Columbia Gas Transmission LLC

Third Revised Volume No. 1

 Contents / Previous / Next / Main Tariff Index

 

 

Effective Date: 03/03/2009, Docket: RP09-340-000, Status: Effective

Original Sheet No. 314 Original Sheet No. 314

 

GENERAL TERMS AND CONDITIONS (Cont'd)

 

9.7 Loss of Creditworthiness

 

(a) Transporter may at any time re-evaluate the creditworthiness of Shipper and demand adequate

assurance of payment or additional adequate assurances of payment if Transporter determines that Shipper has

in any respect become uncreditworthy. Circumstances under which Transporter may re-evaluate Shipper's

creditworthiness include, but are not limited to, a filing by Shipper for bankruptcy or a submission to

bankruptcy or similar federal or state proceedings, an adverse change in Shipper's payment practices, a

reorganization of Shipper's business structure, an assignment of Shipper's contracts, or a request by Shipper

for increased service. If Transporter, following such a re-evaluation, makes an adverse preliminary

creditworthiness determination, and Shipper is current in its payments to Transporter and otherwise has a

good credit history with Transporter, Shipper will be given notice of such adverse determination and be

allowed 10 days to submit data demonstrating its continued creditworthiness before Transporter will make a

final determination of creditworthiness and, if adverse, demand adequate assurance of payment. Transporter

may at any time withdraw or revise its demand for adequate assurance of payment or extend its due date.

 

(b) If the Transporter requests additional information to be used for credit evaluation after the

initiation of service, the Transporter, contemporaneous with the request, should provide its reason(s) for

requesting the additional information to the Shipper and designate to whom the response should be sent. The

Transporter and the Shipper may mutually agree to waive the requirements of this standard.

 

(c) Upon receipt of either an initial or follow-up request from the Transporter for information to

be used for creditworthiness evaluation, the Shipper's authorized representative(s) should acknowledge receipt

of the Transporter's request. The Transporter and the Shipper may mutually agree to waive the requirements of

this standard.

 

(d) The Shipper's authorized representative(s) should respond to the Transporter's request for

credit information, as allowed by the Transporter's tariff, on or before the due date specified in the

request. The Shipper should provide all the credit information requested by the Transporter or provide the

reason(s) why any of the requested information was not provided.