

strikes, lockouts, disputes, or other industrial

disturbances by acceding to the demands of the opponent

when such course is inadvisable in the discretion of the

party having the difficulty.