Southeast Supply Header, LLC

Original Volume No. 1

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Effective Date: 09/04/2008, Docket: CP07-44-005, Status: Effective

Original Sheet No. 464 Original Sheet No. 464

 

FORM OF SERVICE AGREEMENT FOR

CAPACITY RELEASE UMBRELLA AGREEMENT UNDER

RATE SCHEDULE FTS

(CONTINUED)

 

ARTICLE V

INTERPRETATION

 

The interpretation and performance of this Umbrella Service

Agreement shall be in accordance with the laws of the State of

__________, without recourse to the law governing conflict of laws.

 

This Umbrella Service Agreement and the obligations of the parties

are subject to all present and future valid laws with respect to the

subject matter, either State or Federal, and to all valid present and

future orders, rules, and regulations of duly constituted authorities

having jurisdiction.

 

ARTICLE VI

RELATIONSHIP BETWEEN REPLACEMENT SHIPPER

AND RELEASING SHIPPER

 

The parties recognize that, pursuant to Commission orders,

Releasing Shipper may require that the Replacement Shipper agree that a

breach of this Agreement, including a failure to pay, or to pay timely,

by Replacement Shipper under this Agreement, constitutes a breach of

contract as between Replacement Shipper and Releasing Shipper. The

existence of such an agreement will be indicated on the appropriate

Addendum to this Capacity Release Umbrella Agreement. If Replacement

Shipper fails to pay Transporter, fails to timely pay Transporter, or

otherwise breaches this Agreement with Transporter: (a) both

Replacement Shipper and Releasing Shipper (except to the extent

otherwise provided in Section 25.2(a) of the GT&C and except with

respect to penalties attributable to Replacement Shipper's conduct)

shall be liable to Transporter for such failure to pay or breach (it

being understood that nothing in this Article VI relieves Releasing

Shipper from responsibility to pay Transporter in accordance with its

Agreements with Transporter) and (b) if, as a result of such breach by

Replacement Shipper, Releasing Shipper is accordingly required to pay

Transporter or otherwise perform, Releasing Shipper may have a cause of

action for breach against Replacement Shipper.