U S G Pipeline Company

ORIGINAL VOLUME NO. 1

Effective Date: 04/01/2000, Docket: CP99-211-001, Status: Effective

Original Sheet No. 67 Original Sheet No. 67 : Effective

GENERAL TERMS AND CONDITIONS

15.3 Termination of agreement: If either Transporter or Shipper shall

fail to perform any of the covenants or obligations imposed upon it

by the gas service agreement, subject to the applicable provisions

of Transporter's Tariff, then in such event the other party may at

its option terminate said agreement by proceeding as follows: the

party not in default shall cause a written notice to be served on the

party in default stating specifically the cause for terminating the

agreement and declaring it to be the intention of the party giving

the notice to terminate the same; thereupon the party in default

shall have thirty days after the service of the aforesaid notice (or

five days in the case of late payment) in which to remedy or remove

the cause or causes stated in the notice for terminating the

agreement, and if within said period of thirty days the party in

default does so remove and remedy said cause or causes and fully

indemnifies the party not in default for any and all consequences of

such breach, then such notice shall be withdrawn and the agreement

shall continue in full force and effect. In case the party in

default does not so remedy and remove the cause or causes or does not

indemnify the party giving the notice for any and all consequences of

such breach, within said period of thirty days, the agreement shall

terminate. Any cancellation of the agreement pursuant to the

provisions of this paragraph shall be without prejudice to the right

of Transporter to collect any amounts then due to it for natural gas

service rendered prior to the time of cancellation, and shall be

without prejudice to the right of Shipper to receive any gas that it

has not received but which it has delivered to Transporter for

transportation, prior to the time of cancellation, and without waiver

of any remedy to which the party not in default may be entitled for

violations of the agreement. Nothing herein shall prevent

Transporter from taking prompt steps to protect the integrity of its

system or service commitments to other shippers.