Texas Eastern Transmission, L P
Seventh Revised Volume No. 1
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Effective Date: 12/31/9999, Docket: RP09-1088-000, Status: Accepted
Original Sheet No. 1096 Original Sheet No. 1096
3. Credit support in an amount to be determined pursuant to Pipeline's FERC Gas Tariff for
the total contract quantity under the Service Agreement shall be provided to Pipeline
prior to the effective date of such Service Agreement or of any amendment thereto which
increases the contract entitlements. The collateral must be provided by any one or a
combination of the Principals (which entity or entities providing such collateral may
change during the term of the Service Agreement) and will be adjusted in the event of an
amendment to the Service Agreement that results in an increase or decrease in the required
credit support.
4. Each Principal acknowledges and agrees that it is a Principal under the Service Agreement
that includes multiple Principals and that Pipeline is entitled to rely solely on the
Administrator's representation regarding the allocation of rights and obligations among
the Principals under the Service Agreement, even if the representation is inconsistent
with the position of one or more of the Principals. Each Principal releases Pipeline from
any and all claims, disputes, liability or causes of action it may have arising out of or
related to such relationship, Pipeline needing only to look to Administrator for all
purposes under the Service Agreement.
5. This MSOA may not be assigned. This MSOA shall remain in effect for so long as the
Service Agreement is in effect, including any amendments thereto; provided that the
provisions of Section 1(d) and 1(f) shall survive termination of this MSOA; and, provided
further, that in the event a Service Agreement using this MSOA has not been executed by
Administrator within six months of the Effective Date, this MSOA shall automatically
terminate and have no further force and effect.
6. A Principal, who is not the Administrator, may be removed from or added to this MSOA
through an amendment executed by such Principal, the remaining Principals, any new
Principal and the Administrator, the execution of which may not be unreasonably withheld,
delayed, or conditioned. No such amendment to the MSOA shall be binding on Pipeline until
the amended MSOA is executed by such Principal, the Administrator and the remaining
Principals along with any new Principal and in the event such change in Principals impacts
the credit support required by Paragraph 3 above, such requirements have been satisfied.
In the event the MSOA is amended to remove a Principal ("Removed Principal"), the MSOA
shall terminate as to any Removed Principal upon the effective date of an amended MSOA as
set forth hereinabove; provided however, such Removed Principal shall remain liable for
any obligations, claims or liability under the Service Agreement regardless of when
brought, the event giving rise to which occurred prior the effective date of such
replacement MSOA.
7. This MSOA may be executed in multiple counterparts and, when each Party has executed and
delivered a counterpart, all counterparts together shall constitute one agreement.
IN WITNESS WHEREOF the Parties hereto have executed and delivered this MSOA as of the date
first above written.
Pipeline Principal
By: By:
Name: Name:
Date: _________________________ Date: _____________________________ _
Principal Acceptance by Administrator
By: By:
Name: Name:
Date: ___ Date: _____________________________
[add additional signature lines for Principals and/or Removed Principals, when applicable, as
necessary]