Maritimes & Northeast Pipeline, L.L.C.

First Revised Volume No. 1

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Effective Date: 01/07/2008, Docket: RP08-113-000, Status: Effective

First Revised Sheet No. 288 First Revised Sheet No. 288 : Effective

Superseding: Original Sheet No. 288

GENERAL TERMS AND CONDITIONS

(continued)

 

16. TERMINATION FOR DEFAULT

 

16.1 If either Pipeline or Customer shall fail to perform any of the

covenants or obligations imposed upon it or them under and by

virtue of a Service Agreement hereunder, then in such event the

other party may at its option terminate such 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 (30) Days after the service of the aforesaid notice 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 (30) Days the party in default does so remove and

remedy said cause or causes and fully indemnify the party not in

default for any and all consequences of such breach, by a good

and sufficient indemnity bond or otherwise, 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shall be withdrawn and the agreement shall continue in full force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 so indemnify the party

giving the notice for any and all consequences of such breach,

within said period of thirty (30) Days, then, after any necessary

authorization by regulatory bodies having jurisdiction, the

agreement shall become null and void from and after the

expiration of said period, provided that notice of termination

has not been withdrawn prior thereto. Any cancellation of such

agreement pursuant to the provision of this paragraph shall be

without prejudice to the right of Pipeline to collect any amounts

then due to it for service prior to the time of cancellation and

shall be without prejudice to the right of Customer to receive

any service for which it has paid but has not received, although

entitled thereto, 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 such agreement. Failure to perform an

act that is excused due to, inter alia, Force Majeure does not

constitute an event of default hereunder.

 

16.2 Prior to a termination for default, Pipeline may suspend service

to any Customer who fails to comply with the GT&C, the applicable

Rate Schedule, or Customer's Service Agreement. Pipeline's

failure to invoke its right to terminate an agreement for default

shall not be construed as a waiver of Pipeline's right to

terminate service during any other period when Customer is in

violation of the terms of this Tariff or of Customer's Service

Agreement.