Southeast Supply Header, LLC
Original Volume No. 1
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Effective Date: 06/28/2010, Docket: RP10-783-000, Status: Effective
First Revised Sheet No. 338 First Revised Sheet No. 338
Superseding: Original Sheet No. 338
GENERAL TERMS AND CONDITIONS
(CONTINUED)
28. RIGHT OF FIRST REFUSAL
28.1 Purpose. The purpose of this Section 28 is to provide the
necessary information pertaining to the right of long-term firm
Shippers to continue firm Transportation Service at the
expiration of their Agreements by exercising a right of first
refusal.
28.2 Eligibility. Any Shipper with a firm Agreement under a Part 284
Rate Schedule with an initial term of greater than two (2) years
must give notice to the Transporter that Shipper desires to
continue its Agreement at least two years in advance of the end
of the primary term of the Agreement, and any Shipper with a firm
Agreement under a Part 284 Rate Schedule with a primary term of
(i) at least twelve (12) Months of consecutive Transportation
Service, or (ii) firm Transportation Agreements with a primary
term of more than one (1) year for service which is not available
for twelve (12) consecutive months ("seasonal contracts") must
give notice to Transporter that Shipper desires to continue its
Agreement at least six (6) months in advance of the end of the
primary term of the Agreement. Shipper also must agree that it
will match (a) the longest term, up to the maximum term allowed
by the Commission, and (b) the highest rate for such Service, up
to the Maximum Recourse Rate, that is offered by any other person
desiring such capacity; provided, however, that Transporter shall
not be obligated to provide service at less than the Maximum
Recourse Rate(s). A Shipper paying a Negotiated Rate which
exceeds the Maximum Recourse Rate will be considered for purposes
of this Section 28.2 to be paying the Maximum Recourse Rate as
set forth in the Statements of Rates. Failure of the Shipper to
give the notice specified will constitute a waiver of the
Shipper's right of first refusal.