Mojave Pipeline Company

Second Revised Volume No. 1

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Effective Date: 06/03/2010, Docket: RP10-706-000, Status: Effective

First Revised Sheet No. 246A First Revised Sheet No. 246A

Superseding: Original Sheet No. 246A

General Terms and Conditions

(Continued)

11. System Operational Parameters (Continued)

(c) The obligations and liabilities of Shipper with respect to

payment of the Reservation Fee under circumstances of non-

delivery shall be negotiated by Transporter and Shipper and

reflected in Shipper's Service Agreement. Except as explicitly

provided therein, such obligations and liabilities shall not be

subject to any counterclaim, set-off, deduction or defense based

upon any claim that Shipper may have against the Transporter or

any other person or entity (whether arising under the Service

Agreement or otherwise), and shall remain in full force and

effect without regard to, and shall not be released, discharged

or in any way affected by, any circumstance or condition that

might constitute a legal or equitable discharge or defense of

Shipper or any other reason (whether or not Shipper shall have

any knowledge or notice thereof).