Millennium Pipeline Company, L. L. C.

Original Volume No. 1

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Effective Date: 11/01/2009, Docket: RP10-17-000, Status: Effective

First Revised Sheet No. 71C First Revised Sheet No. 71C

Superseding: Original Sheet No. 71C

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

(i) In complying with the creditworthiness related notifications pursuant to the

applicable NAESB WGQ Standards, the Shipper(s) and Transporter may mutually agree to other

forms of communication in lieu of Electronic Notice Delivery notification.

 

(j) If a Shipper becomes insolvent or loses its creditworthiness after service

commences on Transporter's system, Transporter will notify Shipper via Electronic Notice

Delivery and facsimile stating that the Shipper has lost its creditworthiness status. If

Shipper is a Replacement Shipper, simultaneous notice will also be sent to the Releasing

Shipper via Electronic Notice Delivery and facsimile. Within ten (10) days of such notice,

Transporter will provide the non-creditworthy Shipper a detailed written explanation of the

reasons for such loss of creditworthiness and provide a recourse for Shipper to challenge that

determination.

 

(k) Regardless of whether Shipper is insolvent, has lost its creditworthiness status or

does not desire to continue service with Transporter, Shipper will continue to be liable for

all charges due under its Service Agreement and associated rate schedule. If the Shipper

desires to continue service with Transporter, Transporter may require the Shipper to pay any

outstanding balances due Transporter for services rendered and provide adequate credit

assurances in accordance with Section 3.9(c) above.

 

(l) If Shipper fails to provide the credit assurance within the specified time period,

Transporter may (i) immediately suspend service to Shipper, or (ii) terminate Shipper's

Service Agreement upon at least thirty (30) days written notice to Shipper, Releasing Shipper,

if any, and the Commission that it will terminate service to Shipper if Shipper fails to pay

the outstanding balance or provide the required credit assurance. Any such termination will

not waive any rights Transporter may otherwise have under any and all Service Agreements with

Shipper including, but not limited to, the right to sue Shipper for unmitigated damages

resulting from Shipper's breach of contract. If Transporter terminates the service of a

Replacement Shipper, Transporter will provide simultaneous notice to the Replacement Shipper

and Releasing Shipper via Electronic Notice Delivery and facsimile.

 

3.11 Requests for service which do not include all of the credit assurance information required

by Sections 3.1 through 3.10 are null and void.

 

3.12 If a Shipper has multiple Service Agreements with Transporter and defaults on one Service

Agreement, Transporter may deem a default by Shipper on that one Service Agreement as a loss of

creditworthiness on any other Service Agreement the Shipper has with Transporter; provided,

however, this provision does not apply to amounts disputed by Shipper in good faith. This Section

3.12 will be applied solely to the Shipper that is the Service Agreement holder.

 

3.13 Transporter intends Section 3.9(b)(4)(iv)above to be read in harmony, and not in conflict,

with the bankruptcy code.