Sabine Pipe Line Company LLC

Original Volume No. 1

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Effective Date: 05/01/2000, Docket: CP00- 24-001, Status: Effective

Original Sheet No. 270 Original Sheet No. 270 : Effective

 

 

 

and conditions applicable to bidders also apply to the

prearranged Replacement Shippers who have not otherwise

complied with the above requirements.

 

10.14 Responsibilities of Releasing Shippers

 

The Releasing Shipper shall remain fully liable under

its existing Firm Service Agreement with Sabine for the

payment of all reservation charges each month for the

full contract quantity, whether or not such quantity

has been released. A Shipper may release all or part

of its firm capacity on a permanent or temporary basis.

The Releasing Shipper will remain obligated to pay the

difference, if any, between the accepted bid and the

applicable rate for the remainder of the existing

agreement term. A Releasing Shipper shall be

responsible for notifying, or causing to be notified,

its Replacement Shipper prior to exercising recall

rights. Sabine has the right to rely on a Releasing

Shipper's notice and a Releasing Shipper shall defend

and indemnify Sabine against any claims, losses,

liabilities or expenses resulting from claims by any

Replacement Shipper that firm capacity was not recalled

in accordance with the recall rights specified by the

Releasing Shipper in its offer.

 

10.15 Responsibilities of Replacement Shippers

 

A Replacement Shipper awarded capacity under a

permanent release shall execute a separate Firm Service

Agreement with Sabine for the released capacity at the

rate bid by the Replacement Shipper and accepted by the

Releasing Shipper up to the maximum rate and for the

primary term originally set forth in the Releasing

Shipper's Agreement with Sabine. A Replacement Shipper

who is awarded firm capacity pursuant to a Temporary

Release shall execute a Confirmation Letter for the

released capacity at the rate and for the term bid by

the Replacement Shipper. A Replacement Shipper who is

awarded firm capacity under a Temporary Release Subject

To Recall shall execute a Confirmation Letter