Midwestern Gas Transmission Company
Third Revised Volume No. 1
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Effective Date: 01/01/2002, Docket: RP02- 72-000, Status: Effective
Original Sheet No. 237 Original Sheet No. 237 : Effective
GENERAL TERMS AND CONDITIONS
6. PAYMENTS (Continued)
6.4 Prior Period Adjustments
Prior period adjustments are reported by production date, but they do not have
to be invoiced separately by Production Month - nor is each Production Month a
separate paper invoice page. [3.3.16/v1.0]
Prior period adjustment time limits shall be 6 months from the date of the
initial transportation invoice with a 3-month rebuttal period, excluding
government-required rate changes. 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
No imbalance penalty shall be imposed when a prior period adjustment applied to
the current period causes or increases a current month penalty. [2.3.31/v1.1]
The statement of account shall report outstanding balances by invoice.
7. POSSESSION OF GAS
7.1 Control and Possession
Unless otherwise provided in the service agreement or applicable Rate Schedule,
as between Company and Shipper, Shipper shall be deemed to be in exclusive
control and possession of the gas to be transported (i) prior to receipt by
Company at the Receipt Point(s), (ii) after receipt by Company, when the gas is
in the custody of Shipper or Shipper's designee for separation, processing or
other handling, and (iii) after delivery by Company at the Delivery Point(s);
otherwise, Company shall be in exclusive control and possession of the gas.
The party in exclusive control and possession of the gas shall be responsible
for all injury or damage caused thereby to any third party.
In the absence of gross negligence or willful misconduct on the part of
Company, Shipper waives any and all claims and demands against Company, its
officers, employees or agents, arising out of or in any way connected with
(i) the quality, use or condition of the gas after delivery from Company for
the account of such Shipper, (ii) any losses or shrinkage of gas during or
resulting from transportation hereunder, and (iii) all other claims and demands
arising out of Company's performance of its duties hereunder.
8. OPERATIONAL FLOW ORDERS (OFO)
8.1 Circumstances Warranting OFO
Company shall have the right to issue OFOs as specified in this Section that
require actions by Shippers/Balancing Parties in order (i) to alleviate
conditions that threaten the integrity of Company's system, (ii) to maintain
pipeline operations at the pressures required to provide efficient and reliable
transportation services, (iii) to have adequate gas supplies in the system to
deliver on demand, (iv) to maintain service to all firm Shippers, and (v) to
maintain the system in balance for the foregoing purposes.