Guardian Pipeline, L.L.C.

Original Volume No. 1

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Effective Date: 12/01/2002, Docket: RP02-534-000, Status: Effective

Original Sheet No. 198 Original Sheet No. 198 : Superseded

 

 

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

 

24. FORCE MAJEURE

 

24.1 Liability Excused

 

In the event either Transporter or Shipper is unable,

in whole or in part, by reason of the existence of a

Force Majeure event to carry out its obligations under

the Service Agreement, it is agreed that, on such

party giving notice and full particulars of such Force

Majeure to the other party in a form consistent with

Section 9 of the GT&C as soon as possible after the

occurrence of the cause relied on, the obligations of

both parties, so far as they are affected by such

event of Force Majeure, shall be excused during the

continuance of any inability so caused but for no

longer period. Provided, however, the party claiming

the existence of Force Majeure shall use all

reasonable efforts to remedy any situation that may

interfere with the performance of its obligations

hereunder, and the existence of Force Majeure shall

not relieve a party from its obligations to make

payments as then due or becoming due under a Service

Agreement, including the obligation to pay reservation

or other fixed charges during the period of Force

Majeure. However, given that Transporter uses the SFV

rate design methodology, as a reasonable way to divide

the risk of force majeure, when claimed by

Transporter, Transporter shall provide to affected

Shipper(s) a partial reservation charge credit equal

to Transporter's return on equity and income taxes.

 

24.2 Force Majeure

 

The term "Force Majeure" shall mean an event or

condition, whether affecting Transporter or Shipper,

beyond the reasonable control of the party claiming

Force Majeure. Such events or conditions shall

include, but shall not be limited to: acts of God;

strikes, lockouts, or other industrial disturbances;

sabotage, acts of the public enemy, wars, blockades,

insurrections, riots, or epidemics; landslides,

lightning, earthquakes, fires, hurricanes, storms,

floods, washouts or other natural events or the threat

thereof or warnings related thereto; arrests and

restraints of government and people or civil