Kinder Morgan Interstate Gas Transmission LLC
Fourth Revised Volume No. 1-B
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Effective Date: 12/01/2000, Docket: RP01- 70-000, Status: Effective
First Revised Sheet No. 53E First Revised Sheet No. 53E : Effective
Superseding: Original Sheet No. 53E
GENERAL TERMS AND CONDITIONS - continued
(c) If a Replacement Shipper or Subreplacement Shipper
does not make payment to Transporter of the reservation portion of
the charges due as set forth in its Released Firm Transportation
Agreement, Transporter shall bill the Releasing Shipper(s) from whom
such Replacement or Subreplacement Shipper received the capacity for
the amount(s) due, including all applicable late charges authorized
by Transporter's Tariff, and such amount shall be paid by such
Releasing Shipper within ten (10) days of the receipt of such
billing, or interest shall continue to accrue. In the event that the
Replacement or Subreplacement Shipper has not paid such amount(s) due
by the end of such ten (10) day period, then: (1) the Releasing
Shipper has the right to recall the capacity; and (2) Transporter's
rights against the delinquent Replacement/Subreplacement Shipper
shall be subrogated to the related rights of the Releasing Shipper.
Transporter shall make a reasonable effort to collect from the
Replacement/Subreplacement Shipper the amount(s) due. Such reasonable
effort shall not include incurring costs from outside attorneys,
collection agents or other third parties.
(d) All payments received from a Replacement or
Subreplacement Shipper shall first be applied to reservation charges,
then to late charges on reservation charges, then to scheduling
charges and cashout amounts, then to late charges not on the
reservation charges, and then last to commodity-based charges.
Payments by Replacement or Subreplacement Shippers in excess of the
total amount(s) due for the Released Firm Transportation Agreement
capacity shall be a credit applied to any outstanding balance owed
under any contract with Transporter, or a refund if requested in
writing and no such outstanding balance exists.
(e) Pursuant to the provisions of Section 36 of the
General Terms and Conditions, Transporter and Releasing Shipper may
agree upon payment obligations and credit mechanisms in the event of
capacity releases that vary from or are in addition to those set
forth in this Section 23.13.