Monroe Gas Storage Company, LLC

Original Volume No. 1

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Effective Date: 04/29/2009, Docket: RP09-447-000, Status: Effective

Original Sheet No. 111 Original Sheet No. 111

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

2. CONTRACTING FOR STORAGE SERVICE (Continued)

 

2.3 Creditworthiness (Continued)

 

(a) Credit Information (Continued)

 

(3) Potential Customer shall confirm in writing initially and

any Customer that fails to satisfy the minimum acceptable

credit standard set forth in Section 2.3(b)(1) of these

General Terms and Conditions shall confirm in writing within

five (5) Business Days of receipt of a written request from

Operator, that: (i) Potential Customer/ Customer is not

operating under any chapter of the bankruptcy laws; (ii)

Potential Customer/Customer is not subject to liquidation or

debt reduction procedures under state laws, such as an

assignment for the benefit of creditors or any informal

creditors' committee agreement; (iii) no significant

collection lawsuits or judgments are outstanding that would

materially affect Potential Customer/Customer's ability to

remain solvent as a business entity; and (iv) no receiver,

custodian, trustee, or similar person has been appointed for

a material portion of Customer's assets. If Potential

Customer/Customer's status changes so that Potential

Customer/Customer's prior confirmation is no longer

accurate, Potential Customer/Customer shall notify Operator

in writing within five (5) Business Days of the change.

Failure of Potential Customer/Customer to satisfy the

condition set forth in clause (i) of this Section 2.3(a)(3)

shall not result in Potential Customer/Customer being deemed

non-creditworthy if Potential Customer/Customer is a debtor

in possession operating under Chapter 11 of the Federal

Bankruptcy Code and Operator receives adequate assurance

that Potential Customer/Customer's liabilities to Operator

will be paid promptly as a cost of administration under the

Federal Bankruptcy Court's jurisdiction.