National Fuel Gas Supply Corporation
Third Revised Volume No. 1
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Effective Date: 04/01/1997, Docket: RP97-201-000, Status: Effective
First Revised Sheet No. 143 First Revised Sheet No. 143 : Superseded
Superseding: 2nd Sub. Original Sheet No. 143
GENERAL TERMS AND CONDITIONS
7. WARRANTY OF TITLE TO GAS
This Section 7 shall apply to all transportation service unless
otherwise provided in the applicable Rate Schedule or Service Agreement.
Shipper (and, where an interconnection agreement between Transporter and
Operator is in effect with respect to an inter-connection, Operator)
warrants for itself, its agents, its principals, successors and assigns,
that it will have, at the time of delivery of gas to Transporter for
transportation hereunder, good title or the good right to deliver the
gas. Shipper (and Operator, where applicable as set forth above)
warrants for itself, its agents, its principals, successor and assigns,
that the gas it warrants hereunder shall be free and clear of all liens,
encumbrances and claims whatsoever, and except insofar as Shipper or
Operator is in breach of its obligations or has an obligation to
indemnify and save Transporter harmless pursuant to this Section 7,
Transporter agrees to indemnify and save Shipper harmless from all
suits, actions, debts, accounts, damages, costs, losses and expenses
arising out of adverse claims of any and all persons to the natural gas
during its transportation by Transporter for Shipper's account.
Shipper and Operator each agrees to indemnify Transporter and save it
harmless from all suits, actions, debts, accounts, damages, costs,
losses, and expenses arising from or out of any adverse claims of any
and all persons to said gas and/or to royalties, taxes, license fees, or
charges thereon which are applicable for such delivery of gas to
Transporter or any required upstream or downstream transportation and to
indemnify Transporter and save it harmless from all taxes or assessments
which may be levied and assessed upon such delivery or transportation
and which are by law payable by and the obligation of the party making
such delivery or performing such transportation.
If Shipper's title or right to deliver gas to be transported, or the
title or right to deliver gas of the Operator of a receipt point
utilized by Shipper, is questioned or involved in any action, Shipper
shall not qualify for or shall be ineligible to continue to receive
service hereunder until such time as Shipper's title or right to deliver
is free from question; provided, however, Transporter shall allow
Shipper to qualify for or continue receiving service hereunder if
Shipper furnishes a bond satisfactory to Transporter. Title to the gas
received by Transporter at the receipt point(s) shall not pass to Trans-
porter, except that title to gas delivered for fuel and loss retention
or surface operating allowance shall pass to Transporter upon receipt by
Transporter.