Gulfstream Natural Gas System, L.L.C.

Original Volume No. 1

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Effective Date: 05/21/2002, Docket: CP00- 6-004, Status: Effective

Original Sheet No. 120 Original Sheet No. 120 : Effective

 

 

 

GENERAL TERMS AND CONDITIONS

(CONTINUED)

 

 

3.3 Failure to Meet Specifications. Should any Gas tendered for

delivery hereunder fail at any time to conform to any of the

specifications of this Section 3 ("Non-Conforming Gas"), the

Transporter shall notify the party tendering such Gas of any

such failure and Transporter may at its option suspend all

or a portion of the receipt of any such Non-Conforming Gas,

and shall be relieved of obligations hereunder for the

duration of such time as the Non-Conforming Gas does not

meet such specifications. Nothing in this Section 3 shall

prevent Transporter from waiving any quality specifications

where the acceptance of Non-Conforming Gas will not in the

reasonable judgement of Transporter adversely impair its

operation. The exclusive remedy of the affected party shall

be liquidated damages not to exceed the greater of (a) ten

dollars ($10.00), or (b) two times the Spot Price Index (as

defined in Section 8.7 of these General Terms and

Conditions), for each Dekatherm of such Non-Conforming Gas.

 

3.4 The design and construction of any facilities to be

installed by Shipper in order to comply with the quality

specifications in Sections 3.1 and 3.2 shall be approved by

Transporter prior to such facilities being placed in

service, such approval not to be unreasonably withheld.

 

3.5 Commingling. It is recognized that Gas delivered by Shipper

will be commingled with other Gas transported hereunder by

Transporter. Accordingly, the Gas of Shipper shall be

subject to such changes in heat content as may result from

such commingling and Transporter shall, notwithstanding any

other provision herein, be under no obligation to redeliver

for Shipper's account, Gas of a heat content identical to

that caused to be delivered by Shipper to Transporter.