North Penn Gas Company

First Revised Volume No. 1

Effective Date: 08/05/1992, Docket: RP91-111-006, Status: Effective

Third Revised Sheet No. 10 Third Revised Sheet No. 10 : Effective

Superseding: Second Revised Sheet No. 10

GENERAL TERMS AND CONDITIONS

6.1 Time. Buyer agrees to pay Seller, at its address as

designated pursuant to contract at least ten days after the date of mailing

or on the next business day following Saturday, Sunday or Legal

Holiday if such day is ten days after the date of mailing, (a) for the

natural gas purchased by Buyer hereunder during the preceding month,

and billed by Seller in a statement for such month according to the

measurements, computations and prices herein provided, and (b) for its

share of Account 191 balances, as computed pursuant to Section 18 hereof.

6.2 Default. Should Buyer fail to pay all of the amount of any bill

for gas delivered hereunder, as herein provided, when such amount is due,

interest on the unpaid portion of the bill shall accrue on an annual basis at

the than prime rate at Mellon Bank, N.A. from the due date until date of

payment. If such failure to pay continues for thirty days after payment is

due, Seller, in addition to any other remedy it may have hereunder, may, after

application to and authorization by the governmental authority having juris-

diction, suspend further delivery of gas until such amount is paid; provided,

however, that if Buyer in good faith shall dispute the amount of any such bill

or parts thereof and shall pay to Seller such amounts as Buyer concedes to be

correct at any time thereafter, within thirty days of a demand made by Seller,

Buyer shall furnish a good and sufficient surety bond, to secure payment to

Seller of the amount ultimately found due upon such bills after a final deter-

mination which may be reached either by agreement or judgment of the courts

as may be the case, then Seller shall not be entitled to suspend further

delivery of gas on account of such disputed claim while so secured.

6.3 Adjustment. In the event an error is discovered in the amount

billed in any statement rendered by Seller, such error shall be adjusted

within thirty days of the determination thereof; provided that claim herefor

shall have been made within sixty days from the date of discovery of such

error, but in any event within twelve months from the date of such statement.