Texas Eastern Transmission, L P
Seventh Revised Volume No. 1
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Effective Date: 11/16/2009, Docket: RP10-53-000, Status: Effective
Fifth Revised Sheet No. 863 Fifth Revised Sheet No. 863
Superseding: Fourth Revised Sheet No. 863
FORM OF SERVICE AGREEMENT
FOR RATE SCHEDULE LLFT
Date: __________________________, Contract No. __________________
SERVICE AGREEMENT
This AGREEMENT is entered into by and between Texas Eastern Transmission, LP,("Pipeline") and
_____________________________________ ("Customer").
WHEREAS,
NOW THEREFORE, in consideration of the premises and of the mutual covenants herein contained,
the parties do agree as follows:
1. Pipeline shall deliver and Customer shall take and pay for service pursuant to the terms of
this Agreement and subject to Pipeline's Rate Schedule LLFT and the General Terms and
Conditions of Pipeline's Tariff, which are incorporated herein by reference and made a part
hereof.
2. The Maximum Daily Quantity (MDQ) for service under this Agreement and any right to increase
or decrease the MDQ during the term of this Agreement are listed on Exhibit C attached
hereto. The Point(s) of Receipt and Point(s) of Delivery, respectively, are listed on
Exhibits A and B attached hereto. Exhibit(s) A, B, and C are incorporated herein by
reference and made a part hereof.
Pipeline shall not be obligated to, but may at its discretion, receive at any Point of
Receipt on any Day a Quantity of Gas in excess of the applicable Maximum Daily Receipt
Obligation (MDRO), plus Applicable Shrinkage, but shall not receive in the aggregate at all
Points of Receipt on any Day a Quantity of Gas in excess of the applicable MDQ, plus
Applicable Shrinkage. Pipeline shall not be obligated to, but may at its discretion, deliver
at any Point of Delivery on any Day a Quantity of Gas in excess of the applicable Maximum
Daily Delivery Obligation (MDDO), but shall not deliver in the aggregate at all Points of
Delivery on any Day a Quantity of Gas in excess of the MDQ.
3. This Agreement shall be effective on __________ and shall continue for a term ending on and
including __________ ("Primary Term") and shall remain in force from year to year thereafter
unless terminated by either party upon _________ prior written notice [at least one (1) year
prior notice for Long-Term Service Agreements, with the exception that, for Service
Agreements with a Primary Term of exactly one (1) year, the notice must be submitted within
ten (10) Business Days of the beginning of the Primary Term of the Service Agreement, and at
least one (1) year for subsequent notices for such Service Agreement; mutually agreeable for
Short-Term Service Agreements] prior to the end of the Primary Term or any successive term
thereof. This Agreement may be terminated at any time by Pipeline in the event Customer
fails to pay part or all of the amount of any bill for service hereunder and such failure
continues for thirty (30) days after payment is due; provided, Pipeline gives thirty (30)
days prior written notice to Customer of such termination and provided further such
termination shall not be effective if, prior to the date of termination, Customer either pays
such outstanding bill or furnishes a good and sufficient surety bond or other form of
security reasonably acceptable to Pipeline guaranteeing payment to Pipeline of such
outstanding bill. Any portions of this Agreement necessary to correct or cash-out imbalances
under this Agreement as required by the General Terms and Conditions of Pipeline's Tariff
shall survive the other parts of this Agreement until such time as such balancing has been
accomplished.
If this Agreement qualifies as a "ROFR Agreement" as defined in the General Terms and
Conditions of Pipeline's Tariff, the provision of a termination notice by either Customer or
Pipeline, pursuant to this article 3, a notice of partial reduction in MDQ pursuant to
Exhibit C or the expiration of this Agreement of its own terms triggers Customer's right of
first refusal under Section 3.13 of the General Terms and Conditions of Pipeline's Tariff.