Tuscarora Gas Transmission Company

Original Volume No. 1

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Effective Date: 11/21/2003, Docket: RP04- 28-000, Status: Effective

Third Revised Sheet No. 59 Third Revised Sheet No. 59 : Effective

Superseding: Second Revised Sheet No. 59

GENERAL TERMS AND CONDITIONS

13.4 Disputed Billing

(a) If invoice is in dispute, pay portion not in dispute and provide

documentation identifying basis for dispute.

(b) Within 30 days after a demand made by Transporter, Shipper shall

furnish good and sufficient surety bond, guaranteeing payment to

Transporter of the amount ultimately found due upon bills after a

final determination which may be reached either by agreement or

judgment of the courts, as may be the case, then Transporter shall

not be entitled to seek to suspend further delivery of gas nor

terminate the Transportation Service Agreement as outlined above

unless and until default be made in the conditions of such bond.

13.5 Prior Period Adjustments.

(a) Prior period adjustment time limits should be six (6) months from

date of the initial transportation invoice and seven (7) months

from date of initial sales invoice with a three (3) month rebuttal

period, excluding government-required rate changes. This standard

shall not apply in the case of deliberate omission or

misrepresentation of mutual mistake of fact. Parties' other

statutory or contractual rights shall not otherwise be diminished

by this standard.

(b) 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.

13.6 Remedies For Nonpayment.

(a) Charge for Late Payment: Should Shipper fail to pay any or all of

the amount of any bill as herein provided when such amount is due,

Shipper shall pay a Charge for Late Payment which shall be included

by Transporter on the next regular monthly bill rendered o Shipper.

Such Charge for Late Payment shall be determined by multiplying (a)

the unpaid portion of the bill, by (b) the ratio of the number of

days from the due date to the date of actual payment to 365, by (c)

the applicable rate of interest calculated in accordance with

Section 154.501 of the Commission's Regulations.

(b) Suspension of Service: If such failure to pay continues for

30 days after payment is due, Transporter, in addition to any other

remedy it may have under the Transportation Service Agreement may

suspend further transportation of gas until such amount is paid;

provided, however, that Transporter shall notify Shipper in writing

20 days prior to such suspension that continued failure to pay will

result in suspension of service.

following the suspension of service Transporter may thereafter, in

addition to any other remedy it may have under the Transportation

Service Agreement, terminate said contract; provided, however, that

Transporter shall notify Shipper in writing 20 days prior to such

action that continued failure to pay will result in termination of

said contract.