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. 192 Original Sheet No. 192 : Effective

(b) Notice. The party claiming force majeure shall provide

notice and full factual particulars of each such force

majeure to the other party within a reasonable time after

the occurrence of the cause(s) relied on by the party

claiming force majeure.

(c) Liabilities not Relieved. Force majeure affecting

performance by any party shall not relieve such party of

liability in the event of: (i) contributory negligence or

misconduct; or (ii) if the failure was caused by lack of

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

energy produced, or lack of markets, or with respect to the

payment of any amounts then due under this Tariff; or (iii)

the party’s failure to use due diligence to remedy the

situation and remove the cause in an adequate manner and

with all reasonable dispatch, including taking all

reasonable acts, short of litigation; or (iv) Shipper’s

injection, transportation, or delivery of non-conforming

gas into Pipeline’s facilities, nor shall such causes or

contingencies affecting performance relieve either party

from obligations to make payments of amounts as provided in

the applicable rate schedule.

23.2 Shipper Warranty. Shipper warrants all upstream and downstream

transportation service arrangements are in place, or will be in

place as of the requested effective date of service, and that it

has advised any upstream or downstream transporters of the

Receipt Points and Delivery Points under its Service Agreement

and any quantity and quality limitations for each point as

specified on the exhibits attached to the effective Service

Agreement or found in Pipeline’s Tariff. Shipper agrees to

indemnify, save, and hold Pipeline, its subsidiaries, and

affiliates and their directors, officers, employees, and agents,

free and harmless from any and all suits, regulatory proceedings,

actions, claims (including attorneys’ fees and court costs),

debts, accounts, damages (including punitive damages), costs,

losses, injuries, or expenses arising from or out of Pipeline’s

refusal to transport gas hereunder in the event any upstream or

downstream transporter fails to receive or deliver gas as

required by this Tariff. Shipper agrees to indemnify, save, and

hold Pipeline, its subsidiaries, and affiliates and their

directors, officers, employees, and agents, free and harmless

from any and all suits, regulatory proceedings, actions, claims

(including attorneys’ fees and court costs), debts, accounts,

damages (including punitive damages), costs, losses, injuries, or

expenses arising from or out of breach of any warranty by Shipper

herein. Pipeline shall not be obligated to provide or continue

service hereunder in the event of any breach of warranty.