Kern River Gas Transmission Company
Second Revised Volume No. 1
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Effective Date: 08/01/2009, Docket: RP09-723-000, Status: Effective
Second Revised Sheet No. 95 Second Revised Sheet No. 95
Superseding: Sub First Revised Sheet No. 95
. GENERAL TERMS AND CONDITIONS .
5. INVOICING AND PAYMENT (Continued)
5.5 Failure to Pay Invoices. (Continued)
In such event, Transporter may demand and Shipper, within thirty
(30) days of such demand, will furnish good and sufficient surety
bond, guaranteeing payment to Transporter of all disputed amounts
for any invoices that are or will be affected by such dispute. If
Shipper fails to provide a bond to Transporter guaranteeing
payment, or if Shipper defaults in the conditions of such bond,
then Transporter will have the right, after any necessary
application to and authorization by the FERC, to terminate the
Transportation Service Agreement. NAESB WGQ 2.3.26: "The time
limitation for disputes of allocations should be 6 months from the
date of the initial month-end allocation with a 3-month rebuttal
period. This standard shall not apply in the case of deliberate
omission or misrepresentation or mutual mistake of fact. Parties'
other statutory or contractual rights shall not otherwise be
diminished by this standard."
5.6 Disputed Invoices. NAESB WGQ 3.3.19: "If invoice is in dispute,
pay portion not in dispute and provide documentation identifying
basis for the dispute."
5.7 Right to Set Off Unpaid Amounts. In the event that Shipper does
not pay the full amount due Transporter in accordance with Section
5.3 hereof, Transporter, without prejudice to any other rights or
remedies it may have, will have the right to withhold and set off
payment of any amounts of monies due or owing by Transporter to
Shipper, whether in connection with this Agreement or otherwise,
against any and all amounts or monies due or owing by Shipper to
Transporter for services performed under the Transportation
5.8 Right to Recover Collection Costs. Transporter is entitled to
recover and may recover only from a defaulting party any
reasonable expenses, costs or attorneys' fees incurred to recover
amounts owed by such defaulting party pursuant to a rate schedule,
service agreement, the General Terms and Conditions of this
tariff, or for transportation services rendered by Transporter.