Freebird Gas Storage, L.L.C.
First Revised Volume No. 1
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Effective Date: 10/01/2008, Docket: RP08-304-002, Status: Effective
Substitute Original Sheet No. 150 Substitute Original Sheet No. 150
Superseding: Superseding Original Sheet No. 150
suspension and following
any termination of service, Freebird shall not charge Shipper reservation
charges. At Freebird's option, a termination notice given pursuant to Section
23.3 above may also serve as a notice of immediate suspension under this
Section.
23.5 Notwithstanding, and in addition to but not in limitation of, any other
provision in this Gas Tariff or any Service Agreement, if at any time an Event
of Default by Shipper has occurred and is continuing, Freebird shall have the
right to exercise its rights and remedies in respect of any Performance
Assurance provided by Shipper and exercise its rights and remedies in respect
of any lien or security interest in accordance with state law held by
Freebird on Gas stored in the Storage Facility for Shipper's account,
and to apply the proceeds of the private sale of such Gas to satisfy
any amounts owing by Shipper to Freebird under any Service Agreement.
Freebird's termination notice rendered in accordance with these General
Terms and Conditions shall be deemed sufficient notice for all purposes,
including, without limitation, for Articles 7 and 9 of the Code of
Alabama or any other version of the Uniform Commercial Code (or similar
law) as adopted in any relevant jurisdiction.
23.6 Early Termination. If an Event of Default by a Defaulting Party is not
remedied on or before the Early Termination Date and results in the
Non-Defaulting Party's election to terminate Service Agreements pursuant to
Section 23.3 above, the Defaulting Party, by its failure to remedy the Event
of Default, shall be deemed to have consented to such termination of service.
If Freebird is the Non-Defaulting Party, it will notify the FERC of such
termination of service at least thirty (30) days prior to the Early
Termination Date and all of Shipper's service rights may be terminated on the
Early Termination Date and any payment obligations for services not rendered
after the Early Termination Date will likewise be terminated. Freebird will
have the right to sell any terminated service to a third party as of the Early
Termination Date. Shipper will remain liable for all such obligations
accruing up to and including the Early Termination Date. Termination of
Service Agreements shall be effectuated as follows:
(a) The termination will occur on the Early Termination Date. All Service
Agreements then outstanding (except currently performing Hub Services
Agreements, as set forth above) will be terminated as of the Early Termination
Date in accordance with these termination provisions and, except as otherwise
provided in this Section 23.6, no further injections or withdrawals of Gas
shall thereafter be made under such terminated Service Agreements.
(b) With regard to Shipper's Storage Inventory in the Storage Facility:
(i) If Shipper is the Defaulting Party, Shipper shall not have any nomination
rights for the withdrawal of the Net Termination Balance and
redelivery of such Gas shall be pursuant to Section 23.6(b)(ii) below; but, if
Freebird is the Defaulting Party, Shipper shall have nomination rights for the
withdrawal of the Net Termination Balance, which shall be restricted only by
the terms of the relevant Service Agreement(s) if the service is FSS, but
which shall be subject to Section 23.6(b)(ii) below for all interruptible
services.
(ii) All withdrawals of Shipper's Gas shall be subject to the maximum daily
and hourly withdrawal limits set forth in the relevant FSS Service
Agreement(s), as well as all provisions of this Gas Tariff, and Freebird shall
use its best efforts to deliver to Shipper its Storage Inventory on such Days
and in such quantities as, in Freebird's reasonable determination, there
exists Interruptible withdrawal capacity