Rendezvous Pipeline Company, L.L.C.
Original Volume No. 1
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Effective Date: 02/08/2007, Docket: RP07- 6-000, Status: Effective
Original Sheet No. 35 Original Sheet No. 35 : Pending
(4) No significant collection lawsuits or
judgments are outstanding which would
seriously reflect upon the Shipper's
ability to remain solvent.
(iii)Such other documentation as the
Transporter shall reasonably request in
connection with the service contemplated;
(iv) A list of Shipper's affiliates, including
parent and subsidiaries, if applicable. In
the event Shipper cannot provide the
information above, Shipper shall, if
applicable, provide that information for its
parent company.
(c) If Shipper fails to satisfy these creditworthiness
criteria, Shipper may still obtain service
hereunder if it elects to provide security for the
payment of amounts due, as follows:
(i) One or more irrevocable, transferable,
standby letters of credit from a major U.S.
commercial bank or a foreign bank with a U.S.
branch office. Such bank shall have a credit
rating of at least "A+" from Standard &
Poor's or "A1" from Moody's and $10 Billion
in assets. The letter of credit shall be in
favor of and in a form acceptable to
Transporter; or
(ii) A guaranty in favor of and in a form
acceptable to Transporter from an entity
acceptable to Transporter; or
(iii)A cash prepayment in an amount equal to
the cost of up to three (3) Months of the
service requested.
(d) Transporter shall not be required to perform or to
continue service under any Rate Schedule on behalf
of any Shipper who is or has become insolvent or
who, at Transporter's request, fails within a
reasonable period to demonstrate creditworthiness.
For purposes herein, the insolvency of a Shipper
shall be conclusively demonstrated by the filing
by Shipper or any parent entity thereof
(hereinafter collectively referred to as "the
Shipper") of a voluntary petition in bankruptcy or
the entry of a decree or order by a court having
jurisdiction in the premises adjudging the Shipper
bankrupt or insolvent, or approving, as properly
filed, a petition seeking reorganization,
arrangement, adjustment or composition of or in
respect of the Shipper under the Federal
Bankruptcy Act or any other applicable federal or
state law, or appointing a receiver, liquidator,
assignee, trustee, sequestrator (or other similar
official) of the Shipper or of any substantial
part of its property, or the ordering of the
winding-up or liquidation of its affairs.
(e) Transporter may specify in the executed Service
Agreement a maximum level of service to be
provided to Shipper based on the creditworthiness
criteria specified in this Section 11 ("credit
limit"). Transporter is not obligated to provide
service to Shipper if such service would cause
Shipper to exceed its credit limit.